109 Baroness Primarolo debates involving HM Treasury

Childcare Payments Bill

Baroness Primarolo Excerpts
Monday 17th November 2014

(9 years, 5 months ago)

Commons Chamber
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Catherine McKinnell Portrait Catherine McKinnell (Newcastle upon Tyne North) (Lab)
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I beg to move, That the clause be read a Second time.

Baroness Primarolo Portrait Madam Deputy Speaker
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With this it will be convenient to discuss the following:

Amendment 2 in clause 1, page 2, line 4, at end insert—

‘( ) The amount of the top-up payment is 66.66 per cent. of the amount of the qualifying payment where the qualifying child is a disabled child.”

Amendment 1 in clause 14, page 8, line 42, at end add—

‘(3) A child is a qualifying child for the purposes of the Act until the last day of the week in which falls on the 1 September following the child’s eleventh birthday (or eighteenth birthday in the case of a disabled child).”

Catherine McKinnell Portrait Catherine McKinnell
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New clause 1 stands in my name and that of my hon. Friend the Member for Wirral South (Alison McGovern), whom I wish to congratulate on her new role. It calls on the Government to consider the necessary help that hundreds of thousands of parents of three to four-year-olds need now to cover the ever-rising costs of child care.

Before I elaborate on the new clause further, I wish to reiterate a point that the Opposition have stressed throughout proceedings on the Bill. We welcome any new investment in child care and, in particular, any extra support for hard-pressed parents and families up and down the country who are struggling to juggle work and family life. That is worth remembering because, after all, we are the party which, in government, pioneered investment in early years. The principle that every child matters was at the centre of the Labour Government’s work across all Departments. We are the party that, in government, made no apology for focusing our efforts on, and redirecting any available support to, the children and families who needed our help the most. We are the party that, in government, made it its business to tackle disadvantage and to improve the life chances of every single child from the earliest possible age to give them the best possible start in life.

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Priti Patel Portrait The Exchequer Secretary to the Treasury (Priti Patel)
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It gives me great pleasure to speak in the debate. Let me begin by thanking everyone who contributed to the Committee stage, engaging in constructive dialogue, submitting the Bill to line-by-line scrutiny, sharing their views and giving evidence. I think that all Members found the evidence sessions extremely helpful. Opposition Members tabled a number of well-considered probing amendments that were designed to seek clarification throughout—

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. This is not an opportunity to review all the work that was done in Committee. The debate is very narrow. The Minister should be responding to the debate on new clause 1 and the amendments. I do not want her to come to that gradually; it is the only thing that she should be doing. I have given her a little bit of latitude, but perhaps she will now return to new clause 1.

Priti Patel Portrait Priti Patel
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I will do so very promptly, Madam Deputy Speaker.

New clause 1 would require the Government to publish, within three months of Royal Assent, an assessment of the benefits of this scheme to parents of three and four-year-old children, together with an assessment of the benefits in addition to the likely benefits of funding 25 hours of free child care per week for such parents.

The Government fully understand the importance of high-quality early education for that age group, which is why they fund 15 hours a week of early education for every three or four-year-old. We have extended that entitlement to the least advantaged 40% of two-year-olds, thus saving their families about £2,440 a year. By the end of this financial year, funding for early education places alone will have risen by over £1 billion during the current Parliament. We have committed ourselves to that substantial investment in early education because there is overwhelming evidence, here and elsewhere in the world, that high-quality early education has long-lasting benefits for children. We have seen big year-on-year improvements in the development of five-year-old children who have benefited from early learning, although we recognise that many factors influence school readiness and later attainment. We have commissioned academically robust and detailed research in order to understand more about the way in which high-quality early education affects children’s attainment and social and behavioural development.

However, it is important to recognise—as the Bill does—that the cost of child care is an issue not just for under-fives, but for school-age children. For many working families, the high costs of child care make it one of the largest parts of the household budget. The Government believe that there is a powerful case for improving access to child care throughout childhood, and to ensure that parents are helped to work if they choose to do so. The new scheme for children up to the age of 12 will build on the £5 billion per year that the Government already spend on early education and child care. It will help many more parents to meet their costs, including self-employed parents who cannot gain access to support under the existing employer-supported child-care scheme.

We recognise that every family is different, and will have different child-care needs and cost. We recognise that no one size fits all. The scheme is therefore designed to provide flexible support for working families, and to cater for different family circumstances. For example, it will allow parents to build up money in their child-care accounts to cover increased costs at holiday times.

As I have already said many times during our debates on the Bill, the Government have made a clear commitment to reviewing the impact of the scheme two years after its full implementation. That was made clear in the impact assessment that was published alongside the Bill. The review will consider the impact on all age groups within the scope of the scheme—which will, of course, include three and four-year olds—but it will not consider the effects of free early education, which is already the subject of extensive evaluation.

The Government take the evaluation of early education very seriously. We have commissioned a significant longitudinal study of early education and development, which will evaluate the effectiveness of the current early-education model in England and, more specifically, the impact of funded early-years education on two-year-olds from lower-income families. It will also update evidence from the effective pre-school and primary education project. It will continue until 2020.

The hon. Member for Newcastle upon Tyne North (Catherine McKinnell) made a number of points. For instance, she mentioned children’s centres. Let me reiterate that the Government want to see a strong network of children’s centres throughout the country, offering families access to a wide range of local and flexible services, tackling disadvantage, and preparing children for later life. Again, we covered in Committee many of the points about what goes on in centres and support in children’s centres.

The hon. Lady also specifically mentioned supply-side provision of child care, which we touched on in Committee, too. There are 100,000 more child care places than there were in 2009 and a lot of work is being done on the supply-side provision of child care, which is the point of this Bill.

Income Tax

Baroness Primarolo Excerpts
Wednesday 5th November 2014

(9 years, 6 months ago)

Commons Chamber
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None Portrait Several hon. Members
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rose

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. I inform hon. Members that if each Back-Bench contribution takes nine minutes—fewer than 10, including interventions—it will not be necessary to have a formal time limit, but if the early speakers speak for longer than 10 minutes, then subsequent speakers will find themselves on a time limit. I hope that everybody can co-operate to ensure a fair allocation of time.

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Andrew Bridgen Portrait Andrew Bridgen
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My hon. Friend is absolutely right. [Interruption.] It is in the nature of the Labour party that there is always another tax. Labour Members say, “One more tax will do it”, but it never ends, does it? He is quite right that the ability to earn—I stress that the word is “earn”, not “be given” or “inherit”—£150,000 a year or more does not—[Interruption.] Madam Deputy Speaker, this is ridiculous.

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. This is getting absolutely ridiculous. The hon. Gentleman has the Floor. We do not need the rest of the Members in the Chamber to engage in separate conversations. If they wish to do so, they can go outside and have a conversation. Otherwise, they should listen respectfully to the hon. Gentleman who has the Floor.

Andrew Bridgen Portrait Andrew Bridgen
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Thank you, Madam Deputy Speaker. If the shadow Minister wishes to intervene, I am more than happy to give way.

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Iain McKenzie Portrait Mr McKenzie
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How does the hon. Gentleman feel about comments from the hon. Member for Harlow (Robert Halfon) who said that cutting the rate of tax to 45p would emphasise to the public that again, the Conservative party is indeed the party of the rich?

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. I said at the beginning of the debate that if we co-operated with each other and each speaker spoke for no more than nine or a maximum of 10 minutes, everybody would be able to speak without a time limit. The hon. Gentleman has now spoken for 13 minutes, so I would be grateful if he would think about drawing his remarks to a conclusion.

Andrew Bridgen Portrait Andrew Bridgen
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I am sorry, Madam Deputy Speaker, but I was enjoying myself. In conclusion, by continuing to advocate a return to the 50p rate of tax, the Labour party is demonstrating that it is not a credible party of opposition, and certainly not of government. It is in fact a left-wing pressure group, ignoring economic evidence from around the world and determined to represent the interests of its union bosses.

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Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. Mr Browne, you know full well that this debate is not a general debate on the Labour party or its leader, but a debate on income tax. You are now ranging far too wide, and I should be grateful if you came back to the point of today’s debate. I am sure you will find other ways to express your wider political views on the Labour party.

Jeremy Browne Portrait Mr Browne
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I will do, and thank you for your guidance. I will move on to my practical and philosophical points.

My practical point echoes much of what was said by my hon. Friend the Member for Wyre Forest (Mark Garnier). The basics of being a globally successful, wealth-creating economy are not that difficult to grasp. What we have to do is make sure that businesses can start up, expand and create jobs. I was struck by the fact that quite a few contributors to this debate said that they do not have many people in their constituency who earn over £150,000. However, that is not a source for celebration: we want to have more people who are starting companies successfully and are able to earn more than £150,000 because they are employing hundreds of people, exporting around the world and meeting demand in markets. The idea that these people should be reviled is utterly perverse. We want more of these people in every constituency.

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Jeremy Browne Portrait Mr Browne
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I will finish in a moment, Madam Deputy Speaker. I have not abandoned that, which is why people earning up to £10,500 pay no income tax under this Government, whereas under Labour the relevant figure was £6,500. Of course there is then a standard rate and a higher rate. The hon. Gentleman made a mistake in his speech when he talked about tax cuts for millionaires. Let me give an example, which is party political. The Leader of the Opposition is a millionaire who does not pay this top rate of tax, but somebody who has just got a job earning £160,000 a year is not a millionaire but does pay his 50p rate of tax. It was deliberately misleading from the hon. Gentleman and it reflected badly on him.

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. The hon. Gentleman will rephrase his point about the shadow Chief Secretary misleading the Chamber and then he will conclude his remarks because he knows we now need to move to the wind-ups.

Jeremy Browne Portrait Mr Browne
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I am grateful, Madam Deputy Speaker, but I do not really understand in what way it was inaccurate to say that was misleading, because it clearly was misleading.

Baroness Primarolo Portrait Madam Deputy Speaker
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Order. You are not to question the Chair. I am telling you, as the Chair, that you have accused the Opposition spokesperson of misleading this House, and that is unparliamentary and unworthy of you as an experienced parliamentarian. Therefore, I am asking you to rephrase it.

Jeremy Browne Portrait Mr Browne
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I am extremely apologetic for implying that somebody who earns £160,000 a year is not a millionaire if they have only just started earning that amount, and—

Baroness Primarolo Portrait Madam Deputy Speaker
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Order. Don’t play games, please, Mr Browne. You clearly said on the record that the shadow Chief Secretary, in his opening remarks, misled this House. Under the conventions of the House, that is not permitted. So I am, again, asking you now to rephrase or withdraw that remark.

Jeremy Browne Portrait Mr Browne
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I withdraw the remark that I made a few moments ago and I apologise, of course, for behaving inappropriately in my speech. I conclude, as you would wish me to do, Madam Deputy Speaker, before we have the wind-ups, by urging the House to reject the motion, which would make the country as a whole poorer and make it harder for us to fund the public services on which everybody, including the least well-off, rely. It would also undermine the personal freedom of people who work, are entrepreneurial and create the necessary preconditions for us to be a successful country.

Finance Bill

Baroness Primarolo Excerpts
Wednesday 2nd July 2014

(9 years, 10 months ago)

Commons Chamber
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David Gauke Portrait Mr Gauke
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Our plans on the annual investment allowance are clear: this is a temporary increase until December 2015. If the hon. Lady disagrees with that and has a different policy, I would be grateful to hear what it is. She talks about certainty. She has repeated the position that her party has taken this week, which is that this country should have the lowest corporation tax rate in the G7. The second lowest corporation tax rate in the G7 is 26.5% in Canada. That would allow a future Labour Government to increase corporation tax not just from 20% to 21%, but up to 26%. Is that the policy of the Labour party?

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. As interesting as some Members might find the debate on corporation tax and the future policy, that is not the subject of the new clause that we are discussing. Although the subject is linked to the question of allowances, it is not the substantive point. I would be grateful if Members addressed their remarks mainly to the new clause. They may use supporting arguments, but they must not allow those supporting arguments to become the only things that are debated.

Catherine McKinnell Portrait Catherine McKinnell
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Thank you, Madam Deputy Speaker, for your sage guidance. I agree that the Minister appears to be diverting the discussion away from the issue of concern: the Government’s approach to the annual investment allowance, which is the subject of the new clause. It calls for a review of the impact of the Government’s decisions on the allowance. He seems very reluctant to address that issue.

Office for Budget Responsibility (Manifesto Audits)

Baroness Primarolo Excerpts
Wednesday 25th June 2014

(9 years, 10 months ago)

Commons Chamber
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Ed Balls Portrait Ed Balls
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Is the right hon. Lady really saying that I am misleading the House? I spoke to the head of the OBR last Friday, and he said to me that if the Government agree by the end of June, we can proceed and these obstacles can be overcome. In his view, the issues that the Minister is raising about resourcing and independence can all be resolved if she chooses to do so. Is she really saying that I am misleading—[Interruption.]

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. Interventions must be brief; the point has been made. I call the Minister.

Baroness Morgan of Cotes Portrait Nicky Morgan
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Thank you, Madam Deputy Speaker.

We are back to old social government: no notes, no transcript, nothing. If the right hon. Gentleman has exchanged correspondence or if he has a transcript of the conversation, he should put it before the House if he wants to bring it into the debate.

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David Rutley Portrait David Rutley
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Having recruited teams—very sizeable teams—in the past, I know it takes time to recruit talent. These are not unskilled people—[Interruption.] No.

David Rutley Portrait David Rutley
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May I ask the question, Madam Deputy Speaker?

Baroness Primarolo Portrait Madam Deputy Speaker
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The hon. Gentleman should make his intervention and ignore anything else, rather than trying to answer it all. A brief intervention will do, Mr Rutley.

David Rutley Portrait David Rutley
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Thank you, Madam Deputy Speaker, for your guidance.

I was making the point that it takes time to recruit skilled individuals, particularly in economic forecasting.

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Mark Garnier Portrait Mark Garnier
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I am grateful to the Minister for giving way yet again; she is giving up a great deal of her time. Robert Chote appeared before the Treasury Committee, and, while he did say that if he were pressured to an unbelievable extent the work would be possible, he made it very clear that he was not happy with the idea of having to press it too quickly. Moreover, the resources required would be astronomical, and it would be made up of temporary members of staff—

Baroness Primarolo Portrait Madam Deputy Speaker
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Order. Interventions are not opportunities for speeches. They are supposed to be brief, and Members in all parts of the House should adhere to that convention.

Baroness Morgan of Cotes Portrait Nicky Morgan
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Both my hon. Friend the Member for Macclesfield (David Rutley) and the member of the Treasury Committee, my hon. Friend the Member for Wyre Forest (Mark Garnier), have eloquently described the reservations expressed to the Committee by the head of the OBR. On page 7 of his letter of 15 January, paragraph 4 states:

“Resource constraints in the OBR and responsible departments would argue for a longer process than that undertaken ahead of Budgets and Autumn Statements, so proposals might be required two or three months ahead of manifesto publication.”

Mr Chote went on to say:

“a May election date with April manifesto publications would imply that the work of certifying manifesto costings would need to be undertaken alongside the Budget and preceding Autumn Statement, when the OBR and responsible departments are at or near their peak workloads.”

In that part of the letter, he was referring mostly to resources.

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Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. The hon. Gentleman’s time is being used up. In fairness, interventions must be brief.

Jacob Rees-Mogg Portrait Jacob Rees-Mogg
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Thank you, Madam Deputy Speaker. Of course I accept the shadow Chancellor’s word without question, but it is a conditional. If there were cross-party support, then a statutory body would do what a statute required of it. That is the simplest expression of the constitutional position that would apply to any statutory body. The idea that a statutory body would say, “If the whole of Parliament tells us to do something, we will blow a raspberry,” is so absurd as to be a point beneath the dignity of the right hon. Gentleman, who is far too clever to make so childish a point.

So let us come back to the real issue, the real curse of asking the OBR to do this. The spending plans of the Opposition are moveable feasts. They vary as circumstances vary. When I challenged the right hon. Gentleman, I thought the first part of his answer may have had some truth in it—that he wanted to be in absolute charge of where his party was. That may be the case, not only for him but for all shadow Chancellors at all times, and not just shadow Chancellors but whoever is responsible for economic policy among the Liberal Democrats, which is even more debatable than who is in charge in the Labour party. I am not entirely sure whether it is the President of the Board of Trade or the Chief Secretary to the Treasury; I am not sure that the Lib Dems have decided, or, if they have decided, whether this has been accepted by the brethren.

A number of people make spending promises. If we ask the OBR to audit them, we make the OBR a matter of political debate because it would be approving expenditure promises that would not necessarily be part of the Budget if the party making them were elected. Are you to say, Madam Deputy Speaker, that only promises made by a shadow Chancellor count? Are you to exclude the leader of the party, who has recently made certain promises to reform the benefit system? Or should you do it on the basis of GP appointments, which the leader has promised will occur within 48 hours? Has this been approved by the shadow Chancellor? Is it official policy or was it the whim of the Leader of the Opposition when he was caught out in a television studio? How are we to know? Are you so to restrict the shadow Work and Pensions Secretary or Education Secretary when they make statements? The shadow Chancellor is nodding. Perhaps this is not the bipartisan approach that we were led to believe in during his marvellous speech but a power grab by the right hon. Gentleman within his own party.

This House of Commons, this noble House, this honourable House, is debating whether the right hon. Member for Morley and Outwood (Ed Balls) should be in charge of the Labour party. This is really a debate about his leadership ambitions. They may be a good thing. Members of the Labour party ought to decide that, better than I possibly could. [Interruption.] I am grateful for the support. I do not know whether I would get many votes if I stood for leader of the Labour party, but never mind.

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None Portrait Several hon. Members
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rose—

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. The time remaining for contributions to this debate is very tight. In order to ensure that all Members who wish to speak can contribute, it is necessary to reduce the time limit to five minutes. I hope that it will not be necessary to reduce it further, but that will depend on interventions.

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Jesse Norman Portrait Jesse Norman
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Might it be worth my hon. Friend sharing my view and correcting the record? The OBR was set up by transferring existing civil servants from the Treasury into a new entity. It is therefore not right to say that it was set up quickly and could therefore be expanded quickly. It already had those civil servants, which was why it was allowed to succeed and start so quickly. Growing it is an entirely separate matter.

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. Before the hon. Member for Poole (Mr Syms) replies, I point out that Government interventions are having the consequence of talking out any Members who are still waiting to speak, and there are quite a number. We will start the wind-ups at 6.40 pm.

Robert Syms Portrait Mr Syms
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I conclude my contribution by saying that the OBR has a role. We should stick with its current role and perhaps look at changing it after the general election, but I do not think that this proposal has much merit. If it did have merit, would we be kicking it around on an Opposition day? I do not think so.

Wales Bill

Baroness Primarolo Excerpts
Tuesday 24th June 2014

(9 years, 10 months ago)

Commons Chamber
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Nia Griffith Portrait Nia Griffith
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I beg to move amendment 13, page 1, line 9, leave out clause 2.

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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With this it will be convenient to discuss the following:

Amendment 14, in clause 28, page 30, line 19, at end insert “except section 2”.

Amendment 15, in page 30, line 37, at end insert—

‘(8) Part 1, section 2, comes into force when a Welsh Government Minister has laid a report before the National Assembly for Wales containing a statement to the effect that the Welsh Government, with regard to the electoral arrangements of the National Assembly for Wales, is content with fairness of those arrangements.’.

Government amendments 6 and 7.

Nia Griffith Portrait Nia Griffith
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Amendment 13 would remove a clause which would make it possible for people to stand both on the regional list and in the constituency. A bizarre argument is put forward in favour of dual candidacy—if dual candidacy is not allowed, the smaller parties in Wales may struggle to find sufficient candidates of any quality—but if such parties expect the electorate to take them seriously as parties that could help form a Government in Wales, they need to demonstrate that they can find enough additional candidates to field on each of the five regional lists.

Could this problem of finding candidates be something to do with which parties we are talking about and what they believe in? Could it be that young people in Wales are not rushing to put themselves forward as Conservative candidates because they know that the Conservative party in Westminster abolished the education maintenance allowance, while the Labour Welsh Government have retained it, or because the Conservative Government here did away with Labour’s future jobs fund, whereas the Labour Welsh Government have launched a similar programme, Jobs Growth Wales, focusing on the private sector? There is also the issue of university tuition fees.

Could it be that people are not coming forward as candidates for Plaid Cymru because they do not want an independent Wales, or because they do not want to support cutting tax for the better off, as Plaid Cymru’s economic adviser, Adam Price, has confirmed is its policy? People have realised that Plaid Cymru is not the progressive party it pretends to be, but a reactionary party.

Perhaps people do not want to put themselves forward as Lib Dem candidates as they are somewhat confused. One minute we hear that the Lib Dems are in favour of a reserved powers model, yet we struggled to see any of them in the Lobby with us, supporting our amendment. I am not sure where they are now.

People simply do not like to think that they have bothered to go out to vote, only to find that although their preferred candidate won, the candidate or candidates they rejected also got in. We all remember the Clwyd West scenario where the Labour candidate won the constituency—

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Lord Hain Portrait Mr Hain
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rose—

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
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Order. Before you answer, Mr Hain, let me make it absolutely clear that we are talking about dual candidacy in Wales, as I think you probably appreciate. This is a tightly drawn debate and that is the subject of the amendment.

Lord Hain Portrait Mr Hain
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I am grateful for your guidance, Madam Deputy Speaker, which directly answers the hon. Gentleman’s point. I am speaking about Wales. I am not aware of serial abuses of the kind practised in Wales prior to the 2006 ban occurring in Scotland. Indeed, I think that the codes that apply in Scotland may be different. I note that the then Presiding Officer of the Scottish Parliament, Lord Steel, attacked dual candidature in terms very similar to mine.

Leanne Wood’s bible for dual candidature went on:

“We need to be thinking much more creatively as to how we better use staff budgets for furthering the aims of the party.”

She finished with a refreshing burst of honesty that, in an era of political spin, can only be commended:

“Regional AMs are in a unique position. They are paid to work full-time in politics and have considerable budgets at their disposal. They need not be constrained by constituency casework and events, and can be more choosy about their engagements, only attending events which further the party’s cause. This can be achieved by following one simple golden rule: On receipt of every invitation, ask ‘How can my attendance at this event further the aims of Plaid Cymru?’ If the answer is ‘very little’ or ‘not at all’, then a pro forma letter of decline should be in order.”

All the arguments and evidence I have cited in the past few minutes, in Committee and on Second Reading, demonstrate that the 2006 ban was not partisan but instead enhanced the democratic standards of all Welsh Assembly Members.

Indeed, I reminded the House at the time of the ban that six Labour Assembly Members, including three Ministers, would be defeated in the 2007 Assembly elections by a very small swing of 3% against them. They would not have the lifebelt of dual candidature, which I had removed; they would no longer enjoy the safety net of the regional list. Two of them subsequently did lose, as I said could happen. The reform affected Labour candidates and candidates of other parties alike, a point that my hon. Friend the Member for Llanelli (Nia Griffith) made so eloquently.

In conclusion, the Government have now officially blessed this practice—presumably, they will marshal the votes shortly to try to defeat our amendment—and it appears that they are, sadly, doing so with the blessing of the Electoral Commission. I therefore look forward to Labour being welcomed into the fold of running dual candidates again. After all, why should we lose out while everybody else takes advantage? Never mind the voters, let us put our own self-interest as political parties first. I trust that the Government will be proud of bringing politicians in Wales into even greater disrepute than the political class right across the United Kingdom. Tellingly, the Electoral Commission is endorsing that disrepute and the Secretary of State is now smiling in anticipation of that happening. That is the consequence of his reversal of this ban; he is opening the door again to the serial abuses which have been documented and proved beyond doubt. He is going to invite that very abuse of democracy in Wales by removing the ban and installing clause 2, which is the reason for supporting amendment 13.

Consumer Rights Bill

Baroness Primarolo Excerpts
Monday 16th June 2014

(9 years, 11 months ago)

Commons Chamber
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Stella Creasy Portrait Stella Creasy
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I add my congratulations, Madam Deputy Speaker, to those of other hon. Members. Indeed, there is nothing like a dame. [Interruption.] Come on, somebody had to say it.

I do not know where to start with what the Minister has just set out. Loophole after loophole seems to be being built into this legislation, with the proviso that someone else will pick up the pieces. The Minister hopes that it will be various other regulators, but it is clearly the consumer who will be ripped off instead. I can see from the face of the hon. Member for Shipley (Philip Davies) that he too was disappointed, and I fear that it is time rather than intent that will mean we cannot make much progress today. I urge the Minister to watch the John Oliver video that is going round the interweb, if only to understand the real concern about net neutrality. I certainly hope that our colleagues in the other place will make some progress on this. The idea that at point of sale we can defend such a fundamental principle as free speech does not cut the mustard.

On debt management companies and log book loans, the Minister refers to the Financial Conduct Authority, leaving it to pick up the pieces from legislation that is antiquated and outdated, which at some unspecified time the Law Commission may look into. It is not good enough. We know that millions of people are in debt to such legal loan sharks. We know that the debt management industry is profiting as debt in this country goes up, not down. The right thing to do would be to get the consumer credit landscape to work for that problem, rather than to ask somebody else to deal with it, whether that is the Financial Conduct Authority or the Law Commission.

Again, this is the Consumer Rights Bill. A bill of sale is a consumer contract. There is no justification in the modern world for leaving them in place. The Minister is fond of saying that the Labour Government had 13 years to do something about it. That Government were on the verge of outlawing bill of sale agreements. I hope the Minister will change her mind.

The amendment that we must press to a vote is amendment 1 for those Members who were not here earlier to hear about estate agents charging both the buyer and the seller a fee. The Minister accepts that there is a concern. We are talking about fees of thousands of pounds for our constituents to buy a property—a fee that distorts the price that a seller will get. Yet again, the Minister calls for a loophole to be written in and calls for the property ombudsman to monitor the situation, when it is clearly a conflict of interest for an estate agent to act for both the buyer and the seller at the same time.

Our constituents will rightly ask us what we are doing when we see these clear breaches of contract law taking place. Simply saying, as the Minister does, “Well, we’re going to monitor the number of complaints” is a green light for estate agents to undertake such practices. That is compounded by the fact that all estate agents in most of our constituencies are monitored from a rural Welsh constituency by Powys county council. It cannot understand how these half a million people are behaving, or how we reached the stage when a fee of thousands of pounds could be applied. There is complacency about a clear rip-off that our constituents are facing. [Interruption.]

The Minister of State, Department for Work and Pensions, the right hon. Member for Hemel Hempstead (Mike Penning) says, “Get on with it.” There are people in my constituency paying £6,000 or £7,000 as a fee. The Minister says we had 13 years. The present Government have had four years. We have given an example of how they could do something about it. The Government are failing to make progress, yet again, and all our constituents miss out. I fear for the Minister when one of his constituents comes to him with one of those contracts, under which they are paying £6,000 or £7,000 to an estate agent as a fee to buy a property under sale of tender, and he justifies doing nothing about it.

This Bill is an opportunity to make progress. We on the Opposition Benches—[Interruption.] The Minister comments that I was in diapers when he became an MP, but I am old enough to recognise when there is a rip-off to be dealt with—

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
- Hansard - -

Order. Will the hon. Lady sit down, please. Minister, I hope you did not say that. You have just entered the Chamber and you have been shouting since you sat down. It is not in order to speak to any hon. Member at the Dispatch Box. Members need to calm down a bit, please.

Stella Creasy Portrait Stella Creasy
- Hansard - - - Excerpts

Thank you, Madam Deputy Speaker. I was about to wind up.

I know that house buying arouses a lot of passion, but it arouses even more passion when people get ripped off by an estate agent. It is clear that the Government do not support an amendment that would make progress in tackling the problem, which occurs across the country. They are all noise and no action. The Opposition want to see action on estate agents who are ripping people off. I hope Members on the Government Benches who have seen it in their constituency and who fear the impact that it is having on the price of houses will join us in the Lobby in voting for amendment 1.

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Diana Johnson Portrait Diana Johnson (Kingston upon Hull North) (Lab)
- Hansard - - - Excerpts

On a point of order, Madam Deputy Speaker. At 10.50 this morning a reporter from The Sun, Tom Newton Dunn, tweeted:

“ISIS will be made a banned terrorist organisation in the UK by the Home Secretary today.”

That was before the Order had been laid before Parliament and before the shadow Home Secretary and the Chair of the Home Affairs Committee had been notified of the Government’s intention, which is the normal procedure. As these matters involve national security, and obviously the whole House takes them very seriously, I wonder whether you feel that that chain of events was in order.

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
- Hansard - -

I am grateful to the hon. Lady for giving me notice of her intention to raise a point of order. Strictly speaking, it is not a point of order for today’s debate. However, I reiterate that Mr Speaker has made it clear to the House a number of times that any business that is to be dealt with in this House should be notified to Members of Parliament first. I see that the Government Chief Whip is in his place and am sure that he will ensure that no discourtesy to the House was intended and that he will reaffirm, and ensure that Ministers stick to, Mr Speaker’s clear preference, which is that this House should always be told first.

Third Reading

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Jim Shannon Portrait Jim Shannon (Strangford) (DUP)
- Hansard - - - Excerpts

On a point of order, Madam Deputy Speaker. I stand to be corrected, but I thought that those who wanted to speak on Third Reading did so before the shadow spokesperson. Am I wrong?

Baroness Primarolo Portrait Madam Deputy Speaker (Dame Dawn Primarolo)
- Hansard - -

You are wrong, yes. The Minister opens Third Reading, and the Opposition Front Bencher responds; we then hear from other participants. If we have enough time, and it is relevant to do so, we then hear the wind-ups. Do not worry—I will not forget you.

Stella Creasy Portrait Stella Creasy
- Hansard - - - Excerpts

I am on tenterhooks to hear what the hon. Member for Strangford (Jim Shannon) has to say. Thanks to our consideration of the Bill, I am aware of my right to a return and a repeat performance if I do not think the skill and service is satisfactory; he should be aware of that.

Whereas poppadoms are not to be shared, I have feedback—the breakfast of champions, as it was once called—to share on the Bill and whether it works. Does it pass the Ronseal test—does it do what it says on the tin? The Bill says that it is there to

“Amend the law relating to the rights of consumers and protection of their interests”.

Certainly, as I hope I have just displayed, during our consideration of the Bill we learned what our rights will be: we will have the right to have legislation written with reasonable care and skill, and provided at a reasonable time and price to us all. The rights of our consumers—our constituents—to remedy and redress when they feel that we are not providing that are somewhat limited. That is why they rely on us as Opposition Members to hold the Government to account. However, our role is not simply to intervene, or identify injustice as it affects our constituents, but to act on it. That is what we have tried to do in proceedings on the Bill.

At the heart of this is the question of rights. Does the Bill give consumers the rights that they need if they are to act for themselves? That has been our central concern. In that, we were influenced by the words of the Mayor of London—who knows what else he will be in future?—who once said:

“The dreadful truth is that when people come to see their MP, they have run out of better ideas.”

If the Bill had been well written, it would have given people rights that would have meant that they did not have to come to us, their MPs, with such regularity with all the stories of consumer detriment that we heard about during proceedings on the Bill. A really robust Consumer Rights Bill would empower the British public, giving them the rights and the confidence that they need to be able to choose the goods and services that they desire. Under that test, the public could demand a refund on the Bill, for as we saw only today, loophole after loophole remains, and it is consumers who will have to pay the price.

The Minister talks of a consumer toolkit, but that toolkit has a blunt Stanley knife and a broken hammer in it. Time and again, throughout consideration of the Bill, the Government have failed to grasp how giving the public access to the information, advocacy and redress that they need to shape services to meet desired outcomes would be a better idea, in terms of dealing with markets and services when the odds are stacked against them. Indeed, one of the things we have not done so far is set out what a market that is not working looks like or what the problems are.

In setting out our concerns on Third Reading, let me be clear about where our amendments came from. We need to recognise that a market is not working when information is not flowing freely between actors, whether they be consumers or businesses, such that they are not able to make informed choices. A market is not working when companies use their advantage to crowd out new competitors, collude on prices or, indeed, create a monopoly. Such a market may also result in unintended consequences because of the behaviour of others. The result is always the same: consumers miss out when markets do not work.

We have attempted to amend the Bill in this House and I am sure my colleagues in the other place will continue to do so in order to address some of those problems. Many markets in the UK do not meet the metrics of success whereby information flows freely and there is competition on creativity and innovation—not exploitation of captured consumers who have little option but to pay over the odds—and where the reasonable care and skill test can truly be applied.

At every stage of this Bill, colleagues throughout the House have raised issues that reflect those concerns about markets, including ticket touting, rip-off estate agent fees, copycat websites, logbook loans, product recall and even net neutrality. Every example involved scams and sharp practices, yet this Bill will not make progress in protecting the interests of consumers. As we have consistently been told by the Minister, that is outside the scope of the Bill and a matter for the mysterious implementation group, whose inner workings are still a secret to many of us.

At every single turn, the Minister has claimed that someone or something else can act. She has said that so often that we think it would be worth renaming the Bill the “computer says no” Bill. That may be an effective phrase for coalition government, but it is also a recipe to rip off consumers.

Despite the Minister’s best efforts to tell us, “There’s nothing to see here,” it has become clear during the course of our work that this Bill reaches far beyond how easy it is for any of us to return a jumper with a hole in it. We know there is much more to consider with regard to how the Bill will impact on the public sector. The Minister has still not clarified which services are covered, preferring to tell us only that most NHS care, state-funded education and law enforcement services are not covered. Of course, given that tuition fees, personal care payments and child care vouchers are covered, it would seem that this Bill is less a case of, “computer says no,” and more one of, “Yeah, but no, but yeah.” It has certainly felt like we have been asking questions of the sphinx at times, because we have had to find the right question in order to get the right answer for our constituents. The risk is that the Bill will devour all those who fail to solve its riddle.

In fear of yet again being cast into the pit of despair, may I again ask the Minister to clarify, with a yes or no answer, whether the following contracts are covered? Is the BBC licence fee covered? Given the recent comments of the Secretary of State for Culture, Media and Sport, surely that is an apposite and important point to clarify. Before the Bill goes to the other place, it would be incredibly helpful if the Minister could clarify whether it also covers parking permits and prescriptions.

Understanding this minefield and the impact it will have on consumers of public services now falls to our colleagues in the Lords. Given the evidence that we are a nation of silent sufferers—in particular, many elderly users of care services fear that they cannot complain—the fact the Minister is devolving getting this right to the Cabinet Office, as she declared on the first day on Report, simply will not stand. We put her on notice that we will not let public service users experience a two-tier system because she could not define what clause 2 does.

The Minister may sigh again and point to the long gestation of this Bill, including the Labour Government’s original 2009 White Paper on a new deal for consumers. We generally agree that there is a need to update the fundamental principles enshrined in the Sale of Goods Act 1979. That was published shortly after I was born—which, as the Minister of State, Department for Work and Pensions, the right hon. Member for Hemel Hempstead (Mike Penning), who is no longer in his place, would say, was, “A long time ago.”

It is certainly time for an update, which is why we will not oppose this Bill’s Third Reading, but it is also time for clarity, which the Bill does not yet deliver. I hope the Minister will not think it churlish of me to say that we welcome the fact that some of our proposals have been considered and, indeed, adopted. When the issue of speedier refunds was first raised, there seemed little hope of progress, but having had our call for a time limit of 30 days batted away, we were delighted with the Government’s amendment making 14 days the cut-off for consumers to get their money back. There have also been announcements on copycat websites and letting agent fees as the Bill has progressed. Those things have been encouraging and we wait with bated breath to see on what else the Minister will come full circle.

Like the Minister, I want to put on record my gratitude to the members of the Business, Innovation and Skills Committee and the members of the Bill Committee for playing their part. Having received during the course of our deliberations a marriage proposal, hair-dressing advice, loft-conversion concerns and a lecture in socialist ideology, as well as the opportunity to hear passionate debates on issues such as electrical safety, public service reform and data protection, I believe we have given much for our colleagues in the other place to ruminate. I also want to put on record my personal thanks to the Clerks of the Public Bill Office, who have been kind and generous with their time in drafting amendments and new clauses. However mean the Minister may wish to be about those amendments and new clauses, we certainly think they have made a difference.

As the Bill goes to the other place, let me say again what a missed opportunity it has been. Major consumer reforms come along very rarely—as the Minister of State, Department for Work and Pensions, the right hon. Member for Hemel Hempstead, would point out, I am now of a certain age. I fear there is little hope of a return, a refund or a repeat performance for our constituents if we get this wrong. They will not want to wait another 35 years. I have every confidence that the noble Lords will continue our work on issues such as letting agent fees, debt management, access to data, advocacy, trading standards and redress, and that they will also finally pin down the magicians of the implementation group and the mysterious work of ombudsman services.

Britain can do better. We will not oppose the Bill, but instead send it to the other place and ask it to continue our efforts to improve this Bill so that it can live up to the bold sales pitch of protecting consumer interests. If that does not happen, I for one will encourage the British public to exercise their right to a return at the ballot box in 2015 and finally cast out a Government who are clearly not fit for purpose.

The Economy and Living Standards

Baroness Primarolo Excerpts
Thursday 12th June 2014

(9 years, 11 months ago)

Commons Chamber
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Tobias Ellwood Portrait Mr Ellwood
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On a point of order, Madam Deputy Speaker. [Interruption.]

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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I call Mr Ellwood on a point of order—in quick order as well.

Tobias Ellwood Portrait Mr Ellwood
- Hansard - - - Excerpts

Absolutely, Madam Deputy Speaker. I am glad of that vote of approval. I am just asking for clarification and giving the shadow Chancellor an opportunity to correct himself. He, I think inadvertently, misled the House by suggesting that Bournemouth’s youth unemployment has increased; according to figures from the Library, it has reduced by 40% over the past year.

Baroness Primarolo Portrait Madam Deputy Speaker
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Mr Ellwood, that is not a point of order; that is continuing the debate. You have had three chances at it: three strikes and you’re out—no more.

Ed Balls Portrait Ed Balls
- Hansard - - - Excerpts

It is also completely pathetic. In the hon. Gentleman’s constituency, the number of young people aged between 18 and 24 claiming JSA who have been out of work for more than 12 months has gone up by 700%. As I said a moment ago, you either bury your head in the sand, or you face up to these big issues. We are facing up to them, but Government Members are incapable of doing so.

Lord Austin of Dudley Portrait Ian Austin (Dudley North) (Lab)
- Hansard - - - Excerpts

The shadow Chancellor is setting out a really important argument about the recent election results, the widespread disenchantment that clearly exists in Britain at the moment, and the effects of globalisation and technological change on the economy. Is it not absolutely extraordinary that while he is doing so, he is being subjected to these utterly juvenile interventions? Does he not find it extraordinary that all Government Members can do is to read out handouts from the Whips, and the idiot from Bournemouth cannot even get that right? [Interruption.]

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Baroness Primarolo Portrait Madam Deputy Speaker
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Sit down, Mr Ellwood. [Laughter.] This is a serious debate. Mr Ellwood, I am sure that you have very broad shoulders, and you will give your all when you get your turn to speak, perhaps in interventions on the Chancellor.

Ed Balls Portrait Ed Balls
- Hansard - - - Excerpts

I am trying to respond to serious issues. The reality is that, yes, after three years of flatlining, our economy is finally growing again, but net lending to small business is still falling, youth unemployment is still at record highs, wages are not keeping pace with prices and people are worse off. What I want to say is that unless we face up to that reality, we will not make progress. [Interruption.]

Baroness Primarolo Portrait Madam Deputy Speaker
- Hansard - -

Order. Mr Ellwood, I can hear what you are saying. Actually, I agree that the way in which the hon. Member for Dudley North (Ian Austin) referred to you was uncalled for. You are an honourable Member of this House, and I am sure that Mr Austin wants to make it clear that that is his view.

Lord Austin of Dudley Portrait Ian Austin
- Hansard - - - Excerpts

I did not mean—[Laughter.] Madam Deputy Speaker, the last thing I would want to do is upset you, but I have to say that the hon. Gentleman’s intervention—[Laughter.]

None Portrait Hon. Members
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Apologise!

Baroness Primarolo Portrait Madam Deputy Speaker
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Order. I expect Members to behave according to the rules of the Chamber, of which they are fully aware. Mr Austin, the word you are looking for is “sorry”. Stand up, please, and say sorry.

Lord Austin of Dudley Portrait Ian Austin
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Madam Deputy Speaker, I would like to apologise to you. [Interruption.]

Baroness Primarolo Portrait Madam Deputy Speaker
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Order. For goodness’ sake, everybody calm down. That is good enough: “sorry” is on the record in relation to the hon. Member for Bournemouth East (Mr Ellwood). That is the end of it.

Jamie Reed Portrait Mr Jamie Reed (Copeland) (Lab)
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On a point of order, Madam Deputy Speaker.

Baroness Primarolo Portrait Madam Deputy Speaker
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No. I am not going to take a point of order; I am going to listen to what Mr Balls has to say. This is getting ridiculous.

Ed Balls Portrait Ed Balls
- Hansard - - - Excerpts

As I said, the first wrongheaded thing to do is to bury one’s head in the sand and not to face up to the reality. We can debate the Chancellor’s record. In 2010, he said that he would balance the Budget in 2015, but the deficit will be £75 million. He said that he would make people better off, but the Institute for Fiscal Studies has confirmed that people will be worse off in 2015 than they were in 2010. He said that we would all be in this together, but he has imposed the bedroom tax on the most vulnerable, seen record numbers go to food banks and cut the top rate of income tax for those earning more than £150,000.

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Thérèse Coffey Portrait Dr Thérèse Coffey (Suffolk Coastal) (Con)
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On a point of order, Madam Deputy Speaker. Mr Speaker was very clear in his guidance earlier that we should speak to the amendment. I am struggling to find in the amendment any mention of a European referendum.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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Fortunately, that is a matter for me, and not the hon. Lady. The clear argument that is being advanced is about the importance of that matter to the economy. As long as the right hon. Gentleman stays on that point, he is in order.

Ed Balls Portrait Ed Balls
- Hansard - - - Excerpts

The argument that I am making is that if we as a House—those of us on the left and on the right—are to face up to the challenge of delivering more and better jobs for working people and if we are to see off the pressures for isolation and withdrawal, we cannot take the wrong-headed approach either of denying that there is a problem or of appeasing those who would try to walk away. We need a Queen’s Speech that rises to that challenge. My point is that, in putting all its energy into Europe and the referendum, the Conservative party has the wrong strategy to deal with the challenge that we face.

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Ed Balls Portrait Ed Balls
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Will the Chancellor like to tell the House how many people went into negative equity after 2007, and how that compares with the number of people—the tens of thousands—who were put into negative equity after the Conservative housing crash of 1989? If he is going to make these statements he ought to be able to make them stand up. While we are here, will he tell us—

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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No, no, no. Mr Balls, sit down. Not “While we are here.” One point at a time.

George Osborne Portrait Mr Osborne
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The right hon. Gentleman’s argument seems to be, “My crash was better than your crash.” That is a brilliant argument. I will tell him the answer. He was going to remove a temporary scheme that protects people from mortgage costs when they become unemployed. I extended it year after year after year. I have extended it again in the Budget to make sure that people do not find themselves having their homes repossessed. Can I also tell him that the housing market fell by almost 20%? The price of houses fell and there were people at Northern Rock—[Interruption.] His argument is literally, “I’m sorry we messed it up, but you messed it up in the past as well.” That is an absolutely hopeless argument. I have learned the lesson from the terrible mistake—

Consumer Rights Bill

Baroness Primarolo Excerpts
Tuesday 13th May 2014

(10 years ago)

Commons Chamber
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Stella Creasy Portrait Stella Creasy (Walthamstow) (Lab/Co-op)
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I beg to move, That the clause be read a Second time.

Baroness Primarolo Portrait Madam Deputy Speaker (Dawn Primarolo)
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With this it will be convenient to discuss the following:

New clause 2—Guidance for statutory regulators

‘(1) Within three months of Royal Assent of this Act, the Secretary of State shall publish guidance based on the work of the Implementation Group.

(2) Guidance published under section (1) shall—

(a) detail how consumers should be informed of their rights and at what point this should happen;

(b) ensure that traders have the information they need regarding their responsibilities under this Act and other consumer rights legislation;

(c) define what may be a “reasonable time” for consumers to secure refunds, repairs or replacement, or repeat performance; and

(d) specify the sanctions available to enforcement agencies in cases where the guidance has not been followed.

(3) Within six months of the publication of guidance under subsection (1), the Secretary of State shall issue a code of practice in relation to the exercise of any and all the functions set out in the guidance, subject to the provisions of subsections (5) to (7).

(4) Any person exercising such a function must have regard to the code in determining any general policy or principles by reference to which the person exercises the function.

(5) Where the Secretary of State proposes to issue a code of practice under subsection (3), he shall prepare a draft of the code, and shall lay the draft before Parliament.

(6) Where the draft laid before Parliament under subsection (5) is approved by resolution of each House of Parliament, the Secretary of State shall issue the code.

(7) A code issued under subsection (6) shall come into force on such date as the Secretary of State may by order made by statutory instrument appoint.’.

New clause 3—Access to data

‘Schedule [Access to data] has effect.’.

New clause 4—Guidance based on the work of the implementation group

‘(1) Within three months of Royal Assent of this Act, the Secretary of State shall publish guidance based on the work of the Implementation Group.

(2) Guidance published under subsection (1) shall—

(a) advise on the period that a trader may retain sums paid by the consumer for services not yet supplied by the trader, where it is the consumer who dissolves the contract;

(b) further to paragraph (a), advise on the terms under which traders should manage the interest on such sums and make provision for the return of this interest to the consumer; and

(c) advise on whether it should be permissible to charge for a guarantee where that guarantee does not offer any undertaking to the consumer additional to their rights as set out in this Act.’.

New clause 5—Independent consumer advice

‘Within three months of this Act receiving Royal Assent, the Secretary of State shall produce guidance setting out requirements for all statutory regulators to report annually on the provision of independent advice which is free at the point of delivery, and to make recommendations on ensuring consumers’ rights are protected.’.

New clause 10—Powers of the Information Commissioner: nuisance calls

‘(1) The Data Protection Act 1998 is amended as follows.

(2) In section 40 (Enforcement Notices), leave out subsection (2).

(3) In section 55A (Power of Commissioner to impose monetary penalty), leave out subsection (1)(b).’.

New schedule 1—‘Access to data

Information for consumers

1 The Secretary of State shall report to Parliament within six months of Royal Assent of this Act setting out how consumers will have access to the information they require in order to make informed assessments of prices, charges and fees.

Supply of customer data

2 A report under paragraph 1 shall include details of how the Government intends to—

(a) make regulations to require all regulated persons to provide customer data relating to transactions between the regulated person and the customer, as set out in section 89 (Supply of customer data) of the Enterprise and Regulatory Reform Act 2013;

(b) enable third parties to make requests for customer data under section 89(1)(b) of that Act; and

(c) ensure customer data is provided in a form which enables the customer or third party to assess whether the price they are paying for a service is reasonable, which should have regard to section 89(7) of the Enterprise and Regulatory Reform Act 2013.

Designation of regulated persons and regulatory bodies

3 A report under paragraph 1 shall—

(a) review which traders, including the activities of any government, or local or public authority, as defined by section 2 of this Act, shall be considered a regulated person under section 89(2) of the Enterprise and Regulatory Reform Act 2013; and

(b) identify a relevant regulatory body to undertake the duties set out in paragraph 4 of this Schedule.

Guidance for regulated persons

4 A report under paragraph 1 shall include details of how the Government intends to require regulators of services which are provided by regulated persons, as defined in section 89(2) of the Enterprise and Regulatory Reform Act 2013, to produce guidance on the implementation of section 89 of that Act.

5 Guidance produced for regulated persons under paragraph 4 shall include—

(a) how regulated persons should provide customer data;

(b) details on the ownership of customer data which shall include, but is not limited to—

(i) that customer data generated directly, at any point in the course of a contract, is owned by the customer;

(ii) that prior to any decision requiring the transmission of data in a format where the customer can be identified to a third party, direct consent of the customer as owner of the data must be secured; and

(iii) how regulated persons should recognise and publicise that such data is owned by the customer;

(c) how customers may consent to their data being shared with third parties under section 89(1)(b) of the Enterprise and Regulatory Reform Act 2013;

(d) specify sanctions for traders who are not able to confirm the consent of the customer to sharing their data;

(e) measures to limit the amount that may be charged for any such single request for data on behalf of multiple customers;

(f) how regulated persons, who hold data on customers on behalf of any government, local or public authority, can use this information to secure social and consumer benefits; and

(g) how regulated persons, who hold data on customers on behalf of any government, local or public authority, can contribute to a report under paragraph 7.

Access to information: public services

6 (1) The Secretary of State shall report to Parliament within six months of Royal Assent of this Act on how the Government intends to ensure that all consumers of public services, who have a direct role in commissioning them, are able to access information regarding any consumer contract or consumer notices which may reasonably be understood to apply to them.

(2) A report under sub-paragraph (1) shall have particular regard to—

(a) the access to information that consumers of public services require; and

(b) how access to information can ensure greater transparency on the work of traders.

(3) For the purposes of this paragraph, “public services” means the work of any government, local or public authority or traders offering services on their behalf.

Access to information: annual report

7 (1) The Secretary of State shall produce and submit to Parliament an annual report setting out an analysis of the cumulative costs and benefits of Government decisions relating to the rights of consumers and protection of their interests.

(2) A report under sub-paragraph (1) shall in particular address the effect on—

(a) household consumption;

(b) vulnerable households; and

(c) any other subjects as the Secretary of State decides.’.

Stella Creasy Portrait Stella Creasy
- Hansard - - - Excerpts

We come to the Report stage of the Consumer Rights Bill. I am minded of the words of the great English churchman Thomas Fuller, who said that our lot was to be born crying, live complaining and die disappointed. Of course, as true Brits, we know that that approach can be best encompassed in a “tut”, but we see the Bill as offering much more than a “tut” for people who have been ripped off. We see the potential of the Bill to free us of that particular malaise, and with that in mind we have tabled a number of amendments that we hope will receive the support of the House.

We believe that the Bill should be subject to the tests—that they should be performed with reasonable care and skill—that it sets for goods and services. At the moment, it is found wanting, and that is why today we are looking for a repeat performance and hope of speedy redress. The new clauses speak to that and in particular to the Opposition’s approach to consumer rights, which should not be only about dealing with problems when something has gone wrong, but, when done well, could avert problems. For that to happen, consumers need three things—more information, strong advocacy and speedy forms of redress.

In introducing the Bill, the Minister has opened a veritable Pandora’s box, given how some of its clauses will be perceived on the consumer landscape in the UK. We are mindful that hope lies at the bottom of Pandora’s box, and we hope with the new clauses to bring hope for how consumer rights legislation could work. Let me explain what I mean. I want to turn first to new clause 3 and new schedule 1, which new clause 3 brings into effect. The schedule refers to the first principle to which I referred—information. How do consumers get the information that they need to make the right choices for themselves the first time? We know that having access to more information is vital to empowering consumers.

The Government’s research, “Better Choices, Better Deals”, argues that if consumers were able to use price comparison sites more effectively, they could gain £150 million to £240 million a year. That is why the Opposition welcomed many of the ideas and intentions behind the midata project to give consumers more access to their information in a portable and accessible format. In Committee we expressed concern that, despite the project, four years on, it is not really working. There is a lack of information coming forward to consumers. The Minister defended the slow progress of the midata project, telling us that taking action now would prejudice the results of a review of the project that she has commissioned, and she did not think that that would be beneficial to the programme or, ultimately, to consumers. We have tabled the new clause and schedule because we fundamentally disagree. We want to go much further.

Currently the midata project covers four areas of consumer data, but we think that the power in the new schedule offers the potential for a framework for improving consumer and citizen access to data in a way that can transform outcomes and improve our consumer markets; that would be good for business and good for Britain.

We do not understand why the Government gave themselves the power, under the Enterprise and Regulatory Reform Act 2013, to enact the midata project and yet have not done so. The first thing that new schedule 1 does, therefore, is put that power into effect to ensure that consumers get the information they need, in a portable and accessible format, about a key utility bill.

Every time we click, we create wealth—whether we are giving our contact details or browsing online, companies are harvesting information that drives their marketing and product development. Datasets such as store loyalty cards, medical records or tax affairs are an important and revealing resource for both the public and the private sector. Facebook is making more money than any of us can dream about from the content that we are creating. That stream of data should not be one-way. Citizens and consumers should have access to those data in a meaningful way, which allows them to start calling for the kind of products and services that they want.

Wales Bill

Baroness Primarolo Excerpts
Tuesday 6th May 2014

(10 years ago)

Commons Chamber
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Alun Cairns Portrait Alun Cairns (Vale of Glamorgan) (Con)
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I cannot let the shadow Secretary of State for Wales get away with championing the success of inward investment and talking in percentage terms. We need to recognise the low base and the Welsh Government’s poor performance in recent years in attracting inward investment. Clearly, any growth needs to be recognised, but we also need to recognise the failure over the last decade, which compares significantly with the previous record.

Baroness Primarolo Portrait The Second Deputy Chairman of Ways and Means (Dawn Primarolo)
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Order. We are now going just a touch wide of the amendments, which are specifically about new powers and the process for them. The hon. Member for Forest of Dean (Mr Harper) is also ranging quite widely, so I would be grateful if he addressed the amendments.

Mark Harper Portrait Mr Harper
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I will not dwell at any length on my hon. Friend’s point, but it is always interesting to get that perception of the facts on the record, which is slightly different from that set out by the shadow Secretary of State.

The Minister will doubtless talk about new clause 20 —this probably comes back to the amendment tabled by the hon. Member for Arfon—which limits the ability that otherwise might be there for the Welsh Government to interfere with how HMRC operates, and how they use their powers, unless it is specifically for devolved taxes. I am pleased that it contains the condition that the Treasury has to consent to the provision. I think that this is the response to the concern I raised in my question to the hon. Gentleman on amendment 33, which is that even if the tax falls directly on Welsh taxpayers, there may be effects that range more widely, either on businesses located in England, or businesses that hire people from Wales. The Treasury having to consent to that enables a UK-wide perspective to be applied, allowing Members of this House who represent English constituencies that will be impacted by the tax to have a democratically accountable mechanism for speaking to Treasury Ministers, raising those concerns on behalf of their constituents, and allowing the Treasury to take them into account. I am pleased that that Treasury backstop provision remains there and I would not want to see it removed.

Wales Bill

Baroness Primarolo Excerpts
Wednesday 30th April 2014

(10 years ago)

Commons Chamber
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Owen Smith Portrait Owen Smith (Pontypridd) (Lab)
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I beg to move amendment 9, page 1, line 5, leave out subsection (1) and insert—

‘(1) GOWA 2006 is amended as follows.

(2) Leave out subsection 3(1) and insert in substitution—

“( ) The poll at an election to the National Assembly for Wales is to be held on a Thursday on a date to be determined by a Resolution of the National Assembly for Wales.”.

( ) Subsection 3(2) is amended by—

(a) leaving out “If the poll is to be held on the first Thursday in May”; and

(b) in paragraph 2(a) by leaving out “that day” and inserting “polling day”.

( ) Leave out sections 4 and 5.

( ) Section 13 is amended by inserting after subsection (1)(c)—

“(1A) The order may not include provision about the date of an election to the Assembly.”.’.

Baroness Primarolo Portrait The Second Deputy Chairman of Ways and Means (Dawn Primarolo)
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With this it will be convenient to discuss the following:

Amendment 30, page 1, line 6, at end insert ‘and after the words “order under”, insert ‘section 1A or’.

Amendment 10, page 1, line 8, at end add—

‘(3) A Resolution of the National Assembly for Wales under subsection (1) may not determine a date for the poll at an election to the Assembly that is the same as the date known or reasonably expected for a parliamentary general election as derived from the provisions of the Fixed-term Parliaments Act 2011.’.

Amendment 31, page 1, line 8, at end add—

‘(3) After section 3(1) of the GOWA 2006 insert—

(1A) A poll for an ordinary general election to the National Assembly for Wales may not be held within six months of the date of a general election to the United Kingdom Parliament.”.’.

Clause stand part.

Owen Smith Portrait Owen Smith
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It is a pleasure to serve under your Bristolian and neighbourly chairmanship, Ms Primarolo.

Clause 1 relates to the timing of elections to the National Assembly for Wales. It is a response to the five-year term that has now been established for elections to this House. Our amendments 9 and 10 are probing amendments that seek to explore the Government’s willingness to concede the principle that the Assembly needs to have greater control and command over elections to it. That is what we are testing with our amendments.