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If he will list his official engagements for Wednesday 25 March.
If he will list his official engagements for Wednesday 25 March.
A young couple in my constituency were persuaded by Mr Steven Macsporran of the Advice Centre for Mortgages to put a legacy they had into a flat to rent in Turkey. He was an agent for ROPUK. They got no flat and lost £47,000. The Financial Ombudsman Service said that it could not give any advice because it was unregulated advice. Does the Prime Minister agree that that company, and companies like it, should not be allowed to advertise themselves as being regulated by the Financial Conduct Authority if they give such advice, and is it not time we dealt with this rip-off Britain problem?
A young couple in my constituency were persuaded by Mr Steven Macsporran of the Advice Centre for Mortgages to put a legacy they had into a flat to rent in Turkey. He was an agent for ROPUK. They got no flat and lost £47,000. The Financial Ombudsman Service said that it could not give any advice because it was unregulated advice. Does the Prime Minister agree that that company, and companies like it, should not be allowed to advertise themselves as being regulated by the Financial Conduct Authority if they give such advice, and is it not time we dealt with this rip-off Britain problem?
First, I pay tribute to the hon. Gentleman, who is standing down at the election. He has been a Member of Parliament for—[Interruption.] He is not?
If he will list his official engagements for Wednesday 18 March.
If he will list his official engagements for Wednesday 18 March.
Q7
.
Michael Connarty (Linlithgow and East Falkirk) (Lab):
My neighbour Helen was able to live in her own home for many years with degenerative multiple sclerosis because of the independent living fund, until sadly she died. How can the Prime Minister and the Government morally justify taking away the fund from the most disabled people in our communities, so that they might end up being institutionalised, not independent?
Q7
.
Michael Connarty (Linlithgow and East Falkirk) (Lab):
My neighbour Helen was able to live in her own home for many years with degenerative multiple sclerosis because of the independent living fund, until sadly she died. How can the Prime Minister and the Government morally justify taking away the fund from the most disabled people in our communities, so that they might end up being institutionalised, not independent?
As the hon. Gentleman knows, we have devolved the funding for the independent living fund, but we have also maintained the vital disability benefits, such as the disability living allowance, which has been uprated every year in line with inflation.
What recent discussions he has with the Finance Secretary of the Scottish Government on devolution of taxes.
What recent discussions he has with the Finance Secretary of the Scottish Government on devolution of taxes.
I have had frequent and largely constructive discussions with the Scottish Cabinet Secretary for Finance, Employment and Sustainable Growth, including on the matter of devolution of taxes, as have my ministerial colleagues. The Scottish Minister recently met the Chancellor of the Exchequer. We have made huge progress in the area of tax devolution.
From reading the text of the Smith agreement, it seems to me that we have handed over income tax in particular to the Scottish Government, whereby allowances and bands can be varied. In fact, we have created the possibility of an independent tax system, apart from hanging on to the 20p tax as a kind of fulcrum around which it must work. Has the Treasury looked at the impact that there would be on the UK if there were an entirely independent tax system in the north of the United Kingdom?
From reading the text of the Smith agreement, it seems to me that we have handed over income tax in particular to the Scottish Government, whereby allowances and bands can be varied. In fact, we have created the possibility of an independent tax system, apart from hanging on to the 20p tax as a kind of fulcrum around which it must work. Has the Treasury looked at the impact that there would be on the UK if there were an entirely independent tax system in the north of the United Kingdom?
Yes, we have. The hon. Gentleman is right. The Smith commission—rightly, I believe—devolves power over rates and bands in the income tax system. It
does not devolve control of the tax base or the personal allowance. One of the bits of work that remains to be done is to ensure that we have a fiscal framework in place around that which means that the fact of devolution does not offer a financial advantage in and of itself either to Scotland or to the rest of the United Kingdom. I have had constructive discussions with John Swinney on that point and on many others. It is, of course, a matter for the Scottish Government to make sure that they have competent administrative machinery in place, which they will need next month when the process of the first wave of income tax devolution starts.
Has the Secretary of State specifically discussed the question of varying tax bands under the Smith agreement, which seems a marvellous opportunity for Scotland to decide how it treats people with differing levels of income? It might be different from the way they are treated in the rest of the UK.
Has the Secretary of State specifically discussed the question of varying tax bands under the Smith agreement, which seems a marvellous opportunity for Scotland to decide how it treats people with differing levels of income? It might be different from the way they are treated in the rest of the UK.
The hon. Gentleman is right and he takes the debate in a direction in which it has to go. Surely the time has come when we should no longer be discussing where powers lie, but discussing what can be done with the substantial powers that the third most powerful devolved legislature anywhere in the world will have as a result of these proposals.
What discussions he has had with the Chancellor of the Exchequer on the Smith Agreement and the ability of the Scottish Government to vary income tax bands in Scotland.
What discussions he has had with the Chancellor of the Exchequer on the Smith Agreement and the ability of the Scottish Government to vary income tax bands in Scotland.
What steps he plans to take to safeguard the universal service obligation for the delivery of mail.
What steps he plans to take to safeguard the universal service obligation for the delivery of mail.
The universal service obligation is not an optional extra—it is a fundamental duty enshrined in law and only Parliament could change that. In addition, it is the responsibility of the postal regulator, Ofcom, to ensure services are available throughout the UK at an affordable and uniform price, six days a week.
I thank the Minister for that reply, but is it not time that we looked at how Ofcom carries out its remit, possibly through a judicial review of that remit? Given that Ofcom has been dragged reluctantly to review the actions of the cherry-pickers such as Whistl, which wants to pick mail up in the 8% of the UK’s geographical area that covers 42% of the mail thereby undermining the ability of Royal Mail to deliver, Ofcom attacked the standard of wages and conditions of the Royal Mail workers rather than deal with the problem of cherry-picking of the universal service obligation, which could be irrecoverably damaged.
I thank the Minister for that reply, but is it not time that we looked at how Ofcom carries out its remit, possibly through a judicial review of that remit? Given that Ofcom has been dragged reluctantly to review the actions of the cherry-pickers such as Whistl, which wants to pick mail up in the 8% of the UK’s geographical area that covers 42% of the mail thereby undermining the ability of Royal Mail to deliver, Ofcom attacked the standard of wages and conditions of the Royal Mail workers rather than deal with the problem of cherry-picking of the universal service obligation, which could be irrecoverably damaged.
There is agreement on both sides about the importance of the universal service obligation, and I do not think there is any evidence that the regulator is failing to fulfil its duty. It looked in detail at the case the Royal Mail put forward last summer and concluded that the market is operating as it should at the moment. It is committed to a further review later this year, and is also looking at the issue of access pricing. These issues are continually under consideration because the USO is so important.
When he last met the Chair of the UK Statistics Authority.
When he last met the Chair of the UK Statistics Authority.
As I remarked earlier, I have been reading the report of the Statistics Authority. The fact is that the Labour Government prosecuted more companies for corporate tax evasion than this Government have done. It is a major scandal in this country that many, many people who make money from our consumers do not pay their tax in this country. What is the Prime Minister doing to plug these gaps?
As I remarked earlier, I have been reading the report of the Statistics Authority. The fact is that the Labour Government prosecuted more companies for corporate tax evasion than this Government have done. It is a major scandal in this country that many, many people who make money from our consumers do not pay their tax in this country. What is the Prime Minister doing to plug these gaps?
When we chaired the G8, we put at the head of the agenda the issue of tax transparency, tax evasion and aggressive tax avoidance, and we now have 90 countries automatically sharing their tax information, including Switzerland, so the events that we are discussing—events and allegations of crimes—all took place when Labour was in power. Were this to happen again, we would not have this situation, because we have the automatic transparent exchange of tax information, something that this Government put on the agenda. Labour started talking about it only after we did that.
Reading through the UK Statistics Authority booklet, I am struck by the number of times
that the Government have been rebuked for giving false information in their statements. The Prime Minister is twice rebuked for giving the wrong facts about the debt, with him saying that it is falling when it has in fact been rising. Could the Cabinet Office get together with the UK Statistics Authority and agree to deal with facts, rather than fiction, in Government statements for the next three months?
Reading through the UK Statistics Authority booklet, I am struck by the number of times
that the Government have been rebuked for giving false information in their statements. The Prime Minister is twice rebuked for giving the wrong facts about the debt, with him saying that it is falling when it has in fact been rising. Could the Cabinet Office get together with the UK Statistics Authority and agree to deal with facts, rather than fiction, in Government statements for the next three months?
I am sure that the hon. Gentleman made a very interesting point, but I am finding it hard to relate it to the question under consideration.
It does seem that others are doing things around the world, but this Government are doing very little. The Energy Minister did not reply to this; he is posted missing on it. He was also posted missing at the summit in Aberdeen. At that summit, the point was made that the two things that are required are investment tax write-offs, so that people continue to invest in future fields, which will stop if they do not continue to invest; and a reduction in the taxation on the fields, which the Government increased massively to 30%. If we bring the tax back down to 20% and put in tax investment, we might sustain this field—this week, Shell announced that it is closing the Brent field, the first field to bring oil into this country from the North sea.
It does seem that others are doing things around the world, but this Government are doing very little. The Energy Minister did not reply to this; he is posted missing on it. He was also posted missing at the summit in Aberdeen. At that summit, the point was made that the two things that are required are investment tax write-offs, so that people continue to invest in future fields, which will stop if they do not continue to invest; and a reduction in the taxation on the fields, which the Government increased massively to 30%. If we bring the tax back down to 20% and put in tax investment, we might sustain this field—this week, Shell announced that it is closing the Brent field, the first field to bring oil into this country from the North sea.
Work of a collaborative tone to support maximum extraction from the North sea might be more appropriate considering some of the inaccuracies in the question. Not only did we take measures in last year’s autumn statement to support oil companies to ensure the maximum extraction, but we are looking at what further we can do in the Budget. The Secretary of State was in Aberdeen last month, and I will be in Aberdeen later today. We are taking this action to support the maximum possible extraction in terms of economic ability from the North sea.
What assessment he has made of the effect of lower oil prices on oil and gas extraction from the North Sea.
What assessment he has made of the effect of lower oil prices on oil and gas extraction from the North Sea.
Oil companies around the world are reacting to the rapid fall in oil prices and prioritising activity. We are working to ensure that we deliver maximum economic extraction from the North sea. I will be travelling to Aberdeen later today to discuss that with the industry.
I am sorry to learn that the Secretary of State for Justice thinks that convictions for trafficking are not really his responsibility. I should have thought that those at the Ministry of Justice were the very people to deal with them. In Scotland, the Minister for Justice takes responsibility for trafficking convictions there. My criticism of the new Modern Slavery Bill is that all the laws for which it provides are exactly the same as those that have operated up to this moment.
I do not know what “66%” means: 66% of nothing is nothing. We want to know why the Ministry of Justice did not argue for the new laws that Lord Judge and Peter Carter recommended to the Joint Committee that was set up to look into the issue.
I am sorry to learn that the Secretary of State for Justice thinks that convictions for trafficking are not really his responsibility. I should have thought that those at the Ministry of Justice were the very people to deal with them. In Scotland, the Minister for Justice takes responsibility for trafficking convictions there. My criticism of the new Modern Slavery Bill is that all the laws for which it provides are exactly the same as those that have operated up to this moment.
I do not know what “66%” means: 66% of nothing is nothing. We want to know why the Ministry of Justice did not argue for the new laws that Lord Judge and Peter Carter recommended to the Joint Committee that was set up to look into the issue.
In response to the hon. Gentleman’s first point, I can tell him that it is a simple matter of fact in Government that this issue is looked after by the Home Office. As for his second point, I do not believe that any past Government have done more than the present Government to tackle human trafficking. Work is being done across Government and across the public sector to deal with a crime that we all believe is abhorrent, and that we all want to see stamped out.
How many people have been convicted of human trafficking offences in the last four years.
How many people have been convicted of human trafficking offences in the last four years.
That question does not sit within the responsibilities of the Ministry of Justice; it is a question for the Home Office. However, I can inform the hon. Gentleman that between 2010 and 2013—the latest year for which figures are available in relation to human trafficking offences on an all-offences basis—the number of convictions increased by nearly 66%. The Government are committed to stamping out this abhorrent crime, building on the United Kingdom’s strong track record of supporting victims and fighting the perpetrators.
Given that Brent crude has dropped to $50 a barrel—40% of what it was—I am surprised there was not one question on the Order Paper about the effect of that on the supply chain, which is the responsibility of the Secretary of State; I know he knows this. My right hon. Friend the Member for East Renfrewshire (Mr Murphy), the new leader of the Labour party in Scotland, is calling for a summit to cover not just offshore but the supply chain factors affected by this collapse in the oil price. Will the Secretary of State join that summit and help not just the offshore industry but the supply chain, which is also affected?
Given that Brent crude has dropped to $50 a barrel—40% of what it was—I am surprised there was not one question on the Order Paper about the effect of that on the supply chain, which is the responsibility of the Secretary of State; I know he knows this. My right hon. Friend the Member for East Renfrewshire (Mr Murphy), the new leader of the Labour party in Scotland, is calling for a summit to cover not just offshore but the supply chain factors affected by this collapse in the oil price. Will the Secretary of State join that summit and help not just the offshore industry but the supply chain, which is also affected?
We understand the importance of that question. One of the sectoral groups in our industrial strategy is specifically concerned with the oil and gas supply chain. The companies around Aberdeen in particular are among the world leaders and could be seriously hit by the contraction of investment. Certainly, we will be getting that group together quickly and making an assessment of what it means. It is important to think long term, of course, as much of the industry does; temporary fluctuations in price are not necessarily as damaging as the hon. Gentleman might believe.
Q11
.
Michael Connarty (Linlithgow and East Falkirk) (Lab):
The most recent OECD report, No. 163, on income inequality, shows that the UK economy would be 20% bigger if tax policies had redistributed income to the bottom 40% of citizens. Can the Prime Minister resist the temptation to waffle and consider seriously his policies and those of Chancellor Scrooge over his five years, of rewarding the rich with tax cuts and hammering middle and low-income people with rises in the cost of living, not only—
Q11
.
Michael Connarty (Linlithgow and East Falkirk) (Lab):
The most recent OECD report, No. 163, on income inequality, shows that the UK economy would be 20% bigger if tax policies had redistributed income to the bottom 40% of citizens. Can the Prime Minister resist the temptation to waffle and consider seriously his policies and those of Chancellor Scrooge over his five years, of rewarding the rich with tax cuts and hammering middle and low-income people with rises in the cost of living, not only—
I was just about getting the hang of it. The problem with the Labour party’s attemptive narrative is that it simply is not true. Labour Members talk about inequality, but inequality is lower than it was at the election. They talk about poverty, but there are 600,000 fewer people in relative poverty than there were at the election. They talk about child poverty, but there are 300,000 fewer children in relative poverty than at the election. This afternoon we will be talking about children, and there are 390,000 fewer children in households where no one works than there were in 2010. Those are the facts. They may be inconvenient, but Labour ought to have a look at them.
If he will list his official engagements for Wednesday 17 December.
If he will list his official engagements for Wednesday 17 December.