Brexit: Devolved Administrations

Lord McConnell of Glenscorrodale Excerpts
Thursday 23rd November 2017

(6 years, 5 months ago)

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Lord Young of Cookham Portrait Lord Young of Cookham
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Repatriation of powers from the EU opens opportunities to devolve powers down to local government. We are in consultation with the city region mayors, the local authorities and the LGA as we leave the European Union, to understand the impact and challenges of Brexit, but also to see what repatriated powers can be devolved from Westminster down to local authorities at all levels.

Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, I welcome the very positive response from the Minister, but there are clearly a number of significant decisions still outstanding in this regard. I urge the Government to consider at the end of the day, when these discussions have all taken place, having an independent element in the final judgments, because there will be a question of interpretation between the position of the UK Government on reserved responsibilities and the devolved Administrations and Governments on devolved responsibilities. It is vital that we respect the devolution settlement and the principles behind it from 1999 but, at the same time, reach an agreement that does not lead to increased tension inside the United Kingdom. Could there be an independent element in the final judgment when those discussions are reaching their conclusion?

Lord Young of Cookham Portrait Lord Young of Cookham
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We want to reach consensus with the devolved Administrations on which powers go straight through and which are retained under what is called a common framework. If one looks at the communiqué that was issued at the end of the last meeting, one can see that real progress was made. I think the devolved Administrations concede that some powers will have to be subject to what is called a common framework, for the reasons that I outlined. Greater clarity on this will be obtained once we hit Clause 11 of the European Union (Withdrawal) Bill in the other place. There are a number of amendments along the lines of those referred to by the noble Lord on resolving that issue but, at the moment, we believe that the Joint Ministerial Committee is the right place to try to seek agreement quickly. It may be possible to release some of the powers immediately we leave the European Union, if good progress can be made.

Tax Havens

Lord McConnell of Glenscorrodale Excerpts
Thursday 6th April 2017

(7 years, 1 month ago)

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Lord Young of Cookham Portrait Lord Young of Cookham
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My Lords, we had an extensive debate on this subject on Monday on the Criminal Finances Bill, and I suspect that we will be returning to exactly the same subject on Report on, I believe, 25 April. In that debate, the Minister at the Home Office explained why we had encouraged the Commonwealth dependencies and overseas territories to produce central registers, and they will be doing that by June this year. We are not prepared to use the powers that the noble Lord has referred to, which we believe should be used in exceptional circumstances such as the abolition of capital punishment and rules relating to homosexuality. We do not believe it is appropriate to use those powers in this case.

Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, many of us were willing to give the previous Prime Minister and Chancellor the benefit of the doubt on this issue because they were legislating in the UK and were engaged in international negotiations. However, given that we are now leaving the top table of the European Union, where much of this action could have taken place, would it not be appropriate in the brave new world of new trade agreements and Britain becoming more global for this country to lead the way on this issue by legislating to ensure that all British companies operating around the world report on a country-by-country basis to ensure that countries across the world can tax those companies where they make their profits?

Lord Young of Cookham Portrait Lord Young of Cookham
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We already have country-by-country reporting in this country, and multinationals based in this country have to report to HMRC how much profit they make and how much tax they pay in each country. We are encouraging other countries to do this, so we have a multilateral approach, and the Chancellor raises this issue at the G20. In response to the first part of the noble Lord’s question, we have taken the lead on this as a result of our presidency of the G8, and more than 90 countries have agreed automatically to exchange taxpayer information under the common reporting standard. We are also taking initiatives on beneficial ownership and some of the other issues that we have already discussed.

Soft Power and the UK’s Influence (Select Committee Report)

Lord McConnell of Glenscorrodale Excerpts
Tuesday 10th March 2015

(9 years, 2 months ago)

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Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, this has been an excellent debate, led by an outstanding contribution from the noble Lord, Lord Howell, as chairman of the committee, covering the content of a very comprehensive and timely report. At a time when our world is increasingly dangerous and uncertain, it is right that we reflect on these issues in your Lordships’ House and that we take time to think not just about our power and influence but about our responsibility in this world.

I regret very much that I was too late in contacting my Whips’ Office to secure a place on the committee. I would very much have enjoyed being part of its deliberations. I also regret that it appears that the Scottish Government, unlike the Welsh Government, did not take the opportunity to give evidence to the committee. A number of other Scottish institutions which could have contributed to the work of the committee did not take that opportunity either. I want to try to correct that a little bit today by speaking about my time as First Minister of Scotland.

Before I do so I want strongly to endorse many of the recommendations and points made in the report. It is undoubtedly the case that the UK has more widespread opportunities to influence than any other nation in the world. It is not just that we are more networked in international institutions, in the way that the noble Lord, Lord Howell, described, than any other country in the world, it is also that, through our language, our science base, our culture and our cultural activities, we have more impact in the world than any other nation of our size.

The report makes a number of very timely recommendations and very important points. It stresses the importance of the foreign service and our embassies. I would add to that the importance of critical analysis in our foreign service, which has perhaps been diminished over recent times and needs fresh energy and investment in the complex world that we live in today. I wholly endorse the point made by the noble Lord, Lord Janvrin, about the importance of blue skies thinking in this area. Investment and analysis might be a critical part of that endeavour if we are to produce a vision for the 21st century and a role for Britain in the world that meets the purpose.

I endorse strongly the points made about the visa system and the way that it is damaging our relations around the world and the impression of this country in the eyes of young people across the world. The language about immigration that is used makes us look insular and negative. I also strongly endorse the points made about education and scholarships, as well as the importance of the European External Action Service and our international development aid. I hope that the passing of the Bill yesterday concerning the 0.7% aid target gives us a chance to move on from a debate about the quantity of aid to one about the quality of aid and how we can best use that overseas development assistance not just to change the world but to influence it too.

In relation to Scotland, I want to go back to 1999. Something that I have said very often, both as First Minister and since, is that the Foreign Office has been, by a long way, the best government department in responding to devolution as it has occurred within the United Kingdom. I felt that the Foreign Office, perhaps because it was led at the time by the noble Lord, Lord Kerr, and also by the late Robin Cook, responded well to devolution. It understood that devolution provided an opportunity to improve UK influence overseas and not diminish it. I travelled around the world to promote Scotland, initially as external affairs Minister in the early years of the Scottish Government and then as First Minister, and I used UK embassies to help me do that, I am absolutely certain that they used me just as much to open doors and to use British influence in different ways. Where perhaps relations with UK Ministers were not as good at any given point in one country, a devolved Minister might open a door instead. In Brussels, devolved Ministers were used to increase British influence with commissioners and decision-makers. It was done very cleverly by Sir Stephen Wall and others back in those days.

I know that the committee did not necessarily look at this issue in its deliberations but I hope that, as we go forward, we can use the diversity of layers of government and representatives in the UK system to be more than the sum of our parts as we try to exert influence internationally. The diversity of the UK—not just the cultural diversity of the UK but the national diversities of the UK—can be a strength in our international relations and one that we could make more of. The diversity of the great historic institutions in Scotland and elsewhere—of law, education and the churches, for example—can be part of that and they should not feel that it is delegated to those based in London or just in England and Wales. I hope that that point is a helpful addition to the recommendations made by the report and one that can be part of our deliberations in the future.

I do not want to repeat what others have said during the debate but I wholly endorse the incredible speech made by my noble friend Lord Judd. To some extent the next point I wish to make moves in the same direction as some of the points that he made. What is really important here is why we are engaged. What is our influence for, what are we are trying to persuade people to do and what battles of ideas are we trying to win—or at least be on the winning side of? Of course, there is always an issue for the British Government to promote Britain overseas—British interests, British business and British institutions. But, because of our colonial history, our role as an economic power in the world and our position in the UN Security Council and in the leading nations of the European Union and elsewhere, we also have a responsibility to give something back and to be part of the solution, as well as to look after our own particular British interests. That is partly because being part of the global solution is in our own British interests just as much as those particular concerns about British business, British institutions and so on.

Therefore, as we exercise our power and influence around the world, we need to believe strongly that we can contribute in particular to conflict resolution, to peace-building, to conflict prevention and to post-conflict reconstruction. We may have made mistakes—sometimes big mistakes—in foreign policy and military endeavours down through the decades, but we are still today more trusted and seen as more honest, more reliable and more faithful to our values partners than most nations elsewhere. When we engage—not just inside the Commonwealth but in other parts of the world as well —we engage as a trusted partner.

I have just come back from south-east Asia. I was there five years ago as the special representative for the UK on peace-building when ASEAN was just trying to make the early moves towards having a role in peace and security in that region, the neighbourhood helping itself in the way that so many of the African continent’s regions had begun to do over previous years. In February, in Jakarta, the UK—Wilton Park—organised a conference, with five south-east Asian nations, and some of the rebel groups of those nations, coming together to discuss sustainable peaceful settlements that might be part of their future. Probably only the UK could organise such a conference, in a part of the world where we do not have very much interest or influence directly from our past. People there were trusting Wilton Park—the British FCO—to be part of that discussion and to help them along the right road. It is that influence for good that Britain can contribute to the world. When we exercise power and persuasion in the modern world, I hope that we take our responsibilities as seriously as we take our opportunities.

Food Poverty

Lord McConnell of Glenscorrodale Excerpts
Thursday 11th December 2014

(9 years, 5 months ago)

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, I pay tribute to the enormous amount of work that the noble Baroness, together with others, has put into this inquiry. I know that she has been committed to these issues for some years. Perhaps I might draw particular attention to the chapter on resilience in this report, which talks about the problems of families who do not have the skills or confidence to cook. I note that the Trussell Trust has been providing courses on cooking for some of those in order to help with diet, so that they eat well and spend less.

Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, noble Lords will be aware that the noble Baroness, Lady Jenkin, and I have taken part for four years now in the Live Below the Line extreme poverty initiative every spring, and I welcome very much her statement here today and the way that it was received in the House. I also chair the Cash for Kids charity in the west of Scotland and have done for three years. This year, we experienced a 12% increase in the number of families and children applying for Christmas grants for food vouchers, cash or gifts to ensure that they have some pleasure on Christmas Day. It seems to me that, regardless of what debates take place in 2015 on welfare benefits, the economy or other issues, it would be an absolute tragedy if that figure were to be increasing again this time next year. Therefore, I hope that the Government will indeed take this report and our discussions with NGOs and charities throughout the land on board, to ensure that the Government, the public sector and the third sector can work together to serve those families who are still going to be in need, regardless of the initiatives that we take on welfare benefits or other aspects of the economy in the immediate future.

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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I thank the noble Lord for that. The report is also addressed to the utility companies and to problems such as having mobile phones on “pay as you go” tariffs meaning that you pay more. The poor pay more due to a whole range of structural reasons and the report therefore identifies a large number of targets to be addressed. It talks about debt, addiction, utility pricing, low pay, housing costs and mental health. The problem of low pay and the minimum wage, and how we increase pay, turn around troubled families and rebuild local social networks, are all part of the issues we need to address.

Scottish Referendum

Lord McConnell of Glenscorrodale Excerpts
Monday 13th October 2014

(9 years, 7 months ago)

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, a constitutional convention is one of the many ideas that clearly will be discussed. We need to take these things as fast as possible but not in a hurried way. It is a very difficult balance. I can assure my noble friend that the transfer of powers to Scotland will not be held to ransom by any particular reservations.

Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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The result in Scotland is both welcome and decisive, but it also sends a clear signal to these Houses of Parliament, to this Government and to future Governments that there is a disconnect between the centre of government and the people of this country, not just in Scotland. Therefore, it would be a mistake to see the next steps as being either only the devolution of further powers or simply welcoming the result and moving on. Will the Government also look at other ways in which government at the centre of the UK can re-engage with the regions and nations to show that everyone in the country feels that they have a voice at the centre of government in this land?

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, the enthusiasm, the high rate of turnout and, earlier, the high rate of registration in Scotland was a lesson for the rest of us. It is very much part of the Government’s response to consider the devolution of power not only in further devolution in Scotland, Wales and perhaps in Northern Ireland, but also within England.

Coalition Government: Constitution Committee Report

Lord McConnell of Glenscorrodale Excerpts
Tuesday 13th May 2014

(9 years, 12 months ago)

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Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, I, too, thank the noble Baroness, Lady Jay, for the presentation to your Lordships’ House today of this excellent report from the Constitution Committee. On behalf of perhaps all the devolved Administrations over recent years, I thank the committee for the opportunity to give evidence and to speak in this debate.

In addition to the experience over the past four years of coalition government in the United Kingdom, of course, the UK has also seen coalition government in different forms in Scotland, Wales and Northern Ireland over recent years. I was very pleased that the committee was willing to take that experience and use it, as I believe the noble Lord, Lord O’Donnell, did in preparing for and then executing the discussions after the 2010 general election.

The committee’s report is thoughtful and balanced. I, too, hope that the Government and the Opposition will respond to the recommendations that have been made. I do not think that any of them should leave it until closer to the general election to do so. I hope that as well as getting a response today from the noble Lord, Lord Wallace, at some point we will also receive a proper written response from the Government and that the official Opposition will consider this report and make public their views on it, too; all the political parties here have to address the issues that have been raised.

When I gave evidence to the committee I was reminded of an article I had written that was published on 15 May 2010, entitled “Ten tips for making coalition work”, based on my experience in Scotland shortly after the coalition agreement had been reached by Prime Minister Cameron and Deputy Prime Minister Clegg. That experience came from being part of the first Cabinet in Scotland in 1999 and the coalition agreement that I like to describe as the “Add the Liberal Democrats on” coalition—because essentially Donald Dewar and colleagues had been in government and moved into the Scottish Parliament but did not have a majority there so they worked hard to secure the agreement of the Liberal Democrats, led by the noble and learned Lord, Lord Wallace of Tankerness, to form a coalition for the first four years, which managed to survive three different First Ministers and a whole series of crises. It saw out its four years and implemented a raft of legislation that perhaps would have been seen as very ambitious back in May 1999 but made a real difference to Scotland.

Then came a very different coalition. Because of the way in which it came together it was essentially stronger, based on two manifestos that had really been written for the Scottish Parliament and that were about what was happening in Scotland at the time. The politicians knew each other and the Parliament well, and what they could achieve. In 2003 that coalition made a huge difference over four years in building a more confident and successful, and a healthier, Scotland.

The 10 tips that I outlined in that article focused primarily on three issues. One was trust: not just personal trust between—in my case—the First Minister and Deputy First Minister, but also between the parties to ensure that there was a working relationship on the Back Benches as well as on the Front Benches. Secondly, there was the important issue of dealing with compromises and disputes: the flexibility required in government to respond to events and to seize opportunities as they arise if they have not been foreseen. Thirdly, there was the absolutely vital issue of direction and a sense of purpose. Within that there was the necessity for a one-for-all, all-for-one approach to collective responsibility and the work of Ministers.

Had those tips not been very real in our coalition when I was First Minister in Scotland, it would not have been possible to lead the UK on the ban on smoking in public places or deal with a controversial issue such as in-migration to help reverse Scotland’s population decline and improve our economic performance so that we were ahead of the UK in GDP growth rather than behind it. We also made huge changes to our justice system and a legislative programme between 2003 and 2007—changes that were long overdue. Having a strong coalition can be effective, but it needs to have those key elements of trust, flexibility and collective responsibility to make it work well. That is why I agree strongly with the report from the Constitution Committee. I readily endorse all but one of the recommendations, and I will draw attention to three issues in particular.

The first is the role of the Civil Service in advance of and after an election. This will be a very real issue next year as the preparations for the general election get closer, and then in the post-election scenario that could well lead to similar discussions taking place again. The recommendation in paragraph 40 has my full support based on the experience in Scotland, and in London in 2010.

The second issue is one to which my noble friend Lady Jay did not refer: access to papers in future Administrations. A recommendation in paragraph 131 sets out the procedure that could be used following these five years of coalition government in order to ensure that both parties are treated fairly in the issue of access to ministerial papers under future Governments. This arrangement has been broken by the Scottish National Party Government in Scotland during these past seven years—I think quite disgracefully. Therefore, I enthusiastically support the recommendation of the committee. This issue should be agreed in advance of the general election in 2015, and whatever agreement is reached should be adhered to by whatever party is in government afterwards. The situation in Scotland today, where Nationalist Ministers see the papers of previous Administrations in advance of the previous Administration being consulted about public access to those papers, is disgraceful and should not be repeated in Whitehall or at Westminster.

The third issue that I want to mention is that of collective responsibility. In paragraphs 77 to 79, the committee makes valuable recommendations about the operation of collective responsibility. Over the past four years, we have seen the difficulties that can arise when collective responsibility is not adhered to, either publicly or in many cases privately and off the record under this coalition Government. One of the strengths of our coalition in Scotland was an adherence to collective responsibility, not just in public but in private, too. There were almost no instances of individual Ministers briefing against each other off the record to newspapers during my time as First Minister. That should be the case in all coalition Governments, so I strongly support the committee’s recommendations.

However, I do not agree with the committee on the parliamentary endorsement of the coalition agreement. Collective responsibility would be strengthened if a coalition agreement was put to a vote in Parliament, in addition to the vote on the Queen’s Speech and the legislative programme. So there I depart from the committee’s recommendations in paragraph 60, where it does not support that approach. I think that a parliamentary endorsement of the coalition agreement would be a very good thing.

There are 12 months to go until the 2015 general election. I can say right now that being in a coalition Government will get more difficult over those 12 months. I may be stating the obvious, but the final 12 months will be a real challenge for all concerned. However, it is not impossible for a coalition to stick together to the very end. I predicted in May 2010 that this coalition would stick together and I believe that it will. If those involved are mature enough to be able to set out mechanisms for working behind the scenes as well as in public and to continue to prioritise their programme for government, this coalition will last the full five years.

I hope that it does not experience too many difficulties during the election period. The noble and learned Lord, Lord Wallace of Tankerness, and I did have an experience in April 2003 when we had to deal with an important emergency issue and make a decision, breaking off from the campaign trail and abusing each other in public to make an agreement in private to ensure that school meals in Scotland were adequately provided for following a change in the UK Budget. There will be moments when people have to talk in private and in public, but they should also be perfectly capable of campaigning against each other publicly and at the same time putting a proper choice to the voters for the next Government.

Like everybody else, I presume, I would have preferred that Labour had had a majority in the Scottish Parliament when I was First Minister, and we could have implemented more of our programme and less of the programme of others; but we did not. We had to compromise. We had to work with the result from the electorate. Despite the fact that at the time we were working in unusual circumstances, bringing together coalitions for the first time in the UK in peacetime, the reality was that we made a huge difference by putting the interests of Scotland ahead of our parties and making that Government work.

There was at least one benefit aside from implementing the programme. In a coalition government, some of the extremes that you see in a single-party Government—legislation not being properly thought through, the instincts of Prime Ministers or First Ministers going ahead of common sense and due deliberation inside the party, never mind outside it—are not there because the challenge between two parties in a coalition can improve in decision-making. While it may be frustrating and difficult at times, there can be benefits from a coalition Government; we should not put ourselves in a situation where we would regret or feel too disappointed about losing an opportunity to govern alone after the next general election in the UK. The country should come first.

The UK has many proud traditions that help us govern successfully and set an example of governance around the world. The protocols and conventions—parliamentary accountability, the principle of collective government responsibility and all the other issues addressed in this report—are examples of the way in which coalition government can work for the people for the country, not just for the politicians who assume their positions in that Government. I readily endorse the recommendations of the report and hope that the Government and the Official Opposition will take them on board in advance of May 2015.

Georgia

Lord McConnell of Glenscorrodale Excerpts
Monday 27th January 2014

(10 years, 3 months ago)

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Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, the new Government are becoming a little less of an enigma as we get to know them better. There have been a number of exchanges. Their new Interior Minister was in London last week and a number of British Ministers have visited Tbilisi, including myself last year. We are coming to terms with the new Government, which sustain the European and Atlantic orientation of their predecessors. There are a number of worries about the treatment of former Ministers and officials of the previous Government. We are actively concerned with these and make representations to the new Government about them.

Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, there are still issues of division and conflict inside Georgia, as there are in Moldova and the Caucasus nearby. These have never been resolved and remain, in many ways, frozen. Do the Government believe that there is any benefit in the UK’s example of peaceful devolution being used to help move along some of the issues that have frozen these conflicts for so long?

Lord Wallace of Saltaire Portrait Lord Wallace of Saltaire
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My Lords, if it were possible to move towards peaceful devolution with Abkhazia and South Ossetia we would be very happy. The problem is that it is very difficult to get a dialogue going at all, although talks continue now between a new government representative in Georgia and the Russians. As he will know, the approach of the Sochi Olympics and the problems of the north Caucasus also affect Russian policy towards the south Caucasus.

The Future of the Civil Service

Lord McConnell of Glenscorrodale Excerpts
Thursday 16th January 2014

(10 years, 3 months ago)

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Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale (Lab)
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My Lords, when the noble Lord, Lord Hennessy, joined the House I anticipated some outstanding contributions. That anticipation was fully realised today with his excellent introduction to this debate.

When I started my ministerial career in 1999 as Minister for Finance in Scotland, I was responsible for Civil Service issues and relationships between the new Scottish Government and the UK Government, particularly with the secretary for the Cabinet Office. At that time, we established a number of memoranda to try and ensure a decent and efficient operation between the two levels of government—a point that I will return to.

However, let me start by saying that, of all the contributions made so far by noble Lords, I agreed most with that of the noble Lord, Lord Armstrong. It seems to me that at the heart of the current problem is a lack of ministerial responsibility and acceptance by Ministers of that responsibility in their dealings with the Civil Service and agencies under their remits. The creeping way in which that has come into government under all parties over recent years is at the heart of the current problem, which is about the independence of the Civil Service, the accountability of Ministers and their taking responsibility for mistakes and decisions.

Without a strong and independent Civil Service, and without Ministers who are willing to listen and to change when change is necessary, our system of government makes mistakes and fails. When Ministers are strong and issue clear directions, civil servants know where they stand and are perfectly capable of carrying out the instructions and policies. That was certainly my experience in government, and I think it should be at the core of where we move to in the future.

The other important point that I want to make is that, in the Government’s document on Civil Service reform published in 2012, there is almost no mention whatever of the relationship between central government and the devolved Governments in the skilling and development of the Civil Service and the spreading of knowledge within the service across the different levels of government.

The level of interchange between devolved government civil servants and central government civil servants in this country has almost ground to a halt. That is to the detriment of the devolved Governments, because the civil servants who work in the devolved Administrations no longer have experience of working in the Treasury, at UKRep—rather than the Scottish Government’s office in Brussels—or in a whole range of other central government offices where they can work with people from other departments. Civil servants working in UK government departments no longer have any knowledge of the education service in Scotland or the health service in Wales or, indeed, all those other departments that are now the sole and autonomous responsibility of the devolved Governments.

It seems to me that the issue of interchange between civil servants working in the devolved Governments and civil servants working at the centre needs to be tackled. It has been ignored through an abdication of responsibility by successive Secretaries of State for the Cabinet Office and by Ministers in the devolved Administrations over the past decade or so. It is time that that was tackled, and tackled strongly.

G8 Summit

Lord McConnell of Glenscorrodale Excerpts
Thursday 13th June 2013

(10 years, 11 months ago)

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Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale
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I thank the noble Lord, Lord Trimble, for securing and opening this debate on the important events that will take place in Northern Ireland next week. I wish Northern Ireland well in hosting the summit, and I praise the Prime Minister for what I think was a brave decision to take the summit to that location. I wish not only the Prime Minister but the First Minister and Deputy First Minister well in maximising the benefits and outcomes of the 2013 G8 summit. I hope that it helps to entrench peace in Northern Ireland and that it is a success which signals that real change has taken place.

The summit at Gleneagles in 2005 was undoubtedly one of the highlights of my time as First Minister of Scotland. Many of us will remember the incredible events in advance of that summit: the 200,000-plus people who in Edinburgh the weekend previously called for making poverty history; the concerts that took place in all eight capitals, creating a global movement for change, perhaps for the first time ever; the work by UNICEF and others to involve young people in the G8 and its discussions in a way that had not happened before; the horrific violence that took place in Edinburgh in the two days before the summit; and the attempts to climb the fence in the fields of Gleneagles as the summit got under way.

However, inside that fence, the discussions involved, for the first time, leaders from Africa and around the world—not just the G8 leaders but others, too—who came together to try to solve one of the great problems and challenges of our age. The next morning saw the horrific bombings in London and Tony Blair’s departure from Gleneagles to come back here to take charge. However, in Gleneagles there was a resolve to finish the summit and make the decisions that were required, including the commitment to $50 billion of new money in aid, the hope of a new agreement on trade, perhaps not yet realised, and action on debt, education and health, all of which contributed to a great pride in Scotland that ultimately the summit had been a success, despite the bombers and those who tried to disrupt it.

The challenges of 2013 are perhaps new. The threats may be slightly different but, again, leadership is required. In my view, the agenda that has been set out to advance trade, to ensure tax compliance and to promote greater transparency, particularly in tax affairs, is the right one for our time. However, on trade, although it is vital that the EU-Japan discussions and the EU-US discussions get under way because they affect us all, it is also vital that we do not forget that agenda of fair trade and ensure that global trade agreements open access to markets fairly for all.

On tax, I want to talk briefly about Caroline Muchanga, who lives in Mazabuka in Zambia. She has two daughters and one son. On a good day, from the small market stall that she has in her village she earns $4, which is not always enough to feed her children or to pay the school fees for her daughters. One of the products that Caroline sells on her stall is White Spoon sugar, made by Associated British Foods. As estimated by ActionAid, ABF makes about $123 million in profits in Zambia alone every year, yet Caroline Muchanga pays more in cash in tax in Zambia than ABF. This is immoral. ABF is not alone, and it is perhaps wrong to single out one company, because there are companies and individuals doing this all over the world and not just in sub-Saharan Africa. However, that lost tax to countries such as Zambia is estimated to be about three times the total of international aid from the developed world to the developing world. That loss of revenue cripples economies, it affects public services and it costs lives. Therefore, when the G8 meets next week in Northern Ireland, it must act on these issues.

First, as the noble Lord, Lord Trimble, already said, the global sign-up to financial information sharing is a vital part of the agenda for this summit. The UK can take a lead in this by insisting both that all our European Union partners sign up to this financial information sharing, and that the UK dependencies and territories play their part, too. I would be interested to know what the Minister can tell us about the discussions with the dependencies and territories that will take place over these next few days.

Secondly, and I think absolutely crucially, a legal register of beneficial ownership is long, long overdue. To make progress on this agenda it is absolutely critical to understand who owns companies and corporations, understand who gets the profits, and understand who is moving them from the countries where they are made to the countries where they are held for tax purposes. I understand that some members of the G8—perhaps including Canada, as was reported in the Canadian press recently—may be hesitant about a legal register of beneficial ownership. The members of the G8 need to show global leadership on this agenda. They must be brave, be strong and ensure that such a register is in place. It must apply not only in the G8 countries but right across the world, so that those countries that are currently losing out on all that revenue have a chance to identify and chase it, and ensure that their economies can benefit more successfully in the future.

Thirdly, it is crucial that the UK’s leadership of the G8 next week does not deal with these issues in the context of Europe or of the strong economies of the world. The summit must also take action really to secure the opportunity for the weakest economies in the world, the poorest countries of the world, to make the most of any changes that are put in place. This includes capacity building, of the sort that Britain has supported over the years in Rwanda and elsewhere, in order to build successful revenue authorities that can create decent tax systems and consistently collect taxation revenues. That sort of action to build capacity in the developing world must go hand in hand with a new global regime for greater transparency, including registers of beneficial ownership.

It seems to me that this agenda, rightly, does not copy or try to replicate what happened at Gleneagles in 2005. Some of the promises made then have not been fulfilled. We should be disappointed by that, and we should continue to press those responsible to meet the commitments that they made back then. This agenda moves that a step forward. It talks about changing the rules, rather than just giving more. It is about making sure the rules are fairer, rather than just allocating more and more money from the developed world to the developing world.

Next week’s agenda could be a real turning point in a new global relationship. I wish the Government well and hope they will be successful. If they are, I hope that Northern Ireland will take as much pride in the 2013 summit as Scotland always will in the 2005 summit.

Crime: Sexual Violence

Lord McConnell of Glenscorrodale Excerpts
Wednesday 6th March 2013

(11 years, 2 months ago)

Lords Chamber
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Lord McConnell of Glenscorrodale Portrait Lord McConnell of Glenscorrodale
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I, too, thank the right reverend Prelate the Bishop of Wakefield for securing this debate and for his excellent, comprehensive introduction. I am certain that, even in the two minutes that each of us has been allocated, we could collectively ensure that our voice is heard on this vital topic ahead of International Women’s Day.

In Rwanda in 1994, as has already been mentioned with a different statistic, at least one woman was raped every two minutes while the genocide was taking place. As was said, potentially as many as half a million women were raped in that small country that year. From the Balkans to the Congo, from Haiti to Syria, rape is used all too often as a weapon of war. Extreme sexual violence, committed regularly in many countries against children not just under the age of 16 but under the age of 10, is designed to terrorise and subjugate women, their families and their communities. Mass rape has been used in far too many situations as a strategy for ethnic cleansing of the population.

I have seen too often the tortured memories and the present-day fear in the eyes of women and children from the Congolese jungle to wonderful city of Sarajevo. That is, frankly, a vision of hell and we must be clear in our resolve never to tolerate or accept it. I have also seen visions of hope. I have seen women in Nepal organise for their legal rights in a way that is starting to put the horrors of the past behind them. I have seen young girls in Liberia—young mums, the victims of rape—with the support of Save the Children rebuild their lives and give their children the potential of a better future.

We need not only to prosecute the guilty; we need to support the victims. We need also to ensure that we do something to bring about lasting change. In the 2015 review of the millennium development goals we must ensure we deliver the capacity-building that will ensure safety and security for citizens in individual fragile states, and also ensure that women have the legal, political and economic empowerment that can deliver that lasting change. If we do that we will make a real difference.