0:00:00 > 0:00:03Herb to do so. I don't think we can detain the Chamber now. -- her to do
0:00:03 > 0:00:08so. We will leave it there for now. If there are no further points of
0:00:08 > 0:00:15order, we come to the statement from the Secretary of State for Health
0:00:15 > 0:00:19and social care.Secretary Jeremy Hunt. With permission I would like
0:00:19 > 0:00:23to make a statement setting out the action government is taking to
0:00:23 > 0:00:27address public concerns regarding the safety of medicines and medical
0:00:27 > 0:00:33devices used by the NHS. On Friday I will host campaigners, clinicians
0:00:33 > 0:00:39and safety experts from across the world as part of the patient safety
0:00:39 > 0:00:43and science summit, being held for the first time outside the United
0:00:43 > 0:00:55States in London. We will release up reports on the extent of medical,
0:00:55 > 0:00:59medication errors. There are three areas of potential medication error
0:00:59 > 0:01:16that I wish to update the house on. The first is Primidos, hormone
0:01:16 > 0:01:20-based medication that was prescribed to one and a half million
0:01:20 > 0:01:26women before it was withdrawn from use in 1978, partly due to more
0:01:26 > 0:01:32modern pregnancy tests becoming available. The second is an
0:01:32 > 0:01:36anti-epilepsy drug which has been definitively linked to autism and
0:01:36 > 0:01:41learning disabilities in children were taken during pregnancy.
0:01:41 > 0:01:48Campaigners have suggested up to 20,000 children may be affected. The
0:01:48 > 0:01:52third is the giant zero mesh implants which are used to address
0:01:52 > 0:01:55covered patients after childbirth which have been linked to crippling
0:01:55 > 0:02:01life changing side-effects. Of course our first thoughts are with
0:02:01 > 0:02:04the individuals and families whose lives have been turned upside down
0:02:04 > 0:02:14by these issues. Many have enjoyed and continued to endure
0:02:14 > 0:02:20complications, distress and ill-health, alongside a strong sense
0:02:20 > 0:02:24that their concerns have not reached a satisfactory resolution. I paid
0:02:24 > 0:02:30particular tribute to those who have responded to such experiences, not
0:02:30 > 0:02:36just with understandable anger, but with also a resolute determination
0:02:36 > 0:02:40to campaign for change. Many have met ministers and members of this
0:02:40 > 0:02:46House and I thank everyone who has written to me or spoken to me
0:02:46 > 0:02:50personally to raise these concerns on behalf of their constituents. We
0:02:50 > 0:02:57must acknowledge that the response to these issues from those in
0:02:57 > 0:03:01positions of authority have not been good enough. Sometimes the reaction
0:03:01 > 0:03:04felt overly focused on defending the status quo rather than addressing
0:03:04 > 0:03:09the needs of patients. As a result, patients and their families have
0:03:09 > 0:03:15spent too long feeling as though they have not been listened to,
0:03:15 > 0:03:20making the agony of a complicated medical situation worse. Today, in
0:03:20 > 0:03:25addition to practical steps for each of these three cases, I am setting
0:03:25 > 0:03:29out plans to establish a fairer, quicker and more compassionate ways
0:03:29 > 0:03:32of addressing issues when they arise, bringing different voices to
0:03:32 > 0:03:37the table from the start and giving individuals and their families a
0:03:37 > 0:03:42clear path to answers and resolution. In terms of immediate
0:03:42 > 0:03:48action in each of the three cases, on Primidos I've asked my
0:03:48 > 0:03:52ministerial colleague Lord O'Shaughnessy had to drive forward
0:03:52 > 0:03:57where possible accelerate the recommendations of the expert
0:03:57 > 0:04:00working group, further strengthening our systems for monitoring the
0:04:00 > 0:04:04safety of medicines in pregnancy. This will include offering the
0:04:04 > 0:04:07families of the Association for children damaged by hormone
0:04:07 > 0:04:12pregnancy tests for up-to-date genetic clinical evaluation. Better
0:04:12 > 0:04:17information for pregnant women and their families, better training and
0:04:17 > 0:04:19support for obstetricians, better evidence around dosing
0:04:19 > 0:04:26recommendations, making electronic yellow card reporting directly
0:04:26 > 0:04:30available to clinicians and patients at the point of care and stronger
0:04:30 > 0:04:37and more joined up messages on safety. On the autism drug, the
0:04:37 > 0:04:43issue is broader than the UK and the outcome of the EU review expected in
0:04:43 > 0:04:48March will strengthen our position. In preparation we have tossed system
0:04:48 > 0:04:53leaders with coordinating a rapid response, responding to calls from
0:04:53 > 0:05:07patients as well we have introduced a new warning symbol.
0:05:08 > 0:05:12We are strengthening alerts across all GP systems and community
0:05:12 > 0:05:22pharmacy systems as the those women who benefit from the treatment,
0:05:22 > 0:05:29offering more information. On the journal mesh, I've spoken to the
0:05:29 > 0:05:34Chief Medical Officer regarding a complete ban. She is clear that
0:05:34 > 0:05:40clinical experts here and abroad have noted that many women will gain
0:05:40 > 0:05:46benefits from this when used properly. Therefore a full ban is
0:05:46 > 0:05:51not appropriate. However this is not to minimise the suffering that many
0:05:51 > 0:05:56women have experienced, which is why today I can announce we will be
0:05:56 > 0:06:00publishing a retrospective audit to investigate the link between patient
0:06:00 > 0:06:06level data to explore outcomes and investing £1.1 million to develop a
0:06:06 > 0:06:13database for the final -- for the journal mesh. This will improve the
0:06:13 > 0:06:21way regulators and the NHS deal with issues relating to joiner not mesh
0:06:21 > 0:06:24and Valproate, as well as ensuring the safety of medicines during
0:06:24 > 0:06:31pregnancy. But that it has taken so long to do with these issues raises
0:06:31 > 0:06:37other questions. It's a principle of patient safety about the regular
0:06:37 > 0:06:42environment gives voice to legitimate concerns reported by
0:06:42 > 0:06:44patients, families and campaigners and works alongside them and
0:06:44 > 0:06:51response to them in a rapid, open and compassionate way to resolve
0:06:51 > 0:06:55issues when they raise. My view is that this did not happen in the way
0:06:55 > 0:07:00I would expect in these three cases. To do better in the future we need
0:07:00 > 0:07:05to ensure that patient voices are brought to the table and
0:07:05 > 0:07:10systematically and consistently as other voices in the system. So today
0:07:10 > 0:07:14I have asked for a review to be conducted into what happened in each
0:07:14 > 0:07:21of these three cases, including Whetherby processes pursued to date
0:07:21 > 0:07:23have been satisfactory and to make recommendations on what should
0:07:23 > 0:07:29happen in the future. She will assess firstly the robustness and
0:07:29 > 0:07:32speed of the process is followed by the relevant authorities and
0:07:32 > 0:07:42clinical bodies to make sure appropriate guidelines are followed.
0:07:42 > 0:07:49Also, did the appropriate bodies engage with those who are concerned
0:07:49 > 0:08:06properly. Whether there has been sufficient communication and and how
0:08:06 > 0:08:10we look at cases in the future. When there has been widespread harm,
0:08:10 > 0:08:15there needs to be a fuller or even statutory public enquiry.
0:08:15 > 0:08:20Recommendations will be made as to the right process to make sure
0:08:20 > 0:08:24justice is done and maintain public confidence that such decisions have
0:08:24 > 0:08:30been taken fairly. Whilst I'm delivery leaving the terms of this
0:08:30 > 0:08:39open, I've asked that we consider how we strike the right balance. How
0:08:39 > 0:08:49to best support patients when there might not be a scientific issue, but
0:08:49 > 0:09:00they have suffered harm. Whether a patient's champion will raise as a
0:09:00 > 0:09:05point of contact, ensuring that concerns are heard and responded to
0:09:05 > 0:09:11and how any new entity interacts with new bodies. Recognising that
0:09:11 > 0:09:13this has been an issue that many honourable members have been
0:09:13 > 0:09:23concerned about, I've asked the baroness to meet with other parties
0:09:23 > 0:09:32early on in the process. We are proud of the NHS. Much of this have
0:09:32 > 0:09:37been built on the strong connection between scientific discovery and and
0:09:37 > 0:09:42medical process but innovation requires safeguards, including a
0:09:42 > 0:09:47culture of learning to protect against the unintended consequences
0:09:47 > 0:09:51of new technology and a clear focus on the treatment of patients and
0:09:51 > 0:09:58their families affected by these consequences. From Mid Staffs to
0:09:58 > 0:10:02southern health, patients and their families have had to spend too much
0:10:02 > 0:10:09time and energy trying to access hearings for their concerns. The
0:10:09 > 0:10:22stress of campaigning, sometimes in the face of a closed ranked system
0:10:22 > 0:10:29is adding insult to injury. I work regular tree system is in many ways
0:10:29 > 0:10:34were bleeding, but it also needs to add to a changing environment and
0:10:34 > 0:10:38draw intelligently on multiple sources of feedback to protect the
0:10:38 > 0:10:42safety of patients. So the announcement today will build a
0:10:42 > 0:10:48system that listens, hears and acts with speed, compassion and
0:10:48 > 0:10:51proportionality, strengthening the commitment to patient safety which
0:10:51 > 0:11:04is at the heart of this government and this house's ideal. I welcome
0:11:04 > 0:11:09the tone of his remarks and generally welcome his commitment to
0:11:09 > 0:11:16review medical device safety. I do know the Labour manifesto of 2017
0:11:16 > 0:11:20called for an enquiry into this. The announcement today is an
0:11:20 > 0:11:29acknowledgement that there are major issues that go back decades. Members
0:11:29 > 0:11:33across this House have offered moving testimonies about the
0:11:33 > 0:11:42devastating impact of mesh, Primidos and sodium Valproate that has
0:11:42 > 0:11:48affected the lives of many children and women. I'd like to pay tribute
0:11:48 > 0:11:52to all the campaign and MPs from all sides, especially those who have
0:11:52 > 0:12:01worked so hard with the all-party groups. They spent many years
0:12:01 > 0:12:06campaigning for justice on these issues. We've heard how mesh
0:12:06 > 0:12:10implants have left women in permanent pain, unable to walk,
0:12:10 > 0:12:14unable to work. This is an ongoing public health scandal and we hope
0:12:14 > 0:12:21the government will do much more to support those affected.
0:12:21 > 0:12:24Mesh has been suspended in Scotland and banned in other countries around
0:12:24 > 0:12:30the world. I understand it has been paused in the case of prolapse. Will
0:12:30 > 0:12:33he consider suspending the use of it totally while this review is carried
0:12:33 > 0:12:43out? On primados, he said he will follow-up recommendations of the
0:12:43 > 0:12:47expert working group, but does he accept that this report was met with
0:12:47 > 0:12:52concern from all sides of the House? Campaigners branded it a whitewash.
0:12:52 > 0:12:58I am grateful that he has included sodium valproate. My own
0:12:58 > 0:13:02constituent, Emma Friedman, took sodium valproate during and after
0:13:02 > 0:13:07her pregnancy, leaving her son with severe autism, along with hearing
0:13:07 > 0:13:11and sight problems. Andrew, who is now waiting, needs round the clock,
0:13:11 > 0:13:16full-time care. Emma, like thousands of others affected, was never fully
0:13:16 > 0:13:21informed of the risks of taking sodium valproate during pregnancy.
0:13:21 > 0:13:26Last year, a charity survey found that almost one fifth of women
0:13:26 > 0:13:29taking this drug still don't know the risks this medicine can pose
0:13:29 > 0:13:34during pregnancy. So, I welcome the Government efforts to raise
0:13:34 > 0:13:38awareness of the issues, but can he tell us if the review will look at
0:13:38 > 0:13:42the guidelines for clinicians who prescribed sodium valproate to women
0:13:42 > 0:13:48of child-bearing age? Mr Speaker, we do offer this review our support,
0:13:48 > 0:13:54though we note it falls short of the calls for a full public enquiry that
0:13:54 > 0:13:59campaigners have been demanding. Can he give the House and absolute
0:13:59 > 0:14:05reassurance that this review will gain access to at medicine
0:14:05 > 0:14:09regulation files held on The National Archives, access to
0:14:09 > 0:14:15valuable evidence cited in what were on unsuccessful legal actions,
0:14:15 > 0:14:19access to files held by pharmaceutical companies, and that
0:14:19 > 0:14:23all such information will be made public? Does he agree that those
0:14:23 > 0:14:26affected must have trust and confidence in this review? Who will
0:14:26 > 0:14:31the noble Baroness report to? And who will provide the Secretariat to
0:14:31 > 0:14:38this review? I say this with no sense of this courtesy to the
0:14:38 > 0:14:44Department, but does he agree that the review must be independent to
0:14:44 > 0:14:47avoid any sense of conflict of interest that has hampered previous
0:14:47 > 0:14:54enquiries? I understand the terms of reference, but can I press him to
0:14:54 > 0:14:58undertake to ensure that victims agree with the terms of reference in
0:14:58 > 0:15:02order to maintain trust and confidence in this review? Also, is
0:15:02 > 0:15:08he now ruling out a full public enquiry, or is he saying to the
0:15:08 > 0:15:13victims to wait until the outcome of this review? And when can we expect
0:15:13 > 0:15:21this review to report back to the House? More broadly, can the
0:15:21 > 0:15:26Secretary of State agree that there will be three separate strands
0:15:26 > 0:15:29looking at each of the issues in depth to ensure that nothing gets
0:15:29 > 0:15:35watered down and lost was like in the broader context of Brexit, where
0:15:35 > 0:15:38uncertainty remains as we leave the European medicines agency, does he
0:15:38 > 0:15:42agree that this review must inform the regulatory systems are the
0:15:42 > 0:15:45future and take into account how we best cooperate with other regulators
0:15:45 > 0:15:51after Brexit? What assurances can he offer the House that medicines and
0:15:51 > 0:15:57devices women use today, especially pregnant women, will not become the
0:15:57 > 0:16:04tragic and desperate scandals of the future? And finally, on the
0:16:04 > 0:16:08treatment of victims involved, he will know that many women have been
0:16:08 > 0:16:12denied access to legal aid to pursue compensation claims. Does he agree
0:16:12 > 0:16:20that women and children deserve full compensation and support? Is that
0:16:20 > 0:16:22not the responsibility of Government, Mr Speaker? Will the
0:16:22 > 0:16:28Government establish a compensation fund? And what consideration has he
0:16:28 > 0:16:34given to compelling the pharmaceutical industry to support a
0:16:34 > 0:16:40compensation fund for those affected? Finally, Mr Speaker, the
0:16:40 > 0:16:47mesh, sodium Valparaiso, primados has devastated the lives of hundreds
0:16:47 > 0:16:52of thousands of women and children. Isn't it time they were given a full
0:16:52 > 0:17:06apology? Surely it's the very least they deserve.I thank him for his
0:17:06 > 0:17:11response and the tone of it. I want to thank the all-party group who
0:17:11 > 0:17:16have worked incredibly hard to raise this important issue. Let me go
0:17:16 > 0:17:19through the points that he raises, because he asked some detailed
0:17:19 > 0:17:24questions which I want to give a proper answer to. First, when it
0:17:24 > 0:17:34comes to mesh, there is no EU country that has banned its use, and
0:17:34 > 0:17:40indeed Australia and New Zealand have not introduced a full band. We
0:17:40 > 0:17:44have taken very clear advice. We have responsibility to all patients,
0:17:44 > 0:17:47and the medical advice from the Chief Medical Officer is clear, that
0:17:47 > 0:17:53some women do benefit from mesh if it is appropriately used, and so we
0:17:53 > 0:17:59are following that advice. However, this review is going to be looking
0:17:59 > 0:18:08at all the processes around mesh. We will publish Nice guidelines on
0:18:08 > 0:18:12persistent pain and ventral meshes. It is important to say that they are
0:18:12 > 0:18:16used in men as well as women, and it is right to say that we have to get
0:18:16 > 0:18:20this right. I fully accept the point he makes about the concerns of many
0:18:20 > 0:18:24patients and families about the findings of the expert working
0:18:24 > 0:18:31group. He will know that this is a very difficult and hotly contested
0:18:31 > 0:18:43area. We are not proposing to revisit the science. However, we are
0:18:43 > 0:18:46giving Baroness Cumberlege to look at what the expert working group did
0:18:46 > 0:18:51and coming to her own conclusions. We are not excluding looking at what
0:18:51 > 0:18:53happened, though we think it is important to accept throughout this
0:18:53 > 0:18:57that we do have to follow the science at every stage in order to
0:18:57 > 0:19:02get this absolutely right. What we will do is going forward with some
0:19:02 > 0:19:06important recommendations of the expert working group, regardless,
0:19:06 > 0:19:11such as the yellow card system, could don't know because one thing
0:19:11 > 0:19:16that is clear is that when people have an immediate concern about a
0:19:16 > 0:19:21medicine, there isn't an easy way to raise the concern quickly and
0:19:21 > 0:19:25easily. If women are raising these concerns all over the country, we
0:19:25 > 0:19:28need to find out about that very quickly at the centre so we can take
0:19:28 > 0:19:32action more quickly than happened in this case. We will go forward with
0:19:32 > 0:19:37offering genetic testing to families who have suffered as a result, or
0:19:37 > 0:19:43who think they have suffered as a result of Primodos. On sodium
0:19:43 > 0:19:47Valkyrie, we will issue guidelines to clinicians. We want to make sure
0:19:47 > 0:19:55there is greater awareness among patients. -- -- sodium valproate. We
0:19:55 > 0:19:59want to push for this to be a contract indication for women of
0:19:59 > 0:20:04child-bearing age who are not taking effective contraception, because it
0:20:04 > 0:20:09is important to get this right. He makes a very important points about
0:20:09 > 0:20:17the public enquiry. I think we are asking Baroness Cumberlege to give
0:20:17 > 0:20:20her considered view as to what is the appropriate way forward in this
0:20:20 > 0:20:27case. What I would say to him, and that, of course, has implications on
0:20:27 > 0:20:31the issue of compensation, but I would say that we have, I think, a
0:20:31 > 0:20:34problem in our system at the moment where there isn't a proper process
0:20:34 > 0:20:42for deciding what next steps are appropriate. An investigation by NHS
0:20:42 > 0:20:46England and the department, or a full public enquiry? The question we
0:20:46 > 0:20:49particularly want her to look at is whether we should have an
0:20:49 > 0:20:56independent process to evaluate what has happened, because we might... We
0:20:56 > 0:21:00have been approached in his time by people who want public enquiries,
0:21:00 > 0:21:03but it should not just be about the strength of the lobbying. There
0:21:03 > 0:21:06needs to be some process, because there may be people who do not have
0:21:06 > 0:21:10a loud voice who are equally worthy of a public enquiry who don't get
0:21:10 > 0:21:14considered in the system at the moment, and that wouldn't be right.
0:21:14 > 0:21:19Baroness Cumberlege will be reporting to ministers, not to the
0:21:19 > 0:21:27NHRA. And there will be full consultation -- MHRA. There will be
0:21:27 > 0:21:31full contact with the families over the terms of reference, which is the
0:21:31 > 0:21:36right thing to do. The final point, which is an important one, is the
0:21:36 > 0:21:42issue of how we read gain the trust of families deeply scarred by these
0:21:42 > 0:21:46issues. And I think there are two main ways that we do this. First,
0:21:46 > 0:21:51openness and transparency in everything we do in this process, so
0:21:51 > 0:21:54that they can see we want to get to the bottom of this as much as they
0:21:54 > 0:21:59do. Secondly, by recognising that there is this fundamental issue that
0:21:59 > 0:22:04when we've assessed these clinical medical safety issues in the past,
0:22:04 > 0:22:08the voice of patients has not been as strong as it should be. And that
0:22:08 > 0:22:12is something that we have to put right. I know everyone in the NHS,
0:22:12 > 0:22:17as in this House, is committed to doing so.Thank you, Mr Speaker. I
0:22:17 > 0:22:20welcome the statement today from the Secretary of State, and his ongoing
0:22:20 > 0:22:24focus on patient safety, which has added so much to patients, and
0:22:24 > 0:22:29clearly representing the voice of patients in lessons to be learned in
0:22:29 > 0:22:32the future. Many of those who have been courageous in coming forward,
0:22:32 > 0:22:36including many of my own constituents, have been harmed
0:22:36 > 0:22:40within the private sector. Will the Secretary of State confirm that
0:22:40 > 0:22:43patients, wherever they are treated, will be included within this review,
0:22:43 > 0:22:47and that there will be a focus on clinical governance not only in the
0:22:47 > 0:22:51NHS but also in the private sector? I can absolutely give that
0:22:51 > 0:22:58assurance. And we are looking at ways to strengthen oversight,
0:22:58 > 0:23:01because a tragedy is a tragedy, wherever it happens, and we should
0:23:01 > 0:23:06among the highest standards of care throughout our health care system.
0:23:06 > 0:23:11And we are particularly looking at the issue of data sharing. Very
0:23:11 > 0:23:19often, the clinicians operate in both the NHS and the private sector,
0:23:19 > 0:23:23and we don't want to have two datasets. We want to share
0:23:23 > 0:23:30information in a way that will make patients safer.I thank the
0:23:30 > 0:23:33Secretary of State for advance sight of his statements. I am sure that
0:23:33 > 0:23:37women affected by these medicines and devices may be sceptical that
0:23:37 > 0:23:45the Government has announced a review of reviews. Medical safety
0:23:45 > 0:23:48and licensing are reserved matters. While we welcome the fact that the
0:23:48 > 0:23:51Government isn't doing nothing, it is disappointing that the review
0:23:51 > 0:23:57will not look at the scientific evidence on Primodos, sodium
0:23:57 > 0:24:02valproate and surgical mesh. Everyone needs the confidence that
0:24:02 > 0:24:09this won't turn into simply a Government whitewash. How can
0:24:09 > 0:24:13patients be sure of independence? Who will take a final decision on
0:24:13 > 0:24:17who advises the chair? And will those affected and who took part in
0:24:17 > 0:24:21initial reviews be able to participate? He will also be aware
0:24:21 > 0:24:25that Professor Alison Britton is leading an internet -- an
0:24:25 > 0:24:28independent review of vaginal mesh in Scotland, and will DC to take
0:24:28 > 0:24:34advice and sounded from her bindings and expertise in this process? --
0:24:34 > 0:24:42will he seek to take... Does he think that setting up a mechanism
0:24:42 > 0:24:45within his department to collate extensive qualitative research from
0:24:45 > 0:24:52patients would be a useful function? I think, with respect to the
0:24:52 > 0:24:57honourable gentleman, he is being a little bit uncharitable, describing
0:24:57 > 0:25:02this as a review of reviews. We have announced immediate actions in each
0:25:02 > 0:25:04of these three cases which will happen right away, of huge
0:25:04 > 0:25:12significance with respect to the use of sodium valproate, help for
0:25:12 > 0:25:15families who think they have suffered as a result of Primodos,
0:25:15 > 0:25:20and in terms of the use of mesh. A lot of things are happening right
0:25:20 > 0:25:23away. I think it is important that these are complex issues and if we
0:25:23 > 0:25:26are going to step back and look at the systemic failures that we think
0:25:26 > 0:25:29have happened, then we need to step back and ask what are the changes
0:25:29 > 0:25:35that we need? That is why we need someone Baroness Cumberlege's
0:25:35 > 0:25:39experience. I would just say that this is someone who has got a huge
0:25:39 > 0:25:42track record on campaigning on women's issues. She was a minister
0:25:42 > 0:25:49at the Department of Health for five years, she did the Better Births
0:25:49 > 0:25:53review for the NHS in 2015. She is hugely experienced and passionate
0:25:53 > 0:25:58about patient safety and making sure that the patient's voice is heard.
0:25:58 > 0:26:04Could I welcome this review and the announcement of Baroness Cumberlege
0:26:04 > 0:26:08as lead. I am sure the whole House will agree that she is highly
0:26:08 > 0:26:12qualified and trusted. Can I pay tribute to the women, particularly
0:26:12 > 0:26:15many hundreds of thousands of them, who have suffered in silence and who
0:26:15 > 0:26:28have campaigned so effectively. I have seen the passion and the silent
0:26:28 > 0:26:31suffering with which so many women have had to be. He is right that for
0:26:31 > 0:26:36too long the medical establishment has tended to link arms and act very
0:26:36 > 0:26:39protectively when challenged, and we need to make sure that the patient
0:26:39 > 0:26:43voice is put at the heart of this. Would he agree with me on to things:
0:26:43 > 0:26:49First, it is important that this is not some witchhunt? It must be a
0:26:49 > 0:26:56review of the evidence, the science, the clinical data, in order to avoid
0:26:56 > 0:26:58future patient suffering. If it is couched in legal liability, everyone
0:26:58 > 0:27:02will draw in and resist the sharing of evidence. Secondly, will he look
0:27:02 > 0:27:07at the issue of training on the issue of mesh? Be MHRA have licensed
0:27:07 > 0:27:11the device. I understand the problem is with the training of clinicians
0:27:11 > 0:27:16in installing it.
0:27:16 > 0:27:22I would like to put on record my thanks to my honourable friend for
0:27:22 > 0:27:26his work that led to the setting up of the expert working group which I
0:27:26 > 0:27:34think has taken this issue forward. He championed that and was
0:27:34 > 0:27:38incredibly helpful. I've taken on board both his points. It's right
0:27:38 > 0:27:43that this needs to focus on patient safety and how we put in place
0:27:43 > 0:27:47processes that help people who are suffering now and avoid this in the
0:27:47 > 0:27:51future and the training points are a good one.I welcome his statement,
0:27:51 > 0:27:55though it would have been nice for the victims to have heard a little
0:27:55 > 0:27:59bit more about the legal aid and the compensation issue. He was right to
0:27:59 > 0:28:05describe our regular tree framework as world leading. It is European and
0:28:05 > 0:28:08precautionary base, so will he disassociate himself from the
0:28:08 > 0:28:15comments of the Foreign Secretary last week who included medicines
0:28:15 > 0:28:22regulation where he favours for divergences?Is he knows because we
0:28:22 > 0:28:26have had these discussions at the select committee, we in this country
0:28:26 > 0:28:30make an enormous contribution to the way medicines regulation happens
0:28:30 > 0:28:35across Europe because of our extensive scientific base and we are
0:28:35 > 0:28:43happy and very much hope those links will continue.The first thing I
0:28:43 > 0:28:50would like to say is I welcome the review into the yellow car process
0:28:50 > 0:28:53because the first responsibility of a doctor is always to do no harm and
0:28:53 > 0:28:59every doctor when they are making any prescribing difference is
0:28:59 > 0:29:01balancing the improvement in patient care with the risks that are known
0:29:01 > 0:29:08at the time to occur. Sometimes as mod drugs are given to a greater
0:29:08 > 0:29:12number of people, other side-effects will come through. The improvements
0:29:12 > 0:29:20in the yellow card system will help them to be identified earlier. There
0:29:20 > 0:29:29was a drug that is used to treat acne that is very toxic in
0:29:29 > 0:29:36pregnancy. I wonder if some of these drugs that do provide benefits, but
0:29:36 > 0:29:44are known to be harmful, that would have the same approach?Her question
0:29:44 > 0:29:48demonstrates how useful it is to have people with medical experience
0:29:48 > 0:29:53in this House. The broad point she makes is right. The difficulty in
0:29:53 > 0:29:58the issues we are talking about today is how much they affect women
0:29:58 > 0:30:03and a number of them affect pregnant women and one of the things we want
0:30:03 > 0:30:09to establish through this review is whether we are doing less well than
0:30:09 > 0:30:13we should on women's health issues and that's why because Baroness
0:30:13 > 0:30:19Cumberlege has done more campaigning on women's health issues than anyone
0:30:19 > 0:30:24in both houses, she's the right person to take this forward. She is
0:30:24 > 0:30:28right about strengthening protections for pregnant women.As
0:30:28 > 0:30:42the chair on hormone pregnancy tests I'm disappointed with wording of
0:30:42 > 0:30:48today's review. Families and victims of Primidos have waited 40 years. It
0:30:48 > 0:30:56was a deliberate criminal cover-up by the statutory authorities. The
0:30:56 > 0:31:01scientific evidence shows that there is a link between Primidos and
0:31:01 > 0:31:04deformities which was made to the drugs companies 40 years ago and to
0:31:04 > 0:31:10the regulatory bodies as well. Can I ask the Secretary of State to ensure
0:31:10 > 0:31:14this review, which I have to say we would want a full public enquiry,
0:31:14 > 0:31:18looks at the regular tree failures that took place 40 years ago. There
0:31:18 > 0:31:24was a systematic deliberate cover-up, destruction of documents
0:31:24 > 0:31:29by our health bodies as well as the drug manufacturers. Therefore
0:31:29 > 0:31:33Primidos is perhaps different to some of the others and we demand a
0:31:33 > 0:31:38proper enquiry into this and proper compensation, and the victims are
0:31:38 > 0:31:45put at the heart of this enquiry. In the AWG working group they were
0:31:45 > 0:31:48completely ignored in that document was not worth the paper it was
0:31:48 > 0:31:55published on.We may not agree with everything, but I thank her for her
0:31:55 > 0:31:58campaigning and the voice she had given to thousands of women who
0:31:58 > 0:32:05believe they have suffered badly as a result of Primidos. What I will
0:32:05 > 0:32:12say is the things she is asking for art ruled out. It will create a
0:32:12 > 0:32:16process through which someone will look carefully. She makes some very
0:32:16 > 0:32:22serious allegations. That is absolutely within her right to do so
0:32:22 > 0:32:25as a member of this House, but they are different to the conclusion is
0:32:25 > 0:32:30that the expert working group came to add it's precisely because of
0:32:30 > 0:32:33that disagreement that we've asked Baroness Cumberlege to look at this
0:32:33 > 0:32:38and come to her own view is to the right way forward. I do want to
0:32:38 > 0:32:42reassure her that regular tree failures are at the front of our
0:32:42 > 0:32:45minds and we are determined to make sure that the teams voices are
0:32:45 > 0:32:52heard.I wanted that the Minister for the compassionate tone he had
0:32:52 > 0:32:58struck today in understanding the years that many campaigners like
0:32:58 > 0:33:01Janet Williams and Emma Murphy have undertaken to have their voices
0:33:01 > 0:33:08heard is. Going back to the regulator, if medicines or devices
0:33:08 > 0:33:13are found to be unsafe following this review or have been taken
0:33:13 > 0:33:19unsafely, will face legal consequences, will there be legal
0:33:19 > 0:33:22consequences for those regulators who should have acted differently?
0:33:22 > 0:33:28The simple answer is yes, there are legal consequences for regulators
0:33:28 > 0:33:31who have felt. In that case it will be the responsibility of the
0:33:31 > 0:33:37government of the drop companies who failed in their responsibility to
0:33:37 > 0:33:40ensure that patients were informed of the dangers of taking particular
0:33:40 > 0:33:45drugs. It's about expedition facts. Some of them are clear, some are not
0:33:45 > 0:33:54and that's why today's review will help us.My constituents have been
0:33:54 > 0:33:58affected by sodium valproate and Primidos. The Secretary of State has
0:33:58 > 0:34:03already heard my honourable friend's dismay over the outcome of the
0:34:03 > 0:34:07expert working group. What he has talked about today will not give a
0:34:07 > 0:34:13great amount of satisfaction to people and the confidence in his
0:34:13 > 0:34:16department taking notice of Baroness Cumberlege's review will be reduced
0:34:16 > 0:34:20by the written response that I got yesterday from his department which
0:34:20 > 0:34:26said they had no plans to fund research into hormone pregnancy
0:34:26 > 0:34:32tests. A report was produced last week. Will he ensure that Baroness
0:34:32 > 0:34:37Cumberlege looks at this particular issue?Absolutely she will and I
0:34:37 > 0:34:42want to give him that assurance and I want to say to him that whereas on
0:34:42 > 0:34:46something like that operate when it is clear what the next steps are
0:34:46 > 0:34:54because there is no dispute over the science -- valproate, the first
0:34:54 > 0:34:58thing we have to do establish the truth of the situation and that's
0:34:58 > 0:35:03why we're asking Baroness Cumberlege to look with free hand at the whole
0:35:03 > 0:35:09issue.And I welcome this statement which is consistent with my right
0:35:09 > 0:35:13honourable friend's track record as secretary of state of driving the
0:35:13 > 0:35:19NHS to stop causing harm to patients. Can I ask him to continue
0:35:19 > 0:35:23to focus on encouraging, requiring and supporting or health care
0:35:23 > 0:35:27professionals to make the shift from a defensive mindset to a learning
0:35:27 > 0:35:37mindset? And so they listen and learn, not just from NHS experience,
0:35:37 > 0:35:40but from patients?She has huge experience in health care and she
0:35:40 > 0:35:44will know this well. She is absolutely right to say that at
0:35:44 > 0:35:49hearts, what we have to be careful about in these complex issues is
0:35:49 > 0:35:53that we don't inadvertently encourage a culture of defensive
0:35:53 > 0:35:57medicine where doctors feel unable to be open about mistakes that may
0:35:57 > 0:36:00have happened because they are worried about legal consequences and
0:36:00 > 0:36:04then we don't have the learning which is incredibly important. That
0:36:04 > 0:36:08is important and one of the reasons for this review is to make sure we
0:36:08 > 0:36:12support that open learning culture. Half of my constituents whose
0:36:12 > 0:36:17families have suffered due to the effects of Primidos, can I thank the
0:36:17 > 0:36:20Minister for this step in the right direction statement. By announcing
0:36:20 > 0:36:26another review with a remit for another review, can he reassure the
0:36:26 > 0:36:31House that one of these reviews can investigate the cover-up we know has
0:36:31 > 0:36:35occurred over decades over Primidos and if a crime has been committed,
0:36:35 > 0:36:47it will be dealt with?I totally respect him for airing his
0:36:47 > 0:36:51constituentss concerns, but as he will know from the answers to the
0:36:51 > 0:36:55other questions, the difficulties in the case of Primidos and it is
0:36:55 > 0:36:59distressing to families concerned, is the fact that scientists don't
0:36:59 > 0:37:04agree about the issue and so because of that is, we do unfortunately find
0:37:04 > 0:37:10ourselves having to review what has happened an expert working group was
0:37:10 > 0:37:15the first attempt to do that, but we are going to give Baroness
0:37:15 > 0:37:17Cumberlege a free hand to look at that and any other evidence that
0:37:17 > 0:37:23comes to light and draw her own conclusions.Just an hour ago I was
0:37:23 > 0:37:31meeting with my constituents and Emma Friedman to discuss the next
0:37:31 > 0:37:36stage of the campaign for valproate. From seeing this statement, the
0:37:36 > 0:37:41meeting was adjourned. I'm happy that they are in the Chamber. Can I
0:37:41 > 0:37:45ask the Secretary of State whether it will be possible to ensure that
0:37:45 > 0:37:55GP surgeries are giving out the excellent advice that the MRA che
0:37:55 > 0:37:58have put together. Many GPs are not and there don't seem to be the
0:37:58 > 0:38:02regulatory sanctions to make sure they do.I hope the people he
0:38:02 > 0:38:07mentioned are in the gallery rather than in the Chamber. That will be
0:38:07 > 0:38:14greatly reassuring to us and to them.I can give that assurance. One
0:38:14 > 0:38:19of the things we have announced today is improving a system of
0:38:19 > 0:38:22alerting for GP practices and community pharmacies so that the
0:38:22 > 0:38:30right advice is given and so that the right safeguards are in place so
0:38:30 > 0:38:33that people who are pregnant or may become pregnant don't take this
0:38:33 > 0:38:37medicine which is powerful and effective under the right
0:38:37 > 0:38:42circumstances, but incredibly dangerous in the wrong ones.Whilst
0:38:42 > 0:38:47welcoming the intention to look further at these very concerning
0:38:47 > 0:38:51issues, I fear that by putting them all in one place he may not be
0:38:51 > 0:39:00giving sufficient attention to the Primidos issue which is I think a
0:39:00 > 0:39:07scandal of many years standing and I think the expert working group which
0:39:07 > 0:39:12reported recently is not the basis upon which Baroness Cumberlege or
0:39:12 > 0:39:17anybody else should look further at this matter because it was a
0:39:17 > 0:39:21complete whitewash. He needs to acknowledge that and I think that if
0:39:21 > 0:39:26he were to do so that the people affected by Primidos over the last
0:39:26 > 0:39:3240 years and more will feel much more confident in the process he has
0:39:32 > 0:39:37described today in a way -- as a way in which they may get some
0:39:37 > 0:39:42resolution.I understand why she asked the question in the way she
0:39:42 > 0:39:47does, but I would just say to her that we set up that expert working
0:39:47 > 0:39:51group after a lot of very careful thought because we honestly wanted
0:39:51 > 0:39:55to get an answer to the question. We are faced with a situation where
0:39:55 > 0:40:02scientists disagreeing and I think in that situation it is not right,
0:40:02 > 0:40:05it wouldn't be right for me as Secretary of State to announce a
0:40:05 > 0:40:09different scientific view. I think the right thing to do is to allow
0:40:09 > 0:40:12some on the time and space to look at the issues that she has raised
0:40:12 > 0:40:19and that is what Baroness Cumberlege will do.I have a constituent whose
0:40:19 > 0:40:22quality-of-life has been ruined by a surgical mesh implant. What
0:40:22 > 0:40:28reassurance can we have that the review by Baroness Cumberlege will
0:40:28 > 0:40:31make sure that the voice of the patient is listened to more quickly
0:40:31 > 0:40:36so that when things do go wrong we limit the number of patients who
0:40:36 > 0:40:42suffer the type of harm we have heard about this morning.It's the
0:40:42 > 0:40:47right question to ask what we have put forward in this statement is the
0:40:47 > 0:40:52possibility that we need to have a patient's champion, someone whose
0:40:52 > 0:40:56job it is to collect the experiences and views of patients who think they
0:40:56 > 0:41:01may have suffered as a result of medicine medical devices. We think
0:41:01 > 0:41:06that may be a way forward, but we want Baroness Cumberlege to look at
0:41:06 > 0:41:10this in more detail. The central point is that when there are debates
0:41:10 > 0:41:14about the efficacy of medicines or medical devices, if we are going to
0:41:14 > 0:41:21avoid the agony of his constituent, the patient's voice needs to be as
0:41:21 > 0:41:30strong as the clinician's. We are moving away from what has happened
0:41:30 > 0:41:35in the past and this will be a step in the right direction.Following on
0:41:35 > 0:41:38from that point the secretary of state will know the phrase the
0:41:38 > 0:41:44patronising disposition of unaccountable power which applied in
0:41:44 > 0:41:50the Hillsborough family's fight to get justice and the groups affected
0:41:50 > 0:41:57today. Then the Secretary of State say why it Baroness Cumberlege's
0:41:57 > 0:42:01report not bound to come straight to Parliament Parliament to make a
0:42:01 > 0:42:08decision over how patients can justice faster and quicker than what
0:42:08 > 0:42:22has happened in so many cases. That's came from Bishop James Jones
0:42:22 > 0:42:27who spoke about people's voice is being ignored for too long. This
0:42:27 > 0:42:33House will have every opportunity to debate Baroness Cumberlege's report.
0:42:33 > 0:42:38The House will have every opportunity to listen, make
0:42:38 > 0:42:42suggestions for improvements and be involved at every stage of the
0:42:42 > 0:42:48process as we take it forward.
0:42:48 > 0:42:56My constituent, Karen, a victim of surgical mesh, and Angie, a victim
0:42:56 > 0:43:01of Primodos, will listen with interest to what the Minister has
0:43:01 > 0:43:04had to settle was a bit since there are two key issues here apart from
0:43:04 > 0:43:08the Cumberlege review. The first is to ensure that our medics from
0:43:08 > 0:43:14medical school up and realise that they are not Gods, because that is
0:43:14 > 0:43:18how many patients feel they are having to deal with him, and there
0:43:18 > 0:43:21are concerns are too easily dismissed. At least a change from
0:43:21 > 0:43:30the bottom-up. Second, on the issue of private health cover, it involves
0:43:30 > 0:43:33patients living in all quarters of the United Kingdom. How will this
0:43:33 > 0:43:39learning and the learning of the review spread whilst respecting the
0:43:39 > 0:43:42devolved assemblies into those regions throughout the health sector
0:43:42 > 0:43:46is not under the control of my right honourable friend?They are
0:43:46 > 0:43:49important points. On the second point, the spreading of best
0:43:49 > 0:43:54practice is central here, so we have to make sure that we don't just have
0:43:54 > 0:43:58a system where we have new Nice guidelines but that we have
0:43:58 > 0:44:04confidence that they are being implemented across 30,000 GPs, 250
0:44:04 > 0:44:07NHS trusts and so on, and I know that is something that Baroness
0:44:07 > 0:44:16Cumberlege will be thinking about. For my constituents, Willman...
0:44:16 > 0:44:22Wilma and Kerstin, the wait to get truth and justice on this issue has
0:44:22 > 0:44:27been almost unbearable. Whilst I welcome his candour and his tone,
0:44:27 > 0:44:31his actions as outlay today are not enough. I fear that the Baroness
0:44:31 > 0:44:34will be doing her job with one hand tied behind her back. He said in his
0:44:34 > 0:44:38statement, we are not revisiting the science, and then said later, yet we
0:44:38 > 0:44:42need to be led by science. Unless I miss her, there is a contradiction
0:44:42 > 0:44:46there. And he confirmed that the victims affected by these issues
0:44:46 > 0:44:52will be at the heart of this ayes as will the science, because there has
0:44:52 > 0:44:56been an important new study done by Niall Ferguson which must be
0:44:56 > 0:45:00considered in this process in relation to Primodos.I don't accept
0:45:00 > 0:45:05there is a contradiction. We have to be open to the science and led by it
0:45:05 > 0:45:08at every stage of the bid there is new evidence, we must take that on
0:45:08 > 0:45:11board, and always be led by patients in what we do, and that is exactly
0:45:11 > 0:45:18what I am announcing.It was a pleasure to lead the debate in the
0:45:18 > 0:45:24House when we got a backbench business committee earlier. I really
0:45:24 > 0:45:26appreciate the tone from the Secretary of State and from the
0:45:26 > 0:45:30Prime Minister when I asked her earlier if there was good news. Can
0:45:30 > 0:45:36I also pay tribute to the Minister sitting by his side, our honourable
0:45:36 > 0:45:39colleague from Winchester, for the work he did, because I gave him
0:45:39 > 0:45:44quite a hard time during the debate. However, there will be huge
0:45:44 > 0:45:49disappointment with the Primodos campaign team. Being led by the
0:45:49 > 0:45:52science from the expert working group is fascinating, because they
0:45:52 > 0:45:55refused to allow some science to come forward because it had not been
0:45:55 > 0:45:58peer reviewed, then accepted other evidence from drug companies that
0:45:58 > 0:46:05did. This review going back to the Department of Health is fully
0:46:05 > 0:46:09allocated in this in that they were given out by GPs. This will give no
0:46:09 > 0:46:15confidence at all. The Baroness will have both hands tied behind her
0:46:15 > 0:46:21back, I think.You know, I commend my honourable friend's campaigning,
0:46:21 > 0:46:25but I'm afraid I do have to disagree with him. This is a very important
0:46:25 > 0:46:30step forward. We are absolutely going to be led by the science, and
0:46:30 > 0:46:34have to be, and we're giving Baroness Cumberlege a full rein to
0:46:34 > 0:46:37look at what the expert working group did, and to challenge it if
0:46:37 > 0:46:45she sees fit.Is the expert working group the Government set up on
0:46:45 > 0:46:49Primodos changed its own terms of reference. It refused to look at all
0:46:49 > 0:46:53the scientific evidence, and it did not have the confidence of the
0:46:53 > 0:47:01families affected. How will his proposals be any different?This is
0:47:01 > 0:47:03something for Baroness Cumberlege to consider, but the broader point is
0:47:03 > 0:47:09right. We have, for too long, in each of these three cases and in
0:47:09 > 0:47:13others, had processes that have not had the confidence of patients, and
0:47:13 > 0:47:17that is why we are proposing today not just specific measures in each
0:47:17 > 0:47:20of the three issues, but also a broader look at the regulatory
0:47:20 > 0:47:29structure to make sure that patients' bosses are louder.I
0:47:29 > 0:47:33welcome today's announcement, which I'm sure will be welcomed by my
0:47:33 > 0:47:37constituent who had surgical mesh installed in 2008 during a
0:47:37 > 0:47:40hysterectomy, but significantly without her knowledge or consent,
0:47:40 > 0:47:43which has led her to severe distress and significant pain. When she
0:47:43 > 0:47:47raised it with her doctors, she was told it was all in her mind and she
0:47:47 > 0:47:51was imagining it. She believes she is still not being taken seriously
0:47:51 > 0:47:56ten years later. Does the Secretary of State share my hope that the
0:47:56 > 0:48:00existence of the review will encourage a more sympathetic
0:48:00 > 0:48:02response to people such as my constituent from the medical
0:48:02 > 0:48:09profession?I very much hope so. And I think the crucial point that has
0:48:09 > 0:48:12come from members on all sides of this houses that the processes that
0:48:12 > 0:48:18we have had in place to date have not had the confidence of families
0:48:18 > 0:48:22affected. This applies to a whole range of issues. I believe that
0:48:22 > 0:48:26medicine is changing fundamentally. I think people who are passionate
0:48:26 > 0:48:29about medical innovation and life sciences know that you need to have
0:48:29 > 0:48:33a very close partnership with patients if you're going to make
0:48:33 > 0:48:36proper advances. We haven't always got this right, and that's what I
0:48:36 > 0:48:47hope the review will help us to do. I welcome the audio rhythmic audit
0:48:47 > 0:48:51into vaginal mesh. A couple of things. One of them is the support
0:48:51 > 0:48:57for victims. My constituent Angie has been referred to Manchester to
0:48:57 > 0:48:59see somebody, and now she has been told she will have to wait months
0:48:59 > 0:49:05before anybody can properly analyse what has happened to her, so I
0:49:05 > 0:49:09wonder whether more results can be -- more resource can be given to
0:49:09 > 0:49:11help the victims of vaginal mesh will so can you look into the
0:49:11 > 0:49:15licensing process for how these things get to market and get put out
0:49:15 > 0:49:19there for use by surgeons? And please don't just look into the
0:49:19 > 0:49:21training, because I believe it is not just about training of how we
0:49:21 > 0:49:27put these things in. I believe it is the product itself that is faulty.
0:49:27 > 0:49:31We will certainly look at all those things, and she is absolutely right
0:49:31 > 0:49:37to draw attention to them. I think... The licensing is one thing,
0:49:37 > 0:49:42but it is also very important that we make sure there is proper
0:49:42 > 0:49:47information available to clinicians and patients, because it does appear
0:49:47 > 0:49:51from these cases that there are a number of drugs and devices that are
0:49:51 > 0:49:55safe but only in certain circumstances, and that knowledge
0:49:55 > 0:49:58may not have been properly disseminated. That database that she
0:49:58 > 0:50:10talked about will help us in getting that right.
0:50:12 > 0:50:22Mr Speaker, constituents of mine have... I welcome the statement and
0:50:22 > 0:50:25I recognise the issue around the ban and why that might not be possible,
0:50:25 > 0:50:28but can the Secretary of State assure this House and my
0:50:28 > 0:50:31constituents that surgical mesh will only be used when there is
0:50:31 > 0:50:39absolutely no alternative?I think, you know, this is a... Complex
0:50:39 > 0:50:43procedure which can go wrong. It would only be used if it were
0:50:43 > 0:50:48absolutely the right thing for patients, and we have looked
0:50:48 > 0:50:50carefully, because there are other countries introducing restrictions
0:50:50 > 0:51:00on the use of mesh. It means we have to use much more care in when it is
0:51:00 > 0:51:09used to avoid those truly horrific complications.I think those whose
0:51:09 > 0:51:13lives have been forever changed by the drug Primodos will be very
0:51:13 > 0:51:20disappointed today, despite a step in the right direction, because
0:51:20 > 0:51:22asking Lord Shaughnessy to drive forward recommendations of the
0:51:22 > 0:51:27expert working group will not bring any confidence. That expert working
0:51:27 > 0:51:32group changed its terms of reference. It was asked to examine
0:51:32 > 0:51:35whether a possible association exists between Primodos and birth
0:51:35 > 0:51:39defects, and it did not do that. It looked at a causal association. And
0:51:39 > 0:51:44that is the crux of the problem. And that is what makes that working
0:51:44 > 0:51:49group's findings unacceptable. Aside from the fact that the scientific
0:51:49 > 0:51:52evidence not included existed before they even started their
0:51:52 > 0:51:58investigation, so unless these factors are taken into account, in a
0:51:58 > 0:52:01wide-ranging, independent enquiry, I doubt that those victims will ever
0:52:01 > 0:52:05get the satisfaction and the justice that they deserve.Well, I do hear
0:52:05 > 0:52:12what she says, and the reason that it was important to us to examine
0:52:12 > 0:52:18whether there was a causal link is because that has an impact on
0:52:18 > 0:52:21compensation that people might be entitled to. I would like to
0:52:21 > 0:52:23reassure her that Baroness Cumberlege has the freedom to look
0:52:23 > 0:52:28at all the issues she raises.The pharmaceutical companies have
0:52:28 > 0:52:36consistently stated that they refuse to accept that there is a causal
0:52:36 > 0:52:40link between sodium valproate and autism. The key is that my right
0:52:40 > 0:52:44honourable friend has set out now measures to warn people for the
0:52:44 > 0:52:48future, but it doesn't compensate the victims. So, what a temple will
0:52:48 > 0:52:52be made by my right honourable friend to make sure that victims are
0:52:52 > 0:52:55fully compensated for the dreadful impact on the lives of their
0:52:55 > 0:53:02children?You know, this country, the system we have on compensation
0:53:02 > 0:53:07is through the courts, and there are times when it is the NHS that is
0:53:07 > 0:53:14liable, and times when the drug companies are liable. I hope that
0:53:14 > 0:53:17Baroness Cumberlege's work will take us closer to understanding whether
0:53:17 > 0:53:20liability actually lies so that we can give relief to families who have
0:53:20 > 0:53:26suffered for too long.Will the Secretary of State join me in paying
0:53:26 > 0:53:31tribute to my constituents, Emma Murphy and her colleague Janet
0:53:31 > 0:53:35Williams, for their courageous campaigning to highlight the risks
0:53:35 > 0:53:39presented by sodium valproate? As the right honourable gentleman and
0:53:39 > 0:53:42other members have acknowledged, victims are incredibly suspicious of
0:53:42 > 0:53:46the health establishment for very good reason. So is the Secretary of
0:53:46 > 0:53:50State concern, and I ask this concealer, that Baroness Cumberlege
0:53:50 > 0:53:54is the director of a company which specialises in introducing
0:53:54 > 0:53:58pharmaceutical companies into how they can most effectively lobbied
0:53:58 > 0:54:01Parliament? What will that do to victims who start off being
0:54:01 > 0:54:07incredibly suspicious of ourselves in this House and the NHS
0:54:07 > 0:54:14establishment?I would just say this, and I understand the
0:54:14 > 0:54:22respectful tone in which he asks the question, I don't think Baroness
0:54:22 > 0:54:25Cumberlege -- anyone has a better reputation than Baroness Cumberlege
0:54:25 > 0:54:30in this area. She has shown a willingness to take on the
0:54:30 > 0:54:33scientific establishment when it is the right thing to do, and she does
0:54:33 > 0:54:35so with a great deal of knowledge and passion. I have every confidence
0:54:35 > 0:54:43she will do a great job.I welcome the statement today. Lassie will be
0:54:43 > 0:54:47aware, we had a mesh review in Scotland, but it very quickly lost
0:54:47 > 0:54:50the confidence of patient groups, who branded it a whitewash after
0:54:50 > 0:55:00chapters were deleted and evidence was re-presented, so can he reassure
0:55:00 > 0:55:04me that the voices of patients will be taken seriously and fully into
0:55:04 > 0:55:13account?I wish I could say to him that those terrible, terrible
0:55:13 > 0:55:17suffering that people have had has been taken as seriously as it
0:55:17 > 0:55:20should, but I think the truth is that we have had a system that has
0:55:20 > 0:55:26not treated patient concerns as seriously as they should have been,
0:55:26 > 0:55:30and that is why we are making these important changes we are announcing
0:55:30 > 0:55:37today.44 years ago, my constituent Leslie Holmes took two Primodos
0:55:37 > 0:55:42tablets handed to her by her trusted GP to check if she was pregnant. She
0:55:42 > 0:55:48was, and the consequences for her son have been devastating. Leslie is
0:55:48 > 0:55:52still seeking answers and recognition of her family's plight.
0:55:52 > 0:55:56The minister appears to agree that we need to recognise that and
0:55:56 > 0:55:59provide the answers. How long is it going to take, and how is he going
0:55:59 > 0:56:04to ensure that the outcome is actually credible this time?All I
0:56:04 > 0:56:11can say is that I think that, you know, we completely understand those
0:56:11 > 0:56:16concerns, understand that many people feel on this issue, but it is
0:56:16 > 0:56:19very difficult to resolve quickly when there is a disagreement amongst
0:56:19 > 0:56:23scientists, so what we're trying to do today is to create a process that
0:56:23 > 0:56:27can resolve that this agreement, and that's what I very much hope will
0:56:27 > 0:56:33happen.I welcome this much-needed safety review announcement. All UK
0:56:33 > 0:56:35citizens should be confident that they are getting the most rigorous
0:56:35 > 0:56:41safety standards, but can my right honourable friend confirmed that the
0:56:41 > 0:56:45review will not impact initiatives such as accelerated access review
0:56:45 > 0:56:49and cancer drug fund, which are fast tracked access to much-needed drugs
0:56:49 > 0:56:53and treatments?I can confirm that, although I think it is also
0:56:53 > 0:56:59important to say that if we discover changes in procedures that will
0:56:59 > 0:57:03improve the safety of medicine use or medical device use, I think that
0:57:03 > 0:57:07the people who put those new drugs onto the market would want to
0:57:07 > 0:57:09benefit from any changes in regulatory processes. We would not
0:57:09 > 0:57:13want to reduce the speed.
0:57:13 > 0:57:20I welcome this statement. I have been contacted by many women in my
0:57:20 > 0:57:27constituency who continue to suffer excruciating pain due to surgical
0:57:27 > 0:57:31mesh implant. I welcome the initiatives, but I would suggest
0:57:31 > 0:57:37there was a huge value in some of those initiatives such as a UK wide
0:57:37 > 0:57:47database. What discussions will he have with the ministers regarding
0:57:47 > 0:57:53the devolved nations?We are happy to do anything on a UK wide basis if
0:57:53 > 0:57:55that is what the devolved administrations want because we
0:57:55 > 0:58:00don't see any benefit in not sharing data. If the willingness is there,
0:58:00 > 0:58:07we are happy to play ball.Could I welcome my right honourable friend's
0:58:07 > 0:58:16announcement over the review and securing Baroness Cumberlege to lead
0:58:16 > 0:58:23a review. If I could just focus on Primidos which has affected 1.5
0:58:23 > 0:58:27million women throughout the United Kingdom. It's been a terrible long
0:58:27 > 0:58:32journey for these individuals and their families. They have been
0:58:32 > 0:58:37pursuing truth and justice. Today they have received neither. I hear
0:58:37 > 0:58:44much of the use of and the use of science in the review, but I wonder
0:58:44 > 0:58:47if my honourable friend what are the baroness to introduce humanity into
0:58:47 > 0:58:53that review and take into account the Peruvian desert at Aberdeen
0:58:53 > 0:58:58University that is now available. I hope this review is a stepping stone
0:58:58 > 0:59:02to a full public enquiry for Primidos victims and maybe then and
0:59:02 > 0:59:06only then will they receive the truth and the justice that they and
0:59:06 > 0:59:14their families richly deserve.Very eloquently put by my honourable
0:59:14 > 0:59:18friend. We also want to get closure on this issue and that means getting
0:59:18 > 0:59:24the scientific consensus that has eluded us today. I will certainly
0:59:24 > 0:59:28mention the Aberdeen research to the noble Baroness.The Secretary of
0:59:28 > 0:59:31State was right to say that patient views have been neglected and they
0:59:31 > 0:59:36had to be central to this review. My constituents impacted by Primidos
0:59:36 > 0:59:40lost faith in the working group because of that concern. How far
0:59:40 > 0:59:48will this review go? We look at the fact that there may be diminished
0:59:48 > 0:59:55evidence because of the medical records that were destroyed?I'm
0:59:55 > 0:59:58happy to do so, but this review is separate to things that are
0:59:58 > 1:00:02happening in Scotland, but we will certainly look at all those issues.
1:00:02 > 1:00:07This is the first chance I've had to thank the Secretary of State for
1:00:07 > 1:00:11visiting Kettering General Hospital last week. I do so now. It is
1:00:11 > 1:00:17laudable that the NHS be the safest health care system. Are we there
1:00:17 > 1:00:24yet? If not, when will we be? International experts from the
1:00:24 > 1:00:28Commonwealth fund in New York say we are the safest health care system in
1:00:28 > 1:00:33the world. That does give me pause for thought because there is so much
1:00:33 > 1:00:36avoidable harm and death in our system right now and if we are the
1:00:36 > 1:00:42safest it says that health care everywhere needs to improve.
1:00:42 > 1:00:46Campaigners on Primidos will be disappointed by the Secretary of
1:00:46 > 1:00:50State's statement and his failure to recognise the concerns they have
1:00:50 > 1:00:54raised about the expert working group. That aside, how many patients
1:00:54 > 1:00:59will be involved in the review and how does he believe that they will
1:00:59 > 1:01:04be best access so that people have their voices heard?That's the
1:01:04 > 1:01:08entire purpose of the review. Baroness Cumberlege will want to
1:01:08 > 1:01:13involve patients right from the start in that process, but I will
1:01:13 > 1:01:17talk to her about it and I will write to her just spelt out in
1:01:17 > 1:01:24detail way that patients will be involved in the process.I found the
1:01:24 > 1:01:33secretary of state for his statement that will be of comfort to the
1:01:33 > 1:01:36victims of vaginal mesh. Can he confirmed the review will cover
1:01:36 > 1:01:39looking at whether those who have been barred from getting
1:01:39 > 1:01:44compensation due to the statute of limitations will be included in this
1:01:44 > 1:01:52review?Absolutely.The Secretary of State will be aware that for many of
1:01:52 > 1:01:56the women who took Primidos they would not even necessarily have
1:01:56 > 1:02:05known at the time that that was the consequence. It's only later on and
1:02:05 > 1:02:10it totally that they have realised what took place. How would they be
1:02:10 > 1:02:13brought into this enquiry and if there is going to be compensation,
1:02:13 > 1:02:18what will be the test? It will be unfair for them to have to prove
1:02:18 > 1:02:22that they are victims of the drug.I wish there was a straightforward
1:02:22 > 1:02:25answer, but the truth is there is a lot of scientific disagreement about
1:02:25 > 1:02:29whether there is a causal link or not which makes it difficult to give
1:02:29 > 1:02:34clear answers to his constituents, as indeed to mind, but I hope this
1:02:34 > 1:02:38review will shed some clarity on that situation because I know that's
1:02:38 > 1:02:47what a lot of people want.What advice has the Secretary of State
1:02:47 > 1:02:51sought from the Royal College of midwives, the Royal Institute of
1:02:51 > 1:02:56gynaecology and what input will be these bodies have in this review?
1:02:56 > 1:03:07The noble Baroness Cumberlege is an honorary fellow at the Royal College
1:03:07 > 1:03:10of Nursing and physicians, so she is well connected with the
1:03:10 > 1:03:17organisations that the honourable lady has mentioned.As the Secretary
1:03:17 > 1:03:25of State has indicated our products are world leading. Does the Minister
1:03:25 > 1:03:35have any more information that our expertise will have as little red
1:03:35 > 1:03:39tape as possible?It's fair to say that our revelatory system is
1:03:39 > 1:03:45admired the world over because we do safety extremely well and we
1:03:45 > 1:03:48extremely seriously, but it does not mean that we cannot improve it and
1:03:48 > 1:03:52the lesson for today is that patients voices have not been strong
1:03:52 > 1:03:59enough in that process and that is what we need to change.I am most
1:03:59 > 1:04:05grateful to be secretary of state. We come now to the ten minute rule
1:04:05 > 1:04:12motion.Thank you Mr Speaker. I beg to move that lead be given to
1:04:12 > 1:04:17bringing about to make provision about shared parental leave and pay
1:04:17 > 1:04:22for workers including those that are self-employed. I would like to begin
1:04:22 > 1:04:26by paying tribute to those who have been campaigning for the provisions
1:04:26 > 1:04:30called for in this bill. I would not be presenting it here today if it
1:04:30 > 1:04:34was not for their work and dedication in pushing shared
1:04:34 > 1:04:39parental leave for all onto the agenda. UK music, equity, parental
1:04:39 > 1:04:51pay quality, PNG, writers Guild, GMB, TUC are many more. The
1:04:51 > 1:04:54self-employed are not clustered around the creative industries. The
1:04:54 > 1:05:01whole world of work is changing. More and more people are classed as
1:05:01 > 1:05:11freelance or self-employed.
1:05:13 > 1:05:19Literally anyone can be self-employed. But 9% of women and
1:05:19 > 1:05:2460% of men aren't eligible for shared parental pay because they are
1:05:24 > 1:05:28self-employed. There are 24,000 self-employed mums claiming
1:05:28 > 1:05:32maternity allowance who would benefit from this bill. What is
1:05:32 > 1:05:38encouraging is that the government no shared parental leave is
1:05:38 > 1:05:43important. It was a positive and radical step introduced by the
1:05:43 > 1:05:46coalition government in 2015. Sadly not enough families are taking the
1:05:46 > 1:05:49opportunity because where many employers have enhanced maternity
1:05:49 > 1:05:54schemes for most employees such schemes don't exist for shared
1:05:54 > 1:05:58parental leave meaning many families will be worse off if they signed up
1:05:58 > 1:06:04to it. And for most keeping the family finances in the black is a
1:06:04 > 1:06:09priority. So it was good to see last week the government roll-out their
1:06:09 > 1:06:13advertising campaign share the joy to get more doubts to take up their
1:06:13 > 1:06:18entitlement. A welcome push when only a disappointing 2% of employees
1:06:18 > 1:06:21take shared parental leave. Unfortunately be problems around
1:06:21 > 1:06:26take-up will never be clearer than when the minister responsible for
1:06:26 > 1:06:34shared parental leave revealed that he was in fact as a minister not
1:06:34 > 1:06:38eligible. I don't mention this to embarrass the member in any way but
1:06:38 > 1:06:42simply to use it as an example of how the culture around shared leave
1:06:42 > 1:06:49needs to change. To do that we need to give more people more choice.
1:06:49 > 1:06:52Parity between the traditionally employed and the self-employed and
1:06:52 > 1:06:58this bill would do just that. Currently self-employed mums who
1:06:58 > 1:07:02have given birth must take their statutory maternity allowance in one
1:07:02 > 1:07:06go. They can't return to work for a month or two and then resumed there
1:07:06 > 1:07:11allowance. My bill would allow freelance partners to decide who
1:07:11 > 1:07:14receives the alarm on so mum can take a block when she is ready and
1:07:14 > 1:07:17wants to re-enter the workplace while the family still receives the
1:07:17 > 1:07:24regular income from the maternity allowance. A simpler way of
1:07:24 > 1:07:27replicating shared parental leave for freelancers at no extra cost to
1:07:27 > 1:07:31the taxpayer. A move which I think will send a strong message to the
1:07:31 > 1:07:35country that not only do we understand the changing face of work
1:07:35 > 1:07:38but we believe that men and women are valued equally in the home and
1:07:38 > 1:07:44the workplace. I'd also say to ministers that if the policy was
1:07:44 > 1:07:47extended to the self-employed freelancers, I believe there would
1:07:47 > 1:07:52not be any problem with poor take-up. A survey conducted by
1:07:52 > 1:07:57parental pay quality found over 70% of freelancers or those with
1:07:57 > 1:08:02freelance partners would use the scheme if it were available for them
1:08:02 > 1:08:08in the future. A change to our cultural norms does not happen
1:08:08 > 1:08:10overnight, but I believe the self-employed can blaze a trail in
1:08:10 > 1:08:17leading the way, helping us to get to a place where it is assumed that
1:08:17 > 1:08:22partners and should shoulder a significant amount of the childcare.
1:08:22 > 1:08:27If the numbers of freelancers that will take up shared parental leave
1:08:27 > 1:08:30as significant, why are we holding back? For those not owe favoured
1:08:30 > 1:08:38walls around parental leave for the self-employed, a self-employed mum
1:08:38 > 1:08:44is entitled to £140 maternity allowance for 39 weeks if they have
1:08:44 > 1:08:48paid close to national insurance for at least 13 of the 66 weeks before
1:08:48 > 1:08:54the baby is due. Maternity allowance is paid only two months. If that is
1:08:54 > 1:09:03withdrawn, if the... That is withdrawn if the freelance mother
1:09:03 > 1:09:09does more than the ten keeping in touch days. For example, if
1:09:09 > 1:09:11freelance chiropodist took a job that lasted for ten days, she would
1:09:11 > 1:09:22lose in red -- maternity allowance, but a chiropodist who is employed
1:09:22 > 1:09:28can work freelance as long as she does not break the terms of her
1:09:28 > 1:09:33contract. It's far from ideal and a Catch-22 position for self-employed
1:09:33 > 1:09:38women. Stay off work and keep the elements for the 39 weeks or take
1:09:38 > 1:09:45the risk of taking a one off job. A stressful decision for anyone, let
1:09:45 > 1:09:52alone a sleek diff riv new mum. With 95% of new businesses run by women,
1:09:52 > 1:09:56we know there are many families out there who might benefit from sharing
1:09:56 > 1:10:06paternal leave. So why is it important we do this now. -- let
1:10:06 > 1:10:10alone a sleep deprived ma'am. We know that at least 4.7 million
1:10:10 > 1:10:18people are employed in freelance work. The government says it will
1:10:18 > 1:10:26tackle the insecurity that this creates. Self-employment and the gig
1:10:26 > 1:10:30economy has recently been the subject of the Taylor review and
1:10:30 > 1:10:35after Matthew Taylor hurt I was submissions and many detailed
1:10:35 > 1:10:40recommendations, he conceded that the government should address, and I
1:10:40 > 1:10:44quote, parental leave in particular where self-employed people lose out.
1:10:44 > 1:10:50This is our chance to get it on the agenda because freelance
1:10:50 > 1:10:54self-employed and insecure work is not new. It has been the feature of
1:10:54 > 1:11:02creative industries for decades. 44% of the creative industries are
1:11:02 > 1:11:07unemployed. I worked in it for over 30 years and my partner still does.
1:11:07 > 1:11:12Working hours are flexible with project based employment and
1:11:12 > 1:11:18irregular and often unreliable payments. No nine to five, very
1:11:18 > 1:11:22little stability. Looking for work can take up as much time as doing
1:11:22 > 1:11:27the job, but today the working patterns and insecurities of the
1:11:27 > 1:11:30creative industries aren't an anomaly, they are becoming the norm
1:11:30 > 1:11:35and for any freelance coupled the idea of starting a family can be
1:11:35 > 1:11:39terrifying. Another mouth to feed, no guarantee of work. Obviously for
1:11:39 > 1:11:45any new parent money is tight, but for those in the gig economy or
1:11:45 > 1:11:49insecure work it is even more so. Employing 2 million people the
1:11:49 > 1:11:53creative industries are a success story, but areas of improvement
1:11:53 > 1:11:58remain. More often than not it's the woman who compromises on her career
1:11:58 > 1:12:05to bring up of delete-macro a family. She is the one that steps
1:12:05 > 1:12:10out of the industry because two freelancers can't make a finances
1:12:10 > 1:12:18work, or went back up work, she is expected to dash home early one
1:12:18 > 1:12:25childcare bourse room or to look after sick children. Women still
1:12:25 > 1:12:39lagged behind men or so when they are dishing out the gongs.
1:12:39 > 1:12:4274% of creative workers surveyed in the film industry turn down work
1:12:42 > 1:12:46because they are parents. 22% said they career had come to a halt.
1:12:46 > 1:12:51Altogether once they had a child. All that talent, all that training,
1:12:51 > 1:12:55dedication, lost because there is not enough support for self-employed
1:12:55 > 1:13:01families with young children. So we need to change the culture, and to
1:13:01 > 1:13:05do it we need to start right at the beginning when the baby is born. As
1:13:05 > 1:13:10I mentioned at the beginning of this speech, and I know how much the
1:13:10 > 1:13:17Treasury bench appreciates a good deal, so what I'm proposing comes at
1:13:17 > 1:13:22no extra cost to the taxpayer. Maternity allowances already paid to
1:13:22 > 1:13:27new mothers. It is a win-win for the Treasury. It also means men having
1:13:27 > 1:13:31more of a chance to spend time with their babies, allowing women to pick
1:13:31 > 1:13:36up opportunities as they present themselves. And although I
1:13:36 > 1:13:39personally believe that the amount of the allowance should be
1:13:39 > 1:13:45increased, this bill isn't about that. This bill is simply to give
1:13:45 > 1:13:47freelancers and the self-employed the right to share the current
1:13:47 > 1:13:53allowance. So, the Bill I put forward today is simple but
1:13:53 > 1:13:57significant. It allows maternity allowance to be shared in blocks
1:13:57 > 1:14:00between freelance parents, replicating the way shared parental
1:14:00 > 1:14:05leave works for those in more conventional employment. It's fair,
1:14:05 > 1:14:09it's progressive, it's a bill to complement current government
1:14:09 > 1:14:13policy, not disturb it. Help close the gender pay gap, proving to the
1:14:13 > 1:14:17world Britain's serious. I commend this bill to the House.The question
1:14:17 > 1:14:23is at the honourable member have leave to bring in the Bill. I think
1:14:23 > 1:14:27the ayes have it, the ayes have it. Who will prepare and bring in the
1:14:27 > 1:14:33Bill?Mrs Maria Miller, Mr Ed Vaizey, Alison Pulis, Caroline
1:14:33 > 1:14:39Lucas, Jo Swinson, Tom Watson, Kevin Brennan, Emma Reynolds, Luciano
1:14:39 > 1:14:43Burge, Rachel Reeves, Rebecca Long Bailey and myself, Sir.
1:14:52 > 1:14:59Tracey
1:15:14 > 1:15:26Shared parental leave and allowance Bill.Second reading what day? Me
1:15:26 > 1:15:34the 11th. We come now to the programme motion. The Minister to
1:15:34 > 1:15:37move? The question is the finance never to build programme and two
1:15:37 > 1:15:44hours on the order paper. Do you wish to speak? The honourable lady
1:15:44 > 1:15:53wishes to speak.Thank you, Mr Speaker. I stand to speak to new
1:15:53 > 1:16:01clause nine...The honourable programme motion? The lady doesn't
1:16:01 > 1:16:07wish to debate? The ayes have it, the ayes have it. Order, the clerk
1:16:07 > 1:16:12will now proceed to read the orders of the day.Finance never to bill as
1:16:12 > 1:16:22amended in upon the Bill committee to be considered.The Whip says now.
1:16:22 > 1:16:29We begin with new clause nine to move the motion I call Don Butler.
1:16:29 > 1:16:33Thank you, Mr Speaker. I now rise to speak to new clause nine which
1:16:33 > 1:16:37stands in the name of my right honourable friend the leader of the
1:16:37 > 1:16:41and other honourable friends. Mr Speaker, I would like to thank the
1:16:41 > 1:16:47previous Minister for women and equality is, the Member for Putney,
1:16:47 > 1:16:50for the equality impact assessment response sent to me just before
1:16:50 > 1:16:55Christmas. The honourable member's responses are normally quite upbeat.
1:16:55 > 1:16:59I must say, Mr Speaker, but I found this particular response a little
1:16:59 > 1:17:05lacklustre. But it definitely highlighted why we need to support
1:17:05 > 1:17:10new clause nine. The letter highlights the weaknesses of due
1:17:10 > 1:17:14regard, and goes on to make a somewhat puzzling statement, and I
1:17:14 > 1:17:19quote. All departments carefully consider the equality impacts of
1:17:19 > 1:17:23individual policy decisions taken on by those protected characteristics
1:17:23 > 1:17:27in line with our legal obligations and our clear commitment to quality
1:17:27 > 1:17:30issues. And therein lies the problem. This Government has not
1:17:30 > 1:17:37shown a clear commitment to equality issues, far from it. With 86% of the
1:17:37 > 1:17:44cuts falling on the shoulders of women, and black and Asian minority
1:17:44 > 1:17:48and disabled people suffering more than any other group, I find it hard
1:17:48 > 1:17:52to understand why the Government would try to proclaim that they are
1:17:52 > 1:18:00committed to equality is. Mr Speaker... Sure.I thank a forgiving
1:18:00 > 1:18:04way. She mentions the Government has not made commitment. Does she not
1:18:04 > 1:18:07agree with me the compelling companies in our country to publish
1:18:07 > 1:18:11the gender pay gap information, the first time any Government has done
1:18:11 > 1:18:14this, is a very clear signal and already making real change for those
1:18:14 > 1:18:19women working in those companies?I thank the Member for her
1:18:19 > 1:18:24intervention. I do agree that it is good to get companies to publish
1:18:24 > 1:18:29their pay gap. The problem is that there isn't actually any teeth if
1:18:29 > 1:18:33they fail to do so. And that is a real problem that needs to be
1:18:33 > 1:18:38addressed. We need to really tackle the gender pay gap, but also of
1:18:38 > 1:18:44companies fail to address the pay gap that there needs to be some
1:18:44 > 1:18:49punishment for that almost, and that is unfortunately failing in the
1:18:49 > 1:18:56Government's plan. I will give way. I thank the Lady forgiving way. Do
1:18:56 > 1:19:01she recognise that voluntary schemes of publication, whether it is
1:19:01 > 1:19:04participation, as demonstrated in the Crossrail project, showed that
1:19:04 > 1:19:07companies will comply through social pressure, because actually there is
1:19:07 > 1:19:12a brand equity question. You don't need to have a hard punishment,
1:19:12 > 1:19:15through brand equity reputation, that would be punishment enough they
1:19:15 > 1:19:21fail to comply.Again, the problem is that there are very few companies
1:19:21 > 1:19:26who have actually published, and I think the deadline is quickly
1:19:26 > 1:19:31approaching. Mr Speaker, the letter that I was sent from the Minister
1:19:31 > 1:19:39goes on to say that the Treasury would have completed a cumulative
1:19:39 > 1:19:43impact assessment. I have yet to receive confirmation of this
1:19:43 > 1:19:48cumulative impact assessment, and I wonder whether the Minister would be
1:19:48 > 1:19:52able to confirm that, and also whether we can see a copy of that
1:19:52 > 1:19:56laid before the House in the library. I know that it is difficult
1:19:56 > 1:20:00for the Government to often hear the views of the opposition, so I urge
1:20:00 > 1:20:06the Government to the voices of the members from his own side, like the
1:20:06 > 1:20:10honourable member who was chair of the Treasury select committee. The
1:20:10 > 1:20:13committee are obviously a little bit perplexed at the lack of commitment
1:20:13 > 1:20:18to equality impact assessment, and the Chancellor had complained about
1:20:18 > 1:20:23the kind of data that was gathered, but when the Chancellor was asked
1:20:23 > 1:20:26whether he had asked the Office for National Statistics about the
1:20:26 > 1:20:33gathering of that data, he replied that he had not, and that doesn't
1:20:33 > 1:20:36show a commitment to equality. The Treasury committee also goes on to
1:20:36 > 1:20:45say that the Treasury should use the OMS, HMRC data to produce robust
1:20:45 > 1:20:48assessments of future prospects, including tax and welfare measures
1:20:48 > 1:20:52within them, a deficiency of data in respect of some protective
1:20:52 > 1:20:56characteristics is not a reason for failing to produce an analysis in
1:20:56 > 1:21:05respect of others for which data is available. Nor should the risk of
1:21:05 > 1:21:07misinterpretation or methodological complexity preclude the publication
1:21:07 > 1:21:15of an equality impact assessment. In short, Mr Speaker, just do it. Mr
1:21:15 > 1:21:19Speaker, the only reference in the budget to gender impact which has
1:21:19 > 1:21:22been identified as when it disproportionately affected men.
1:21:22 > 1:21:28What possible reason could this be, I wonder. I understand that the
1:21:28 > 1:21:31Treasury committee would welcome an explanation on the thinking of this
1:21:31 > 1:21:37from the Government. So would we. It does not make sense that the
1:21:37 > 1:21:43Chancellor alluded to the fact that Ministers see the equality impact
1:21:43 > 1:21:47assessment for the Department because it makes me wonder if
1:21:47 > 1:21:51Ministers see them, if Ministers read them, if Ministers actually
1:21:51 > 1:21:56have proper due regard to them, why would they implement the policies
1:21:56 > 1:22:01that they do? If the Government fails to support this clause, there
1:22:01 > 1:22:06could be no public confidence that the Government's commitment to
1:22:06 > 1:22:11protect, not punish people with protective characteristics. For the
1:22:11 > 1:22:16record, Mr Speaker, the nine protective characteristics are age,
1:22:16 > 1:22:21disability, gender reassignment, pregnancy, maternity, race, religion
1:22:21 > 1:22:26or belief, sex and sexual orientation. I understand that the
1:22:26 > 1:22:29Prime Minister is a little bit preoccupied. She is a little bit
1:22:29 > 1:22:33weak at the moment, and I know that she is dealing with a very serious
1:22:33 > 1:22:37ransom note at the moment. But I honestly believe that she would not
1:22:37 > 1:22:41be pleased that her legacy will be that of the hindering of women and
1:22:41 > 1:22:50their life chances. More children are homeless, more children are
1:22:50 > 1:22:56homeless or living in temporary accommodation than at any other time
1:22:56 > 1:23:02since the 2007/ financial crash. Shelter says that homelessness is a
1:23:02 > 1:23:08national scandal. It estimates that 140 families become homeless every
1:23:08 > 1:23:13single day, and the estimate of rough sleeping shows an increase of
1:23:13 > 1:23:16130%. Everyday we see and hear the damaging effects of this
1:23:16 > 1:23:20Government's policies have other people, especially those with
1:23:20 > 1:23:23protective characteristics. This Government is damaging not
1:23:23 > 1:23:26protecting vulnerable groups. Even when the Government conduct an
1:23:26 > 1:23:31equality impact assessment, it seems to ignore it. Just two weeks ago,
1:23:31 > 1:23:33the Government released an equality impact assessment revealing that
1:23:33 > 1:23:37more bursaries will be axed from around a thousand nurses who enter
1:23:37 > 1:23:45the profession each year. Assessment reveals that the latest disco nation
1:23:45 > 1:23:48was against those of ethnic minorities and poorer backgrounds.
1:23:48 > 1:23:52We need a Prime Minister who cares enough to start laying the
1:23:52 > 1:23:58foundations for which we can bring about true equality for women,
1:23:58 > 1:24:01diverse communities, LGBT plus communities and those with
1:24:01 > 1:24:04protective characteristics. A Labour government led by Jeremy Corbyn
1:24:04 > 1:24:09would do just that. A Labour government's successes would be
1:24:09 > 1:24:13measured by how it reduces inequality. The next Labour
1:24:13 > 1:24:18government with an sure that we publish equality impact assessment,
1:24:18 > 1:24:21and we conduct equality impact assessments before implementation of
1:24:21 > 1:24:25policies. And then a Labour Government would have
1:24:25 > 1:24:27post-legislative scrutiny to ascertain whether policies are
1:24:27 > 1:24:31making the situation better or worse. The labour we will enable us
1:24:31 > 1:24:35to truly build an economy for the many and not the few. If the
1:24:35 > 1:24:41Government fails to support this very reasonable amendment, more
1:24:41 > 1:24:47people will question... I'm just at the end, I'm afraid. If the
1:24:47 > 1:24:51Government fails to support this very reasonable amendment, more and
1:24:51 > 1:24:54more people will begin to question why this Government is so intent on
1:24:54 > 1:24:59harming not hindering women and those with protective
1:24:59 > 1:25:06characteristics as opposed to helping them.Equality impact
1:25:06 > 1:25:13analysis of various parts of this act.Should new clause nine B read a
1:25:13 > 1:25:23second time? Minister? I hadn't seen the honourable lady standing. That
1:25:23 > 1:25:27was my error.Thank you very much, Mr Speaker. It was a pleasure to
1:25:27 > 1:25:32take part in the final day of debate on this Finance Bill. We have had a
1:25:32 > 1:25:38lot of debate, myself and the Member for Oxford East and the Minister
1:25:38 > 1:25:41have spent quite a lot of time together in the committee room, not
1:25:41 > 1:25:46just on this but also on the customs bill that has been passing, so it is
1:25:46 > 1:25:49good to be here again in order to talk about this, and actually I
1:25:49 > 1:25:53think it is a great way to start talking about equalities, and
1:25:53 > 1:25:57particularly around the new clause that is being put forward by the
1:25:57 > 1:26:01Labour bench of the Shadow Minister. I think this is incredibly
1:26:01 > 1:26:07important, because the way that the Government and the way that previous
1:26:07 > 1:26:12governments at Westminster have done budget has not been particularly
1:26:12 > 1:26:15transparent, and has not ended in a situation where people know what the
1:26:15 > 1:26:19effects of all of the policies will be as they come through. I have said
1:26:19 > 1:26:24before and I still believe that this is a very, very good amendment, this
1:26:24 > 1:26:27new clause, and I'm delighted to stand on the half of the SNP and
1:26:27 > 1:26:31support this new clause as it goes forward. I just want to highlight a
1:26:31 > 1:26:35number of things within it, as well as some genuine comments around the
1:26:35 > 1:26:44transparency and the processes that the Government uses in order to
1:26:44 > 1:26:47create budget and make tax law in general. The amendment itself talks
1:26:47 > 1:26:51about various things, including the protective characteristics, looking
1:26:51 > 1:26:56at the view and impact analysis on the basis of different protective
1:26:56 > 1:27:01characteristics. Just to focus in on one of those, the issue of age I
1:27:01 > 1:27:04think is incredibly important. A number of decisions that the
1:27:04 > 1:27:07Government makes around tax policy have a differential impact on those
1:27:07 > 1:27:11people of different ages, we have spoken before in this chamber on a
1:27:11 > 1:27:14number of occasions about the generational divide that there is.
1:27:14 > 1:27:18We are seeing generation rent, those people that are millennials or
1:27:18 > 1:27:23younger than that facing a very different housing situation to those
1:27:23 > 1:27:27people in generations that came before, and therefore any tax
1:27:27 > 1:27:40changes that happen affect that group of people differently to how
1:27:56 > 1:27:58they affected the previous generation when they were the same
1:27:58 > 1:28:01age, so I think it would be really important for any analysis was
1:28:01 > 1:28:03undertaken by the Government to look at the generational divide, to look
1:28:03 > 1:28:06at the impact on not just that group of millennials and younger, but on
1:28:06 > 1:28:09those people that are of state pension age as well and to look at
1:28:09 > 1:28:11the impact on them of any changes to taxes that are coming through.
1:28:11 > 1:28:13Looking specifically at other things, the honourable member
1:28:13 > 1:28:15mentioned issues around women, and it is clear that there is still a
1:28:15 > 1:28:18gender pay gap, and companies have got to publish this information and
1:28:18 > 1:28:20I think that is really important, but actually, the obligation is that
1:28:20 > 1:28:23I have seen thus far from companies have caused me more concern than the
1:28:23 > 1:28:25situation that was previously in. We saw one company recently produce a
1:28:25 > 1:28:31gender pay report that really stated that men in their organisation were
1:28:31 > 1:28:34paid significantly more than women, and they said it wasn't an equal pay
1:28:34 > 1:28:38issue, because the men were overwhelmingly doing higher paid
1:28:38 > 1:28:47jobs, it was an a travel company, they were pilots, whereas women
1:28:47 > 1:28:5495% of their pilots were men and over 85% of their cabin crew were
1:28:54 > 1:28:58women. That is still a major issue because it means that women are
1:28:58 > 1:29:01finding it very difficult to become pilots and men are not finding it
1:29:01 > 1:29:06that easy to become cabin crew either, so the real issue here, and
1:29:06 > 1:29:10even though this data has been published which I do welcome, it has
1:29:10 > 1:29:15highlighted institutional issues which there are as well as issues
1:29:15 > 1:29:20around equal pay. So any impact analysis the Government does need to
1:29:20 > 1:29:26take into account all of these things. Some of these decisions the
1:29:26 > 1:29:30Government has taken previously, such as the changes around the
1:29:30 > 1:29:34marriage allowance, and I do welcome the proposals made to that in this
1:29:34 > 1:29:40Finance Bill, however, the creation of the marriage allowance is
1:29:40 > 1:29:47something that disproportionately has a negative impact on single
1:29:47 > 1:29:52female parents, actually. That is a concern for the SNP with issues
1:29:52 > 1:29:55around the idea of a marriage allowance and we don't think it is
1:29:55 > 1:29:58something which has been properly thought through because of the lack
1:29:58 > 1:30:05of fairness in the system.She's making a very good point on the
1:30:05 > 1:30:11marriage allowance as ever and it creates an inequality that I is a
1:30:11 > 1:30:16married woman suddenly get this advantage over an unmarried person,
1:30:16 > 1:30:22that is an unfairness in the tax system. We shouldn't be in the
1:30:22 > 1:30:27business of telling people how financially beneficial marriages.I
1:30:27 > 1:30:30absolutely agree with my honourable friend that people ultimately
1:30:30 > 1:30:34shouldn't have to get into whether it's a marriage arrestable
1:30:34 > 1:30:38partnership or any kind of signing on a dotted line relationship to get
1:30:38 > 1:30:43a tax break. That should not be the case. People should have the choice.
1:30:43 > 1:30:48This is the disproportionately positive effect on the people who
1:30:48 > 1:30:53are married, particularly men, and it's women who are disadvantaged
1:30:53 > 1:30:55because they cannot receive this allowance. Looking at some of the
1:30:55 > 1:31:02other things within the New Clause that have been laid down, I have
1:31:02 > 1:31:05previously talked particularly during the custom spill about the
1:31:05 > 1:31:08differential regional impact that there will be Brexit particularly.
1:31:08 > 1:31:14It is the case with the leaked Government analysis that we have
1:31:14 > 1:31:19seen that there will be a significantly higher negative impact
1:31:19 > 1:31:23according to that leaked analysis on areas in the North of England for
1:31:23 > 1:31:27example that there will be in areas like London and the South of
1:31:27 > 1:31:30England. I think therefore when the Government is making policies,
1:31:30 > 1:31:34actually what it should be doing is it should be making sure it's trying
1:31:34 > 1:31:38to balance that out and therefore trying to put in place policies that
1:31:38 > 1:31:43are more beneficial to those areas in order to try to counterbalance
1:31:43 > 1:31:48the major negative effect that Brexit will have. We need to have a
1:31:48 > 1:32:00situation where particularly some of the people in those areas... We
1:32:00 > 1:32:05would be able to see more appropriately, more clearly what the
1:32:05 > 1:32:10Government's thoughts on the impacts are, and part of the problem is that
1:32:10 > 1:32:13the Government doesn't actually know what the impact will be on some of
1:32:13 > 1:32:16these policies. They don't know what the differential impact will be
1:32:16 > 1:32:20because they haven't looked at it. If they do have all of this
1:32:20 > 1:32:24analysis, it should be very easy for them just to publish it and give it
1:32:24 > 1:32:30to us that we can scrutinise it and make the best decisions.Thank you
1:32:30 > 1:32:35for giving way. You talk about regional disparity. Do you think
1:32:35 > 1:32:38that the SNP policy of increasing taxes in Scotland is a way of
1:32:38 > 1:32:45narrowing that disparity?I have raised particularly my concerns
1:32:45 > 1:32:50around those earning £26,000 a year in England who will now pay more tax
1:32:50 > 1:32:56in England and they will do in Scotland... I'm sorry, Mr Speaker, I
1:32:56 > 1:33:01being shouted at across the top of the chamber. Those people at the
1:33:01 > 1:33:04bottom of the pile earning under £26,000 a year in England will pay
1:33:04 > 1:33:08more tax in England and they will in Scotland and I do not think that is
1:33:08 > 1:33:14fair because I think those people most need the support of the
1:33:14 > 1:33:17Government, especially with the changes to tax credits, especially
1:33:17 > 1:33:22with the negative impacts there are two people who are disabled who are
1:33:22 > 1:33:27losing £30 per week. This is a significant issue for the most
1:33:27 > 1:33:29vulnerable people and that the Conservatives to shout about the
1:33:29 > 1:33:34fact that tax rates for those who are earning a reasonable income are
1:33:34 > 1:33:37slightly higher in Scotland that they are in England I think it's
1:33:37 > 1:33:43very clear that they are supporting a different system which doesn't
1:33:43 > 1:33:45involve as much fairness as the system which we are trying to
1:33:45 > 1:33:50support in Scotland. Going on with the process of budget straightening
1:33:50 > 1:33:56and the process of scrutiny around the Finance Bill in general, I have
1:33:56 > 1:33:59previously raised the difference lay my concerns around the fact the
1:33:59 > 1:34:07Finance Bill doesn't look to take evidence. I think it would be much
1:34:07 > 1:34:11better if it did and I would like to see take evidence from organisations
1:34:11 > 1:34:15like the women's budget group that can talk about the gender disparity
1:34:15 > 1:34:19in some tax decisions that are being made. But I honestly don't think
1:34:19 > 1:34:23that is enough. It's not enough to have that scrutiny after the event.
1:34:23 > 1:34:30You still have a situation where despite moving to one of event in a
1:34:30 > 1:34:36year, which I welcome that change, you do not have the level of
1:34:36 > 1:34:40consultation that you could tap before tax measures are suggested
1:34:40 > 1:34:43and put in place, before we come to the actual stage of the Chancellor
1:34:43 > 1:34:49standing up and revealing the budget.Mr Speaker, I thank the Arab
1:34:49 > 1:34:55member for giving way. -- I thank the honourable member for giving
1:34:55 > 1:35:06way. There is a revenue follow on from that because road improvements
1:35:06 > 1:35:10mean it is quicker for people to get to hospital and so on. But the
1:35:10 > 1:35:16honourable member agree with me that it would be helpful if some
1:35:16 > 1:35:19financial consideration had been given in the Finance Bill to what
1:35:19 > 1:35:22the reduction of this money would mean to the Exchequer and indeed
1:35:22 > 1:35:26what that would mean to the Scottish Government being able to rip -- to
1:35:26 > 1:35:31replace this funding somehow.I agree with the point the honourable
1:35:31 > 1:35:34member is making. I think the point I was making earlier about the
1:35:34 > 1:35:44differences any impact of Brexit relates to this. It's important with
1:35:44 > 1:35:49trading with the EU but also with the money coming from the EU for
1:35:49 > 1:35:53things like infrastructure products -- projects, it's important those
1:35:53 > 1:35:58are not capped by the Government and it's important that when the
1:35:58 > 1:36:02Chancellor stands up and gives what will be his spring statement, which
1:36:02 > 1:36:05will probably be very light in terms of the tax changes it will put in
1:36:05 > 1:36:11place, because that's what the business community are generally
1:36:11 > 1:36:13asking for, but it will be incredibly important when it comes
1:36:13 > 1:36:17to the Autumn Statement and the budget that the Chancellor does as
1:36:17 > 1:36:23much consultation as he can beforehand. He will be speaking not
1:36:23 > 1:36:28just to Conservative MPs, which I am aware that he does, he does also
1:36:28 > 1:36:32speak to business organisations, he also needs to speak to others and he
1:36:32 > 1:36:35should be consulting on the tax measures he's looking to put in
1:36:35 > 1:36:40place as well as the taking of this amendment, which ensures there is an
1:36:40 > 1:36:47impact analysis afterwards.I am very grateful. I wonder if she could
1:36:47 > 1:36:51explain the consultation that the Scottish Government undertook before
1:36:51 > 1:36:56they increased the taxes there, which many of my constituents do
1:36:56 > 1:37:01think is fair? Despite the call for consultation, the Scottish
1:37:01 > 1:37:08Government consultation have not reflected any changes.Before the
1:37:08 > 1:37:12Scottish Government's folk that there was, what happened was a
1:37:12 > 1:37:19rationale outline of the white was proposing changes, it consulted each
1:37:19 > 1:37:22of parties within Parliament, asking each of them for their tax plans so
1:37:22 > 1:37:28they could be analysed, and actually this put forward, I'm not entirely
1:37:28 > 1:37:32sure it might have in October or November, whereas the actual vote
1:37:32 > 1:37:37was now, is just taken place, giving a significant amount of time between
1:37:37 > 1:37:41the consultation document and the best discussions on this being
1:37:41 > 1:37:45produced and the actual vote in parliament, whereas what happened
1:37:45 > 1:37:51here, we have the budget debate and then we have the vote. The vote on
1:37:51 > 1:37:56the ways and means resolution, some of the proposals that are being put
1:37:56 > 1:38:02in place from that day are being put in place from that date. It's a very
1:38:02 > 1:38:04different situation in the Scottish parliament where there is a length
1:38:04 > 1:38:16of time for consultation because a draft resolution is -- a draft
1:38:16 > 1:38:19budget is produced. Any party is able to do that in the Scottish
1:38:19 > 1:38:23parliament. Some have chosen to and some had chosen not to. I would
1:38:23 > 1:38:28suggest those who have not might be struggling to balance the books at
1:38:28 > 1:38:31Thule or they might have just decided that houses clearly the best
1:38:31 > 1:38:37option. Mr Speaker, I don't want to take any more time. I think the call
1:38:37 > 1:38:43for a quality assessments actually call for more transparency and
1:38:43 > 1:38:45information, not just for the opposition scrutinising the budget
1:38:45 > 1:38:51but also for the Government ministers who could be taking better
1:38:51 > 1:38:54decisions if they could see all of the impact, particularly those with
1:38:54 > 1:39:02protected characteristics.Helen Wigley. Thank you, Mr Speaker. I
1:39:02 > 1:39:06just wanted to make a few brief comments, especially as I was unable
1:39:06 > 1:39:12to intervene earlier run on the Shadow Minister. But I was hoping to
1:39:12 > 1:39:16say at that point, so I'll say it briefly now, I was quite shocked by
1:39:16 > 1:39:24some of the accusations she made and also what I consider unsubstantiated
1:39:24 > 1:39:28claims about a rather illusionary bright future under the idea of a
1:39:28 > 1:39:34Corbyn Government. I'm afraid I felt she ignored the legacy of the
1:39:34 > 1:39:40previous Labour Government because it was that Labour Government that
1:39:40 > 1:39:44failed to build homes now, it failed on jobs and left many thousands of
1:39:44 > 1:39:53families jobless when the Conservative Government took over.
1:39:53 > 1:39:55Unfortunately it increased inequality in our society.I'm happy
1:39:55 > 1:40:02to give way. I'm grateful to the Member for giving way. Actually, the
1:40:02 > 1:40:08number of home owning households under the last Government increased
1:40:08 > 1:40:12by 1 billion. It has fallen under a Conservative Government and I felt
1:40:12 > 1:40:18it was -- increased by 1 million. It has fallen under the Conservative
1:40:18 > 1:40:25Government and I felt it was important to clarify that.It is
1:40:25 > 1:40:31important that we try to focus the exchanges on New Clause 92 which
1:40:31 > 1:40:37with laser-like in tendency -- intensity, I know she will now turn.
1:40:37 > 1:40:45She has made a different point from the point I made, however, because
1:40:45 > 1:40:51mine was about the building of houses. By contrast, this House,
1:40:51 > 1:40:54this Government has made progress on the gender pay gap. This Government
1:40:54 > 1:40:59is one that is requiring companies, for instance, to publish the data on
1:40:59 > 1:41:04the gender pay gap and as we well know and was mentioned earlier this
1:41:04 > 1:41:08afternoon, transparency is a huge driver of change. We have seen that
1:41:08 > 1:41:13in many sectors, not just in the health sector where most of my
1:41:13 > 1:41:19experiences. This Government is raising the national living wage and
1:41:19 > 1:41:26we know that disproportionately benefits women. This argument --
1:41:26 > 1:41:31Government has taken the lowest paid out attacks. It is this Government
1:41:31 > 1:41:36that are making sure that for houses on the lowest incomes, every £1 they
1:41:36 > 1:41:41pay on tax, they benefit to £4 worth of public spending. And it is this
1:41:41 > 1:41:46Government that has overseen a huge expansion in job so that a million
1:41:46 > 1:41:49more are reworked and significantly to the point she was making about
1:41:49 > 1:41:53children, many more children now are in households where there is
1:41:53 > 1:41:58somebody in the household working, far fewer are in workless households
1:41:58 > 1:42:03and we know that work is a key out of poverty. I give way to my
1:42:03 > 1:42:07honourable friend over there.
1:42:07 > 1:42:11I thank her forgiving way. Does she recognise also that it is this
1:42:11 > 1:42:14Government that has overseen the greatest expansion of women in work
1:42:14 > 1:42:21since records began?My noble friend makes a very good point, and in fact
1:42:21 > 1:42:27policies that we have put in place to help women, for instance the
1:42:27 > 1:42:30extra free childcare for three-year-olds, which benefits both
1:42:30 > 1:42:35parents but we know it is women who are often the main child carer so it
1:42:35 > 1:42:40particularly helps women with an ambition to work.I'm grateful to my
1:42:40 > 1:42:45noble friend forgiving way. She recognise also that since the last
1:42:45 > 1:42:49Labour government was in power, youth unemployment has been cut in
1:42:49 > 1:42:52half. That generates opportunities, the dignity of work, the chance to
1:42:52 > 1:42:55get on and also the chance for women and children to achieve their best
1:42:55 > 1:43:00in society.I thank my honourable friend for making such an important
1:43:00 > 1:43:06point. This Government has given thousands of young people the
1:43:06 > 1:43:11opportunity to have a job. I remember it was not that long ago
1:43:11 > 1:43:20that everyone was talking all the time about Neets, the big debate was
1:43:20 > 1:43:27on all those young people who were not in education or training.I
1:43:27 > 1:43:31thank the member forgiving way. She has mentioned the power of numbers
1:43:31 > 1:43:35to be able to track progress. New clause nine is about the power of
1:43:35 > 1:43:39numbers to be able to track progress in tackling inequality, so if she
1:43:39 > 1:43:42thinks those numbers are so important in the battle to ensure we
1:43:42 > 1:43:45didn't leave young people behind, why do she not think the same when
1:43:45 > 1:43:52it comes to women and ethnic minorities?I'm not surprised by my
1:43:52 > 1:43:57honourable friend's intervention, and I think the point is that there
1:43:57 > 1:44:02is a thorough impact analysis of the budget, and no point in endlessly
1:44:02 > 1:44:07going things around things again and again, where does it get us?I think
1:44:07 > 1:44:13the honourable lady forgiving way. Would she agree that bearing in mind
1:44:13 > 1:44:18with what she was talking about women in business, this Government
1:44:18 > 1:44:24has seen compared to 2003-2006 under the Labour government, if you
1:44:24 > 1:44:29compare that time to 2013-2016, the number of women in business and
1:44:29 > 1:44:33entrepreneurship has grown by over 40%. Does she agree with me that
1:44:33 > 1:44:36this shows this Government's commitment to women in business?
1:44:36 > 1:44:43Another very well-informed point from a colleague about women in the
1:44:43 > 1:44:46workplace supported by this Government. I think the headline
1:44:46 > 1:44:50point that I was keen to make is that this Government has a track
1:44:50 > 1:44:56record in reducing inequality, and I'm keen to make sure that we base
1:44:56 > 1:45:02what I say therefore on the track record, a track record of improving
1:45:02 > 1:45:06lives for people on the lowest incomes, and reducing inequality.
1:45:06 > 1:45:12And let's talk not about...I thank the honourable lady forgiving way.
1:45:12 > 1:45:17Though she agree that it is not just about income but it is about
1:45:17 > 1:45:20equality of opportunity and aspiration as well?I absolutely
1:45:20 > 1:45:25agree the you shouldn't just look at the outcomes, but in order to get to
1:45:25 > 1:45:28a better outcome, the key is absolutely to give people
1:45:28 > 1:45:33opportunities to make the most of their lives. But particularly helps
1:45:33 > 1:45:36those who have a difficult start or find themselves in a difficult
1:45:36 > 1:45:46situation, who may need extra help to access the but opportunity is
1:45:46 > 1:45:49absolutely the key. And then rather than painting a picture that can
1:45:49 > 1:45:53mislead people into thinking that there is some illusion of a perfect
1:45:53 > 1:45:59world, but rather to base claims unsubstantial policies, I know it is
1:45:59 > 1:46:02controversial, but Universal Credit for instance in my constituency is
1:46:02 > 1:46:06making a difference the people who want to work and want to work more
1:46:06 > 1:46:10hours. I have heard many criticisms of it but genuinely it is making a
1:46:10 > 1:46:16difference in terms of giving people opportunity to increased the work
1:46:16 > 1:46:19they do, and the opportunities coming through thanks to the
1:46:19 > 1:46:23industrial strategy, these are the concrete policies which are going to
1:46:23 > 1:46:28make life better for people, and that is how we reduce inequalities,
1:46:28 > 1:46:31and that is why I'm delighted support the Government throughout
1:46:31 > 1:46:38this Finance Bill.Thank you very much, Madam Deputy Speaker. I thank
1:46:38 > 1:46:42you for the chance of being able to speak on new clause nine in this
1:46:42 > 1:46:50debate. As it has been put forward, I appreciate we should look at the
1:46:50 > 1:46:53distribution and the impact of some of the budget impacts, and that is
1:46:53 > 1:46:58what the Treasury already does. At every budgetary event, it does look
1:46:58 > 1:47:02at the impact on the distribution across the United Kingdom, and ONS
1:47:02 > 1:47:05statistics also look at the distribution and impact across
1:47:05 > 1:47:08different household as well. I would also say that when we're talking
1:47:08 > 1:47:12about making sure we shine a light on these issues and target equality,
1:47:12 > 1:47:15I know that I and many members in this House share your passion for
1:47:15 > 1:47:18this, this is the Government that have put the pressure on companies
1:47:18 > 1:47:22to make these publications, and although there isn't full compliance
1:47:22 > 1:47:26yet, I'm sure my right honourable friend will continue to put pressure
1:47:26 > 1:47:34on the sector, and as a referred to earlier, some follow some of the
1:47:34 > 1:47:37industry-leading programme such as Crossrail and add pressure to show
1:47:37 > 1:47:41companies what best practice is in the UK and internationally. And just
1:47:41 > 1:47:46pick up on some broader points about the pay gap, especially gender pay
1:47:46 > 1:47:49gap, I hope honourable members opposite would have seemed a recent
1:47:49 > 1:47:53study quoted in the FT just a month ago, I would be happy to share it
1:47:53 > 1:47:56with them, looking at male and female pay rates, which are equal up
1:47:56 > 1:48:08until middle to senior manager level, after which
1:48:09 > 1:48:12there was a big gap, and the biggest disparity in where some of the most
1:48:12 > 1:48:15uneven gaps appear at the very senior roles, as in CEO and CFO
1:48:15 > 1:48:18roles. And one of the key drivers in that study was women taking
1:48:18 > 1:48:20maternity leave, so we have already identified the problem in the pay
1:48:20 > 1:48:22gap, we should be looking at policies to increase more flexible
1:48:22 > 1:48:26working and having women back into the workplace after taking maternity
1:48:26 > 1:48:29leave. I know colleagues on the front bench have been looking at
1:48:29 > 1:48:35this and reflected that in some of the budget. More broadly, and to
1:48:35 > 1:48:37focus on points made by the honourable member for Aberdeen
1:48:37 > 1:48:41North, comments on tax and equality, to be very clear, and this new
1:48:41 > 1:48:45clause nine was making reference every part of the United Kingdom,
1:48:45 > 1:48:48some of the tax increases that have been put up in Scotland, they have
1:48:48 > 1:48:53been quoted to make a much fairer society. Just clarity in this House,
1:48:53 > 1:48:58the tax changes that have been putting mean the lowest incomes in
1:48:58 > 1:49:07Scotland get £20 more per year. That's it. That's 38p per week. So
1:49:07 > 1:49:12when they stand in this House and lecture on this being unfair, let's
1:49:12 > 1:49:16remember the tax changes they brought in bring £20 a year, the tax
1:49:16 > 1:49:22changes of the Conservative have brought in bringing £1500 per year
1:49:22 > 1:49:25with the tax threshold, so let's leave the SNP debate on the
1:49:25 > 1:49:29sidelines while the Conservatives bring about truly transformational
1:49:29 > 1:49:33change. And also on the marriage allowance, I'm glad the honourable
1:49:33 > 1:49:36member brought it up, because the party has been in the papers about
1:49:36 > 1:49:40the marriage allowance just weekend, where the Chancellor of the
1:49:40 > 1:49:43exchequer of the UK Government had to stand up and guarantee to people
1:49:43 > 1:49:47living in Scotland that they would bridge the gap created in marriage
1:49:47 > 1:49:52allowance by the tax changes that were imposed by Holyrood, by the SNP
1:49:52 > 1:49:55administration in Hollywood, so yet again it is the UK Exchequer that is
1:49:55 > 1:50:04having to stump up for SNP failures in Scotland. And finally when we're
1:50:04 > 1:50:07talking about fairness, it is important to recognise that it is
1:50:07 > 1:50:09this budget that is bringing a real terms increase to Scotland which has
1:50:09 > 1:50:11been recognised by the Finance Secretary in the Scottish
1:50:11 > 1:50:17Parliament, that there is a real terms increase. So on top of the
1:50:17 > 1:50:21£1750 per head spending that we get already, we're getting a further
1:50:21 > 1:50:26increase in real terms to spend on front line services in Scotland. And
1:50:26 > 1:50:32finally, I am conscious of time, but one important area that I think does
1:50:32 > 1:50:36impact on equal issues is that an tax avoidance, that has been picked
1:50:36 > 1:50:39up in the budget, and that is tax avoidance generally but also on the
1:50:39 > 1:50:46VAT provision as well, which is a member Public Accounts Committee, we
1:50:46 > 1:50:50pay specific interest in. And the provisions that have been put about
1:50:50 > 1:50:54targeting VAT avoidance especially for international payment platforms
1:50:54 > 1:50:56and for international marketplaces give the Exchequer a good
1:50:56 > 1:50:59opportunities target those who currently are not paying VAT that
1:50:59 > 1:51:03should, and will hopefully bring more money into UK coffers, and
1:51:03 > 1:51:10allow us to close the equality gap further still.Thank you, Madam
1:51:10 > 1:51:14Deputy Speaker, for calling me. I wish to put on record my
1:51:14 > 1:51:17appreciation that we are all concerned with equality, and
1:51:17 > 1:51:20striving equality across the country, but we on the side of the
1:51:20 > 1:51:24House clearly differ from the other side in how to achieve this. So
1:51:24 > 1:51:28let's look at our record, Madam Deputy Speaker. I am very proud to
1:51:28 > 1:51:32be part of a government that is one of the most progressive that we have
1:51:32 > 1:51:45seen, so the record speaks for itself in what we have done.
1:51:51 > 1:51:53It is not about slogans and words, it is about real progress and real
1:51:53 > 1:51:56change on the ground in people's lives. That is what we care about on
1:51:56 > 1:51:59this side of the House. So we have talked about a review that the other
1:51:59 > 1:52:02side would like us to bring in for every piece of legislation. I think
1:52:02 > 1:52:05it is clear to all of us that this already happens, the Treasury
1:52:05 > 1:52:07already publishes the impact analysis, and looks at the impact on
1:52:07 > 1:52:09the policies. I'm happy to give way. I'm grateful to the honourable
1:52:09 > 1:52:11member forgiving way. The simple fact is that the Treasury does
1:52:11 > 1:52:16publish distributional analysis on the side of the budget. What it
1:52:16 > 1:52:21doesn't do is do a breakdown of the budget in terms of its impact all
1:52:21 > 1:52:23the whole range of protected characteristics defined by the
1:52:23 > 1:52:26equalities act. That is what new clause nine addresses. The
1:52:26 > 1:52:30Government doesn't presently do this, and indeed of the Government
1:52:30 > 1:52:34does as members opposite seems to be saying, do this, they will have no
1:52:34 > 1:52:38trouble voting for this new clause, because they say it is up to the
1:52:38 > 1:52:43Government is already doing.I come back to the point that we are
1:52:43 > 1:52:46already publishing the analysis, and the Treasury is working on looking
1:52:46 > 1:52:50at the impact across a whole range of levels, but Madam Deputy Speaker,
1:52:50 > 1:52:55I wish to come to my Maynard event, which is that we need to look at the
1:52:55 > 1:52:58record of this Government and what it has already delivered. We have
1:52:58 > 1:53:02seen under this Government more women in work, the point I made to
1:53:02 > 1:53:05the honourable friend earlier, that is women aiming to get into work
1:53:05 > 1:53:08because of a wide variety of policies that we have introduced
1:53:08 > 1:53:19including childcare, help to get
1:53:20 > 1:53:23into work and retraining at all times of life. We have also seen a
1:53:23 > 1:53:25massive change in income inequality. Income inequality is the lowest it
1:53:25 > 1:53:33has been for many years under this Government. And since 20 -- 2010,...
1:53:33 > 1:53:37Does she not also agree with me that this budget increase the national
1:53:37 > 1:53:42Living Wage by 4.4%, well above the rate of inflation, and that that
1:53:42 > 1:53:45disproportionately assist people from an ethnic minority background,
1:53:45 > 1:53:50people like myself who often find themselves in low paid work, and
1:53:50 > 1:53:53this is a testament to the work the Government is doing.I thank her for
1:53:53 > 1:53:58that intervention, and she makes a very, very important point. She said
1:53:58 > 1:54:03that the national living wage actually helps people from all
1:54:03 > 1:54:10sectors of society, including those from protected characteristics,
1:54:10 > 1:54:12especially from protected characteristics. So Madam Deputy
1:54:12 > 1:54:16Speaker I believe that our record speaks for itself on these
1:54:16 > 1:54:19policies... I think the honourable lady was first.I thank the
1:54:19 > 1:54:22honourable lady forgiving way. She is promoting the Government's
1:54:22 > 1:54:28record. One of the reasons why we on this side want to get explicit
1:54:28 > 1:54:30equality impact assessment, not the Tyms assessment which I think she
1:54:30 > 1:54:33has been told the Government does produce is because the evidence
1:54:33 > 1:54:37showing counter to what she is suggesting. We know for example the
1:54:37 > 1:54:42gender pay gap between women in their 20s and men in their 20s has
1:54:42 > 1:54:45actually started to grow under this Government. It is now five times
1:54:45 > 1:54:53what it was six years ago. I don't know where the honourable gentleman
1:54:53 > 1:54:57from Scotland got his statistics, but I got mine from the ONS. We
1:54:57 > 1:54:59Government policy is either promoting that or helping to deal
1:54:59 > 1:55:04with that, understanding that would help us all make progress.I thank
1:55:04 > 1:55:07for that intervention, she is a passionate advocate for the gender
1:55:07 > 1:55:10pay gap, and my speech will come onto those were Mark Short. I'm
1:55:10 > 1:55:16aware that the gentleman here wants to... .I'm grateful to my
1:55:16 > 1:55:20honourable friend forgiving way. It is important to see the wood for the
1:55:20 > 1:55:24trees here. Precisely the point that she has indicated, women on lower
1:55:24 > 1:55:30wages, instead of paying income tax at £6,470 as they did under Gordon
1:55:30 > 1:55:36Brown now don't start paying income tax until £11,500, gaining over
1:55:36 > 1:55:40£1000 in the process. And the suggestion that we need a whole load
1:55:40 > 1:55:44of impact assessment has given the lie by the fact that a lot of data
1:55:44 > 1:55:46is published by the Office for National Statistics. If the
1:55:46 > 1:55:48honourable lady wishes to make a point about it in the House of
1:55:48 > 1:55:54Commons, she is able to do so.I thank my honourable friend for that
1:55:54 > 1:55:58intervention. He is reinforcing the point that I'm seeking to make,
1:55:58 > 1:56:01which is that it is about pounds in the pocket of people up and down the
1:56:01 > 1:56:05country, and that is what this Government has done, informed by
1:56:05 > 1:56:09fairness from the day that we have come into Government. I will not
1:56:09 > 1:56:14take any more interventions, because time is short, thank you. OK, this
1:56:14 > 1:56:18is the last one.The honourable gentleman is ever needed
1:56:18 > 1:56:22clarification on this point. There is data out there that shows us that
1:56:22 > 1:56:30the gender pay gap is growing. What we are asking for is analysis of how
1:56:30 > 1:56:33Government policy is impacting that so that we can understand it. I hope
1:56:33 > 1:56:37that Claris him and for the lady opposite why this matters.I thank
1:56:37 > 1:56:40her for that point, and I will now move to the part of my speech where
1:56:40 > 1:56:45I will be talking about the gender pay gap. This is something I care
1:56:45 > 1:56:48absolutely passionately about. I am chair of the APPG for women in
1:56:48 > 1:56:52Parliament, we were cross-party across this issue, and a wider remit
1:56:52 > 1:56:58for all of us that especially in this year, the vote 100 year, we
1:56:58 > 1:57:03take this seriously. So the gender pay gap is an issue that has now
1:57:03 > 1:57:08been addressed specifically by this Government, by a Conservative
1:57:08 > 1:57:10Government, a progressive Government, Madam Deputy Speaker,
1:57:10 > 1:57:13that wants to see real change in our country, that actually wants to put
1:57:13 > 1:57:20an end to the situation that the honourable lady... I'm sorry. But
1:57:20 > 1:57:23the honourable lady has said, and she is right to talk about the fact
1:57:23 > 1:57:28that we have got men in higher paying roles, and women in lower
1:57:28 > 1:57:33paying roles. However, I do not believe this will be fixed by the
1:57:33 > 1:57:37clause that the opposition are proposing. It wouldn't be fixed
1:57:37 > 1:57:41because it is a complex issue, Madam Deputy Speaker, that requires a
1:57:41 > 1:57:58range of interventions and a range of change across the board.
1:57:58 > 1:58:03I would be happy to share the study in the FT, it didn't say the gender
1:58:03 > 1:58:09pay gap was closing, what it said was that men and women up to a
1:58:09 > 1:58:11certain seniority were earning pretty much the same amount in much
1:58:11 > 1:58:14sectors but actually it was that outliers that were making a lot of
1:58:14 > 1:58:19the pay gap. The honourable lady may shake her head but she talks about
1:58:19 > 1:58:23clarifying figures and where they're from Angie called up my honourable
1:58:23 > 1:58:27colleague, so I wanted to make sure she had pure clarification as well
1:58:27 > 1:58:31and to be very clear, I'm the honourable member for a kill and
1:58:31 > 1:58:36South Perthshire, not all of Scotland.I thank my honourable
1:58:36 > 1:58:39friend for about intervention and it's clear we all take this very
1:58:39 > 1:58:42seriously. I wish to come back to the point made by the honourable
1:58:42 > 1:58:51lady when she spoke about the gender pay back -- pay gap when I
1:58:51 > 1:58:56intervened earlier. She said the Government has no teeth to act when
1:58:56 > 1:59:00companies don't publish the data but it's my understanding that the
1:59:00 > 1:59:04Government does have teeth to act, something called the equality and
1:59:04 > 1:59:09human rights commission. It act where companies failed to publish
1:59:09 > 1:59:13that data. I urge the ministers from the Treasury to make sure they are
1:59:13 > 1:59:17paying close attention to that. I'm aware from the work I've done in my
1:59:17 > 1:59:21committee, the base committee, that a number of companies have published
1:59:21 > 1:59:25that data which is great news. That's now in the public domain.
1:59:25 > 1:59:28It's something the Conservative Government have done. The Labour
1:59:28 > 1:59:32Government did not do that. Now many more companies are following suit
1:59:32 > 1:59:38and that is making a very big difference to the employees in that
1:59:38 > 1:59:41company. The equality and human rights commission can actually issue
1:59:41 > 1:59:45a notice and they can require implementation. I think the point my
1:59:45 > 1:59:50honourable friend from Keele and South Ayrshire made earlier is that
1:59:50 > 1:59:55this actually is a complex issue. I'd like to draw attention to
1:59:55 > 2:00:00members of the 30% club, set up by Helena Morrisey, who got a load of
2:00:00 > 2:00:04business leaders together and urged them to take voluntary action by
2:00:04 > 2:00:09putting women on boards and what she found was there was a no legal right
2:00:09 > 2:00:13governments mandate here, but because they all were about
2:00:13 > 2:00:16reputational damage and their image with their employees and culture,
2:00:16 > 2:00:23she saw significant change across the board with that issue. I believe
2:00:23 > 2:00:27as an employer myself before I came into this House, it isn't simply a
2:00:27 > 2:00:32matter of passing laws in the House or a Government review, it is about
2:00:32 > 2:00:36a societal and cultural change, so that's why I'm very proud that our
2:00:36 > 2:00:40Government led by our Prime Minister, the second beam out
2:00:40 > 2:00:45Conservative Prime Minister is leading from the front on this issue
2:00:45 > 2:00:49and companies across the board and businesses are following suit. So I
2:00:49 > 2:00:54think that the Government's record speaks for itself. It's not just
2:00:54 > 2:00:58about slogans, it's about enacting policies, Madam Deputy Speaker, that
2:00:58 > 2:01:03make a big difference. I worry that having analyses and additional
2:01:03 > 2:01:09burdens placed on the Treasury at this time when they have got to
2:01:09 > 2:01:12deliver a massive amount of priorities in order to make out tax
2:01:12 > 2:01:16scheme Sarah and achieve progressive outcomes we want to see would have
2:01:16 > 2:01:21the opposite effect. I've certainly seen myself the danger of unintended
2:01:21 > 2:01:24consequences when you wish to regulate and put more burdensome to
2:01:24 > 2:01:29businesses. I will finish by saying that I do not support the New Clause
2:01:29 > 2:01:379 and I will not be voting for it if there is a division.Thank you Madam
2:01:37 > 2:01:40Deputy Speaker. It is a great pleasure to be called on this debate
2:01:40 > 2:01:45and follow such wonderful speeches from my colleagues. From my point of
2:01:45 > 2:01:55view I do understand the Treasury publishes about tax welfare and I
2:01:55 > 2:01:59have never been shy of voting with the opposition if I believe they are
2:01:59 > 2:02:03right from my point of view, however I do not believe are right in this
2:02:03 > 2:02:08point of view. The reason for that is simply that I do not believe the
2:02:08 > 2:02:11review they are asking for which focuses predominantly on household
2:02:11 > 2:02:16income levels and issues around Treasury analysis is simply because
2:02:16 > 2:02:19it is providing more data and analysis and it's not actually going
2:02:19 > 2:02:24to help people on the lowest incomes or people from disadvantaged
2:02:24 > 2:02:27backgrounds move forward in life. For me, this seems to be very
2:02:27 > 2:02:32academic as opposed to actually helping people push forward and
2:02:32 > 2:02:38achieve opportunity. For me, the real issue is around inequality in
2:02:38 > 2:02:42life chances. At the moment, I believe the best way of changing
2:02:42 > 2:02:47your life chances is still three getting a better education and I am
2:02:47 > 2:02:52proud on the Government's record on the millions more children being
2:02:52 > 2:02:55educated in good or outstanding schools and that's something we
2:02:55 > 2:03:01should all be proud of. As I say, I am not shy of voting with your
2:03:01 > 2:03:05position if I believe they are right...Would my honourable friend
2:03:05 > 2:03:09agree with me that we have had a lot of investment in the schools sector
2:03:09 > 2:03:13which is helping to achieve the sort of result that he is talking about.
2:03:13 > 2:03:16For example in my constituency, Highfield School was rebuilt
2:03:16 > 2:03:26recently.I do agree with my colleague, we have seen massive
2:03:26 > 2:03:30investment in this area. I am proud of the number of primary schools
2:03:30 > 2:03:42expanded in my constituency constituency, rebuilt, and I am
2:03:42 > 2:03:46proud that all primary schools in my constituency are rated good or
2:03:46 > 2:03:50outstanding. Four of my six secondary schools are good and the
2:03:50 > 2:03:53other two we are currently dealing with, so I hope by the next
2:03:53 > 2:03:56election, I will be one of the few members of Parliament where every
2:03:56 > 2:04:01single child in my constituency is getting taught in a good or
2:04:01 > 2:04:06outstanding school. I come back to the equality of opportunity and
2:04:06 > 2:04:10equality of aspiration and I do not believe this New Clause 9 provides
2:04:10 > 2:04:14that equality of opportunity and aspiration. I don't believe it would
2:04:14 > 2:04:28help anybody in my constituency from equality and... Am I taking an
2:04:28 > 2:04:35intervention?Does he recall a previous Prime Minister who argue
2:04:35 > 2:04:48that sunlight was the best... Their parents might be an issue in helping
2:04:48 > 2:04:52him understand how they get better schools?I know myself and the
2:04:52 > 2:04:56honourable lady agree on a lot of things that we disagree on others
2:04:56 > 2:05:00and we have debated across this chamber and in committee rooms. I
2:05:00 > 2:05:07don't think these figures will help those children. They are
2:05:07 > 2:05:11retrospective to talk about what is happening... I am happy to take an
2:05:11 > 2:05:20intervention.I just want to clarify, equality impact assessment
2:05:20 > 2:05:24seeks to look at the implementation of policies, have an assessment, see
2:05:24 > 2:05:31whether it has helped or hindered progress. That's all it does. It's a
2:05:31 > 2:05:40good thing. It's not a burden, it's good decision-making.I think the
2:05:40 > 2:05:49difference of opinion I have is that I think a good deal will give much
2:05:49 > 2:05:56better aspiration to children and when we are looking at forecasts of
2:05:56 > 2:05:59economists. In the 80s I have been a member of Parliament, the figures
2:05:59 > 2:06:04never seem to right ever -- in the eight years I have been a member of
2:06:04 > 2:06:07Parliament, the figures never seem to be right ever. I would like to
2:06:07 > 2:06:12talk for a moment about Universal Credit. I campaigned about some of
2:06:12 > 2:06:16the issues on Universal Credit and I believe it as a product is the right
2:06:16 > 2:06:20thing to do and I think it was supported by both parties in the
2:06:20 > 2:06:26sense that it supported people who could not take on an extra hour or
2:06:26 > 2:06:29two of work because they lost all of their benefit. The idea behind it
2:06:29 > 2:06:33was that the benefit would be reduced over a certain period. I
2:06:33 > 2:06:41know there are issues and I hope the Minister has taken note of that
2:06:41 > 2:06:47because I continue to raise it with the Chancellor, but in terms of New
2:06:47 > 2:06:51Clause 9, Madam Deputy Speaker, getting back to the Treasury
2:06:51 > 2:06:54putts-mac impact assessment, Madam Deputy Speaker, I would just like to
2:06:54 > 2:06:57say Universal Credit is more in terms of helping people in their
2:06:57 > 2:07:06life chances than a document saying what happened and what could have or
2:07:06 > 2:07:12not hindered it.I'm happy to take the intervention. All I want to say,
2:07:12 > 2:07:16it is good governance to have a little actual policy at the impact
2:07:16 > 2:07:24job policy has on society.I think the honourable lady makes a very
2:07:24 > 2:07:28good point. I can't support this Clause because I don't think it will
2:07:28 > 2:07:32do anything to practically help people. I think it's just going to
2:07:32 > 2:07:36allow academics and economists to argue over a moot point where I'm
2:07:36 > 2:07:39interested in actually helping people from disadvantaged
2:07:39 > 2:07:42backgrounds who want to have the opportunity to go off and aspire to
2:07:42 > 2:07:46be anything they want to. I actually think it's fairly sad in this day
2:07:46 > 2:07:50and age that we are standing here discussing the fact that we need to
2:07:50 > 2:07:53identify whether certain sections of society need more support than
2:07:53 > 2:07:57others. We should be aiming to get to a society where...Happy to give
2:07:57 > 2:08:03way. I thank you very much Madam Deputy Speaker. I'm very grateful to
2:08:03 > 2:08:10the Member for given way. Given that 30% of cuts enacted by Conservative
2:08:10 > 2:08:16governments have fallen on the shoulders of women, would it not be
2:08:16 > 2:08:20helpful for those women and indeed asked as decision-makers to have
2:08:20 > 2:08:24known about it before the decisions to implement them were taken?The
2:08:24 > 2:08:34honourable lady makes a point and they are not because I necessarily
2:08:34 > 2:08:38like, but I do believe money has gone into Social Security and there
2:08:38 > 2:08:46are people on low incomes who are concerned about the 3% on council
2:08:46 > 2:08:50tax because it will have a negative impact on their incomes, although it
2:08:50 > 2:08:56helps other areas of society. This boat is an issue for academics and
2:08:56 > 2:09:01economists rather than helping people on the ground. I know some of
2:09:01 > 2:09:05you are shaking your head but you got involved in politics but the
2:09:05 > 2:09:09same reason I did which was to help people get off on -- get on in life
2:09:09 > 2:09:18and achieve the best they can do. Going back briefly to the welfare
2:09:18 > 2:09:22system, because that's my level of expertise, we want a welfare system
2:09:22 > 2:09:26that works. When you look at Universal Credit and the impact of
2:09:26 > 2:09:31New Clause 9 and the Treasury putts-mac distribution analysis,
2:09:31 > 2:09:36because it does provide an impact on that, my view is very much about
2:09:36 > 2:09:43developing policies that help get on in life and for me New Clause 9 is
2:09:43 > 2:09:46about providing information on what's affected people in the past
2:09:46 > 2:09:51over a number of years and by the time we vote on the next budget,
2:09:51 > 2:09:57it's moved on again. I'm happy to give way.I thank my honourable
2:09:57 > 2:10:00friend for giving way and he's making, as I think everybody knows,
2:10:00 > 2:10:06very powerful speech in this debate. Would he agree with me that this
2:10:06 > 2:10:10Clause nine is indicative of the fundamental difference between that
2:10:10 > 2:10:13side and this site? On this side of the House we care about action and
2:10:13 > 2:10:17doing things and improving people's lives and on that side of the House,
2:10:17 > 2:10:24they want more analysis question mark my honourable friend makes a
2:10:24 > 2:10:28very powerful point and you can understand why he was selected to be
2:10:28 > 2:10:36the member of Parliament for pigeon and Houston.I am proud that in this
2:10:36 > 2:10:40debate we have got three Hertfordshire MPs speaking in this
2:10:40 > 2:10:50debate.I'm happy to give way. Thank you, you are being very generous
2:10:50 > 2:10:56with your time. You are absolutely right. This New Clause highlights
2:10:56 > 2:11:01the difference between the Government and the opposition. The
2:11:01 > 2:11:05Government is making changes regardless of whether it hinders or
2:11:05 > 2:11:08hurts people, whereas on this side of the House we want to have
2:11:08 > 2:11:13policies that ensure that they help society.The honourable and makes a
2:11:13 > 2:11:17very powerful point which I respect but I will assure the honourable
2:11:17 > 2:11:21lady I only vote for a policy that I believe will help people and if I
2:11:21 > 2:11:25don't believe it will help people, I vote against it. I have a record of
2:11:25 > 2:11:30doing that and I will continue doing that. I am happy to give way.I am
2:11:30 > 2:11:34grateful to my honourable friend for giving way. I'm sure he would agree
2:11:34 > 2:11:39with me as many would that the Treasury produce excellent research
2:11:39 > 2:11:43documents. But when it comes to making further and further demands
2:11:43 > 2:11:48for research, isn't it indicative of the gap between the parties, that
2:11:48 > 2:11:55they are the researchers and we are the doers.
2:11:55 > 2:12:00I could never disagree with my noble friend. One of the issues I find
2:12:00 > 2:12:05with new clause nine which I find difficult is around
2:12:05 > 2:12:08intergenerational fairness, and I don't think the clause captures the
2:12:08 > 2:12:15issues we have as a society and the challenges facing the different
2:12:15 > 2:12:19generations, so you have some people who are living in large houses
2:12:19 > 2:12:24paying high council tax rates on very low and fixed incomes, and
2:12:24 > 2:12:27young people who may be quite affluent, but can't afford to
2:12:27 > 2:12:31purchase a property in their part of the country, whereas in a different
2:12:31 > 2:12:33part of the country, they could easily afford to purchase a
2:12:33 > 2:12:38property, but they may not be able to get a job, so they can't get a
2:12:38 > 2:12:41mortgage for that, so I think intergenerational fairness and
2:12:41 > 2:12:43ensuring that the Government done what is done to the Northern
2:12:43 > 2:12:47Powerhouse trying to spread the wealth throughout the country is
2:12:47 > 2:12:51important. So I do think is a Government this Conservative
2:12:51 > 2:12:55Government has tried very hard. He has not always got it right, and I
2:12:55 > 2:12:58have voted against them when I believe they have got it wrong, but
2:12:58 > 2:13:02I do think that what they have tried to do consistently is help people
2:13:02 > 2:13:06get on in life, provide a welfare system that wants to provide a
2:13:06 > 2:13:11safety net for those who need it in times of difficulty, and when it
2:13:11 > 2:13:14comes to education, providing people with the opportunity, because in
2:13:14 > 2:13:18this country, education is still the best way out of poverty, it is still
2:13:18 > 2:13:22the best opportunity you've got to change our life chances, and I'm
2:13:22 > 2:13:25proud of what they have done a insuring millions more children are
2:13:25 > 2:13:29being taught in good and outstanding schools. And when it comes to the
2:13:29 > 2:13:35economy itself, the fact that we have got record rates of employment,
2:13:35 > 2:13:40all those people out there earning tax and contributing to society...I
2:13:40 > 2:13:46thank the honourable gentleman forgiving way. He seems to be making
2:13:46 > 2:13:50quite a lengthy speech. He talks about equality and people getting on
2:13:50 > 2:13:53in life, and I respect the fact that he has rebelled against the
2:13:53 > 2:13:57Government when he sees fit, he has spoken about the importance of a
2:13:57 > 2:14:00good education with people coming out of university, but does he share
2:14:00 > 2:14:04my concern that the under 25 is not included in the national living
2:14:04 > 2:14:11wage?From my point of view, I think there are geographic issues around
2:14:11 > 2:14:14the national living wage, so I think in Hertfordshire it is much more
2:14:14 > 2:14:18expensive to live, and one of the challenges we have in Hertfordshire
2:14:18 > 2:14:20is a shocking challenge that I imagine a lot of people in the rest
2:14:20 > 2:14:25of the country would understand. My constituency is 19 minutes from
2:14:25 > 2:14:29King's Cross, and as a result, we lose a lot of our young people into
2:14:29 > 2:14:33London, so when I became a member of Parliament, there were yet less than
2:14:33 > 2:14:42200 apprentices per year is starting work in Stevenage, and we now have
2:14:42 > 2:14:45nearly a thousand a year, because it was the only way of holding onto our
2:14:45 > 2:14:48young people. Set if you are an apprentice in Stevenage and you were
2:14:48 > 2:14:51thinking about new clause nine, then the distribution all analysis, the
2:14:51 > 2:14:57impact on a young person in Stevenage would be if you become
2:14:57 > 2:15:01apprentice, they will pave you to get a level 4 degrees of you will be
2:15:01 > 2:15:07earning £25,000 a year, and you want get any university debt.I started
2:15:07 > 2:15:11my career as a modern apprentice, that their relatives under UK law,
2:15:11 > 2:15:17apprentices can still be paid as little as £3 50 per hour, so how
2:15:17 > 2:15:22does that fit in with building a country that works for everyone?
2:15:22 > 2:15:24£3.50 an hour would not be acceptable in Hertfordshire.
2:15:24 > 2:15:28Employees will have to pay far more than that to attract a young person
2:15:28 > 2:15:34or they just won't get them and that is the reality. We have the highest
2:15:34 > 2:15:39in Hertfordshire at 1.6%, unemployment rates...I think it is
2:15:39 > 2:15:42important that the honourable gentleman returns to the substance
2:15:42 > 2:15:48of the debate, new clause nine. Just mentioning it every now and then
2:15:48 > 2:15:49doesn't do the trick.
2:15:54 > 2:16:00You are very kind, Madam Deputy Speaker, and I had no intention of
2:16:00 > 2:16:06misleading you. I wanted to ensure the fact that the distribution all
2:16:06 > 2:16:10analysis of the cumulative impact Government's tax welfare is a
2:16:10 > 2:16:14wide-ranging topic and covers a big righty, and I was trying to make the
2:16:14 > 2:16:18point that I don't want to support new clause nine because it seems to
2:16:18 > 2:16:22be academic as opposed to helping the people from different
2:16:22 > 2:16:25backgrounds achieve their life chances. So on that note I shall sit
2:16:25 > 2:16:31down.Thank you, Madam Deputy Speaker. The speeches opposite been
2:16:31 > 2:16:37so rousing that I've been moved to my feet to take on the sheer
2:16:37 > 2:16:41absurdity of the arguments we have heard this afternoon. We have heard
2:16:41 > 2:16:44member after member stand up and tell us that they are opposing new
2:16:44 > 2:16:47clause nine because the Government already does it. If the Government
2:16:47 > 2:16:50already does it, then why aren't they supporting new clause nine? The
2:16:50 > 2:16:54fact is that the Government doesn't already do it. What the Government
2:16:54 > 2:16:58does is publish an impact assessment looking at the distribution of
2:16:58 > 2:17:01analysis of budget measurements by house is dependent on income. This
2:17:01 > 2:17:06measure was introduced by a previous Chancellor until the current
2:17:06 > 2:17:10Chancellor's predecessor decided it was politically inconvenient and got
2:17:10 > 2:17:12rid of it, and the present Chancellor, to his credit, decided
2:17:12 > 2:17:17to bring it back. That is interesting, it is useful, it
2:17:17 > 2:17:19informs Ministers were now making decisions, but it doesn't cover the
2:17:19 > 2:17:24measures that new clause nine addresses, and the fact is that the
2:17:24 > 2:17:28budget of a Government and the Finance Bill of a Government is a
2:17:28 > 2:17:30reflection of its political priorities. It tells the country
2:17:30 > 2:17:35about the problems it wants to address, and how it intends to do so
2:17:35 > 2:17:39through sufficient provision of resources. And the simple fact is
2:17:39 > 2:17:43that if the Government did an equalities impact assessment on its
2:17:43 > 2:17:46budget measures, we may not be in a position where women in their 50s
2:17:46 > 2:17:51are being clobbered by changes to their state pension age at a time in
2:17:51 > 2:17:54their life that gives them little time or opportunity to address it,
2:17:54 > 2:18:00and as a result of the Government's refusal to listen to argument and
2:18:00 > 2:18:03evidence and reason, I get constituents in my surgery on Friday
2:18:03 > 2:18:06afternoon, women in their 50s, who tell me that they have lost their
2:18:06 > 2:18:11job, they are not able to access their pension when they expect, they
2:18:11 > 2:18:15had planned to retirement and as a result there ends no longer meet.
2:18:15 > 2:18:19And there is nothing they can do about it at that stage, and had the
2:18:19 > 2:18:21Government consider the evidence they might have made a different
2:18:21 > 2:18:25decision. On government applied a measure of equality impact on their
2:18:25 > 2:18:31budget, we may not be in a position where disabled people have been
2:18:31 > 2:18:33consistently and repeatedly clobbered by changes to welfare and
2:18:33 > 2:18:38other areas of public policy. If the Government did as local authorities
2:18:38 > 2:18:43do, look at the equalities impact of their decision, they might take
2:18:43 > 2:18:47steps to mitigate against the impact on disabled people, but instead we
2:18:47 > 2:18:52see both nationally and locally disabled people are too often seeing
2:18:52 > 2:18:59the books balanced on their backs, which is totally unjustifiable
2:18:59 > 2:19:00the books balanced on their backs, which is totally unjustifiable. And
2:19:00 > 2:19:03if the Government looked at their impact of their measures on black
2:19:03 > 2:19:06and minority ethnic people, they may well defined as we have already
2:19:06 > 2:19:09addressed this afternoon that they take different approaches to the
2:19:09 > 2:19:12resources in education to address the imbalance is there. They may
2:19:12 > 2:19:17also find through analysis and research, words that have become an
2:19:17 > 2:19:21anathema to this Government and its approach to public policy making,
2:19:21 > 2:19:24some surprises, like detrimental changes to small businesses have a
2:19:24 > 2:19:29disproportional impact on BME communities. They may choose to do
2:19:29 > 2:19:33is having about it, they may not, but at least they're policy-making
2:19:33 > 2:19:36is better informed. And I just think that in the debate on this bill in
2:19:36 > 2:19:41particular, someone has to stand up and make the case for a reasoned,
2:19:41 > 2:19:45evidence -based public policy-making. I think it is a total
2:19:45 > 2:19:48disgrace that in the democratic discourse of this country, we now
2:19:48 > 2:19:52see the trashing of experts, we are now warned that if we adopted new
2:19:52 > 2:19:55clause nine, academics may debated, God forbid that people with some
2:19:55 > 2:19:58degree of expertise should debate the laws that we pass, because
2:19:58 > 2:20:03goodness knows it doesn't happen in this chamber often enough. What is
2:20:03 > 2:20:08it about expertise of data that the Government are so afraid of? What is
2:20:08 > 2:20:10it about information they find so terrify? May be the honourable
2:20:10 > 2:20:19member for Braintree will tell us. I'm curious, he expresses his desire
2:20:19 > 2:20:24for experts to have a role in the production of Treasury bills and
2:20:24 > 2:20:28finance bills. Does he therefore not regard Treasury officials as being
2:20:28 > 2:20:31experts?Unlike the members opposite, I have high regard for
2:20:31 > 2:20:36Treasury officials, and I don't trash the data that is produced by
2:20:36 > 2:20:40civil servants in the way that Ministers of the Crown do. And I
2:20:40 > 2:20:43think civil servants are very good example of experts, and I would like
2:20:43 > 2:20:48the expertise of the Treasury and the civil service drawn upon to
2:20:48 > 2:20:50produce exactly the kind of equalities impact assessment that
2:20:50 > 2:20:57our front bench is causing for with new clause nine. It is because of
2:20:57 > 2:21:00our civil service and their ability to gather and gun evidence that I
2:21:00 > 2:21:04would like to see a more evidence -based approach to public
2:21:04 > 2:21:07policy-making. With such an approach we were done have a better quality
2:21:07 > 2:21:11of Government, and goodness knows we need that when you look at the
2:21:11 > 2:21:14current state of things. But also we have a better quality of debate in
2:21:14 > 2:21:18this House about what our priorities are, the challenges facing the
2:21:18 > 2:21:22country and how we need to tackle them, and I think this is... I will
2:21:22 > 2:21:25give way one final time.I thank the honourable friend the giving way. He
2:21:25 > 2:21:31makes a big play of analysis. Can he afford a house of the distribution
2:21:31 > 2:21:36of impact of £170 billion of extra borrowing and the interest payments
2:21:36 > 2:21:39on what that will have on our community.I'm very grateful for
2:21:39 > 2:21:44that point, because he raises exactly the point I have made since
2:21:44 > 2:21:47the general election, which is the manifesto policies that we put
2:21:47 > 2:21:51forward, which proved immensely popular, by the way, across the
2:21:51 > 2:21:56country and led to a result that lots of people weren't expecting. I
2:21:56 > 2:21:59think we should do the distribution of analysis of policies right across
2:21:59 > 2:22:03the board to make sure that resources are properly targeted
2:22:03 > 2:22:08where they are needed. But I just want to say in conclusion, Madame
2:22:08 > 2:22:12Deputy Speaker, that we should not fear information and evidence. It
2:22:12 > 2:22:16would lead to better informed government, and I think the greatest
2:22:16 > 2:22:20tragedy of this Prime Minister is not the fact she is currently being
2:22:20 > 2:22:24held hostage by the hard Brexiteers on the right of her party, but that
2:22:24 > 2:22:28those fine words that she gave on the steps of Downing Street about
2:22:28 > 2:22:32creating a more equal society and tackling the injustices that still
2:22:32 > 2:22:35loom large even in the 21st-century in one of the richest economies in
2:22:35 > 2:22:39the world, she has not delivered on a single one of those sentiments,
2:22:39 > 2:22:44and sentiments all well and good, but we need policies that are backed
2:22:44 > 2:22:50up by evidence and reason and the ability to genuinely tackle the
2:22:50 > 2:22:54problems at the Prime Minister set out so long ago on the steps of
2:22:54 > 2:22:56another ten but I fear she will never be able to implement before
2:22:56 > 2:23:01they boot her out next year.Thank you, Madame Deputy Speaker. Before I
2:23:01 > 2:23:06plunge into new clause nine, as indeed I will, at some length, may I
2:23:06 > 2:23:12just concur wholeheartedly with the statement made by the honourable
2:23:12 > 2:23:16member for Ilford North when he praised civil servants, the
2:23:16 > 2:23:19impartiality, their objectivity and their professionalism, and I have
2:23:19 > 2:23:22always found in my experience and the Treasury to be exactly that, and
2:23:22 > 2:23:27I think that is an important point that we should all register. We have
2:23:27 > 2:23:32had, Madame Deputy Speaker, a fairly wide-ranging debate. I hesitate to
2:23:32 > 2:23:37add that on one or two occasions, it has been marginally informative, and
2:23:37 > 2:23:50I think on one occasion, I won't name the
2:23:52 > 2:23:54member, it actually very informative because I actually learned something
2:23:54 > 2:23:57that I hadn't heard before. But the reason why it has been wide-ranging
2:23:57 > 2:23:59I think, Madame Deputy Speaker, is of course this is an extremely
2:23:59 > 2:24:02important issue, and I think what unites both sides of this House is
2:24:02 > 2:24:04that every member of this House deplores unwarranted inequality, not
2:24:04 > 2:24:06that we are all entirely equal, because of course we are different,
2:24:06 > 2:24:11but we have a right to be treated with equal respect, a right to the
2:24:11 > 2:24:15equal opportunity and aspiration, as my honourable friend the Member for
2:24:15 > 2:24:21Stevenage so eloquently termed it. And if I could just look at new
2:24:21 > 2:24:24clause nine in just a little bit of detail, Madame Deputy Speaker,
2:24:24 > 2:24:28because it has been slightly absent as I was suggesting from the debate
2:24:28 > 2:24:33this afternoon. Let's bring it right back to centre stage. What this new
2:24:33 > 2:24:37clause seeks to do, Madame Deputy Speaker, is to require the
2:24:37 > 2:24:43Chancellor of the X to provide a report, a review, before the House,
2:24:43 > 2:24:51within six months of the passing of this act. And in so doing, to look
2:24:51 > 2:24:57at a number of particular aspects of the impacts of the Finance Bill that
2:24:57 > 2:25:02is going through this House this afternoon. So the review under this
2:25:02 > 2:25:05amendment would look at the impact of those provisions on households at
2:25:05 > 2:25:09different levels of income, as has already been pointed out at length
2:25:09 > 2:25:14in this debate, we have indeed brought back the household
2:25:14 > 2:25:19distribution of analysis that looks at tax and welfare and public
2:25:19 > 2:25:28expenditure and the impact of those elements on the different income
2:25:28 > 2:25:32levels by centile. It also seeks to look at the impact of the provisions
2:25:32 > 2:25:34of people with protected characteristics within the meaning
2:25:34 > 2:25:40of the equality 2010, and perhaps that will be a moment for me to say
2:25:40 > 2:25:44some thing very important, which is of course Ministers always sick to
2:25:44 > 2:25:50operate within the law, and the equalities act is very clear as to
2:25:50 > 2:25:54what our duties are as Ministers when we consider the various
2:25:54 > 2:25:59policies that come before us, not just those of course which come
2:25:59 > 2:26:03before us in the context of a major fiscal event, but those policies and
2:26:03 > 2:26:08decisions that we take day in, day out, some of which never even pass
2:26:08 > 2:26:13through this House. But we do it in just because of the law, Madame
2:26:13 > 2:26:16Deputy Speaker. We do it because we think it is the right thing to do.
2:26:16 > 2:26:21The impact of these provisions on the Treasury's compliance with the
2:26:21 > 2:26:26public sector equality duty under section 1-49 of the Equality Act
2:26:26 > 2:26:302010 and the provisions of equality in different parts of the United
2:26:30 > 2:26:37Kingdom and different regions of England, and what that comes to
2:26:37 > 2:26:41focus on the specific taxes to which this assessment, this requirement of
2:26:41 > 2:26:44the Chancellor of the Exchequer to prevent this report, would actually
2:26:44 > 2:26:49focus upon. And I would like to make an important point one general point
2:26:49 > 2:26:55here, which is that it is far easier to look at regional aspects of
2:26:55 > 2:26:58spending and tax, to look at the spending elements, than it is to
2:26:58 > 2:27:04look at the regional distribution when it comes to taxation, and that
2:27:04 > 2:27:11is for fairly obvious reasons. I will give way.
2:27:11 > 2:27:16Does the Minister agree with me that to carry out these impact
2:27:16 > 2:27:19assessments would be so impractical that it would slow down Government
2:27:19 > 2:27:22business and perhaps that's one of the reasons why the opposition has
2:27:22 > 2:27:28put in this New Clause, to actually make it difficult for us to get our
2:27:28 > 2:27:31policies through?I thank my honourable friend very much for that
2:27:31 > 2:27:35intervention. She touches on an important point which is that there
2:27:35 > 2:27:39is an element of proportionality here because as I'm going to come on
2:27:39 > 2:27:45to argue, Madam Deputy Speaker, one of the difficulties with accepting
2:27:45 > 2:27:48New Clause 9 is that a lot of this information isn't available. That
2:27:48 > 2:27:51isn't an argument for not going out to find the information, but it does
2:27:51 > 2:27:56also indicate that some of it is extremely difficult to actually
2:27:56 > 2:28:00generate. I don't think I would go as far as my honourable friend in
2:28:00 > 2:28:03suggesting that this is a Machiavellian plan to gum up the
2:28:03 > 2:28:07works of Government but I'm sure some members opposite might be
2:28:07 > 2:28:13pleased to see that happen. But I take this in the spirit of the
2:28:13 > 2:28:16wording that I see in front of me and I certainly give way to the
2:28:16 > 2:28:20honourable lady.I thank the Minister for giving way. I just
2:28:20 > 2:28:26wanted to help the Minister a bit. The women's budget group, lots of
2:28:26 > 2:28:31organisations accumulate the data that's needed as well as the ONS and
2:28:31 > 2:28:35the HMRC, said the data is there in order to carry out the impact
2:28:35 > 2:28:40assessment and that the Treasury Department does some anyway.What
2:28:40 > 2:28:43the honourable lady is suggesting is that one particular set of analysis
2:28:43 > 2:28:50is an ideal set to present and can be seen as in no way misleading,
2:28:50 > 2:28:54entirely robust, entirely objective. Now, if we are to breach that
2:28:54 > 2:28:58quality of data, we have to achieve certain specific aims. One of the
2:28:58 > 2:29:03games would have to be that we had to deal with a lot of analysis to
2:29:03 > 2:29:08which she is preparing its very selective, it doesn't the entire
2:29:08 > 2:29:13scale. Some of this analysis good look at reflecting changes in income
2:29:13 > 2:29:19tax, for example, which may benefit one group over another but without
2:29:19 > 2:29:25taking into account increased spending on child care. If I may
2:29:25 > 2:29:27finish on this point, then I'll certainly give way to the honourable
2:29:27 > 2:29:33lady. A lot of these analysis also just simply look at the static
2:29:33 > 2:29:38situations, they don't take into a fact the fact that these have a
2:29:38 > 2:29:42dynamic effect on the economy themselves, driving up employment,
2:29:42 > 2:29:46for example. Many people have spoken eloquently this afternoon about the
2:29:46 > 2:29:52record level of female employment at the moment. That is something
2:29:52 > 2:29:55benefiting women and in terms of the policies interacting with our
2:29:55 > 2:29:58benefit, that is not reflected in the analysis. I have already
2:29:58 > 2:30:10mentioned that a lot of the analysis being sought here is not easy to
2:30:10 > 2:30:18find, particularly with regards to gender reassignment and sexuality,
2:30:18 > 2:30:23it is very hard to define where they are affected, particularly with the
2:30:23 > 2:30:26clauses in New Clause 9 that the opposition is seeking to address.
2:30:26 > 2:30:30Before I give way, and I will then give way to the honourable lady for
2:30:30 > 2:30:36Oxford East, it's been a long while since we just did, so I will
2:30:36 > 2:30:41certainly give way to the honourable lady. There is also an important
2:30:41 > 2:30:44point on the impact of the goals in particular which is one of the
2:30:44 > 2:30:50points of the major thrust of Clause nine, which is where it's very
2:30:50 > 2:30:57difficult to divide the income that will affect one member of the
2:30:57 > 2:31:00household that will then be shared with another. I will gladly give
2:31:00 > 2:31:10way.Thank you very much Madam Deputy Speaker. I am grateful to the
2:31:10 > 2:31:14Minister for his generosity in giving way and his kind words. I
2:31:14 > 2:31:17want to briefly mention that the Department for Work and Pensions
2:31:17 > 2:31:22does produce this kind of modelling for Social Security change which can
2:31:22 > 2:31:27be similarly complex, looking at the interaction with different aspects,
2:31:27 > 2:31:31therefore why should the Treasury take a different approach? If there
2:31:31 > 2:31:34was ambiguity, this could be cleared.I thank the honourable lady
2:31:34 > 2:31:40for her intervention. I bring her back to New Clause 9 because
2:31:40 > 2:31:43whatever the WP appears to be doing and whether that is right or wrong
2:31:43 > 2:31:50or works, it is New Clause 9 we look at and as I am working through New
2:31:50 > 2:31:54Clause 9, what I am arguing is that it is not a practical way to seek to
2:31:54 > 2:32:02achieve what the opposition are intending to achieve. If we look at
2:32:02 > 2:32:04subsection three... I will certainly give way to my right honourable
2:32:04 > 2:32:13friend.Can I wear to be said about the extent of research the Treasury
2:32:13 > 2:32:17does already published. It is my understanding that there are more
2:32:17 > 2:32:20than 2500 Treasury papers already published and it's more a question,
2:32:20 > 2:32:26isn't it, where you draw the line? If a piece of research is very
2:32:26 > 2:32:29difficult and very resource intensive and Taiwan, that is going
2:32:29 > 2:32:35to make it less likely to be done than a straightforward piece?My
2:32:35 > 2:32:41honourable friend makes a very important point and I've already
2:32:41 > 2:32:44pointed out, Madam Deputy Speaker, around the major fiscal events, we
2:32:44 > 2:32:50of course do have household distributional analysis which covers
2:32:50 > 2:32:56welfare and taxation and takes accumulative approach to that
2:32:56 > 2:33:00information and is often relied upon by Government to take some
2:33:00 > 2:33:06decisions. But we do also on individuals, substantial individual
2:33:06 > 2:33:12tax and National Insurance contribution, we also have the tax
2:33:12 > 2:33:14impacts and information notes, the so-called tins, which were
2:33:14 > 2:33:21introduced in 2010 and were not there actually under the last Labour
2:33:21 > 2:33:25Government, for example. So there are a number of things we are doing
2:33:25 > 2:33:32both within the context of the major fiscal events but also on tax by
2:33:32 > 2:33:34tax, National bike -- national insurance by national insurance
2:33:34 > 2:33:39basis where we are looking at using just the kind of information that
2:33:39 > 2:33:44informs decisions around equality. If I can move on now, the third
2:33:44 > 2:33:48section of the Clause nine, which is of course relating to the taxes to
2:33:48 > 2:33:54which this analysis would apply. We have income tax, and I have made the
2:33:54 > 2:34:01point about where we are looking at impacts upon households and we may
2:34:01 > 2:34:07raise the personal allowance, as indeed we did in the last budget to
2:34:07 > 2:34:11£11,850. It could be argued that that disproportionately favours one
2:34:11 > 2:34:19sex over another but when you look at the effect on the household,
2:34:19 > 2:34:22income is typically distributed within families, within a household,
2:34:22 > 2:34:27within a family unit and that is something which is extremely
2:34:27 > 2:34:31difficult, I would go so far as to say impossible, to actually capture.
2:34:31 > 2:34:36With great pleasure I give way.He made this point the last time we
2:34:36 > 2:34:44tried to discuss this, and forgive me but he seems to be assuming a man
2:34:44 > 2:34:49and women, had he managed to get his head around single women yet because
2:34:49 > 2:34:55we see is that women's in cartons are disproportionately hit by
2:34:55 > 2:34:59Government policies, so he could at least try to measure those women
2:34:59 > 2:35:05rather than those who do not live with a man and confuse him.If the
2:35:05 > 2:35:08honourable lady can come up with a way of identifying those women, we
2:35:08 > 2:35:14will probably make some progress. The point I am making is that this
2:35:14 > 2:35:18is riddled with huge complexity and what New Clause 9 is seeking to
2:35:18 > 2:35:21achieve is to present assessments which have the Emperor martyr of
2:35:21 > 2:35:27Government and the Treasury upon them and they are relied upon to
2:35:27 > 2:35:30take very important decisions and arguments I am prosecuting suggest
2:35:30 > 2:35:37that we would end up with an incomplete picture that could
2:35:37 > 2:35:46actually be misleading to what I know the honourable lady is trying
2:35:46 > 2:35:51to achieve and the Government also. I give way to my honourable friend.
2:35:51 > 2:35:54Does he share the view that has been expressed by many of us this
2:35:54 > 2:35:59afternoon that while those on the benches opposite are looking for
2:35:59 > 2:36:06very complicated analysis which we may not need, we actually have a
2:36:06 > 2:36:11very strong record if you take a step back of reducing inequality and
2:36:11 > 2:36:16making things better for those on the lowest incomes?My honourable
2:36:16 > 2:36:20friend makes an extremely important point and of course we know that the
2:36:20 > 2:36:26gender pay gap is at its lowest on record. I think that's a very
2:36:26 > 2:36:32substantial achievement and we are making considerable headway in that
2:36:32 > 2:36:39particular respect. But to look at some of the other taxes here, we
2:36:39 > 2:36:45have employment, disguised remuneration, a highly compensated
2:36:45 > 2:36:53area as my honourable friend the Member for cities will know as we
2:36:53 > 2:36:59have discussed this on many occasions. I find my mind-boggling
2:36:59 > 2:37:05on how we would undertake that particular taxation. Pension
2:37:05 > 2:37:08schemes, once again, extremely compensated. Passenger duty perhaps
2:37:08 > 2:37:14easier than some others. The point overall, and we do need to look at
2:37:14 > 2:37:20this New Clause in its entirety, it is extremely complicated indeed.
2:37:20 > 2:37:24Could we perhaps just say one final thing about New Clause 9 and the
2:37:24 > 2:37:29debate we have had this afternoon? There should be no doubt that this
2:37:29 > 2:37:34side of the House is entirely committed to ensuring that the drive
2:37:34 > 2:37:41for equality through gender and we drive it very strongly. We should
2:37:41 > 2:37:44look to our own record in that respect. We now have more women in
2:37:44 > 2:37:50work than at any time in our history. In the last year, 60% of
2:37:50 > 2:37:52employment growth came from female employment. We have the lowest
2:37:52 > 2:38:03gender pay gap in full-time employment ever. Those companies
2:38:03 > 2:38:07employing 250 people are now required by law to provide that
2:38:07 > 2:38:16gender wage audit and contrary to what the lady opposite has
2:38:16 > 2:38:20suggested, there are teeth, there are penalties that can be applied by
2:38:20 > 2:38:26the EH see our as there are signs that can follow where that is not
2:38:26 > 2:38:30done. For those that are disabled, we have spent a record in excess of
2:38:30 > 2:38:35£50 billion a year on benefits and as has been said by a number of
2:38:35 > 2:38:42members, the National wage has helped disproportionately the number
2:38:42 > 2:38:45of needy in our society. When we talk about inequality on this side
2:38:45 > 2:38:51of the House, we mean it when we say we want to end it and I urge the
2:38:51 > 2:38:57House to reject New Clause 9.Thank you Madam Deputy Speaker. Having a
2:38:57 > 2:39:02detailed understanding of how policy choices exacerbate or eliminate
2:39:02 > 2:39:05inequality at every stage of policy-making is key to tackling
2:39:05 > 2:39:10burning injustices and producing good policies. Madam Deputy Speaker,
2:39:10 > 2:39:15I would like to put New Clause 9 to the bait.The question is that New
2:39:15 > 2:39:21Clause 9 be read a second time. As many are robbed that opinion say
2:39:21 > 2:39:31aye. To the contrary, no. Division, clear the lobby.
2:41:04 > 2:41:10The question is that that the New Clause be read a second time. As
2:41:10 > 2:41:20many that opinion aye. Aye. To the contrary, no. Ayes to the right,
2:41:20 > 2:41:25noes to the left. Tellers for the ayes are Mr Nick Smith and platinum
2:41:25 > 2:41:32Debonair. The tellers for the nose are Amanda Millie and Rachel Adams.
2:47:35 > 2:47:36What the doors.
2:56:43 > 2:57:01Order, order.The ayes to the right, 265, the noes to the left, 354.
2:57:01 > 2:57:10Thank you. The ayes to the right, 265, the noes to the left, 304, so
2:57:10 > 2:57:21the noes have it, the noes have it. Unlock. We now come to New Clause 3
2:57:21 > 2:57:27with which it would be convenient to consider the new clauses and
2:57:27 > 2:57:31amendments listed on the selection paper. Peter down to move New Clause
2:57:31 > 2:57:383.Thank you, Madam Deputy Speaker. I wish to move the amendment in the
2:57:38 > 2:57:42name of my right honourable friend, the Leader of the Opposition, myself
2:57:42 > 2:57:48and others on the changes to the bank levy and particular New Clause
2:57:48 > 2:57:543. Let me start by reiterating what I said when debating the bank levy.
2:57:54 > 2:58:05It said no one -- it says no one wants to homogenise the banking
2:58:05 > 2:58:22services... In fact, around -- 2000 people work in the banking industry
2:58:22 > 2:58:31in my constituency and we can't ignore the important role banks pay
2:58:31 > 2:58:43in our society. We should avoid any bank bashing sessions. We need a
2:58:43 > 2:58:49grown-up session to discuss the bank levy, its effectiveness and why the
2:58:49 > 2:58:53Government is now desperate to cut the levy further. First, let me say
2:58:53 > 2:58:58a few words on the political context surrounding this debate if I can be
2:58:58 > 2:59:02indulged slightly. Since we last debated the bank levy proposed
2:59:02 > 2:59:14changes, there have been further developments that... We have had the
2:59:14 > 2:59:19resignation of the Prime Minister's Deputy, I Cabinet reshuffle which
2:59:19 > 2:59:25showed the Secretary of State for Health refusing to budge, someone
2:59:25 > 2:59:31moving to the backbenches instead of moving to the DWP and the Secretary
2:59:31 > 2:59:34of State for Transport was wrongly announced as the party chairman. It
2:59:34 > 2:59:38goes to the heart of the Government's compensate in regards
2:59:38 > 2:59:42to the banking levy. In a recent black-and-white dinner fundraiser at
2:59:42 > 2:59:48which the banking at that and owl review of the banking levy was no
2:59:48 > 2:59:53doubt discussed held at the Natural History Museum where evidently live
2:59:53 > 2:59:58dinosaurs visited dead dinosaurs, the Prime Minister addressing the
2:59:58 > 3:00:06Jurassic attendees said, we are fighting to win the battle of ideas
3:00:06 > 3:00:12to fight socialism today. The question is how they plan to defeat
3:00:12 > 3:00:18socialism in the age of the Internet and things, well, they held a
3:00:18 > 3:00:22raffle. At £100 per ticket, they rattled whilst discussing the
3:00:22 > 3:00:30banking levy and relating issues, they Rav and eight gun 500 thousand
3:00:30 > 3:00:48shoot donated by a donor who knows all about the banking levy.
3:00:48 > 3:00:55Remaining united in Parliament is an important part of remain -- of
3:00:55 > 3:01:11ensuring that Jeremy Corbyn remains in opposition.
3:01:22 > 3:01:31No red box, no changes and no embarrassing U-turn is either. And
3:01:31 > 3:01:35an inability to talk about the banking levy and how we could go
3:01:35 > 3:01:40forward with that particular issue. So rather than outline a long-term
3:01:40 > 3:01:44financial plan, we have yet another Finance Bill engineered for the
3:01:44 > 3:01:49benefit of the few. And there is little in the bill to tackle our
3:01:49 > 3:01:52dreadful productivity performance, our stuttering growth, our high
3:01:52 > 3:01:56inflation and lack of investment in our infrastructure and people which,
3:01:56 > 3:02:01if we raised more from the banking levy, we could do something about.
3:02:01 > 3:02:04Madam Deputy Speaker, in this context, the Government comes up
3:02:04 > 3:02:08with the bright idea of offering another tax break to the banks by
3:02:08 > 3:02:12further limiting the scope of the bank levy and this would ensure that
3:02:12 > 3:02:19banks from Twenty20 will pay the levy only on their UK balance
3:02:19 > 3:02:23sheets, not on their overseas activities. Our opposition to the
3:02:23 > 3:02:29bank levy has been clear, we have consistently argued for a more
3:02:29 > 3:02:35proportional bank levy and pointed out that the levy introduced in 2011
3:02:35 > 3:02:40would raise substantially less than Labour's bankers bonus, in other
3:02:40 > 3:02:44words we have always stood against the fetish in relation to posterity.
3:02:44 > 3:02:48I am more than happy to give way.I thank the gentleman for giving way
3:02:48 > 3:02:53but I must gently point out that his party's position on the banking levy
3:02:53 > 3:02:58has been anything but clear. When it was first introduced, they opposed
3:02:58 > 3:03:01it, then they called forehead to be retained in place and the amendments
3:03:01 > 3:03:06today, they neither propose to retain or abolish it, said his
3:03:06 > 3:03:12party's position is entirely unclear and perhaps it could take this
3:03:12 > 3:03:15opportunity to clarify it?We opposed it because it was a
3:03:15 > 3:03:19reduction in the taxes banks were paying. I know the honourable
3:03:19 > 3:03:23gentleman wants to be generous with people who've already got money and
3:03:23 > 3:03:27very ungenerous to people who haven't got money, but he should
3:03:27 > 3:03:31really give considerable thought to that before he intervenes on these
3:03:31 > 3:03:34matters because he doesn't do his party anything on their reputation
3:03:34 > 3:03:42because that approach is mean and miserly. What we voted against in
3:03:42 > 3:03:452011, the Finance Bill which introduced the banking levy along
3:03:45 > 3:03:49with cuts to corporation tax with tax breaks to the most well off,
3:03:49 > 3:03:53that is the context I would say to the honourable gentleman and that is
3:03:53 > 3:03:57why we also expressed our concern in 2015 over the Government pollock
3:03:57 > 3:04:01cuts to the bank levy and the introduction of the corporation tax
3:04:01 > 3:04:06surcharge why we would vote against this measure in the bill today. And
3:04:06 > 3:04:11we support the honourable member for Walthamstow, who will I suspect
3:04:11 > 3:04:18called for a review about the provisions for excess profits of PFI
3:04:18 > 3:04:26company for the purpose of qualifying worldwide groups in
3:04:26 > 3:04:30taxation and other provisions act, it is a step in the direction which
3:04:30 > 3:04:38we support in tackling the whole construct of PFI schemes. Back to
3:04:38 > 3:04:42the bank levy, the bank levy was not the brainchild of a Conservative
3:04:42 > 3:04:45Government, it was not introduced by the previous Chancellor who was
3:04:45 > 3:04:56suddenly moved by public
3:04:58 > 3:05:06outrage, and to alongside the banks plunged us into such difficulties in
3:05:06 > 3:05:13modern times. It was designed to ensure banks got massive pay-outs as
3:05:13 > 3:05:18happened with the Royal Bank of Scotland, it was designed to make
3:05:18 > 3:05:22sure they pay their fair share and I refer you to the explanatory notes
3:05:22 > 3:05:28where that is laid out clearly and unambiguously. The very concept of a
3:05:28 > 3:05:33bank levy was developed at the G20 summit in 2009, Madam Deputy
3:05:33 > 3:05:38Speaker. It was championed by the previous Labour Government who
3:05:38 > 3:05:47subsequently introduced the bankers bonus. In 2011, the Government
3:05:47 > 3:05:52dumped the bankers bonus tax and adopted the bank levy. At that time,
3:05:52 > 3:05:55Labour made it clear that the threshold was far too low in
3:05:55 > 3:05:59proportion to the money that would have been raised if the Government
3:05:59 > 3:06:03stuck with Labour's bonus tax. Instead, ministers folded under
3:06:03 > 3:06:09pressure from the banks and set the levy at a low rate of 2.6 billion.
3:06:09 > 3:06:13The threshold was established and here we come to the issue of taking
3:06:13 > 3:06:22expert advice. The threshold was established despite Treasury
3:06:22 > 3:06:27officials knowing it was far too hot low. Under original plans, it would
3:06:27 > 3:06:34have raised £3.9 billion a year, £1.3 billion more than the 2.6
3:06:34 > 3:06:37billion currently indicated. The Government lobbied by the privileged
3:06:37 > 3:06:46few ensured the threshold remains low. 0.39% for long-term
3:06:46 > 3:06:52liabilities, the level set was not, to put too fine a point on it, a
3:06:52 > 3:06:57pretty tasteless joke when compared to another country who introduced a
3:06:57 > 3:07:02similar levy. It was less than one third of France's level,
3:07:02 > 3:07:08substantially smaller than Hungary's and even lower than that of the
3:07:08 > 3:07:12United States of America. And in 2015 under pressure from the
3:07:12 > 3:07:16ministers and the Government's friends, some of them in the back
3:07:16 > 3:07:23sector, once more the Chancellor cut the bank levy rate and the current
3:07:23 > 3:07:31occupant of number 11 has continued on the same social, ensuring that by
3:07:31 > 3:07:372020 the UK's biggest banks will have received a tax giveaway worth a
3:07:37 > 3:07:42whopping £4.7 billion, £4.7 billion that could have been spent on public
3:07:42 > 3:07:45services, notably on children services for example which have been
3:07:45 > 3:07:52cut to the bone.The honourable gentleman says the banking sector
3:07:52 > 3:07:55has received a whacking tax cut. I would dispute that in my comments
3:07:55 > 3:08:06later but the figures are being used. In 2000 and paid three point
3:08:06 > 3:08:14£10 billion, last year there was a 25% increase, so they are paying
3:08:14 > 3:08:19more by some amount.That's not surprising because they've returned
3:08:19 > 3:08:24to profitability because the public, the taxpayer, bankrolled the banks.
3:08:24 > 3:08:28That is why they are back into profitability and they ought to pay
3:08:28 > 3:08:34their fair share as a result of taxpayers, every member of
3:08:34 > 3:08:37Parliament's constituent in this House paid towards that. When those
3:08:37 > 3:08:40profits came in, it was not surprising that they would go up
3:08:40 > 3:08:44because we helped them out and they have got to help our public services
3:08:44 > 3:08:51out. That is the fact of the matter. The Government introduced the 8%
3:08:51 > 3:08:54corporation tax surcharge which they claimed would offset the reduction
3:08:54 > 3:09:00to the bank levy. If we look at the forecast from the Bob ER, we can
3:09:00 > 3:09:04clearly see that the surcharge will not match the ball in the bank levy.
3:09:04 > 3:09:18Under the forecasts, the surcharge increases by 0.3 billion pounds a
3:09:18 > 3:09:25year, whilst the levy falls by 7p a year. That is about printed in the
3:09:25 > 3:09:33-- was the levy falls by 7p a year. That is a fact printed in the
3:09:33 > 3:09:41Government's book. We are told there was no money for productive
3:09:41 > 3:09:45investment and that austerity must continue yet the Government has
3:09:45 > 3:09:52conspired to undermine any remuneration from the banks that
3:09:52 > 3:09:55caused this sorry state of affairs in the first place. Once again, the
3:09:55 > 3:10:01opposition is hamstrung by the Government use of parliamentary
3:10:01 > 3:10:10procedure.The last occupant in the Treasury left a note for the
3:10:10 > 3:10:14incoming Conservative Liberal coalition Government in 2010 and
3:10:14 > 3:10:19isn't the reality that of course there is money, we raise taxes and
3:10:19 > 3:10:23we spend unwisely as a Conservative Government, in particular in
3:10:23 > 3:10:26infrastructure, which surely be honourable gentleman would agree is
3:10:26 > 3:10:30now at record levels. It's just that we are still having to clear up the
3:10:30 > 3:10:34mess left by that last Labour Government.The honourable lady can
3:10:34 > 3:10:38believe what she wants. The fact of the matter is, who's going to pay
3:10:38 > 3:10:49much attention to a former Chief Secretary to the Treasury who took
3:10:49 > 3:10:57heart from the former chief secretary of the Treasury was out of
3:10:57 > 3:11:01that job because of issues around his parliamentary expenses and you
3:11:01 > 3:11:05expect us to pay no attention to that whatsoever. That's what
3:11:05 > 3:11:10happened. David Laws... I'm not going to give way. I'm going to
3:11:10 > 3:11:15carry on. This isn't a dialogue, I believe, Madam Deputy Speaker, as he
3:11:15 > 3:11:22would no doubt tell me. If we have a timid, feckless Government ashamed
3:11:22 > 3:11:30and frightened of its own Shadow who is continuing to give more money
3:11:30 > 3:11:32back to the banks, notwithstanding the fact that they keep on telling
3:11:32 > 3:11:38us that there isn't sufficient resource coming in to support public
3:11:38 > 3:11:43services. So by moving New Clause 3, we seek first to require the
3:11:43 > 3:11:47Government to carry out a review of the bank levy including its
3:11:47 > 3:11:52effectiveness in relation to its stated aim. Secondly, we seek to
3:11:52 > 3:11:57establish the extent of cuts made in 2015 on the revenues from the levy.
3:11:57 > 3:12:01Thirdly, to calculate how much would have been raised had the Government
3:12:01 > 3:12:06stuck with Labour's bankers bonus tax. Now, such a report would put
3:12:06 > 3:12:10under the microscope for all to see the Government's malpractice,
3:12:10 > 3:12:16because that's what it amounts to, whilst offering tax giveaways to the
3:12:16 > 3:12:21banks who can more than afford them. It would require the Minister to
3:12:21 > 3:12:25acknowledge that far more would have been raised under Labour's bankroll
3:12:25 > 3:12:30tax and just as importantly that the current levy has done little to
3:12:30 > 3:12:36influence and mitigate questionable practices in our financial services
3:12:36 > 3:12:39industry. It's surprisingly indicative of the bread that they
3:12:39 > 3:12:44have failed to keep records of banks that regularly pay the levy and a
3:12:44 > 3:12:48full list of how much they actually have paid and we would like that
3:12:48 > 3:12:51information in our new clauses. That is why in the name of transparency,
3:12:51 > 3:12:56a concept alien to the Government, I have got to say, the opposition has
3:12:56 > 3:12:59tabled an amendment seeking to create a public register for the
3:12:59 > 3:13:03bank levy.
3:13:03 > 3:13:07Once we can see the true cost we can grasp the extent of the choices they
3:13:07 > 3:13:12have been making and how they have favoured a small, privileged group
3:13:12 > 3:13:16over the many citizens who are in desperate need of support and this
3:13:16 > 3:13:21goes to the heart of this new clause. The concerns I had set out
3:13:21 > 3:13:24regarding the banking levy are not a question of how the banking sector
3:13:24 > 3:13:30is taxed and regulated, but they speak directly to the approach of
3:13:30 > 3:13:34this government. Government is in the business of making choices. In
3:13:34 > 3:13:37this case, the government has chosen a giveaway with billions of pounds
3:13:37 > 3:13:45to the wealthy few instead of helping to lend austerity for the
3:13:45 > 3:13:50many. Or, for even a few of the many. This is a shameful set of
3:13:50 > 3:13:55affairs looking at it from any angle. The money going to banks from
3:13:55 > 3:14:01a cut to their levy could be used to support children's services, which
3:14:01 > 3:14:05are in a state of atrophy as a direct result of the government's
3:14:05 > 3:14:11choices. Only in the last few days, the government admitted that the
3:14:11 > 3:14:14honourable member for Batley and Spen, the cash-strapped local
3:14:14 > 3:14:20authorities have been forced to close over 500 children's centres.
3:14:20 > 3:14:28This is a direct result of funding cuts to children's services,
3:14:28 > 3:14:33research published by Barnardos in December found that funding for
3:14:33 > 3:14:36children's centres in England have been halved by 1.2 billion up to 600
3:14:36 > 3:14:42million since 2010. That is why we want to have a look at the bank
3:14:42 > 3:14:48levy. The picture is set to worsen. Norfolk County Council approved
3:14:48 > 3:14:52plans to half the budget for children's centres to cope with the
3:14:52 > 3:14:57cuts being passed on to them by the government. On the same day,
3:14:57 > 3:15:01councils in Somerset agreed plans to close two thirds of children's
3:15:01 > 3:15:05centres. That is why we want to look up the banking levy and have a
3:15:05 > 3:15:11review of this. We don't have an assessment of the specific impact of
3:15:11 > 3:15:16the austerity in Northamptonshire. The council Burke, the Conservative
3:15:16 > 3:15:19council is facing meltdown as a direct result of the government's
3:15:19 > 3:15:24agenda. That is why we want to look at the banking levy. It is safe to
3:15:24 > 3:15:29say children, who no doubt will be suffering as much as the wider
3:15:29 > 3:15:34population as public services edge closer to collapse. As these
3:15:34 > 3:15:37services have been decimated, we have seen a doubling of serious
3:15:37 > 3:15:40child protection cases and twice the number of children put into care
3:15:40 > 3:15:45protection plans. That is why we want to look at this particular
3:15:45 > 3:15:50issue, let's have a compare and contrast. Last year 270,000 children
3:15:50 > 3:15:55were placed into care. The support for foster care, sure start
3:15:55 > 3:15:59children's centres have been reduced and we have got to find out, how can
3:15:59 > 3:16:03we support those services. Youth centres are closing, short breaks
3:16:03 > 3:16:08for disabled children, provided by local authorities to give parents a
3:16:08 > 3:16:13break. Is that what we want? That is why we need to look at the banking
3:16:13 > 3:16:17level. The most vulnerable children in our country are paying the price
3:16:17 > 3:16:22for seven years of the government's economic strategy. Meanwhile, the
3:16:22 > 3:16:27banking levy is being cut. That is why we want to look at it, that is
3:16:27 > 3:16:31why we are challenging the government to come and support our
3:16:31 > 3:16:35review. Asking children to pay the price of giving the banking,
3:16:35 > 3:16:41reducing the banking levy is not acceptable. It is mismanagement and
3:16:41 > 3:16:49it is really, really not acceptable. In fact, said Tony Hawk had
3:16:49 > 3:16:56described the devastating cuts which are being left on a dangerously
3:16:56 > 3:17:04sing. And the protection services provided for through not cutting the
3:17:04 > 3:17:09banking level would be a welcome relief to those particular services.
3:17:09 > 3:17:12We are demanding the government change course on the banking levy.
3:17:12 > 3:17:19It might make them unpopular with some people in the past, but I think
3:17:19 > 3:17:23children come first, not their friends. That is why we are asking
3:17:23 > 3:17:27for this particular review. It would be the right thing to do for
3:17:27 > 3:17:30millions of people in this country who need government support to give
3:17:30 > 3:17:34them the best chance in life. Should the Minister decide to do the right
3:17:34 > 3:17:39thing and match Labour's plans to invest in children's services, he
3:17:39 > 3:17:44will receive the backing of this bench. If I can turn to one of the
3:17:44 > 3:17:50clauses in relation to tax avoidance. The anti-avoidance
3:17:50 > 3:17:53measures are feeble and listless when we consider the problem at
3:17:53 > 3:18:00hand. Both the Paradise papers have revealed tax avoidance on an
3:18:00 > 3:18:03industrious scale being operated in British Overseas Territories and
3:18:03 > 3:18:07Crown dependencies. The government has responded with feigned interest
3:18:07 > 3:18:11and a handful of measures. The Minister in his efforts to keep up
3:18:11 > 3:18:15the appearances of being seen to do something has instead, reinforce the
3:18:15 > 3:18:19view this government is on the side of the tax avoidance and not the
3:18:19 > 3:18:28taxpayers. I can hear the minister chatting away and I am not sure that
3:18:28 > 3:18:33is because he doesn't agree with me, but he does know it is true. There
3:18:33 > 3:18:38is no question about that. Only a third of the £1 billion originally
3:18:38 > 3:18:42forecast in some of the measures they gave to the House will be
3:18:42 > 3:18:49raised. So the gap between the tax take originally expected for the
3:18:49 > 3:18:51anti-tax avoidance measures introduced since 2010 and the
3:18:51 > 3:18:59revised forecast is totalled £2.1 billion. 25% less than the Treasury
3:18:59 > 3:19:06previously forecast and it is a complete shambles. I will give way.
3:19:06 > 3:19:12I thank him for being generous with his time. He is trying to suggest
3:19:12 > 3:19:16the government has a bad track record on clamping down avoidance
3:19:16 > 3:19:19and evasion. The key measure is the tax gap. Under the last Labour
3:19:19 > 3:19:25government it was 8%. It has now fallen to 6%, the lowest in the
3:19:25 > 3:19:30world. Will the honourable gentleman congratulate the financial Secretary
3:19:30 > 3:19:34and acknowledged this government is doing a better job in this area than
3:19:34 > 3:19:39the last Labour won?It doesn't take into account international profit
3:19:39 > 3:19:42shifting and the honourable gentleman knows that and he should
3:19:42 > 3:19:47consider that. These figures not only add to the growing hole in our
3:19:47 > 3:19:49finances but demonstrate the government's lack of interest in
3:19:49 > 3:19:53taking on tax avoidance. I am glad the honourable gentleman raised the
3:19:53 > 3:20:00question about the last Labour government's record. What of our
3:20:00 > 3:20:06record on tax avoidance, seeing as he raised the issue. Labour brought
3:20:06 > 3:20:18in anti-tax avoidance measures in 1997, 1998, 1999, 2000, 2001, 2002,
3:20:18 > 3:20:292003, 2004, 2005, 2006, 2008, 2009, 2007 and the 2010 budget. In March
3:20:29 > 3:20:322004, the Labour government introduced a discourse scheme which
3:20:32 > 3:20:37required anyone marketing at tax mitigation scheme to give HMRC
3:20:37 > 3:20:45advanced notice. Giving them the ability to count the scheme with new
3:20:45 > 3:20:53legislation. In 2004, it was announced the government would
3:20:53 > 3:20:55introduce legislation with retrospective counter any future
3:20:55 > 3:21:00scheme. So Labour's tax policy and enforcement programme has outlined
3:21:00 > 3:21:0616 measurements the government could take down immediately to crackdown
3:21:06 > 3:21:09on tax avoidance including publishing a register of offshore
3:21:09 > 3:21:13trusts. In that fashion, the opposition's new clause six would
3:21:13 > 3:21:17require the government to commission a review of effectiveness of
3:21:17 > 3:21:20anti-avoidance provisions in the Finance Bill and their impact in
3:21:20 > 3:21:26reducing the tax gap. I am proud of Labourmeasure in relation to tax
3:21:26 > 3:21:31avoidance. I am proud to stand up here and say that. I just leave
3:21:31 > 3:21:35members to ponder over this question... How can the government
3:21:35 > 3:21:40possibly justify cuts in the banking levy while an average of 30% and
3:21:40 > 3:21:44even more, in some constituencies, of our children live in poverty.
3:21:44 > 3:21:48That question will not go away however much the government wants it
3:21:48 > 3:21:58to.Review of operation and effectiveness of bank levy. The
3:21:58 > 3:22:03question is new clause three be read as second time. Chris Hill.Thank
3:22:03 > 3:22:12you. It is, as always, an enormous pleasure to follow the shadow chief
3:22:12 > 3:22:18secretary. His speeches are always entertaining. They are all so very
3:22:18 > 3:22:22occasionally informative as well. It is nonetheless, a pleasure to follow
3:22:22 > 3:22:25him. The honourable gentleman spent a great deal of time talking about
3:22:25 > 3:22:30the bank levy and various new clauses standing his name on that
3:22:30 > 3:22:36topic. I would like to start by addressing the central thesis of the
3:22:36 > 3:22:41honourable gentleman's comments on the bank levy, which was to suggest
3:22:41 > 3:22:45banks are not paying their fair share, particularly in light of the
3:22:45 > 3:22:51fact that two of the banks receive state money around about 2009. It is
3:22:51 > 3:22:56a matter of incontrovertible fact, banks, as organisations, as
3:22:56 > 3:23:02corporate, are today paying more tax proportionally than other kinds of
3:23:02 > 3:23:08corporate some of the kinds of corporations that are not banks. It
3:23:08 > 3:23:12is right that they do that he mentioned, they did receive taxpayer
3:23:12 > 3:23:17money. They pay this extra money, compared to other businesses in two
3:23:17 > 3:23:28ways. That surplus tax of 8%. And of course the bank levy. Although the
3:23:28 > 3:23:32bank levy is being reduced, it will still remain in force. Banks will
3:23:32 > 3:23:37continue to pay proportionately more tax than non-bank businesses after
3:23:37 > 3:23:41the implementation of this budget. It is a vital point I think to get
3:23:41 > 3:23:47across. The honourable gentleman also tried to make the point that
3:23:47 > 3:23:52somehow, he tried to link funding for children's services to the bank
3:23:52 > 3:23:55levy. I gave some figures during one of my interventions on the total
3:23:55 > 3:24:01amount of tax banks are paying. You can argue about why they pay the
3:24:01 > 3:24:06extra tax, it is at least in part, due to the surplus profit rate and
3:24:06 > 3:24:10to the bank levy. It may also be due to the fact their profits have gone
3:24:10 > 3:24:17up. Whatever the cause of that, the fact is, they are paying seven or £8
3:24:17 > 3:24:21billion a year more in tax now than they were some time ago. I think
3:24:21 > 3:24:29this adjusts children's services have been deprived of money as a
3:24:29 > 3:24:35consequence to bank taxation doesn't bear scrutiny when the financial
3:24:35 > 3:24:38services sector is paying significantly more tax than it was
3:24:38 > 3:24:41before, whatever the cause of that may be. I will give way.I'm
3:24:41 > 3:24:50grateful. He is I think, and he knows this, unfairly paraphrasing
3:24:50 > 3:24:53the shadow chief secretary. What my honourable friend has pointed out is
3:24:53 > 3:24:58politics is about choices and this government has decided, to the set
3:24:58 > 3:25:02of proposals, to reduce, in this case, the amount of tax the banks
3:25:02 > 3:25:07will pay, alongside a situation where many core services in the
3:25:07 > 3:25:11services, public services supported on both sides of the House are on
3:25:11 > 3:25:15their needs. References to the back rows situation or attempting to
3:25:15 > 3:25:19paraphrase what he said, is incorrect, it is an analysis of the
3:25:19 > 3:25:26choices this government have made. The central fact, the key fact, the
3:25:26 > 3:25:31cold, hard fact which won't go away is financial services are paying
3:25:31 > 3:25:36eight or £9 billion more in tax now than they were before. That is eight
3:25:36 > 3:25:41or £9 billion that can be spent on children's services in his
3:25:41 > 3:25:45constituency, and in mine, on the NHS or schools. We should welcome
3:25:45 > 3:25:49the fact the sector is producing this extra taxation, partly because
3:25:49 > 3:25:53it has become more successful and partly because the rate of tax has
3:25:53 > 3:25:56been increased over the last seven or eight years. The honourable
3:25:56 > 3:26:03gentleman made a point about choices. His intervention was
3:26:03 > 3:26:09underpinned by an assumption. The assumption he made in his
3:26:09 > 3:26:14intervention, was that if you increase the rate of taxation, you
3:26:14 > 3:26:20invariably raise more revenue. I would challenge that assertion. The
3:26:20 > 3:26:27famous Laffer curve that challenges that assumption, it is possible to
3:26:27 > 3:26:31reduce the rate of taxation and at the same time collect more tax.
3:26:31 > 3:26:36Because you incentivise investment and growth. There is no better
3:26:36 > 3:26:39illustration of that than the trajectory of corporation tax taken
3:26:39 > 3:26:43as a whole over the last seven years, where the rate of corporation
3:26:43 > 3:26:50tax has come down from 28% down to 19%, heading down to 17% in a couple
3:26:50 > 3:26:56of years. The cash taken corporation tax over that same period has gone
3:26:56 > 3:27:01from 35 billion up to 53 or 55 billion. You can cut the rate of tax
3:27:01 > 3:27:05and by stimulating the economy and investment, you can collect more
3:27:05 > 3:27:10money. Similarly, it doesn't follow that if you put the rate of tax up,
3:27:10 > 3:27:13you necessarily collect more money because you made this incentivise
3:27:13 > 3:27:19investment and job creation. I will give way.
3:27:19 > 3:27:22We have had this discussion in many finance bills that we have discussed
3:27:22 > 3:27:27over the last 12 months. No one on either side of the House denies the
3:27:27 > 3:27:33existence of the Laffer curve. We simply point out as a fact that the
3:27:33 > 3:27:39corporation tax that the government has introduced has cost this company
3:27:39 > 3:27:49country revenue. Specifically onto this amendment, the bank levy is a
3:27:49 > 3:27:55levy on the risk assessed capital on the balance sheet of the big banks.
3:27:55 > 3:27:58This would not apply to the calculation of what the return would
3:27:58 > 3:28:05be.I will take each of those two points in turn. The honourable
3:28:05 > 3:28:12gentleman says that if the rate remained at 20% we would be
3:28:12 > 3:28:16collecting more than 23 billion. That is an assertion and it is not
3:28:16 > 3:28:21one which I agree without contention. For example, plenty of
3:28:21 > 3:28:24businesses that made investments owing to love corporation tax which
3:28:24 > 3:28:28way would not have otherwise done. A number of corporations and company
3:28:28 > 3:28:36which had located there headquarters outside the UK and therefore paid
3:28:36 > 3:28:40corporation tax outside the UK who in response to cutting the rate of
3:28:40 > 3:28:45tax have come back on shore and now paid corporation tax here. I do not
3:28:45 > 3:28:49think it follows at all that a higher rate of corporation tax, 28%
3:28:49 > 3:28:54in the case that he mentions, was leads to a higher tax yield. The
3:28:54 > 3:28:58evidence and the direction of travel shows that as the rate comes down
3:28:58 > 3:29:01the collective goes up. I just do not agree with this as the rate
3:29:01 > 3:29:08comes down the collective goes up. I just do not agree be collecting 70
3:29:08 > 3:29:14or 80 billion. I do not agree. On the question specifically of the
3:29:14 > 3:29:19bank levy, the honourable gentleman suggested that because it is a tax
3:29:19 > 3:29:24on a balance sheet, again, I dispute that. Banks are mostly
3:29:24 > 3:29:28international. HSBC for example, our largest bank, is a very
3:29:28 > 3:29:32international bank, they can choose where they deploy capital. Their
3:29:32 > 3:29:35finance director will sit on the side where to allocate capital
3:29:35 > 3:29:40around the world. If the taxation of regulatory regime in a particular
3:29:40 > 3:29:46jurisdiction leads to the return of that jurisdiction being
3:29:46 > 3:29:50unattractive, they will respond that is by allocating their resources, in
3:29:50 > 3:29:53this case their banking equity, somewhere else. I think there is
3:29:53 > 3:30:04unquestionably an affect to the bank levy. This does actually linked to a
3:30:04 > 3:30:08related point. One that the shadow chief secretary mentioned. That is
3:30:08 > 3:30:14the disaggregation of the bank levy to the non-UK part of a UK
3:30:14 > 3:30:21headquartered bank 's balance sheet. In these international times it is a
3:30:21 > 3:30:26matter of choice for a bank like HSBC to decide where its
3:30:26 > 3:30:29headquarters are. In particular, in relation, they were famously
3:30:29 > 3:30:35thinking of moving to a three years ago. And particular in relation to
3:30:35 > 3:30:39their non-UK assets. The majority of their balance sheets is non-UK. They
3:30:39 > 3:30:42have huge operations in Africa and the far east. Were we to continue
3:30:42 > 3:30:47levering the bank levy on their non-UK balance sheet, there would be
3:30:47 > 3:30:52a powerful, perhaps even irresistible temptation for them to
3:30:52 > 3:30:58change their arrangements such that those profits and balance sheet were
3:30:58 > 3:31:01booked through some other centre like Shanghai or more likely Hong
3:31:01 > 3:31:07Kong or possibly Singapore. So it is beneficial for the UK to have those
3:31:07 > 3:31:10assets books here because we get to the corporation tax, including the
3:31:10 > 3:31:15corporation tax surcharge to books through London. Clearly there are
3:31:15 > 3:31:19jobs connected with that as well. But if you leave the bank levy on
3:31:19 > 3:31:23the non-UK balance sheet and we drive that business overseas. The
3:31:23 > 3:31:27businesses overseas are ready but if it is books here. If we drive the
3:31:27 > 3:31:32business overseas we will lose the corporation tax and the jobs. This
3:31:32 > 3:31:37is a sensible corporation measure which protects London's status as a
3:31:37 > 3:31:39financial centre. That's part of the
3:31:39 > 3:31:41balance sheet is very internationally mobile. I will take
3:31:41 > 3:31:49all the interventions now.This is integral arguments to the economic
3:31:49 > 3:31:55prosperity to the UK. On the point he has raised, we would seek to keep
3:31:55 > 3:31:58the substantial national asset in the UK. It is Brexit that will drive
3:31:58 > 3:32:03it away. HSBC was Mac plans at the moment are entirely linked to the
3:32:03 > 3:32:08banking conditions on Brexit. If there was one phrase I would like to
3:32:08 > 3:32:12etch onto the door this chamber it is causation and correlation are not
3:32:12 > 3:32:19the same thing. That replies to to the honourable gentleman's argument.
3:32:19 > 3:32:2625% is the rate in most countries. Even conservative councils are
3:32:26 > 3:32:29effectively going bankrupt here. Surely that requires a greater
3:32:29 > 3:32:36degree of reflection and self analysis. Of the disastrous tax
3:32:36 > 3:32:41policies of the government over the past two years.On the point about
3:32:41 > 3:32:44correlation and causation, of course I understand that correlation and
3:32:44 > 3:32:49causation are not the same things. However, I said that corporation tax
3:32:49 > 3:32:53reductions points to some of the causal links. The two causal links I
3:32:53 > 3:32:59cited were firstly encouraging investment, the second was for
3:32:59 > 3:33:02companies to choose to move their domicile for example from
3:33:02 > 3:33:08Switzerland back to the UK. There are two causal explanations as to
3:33:08 > 3:33:12why a reduction in the rate of tax might lead to a reduction in the
3:33:12 > 3:33:21rate of tax yield.New clause three says that this new clause allows the
3:33:21 > 3:33:26government to carry out a banking levy including its effectiveness and
3:33:26 > 3:33:30the changes made in 2015 and the comparable effectiveness of the
3:33:30 > 3:33:33bankrupt tax. The stated aims are set out in the government's
3:33:33 > 3:33:39documents. Banks and building societies make a fair contribution
3:33:39 > 3:33:44reflecting the risks they pose etc. We are asking for a rebuke. If the
3:33:44 > 3:33:50honourable gentleman is so sure and his case, why not let have the
3:33:50 > 3:33:56review and see who's right in this debate?The government conducts
3:33:56 > 3:33:59analyses and reviews of the whole time. I'm not sure you need to put
3:33:59 > 3:34:05the face of primary legislation. Since the honourable gentleman makes
3:34:05 > 3:34:09reference to the new clauses. New clause three, new clause four and
3:34:09 > 3:34:14new clause three I think which stand in his name, I will turn now to
3:34:14 > 3:34:21those. The clauses as the gentleman says call for various reviews and
3:34:21 > 3:34:25various registers. Of course, analysis is important. That analysis
3:34:25 > 3:34:29I believe takes place in the Treasury already. I'm sure the
3:34:29 > 3:34:32financial Secretary will comment on that in due course. What is
3:34:32 > 3:34:40interesting is that in this set of clauses which has been tabled by the
3:34:40 > 3:34:44opposition is not so much what is in them but what is not in them. It is
3:34:44 > 3:34:48the dog that did not bark if I could borrow from Sir Arthur Conan Doyle.
3:34:48 > 3:34:54I mention an intervention that the Labour Party are meant to have taken
3:34:54 > 3:34:59a number of positions on the bank levy. Voting against it in 2011,
3:34:59 > 3:35:04against the surplus tax in 2015 and then stating in public that they
3:35:04 > 3:35:07wish to leave those things and leave the bank levy in place despite
3:35:07 > 3:35:14having voted against its introduction. I'm rather confused. I
3:35:14 > 3:35:18was rather hoping that they might enlighten us as to what their
3:35:18 > 3:35:23position actually was on the bank levy. This is primary legislation,
3:35:23 > 3:35:27the Finance Bill, soon to become the Finance Acts, I hope, the opposition
3:35:27 > 3:35:30had a chance in this chamber today to explain to the House and to the
3:35:30 > 3:35:34country how they think our tax system should work in relation to
3:35:34 > 3:35:37the bank levy. They could have tables had they chosen to an
3:35:37 > 3:35:40amendment saying they wanted to leave the bank levy in place as it
3:35:40 > 3:35:44was. They could have tabled an amendment abolishing it altogether.
3:35:44 > 3:35:51Yet they have done none of those things. They have simply called for
3:35:51 > 3:36:01analysis. I am disappointed their plans have not been brought up. I
3:36:01 > 3:36:07will give way.The gentleman cannot have it both wait. The government
3:36:07 > 3:36:10introduced an arcane procedure first used by Winston Churchill in 1920 to
3:36:10 > 3:36:17stop is moving substantive amendments. Whatever he wants us to
3:36:17 > 3:36:21do, does he recognise that we would not be able to change it anyway.I
3:36:21 > 3:36:28am not sure. This is a moment when the honourable member for North East
3:36:28 > 3:36:32Somerset is required to advise on such matters. I do not share his
3:36:32 > 3:36:40level of expertise. In parliamentary procedure. But I do note that the
3:36:40 > 3:36:45shadow chief secretary's extensive and amusing remarks he did not
3:36:45 > 3:36:51specify the Labour Party's official position on the bank levy. There are
3:36:51 > 3:36:54certainly no party procedure that prohibits him from doing so. He
3:36:54 > 3:36:58could quite easily have chosen to specify exactly what his view was.
3:36:58 > 3:37:03Should it continue as it is, should it go or should it go somewhere
3:37:03 > 3:37:07else. But he did not do so. So I am disappointed by the lack of clarity
3:37:07 > 3:37:12on that point. His colleague in one of his many interventions said a few
3:37:12 > 3:37:19moments ago that HSBC might contemplate their jurisdiction in
3:37:19 > 3:37:23light of Brexit. Of course, in fact HSBC were debating where to domicile
3:37:23 > 3:37:31themselves well before the referendum. I must say that if
3:37:31 > 3:37:36anyone or if anything threatens the City of London's status as a global
3:37:36 > 3:37:40financial centre it is not the matter is being debated today, it is
3:37:40 > 3:37:43not Brexit, it is the right Honourable member for Islington
3:37:43 > 3:37:49North and the comments he made a day or two ago which threatened to in
3:37:49 > 3:37:53the words of one commentator turn London into a new version of John
3:37:53 > 3:37:57Yang. That is what he said. It was in the Evening Standard. --
3:37:57 > 3:38:06Pyongyang. Edited by a highly reputable journalist. Now PWC has
3:38:06 > 3:38:13done some analysis on the tax contribution that the bank services
3:38:13 > 3:38:19make. They found that £72.1 billion in taxes were paid by the financial
3:38:19 > 3:38:24services sector. That is around about 9% of the UK's total tax take.
3:38:24 > 3:38:32So it is no laughing matter when misguided and populist politicians
3:38:32 > 3:38:38take a cheap shot at the city to get some headlines. If business is
3:38:38 > 3:38:41driven away the implications for our tax take and for employment will be
3:38:41 > 3:38:49very severe and the people affected will of course be children and the
3:38:49 > 3:38:54NHS if we lose that tax revenue being generated by the city. That is
3:38:54 > 3:38:58why I should perhaps ask the shadow chief secretary to gently convey to
3:38:58 > 3:39:05his dear leader that comments such made a day or two ago very unhelpful
3:39:05 > 3:39:12felicity. They endanger job and jeopardise the tax that city pays.
3:39:12 > 3:39:15Whether it is through fiscal measures or through words, when we
3:39:15 > 3:39:21endanger jobs and tax revenue that fund the NHS, that is two thirds of
3:39:21 > 3:39:27the NHS's by that being funded by the city -- budget. We should
3:39:27 > 3:39:33protect that tax revenue and those jobs. I will leave it to the two
3:39:33 > 3:39:37gentleman to decide who intervenes. I am more than happy to convey to my
3:39:37 > 3:39:43honourable friend the Leader of the Opposition his comments which I do
3:39:43 > 3:39:47not accept. But will he also passed on my comments to the Prime Minister
3:39:47 > 3:39:51that she is making a mess of Brexit that is far more dangerous to this
3:39:51 > 3:39:56country than the comments allegedly said by the Leader of the
3:39:56 > 3:40:00Opposition.There is no allegation. They were said publicly. I will of
3:40:00 > 3:40:03course convey his comments as well. I will do that in the spirit of
3:40:03 > 3:40:11reciprocation. But I dispute the comments about Brexit. We saw before
3:40:11 > 3:40:14Christmas that we are moving onto the next stage and I'm looking
3:40:14 > 3:40:17forward to speeches from my Cabinet colleagues in the days and weeks
3:40:17 > 3:40:23which I appreciate an a different topic to the one currently at hand.
3:40:23 > 3:40:26Mr Speaker, for the record I must defend the Leader of the Opposition
3:40:26 > 3:40:31and say that the comments were that finance must serve industry and in
3:40:31 > 3:40:36this country we have defined ways to increase lending to business to
3:40:36 > 3:40:38increase more productive outcomes for the country. All things that
3:40:38 > 3:40:47were Revista said by the former Chancellor of the Exchequer who now
3:40:47 > 3:40:50works for the Evening Standard. I thought those comments were very
3:40:50 > 3:41:00favourable.I'm not sure I can response to that. I think his
3:41:00 > 3:41:04colleagues remarks went rather further than he just suggested.
3:41:04 > 3:41:10Perhaps it is time, Madam Deputy Speaker, to move on to clauses
3:41:10 > 3:41:21relating to tax avoidance and tax evasion regularly new clause six. In
3:41:21 > 3:41:25his remarks, the shadow chief secretary made a series of quite
3:41:25 > 3:41:30serious allegations about the government's effectiveness over the
3:41:30 > 3:41:37last seven years. In combating tax avoidance. And tax evasion. I have
3:41:37 > 3:41:41to say that I disagree quite strongly with the premise of his
3:41:41 > 3:41:46points. He suggested that the governments, current governments,
3:41:46 > 3:41:54had been slow to act. Or indeed had not acted in these areas. So I would
3:41:54 > 3:41:57gently draw his attention to the fact that the government has taken
3:41:57 > 3:42:04in the last seven years 75 different measures designed to combat tax
3:42:04 > 3:42:08evasion and tax avoidance. These have raised cumulatively since 2010
3:42:08 > 3:42:15£160 billion. Any of those measures close loopholes, glaring loopholes,
3:42:15 > 3:42:22which had been left open by the predecessor Labour government. Some
3:42:22 > 3:42:27of those are mentioned. For example, under the last Labour government it
3:42:27 > 3:42:32was possible to have permanent non-Dom status. This Bill will end
3:42:32 > 3:42:41permanent non-bomb status. We had prior to 2010 the so called Mayfair
3:42:41 > 3:42:44tax. Where some people in the hedge fund industry ended up playing less
3:42:44 > 3:42:50tax than their cleaners. A 10% rate of tax by having their capital gains
3:42:50 > 3:43:00tax carried with them trouble -- entrepreneurial benefits. Avoiding
3:43:00 > 3:43:05stamp duty by placing residential property into corporate wrappers has
3:43:05 > 3:43:09been tightened up. There is probably more we can do but it has certainly
3:43:09 > 3:43:16been tightened up. Moreover, we have made sure that foreign purchases of
3:43:16 > 3:43:19residential property do pay capital gains tax on their disposals. That
3:43:19 > 3:43:25will now shortly in this finance Bill the applied to commercial
3:43:25 > 3:43:29property as well. I have listed five or six of those 75 measures, all of
3:43:29 > 3:43:35which are been taken since 2010. It is no accident. There is a causal
3:43:35 > 3:43:38link between those actions and the additional amount of tax being
3:43:38 > 3:43:43collected.
3:43:43 > 3:43:47I am sorry I was late for the beginning of his speech and he has
3:43:47 > 3:43:52given us a list of what the Conservative Government did over the
3:43:52 > 3:43:56last seven years. The previous Conservative Government, before the
3:43:56 > 3:44:02last Labour government, didn't do very much about all these loopholes
3:44:02 > 3:44:08the honourable gentleman has given us a litany on.He's ace-king me to
3:44:08 > 3:44:12comment on the actions of the government over 20 years ago. I am
3:44:12 > 3:44:15commenting on the government who has been in office over the last eight
3:44:15 > 3:44:20years and the record is proud and I stand behind it. It is because of
3:44:20 > 3:44:26these measures are tax has reduced down to 6%, the lowest in the world.
3:44:26 > 3:44:30Better than the tax gap under the last Labour government. My head the
3:44:30 > 3:44:35honourable member for Walthamstow, I think it was her, from a sedentary
3:44:35 > 3:44:39position draw reference to profit shifting. Maybe it was the
3:44:39 > 3:44:45honourable member for Ilford South. It was that shadow chief secretary.
3:44:45 > 3:44:51She made reference to profit shifting. Profit shifting is a
3:44:51 > 3:44:56serious matter and that is why I am pleased the UK Government are at the
3:44:56 > 3:45:03fore front of the oh ACD initiative and I am right in saying action five
3:45:03 > 3:45:13of that is designed to clamp down on profit sharing. I am pleased the UK
3:45:13 > 3:45:20Government have been taking action in that area. I will give way.I am
3:45:20 > 3:45:23delighted from his position of expertise he is reminding us of the
3:45:23 > 3:45:28great record we have of collecting tax which pays for schools,
3:45:28 > 3:45:32hospitals and police services up and down the country, as well as in
3:45:32 > 3:45:36Redditch, which I care about the most. Does he agree we have
3:45:36 > 3:45:41collected £12.5 billion more than if we had left the tax gap at the same
3:45:41 > 3:45:48state labour left us with. It is 12 point billion pounds -- £12.5
3:45:48 > 3:45:52billion to be spent in constituencies.It sounds
3:45:52 > 3:45:57theoretical, the tax gap being 6% rather than 8% bequest to others by
3:45:57 > 3:46:03Gordon Brown, but that 2% is billions of pounds, which funds the
3:46:03 > 3:46:07NHS and schools. Talking about these avoidance measures we're not talking
3:46:07 > 3:46:13about something which is of academic interest, it is precisely these
3:46:13 > 3:46:16measures which funds are public services and that is why they are so
3:46:16 > 3:46:23important. Turning now to the opposition's amendments and new
3:46:23 > 3:46:27clauses. I was once again, on looking at the Amendment paper
3:46:27 > 3:46:33earlier, rather surprised. The official amendment or new Clause
3:46:33 > 3:46:39six, tabled by the opposition calls for a review and analysis. Analysis
3:46:39 > 3:46:44which I'm sure is conducted already by the Treasury and the financial
3:46:44 > 3:46:50Secretary will point out in a few moments, but there was an absence, a
3:46:50 > 3:46:55silence, Tumbleweed was rolling across the Amendment paper where I
3:46:55 > 3:46:59would have expected to see an abundance of ideas from the fertile
3:46:59 > 3:47:03mind of the shadow chief secretary, proposing ideas that we might have
3:47:03 > 3:47:11adopted or at the very least, in his speech, if he couldn't have done it
3:47:11 > 3:47:14as an amendment because of some arcane parliamentary reason, he
3:47:14 > 3:47:23might at least, in his speech, have proposed some ideas because I note
3:47:23 > 3:47:26the financial Secretary to the Treasury is an extremely attentive
3:47:26 > 3:47:34and receptive minister. And have the shadow chief secretary proposed some
3:47:34 > 3:47:38constructive ideas, I am sure the financial Secretary would have
3:47:38 > 3:47:41listened very carefully. I am very disappointed that after all the
3:47:41 > 3:47:48noise and there I say, his bluster, all the noise we heard in his
3:47:48 > 3:47:54speech, we didn't hear any concrete ideas. I am sure we are open to new
3:47:54 > 3:47:59ideas, yet we didn't hear any in what was otherwise a very amusing
3:47:59 > 3:48:06and entertaining speech. So I am disappointed, I have to say I am
3:48:06 > 3:48:11disappointed. If the financial Secretary is in the market for new
3:48:11 > 3:48:19ideas on avoidance Kos -- because I'm sure he is, one that was
3:48:19 > 3:48:23discussed yesterday in the debate on sanctions, that is making the
3:48:23 > 3:48:27ultimate beneficial ownership of property and land recorded in the
3:48:27 > 3:48:33land Registry, something that was suggested by David Cameron a couple
3:48:33 > 3:48:39of years ago. If we did that, when the ultimate beneficial ownership of
3:48:39 > 3:48:47those properties change, we might levy stamp duty on that beneficial
3:48:47 > 3:48:50ownership as if the ownership of that property had been transferred.
3:48:50 > 3:48:58Because it is held in a lot of corporate wrappers. Ownership of the
3:48:58 > 3:49:03company is transferred and then there is no record of that in the UK
3:49:03 > 3:49:08and therefore no stamp duty is paid. So there is an idea which might
3:49:08 > 3:49:11raise some more stamp duty. I could hardly criticise the shadow chief
3:49:11 > 3:49:15secretary for his lack of ideas without proposing at least one
3:49:15 > 3:49:20myself. I hope the front bench will give some thought to that idea in
3:49:20 > 3:49:31due course. In concluding, let me simply say, I am glad I said
3:49:31 > 3:49:43something which finds favour on the opposition bases. -- benches. The
3:49:43 > 3:49:48action on the bank levy contemplated in this bill is the right action, we
3:49:48 > 3:49:52are taxing Banks more heavily and raising more money than we have done
3:49:52 > 3:49:58before but we must be more mindful the risk we drive some of these
3:49:58 > 3:50:02companies overseas at a time when they contribute 9% of our total
3:50:02 > 3:50:06income. I am proud this government has delivered the lowest tax gap in
3:50:06 > 3:50:10the world, has improved the position by a quarter from that they
3:50:10 > 3:50:14inherited. It pays the public services, as my honourable friend
3:50:14 > 3:50:18from Redditch pointed out, it is a good record, a record I am proud of
3:50:18 > 3:50:26and I look forward to supporting this Bill this afternoon.I rise to
3:50:26 > 3:50:30show my support for the amendments tabled in the name of the opposition
3:50:30 > 3:50:35front bench and also to formally move amendments one, two, three and
3:50:35 > 3:50:41four in this particular section. These amendments all speak to a
3:50:41 > 3:50:46long-held concern of mine. I was into PFI before all the cool kids
3:50:46 > 3:50:53were. Which speak to are concerned that is not enough as politicians to
3:50:53 > 3:50:56identify when something has gone wrong and shrug our shoulders and
3:50:56 > 3:51:02say, it is complicated. Because the consequences for the communities we
3:51:02 > 3:51:07represent and this country's public finances are so toxic, it is vital
3:51:07 > 3:51:11we act. George Bernard Shaw said sometimes political necessities turn
3:51:11 > 3:51:17out to be political mistakes. Let me be clear, I am not seeking to blame
3:51:17 > 3:51:22anyone. Governments of all colours used PFI. They started in 1992 and
3:51:22 > 3:51:27they have gone on to the present day. But the last Labour government
3:51:27 > 3:51:31used PFI to fund things. It wasn't an ideological decision, it was
3:51:31 > 3:51:36about keeping borrowing off the books. But we know how costly these
3:51:36 > 3:51:41decisions have been for this country. We know now that every
3:51:41 > 3:51:45single school and hospital and street lighting and motorway that
3:51:45 > 3:51:48might have been built that was needed, but the consequences of
3:51:48 > 3:51:52these costs mean we may not be able to build these things in the future.
3:51:52 > 3:51:58What I am here today to do is to propose a way we can act now, as our
3:51:58 > 3:52:02parliament, to get money back for public services. Could be one of us
3:52:02 > 3:52:07will have one of these projects in our constituencies. We can talk
3:52:07 > 3:52:10about the numbers involved, £60 billion worth of Capitol Building on
3:52:10 > 3:52:16which we will pay back £200 billion. Truly, these are the legal loan
3:52:16 > 3:52:21sharks of the public sector. Charging an excessive rate of
3:52:21 > 3:52:24interest, in comparison to public sector borrowing for building and
3:52:24 > 3:52:29running services for us. Members opposite might say, the cost you're
3:52:29 > 3:52:33talking about includes services, so it is worth breaking down those
3:52:33 > 3:52:40charges. Last year, this country paid out £10 billion in PFI
3:52:40 > 3:52:43repayments. Over half of that was for interest and charges. So the
3:52:43 > 3:52:47money we are paying out for PFI is not paying for those schools and
3:52:47 > 3:52:51hospitals to be run. It is paying the profits for the companies we
3:52:51 > 3:52:57borrowed from to be able to build in the first place. The National Audit
3:52:57 > 3:53:01Office has done absolutely sterling work uncovering just how bad value
3:53:01 > 3:53:06for money calculation it was to go with PFI. On average, these projects
3:53:06 > 3:53:10are up to 4% more expensive than government borrowing at the time and
3:53:10 > 3:53:21now in total, with fees included, they are more expensive. We know
3:53:21 > 3:53:28that interest matters because we know the costs aren't about the
3:53:28 > 3:53:32management of the project, they are about the profits being made. Every
3:53:32 > 3:53:37MP who is being lobbied about their schools and hospitals, needs to
3:53:37 > 3:53:41recognise that 20% of the extra money the government says it is
3:53:41 > 3:53:45giving to schools and hospitals will not touch the sides of the emergency
3:53:45 > 3:53:48wards. It will not go into the budgets of teachers to pay for the
3:53:48 > 3:53:54books and the classes are schoolchildren need. It will go out
3:53:54 > 3:53:57of the public sector into pure profit for these companies. The
3:53:57 > 3:54:01Centre for health and the public interest has gone through the
3:54:01 > 3:54:05accounts of these companies, just a few hundred that do the schools and
3:54:05 > 3:54:10hospitals, to identify just how much money. £1 billion in form of pre-tax
3:54:10 > 3:54:19profit from the NHS deals alone. 125 of the 700 PFI projects. We know the
3:54:19 > 3:54:24company that holds the contract for University College London, has made
3:54:24 > 3:54:31£190 million alone in the past decade, out of the £725 million the
3:54:31 > 3:54:35NHS has paid it. In short, it has made enough in profits to build and
3:54:35 > 3:54:42run an entire hospital. We need to talk about the human cost. I became
3:54:42 > 3:54:47interested in PFI when I could see the damage it was doing to my local
3:54:47 > 3:54:52hospital, Whipps Cross in Walthamstow. And to Frederick Brehme
3:54:52 > 3:54:54School in Walthamstow where the headteacher is now desperately
3:54:54 > 3:54:57struggling to balance her budget in the face of cuts from this
3:54:57 > 3:55:02government to the school's budget. But the one repayment she cannot cut
3:55:02 > 3:55:11is the PFI repayments. But the biggest PFI in our NHS, £1 billion
3:55:11 > 3:55:16capital build, £7 billion repaid is paying £150 million a year of which
3:55:16 > 3:55:21£74 million is interest alone. No wonder the hospital is in such
3:55:21 > 3:55:29persistent financial difficulties. I will give way.She is making a
3:55:29 > 3:55:32powerful case, Whipps Cross Hospital also serves my constituents, but to
3:55:32 > 3:55:39the east you have Queens hospital in Romford. The PFI are such that they
3:55:39 > 3:55:44are creating enormous financial pressures on the barking, Heybridge
3:55:44 > 3:55:48and Redbridge NHS trusts. The she agreed this underpins the urgency of
3:55:48 > 3:55:52this issue, looking out what really has happened and clawing back some
3:55:52 > 3:55:57of the excessive greed to better fund our public services?My
3:55:57 > 3:56:01next-door neighbour MP pre-empts the argument I am. These amendments
3:56:01 > 3:56:08speak to the 700 existing contracts. I believe and I'm pleased the
3:56:08 > 3:56:12support from the front bench, the damage these contracts are doing
3:56:12 > 3:56:16now, every day, in those schools where headteachers are having to
3:56:16 > 3:56:20consider sacking people, but cannot cut the repayments and where these
3:56:20 > 3:56:23hospitals are cancelling operations but cannot reduce the repayments to
3:56:23 > 3:56:28their lenders, we must do something urgently. And we can do something.
3:56:28 > 3:56:33The sixth form College in Haywards Heath where there is no sixth form,
3:56:33 > 3:56:38because nobody will take on the PFI debt of that school.
3:56:38 > 3:56:41Northamptonshire Council, we keep talking about it. It is selling its
3:56:41 > 3:56:47own buildings because it is going bankrupt, but it will owe £240
3:56:47 > 3:56:54million to PFI deals, just five PFI deals in the next two to five years
3:56:54 > 3:56:59in which £77 million is interest payment. Siri Council, also in
3:56:59 > 3:57:05financial difficulties. Again, £386 million PFI commitments, it will not
3:57:05 > 3:57:13be able to reduce, of which 51 million is interest alone.
3:57:13 > 3:57:19We now know from Carillion that the idea of working with the private
3:57:19 > 3:57:22sector would somehow transfer the risk of these construction and
3:57:22 > 3:57:27management projects to the private sector has been thoroughly debunked.
3:57:27 > 3:57:33Because it is very, very simple. We do not let schools and hospitals go
3:57:33 > 3:57:37bust because we know that means that kids don't get taught and patients
3:57:37 > 3:57:42don't get treated. So why have we got into deals and why do we
3:57:42 > 3:57:45continue to get into deals that presume that somehow we can get out
3:57:45 > 3:57:50of them if contractors don't deliver is a mystery to me. Certainly it is
3:57:50 > 3:57:55a debate for another time in this place about what is a better way to
3:57:55 > 3:57:59borrow from, when there is so little competition for our business. I
3:57:59 > 3:58:03believe that is where the answer lies. When we look at this industry
3:58:03 > 3:58:08and we looked at was new clauses one, two, three and four, new
3:58:08 > 3:58:13amendments come we're not talking about an industry of hundreds of
3:58:13 > 3:58:17companies, that work by the Centre for health and public interest also
3:58:17 > 3:58:23found that 92% of all the PFI deals within the NHS were owned or appear
3:58:23 > 3:58:28to have equity from just eight companies. These are a small number
3:58:28 > 3:58:32of companies who have captured a market and are therefore setting a
3:58:32 > 3:58:37price and we and the public sector is paying the consequences. I look
3:58:37 > 3:58:44to one of those that owns my local hospital, which is cross, it has
3:58:44 > 3:58:53just 25 members of staff. It is not just day-to-day doing the blood
3:58:53 > 3:59:00tests. It stands to make £18 billion from PFI deals. It has is property
3:59:00 > 3:59:10based over in Guernsey. Those eight companies, Barclays, into serve, etc
3:59:10 > 3:59:15are making millions of pounds in profit as we are watching our
3:59:15 > 3:59:18councils go bust, our schools get closed down and our hospitals
3:59:18 > 3:59:24struggling. And, yes, it has got harder to this government because
3:59:24 > 3:59:28the cuts they have made but under any government, asking our public
3:59:28 > 3:59:32services to pay back at these excessive rates of interest would be
3:59:32 > 3:59:36untenable. So let's look at what we could actually do and where these
3:59:36 > 3:59:40amendments have come from. I hear and I understand the calls from
3:59:40 > 3:59:44people to get rid of these contracts out right and say we're not going to
3:59:44 > 3:59:49pay but we know that these contracts are just as expensive to counsel as
3:59:49 > 3:59:58they are to carry on. -- cancel. They have been costed specifically
3:59:58 > 4:00:04to make sure interests are protected. It is not just about
4:00:04 > 4:00:07repayment charges and covering those costs, we would have two cover the
4:00:07 > 4:00:12interest rate swaps which were built into these contracts to make sure
4:00:12 > 4:00:17they were always profitable. It would cost 220 billion to tell these
4:00:17 > 4:00:22contracts. And indeed, the judgment from the Council of Europe in the
4:00:22 > 4:00:271980s clarifies explicitly the law around nationalisation and the
4:00:27 > 4:00:32compensation that would be required to be paid to companies were we to
4:00:32 > 4:00:36cancel these contracts. But let me tell MPs on this, contracts and laws
4:00:36 > 4:00:42might speak on the side of this of what is known to the public sector,
4:00:42 > 4:00:46but tax law isn't. And yes, I have been through the hundreds of pages
4:00:46 > 4:00:50of the contracts, I have seen those clauses but I've also been through
4:00:50 > 4:00:54the clauses that clarify that tax rates can change. The government
4:00:54 > 4:00:58agrees because when I asked them, they seem to think that the benefits
4:00:58 > 4:01:02they had got from changes in the tax regime are to the victors the
4:01:02 > 4:01:06spoils. That is why I have disabled these amendments because I believe
4:01:06 > 4:01:10that Parliament and MPs struggling in their constituency with these
4:01:10 > 4:01:16loans would take a very different view. Corporation tax matters
4:01:16 > 4:01:19because when the value for money assessment was done in using PFI,
4:01:19 > 4:01:25there was a explicit calculation and how much tax these companies would
4:01:25 > 4:01:31pay. Most of the 700 existing deals were signed at rates of 13% or more.
4:01:31 > 4:01:36I'm sure the member for Croydon and his advocacy of cutting corporation
4:01:36 > 4:01:40tax would not agree that when these companies are now facing rates of
4:01:40 > 4:01:4417% and his local schools and hospitals, and I know that many
4:01:44 > 4:01:49hospitals are affected by PFI in south London, are not getting the
4:01:49 > 4:01:54investment they definitely need to keep going. This is an amount of
4:01:54 > 4:01:57money they agree to pay at the point at which contracts were signed. We
4:01:57 > 4:02:01have been through the accounts. The number which the Centre for health
4:02:01 > 4:02:07and public interest can give our small C Conservative because we
4:02:07 > 4:02:14cannot be clear. But already these companies have had a windfall of
4:02:14 > 4:02:18£190 million in the NHS alone through reductions in corporation
4:02:18 > 4:02:26tax. In our school system it would be a £60 million windfall by 2020.
4:02:26 > 4:02:31Now, that money is money we expected for our public services. We also did
4:02:31 > 4:02:35not expect to pay excessive rates of interest and yet the evidence is
4:02:35 > 4:02:39there. So the question for all of us is what can we do to act. Amendments
4:02:39 > 4:02:46one, two, three and four speak to what we can do now. This year,
4:02:46 > 4:02:50within months, is to send a very clear message to the PFI companies
4:02:50 > 4:02:55that time is up. We're not going to accept these kinds of contract any
4:02:55 > 4:02:59more and the damage that they are doing to our local public services.
4:02:59 > 4:03:03If they will not, the small group of them, come forward with a proposal
4:03:03 > 4:03:08to reduce these repayments, I would gently urge the Minister, I know his
4:03:08 > 4:03:11department has been resistance to some of my questions about how often
4:03:11 > 4:03:16he has met with these companies, but I hope he could agree that he did
4:03:16 > 4:03:19get these eight companies around the table, looking at their portfolios
4:03:19 > 4:03:30of loans and reducing the cost, then we could generate some real savings.
4:03:30 > 4:03:32Asking individual hospitals and schools to renegotiate against their
4:03:32 > 4:03:34expensive lawyers will save very little. But if the government took
4:03:34 > 4:03:40the lead on this and negotiated with these eight companies, we could get
4:03:40 > 4:03:44money back now. If we cannot get them to negotiate, if they continue
4:03:44 > 4:03:49to be stubborn and resist any change in these contracts, then yes, let us
4:03:49 > 4:03:53use a windfall tax to make sure we get cashback for our public
4:03:53 > 4:03:58services. Amendment one is a review. I have the member for Croydon will
4:03:58 > 4:04:06enjoy much as I do reading the resolutions for these. But it simply
4:04:06 > 4:04:11asks for a review of how much it would raise were we to apply the
4:04:11 > 4:04:15bank levy to these financing companies. If that does not attempt
4:04:15 > 4:04:18him, then I tempt him to Amendment three which is more explicitly about
4:04:18 > 4:04:23calculating windfall tax on these companies. It seeks to work out just
4:04:23 > 4:04:27how much extra they have made from the original deals and thence to
4:04:27 > 4:04:32claw it back by adjusting their tax allowances accordingly. At this
4:04:32 > 4:04:36point all we want to do is clarify how much it would raise to give the
4:04:36 > 4:04:39government is the negotiating tactic they need to get these companies to
4:04:39 > 4:04:44do what is right, to get round a table, just as we would when people
4:04:44 > 4:04:47come to us in our constituencies and they have got themselves into debt,
4:04:47 > 4:04:52we would look to consolidate their loans. This amendment is about
4:04:52 > 4:04:56sending a clear message to this industry that Parliament will act,
4:04:56 > 4:05:01we will not go another year of listening to those headteachers and
4:05:01 > 4:05:04hospital managers telling us they cannot cope with these loans, that
4:05:04 > 4:05:09we will do something about it. The government will claim that they are
4:05:09 > 4:05:11entitled to this bonus because they will took on the risk of the
4:05:11 > 4:05:17buildings but it is clearly an unexpected bonus and it is clearly
4:05:17 > 4:05:23an opportunity to make progress. I simply say to the Minister if he
4:05:23 > 4:05:26will not accept these amendments and commits to negotiating with these
4:05:26 > 4:05:32companies today to get the urgently needed money back for hospitals and
4:05:32 > 4:05:36schools all around the country which are going bust, he has to explain
4:05:36 > 4:05:40just how he is going to get us a better deal on these existing
4:05:40 > 4:05:45contracts, because I will put him on record. It's maybe that we cannot
4:05:45 > 4:05:49tell these contracts but certainly, as you have seen today, a Labour
4:05:49 > 4:05:52government would get those companies round the table. We would make sure
4:05:52 > 4:05:58they pay their dues those excessive profits abroad back in. So we did
4:05:58 > 4:06:01not see teachers in our constituencies to have to fund
4:06:01 > 4:06:10raised to pay for books and pencils for art students was these companies
4:06:10 > 4:06:14making millions or billions of pounds at our expense. Sometimes
4:06:14 > 4:06:19necessity becomes a political mistake but the necessity here is to
4:06:19 > 4:06:26axe and I urge the Minister to listen.I'm going to keep my
4:06:26 > 4:06:33comments focused on the bank levy, PFI and tax evasion. I believe that
4:06:33 > 4:06:39results speak for greater than rhetoric. The banking sector paid
4:06:39 > 4:06:52billions of pounds in the 2016-2017 year. I also understand that the
4:06:52 > 4:06:57proposals at the moment suggest that they will raise an additional 1.8
4:06:57 > 4:07:05billion of pounds for the Exchequer. I have a lot of sympathy for the
4:07:05 > 4:07:08honourable member for Walthamstow and her comments, however, I do
4:07:08 > 4:07:12think that one size fits all is not appropriate. I have experience with
4:07:12 > 4:07:20PFI. In 2012 I launched a campaign. The last Labor Secretary signed a
4:07:20 > 4:07:24deal for the surgery centre in Stevenage to be operated by
4:07:24 > 4:07:34brilliant. As a results, eight and found half -- 8500 deals were lost.
4:07:34 > 4:07:41As a result, I ran a very long and hard campaign and I persuaded the
4:07:41 > 4:07:44Health Secretary in 2013 to nationalise that facility and return
4:07:44 > 4:07:52it to my local hospital trust. So a piece of the NHS was privatised by
4:07:52 > 4:07:57the last Labour Health Secretary. If there is a specific issue you are
4:07:57 > 4:08:03able as the local member to go in there and make a change. I took
4:08:03 > 4:08:07currently on in 2012 and I want. As a result we launched a campaign to
4:08:07 > 4:08:12stop a blacklisting and then we won again on stopping blacklisting
4:08:12 > 4:08:16amongst construction workers. So it is very important that individual
4:08:16 > 4:08:18members of Parliament identify problems with PFI in their areas and
4:08:18 > 4:08:24then we can work and tackle on them as individuals. In terms of tax
4:08:24 > 4:08:29evasion, I think it is very important that people look at what
4:08:29 > 4:08:37they can do as individuals. Again, back in 2012, I launched a campaign
4:08:37 > 4:08:43before it was fashionable for tax transparency to be launched. I wrote
4:08:43 > 4:08:48to all FTSE 100 executives in association with Christian Aid
4:08:48 > 4:08:51asking them if they would help developing countries around the
4:08:51 > 4:08:56world with tax transparency. It is almost a race to the bottom in some
4:08:56 > 4:09:03areas with what each country will offer the these large national is to
4:09:03 > 4:09:15move around. It was all before tax evasion was far more fashionable. As
4:09:15 > 4:09:17a result, the government got involved and I'm very pleased to see
4:09:17 > 4:09:25that since 2000 and additional billions of pounds has been raised.
4:09:25 > 4:09:29For me that there's an additional hundred £60 billion that has been
4:09:29 > 4:09:36invested in local National Health Service. It has been paid for by the
4:09:36 > 4:09:39government and not by outside organisations or PFI. It is money
4:09:39 > 4:09:45that is being invested in children's futures in my constituency. I do
4:09:45 > 4:09:47think that individual members of Parliament and a great opportunity
4:09:47 > 4:09:53to go out there may change in their areas if there specific issues they
4:09:53 > 4:10:07can tackle and it is possible to win on those issues.I was a as
4:10:07 > 4:10:11surprised as you were at the brevity of that speech. I was willing the
4:10:11 > 4:10:16member of Croydon South to keep going for an extra 30 seconds to hit
4:10:16 > 4:10:20the 30 minute mark because he was so close but not quite there. I want to
4:10:20 > 4:10:24talk specifically on the issues of the various topics that we were
4:10:24 > 4:10:30discussing around the bank levy, tax avoidance and briefly on PFI. Just
4:10:30 > 4:10:34say that we will be supporting the amendments put forward by the
4:10:34 > 4:10:39honourable for Walthamstow. I will not expand on that because I think
4:10:39 > 4:10:45she has covered the issue fairly broadly. On the bank levy, it was in
4:10:45 > 4:10:49the 2017 manifesto that we do not support the reductions there have
4:10:49 > 4:10:53been to the bank levy and we support the reversal of those reductions.
4:10:53 > 4:10:56What is being put forward by the Labour Party in relation to this is
4:10:56 > 4:11:01a very good way to tackle this given, as has been said in some of
4:11:01 > 4:11:04the exchanges across the House, it was not an amendment of a
4:11:04 > 4:11:10resolution, and not an ability for us to remove some of the more it
4:11:10 > 4:11:13interesting and exciting things we would have liked to do. I hope the
4:11:13 > 4:11:16next time there is a finance Bill the government does choose to do
4:11:16 > 4:11:21that and I hope that if we end up with a Labour Party they will make
4:11:21 > 4:11:28that change and ensure that it comes through without any budgets process
4:11:28 > 4:11:31of finance Bill that we have because that is the only way we can have
4:11:31 > 4:11:36that reasonable level of discussion around this. Moving on specifically
4:11:36 > 4:11:40to the bank levy, as I said, we oppose the reductions there have
4:11:40 > 4:11:45been. The new clause three that has been put forward in relation to this
4:11:45 > 4:11:48I think tackles this in the most sensible way that we can as the
4:11:48 > 4:11:53opposition in this debate, constrained as we are. It is about
4:11:53 > 4:11:56looking at the effectiveness of the bank levy and looking at how much
4:11:56 > 4:12:01money does in fact take in and whether or not there will be other
4:12:01 > 4:12:04opportunities to do different things that would involve more money being
4:12:04 > 4:12:08taken into the Chaudhary. I think we are in a strange position. It was
4:12:08 > 4:12:13funny to hear people talking about the city. When I speak to people in
4:12:13 > 4:12:17the city it seems like my views as a fairly left-wing person in the SNP
4:12:17 > 4:12:23seem to have accorded pretty closely with some of the city views right
4:12:23 > 4:12:28now, whereas most of them are upset about the set. Actually I have more
4:12:28 > 4:12:32in common with them than I feel I have ever had before where is the
4:12:32 > 4:12:38Conservatives have less in common is an with them because they are very
4:12:38 > 4:12:42upset about the issues that will be thrown up because of Brexit. So we
4:12:42 > 4:12:50are in a very strange situation right now where this is the case.
4:12:50 > 4:12:55I will not stop mentioning, trying to follow on from the work of Roger
4:12:55 > 4:13:00Mullen, it was welcome the government did create a review
4:13:00 > 4:13:06around SLP, but we are to see actual solid action coming out of that and
4:13:06 > 4:13:11it would be nice to know when we'll see the SLP stamp down on and get a
4:13:11 > 4:13:16situation where it will be no longer in existence and we have a system
4:13:16 > 4:13:20where people can not abuse the Scottish Limited partnerships. It'll
4:13:20 > 4:13:24be interesting to see that coming forward in relation to tax avoidance
4:13:24 > 4:13:29and evasion. For more creative solutions to this, the SNP have
4:13:29 > 4:13:35called for rules are ranked this to be devolved to Scotland. We think it
4:13:35 > 4:13:40would be done better, as we think we would do everything better. But
4:13:40 > 4:13:44around this matter, we feel, the government has been recognised in
4:13:44 > 4:13:59the action it has taken, we feel would be in a better position to
4:13:59 > 4:14:03tackle tax avoidance and evasion. The member for Croydon South talked
4:14:03 > 4:14:09about fairness and how the situation is perhaps more further than it has
4:14:09 > 4:14:14been in relation to the tax gap. But the point we are making and will
4:14:14 > 4:14:21continue to make, the system isn't fair. If we have any tax, where a
4:14:21 > 4:14:25situation, for example, we don't have enough customs officers to make
4:14:25 > 4:14:29all the checks we need to make, we have a situation where people can
4:14:29 > 4:14:36avoid tax because there aren't enough customs officers to check.
4:14:36 > 4:14:42Any situation where there is any tax, no matter how that compares to
4:14:42 > 4:14:47other countries, is a problem for us. On the issue of comparison to
4:14:47 > 4:14:54other countries, there was a report in 2014 which showed smaller
4:14:54 > 4:14:59countries had a smaller tax because they are better able to crack down
4:14:59 > 4:15:03on tax avoidance, because they can have a situation where they can
4:15:03 > 4:15:08better police things coming in and out, where they can ensure tax
4:15:08 > 4:15:13avoidance and evasion doesn't happen. Just another point in the
4:15:13 > 4:15:17case for Scottish independence. Around these things, the new clause
4:15:17 > 4:15:20three if the Labour Party decided to move that, we would support them in
4:15:20 > 4:15:26that basis. I am not going to take a long time to speak about this, my
4:15:26 > 4:15:30point have been made in previous part of this debate, but we support
4:15:30 > 4:15:36making more changes to this to crack down on tax avoidance, tax evasion
4:15:36 > 4:15:45and undo the reduction to the bank levy.It is a real pleasure to
4:15:45 > 4:15:48follow the CLARE BALDING: From Aberdeen North and other
4:15:48 > 4:15:57contributions that have been made. -- laid I want to bust the myth that
4:15:57 > 4:16:02we and the side of the House, some kind of friends of the forest bank
4:16:02 > 4:16:07and bad people trying to swindle money out of the honest taxpayer.
4:16:07 > 4:16:12Nothing could be further from the truth. We on this side want to see a
4:16:12 > 4:16:21healthy, financial system underpinned by banks and banks
4:16:21 > 4:16:25contributing fairly as they have done under this government. We must
4:16:25 > 4:16:30look at the facts on the record which speak for themselves in this
4:16:30 > 4:16:35case, as my honourable friend from Croydon has so eloquently listed. I
4:16:35 > 4:16:41think the fact we have set out a plan to raise an additional £9
4:16:41 > 4:16:45billion by 2022, which will be a significant contribution to the
4:16:45 > 4:16:49Exchequer, which is going to help fund the public services that people
4:16:49 > 4:16:54rely on. The banks are making money out of businesses in this country.
4:16:54 > 4:16:59They need to make a return, they need to contribute fairly and the
4:16:59 > 4:17:03measures in this bill are measures that will ensure this happens. I
4:17:03 > 4:17:10really think that when Labour start to attack us and our policies, they
4:17:10 > 4:17:14need to look at themselves in the mirror. They need to look at the
4:17:14 > 4:17:18number of times they voted against introducing corporation tax and bank
4:17:18 > 4:17:23levy measures which have raised money from the banks, as we have
4:17:23 > 4:17:28seen. They were the party that allowed the Mayfair loophole to
4:17:28 > 4:17:32develop with hedge fund managers getting away without paying any tax,
4:17:32 > 4:17:38where their cleaners were paying tax. And, can I remind the House, it
4:17:38 > 4:17:44was this Chancellor in this budget that put the tax on private jets.
4:17:44 > 4:17:48Can there be anything else that indicates more strongly that we are
4:17:48 > 4:17:51about fairness and taxing the proceeds of profit in the right way
4:17:51 > 4:18:00to fund our public services. When the honourable member talks about
4:18:00 > 4:18:06banks are making a fair contribution, I disagree with that
4:18:06 > 4:18:13agenda. The banks are making a fair contribution.Look, I don't mind
4:18:13 > 4:18:17making statements and I am wrong when people make mistakes and people
4:18:17 > 4:18:23bring that to my attention. I did say they were not making a fair
4:18:23 > 4:18:27contribution, we were talking about the context of the government's own
4:18:27 > 4:18:31definition of what they should be doing. Have a look at the work, have
4:18:31 > 4:18:34a look at the book and do your research and then make an
4:18:34 > 4:18:39accusation. I thank the honourable member for his intervention, I am
4:18:39 > 4:18:44not making an accusation and my apologies that I misrepresented him.
4:18:44 > 4:18:49I want to make the point I think banks to make a fair contribution
4:18:49 > 4:18:55and the measures in this bill will enable them to do so. The £160
4:18:55 > 4:18:58billion raised by the Exchequer for the measures we have brought in
4:18:58 > 4:19:04since we have been in government. She is making an important point
4:19:04 > 4:19:08that on the side of the House we don't just obsess about the rate and
4:19:08 > 4:19:15punitive rate for party political purposes. The point is to grow the
4:19:15 > 4:19:26economy, maximise the tax take and the money and per click services.My
4:19:26 > 4:19:32honourable friend is right. It is a fact that when you lower the tax
4:19:32 > 4:19:36rate, you do increase the tax taken that as a fact we are seeing time
4:19:36 > 4:19:41and time again which has benefited our economy. I cannot take any more
4:19:41 > 4:19:46interventions. I am moving towards my conclusion. I would like the
4:19:46 > 4:19:51Minister to touch on his winding up in some of the issues around crypto
4:19:51 > 4:19:54currencies and Bitcoin, which are important and not covered by
4:19:54 > 4:20:00regulation at the moment. I think all of us would like to be assured
4:20:00 > 4:20:05the Treasury is making sure that we do not allow loopholes to develop
4:20:05 > 4:20:09web possibly we could see tax evasion and tax avoidance in that
4:20:09 > 4:20:14area. There are some alarming reports at the moment for people
4:20:14 > 4:20:20being arrested for money laundering, billions of pounds to this method. I
4:20:20 > 4:20:24believe it is an area that isn't regulated at all. I wish to make one
4:20:24 > 4:20:31comment about the Honourable lady from Walthamstow. She is very well
4:20:31 > 4:20:34informed and I recognise the hard work she has done. I do share a
4:20:34 > 4:20:42number of the concerns about PFI, my constituency in Worcester, the
4:20:42 > 4:20:46hospital serves people from reddish and is in special measures on does
4:20:46 > 4:20:50have a financial issue. We are worried about that in reddish and I
4:20:50 > 4:20:55would like to hear the Minister reassure my constituents that, I
4:20:55 > 4:20:59don't think the amendment is the right way of doing it, but I would
4:20:59 > 4:21:02like to see the action he will take to reassure my constituents in
4:21:02 > 4:21:07reddish judge that they are not reaping profits that they shouldn't
4:21:07 > 4:21:12be getting. I would like to ask the honourable lady from Walthamstow to
4:21:12 > 4:21:16clarify, is it the position of the Labour front bench now that they are
4:21:16 > 4:21:20not going to take all the PFI contracts back into public
4:21:20 > 4:21:26ownership? She mentioned £220 billion that it would cost to take
4:21:26 > 4:21:29them back into, and I think that is the official position of the Labour
4:21:29 > 4:21:37Party. It is confusing to think what the Labour Party is proposing, I
4:21:37 > 4:21:40don't think we really know what the position is on that. So clarity
4:21:40 > 4:21:48would be welcomed. I come to my final point and we have heard Brexit
4:21:48 > 4:21:52mentioned earlier. We have heard remarks about exit and the Labour
4:21:52 > 4:21:55Party's position and claims that somehow Brexit is damaging our
4:21:55 > 4:22:03economy. The honourable gentleman did mention Brexit from accidentally
4:22:03 > 4:22:12position. What people fear more than Brexit is a Labour government that
4:22:12 > 4:22:16would damage the economy, damage jobs and business investment. That
4:22:16 > 4:22:22is what businesses are worried about. To conclude, I will give way.
4:22:22 > 4:22:26I simply wish to say there must be an objective assessment given the
4:22:26 > 4:22:32strength of the economic risk the place to Brexit. Brexit in terms of
4:22:32 > 4:22:35financial services could take it away, could make it a situation
4:22:35 > 4:22:38where there is not the legal right to do the kind of business which
4:22:38 > 4:22:43currently take place within the United Kingdom. To compare that with
4:22:43 > 4:22:46differences of opinion over political policies, there is no
4:22:46 > 4:22:51comparison. In this government must take the economic risks of Brexit
4:22:51 > 4:22:56seriously.I thank the honourable gentleman and I can see Madam Deputy
4:22:56 > 4:23:00Speaker being crossed that we have moved off the point. So I do not
4:23:00 > 4:23:04support this amendment because what I believe the government has put
4:23:04 > 4:23:07forward is already tackling the issues of tax avoidance and evasion
4:23:07 > 4:23:10and those are the things that will ultimately benefit our economy and
4:23:10 > 4:23:18constituents.It is an honour to follow my honourable friend from
4:23:18 > 4:23:22Redditch and I would like to speak specifically in support of
4:23:22 > 4:23:30amendments one, two, three and four. The PFI system was demonstrated by
4:23:30 > 4:23:33my honourable friend from Walthamstow, not working. And we
4:23:33 > 4:23:42need to change it. It is not right half of the costs for PFI schemes
4:23:42 > 4:23:44are interest payments. Local services are under desperate
4:23:44 > 4:23:50pressure at the moment. In April 20 16, 17 schools across Edinburgh were
4:23:50 > 4:23:55closed due to fears the buildings were on structurally unsafe. It
4:23:55 > 4:23:59included three primary schools in Edinburgh West. All 17 schools
4:23:59 > 4:24:05affected were constricted under PPP and PFI initiatives. In Edinburgh
4:24:05 > 4:24:12West, one primary school -- three primary schools all close. Parents
4:24:12 > 4:24:17were left worried and frustrated. It is clear to me, I have heard today
4:24:17 > 4:24:26and what I have witnessed my self, this payday loan approach to
4:24:26 > 4:24:30building is costing us dearly. Councils in Scotland on across the
4:24:30 > 4:24:35UK had no choice but to use PPP or PFI agreements. They now find
4:24:35 > 4:24:39themselves in the position that interest rates and charges are
4:24:39 > 4:24:44detracting from service provision when they are already strapped for
4:24:44 > 4:24:51cash. This morning, at an all party Parliamentary group, I heard
4:24:51 > 4:24:55evidence of how palliative and end of life care for children is being
4:24:55 > 4:25:00affected by the lack of council funding. And how the integration of
4:25:00 > 4:25:07health and social care is being restricted. That is outrageous. In
4:25:07 > 4:25:12Scotland, PPP and PFI contracts are largely the responsibility of the
4:25:12 > 4:25:16Scottish Government under devolved competencies. But I cannot be with
4:25:16 > 4:25:18my honourable friend from Aberdeen North that the Scottish Government
4:25:18 > 4:25:27took over, it would automatically be better. The evidence we have in
4:25:27 > 4:25:31Scotland would counter that argument. While it would be
4:25:31 > 4:25:34illegitimate to forcibly take contracts back in-house, it is
4:25:34 > 4:25:38important we redress the windfall profits handed to these companies by
4:25:38 > 4:25:43Tory Corporation tax cuts. It is both legitimate and fair to impose a
4:25:43 > 4:25:47windfall tax to be imposed on those profits. Because, as we have heard
4:25:47 > 4:25:53from my honourable friend, that would hit those corporations where
4:25:53 > 4:26:00it would actually get their attention. In their profits. So, I
4:26:00 > 4:26:06would ask all the members in the House to put the benefits that we
4:26:06 > 4:26:12need, the cash injection we need for local services across the UK first
4:26:12 > 4:26:17on their list of priorities and find whatever way possible, to get either
4:26:17 > 4:26:30money back, or impose a windfall tax on these corporations.Petered out.
4:26:30 > 4:26:34Carne said there is very little in the debate from the other side which
4:26:34 > 4:26:40has convinced me why we should withdraw our new clause. I suspect
4:26:40 > 4:26:47there is very little...Order. I beg the honourable gentleman's pardon. I
4:26:47 > 4:26:51have made a mistake in having thought the Minister had already
4:26:51 > 4:26:58addressed the House. I do beg the Minister's pardon. Minister.There
4:26:58 > 4:27:04was a ripple of dissatisfaction when you fail to call me, which was
4:27:04 > 4:27:06almost imperceptible, but nonetheless. Thank you for
4:27:06 > 4:27:12correcting your error.
4:27:12 > 4:27:16In this debate we have heard about a range of issues including the
4:27:16 > 4:27:22changes made to the private finance initiative. I will respond to each
4:27:22 > 4:27:28in turn. Let me begin with the bank levy. Honourable members opposite
4:27:28 > 4:27:34have raised a number of objections to the levy. Made by the Finance
4:27:34 > 4:27:39Bill to the government. And the broader approach to taxation. These
4:27:39 > 4:27:43are unjustified. The government remains committed to make sure banks
4:27:43 > 4:27:45make an additional contribution beyond that paid by other
4:27:45 > 4:27:54businesses. This inflicts Bury reflect the unique risk -- this
4:27:54 > 4:27:59reflects the unique risk they pose to the economy. I felt the Commons
4:27:59 > 4:28:06earlier focused far too much on the bank levy itself, which is indeed
4:28:06 > 4:28:10declining but there is good reason for that because in 2015, when we
4:28:10 > 4:28:17the relevant decisions, we recognise that the risks presented to the
4:28:17 > 4:28:21banks had quite considerably eased, and indeed the stress testing that
4:28:21 > 4:28:25the Bank of England has carried out more recently on the banks, which
4:28:25 > 4:28:30has been very rigorous and has been the first occasion on which not a
4:28:30 > 4:28:33single bank has failed that stress test, is indicative to the fact that
4:28:33 > 4:28:41one of the raison d'etre that the bank levy has started to recede. The
4:28:41 > 4:28:46banks are less of a risk than they were before and therefore charges on
4:28:46 > 4:28:49the liabilities that they hold become less relevant. What the
4:28:49 > 4:28:53shadow Secretary for the Treasury did not focus on so much was the
4:28:53 > 4:28:59surcharge to the bank and tax which came in on the 1st of January 2016,
4:28:59 > 4:29:05which is an additional 8% on the profitability of banks. At the
4:29:05 > 4:29:10current time, whereas corporations were paying 19%, we were now looking
4:29:10 > 4:29:18at a total rate of 27%. I thank my Right Honourable friend for giving
4:29:18 > 4:29:26way. Is it not the case in this chamber that taking both of those
4:29:26 > 4:29:31members together, the reduction in the levy with the surcharge overrule
4:29:31 > 4:29:35reduces the configuration over time. Whisper that out very clearly in the
4:29:35 > 4:29:45debate.The amount is receding over time even with the surcharge.That
4:29:45 > 4:29:49is not the case. I will explain some of the figures in the moment. There
4:29:49 > 4:29:52are other elements that are not being taken into account. One of
4:29:52 > 4:30:00them is the additional fact that the banks are not permitted to take
4:30:00 > 4:30:08offset against their profits, the payments they make by way of PFI,
4:30:08 > 4:30:15PPI, I beg your pardon, compensation payments and indeed that they work
4:30:15 > 4:30:18to a more restrictive corporate interest restriction regime where
4:30:18 > 4:30:30they are only allowed to call 25% of their interest charging profits.
4:30:30 > 4:30:33Taking those together, we have a situation where we have raised from
4:30:33 > 4:30:39the bank since 2010 some £44 billion more than we would have raised if we
4:30:39 > 4:30:43treated them as other corporate businesses. All my members opposite
4:30:43 > 4:30:58have quoted that changes to the bank levy are misleading. Including
4:30:58 > 4:31:03introducing, as I said, the 8% surcharge. Overall, this is the
4:31:03 > 4:31:07figure that the honourable lady, I think would be interested in, is
4:31:07 > 4:31:12that rather than reducing revenue, these changes are expected to raise
4:31:12 > 4:31:16£4.6 billion over the current forecast figure. The average
4:31:16 > 4:31:23revenue...Thank you very much. I'm grateful for the Minister. He is
4:31:23 > 4:31:29very generous with his time. We have just looked at the projections up to
4:31:29 > 4:31:372022 and for the current year we have 3.0 from the 11 .6 from the
4:31:37 > 4:31:44surcharge. When we get to 2022 we have 1.3 from the levy. That seems
4:31:44 > 4:31:52like a significant reduction, almost a half.Over the forecast period
4:31:52 > 4:31:56going forwards, if you take into account the respective changes, we
4:31:56 > 4:32:01will raise £4.6 billion as a consequence of that. The point that
4:32:01 > 4:32:06I am making is that it is just simply not a right to focus only on
4:32:06 > 4:32:12the declining part of this equation, the reduction in the banking levy
4:32:12 > 4:32:18charge, as opposed to also focusing on the fact that is due to increased
4:32:18 > 4:32:20profitability of banks on our watch Andy surcharge percents taxation
4:32:20 > 4:32:30were raising more on the consequence of those measures. Perhaps we can
4:32:30 > 4:32:36get into the nitty-gritty of this. The average revenue of the bank levy
4:32:36 > 4:32:41between its introduction in 2011 and 2015 was around 2.6 billion. As a
4:32:41 > 4:32:46result of this package, a deal from the surcharge and the levy in 2022
4:32:46 > 4:32:54is forecast to be 3.2 billion. By 2023 we will have raised, around 44
4:32:54 > 4:32:59billion in additional bank taxes since the 2010 election. Honourable
4:32:59 > 4:33:03members opposite have also mentioned that the bank levy is set as a low
4:33:03 > 4:33:07level compared to other countries. In fact, not all financial centres
4:33:07 > 4:33:13have a bank level from. -- bank levy. The United States do not have
4:33:13 > 4:33:18one at all. A number of EU countries introduced after the financial
4:33:18 > 4:33:21crisis but we cannot make comparisons as the rules are
4:33:21 > 4:33:26different. We have heard that the argument that we should reintroduce
4:33:26 > 4:33:35tax on bankers paid. One of the aim is to ensure sustainable long-term
4:33:35 > 4:33:45basis on taxing ranks based on -- banks. It was all is intended as a
4:33:45 > 4:33:48one-off tax. Reintroducing this tax would be ineffective and
4:33:48 > 4:33:53unsustainable compared to the package banking measures we have
4:33:53 > 4:33:56introduced. Even the last Labour Chancellor pointed out that it
4:33:56 > 4:34:00cannot be repeated without significant tax avoidance.
4:34:00 > 4:34:04Honourable members also proposed that HM Revenue and Customs soon
4:34:04 > 4:34:09publish a register of tax paid by individual banks under the levy. But
4:34:09 > 4:34:17taxpayer confidentiality is rightly called principle of trust in our tax
4:34:17 > 4:34:22system. HM Revenue and Customs does not publish details by the amount of
4:34:22 > 4:34:25tax paid by any individual business. By this government continues to
4:34:25 > 4:34:34support measures to support... We must balance this with maintaining
4:34:34 > 4:34:41confidentiality to maintain confidence in our system.I thank my
4:34:41 > 4:34:46Right Honourable friend. With the minister except that the
4:34:46 > 4:34:51transparency that is being sought is really in the public demand after
4:34:51 > 4:34:58all these years of difficulty that they face and as a time when so many
4:34:58 > 4:35:01communities are finding their council tax increased and are now
4:35:01 > 4:35:05running at 5%. This seems to be an inherent unfairness in the tax
4:35:05 > 4:35:10system.I would not accept that. This goes back to my point about the
4:35:10 > 4:35:15balance of measures that we are taking. The focus that the
4:35:15 > 4:35:19opposition is applying to the bank levy itself which indeed is
4:35:19 > 4:35:24declining through time but I would point to the surcharge, the
4:35:24 > 4:35:28additional 8%, which is 8% more on corporation tax and other
4:35:28 > 4:35:34non-banking businesses are expected to pay. The banks or so are not
4:35:34 > 4:35:40permitted to carry forward interest rates charges to the same degree as
4:35:40 > 4:35:45other businesses and indeed they are not allowed to offset against tax
4:35:45 > 4:35:49the compensation payments they have been paying over the previous
4:35:49 > 4:35:57period. All of those things, as I said a further £44 billion, in 2010
4:35:57 > 4:35:59compares what they would have paid had they been a non-banking
4:35:59 > 4:36:08business.Thank you for giving way. Would you not accept that at the
4:36:08 > 4:36:11same time the corporation tax is being reduced overall, I accept the
4:36:11 > 4:36:17point about bank levy, we are seeing conversely a significant increase in
4:36:17 > 4:36:25council tax to the public.As I think the honourable member and my
4:36:25 > 4:36:29honourable friend the member for Croydon South pointed out, as we
4:36:29 > 4:36:34have reduced the overall level of corporation tax as applies to banks
4:36:34 > 4:36:38and non-banking businesses, we are seeing an increase of some 50% over
4:36:38 > 4:36:43the period and we have come down from 28% to 19%. So we have been
4:36:43 > 4:36:45raising more revenue as a consequence of those particular
4:36:45 > 4:36:52changes. But finally, new clause five would require governments to
4:36:52 > 4:36:54publish further analysis in the impact of the bank levy and the
4:36:54 > 4:37:02Bill. This is a really been published. We have also published
4:37:02 > 4:37:07information certified about the overall impact by the package of
4:37:07 > 4:37:10measures for banks. It is important to legislate for those changes now
4:37:10 > 4:37:15in order to give certainty on the tax position so they can give plans
4:37:15 > 4:37:21for the future. The changes contained in clause 33 and schedule
4:37:21 > 4:37:28nine complete package measures which raise it tax from banks which is
4:37:28 > 4:37:34more supportive of UK financial services. We should pass without
4:37:34 > 4:37:39amendment. I will now turned by the amendments tabled by the member for
4:37:39 > 4:37:45Walthamstow and a call that she has made for windfall tax on private
4:37:45 > 4:37:47finance initiative companies. Perhaps I should also pay tribute at
4:37:47 > 4:37:52this point to my honourable friends, the member for Stevenage, who in his
4:37:52 > 4:37:57speech outlined the vigorous work that he has also carried out in this
4:37:57 > 4:38:02particular area and in support of his constituents. There are
4:38:02 > 4:38:10approximately 700 operational PFI products which originated under the
4:38:10 > 4:38:15initial PFI -- projects. The vast majority of these projects were
4:38:15 > 4:38:23signed between 1997 and 2010. 620 of them or 86% of all PFI projects
4:38:23 > 4:38:26under the last Labour government. The government has taken actions to
4:38:26 > 4:38:32ensure that the PFI projects deliver better money for the taxpayer. That
4:38:32 > 4:38:35is why we have introduced the operational PPP efficiency programme
4:38:35 > 4:38:43in 2011 which as reported savings for this project. We're working with
4:38:43 > 4:38:48departments to improve day-to-day effectiveness on the management of
4:38:48 > 4:38:54their contracts. We have also made improvements through PF to to offer
4:38:54 > 4:38:59taxpayers better value for money on projects. The honourable lady argued
4:38:59 > 4:39:02that the windfall tax would help fund a blog services from what she
4:39:02 > 4:39:10sees as their profits, I am clear that it would not. A retrospective
4:39:10 > 4:39:15windfall tax would do damage to public services and with tax NHS
4:39:15 > 4:39:20trusts rather than the providers it is intended to target. Even aside
4:39:20 > 4:39:24from these flaws, the amendments that she has tabled would not work
4:39:24 > 4:39:30and I will set that out why in more detail. It would cost this and
4:39:30 > 4:39:34future governments that try to sign contracts with businesses weather in
4:39:34 > 4:39:38PFI or in another area, this country has a hard-won reputation for tax
4:39:38 > 4:39:45certainty. Businesses that have legitimately enter a contract with
4:39:45 > 4:39:49government and it would undermine this principle. There would be extra
4:39:49 > 4:39:52cost for the taxpayer whenever the government needed to engage the
4:39:52 > 4:39:59private sector. Secondly, private finance initiative contracts, which
4:39:59 > 4:40:07you say you have read through, our long-term agreements which typically
4:40:07 > 4:40:12include anti-discriminatory clauses. This means that targets and PFI
4:40:12 > 4:40:16initiatives without applying to similar projects undertaken by other
4:40:16 > 4:40:21companies, taxation can be recovered from the procuring authorities. A
4:40:21 > 4:40:27windfall tax would therefore only be a tax on local authorities, NHS
4:40:27 > 4:40:30trusts and government. I'm sure that is not the outcome that the
4:40:30 > 4:40:35honourable lady is seeking. Madam Deputy Speaker, amendments one and
4:40:35 > 4:40:42two propose that the bank levy could be extended to private levy groups,
4:40:42 > 4:40:46but PFI groups are not banks. They borrow money to finance products and
4:40:46 > 4:40:52earn a return like many other businesses do. It is not possible to
4:40:52 > 4:40:57bring PFI groups within the scope of the bank levy. It could not be
4:40:57 > 4:41:03applied to these groups. The changes imposed in amendment three and four
4:41:03 > 4:41:06would also not work. The last finance acts introduced corporate
4:41:06 > 4:41:15restriction rules to limit the amount that corporate codes deducts
4:41:15 > 4:41:18from taxable profits. Limiting corporate groups to carry forward
4:41:18 > 4:41:23there an unused interest allowance and offsetting this against future
4:41:23 > 4:41:28profits. This would only apply where the group contains a private
4:41:28 > 4:41:37company. The proposed changes put forward by these amendments are
4:41:37 > 4:41:43convoluted. It would fall on the public bodies holding the PFI
4:41:43 > 4:41:52projects to pay extra tax. Even if one could impose tax liabilities on
4:41:52 > 4:41:56PFI providers, this would not be a sensible approach. Edwards penalise
4:41:56 > 4:42:02other companies -- it would penalise other companies in the same
4:42:02 > 4:42:06corporate group and allow them to avoid the tax. The point that have
4:42:06 > 4:42:12been raised concerning tax avoidance and evasion. I have little to add a
4:42:12 > 4:42:18lot has been set out on the early stages of the Bill. Public group
4:42:18 > 4:42:23review is not necessary. This government an extremely strong
4:42:23 > 4:42:30record in tackling tax evasion both domestically and internationally.
4:42:31 > 4:42:35£175 billion that would have gone unpaid. The UK is the only country
4:42:35 > 4:42:39to measure and publish a tax cap directly -- direct and indirect
4:42:39 > 4:42:44taxes every year. As other members appointed out, our tax cap is one of
4:42:44 > 4:42:49the lowest in the world, at 6%, and this has come down from 7.9% under
4:42:49 > 4:42:53Labour in 2005-6. Despite our demonstrable successes here, the
4:42:53 > 4:42:56Government cannot and will not be complacent, we will continue to keep
4:42:56 > 4:42:59the tax system under review at all times, and I urge the House to
4:42:59 > 4:43:07reject the new clauses and amendments.Just very briefly, the
4:43:07 > 4:43:16response from the member had complacency like a line through a
4:43:16 > 4:43:19stick of rock, do a self-congratulation, there is a
4:43:19 > 4:43:25rejection of a review of any area whatsoever. Not only have the
4:43:25 > 4:43:28Government not allowed us to make any significant changes, they are
4:43:28 > 4:43:34not even prepared to listen to us asking for reviews, for example from
4:43:34 > 4:43:39my honourable friend, the member from welcome stove. I was
4:43:39 > 4:43:43acceptable, the Government are not even prepared to go that far, having
4:43:43 > 4:43:47shackled is this much, and I think is quite disgraceful, and quite
4:43:47 > 4:43:51friendly as well, the Government in this Parliament should be ashamed of
4:43:51 > 4:43:54itself that it is shackling the opposition to this degree, and we
4:43:54 > 4:44:03will push this new clause.The question is that new clause three B
4:44:03 > 4:44:06read a second time. As many as are of the opinion, say "aye". To the
4:44:06 > 4:44:23contrary, "no".. To the lobby.
4:45:42 > 4:45:47Order! Order, the question is the new clause three be read a second
4:45:47 > 4:45:56time. As many as are of the opinion, say "aye". To the contrary, "no"..
4:45:56 > 4:46:09Tell us for the noes, Amanda Melling and Nigel Adams.
4:52:13 > 4:52:23Lock the doors!
4:59:27 > 4:59:37Order! Order!
4:59:39 > 4:59:56The ayes to the right, 267, the noes 366.The ayes to the right, 267, the
4:59:56 > 5:00:07noes to the left, 306. The noes have it. The noes habit, unlocked. --
5:00:07 > 5:00:19have it. To move a woman the. Formerly moved Madam Deputy Speaker.
5:00:19 > 5:00:38Amendment three be made. Eisenach. No smack. Clear the lobby. Eisenach.
5:01:27 > 5:01:34Two order! The question is that amendment three be made, As many as
5:01:34 > 5:01:45are of the opinion, say "aye". . On the contrary, no. Amanda Manning,
5:01:45 > 5:01:58and Nigel. Nigel items. -- Adams.
5:08:31 > 5:08:35Lobby doors!
5:13:10 > 5:13:30Order! Order! The ayes to the right: 265. The noes to the left: 305.
5:13:30 > 5:13:32The ayes to the right: 265.
5:13:32 > 5:13:37The noes to the left: 305.
5:13:37 > 5:13:55The noes have it, the noes have it. We now come to new clause seven,
5:13:55 > 5:13:59with which it will be convened to consider the new clauses and
5:13:59 > 5:14:06amendments listed on the selection paper.Thank you very much, Madam
5:14:06 > 5:14:09Deputy Speaker. With your permission, I would like to speak
5:14:09 > 5:14:15briefly to the SMP's new clause ten, and to amendment number 12 from my
5:14:15 > 5:14:18friend from Alfred North, both of whom we are supporting at the
5:14:18 > 5:14:23opposition, then I will formally moved into detail of the
5:14:23 > 5:14:27opposition's clauses seven and eight. With regard to clause ten,
5:14:27 > 5:14:30the opposition welcomes the Government's decision to allow the
5:14:30 > 5:14:33Scottish Fire and Rescue Service, and the Scottish police authority to
5:14:33 > 5:14:42claimant respective VAT clause. The clause... To establish a nationwide
5:14:42 > 5:14:44Fire and Rescue Service for Scotland. The Treasury Minister at
5:14:44 > 5:14:50the time wrote that based on the information currently available, it
5:14:50 > 5:14:54seems that following the Scottish Government's plan to reform, neither
5:14:54 > 5:14:58the new police authority nor the Fire and Rescue Service will be
5:14:58 > 5:15:03eligible for VAT refunds under section 33 of the VAT act of 1994.
5:15:03 > 5:15:06As colleagues will know, that government's decision meant the
5:15:06 > 5:15:11Scottish police and Fire Service lost out on VAT refunds worth more
5:15:11 > 5:15:16than £30 million, of which the Scottish police forces lost out on
5:15:16 > 5:15:21about £26 million. To some extent, I could argue this was a sign of
5:15:21 > 5:15:26recklessness in a time of austerity, the Government would leave Scottish
5:15:26 > 5:15:29firefighters and police officers to fend for themselves. While the
5:15:29 > 5:15:32opposition welcomes the change of heart that has come for the
5:15:32 > 5:15:35Government in this regard, we recognise the need for there to be a
5:15:35 > 5:15:41proper process put in place for retrospective claims on VAT refunds.
5:15:41 > 5:15:45The view that my honourable friend from Aberdeen North has imposed
5:15:45 > 5:15:49would ensure the processor VAT refunds is transparent, and the
5:15:49 > 5:15:53Scottish Fire and Rescue Service and the Scottish police authorities
5:15:53 > 5:15:55claims for VAT are profit is properly refunded by the Government.
5:15:55 > 5:16:00The review would also ensure that such an ill-informed decision backed
5:16:00 > 5:16:04up by insubstantial reasoning is not allowed to happen again, that is why
5:16:04 > 5:16:12we'll be supporting new clause ten. If I move on now to amendment 12, as
5:16:12 > 5:16:15proposed by my honourable friend from Ilford North, this amendment
5:16:15 > 5:16:18focuses on an issue that I raise within the finance Bill committee,
5:16:18 > 5:16:25the fact that taxi drivers with zero in mission capable vehicles would
5:16:25 > 5:16:29not be exempt from excise duty until next year. As we discussed in the
5:16:29 > 5:16:33committee, and I am sure the mystery members is, taxi drivers need to
5:16:33 > 5:16:36purchase their car over a long period due to its relatively high
5:16:36 > 5:16:42cost. Many years of the country, taxi drivers are shifting to lower
5:16:42 > 5:16:46or zero in mission capable taxis. I ask the Minister for information on
5:16:46 > 5:16:50whether further changes were needed to the measures in the finance Bill,
5:16:50 > 5:16:56so as not to choke off the take-up of zero mission capable taxis. I was
5:16:56 > 5:16:58grateful to the Minister for stating there would be a consultation around
5:16:58 > 5:17:05new measures to occur the spring, I'm unsure if that has begun yet or
5:17:05 > 5:17:09not, perhaps the Minister can enlighten us on that point. In the
5:17:09 > 5:17:13meantime, it seems sensible, as my honourable friend has proposed, that
5:17:13 > 5:17:18we prevent taxi drivers from being hit when they have taken what is an
5:17:18 > 5:17:23environmentally friendly choice, one which has considerable financial
5:17:23 > 5:17:26consequences for them because these vehicles are more expert --
5:17:26 > 5:17:31expensive than standard taxis. Having covered both of those matters
5:17:31 > 5:17:34in the new clause and amendment which we are supporting, with your
5:17:34 > 5:17:40permission, I would like to former -- formally move labour's clauses
5:17:40 > 5:17:44seven and eight. These require review of the post relief on stamp
5:17:44 > 5:17:47duty for first-time buyers, followed by an annual report on its
5:17:47 > 5:17:51effectiveness. These reviews and the report would consider the impact of
5:17:51 > 5:17:57the new measure on house prices and housing supplies, and cover who has
5:17:57 > 5:18:03benefited from this policy. The need for such reviews is very clear, the
5:18:03 > 5:18:07OB are's assessment of this measure set out in black and white, it is
5:18:07 > 5:18:12likely to increase prices by 0.3%, and to benefit a very small number
5:18:12 > 5:18:17of people. In their words, the main gainers from the new stamp duty
5:18:17 > 5:18:22policy are people who already own property, not the first time buyers
5:18:22 > 5:18:25themselves. They added that some potential first-time buyers with
5:18:25 > 5:18:29smaller deposits might now be able to borrow a little more, allowing
5:18:29 > 5:18:32them to buy properties that they otherwise would not be able to
5:18:32 > 5:18:37afford. But they would be doing that more expensively was up and this is
5:18:37 > 5:18:41in the context where the average price of a home in England for
5:18:41 > 5:18:49first-time buyers has gone up by almost £40,000 since 2010. In fact,
5:18:49 > 5:18:53only about 3500 additional homes are at it -- predicted to be sold as a
5:18:53 > 5:19:01result of this new incentive.They are now falling, notwithstanding the
5:19:01 > 5:19:05change?The House prices are falling, I do not believe that is
5:19:05 > 5:19:09something that is uniform across the country. There would also be
5:19:09 > 5:19:14implications for people if there were very rapid changes, that would
5:19:14 > 5:19:19be a concern for many, but we filled in this area, where it comes to the
5:19:19 > 5:19:22cost for first-time buyers, that there has not been a significant
5:19:22 > 5:19:25change. And if the honourable member has evidence that there has been a
5:19:25 > 5:19:28change for first-time buyers, I would certainly like to see that,
5:19:28 > 5:19:31there may have been a change across the whole piece, but that has
5:19:31 > 5:19:34certainly not been impacting on those who are trying to buy the
5:19:34 > 5:19:39lowest cost houses, those first-time buyers, they are struggling at the
5:19:39 > 5:19:42moment more than ever before, many of them. We as an opposition would
5:19:42 > 5:19:45say that the situation might be different if this measure was
5:19:45 > 5:19:48accompanied by others to promote the production of genuinely affordable
5:19:48 > 5:19:53homes. But as it stands, any additional homes will not be in
5:19:53 > 5:19:58place before the stamp duty cut takes place, at least those promoted
5:19:58 > 5:20:03by any government policy. The funding allocated in this regard is
5:20:03 > 5:20:08woefully inadequate. At the last debate we had in this chamber, it
5:20:08 > 5:20:11was revealed that the infrastructure monies, such as they are, would not
5:20:11 > 5:20:17start to come forward until 2019-20. That will mean that the stamp duty
5:20:17 > 5:20:23cuts cost of £585 million in 2018-19 would not be accompanied by those
5:20:23 > 5:20:27housing infrastructures measures. The same will occur that next year,
5:20:27 > 5:20:32and it is only two years later that the extra funds for the
5:20:32 > 5:20:34infrastructure fund will be forthcoming, but in any case, they
5:20:34 > 5:20:39will amount to less than half over the public purse will have renounced
5:20:39 > 5:20:43because of the cut in stamp duty. It is actually disturbing that the
5:20:43 > 5:20:46Government has chosen the plough ahead with this measure, in the
5:20:46 > 5:20:50absence of measures to significantly boost surprised. I will repeat
5:20:50 > 5:20:56because we have had in the previous debate, for the Government to come
5:20:56 > 5:20:58clean about the advice he received about this measure. What do the
5:20:58 > 5:21:04economist and the Treasury say about this change? In the absence of
5:21:04 > 5:21:07measures to substantially increase supply. Ministers can claim that we
5:21:07 > 5:21:11have heard back from the Chancellor that the OER has not taken the small
5:21:11 > 5:21:17cuts of housing measures into its analysis, but most experts who have
5:21:17 > 5:21:21taken them into account, the very small extent of changes that went
5:21:21 > 5:21:24into account, can occur -- concur with the OB are's original
5:21:24 > 5:21:27assessment. Was is also the case with treasury officials? We deserve
5:21:27 > 5:21:36to know, as well do -- as are... If there is a rise in house prices for
5:21:36 > 5:21:40those first-time buyers, as anticipated by the OB are, I would
5:21:40 > 5:21:44point out that the Government's own assessments of a previous stamp duty
5:21:44 > 5:21:48cut, again in the absence of measures to boost supply of
5:21:48 > 5:21:52affordable housing, indicated that the tax relief has not had and is
5:21:52 > 5:21:56just a significant impact on the improving affordability for
5:21:56 > 5:22:02first-time buyers. We also need to know the regional impact of this
5:22:02 > 5:22:04measure. As colleagues mentioned in the previous debate that we had on
5:22:04 > 5:22:09this matter, the upper limit of £500,000 in high-cost areas and
5:22:09 > 5:22:13£300,000 elsewhere means that the change will not have a positive
5:22:13 > 5:22:19impact across huge swathes of the country aside from reducing the
5:22:19 > 5:22:23Avenue -- revenue pot overall, meeting other taxes on individuals
5:22:23 > 5:22:26and companies have to take up the slack. Public services are going to
5:22:26 > 5:22:32be cut further. Of course, for many people, home ownership is a distant
5:22:32 > 5:22:35dream, there is no way they could afford the necessary deposit.
5:22:35 > 5:22:39Today's figures show that real wages have fallen for the seven -- seventh
5:22:39 > 5:22:45month in a row, that should give us all pause for thought here about
5:22:45 > 5:22:54whether this measure is appropriate. Very happy to.In my constituency
5:22:54 > 5:22:57and area, it is very difficult for first-time buyers to afford a
5:22:57 > 5:23:00deposit. They very much welcome the help the Government is making to
5:23:00 > 5:23:04give them a little more of an opportunity when they are competing
5:23:04 > 5:23:07against those people who are selling properties and more able to afford
5:23:07 > 5:23:14as afford a deposit. This is very welcome, and it is coupled with
5:23:14 > 5:23:18measures to increase housing supply, we are seeing significant and not
5:23:18 > 5:23:23necessarily popular increases in the housing target for areas like my own
5:23:23 > 5:23:26decision when C, coupled with what is going on to make sure houses are
5:23:26 > 5:23:34actually built. So I somewhat contest her point on that.Thank
5:23:34 > 5:23:37you, Madam Deputy Speaker. In practise, most of the commentary
5:23:37 > 5:23:40that I have seen from experts and those working in the Housing
5:23:40 > 5:23:46Secretary -- sector, it is suggested that in areas where there is extreme
5:23:46 > 5:23:51competition between different types of buyers, such as first-time buyers
5:23:51 > 5:23:53and those buying additional properties, etc, investors and
5:23:53 > 5:23:57others looking to move to a second or third property, there is a
5:23:57 > 5:24:01potential for such a move to maybe help initially, but actually the
5:24:01 > 5:24:07overall cost increase will also affect those first-time buyers, so
5:24:07 > 5:24:11they would be buying at a higher price. Most of the impact of this
5:24:11 > 5:24:19measure, as indeed, but he finished, as indeed with previous stamp cut --
5:24:19 > 5:24:23stamp duty changes where there has not been a boost in supply, as being
5:24:23 > 5:24:28to help those selling properties, not those buying them. That was the
5:24:28 > 5:24:31Government's own, the conservative government's own assessment of the
5:24:31 > 5:24:34impact of its previous cut the stamp duty in the absence of additional
5:24:34 > 5:24:40measures to boost supply. Very happy to.She gave a tour de force during
5:24:40 > 5:24:43the committee stage at these proceedings. On the narrow point
5:24:43 > 5:24:48about impact of these changes, in terms of price, I have a quote from
5:24:48 > 5:24:50the director of ISS, Paul Johnson. He says that although there may be
5:24:50 > 5:24:55an increase in the price, this is not mean first-time buyers are worse
5:24:55 > 5:25:02off, they are in general better off. Instead of paying 100,000 pounds for
5:25:02 > 5:25:10a house, they are paying £200,000 for £200,000 worth of house. .I'm
5:25:10 > 5:25:13grateful for the intervention, I am aware of what Mr Johnson has said
5:25:13 > 5:25:17about this, but I think he has fallen into the trap of just looking
5:25:17 > 5:25:21at the impact of that change on an individual prior, and forgetting
5:25:21 > 5:25:24that it will have an impact on the individual housing market,
5:25:24 > 5:25:28particularly in areas where there is very strong supply and demand, and
5:25:28 > 5:25:32where change like this is actually likely to push a price. I agree with
5:25:32 > 5:25:36Mr Johnson on many things, but in this case, the context has been
5:25:36 > 5:25:41missed out on, and I think it is important we bear in mind. Very
5:25:41 > 5:25:45important, moving on to more for content, I will be happy to take the
5:25:45 > 5:25:51member's additional interjection... I just wanted to clarify a point, to
5:25:51 > 5:25:55evidence suggests that house prices are not increasing, in fact the
5:25:55 > 5:25:59Royal Institute of chartered surveyors has echoed this point,
5:25:59 > 5:26:01although we are scaremongering, the actual suggest evidence suggests
5:26:01 > 5:26:10they are not rising.Thank you very much, however I fear that, I am sure
5:26:10 > 5:26:13that the member is very well versed in this area, when it comes across
5:26:13 > 5:26:19for first-time buyers, there has been that increase that is supported
5:26:19 > 5:26:23by the evidence, and that is exactly what we are concerned about within
5:26:23 > 5:26:32this area. It is where we need to be taking action. Indeed, it is the
5:26:32 > 5:26:35Government's own rhetoric, they say they want to help those first-time
5:26:35 > 5:26:40buyers, so I think it is important that we should take them at their
5:26:40 > 5:26:48own word, and indeed look at what the OBR itself sad when it assessed
5:26:48 > 5:26:51this policy. Again, I would go back to whether the Government received
5:26:51 > 5:26:56any advice on this issue about its likely impact, and I think it is his
5:26:56 > 5:27:00appointment this disappointing we have not had any clarity on that
5:27:00 > 5:27:01matter.
5:27:01 > 5:27:07This concept that there is a price available to first-time buyers that
5:27:07 > 5:27:11differs from anyone else. I can't accept that there will be markets
5:27:11 > 5:27:17segmented markets where there may be a difference, but if prices are
5:27:17 > 5:27:20falling marginally, that will be to the benefit of all buyers whether
5:27:20 > 5:27:24they be the first time or second or seventh time property buyers.I
5:27:24 > 5:27:30think it may be instructive and I am delighted to hear from the member, I
5:27:30 > 5:27:34think it may be instructive for us to look at the shape of the market,
5:27:34 > 5:27:39and which elements may be reducing price and which may not. I would
5:27:39 > 5:27:43like to mention that actually I looked briefly at some of the media
5:27:43 > 5:27:45coverage suggesting that any reduction seems to be reversed
5:27:45 > 5:27:52recently, and in fact, it appears that the highest cost areas with the
5:27:52 > 5:27:57most expensive properties, there may have been a reduction in Price. But
5:27:57 > 5:28:01I would just ask, are those the properties that first-time buyers
5:28:01 > 5:28:06are likely to be looking to unless they are incredibly well off
5:28:06 > 5:28:11initially? Nisi may be, but actually most of them in this country are not
5:28:11 > 5:28:15looking to be moving into properties worth multiples of £1 million,
5:28:15 > 5:28:19they're looking to move into properties which are much
5:28:19 > 5:28:21affordable. And therefore the lack of action from the Government to
5:28:21 > 5:28:26help them is enormously disturbing. And that is why we do not support
5:28:26 > 5:28:28this measure when others would have been more effective and
5:28:28 > 5:28:31particularly, we do not support the measure in the absence of action
5:28:31 > 5:28:35being taken to boost supply of affordable housing, and I would
5:28:35 > 5:28:38mention of course that the Government definition affordable
5:28:38 > 5:28:44houses enables a home with £400,000 for sale, to be classified as
5:28:44 > 5:28:48affordable. I am sure that members on all sides of the House would not
5:28:48 > 5:28:55appreciate that definition of affordability. Now as I mentioned
5:28:55 > 5:29:01before, yes.She is generously giving away which I knowledge, she
5:29:01 > 5:29:06talked about some of the constraints and supply as she specifically
5:29:06 > 5:29:09mentioned non-banking by property developers. Would auction -- where
5:29:09 > 5:29:14they would be given planning permission they choose not to build
5:29:14 > 5:29:17up her long period of time. There are proposals as she would know, in
5:29:17 > 5:29:22order to finish developers work that way, what is the opposition view on
5:29:22 > 5:29:27that?Yes I am grateful to the Member for mentioning that,
5:29:27 > 5:29:36actually, labour has ported for some time as change, and I think they
5:29:36 > 5:29:39called the Venezuelan star socialism from the other side, we are very
5:29:39 > 5:29:42concerned, about this, but I would say we are also concerned about
5:29:42 > 5:29:45matters in the planning system which up up and touched by the Government.
5:29:45 > 5:29:49Like the fact that the rules on viability but all the cards and the
5:29:49 > 5:29:53developer pockets and if you want to develop any social supply, you have
5:29:53 > 5:29:56pressures on the affordability of the rest of that development. So
5:29:56 > 5:30:00we're very aware of this, and it is something we have worked on
5:30:00 > 5:30:04consistently. And sadly not always been supported I am happy that the
5:30:04 > 5:30:07member has come onboard with policy on this one that the Government as
5:30:07 > 5:30:17well. When it comes to the general lack of measures, parting? OK, when
5:30:17 > 5:30:24it comes to the lack of action and other elements of the housing
5:30:24 > 5:30:28crisis, which is problematic, given that the stamp duty change seems to
5:30:28 > 5:30:34be the only real significant change in relation to housing policy, I
5:30:34 > 5:30:37think that sadly all of us are seeing the impact the housing crisis
5:30:37 > 5:30:43as members, we see it in our post back, and our surgeries, and we see
5:30:43 > 5:30:49it very sadly on many of our streets when it comes to rough sleeping. It
5:30:49 > 5:30:53has doubled under the Conservatives, I have to say, if the number one
5:30:53 > 5:30:57issue mentioned to me on the doorstep in my constituency, and I'm
5:30:57 > 5:31:02sure that advocates for many other urban MPs. And even those who do not
5:31:02 > 5:31:05see within the constituency, sadly, probably see it when they come to
5:31:05 > 5:31:09work here and of course we had eight terrible tragedy and that regard
5:31:09 > 5:31:15recently. Yes, thank you.The housing stress is a major driver for
5:31:15 > 5:31:18homelessness which the causes are complex, -- except that the
5:31:18 > 5:31:21reduction act is a major step forward in terms of unlocking
5:31:21 > 5:31:27resources and gay people into a home is the first up -- getting people,
5:31:27 > 5:31:36as a lasting forward in their lives? Thank you I'm preferred
5:31:36 > 5:31:39intervention, I will, to some other contributors to the problem which
5:31:39 > 5:31:42are not dealt with in the finance Bill or indeed any of the budget, in
5:31:42 > 5:31:50that regard, while supported many of the principles within the act,
5:31:50 > 5:31:55again, the problem is that without adequate supply, accommodation, you
5:31:55 > 5:32:01can apply new requirements on no -- local authorities and duties, but if
5:32:01 > 5:32:05you do not find them and do not provide the supply to discharge
5:32:05 > 5:32:07them, you'll end up in a situation where they are having to make
5:32:07 > 5:32:13choices between individuals and certainly that is being discovered
5:32:13 > 5:32:16in my own local authority. Their support for the principal of that
5:32:16 > 5:32:20act, but without the means to deliver it, there's considerable
5:32:20 > 5:32:26concern actually, so just in relation, I'm grateful to the Member
5:32:26 > 5:32:31for focusing on this issue, and his focus on it is not reflected sadly
5:32:31 > 5:32:35within the budget of the finance Bill. We only had mention of three
5:32:35 > 5:32:41small-scale pilot to help deal with rough sleeping, which is woefully
5:32:41 > 5:32:44inadequate, it is no match to the commitment of the strategy. Under
5:32:44 > 5:32:51labour, we had one and it we had it down, and eliminated it, and many
5:32:51 > 5:32:55areas, we also said that we reserve housing units for people with a
5:32:55 > 5:33:00history of a rough sleeping. Now the Government has a commitment to
5:33:00 > 5:33:05handle by 2022, but to do it has to change policies. And there is huge
5:33:05 > 5:33:07uncertainty, first of all but the funding of supportive housing that
5:33:07 > 5:33:12has led to a reduction in investment in that area, I necessarily.
5:33:12 > 5:33:14Particularly after the negative lessons around the supporting people
5:33:14 > 5:33:19finding, where there was taken away, we hope that will not help -- will
5:33:19 > 5:33:25not happen. We have seen cuts to council to budget in the area which
5:33:25 > 5:33:28meant there is no homelessness places going to be supported
5:33:28 > 5:33:32initially by the County Council in my area and others as well. It has
5:33:32 > 5:33:35been coupled with a reduction in Social Security a metal support,
5:33:35 > 5:33:37that has left a burgeoning numbers of people slipping on the streets.
5:33:37 > 5:33:41Of course this is not just about rough sleeping, it's generally about
5:33:41 > 5:33:47homelessness. And when we to proficiency, we have seen in the
5:33:47 > 5:33:51recent research that the Government is still failing to tackle the
5:33:51 > 5:33:58fundamental problems within our broken housing market. And they do
5:33:58 > 5:34:02not the stamp duty change will deal with those problems, for example,
5:34:02 > 5:34:06the governor promised it will go to 1000 new cup Price starter homes and
5:34:06 > 5:34:1322. Three years on, not a single one has been built and before Christmas,
5:34:13 > 5:34:16a Minister said there will be working at the definition of it so
5:34:16 > 5:34:20they don't know what the policy can deliver they haven't decided on a
5:34:20 > 5:34:28definition let alone delivering it. In contrast, big -- we commit to
5:34:28 > 5:34:33build affordable homes and focus on helping first-time buyers, and build
5:34:33 > 5:34:40100,000 discounted first-time homes. And overall Madam Deputy Speaker,
5:34:40 > 5:34:44the figures speak for themselves, the number of home owning households
5:34:44 > 5:34:48rose by 1 million under the last Labour government, but has fallen
5:34:48 > 5:34:55under the Conservatives. And the number of households using...Biggie
5:34:55 > 5:35:00for giving way, but we should knowledge that the fall in home
5:35:00 > 5:35:09ownership began under labour in 23 -- 2003.Thank you, I would accept
5:35:09 > 5:35:12that there have been changes from year to year in the overall level of
5:35:12 > 5:35:15home ownership, but actually that intuitive impact of conservative
5:35:15 > 5:35:20government in terms of those reductions, has been far more
5:35:20 > 5:35:23substantial and if you look across the piece, we have seen the increase
5:35:23 > 5:35:29in what we saw in a million, well no, I think a answer the four -- the
5:35:29 > 5:35:34point. It is clear that the figure speaks for itself obviously on this
5:35:34 > 5:35:42point. And the point is particularly an disturbingly clear from home
5:35:42 > 5:35:46ownership for under 45 households. So for younger people. The number of
5:35:46 > 5:35:51people in this situation has gone down by a million cents 2010. We had
5:35:51 > 5:35:58a bit of a debate earlier about home ownership, and the member stated
5:35:58 > 5:36:02that it's not just about home ownership, we need to think about
5:36:02 > 5:36:07other areas as well, that is right. We have 1.3 additional private
5:36:07 > 5:36:10renters in this country, and many of us on this site would unnecessarily
5:36:10 > 5:36:13see that as a good thing. We see that as a situation where lots of
5:36:13 > 5:36:16people are stuck in private renters accommodation and do not want to be
5:36:16 > 5:36:22there. And again we do not see the finance Bill dealing with that
5:36:22 > 5:36:29problem, so I can and...Wu I'm drawing her attention that we have
5:36:29 > 5:36:35one hour, but she is counted that.I beg your pardon Madam Deputy
5:36:35 > 5:36:39Speaker, I want to and quickly with what I think was a devastating
5:36:39 > 5:36:43assessment of the policy by my honourable friend would talk about
5:36:43 > 5:36:48it before, not all members were there then, and in her words she
5:36:48 > 5:36:52said what is really unpopular and our country is having to step over
5:36:52 > 5:36:55rough sleepers while walking home. Which is unpopular in the country,
5:36:55 > 5:37:00is watching other parents take them to school because the schools cannot
5:37:00 > 5:37:03afford basic necessities and what is deeply unpopular is watching the
5:37:03 > 5:37:07number of food banks grow because jobs do not pay enough. People will
5:37:07 > 5:37:11remember that while all of that was going on, the Tories were busy
5:37:11 > 5:37:14cutting stamp duty for people who could buy houses. I do not think
5:37:14 > 5:37:28there will ever forget that, thank you.Don't we have... The question
5:37:28 > 5:37:33is the new clause seven of read a second time. Stand up again. Calling
5:37:33 > 5:37:44Clark.I rise to speak about new clause ten, and the budget was a
5:37:44 > 5:37:47triumph for Scotland and a vindication of the constructive
5:37:47 > 5:37:53approach of the Scottish Conservatives. And I hope all MPs
5:37:53 > 5:38:00can welcome and embrace the budget. Unfortunately, this and he appeared
5:38:00 > 5:38:05to have learned little. They created the mess for the fire and police
5:38:05 > 5:38:10service and it is the Scottish bash conservative government has to clear
5:38:10 > 5:38:16it up. The new clause points a finger to the fact that there was a
5:38:16 > 5:38:21mess in the first place. At your own creation. This is disappointing, the
5:38:21 > 5:38:26Scottish Government messed up and knew they were as they did so, not
5:38:26 > 5:38:31least because they were warned. Indeed, when they were estimating
5:38:31 > 5:38:34the budget of the plan, they specifically factored in the great
5:38:34 > 5:38:39multi-million pound giveaway. They pressed on regardless, and it's
5:38:39 > 5:38:44extraordinary that the labour front bench are supporting this clause
5:38:44 > 5:38:50ten. The nationals made a conscious decision to deprive As many as are
5:38:50 > 5:38:57of the opinion, say "aye". Go-ahead. I'm -- he says he does not support
5:38:57 > 5:39:02more money go into the Scottish services in Scotland.Thank you very
5:39:02 > 5:39:06much for the intervention, but that is exactly what we are doing. And
5:39:06 > 5:39:10that is what this guys conservative MPs are pushing for from the
5:39:10 > 5:39:18Treasury as he knows. Please do. Thank you for giving way honourable
5:39:18 > 5:39:25member, after the Scottish Tory MPs, how come we ask questions that not
5:39:25 > 5:39:32been able to confirm meetings but they have with treasury to discuss
5:39:32 > 5:39:36the Met -- discuss the measures. Thank you for your intervention, I'm
5:39:36 > 5:39:42afraid there is photographic evidence that my good friend, so he
5:39:42 > 5:39:48most certainly did meet the Chancellor. No, no, you had a go,
5:39:48 > 5:39:55thank you very much. They were not sure changed, they were not unaware
5:39:55 > 5:39:59and the money was not stolen. It was a conscious decision on their part,
5:39:59 > 5:40:03and I call culpability for the lost millions, they have to accept a
5:40:03 > 5:40:09squarely lies with the bash them. If they want to raise money they have
5:40:09 > 5:40:12to take responsibility and raise it themselves, I only hope they do not
5:40:12 > 5:40:18do this by inflicting further punishment on Scottish taxpayers. I
5:40:18 > 5:40:24thought you were to intervene, but please is not far from the
5:40:24 > 5:40:27headlight. But the resignation of the Chief Constable and the delay of
5:40:27 > 5:40:32the merger with British Transport Police is been under spotlight
5:40:32 > 5:40:39recently. Surely now is the time for them to stop manufacturing
5:40:39 > 5:40:41grievances out of their own mistakes and join us in working
5:40:41 > 5:40:44constructively to make Scotland a better place and they should start
5:40:44 > 5:40:53back with a review of the police Scotland structure. Thank you.I
5:40:53 > 5:40:58rise to move amendment ten and 11 and in father in my name and the
5:40:58 > 5:41:00names of other honourable and right honourable members from across the
5:41:00 > 5:41:07House. Concerning the vehicle excise duty supplement and particularly how
5:41:07 > 5:41:14it applies to the new electronic zero emission taxes. I should say at
5:41:14 > 5:41:21the beginning Madam Deputy Speaker, as -- I am delighted that this
5:41:21 > 5:41:25amendment not only carries cross party support of support from right
5:41:25 > 5:41:31across the country will stop in and out of London, Brighton, Chef L,
5:41:31 > 5:41:35Bradford exited, Cambridge, Stoke-on-Trent, Bedford Cardiff,
5:41:35 > 5:41:46Sunderland, leads. And other cities. But again, repeating the proper case
5:41:46 > 5:41:51this afternoon. I hope this is not an issue where we cannot find coming
5:41:51 > 5:41:57cause, and during the debate on the budget, and subsequently on the
5:41:57 > 5:41:59finance Bill, I welcomed the announcement on the budget to exempt
5:41:59 > 5:42:05zero emission taxes from the vehicle excise duty supplement by also
5:42:05 > 5:42:14cautioned that this exemption will not kick in until May 20 19. Zero
5:42:14 > 5:42:17emission taxes already available for sale and had hit the streets of the
5:42:17 > 5:42:25city and others. This new generation of the iconic black taxi, not only
5:42:25 > 5:42:30provides passengers with a new degree of confidence, -- comfort and
5:42:30 > 5:42:33surroundings including ability to see the sights of London as you
5:42:33 > 5:42:38drive around, but also boasted no vacantly for the purposes of the
5:42:38 > 5:42:42debate, and environmentally primly. I think members on all side of the
5:42:42 > 5:42:45House are aware of how difficult taxi drivers in this city and across
5:42:45 > 5:42:52the country are finding their trade in the face of aggressive and in
5:42:52 > 5:42:56many cases, unfair competitive practises. But I think the
5:42:56 > 5:42:59Government is to look to do what it can to stop back iconic taxi being
5:42:59 > 5:43:05taken
5:43:05 > 5:43:12The Government about Bush announced significant changes, and the
5:43:12 > 5:43:16emergency budget, which came into force on April one, 2017. Under
5:43:16 > 5:43:19those changes, drivers of the new electric taxi would not have to pay
5:43:19 > 5:43:25that standard rates based on the vehicle's CO2 emissions. However,
5:43:25 > 5:43:29they would pay a supplement for expensive cars of £310 per year for
5:43:29 > 5:43:34the first five years, as the taxi costs over £40,000. This means that
5:43:34 > 5:43:39drivers of the new zero emission taxi would be stung for the
5:43:39 > 5:43:44supplement to the tune of £1550. Grants from both the Government
5:43:44 > 5:43:49through the office for low emissions, and for transport for
5:43:49 > 5:43:53London recognise the high cost of the zero emissions capable taxi, and
5:43:53 > 5:43:57the risk that it stops drivers from taking up this environmentally
5:43:57 > 5:44:04friendly vehicle. They recognise that there offering grants of up to
5:44:04 > 5:44:08£7,500 of those who are the first to buy it. The Government will claim
5:44:08 > 5:44:15back once this of these grants through the supplement change. Mr
5:44:15 > 5:44:18Deputy Speaker, this reform was counterintuitive and clearly at odds
5:44:18 > 5:44:21with the Government's intention to make vehicle excise duty fair for
5:44:21 > 5:44:26most motorists and reflect improvements in CO2 emissions. And I
5:44:26 > 5:44:29welcome the fact of the Treasury has acknowledged that this was an
5:44:29 > 5:44:35unintended consequence of vehicle excise duty reforms. In recognition
5:44:35 > 5:44:38of this, the Chancellor announced the change in the autumn budget that
5:44:38 > 5:44:43I have already described, but it will not kick in until 2019, and
5:44:43 > 5:44:50that is where these amendments come in amendments ten, 11, and 12 part
5:44:50 > 5:44:53to bring forward the exception to the new taxi to the day this bill is
5:44:53 > 5:44:58passed as an act. It would show to taxi drivers in the city and across
5:44:58 > 5:45:01the country a clear determination on the part of the Government to help
5:45:01 > 5:45:05them drive more environmentally friendly vehicles, but also I
5:45:05 > 5:45:11recognise a significant pressure that the taxi trade is under. My
5:45:11 > 5:45:16amendment go further than the budget perhaps intended, in terms of the
5:45:16 > 5:45:19statement made by the Chancellor, and that it would attack -- apply to
5:45:19 > 5:45:26all taxis over the value of vote -- value of over £40,000. I'm happy to
5:45:26 > 5:45:31debate as mayors with the Minister, but I would hope that this is a
5:45:31 > 5:45:34point I have raised on the floor this House, it was raised in Bill
5:45:34 > 5:45:38committee, I have raised it formally and informally with Ministers, and I
5:45:38 > 5:45:43hope a Minister can send out today and give taxi drivers in my
5:45:43 > 5:45:47constituency and across the country good news that the Government
5:45:47 > 5:45:49recognises the issues and is determined to make sure that the
5:45:49 > 5:45:54exception kicks in earlier than April 2019 stop because otherwise,
5:45:54 > 5:45:57we have a perverse incentive created by the Government for drivers to
5:45:57 > 5:46:02delay taking up a new environmentally friendly taxi,
5:46:02 > 5:46:07because they know they will get better value from 2019, and clearly
5:46:07 > 5:46:11none of us want to see that happen, which is why I think so many members
5:46:11 > 5:46:17from across the House and country have signed this amendment. I would
5:46:17 > 5:46:21like to conclude, Mr Deputy Speaker, by making a political point, and I
5:46:21 > 5:46:24hope that the Minister and members opposite take it in the spirit that
5:46:24 > 5:46:29it is intended. There are men -- many taxi drivers in my constituency
5:46:29 > 5:46:35across London and the country who are not natural Labour voters. In
5:46:35 > 5:46:41fact, they are in many cases or have been died in the more conservative
5:46:41 > 5:46:46voters, -- dyed in the wool conservative voters, and they cannot
5:46:46 > 5:46:48understand why the Conservative Party has seemingly turned their
5:46:48 > 5:46:51backs on a group of people who are arguably the best example of the
5:46:51 > 5:46:56small business entrepreneurial spirit that this country embodies,
5:46:56 > 5:47:00in terms of our small businesses. Many of them have looked to the
5:47:00 > 5:47:05Conservative Party as their champion, and have felt very badly
5:47:05 > 5:47:09left behind, not just because of issues around taxes, but when you
5:47:09 > 5:47:12look in particular at the way the Conservative Party has actively
5:47:12 > 5:47:16lobbied for a company which is destroying the taxi trade, not
5:47:16 > 5:47:21through fair competition but through artificially low fares created by
5:47:21 > 5:47:26aggressive tax avoidance, low wages, reckless and irresponsible
5:47:26 > 5:47:31approaches to the managing -- management of data, and the
5:47:31 > 5:47:35Conservative Party has actively lobbied for Cooper. They have an
5:47:35 > 5:47:40opportunity to date to listen to the taxi drivers across the country that
5:47:40 > 5:47:45would make a simple change that would bring forth the policy of the
5:47:45 > 5:47:47Chancellor to a point in time where it would actually make a difference
5:47:47 > 5:47:52to taxi drivers. In so doing, they may rebuild some trust in the
5:47:52 > 5:47:56Conservative Party. It is clearly in my interest that the Government does
5:47:56 > 5:47:59not listen to a word I have said, he continues to give taxi drivers in my
5:47:59 > 5:48:04constituency and across the country the impression that the Conservative
5:48:04 > 5:48:08Party simply doesn't care, but I know from talking to taxi drivers in
5:48:08 > 5:48:14my constituency and their families, and many across the country, that
5:48:14 > 5:48:16unless we get this exemption through, they will not be able to
5:48:16 > 5:48:20afford to take up to zero emission capable taxi, and it is arguable
5:48:20 > 5:48:23whether many of them would be able to afford to do it anyways. But I am
5:48:23 > 5:48:26less interested in the party politics of this debate, and far
5:48:26 > 5:48:30more interested in making sure taxi drivers in my constituency across my
5:48:30 > 5:48:33city, and across the country get a fair hearing and deal from this
5:48:33 > 5:48:42government.I do need to hear from the SNP spokesperson, so I will say
5:48:42 > 5:48:49if you could try to keep it short right now, at least to the six most
5:48:49 > 5:48:52speakers.I am pleased to speak in favour of the reforms the stamp duty
5:48:52 > 5:48:55for first-time buyers, and I will get to the opposition amendment. The
5:48:55 > 5:49:00changes to stamp duty means that 95% of first-time buyers will pay less
5:49:00 > 5:49:04tax, 80% will pay no tax at all, and first-time buyers will be getting a
5:49:04 > 5:49:10tax reduction of up to £5,000, which will be hugely welcomed by younger
5:49:10 > 5:49:14people in my constituency. There are probably three reasons I support
5:49:14 > 5:49:19this reform. The first, it is part of a wider rebalancing of the tax
5:49:19 > 5:49:22system towards younger people and people who do not own a home of
5:49:22 > 5:49:26their own. In the context, it is worth thinking about the measures of
5:49:26 > 5:49:33the taken in 2015 the mature form the track statement of second homes.
5:49:33 > 5:49:36Those reforms increased stamp duty on the purchase of additional
5:49:36 > 5:49:41properties, so on one hand, we have this reform, which supports
5:49:41 > 5:49:44first-time Bidart -- buyers, and on the other hand, we have a set of
5:49:44 > 5:49:48reforms which reduce the amount of housing as an investment asset.
5:49:48 > 5:49:53Together, these tilt the balance of the system towards younger people
5:49:53 > 5:49:58and first-time buyers, and there I say they are redistributing manners,
5:49:58 > 5:50:00I'm surprised the opposition is opposing them, given that young
5:50:00 > 5:50:05people are those most affected by the failure over generations to not
5:50:05 > 5:50:08build enough houses in the country, it is right to tip the system
5:50:08 > 5:50:15towards them. Earlier this debate, the member offered the Minister a
5:50:15 > 5:50:18suggestion for revenue rates, and I wonder if I can do the same thing,
5:50:18 > 5:50:22saying we should go even further in rebalancing the tax system,
5:50:22 > 5:50:25considering whether it is time for a reform of the private residence
5:50:25 > 5:50:29relief. Ministers will recall in 2013 that we changed the way the
5:50:29 > 5:50:33exception worked to make a fair system and some of the abuses that
5:50:33 > 5:50:36have an under labour, and I would encourage him to look again at this
5:50:36 > 5:50:39issue now, particularly given the number of other countries have
5:50:39 > 5:50:46tighter restrictions on the important exemption. It would come
5:50:46 > 5:50:51the 75 antitax avoidance measures we have already taken, which have
5:50:51 > 5:50:53raised £160 billion for public services. The second reason I
5:50:53 > 5:50:59support these measures is because as many economists have pointed out,
5:50:59 > 5:51:03stamp duty is a fundamentally bad tax which reduces mobility. The
5:51:03 > 5:51:05Chancellor is obviously unable to abolish it at this stage,
5:51:05 > 5:51:09considering he is still in the process of cleaning up the biggest
5:51:09 > 5:51:14deficit in this country's history, which disgracefully the company this
5:51:14 > 5:51:17country was barring a quarter of all the money spent, but we are making
5:51:17 > 5:51:24some important progress. These changes will and the absurd slab
5:51:24 > 5:51:29system, which... And the £300 million tax cut. This further
5:51:29 > 5:51:35production in STL T, this is welcome to young people, and I hope they
5:51:35 > 5:51:40will continue to chop away at this bad tax. Thirdly, they can provide
5:51:40 > 5:51:44immediate support for young people and people who do not own their own
5:51:44 > 5:51:47property, even as would bring about longer-term reforms to increase
5:51:47 > 5:51:51supply. Where I agreed with the honourable member for Oxford East
5:51:51 > 5:51:56was that we must have higher supply, because since 1979, France has been
5:51:56 > 5:52:00building twice as many houses than this country, and as a result, their
5:52:00 > 5:52:09house prices have gone house -- Don up twice as fast.Why are so many of
5:52:09 > 5:52:20the housing measures delayed for at least a year before coming to proper
5:52:20 > 5:52:26implementation.I'm afraid I am not sure what he is driving at, but in
5:52:26 > 5:52:28conscious of time, Mr Speaker, I support these measures because
5:52:28 > 5:52:33they'll provide immediate benefit, and they are part of a wider
5:52:33 > 5:52:39strategy to support first-time buyers, the new lifetime eyesight,
5:52:39 > 5:52:45which gives people a 25% bonus as a safe deposit, and a huge support for
5:52:45 > 5:52:48shared ownerships and new supply measures like the housing for
5:52:48 > 5:52:52structure fund, and a huge increase in funding for affordable housing in
5:52:52 > 5:52:55the 2015 spending review. Mr Deputy Speaker, my younger constituents
5:52:55 > 5:53:00will warmly welcome the end of stamp duty for first-time buyers, and many
5:53:00 > 5:53:05my older constituents's parents and grandparents will do so as well. The
5:53:05 > 5:53:08honourable member for Oxford East thought -- I thought made the case
5:53:08 > 5:53:15for her -- against her own amendment by drawing on details already exist.
5:53:15 > 5:53:23An estimate... They know the significant degrees of uncertainty
5:53:23 > 5:53:27around her. I welcome the OBR's reform, it makes things more
5:53:27 > 5:53:32transparent, and is right that the OBR is cautious, because Gordon
5:53:32 > 5:53:38Brown had fiddled the figures, and made a disaster by doing so. They
5:53:38 > 5:53:48are right be cautious, and the uncertainty around these measures is
5:53:48 > 5:53:55massive. I'm sure -- we made this race four times more money than
5:53:55 > 5:54:02initially thought. Even if you did believe that all of this £5,000
5:54:02 > 5:54:06would be entirely capitalised into the price of the House, my
5:54:06 > 5:54:11constituents would be £5,000 better off as a result, which is still a
5:54:11 > 5:54:15better dish still significant number. Mr Debbie Speaker, I am
5:54:15 > 5:54:20hugely glad to be supporting these reforms today and oppose the
5:54:20 > 5:54:28opposition's amendment.Thank you very much, Mr Deputy Speaker. I want
5:54:28 > 5:54:33to talk to new clause ten, which is the name of my self and my
5:54:33 > 5:54:36honourable collies, I would like to move the new clause on behalf of the
5:54:36 > 5:54:42SNP. We are tight for time, I'll just say can you just give us our
5:54:42 > 5:54:48money back? Please, thanks. I will expand on that a little further...
5:54:48 > 5:54:58My party, like other supported the SNP. However, given that the SNP
5:54:58 > 5:55:04government Scotland was warned at the time that is the lack of this
5:55:04 > 5:55:07would happen, they chose to go with it anyways, and we now have a police
5:55:07 > 5:55:11force which the public, many politicians, and many members of the
5:55:11 > 5:55:16police themselves are unhappy with, would you not be better pleading
5:55:16 > 5:55:20with her colleagues at Holyrood to fix the problem, rather than trying
5:55:20 > 5:55:27to divert attention onto something...Order! Please. We're
5:55:27 > 5:55:35very short on. I want to get the leave review party,.Thank you very
5:55:35 > 5:55:39much, Mr Deputy Speaker. I will talk about his why we should be given the
5:55:39 > 5:55:45rebate and why make sense this would happen. The police and Fire
5:55:45 > 5:55:48Departments of Scotland have been paying an annual charge of £35
5:55:48 > 5:55:56million a year in VAT. We repeatedly asked for these services to be
5:55:56 > 5:56:00excluded from the VAT, and we asked about this 140 times, that was just
5:56:00 > 5:56:05the SNP asking for it. Another group of people asked for, we asked for
5:56:05 > 5:56:08the on so many occasions and given so many excuses why it could not be
5:56:08 > 5:56:13done. They said there was no justification for a refund, the
5:56:13 > 5:56:17Chancellor himself said that under EU law, they could not -- would not
5:56:17 > 5:56:22be able to recover the VAT. They said these things. That has always
5:56:22 > 5:56:28been the case that the fair thing for the Government to do was to give
5:56:28 > 5:56:34police and Fire Services access to the VAT rebate. England has that,
5:56:34 > 5:56:38that is a national organisation, London legacy has access to the VAT
5:56:38 > 5:56:41rebate, that is also a national organisation. Now suddenly, the
5:56:41 > 5:56:46decision has been taken them at the welcome decision to give us this
5:56:46 > 5:56:50rebate, to put this in the place. But nothing has changed! Nothing has
5:56:50 > 5:56:54changed to cause this to happen. The situation is not any different to
5:56:54 > 5:56:57what it was three years ago. The police and Fire Services are
5:56:57 > 5:57:00structured exactly the same as they were three sick -- three years ago,
5:57:00 > 5:57:03yet somehow the Government has decided we are now eligible for the
5:57:03 > 5:57:09rebate and were not previously. The only fair thing to do, and I would
5:57:09 > 5:57:12encourage the member from Gordon to read the amendment, because it does
5:57:12 > 5:57:16not do but he thought it did, this asked for a review and for the
5:57:16 > 5:57:20Government to look at implications of giving us the money back that our
5:57:20 > 5:57:26police and Fire Services have claimed.
5:57:26 > 5:57:31This is a matter of fairness, they should always be available to the
5:57:31 > 5:57:34Scottish services, this money should be available to spend it on the
5:57:34 > 5:57:37police and our services so we can ensure that we have the best
5:57:37 > 5:57:40possible services so that we can do things like tackle public-sector pay
5:57:40 > 5:57:47gap within the services. Now, we are asking the Government to look at the
5:57:47 > 5:57:50consequences that would occur if the money was retrospectively available
5:57:50 > 5:57:55to claim back. And I would contend that the consequences that will be
5:57:55 > 5:57:59created is that we will be able to spend more money on the police and
5:57:59 > 5:58:02fire and counter the fact that it has been reduced by the Government.
5:58:02 > 5:58:06We could go into a situation where things would be better for police
5:58:06 > 5:58:10and fire in Scotland and as I said, Mr Deputy speak her, this is a
5:58:10 > 5:58:16matter of fairness. Nothing has changed except the Government
5:58:16 > 5:58:24position and give us back the money they owed us.Thank you Mr Deputy
5:58:24 > 5:58:28Speaker, I would like to return to clause seven if I may, there's been
5:58:28 > 5:58:31a failure of successive governments tackle the issue with the housing
5:58:31 > 5:58:36stock, since the 1970s we have on average built 160,000 new homes per
5:58:36 > 5:58:41year in England. The consensus is that we need to build between 250
5:58:41 > 5:58:48and two under 75 more to keep overpopulation growth and ageing
5:58:48 > 5:58:50population and tackle yourself undersupply. And I is why I am
5:58:50 > 5:58:54pleased the Government is taking steps to address this with
5:58:54 > 5:58:56accelerated house-building resulting and the increased supply of 270,000
5:58:56 > 5:59:01houses the last year. Increased demand and historic lack of supply
5:59:01 > 5:59:10has been pushing prices up. I never stock prices have risen by 7% since
5:59:10 > 5:59:149080, and this issue is not uniform. Areas such as the Southeast has
5:59:14 > 5:59:19suffered more than others seeing a 369% increase in prices since 2005.
5:59:19 > 5:59:26And I see this in my own family, with many of my young cousins, in
5:59:26 > 5:59:28their 20s buying homes on average salaries as their parents always did
5:59:28 > 5:59:32before them. But this is not the case in the southeast that other
5:59:32 > 5:59:35parts of the country. Large price hikes will obviously affect young
5:59:35 > 5:59:39people more as they are typically on lower incomes, and struggle to raise
5:59:39 > 5:59:44the capital needed to save it about -- deposit. When I bought my first
5:59:44 > 5:59:48time in the 90s, around 65% of my friends are doing the same, we just
5:59:48 > 5:59:54earned average incomes. Now less than 27% of 25-30 -year-olds are
5:59:54 > 5:59:59homeowners and I would be willing to bet that not many are in an average
5:59:59 > 6:00:07house price of salary £20,000. And the point was highlighted to me by
6:00:07 > 6:00:11young couple living in my constituency, living in high rent
6:00:11 > 6:00:16cost unable to make substantial savings towards a deposit. They're
6:00:16 > 6:00:19grateful for the schemes introduced by the Government to help them and
6:00:19 > 6:00:23save the deposit. And changes to the stamp duty, will also help
6:00:23 > 6:00:26first-time buyers like my constituents. To reduce the size of
6:00:26 > 6:00:31the savings they need to cover the costs of having a home. There were
6:00:31 > 6:00:35no longer pay stamp duty for properties up to a threshold of
6:00:35 > 6:00:42£300,000 and the cost over £3000 on properties up to half a million.
6:00:42 > 6:00:46This should mean 80% of first-time buyers will pay no stamp duty at
6:00:46 > 6:00:52all, and this policy removes a barrier one of the barriers, and
6:00:52 > 6:00:54helps people take have an opportunity to do to reach a dream
6:00:54 > 6:01:03that many achieved in the 20s and 30s.Deputy Speaker I would like to
6:01:03 > 6:01:10speak to new clause two in my name and that of the, my colleague, and a
6:01:10 > 6:01:15few words about amendment 13 of 14, which is a technical point of some
6:01:15 > 6:01:22importance raised by my colleague who regrets he cannot be here. Under
6:01:22 > 6:01:32the new class, we have asked the budget responsibility to produce a
6:01:32 > 6:01:37estimate of the yield it can be obtained from a penny in the pound
6:01:37 > 6:01:45on income tax at 1% increase in the standard higher and dividend rate.
6:01:45 > 6:01:49We are doing this not to give the Treasury computer some exercise I'm
6:01:49 > 6:01:52sure it gets plenty, but to produce an estimate which we can subscribe
6:01:52 > 6:02:02to of the revenue base that would exist for an earmarked tax to
6:02:02 > 6:02:06financial the health service. This is not to have that debate, but I
6:02:06 > 6:02:12want to raise the basic principle of how the Treasury might finance it.
6:02:12 > 6:02:17We can go back to the middle of Laster, when the chief executive of
6:02:17 > 6:02:21NHS England produced an estimate of roughly six billion and required to
6:02:21 > 6:02:28keep the NHS sustainable footing and avoid a serious winter crisis. About
6:02:28 > 6:02:324 billion for the NHS itself and 2 billion for the social through local
6:02:32 > 6:02:40councils. Now in the event the Treasury and the budget came up with
6:02:40 > 6:02:452 billion roughly, arguments about how much was real, let's say 2
6:02:45 > 6:02:48billion, we had the winter crisis anyway and has been discussed many
6:02:48 > 6:02:55cases here, the law probably weights and elderly people waiting in
6:02:55 > 6:03:00hospitals for placements, the stress on staff, and we hope that's over.
6:03:00 > 6:03:05We cannot be certain, but the issue I want to raise is how we prevent
6:03:05 > 6:03:14this happening in the next financial year. The proposal that we have an
6:03:14 > 6:03:18allocation of revenue of a small increase in income tax, comes from a
6:03:18 > 6:03:23commission which my party set up consisting, not just to support us,
6:03:23 > 6:03:27but lots of independent people with authority and NHS, the former chief
6:03:27 > 6:03:34executive of NHS England. The former chief executive of the Patients'
6:03:34 > 6:03:41Association of the Royal College of nurses, former chair of Royal
6:03:41 > 6:03:42College of General practitioners, amongst others of similar status.
6:03:42 > 6:03:47And they argued that the only sensible practical way now of
6:03:47 > 6:03:53preventing this endless recurring financial crisis and the health
6:03:53 > 6:03:57service is to have a dedicated source of tax revenue. Now
6:03:57 > 6:04:00traditional there have been two objections to this, one was that
6:04:00 > 6:04:09public opinion, they do not like higher taxes. But the survey from a
6:04:09 > 6:04:13Skype poll suggest that people were confident that the money would be
6:04:13 > 6:04:18allocated about 70% would support an income tax increase of this kind and
6:04:18 > 6:04:23other polls suggest the same. The second objection is a traditional
6:04:23 > 6:04:27treasury objection that this makes public spending and taxation more
6:04:27 > 6:04:33difficult to manage. I would cite as a counter to that, the recent
6:04:33 > 6:04:38comments of the Bible -- former head of the Treasury, who presided over
6:04:38 > 6:04:42the Treasury in the five years when I was in the coalition government.
6:04:42 > 6:04:47Massively impressive a man, I confess we did not always agree, he
6:04:47 > 6:04:52tended to regard public spending as some kind of disease, but
6:04:52 > 6:04:56nonetheless, a very authoritative source and he appears now to have
6:04:56 > 6:05:00been converted to the idea that this is the only way in which the NHS can
6:05:00 > 6:05:05be put on a properly sustainable footing. By looking ahead to the
6:05:05 > 6:05:08next financial year, which is what we are asking the Government to do,
6:05:08 > 6:05:12the question is how are we going to avoid the kind of problems we have
6:05:12 > 6:05:16this year. Well one is that the Government will simply muddle
6:05:16 > 6:05:20through and its current spending assumptions probably in the next
6:05:20 > 6:05:25budget in the autumn, the Chancellor, but another rabbit out
6:05:25 > 6:05:29of the House, the other alternative of course is hope that there is some
6:05:29 > 6:05:33kind of advance payment of the Brexit dividend, and I think we're
6:05:33 > 6:05:38familiar with those arguments around the 300 million a week that was
6:05:38 > 6:05:43supposed to come back. I think 18 billion a year, that we have been
6:05:43 > 6:05:48promised. I think we now know that this is almost entirely phoney and
6:05:48 > 6:05:53cannot be relied upon, of course it was at a gross estimate, we know we
6:05:53 > 6:05:57are paying out at least 40 billion and continued annual payments
6:05:57 > 6:06:00throughout the transition period. Possibly additional payments on top
6:06:00 > 6:06:05of that. And even on it fairly charitable view, were talking about
6:06:05 > 6:06:09five or six years before there is any dividend and even that depends
6:06:09 > 6:06:15on a continued constant rate of growth, and if growth slows down, as
6:06:15 > 6:06:19it certainly will post Brexit, this dividend may not appear. Simply
6:06:19 > 6:06:25cannot rely on the Brexit dividend, and get past finance it, some new
6:06:25 > 6:06:29mechanism needs to be found and this is the purpose of our amendment to
6:06:29 > 6:06:34open up that discussion. I do not propose to move the amendment to a
6:06:34 > 6:06:37division, but I would be interested in getting the Treasury view on how
6:06:37 > 6:06:41they currently regard to taxation, whether they're thinking has
6:06:41 > 6:06:46advanced in any way. I would like to say a few words and support of my
6:06:46 > 6:06:55colleague, one of whose constituents has raised a substantial point
6:06:55 > 6:06:58around a revenue proposal, and the finance bill which relates to
6:06:58 > 6:07:03dormant companies and their pension funds. The proposal which the
6:07:03 > 6:07:07revenue is making is that these should be this owned and
6:07:07 > 6:07:12deregistered when they have become dormant. The reasoning behind this
6:07:12 > 6:07:19is sensible, that some of these funds have been used for scams, add
6:07:19 > 6:07:25to the cost of the public, and indeed and the revenue. And they
6:07:25 > 6:07:32propose that effectively the register them when that happens. Now
6:07:32 > 6:07:35my colleague's constituent points out that there are some unintended
6:07:35 > 6:07:43consequences of this proposal. One of which is there are quite a lot of
6:07:43 > 6:07:47cases where there are dormant companies, but where they have had
6:07:47 > 6:07:52their pensions taken over by other companies and other cases where a
6:07:52 > 6:07:56company, a sponsoring company may be dormant, but the trustees have kept
6:07:56 > 6:08:06it going on a pay and basis, and further sustainable. The other
6:08:06 > 6:08:10aspect of the amendment, which causes a potential problem, is that
6:08:10 > 6:08:16these registration could happen after one month of a closer. A good
6:08:16 > 6:08:19example recently would be Monarch Airlines, but as we all know, it
6:08:19 > 6:08:22takes a lot more than a month to wind up the pension scheme, so this
6:08:22 > 6:08:31is a bit... I recognise and they recognise that this is a
6:08:31 > 6:08:36discretionary revenue, and it may be that the Minister will say we should
6:08:36 > 6:08:40trust the revenue to trust to get it right. It menu bar sensible of the
6:08:40 > 6:08:48cinema suggest, to have a car about to do cases that do not follow
6:08:48 > 6:08:53within it, and the purpose of the of them it is to suggest that the
6:08:53 > 6:08:55activities of the registration should be restricted to the Lasix
6:08:55 > 6:09:00just because that is when the scams occurred and we do not need to go
6:09:00 > 6:09:04into history. This should specifically be a carveout for cases
6:09:04 > 6:09:11when there may have well been a succession of it pension fund, and a
6:09:11 > 6:09:13provision providing for that that there should be at least one dormant
6:09:13 > 6:09:20employer. And there should be a two-year period allowed for pension
6:09:20 > 6:09:29funds that have been maintained for some time and viable. I don't
6:09:29 > 6:09:31pretend my colleague does not pretend that these necessarily are
6:09:31 > 6:09:35perfect solutions to the problem, but I just ask that the Treasury
6:09:35 > 6:09:43Minister would look at the issue here and reflect on it and come up
6:09:43 > 6:09:51with a better solution. Thank you Mr Deputy Speaker.Thank you Mr Deputy
6:09:51 > 6:09:56Speaker, and given the limited time that we have, I will intend to focus
6:09:56 > 6:10:01most of my remarks on those amendments and new clauses that have
6:10:01 > 6:10:05been spoken to in this debate if I may begin with new plus eight and
6:10:05 > 6:10:12seven. Seeking reviews of the operation are the exemption first
6:10:12 > 6:10:19time buyers. Housing Mr Deputy Speaker, as we know is one of the
6:10:19 > 6:10:24great challenges of our age. And I think we all recognise as certainly
6:10:24 > 6:10:29have in this debate the importance of supply side which is why the
6:10:29 > 6:10:32Chancellor, my right data from the Chancellor which I am delighted to
6:10:32 > 6:10:35see is on the Treasury bench as I speak made such an important
6:10:35 > 6:10:41announcement about funding, for more housing going forward that we look
6:10:41 > 6:10:49at 300,000 new build homes in the next decade. The point has been made
6:10:49 > 6:10:56that they have suggested that prices may increase by 20% as a result of
6:10:56 > 6:11:00the measures, but a point I will make is that that is an observation
6:11:00 > 6:11:05based on the measure love. Does not take into account the supply-side
6:11:05 > 6:11:12measures that we are introducing. Turning now Mr Deputy Speaker to
6:11:12 > 6:11:20amendment ten, 11, 12 relating to taxes and supplement. I give way to
6:11:20 > 6:11:25my right honourable friend.Thank you for giving way, I would like to
6:11:25 > 6:11:36make a suggestion on the MM and he talks about, concerns
6:11:36 > 6:11:42This would make all taxis exempt this year rather than just the new
6:11:42 > 6:11:44electric capable vehicles. As my right honourable friend knows from
6:11:44 > 6:11:49our discussions on taxis, we have serious concerns about air quality
6:11:49 > 6:11:54in the capital, and for him to project his view on whether it is
6:11:54 > 6:12:08better to bring forth... Please, do not try to make a speech on
6:12:08 > 6:12:19intervention.Thank you, Mr Deputy Speaker. In response... On on behalf
6:12:19 > 6:12:23of my constituency, we look very careful at proposals to bring
6:12:23 > 6:12:28forward our electric vehicles.He talks a bring forward this
6:12:28 > 6:12:31exception, the important thing is with we look forward up -- look to
6:12:31 > 6:12:37bring it forward, we should look solely at the element that relates
6:12:37 > 6:12:42to low emission vehicles, rather than to all taxis as the amendments
6:12:42 > 6:12:47do, as put forward by it the member up from Belford North. What I can
6:12:47 > 6:12:50say is having listened to the representations from my honourable
6:12:50 > 6:12:57friends who have just intervened and the one who has before this -- these
6:12:57 > 6:13:03amendments, we must simple -- the pathetically looked forward -- look
6:13:03 > 6:13:09at the issue... Bring forward the exception that the one year, and I
6:13:09 > 6:13:13know that my honourable friend, the exchequer secretary, will surely be
6:13:13 > 6:13:18meeting with the London taxi company, and he will be furthering
6:13:18 > 6:13:22those discussions with them. In the one minute remaining, Mr Deputy
6:13:22 > 6:13:28Speaker, perhaps I could turn to new clause ten, calling for a few of the
6:13:28 > 6:13:36consequences of not backdating the refund of the VAT and response of
6:13:36 > 6:13:39Scottish Fire And Rescue Services, the Chancellor made it clear in the
6:13:39 > 6:13:44budget that going forward after lobbying particularly from our
6:13:44 > 6:13:47conservative colleagues on the side of the House, we would be allowing
6:13:47 > 6:13:51such refunds going forward. The Scottish Government in 2012, when
6:13:51 > 6:13:55they entered into the arrangements they made then, did so knowing the
6:13:55 > 6:14:01consequences of those actions, but we are taking action going forward.
6:14:01 > 6:14:05Finally in respect of the contributions from the honourable
6:14:05 > 6:14:12men -- gentlemen, I will give way shortly, I understand his desire to
6:14:12 > 6:14:18have information on the effects of increases of income taxed by 1%.
6:14:18 > 6:14:23There is actually no need for that now as there is information, time
6:14:23 > 6:14:27does not allow me to explain, but I will speak to him after this debate
6:14:27 > 6:14:31about it. On that basis, I hope you will withdraw his amendment, and I
6:14:31 > 6:14:39also take aboard his comments about dormant companies and pension fund
6:14:39 > 6:14:44arrangements. But we have to look to HMR seats to take those steps to
6:14:44 > 6:14:52make sure the scams are prevented. Thank you.We have no time left...
6:14:52 > 6:15:00The question is that clause seven be reread. As many as are of the
6:15:00 > 6:15:12opinion, say "aye". To the contrary, "no".
6:16:47 > 6:16:53The question is that the new clause seven be reread. As many as are of
6:16:53 > 6:16:57the opinion, say "aye". To the contrary, "no". Nick Smith for the
6:16:57 > 6:17:07noes.
6:23:07 > 6:23:17Open doors!
6:28:43 > 6:29:05Order! Order. The ayes to the right, 228. The noes to the left, 305.
6:29:05 > 6:29:15Thank you Tom. The ayes to the right, 128. Order. If you do not
6:29:15 > 6:29:23want to hear the result, I do. The ayes to the right, 228, the noes,
6:29:23 > 6:29:32305, the noes have it. Unlock. We now come to new clause ten which is
6:29:32 > 6:29:40formally. The question is new plus ten to the Bill, As many as are of
6:29:40 > 6:29:54the opinion, say "aye". To the contrary, "no".. Clear the lobbies.
6:32:09 > 6:32:18Order! The question is not new clause can be added to the Bill as
6:32:18 > 6:32:24many of that opinion at ayes. The contrary noes. The tallies for the
6:32:24 > 6:32:32ayes are Brendan and cried. -- Greg.
6:37:50 > 6:37:56Closed doors.
6:42:14 > 6:42:31Order! Order! The ayes to the right, to 52. A note to the left, 305.
6:42:36 > 6:42:44The ayes to the right, 252, the noes to the left, that noes have it.
6:42:44 > 6:42:59Unlock. We now come to amendment six to move formally. The question is it
6:42:59 > 6:43:02be made. As many as are of the opinion, say "aye".. The contrary
6:43:02 > 6:43:11know. The ayes habit. The question is that amendment can be made. As
6:43:11 > 6:43:25many as are of the opinion, say "aye". To the contrary, "no".
6:44:01 > 6:44:04The question is that amendment had be made. As many as are of the
6:44:04 > 6:44:12opinion, say "aye". To the contrary, "no". For the noes, I have George
6:44:12 > 6:44:22and Greg.