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Proceeding contribution from Lord Bannside (Democratic Unionist Party) in the House of Commons on Tuesday, 7 June 2005. It occurred during Debate on bill on Finance Bill.


Finance Bill

I begin by congratulating the hon. Member for North Ayrshire and Arran (Ms Clark). Her constituency looks 20 miles across the Irish sea at another very good constituency—mine. Her maiden speech was very interesting, as was the one made earlier by the hon. Member for Newport, East (Jessica Morden). However, the hon. Lady has more faith than I, as she said that she would never cross the House. That was what I thought when I sat over there, but then the Government changed and I had to cross the Floor. Of course, I understand that she meant something different. It is nice to hear about the background of new hon. Members and to see the fruition of seeds sown earlier in their family history. Speaking from the Unionist Benches, I wish the hon. Member for North Ayrshire and Arran well. Ulster and Scotland have much in common, and that applies to me more than most as my mother came from the city of Edinburgh. That means that I have a good Scots streak in me—as I am often told when things get hot in Ulster politics. Anyway, I congratulate the hon. Lady and wish her well. I am not an expert on tax, but I welcome the Bill even though I find many of its paragraphs hard to understand. I shall not go into detail, lest my ignorance be seen. However, it is important for us to strike the right balance and achieve desirable outcomes without endangering other objectives. In tax matters, one needs to consider the policy issues that lie behind proposed changes, and whether the changes will deliver the stated objectives. As the Bill makes its way through the House, I hope that hon. Members of all parties will have a full understanding of the consequences of what is proposed. The parliamentary process can struggle with such technical matters, in which very few hon. Members are expert. We must ensure that our debates have the best possible outcomes and that we listen carefully to what is said. I am concerned that some provisions in the Bill might harm British industry. In addition, I ask the Paymaster General to confirm that she is absolutely satisfied that the proposed anti-avoidance measures are not so broad that innocent people will fall foul of them. As always, however, my primary concern is Northern Ireland, and I was surprised when I read clause 67 on page 56 of the Bill. It deals with the reorganisation of Northern Ireland’s water and sewerage services—the hottest political potato of the moment. Over the past 30 years, we have had Conservative and Labour Governments and direct rule, but nothing has been done in that period to ensure that people have acceptable water quality at a reasonable price. In fact, officials at the Northern Ireland Office were very quick to say that some people in Northern Ireland did not pay anything for their water, but that is not so. The fact that there is not a separate tax for water does not mean that that cost is not considered when the level of rates is decided. We have an inferior water service and putting it right will need a big input of finance. However, to ask the people of Northern Ireland to pay for putting it right and then to pay for the water would be totally unfair. It is evident from the Bill, however, that that is what the Government intend to do—and that will come as a surprise to most people in Northern Ireland. The Bill will enable the Government to get rid of their responsibility and hand to others the terrible job of repairing the water machinery and supplying water at a reasonable price. It is hard on the people of Northern Ireland to stick that suggestion in this Bill when it has not been properly debated. The issue is a hot potato and it unites all the political parties in Northern Ireland, which all believe that we need a proper water service. It angers me that the Shaftesbury estate, which owns Lough Neagh—the largest landlocked lough in the British Isles and an immense mass of water—offered the water from the lough to the Government free of charge, but they refused the offer. Now the water suppliers for Northern Ireland will have to buy the water of Lough Neagh for many millions of pounds and the cost will be passed on to the people.


Secondary information

Type
Proceeding contribution
Reference
434 c1164-5 
Session
2005-06
Chamber / Committee
House of Commons chamber
Subjects
Accountancy Capital gains tax Corporation tax Income tax Gift aid National income Public expenditure Lump sum payments Public sector debt Tax avoidance Taxation VAT Stamp duties
Legislation
Finance Bill 2005-06
Link
View this Proceeding contribution on www.publications.parliament.uk