Business of the House

Lord Myners Excerpts
Thursday 4th April 2019

(5 years ago)

Lords Chamber
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Baroness Noakes Portrait Baroness Noakes
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I am not entirely uncritical of the Prime Minister, and in particular of her handling of Brexit. Anybody who has heard me speak before will know that.

Lord Myners Portrait Lord Myners (CB)
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I do not wish to quote the Prime Minister to embarrass her, but to remind colleagues in the House that the Prime Minister has, perhaps belatedly, recognised that there is a need to reach across and hear the views of others to facilitate a consensus in what most of us would agree is a moment of crisis. That is not a word I use frequently, but we are in the eye of the storm and I would like this House to be seen to be playing its role in taking things forward and facilitating agreement on a strategy.

The debate of the noble Lord, Lord Forsyth, is on a matter of considerable importance. Nobody who suggests that it might properly be delayed until early next week should be accused of, in some way, belittling the issues involved. The nation is now genuinely looking to this House to have a mature and proper debate on a matter of great importance. It reflects badly on the House and the institution if we are seen to become besotted with procedure, thereby denying the vital need to address the issue. We will not address the issue until we move on from matters of process to matters of substance.

Baroness Noakes Portrait Baroness Noakes
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Indeed, but there are important issues of process that we do need to address. I was saying that the Prime Minister had not always made a success of Brexit to date, but she has been persistent throughout in trying to achieve the will of the majority, the 17.4 million people who voted to leave in the referendum, and we have to give her credit for that. She has also acted throughout with integrity, and I hope that no noble Lord would suggest otherwise. In some ways, the Bill suggests that we cannot trust the Prime Minister, and I resent that.

As the noble Lord, Lord Myners, pointed out, the Prime Minister has now engaged in discussions with the Opposition. We understand that they are constructive; whether anything comes of them remains to be seen. To date, the Leader of the Opposition has shown no interest in doing anything other than pursuing a political line on Brexit. He even refused to go into cross-party discussions which my right honourable friend set up last month because he could not walk into the same room as Chuka Umunna, one of the MPs who had left his party and was a founder member of the independent group—the TIGers. It is of great credit to the Prime Minister that she is now reaching out to try and reach some consensus on a deal that the Commons can align around when it goes back to them. This Bill is saying that we do not trust the Prime Minister to do that. That is an unfortunate thing, and why the Bill is unnecessary.

The next reason for not agreeing with the Motion in the name of the noble Baroness, Lady Hayter, is that it is unnecessary to apply exceptional procedures. Your Lordships’ House has good procedures to allow it to do its job as a revising Chamber. The House normally prides itself on its ability to scrutinise legislation carefully. The reason we do this—

Arrangement of Business

Lord Myners Excerpts
Monday 2nd July 2012

(11 years, 10 months ago)

Lords Chamber
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Lord Foulkes of Cumnock Portrait Lord Foulkes of Cumnock
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I will try, as usual, to be helpful by saying a few words on this Motion about adjourning for pleasure. I do not think that we should. At least the Leader of the House was candid enough to confess that this timetabling was his mistake, but it is not the first mistake he has made in relation to the business of the House. In fact, in this instance, he is a serial offender. He ought to be very grateful to the noble Lords, Lord Hamilton and Lord Myners, to myself and others for insisting—and putting it to a Division, which was won, with the support of the Opposition—that the Committee stage of the Financial Services Bill be held on the Floor of the House. Given the events of the last few days, it would have been outrageous if it had been taking place in the Moses Room, hidden from public attention. Now, we can be sure that all of it, including the amendments, will be taken here on the Floor of the House.

When we have that debate, I hope that we will have, for once, the presence of the Minister of State at the Department of Trade and Industry, the noble Lord, Lord Green, who is never here, never answers Questions, never participates in debates and leaves it all to the poor noble Lord, Lord Sassoon, who does a wonderful job under the circumstances. It would be particularly helpful to have the noble Lord, Lord Green, here, because on 28 November 2005, it was announced that he was to become group executive chairman of HSBC. He has more knowledge from the time when all of this took place. He was chairman of one of the biggest banks and so can give us some inside information, if he is allowed to. I hope the Leader of the House will confirm—

Lord Myners Portrait Lord Myners
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I wish to be helpful to the House. It is also worth pointing out that the Minister, the noble Lord, Lord Green of Hurstpierpoint, was chairman of the British Bankers’ Association when these manipulations of the BBA’s LIBOR rate were taking place. It is reported that the executive of the BBA was aware that manipulation was taking place but took no action. How can this allow the noble Lord, Lord Green of Hurstpierpoint, to continue to be a credible adviser to the Chancellor of the Exchequer on banking, a role that he seems to have taken over from the poor noble Lord, Lord Sassoon, for whom we all have a great affection?

Baroness Royall of Blaisdon Portrait Baroness Royall of Blaisdon
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My Lords, I wish to apologise. I am grateful to my noble friend Lord Foulkes for bringing these issues to the attention of the House. We have had a very worthwhile discussion but I wish to place on record my thanks to the government Chief Whip. As I understand it, it was at the Opposition’s request that the Statement was promptly at 4 pm, for the convenience of some Members of my Benches and of the whole House. I do not wish to cast aspersions on the Leader of the House when, in fact, I should be the one taking the blame.

Financial Services Bill

Lord Myners Excerpts
Monday 18th June 2012

(11 years, 10 months ago)

Lords Chamber
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Baroness Farrington of Ribbleton Portrait Baroness Farrington of Ribbleton
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My Lords, having sat next to my much missed friend Lord Williams of Mostyn, I wish to set the record straight. I am sure that the Leader of the House did not wish in any way to mislead the House, but having sat next to Lord Williams of Mostyn through all the discussions on the introduction of Grand Committee procedure, I fear that he would be appalled that there was Division in the House over the issue. He was a man committed to sensing the House’s mood, reaching a compromise and avoiding this sort of unseemly debate in your Lordships’ House.

Secondly, it is my understanding—this is not my area of expertise—that the noble Earl, Lord Erroll, is absolutely right about what happens at the different stages. It is confusing for everyone if some parts of the Bill can be voted on in Committee and others cannot and if rules apply to certain parts of the Bill at Third Reading but not to others. I think that will lead to confusion. It is also my understanding that the Bill tackles a serious problem; if sizeable numbers of people in your Lordships’ House—I am not talking about majorities—feel unable to support the compromise, to use the Leader’s words, surely it would be better to accept the proposals of the noble Lord, Lord Hamilton of Epsom, and work in the way that I know Lord Williams of Mostyn would have wanted.

Lord Myners Portrait Lord Myners
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My Lords, at Second Reading last week nearly 40 Peers spoke. It was an excellent debate that was very skilfully handled by the Minister, notwithstanding the fact that the Whips endeavoured to cut some speakers short, even though that is clearly not accepted at Second Reading. I think that that tells us something about the Government’s attitude to trying to rush this process.

This is not a controversial Bill in a party political sense. However, it is controversial in the detail, not just in the first five clauses but throughout the Bill. It would be wrong to believe that Clause 6 and later clauses do not themselves deserve very close scrutiny, handling, as they do, matters such as consumer affairs and protection and banking resolution. The noble Earl was correct to point out that the procedures in Grand Committee are very different from those in a Committee of the Whole House. As a Minister, I took legislation through Grand Committees and through Committees of the Whole House. The argument that officials in Grand Committee are seated in the Box behind the Minister and are therefore immediately available to provide assistance is much overstated. This is a very important Bill. It creates, in the office of the Governor of the Bank of England, the most powerful unelected person in the country and deals with a problem that has beset the economy for four years. The nation would expect the Bill to be publicly debated on the Floor of the House. For that reason, I support the amendment of the noble Lord, Lord Hamilton.

Lord Barnett Portrait Lord Barnett
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My Lords, I do not want to talk about the other parts of the short debate that we have had but rather about where the Bill should go and where it would be best scrutinised. I know that the noble Lord, with whom I normally disagree, is very keen to see the Lords Reform Bill go through. He has always made that clear, but it is irrelevant to what we are discussing.

I am bound to say that the Government’s management of the lengths of recesses and the business of the House has not been of the best. My noble friend Lord Grocott was right to deal with those issues. The important issue for me, as it was when I spoke in the relevant debate, is where the Bill will best be scrutinised. I have a little experience of taking two Finance Bills a year through the Commons over five years, and did so with great difficulty. A major part of the scrutiny of those Bills was taken upstairs in Committee in those days. Now Governments of all parties are very keen to guillotine Bills in the Commons, and they are rarely properly debated. In fact, when we get Bills here, especially large ones, they have rarely been properly scrutinised at all. Therefore, the really important issue for me is not all the other stuff that we have talked about briefly today but where the Bill will best be scrutinised. The Bill is important; I do not deny that.

As I have said before, giving a huge amount of powers to the Bank of England is not unimportant. However, for me the question is: where will the Bill be best scrutinised? I have no doubt whatever that that will be in Grand Committee. If any Member of your Lordships’ House has great expertise and wants to speak, there will be no difficulty in them doing so in Grand Committee.

One has to understand that in Committee this House does not normally vote on the Floor of the House or in Grand Committee. On top of that, the Bill will come back to the House for Report, when votes can and do take place, and again for Third Reading. As I said, personally I prefer a Bill to be properly scrutinised in Grand Committee, and this is a rare occasion when I feel bound to speak in support of the noble Lord, Lord Strathclyde.

Arrangement of Business

Lord Myners Excerpts
Thursday 26th April 2012

(12 years ago)

Lords Chamber
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Lord Strathclyde Portrait Lord Strathclyde
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My Lords, there will be an extra day added to the Queen’s Speech debate if an announcement is made in the Queen’s Speech that there will be a Bill on the future of the House of Lords. But, of course, the Queen’s Speech debate is one debate. Noble Lords will be able to raise the issue of the future of the House of Lords wherever they want but, for convenience, we have suggested that two days should be specifically set aside so that noble Lords can concentrate on the issue on those two days. I have announced those days.

I understand the issue that the noble Lord, Lord Low, raises. The point is that it is entirely well precedented to have over 60 speakers speaking in a major debate and completing it in one day. There is no reason why we should not be able to do so.

Lord Myners Portrait Lord Myners
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My Lords, will the noble Lord the Leader of the House let us know how many speakers would need to be on the list for next Monday for him to conclude that we could not complete the business in one day, as that would allow us to organise our affairs?

Lord Strathclyde Portrait Lord Strathclyde
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My Lords, that would not be in the best traditions of the House.

Business of the House

Lord Myners Excerpts
Thursday 27th January 2011

(13 years, 3 months ago)

Lords Chamber
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Lord Strathclyde Portrait Lord Strathclyde
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That leave be given to advance the Report stage of the Budget Responsibility and National Audit Bill [HL] from Tuesday 1 February to Monday 31 January.

Lord Myners Portrait Lord Myners
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My Lords, as the economy is pushed back in the direction of recession, inflation surges and every day we read about more job losses, the House can only welcome the earliest possible opportunity to discuss the architecture of economic management.

Motion agreed.

Parliamentary Voting System and Constituencies Bill

Lord Myners Excerpts
Wednesday 26th January 2011

(13 years, 3 months ago)

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Lord Myners Portrait Lord Myners
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My Lords, I support the amendment proposed by my noble and learned friend Lord Falconer and the direction of the proposal made by the noble Lord, Lord Norton of Louth. I look forward with great interest to the response of the noble Lord, Lord Strathclyde. I wish to make four observations based on my own experience as a Minister in this House and in a career largely followed in business.

First, I have no doubt that the briefing note of the noble Lord, Lord Strathclyde, says “Resist”; there is an automatic response produced by officials which says “Resist”. From my own experience as a Minister, I am absolutely sure that that is what the noble Lord, Lord Strathclyde, will be advised to do. However, we know that he is a man of great wisdom and experience and I hope that he will not necessarily follow the advice, if I am correct in my supposition.

Secondly, in my 18-month experience as a Minister in the Treasury, I was surprised by the number of Ministers that we had. Indeed, the Permanent Secretary always had great difficulty remembering the name of one of the Ministers. He used to wave his hands and say, “The one down at the end of the corridor”. I thought that was a pretty telling admission that even officials in the Civil Service thought that we had too many Ministers. Therefore, in the context of what was said in the pre-election period by the Conservative Party and the Liberal Democrats, I am very disappointed that there are the same number of Ministers in the Treasury now as there were when I was a Minister.

The consequence of there being too many Ministers is that they get in the way and take decisions which are, frankly, too small. I say this from the perspective of chairing Marks & Spencer and other large companies. Ministers take minute decisions compared with the decisions taken by the leaders of our major corporations. I could not believe some of the small matters that came to me as a Minister to authorise, and the time that one had to take reading the material through fear that the noble Baroness, Lady Noakes, would spot a lacuna and put down a Written or Oral Question which would catch me out. I found it quite extraordinary that the average junior Minister—at least this was the case when I was an average junior Minister—spent the first 45 minutes of a day topping and tailing letters. I used to top and tail 200 to 300 letters. Those letters were originally sent to the Prime Minister, or to even more powerful people such as the noble Lord, Lord Mandelson. They were passed on to the Prime Minister, who passed them on to the Chancellor of the Exchequer, who passed them on to Mr Liam Byrne and Ms Yvette Cooper and various other people until they came to me. I looked desperately for somebody else to whom I could pass the letters but there was nobody so I had to sign them. This was the starting point of my ministerial day. I lived in constant fear that one evening I would appear in front of Paxman and he would say, “I ask you again, Lord Myners, is this your signature on the letter?”.

I now have the temerity to admit to the House that I did not always read those letters in great detail.

None Portrait Noble Lords
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Oh!

Lord Myners Portrait Lord Myners
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I said “in great detail”. I knew how to spot the tricky words. I tended to skip over the salutations at the beginning and the end but I read the meaty bit in the middle. However, to be more serious, the decisions that one took as a Minister were of a very modest order compared with the decisions that we would expect the leader of a large corporation to take. That seems to me to support the view that, regardless of this amendment or the Bill, we simply have too many Ministers and they create work; they get in the way.

My final observation relates to the role of this House. When I was first appointed, I was terrified—I really was—and I made a complete fool of myself at my first debate when I was given a speech by my officials which I should, in all honesty, have reviewed more carefully. It was clearly a cut-and-paste job from the other place; it had numerous references to “the honourable Member” and “the Speaker” and so it did not take long before the noble Lord, Lord Forsyth, rose to his feet from the Benches to my left. I had no idea what I was meant to do; nobody had briefed me, but I had watched it on television so I thought I ought to sit down. I think I was intervened on about eight times in five minutes before the Chief Whip came to my protection.

In my preparation for the ordeal of the House, whenever there was a Statement, I tried to go to the other place in order to see how it was handled there and then scuttle back here. What I observed from that experience was that the challenge for Ministers in the other place was simply of a much lower order than in this place. I think that that is an observable and unchallengeable truth. The questions that I was asked by the noble Baroness, Lady Noakes, and by the noble Lord, Lord Newby, who is not in his place, but who was an excellent spokesman on Treasury matters for the Liberal Democrat Party and, I believe, continues to perform that role, were of a different order. I look across now and I see the noble Lord, Lord Higgins. There are very few people in the other place who can ask a penetrating, focused, accurate and informed question with the degree of precision and understanding that the noble Lord, Lord Higgins, can. There is a question of accountability. We have too many Ministers and they do not seem to be sufficiently accountable.

Finally—I said that I would cover four points and I believe that this is the fourth—I think that this is evident in the work of some Select Committees. The Treasury Select Committee, to which I had to report on numerous occasions, was mixed in its understanding of the issues. There were a number of good members—Mr Andrew Tyrie has already been mentioned; let me mention him again, an excellent chairman of that committee with a very good understanding of the issues—but I cannot say that about every member of the committee, nor can I say that they always showed evidence that they had thoroughly studied and understood the issues. Again, accountability is at the heart of this—it is an issue that stands apart from the Bill and needs to be addressed. There are too many Ministers making too much work, doing too many modest things and not subject to appropriate scrutiny, particularly by the other place.

I see the noble Lord, Lord Tyler, about to spring to his feet. I seem to produce a Pavlovian reaction in the noble Lord, who is, no doubt, about to tell me that some ancestor of his, several generations ago, had some involvement which shows that he knows more about this than I ever will. That seems to be his normal response to me. I now give him the opportunity to see whether he can approach me in a courteous and constructive way. We have too many Ministers and, to my mind, they are not sufficiently accountable. I look forward, therefore, to the noble Lord, Lord Strathclyde, telling us how the Tory-led coalition will deliver on the promises made before the election to reduce the number of Ministers, regardless of where we end up on the Bill.

Lord Tyler Portrait Lord Tyler
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I am extremely grateful to my fellow Cornishman. I was going to say that the past few minutes have given us a fascinating insight into the workings of government and have actually proved the point that we should have more Ministers in this House and fewer in the other.

Parliamentary Voting System and Constituencies Bill

Lord Myners Excerpts
Tuesday 25th January 2011

(13 years, 3 months ago)

Lords Chamber
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Lord Roberts of Conwy Portrait Lord Roberts of Conwy
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I hope I may be able to say something as a native of the isle of Anglesey, which features in this amendment. The view from my home, which is of Snowdonia across the straits, is permanently engraved in my mind. Belonging, as I do by birth, to the southern part of the island, it is quite natural that I should look, as do others living in that part of the island, towards the Snowdonia end and the mainland. Of course, bridges have been built. We have virtually three: the Telford Bridge, since 1825; the Stevenson railway bridge; and now a road deck over that railway bridge.

Not only was I born in Anglesey, so I know something about the place, but I represented Conwy for 27 years in the other place. Conwy, in my day, included the city of Bangor, which, as my noble friend Lord Crickhowell said, is the shopping centre for Anglesey and contains a lot of people who had come from Anglesey, as I found among my constituents. It really looked as though Telford’s bridge of 1825 had proved to be a floodgate for people from Anglesey to come over to the mainland site. Anglesey is small, with a total electorate of some 42,000. If we are to equalise and abide by that principle, the Ynys Môn electorate could be amplified to include the Bangor area. Indeed, this has been anticipated by the inquiry conducted by the Welsh select committee of the other place. It quoted in evidence Lewis Baston of Democratic Audit, who suggested this very combination, which would result in a constituency of some 73,400 people and meet the criteria required by the Government.

Of course, there might be some objections from the Holyhead end of the island, which has tended to dominate the island politically ever since the days of the much loved late Lord Cledwyn of Penrhos. On the whole, if we are going to move towards equalising electorates and constituencies, this would not be an impossible move. Indeed, it might very well be welcomed. It would give additional strength—the combination of Bangor on the mainland and Anglesey—to whoever represents that constituency. I simply plant that thought, which means, of course, that I am against this amendment.

Lord Myners Portrait Lord Myners
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My Lords, I support Amendment 79A, specifically from the perspective of its reference to the county of Cornwall and the Isles of Scilly. I will speak briefly now because in a later group of amendments, when the House will be considering amendments proposed by, I think, the noble Lord, Lord Teverson, and my noble friend Lord Berkeley, we will be looking at amendments specifically focused on Cornwall.

I do not come as well prepared for this as my noble friend Lord Campbell-Savours. I do not have a list of the size of the constituencies, nor can I immediately recollect great Secretaries of State who have represented Cornish constituencies in the other place. From the past 30 years, I can think of only one: John Nott, who represented St Ives and the Isles of Scilly. From recollection, I think that we had one junior Minister who represented a Cornish constituency, but I remember the local press observing that his most frequent contact with the constituency was when he flew over it in Concorde rather than from his attention to the needs of his constituents. The honourable Member of the other House now sits in this House as a noble Lord, so I will leave it to him to say whether that description fits his own recollections of his service.

One reason why Cornwall has had very few Ministers is because of the nature of the area and its geographical distance from London. At an earlier point in the Committee’s proceedings, I listened with great interest to the persuasive arguments about the Scottish constituencies and I thought to myself that many of those arguments also apply to Cornwall. Cornwall is geographically distant from London; our constituencies are wide and diverse. The challenge of representing them is very significant. That would tend to support the argument that ours should be smaller constituencies than those that are derived from a formulaic proposal as put forward by the Government in this Bill.

I developed my political knowledge and interest in Cornwall. I remember as a teenager following the general election campaign of the Labour candidate, Ron Blindell, who was the chairman of Plymouth Argyle Football Club. He had a Rolls-Royce—we very rarely saw Rolls-Royces in Cornwall—and he went from village to village speaking. It would be advertised in the West Briton that Mr Blindell would speak at 7.45 pm at St Agnes, at 8 pm at Perranporth and at 8.15 pm at St Merryn, and the same people who listened to him at 7.45 would then jump in their cars—or, in the case of Labour supporters, on to our bikes and pedal madly—to get to the next constituency in order to carry on our engagement with the candidate, either in support or in opposition to whatever he said.

We also had some great MPs in Cornwall. I think of one in particular from the Liberal Party—Mr David Penhaligon, with whom I went to school and who represented Truro. David was taken from us in a tragic accident while visiting the postal workers immediately before Christmas in the very early hours of the morning in an accident on a very icy road. David was a fine representative of the people of Truro and St Austell and would have been a figure of considerable national significance if he had not been taken from us in that cruel and tragic way.

There are currently no Labour Members of Parliament in the six constituencies for Cornwall. However, three of the seats are held by Liberal Democrats. I would like to believe that they are of the progressive wing of that party, who understand the needs of those who are most vulnerable in the community and speak up from time to time in the other place in support of the arguments that my colleagues there bring forward when pointing out the tragic consequences of the economic policies that the Government are currently pursuing. We have of course seen those policies reflected today in negative GDP growth figures, which do not come as a complete surprise to me.

As I said, Cornwall is geographically isolated. The constituencies are dispersed. Cornwall also has a distinct culture. We have heard this referred to in respect of other constituencies as well. Cornwall has its own language, which is growing in its usage. More people are showing an interest in understanding the history, culture and pastimes of the Cornish people. Indeed, we have a nationalist movement, which stood in all the constituencies in the last general election.

Cornwall also suffers from acute economic pressure. Our core industries of the past—tin mining, the kaolin, or china clay, industry, and fishing—are all under enormous pressure. Tourism has had to readjust its offering, which it has done extremely well, but the industry of the past has now had to target a completely new segment of visitors. This is an economy some distance from London that is suffering from an acute set of issues similar to that of a microclimate.

I am disappointed that, in the other House, the six Members of Parliament for Cornwall played very little part in the debate on this Bill. They did not speak passionately in favour of keeping Cornwall’s current representation. This was in part because the governing party guillotined procedures in the other place. No doubt, if those Members had had the opportunity, they would have spoken, but it falls to us in this House to speak up when the process followed in the other place does not allow good and clear expression of the deep-rooted anxieties that are being created in communities such as Cornwall by this legislation.

I also believe that one of the reasons that so few of the Members representing Cornish constituencies in the other place played an active part in the debate on the Bill is because most of them are new to the House. They are new to understanding the challenges of representing a constituency. I suggest—without the benefit of having sat and represented a constituency in the other House, unlike many Members such as the noble Lord, Lord Roberts, who spoke before me—that it is difficult for somebody contesting a constituency and then winning a seat to have a clear grasp of how much work is involved in representing constituents. One reason why Cornwall’s MPs were not more evident in the debate in the other place is that they are still coming to terms with the difficulties of doing so, particularly given the geographical distance.

Lord Teverson Portrait Lord Teverson
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It is important to say that all six MPs are of the same opinion on the issue, although there was certainly some limitation on what they could say in the other place. The point about the political movement within Cornwall is that it has been across all political parties, from Mebyon Kernow to Labour, to the Conservatives and the Liberal Democrats—and even the Stannary Parliament, which would usurp your Lordships’ own role if it had the chance.

Lord Myners Portrait Lord Myners
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I welcome that intervention from the noble Lord, Lord Teverson, which correctly informs our debate on this amendment. A general sense is being allowed to develop in Cornwall that the equalisation of the size of constituencies is not a matter of great consequence because they might be adjusted later through the work of the Boundary Commission. That is a misunderstanding of the fact that this is the point at which we have to make our stand, to ensure that the constituencies of Cornwall and the Isles of Scilly remain whole.

At a later stage in Committee, I shall argue the case for Cornwall retaining its current six constituencies. For the time being, I think that it is important that we recognise that the culture and history of Cornwall, which has not had a parliamentary constituency cross the River Tamar into the county of Devon for 700 years, should be respected. The people of Cornwall however close they might live to Devon—be it in a small hamlet, a farm or a village abutting Devon—nevertheless look to Truro for leadership and regard themselves as Cornish. Parliament would be ill advised to disregard the strength of such feelings by adopting an approach that is entirely arithmetic, with regard neither for local culture, history and sensitivities nor for people who proudly believe that they are part of a geographical inheritance and who wish to be listened to.

I urge noble Lords to support these amendments. Later on, the noble Lord, Lord Teverson, my noble friend Lord Berkeley and I will speak again—at some greater length, I anticipate—to issues relating to Cornwall.

Lord Knight of Weymouth Portrait Lord Knight of Weymouth
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My Lords, I, too, support the amendment in the name of my noble and learned friend Lord Falconer and my noble friend Lord Bach. It is important in bringing together those parts of the country that believe that they are exceptional and should be added to the two exceptions that were already in the Bill and the Isle of Wight, which has subsequently been added by your Lordships. At the root of that is the argument, as we have just heard from my noble friend Lord Myners, that some parts of the country have a particular character and are fiercely proud of it, and that they think that that should be recognised in their parliamentary boundaries.

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Lord Teverson Portrait Lord Teverson
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From the MPs, and from what we have gathered from the people in Cornwall, it appears that they are happier to have five than to share. In fact, I was speaking to my honourable friend Dan Rogerson, MP for North Cornwall, earlier, and he made that point to me. It may seem strange, but that seems to be the answer. I am glad that the noble Lord, Lord Trimble, has raised the question.

Lord Myners Portrait Lord Myners
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I add my voice in agreement with the observation made by the noble Lord, Lord Teverson. The soundings that I have taken indicate that the people of Cornwall do not wish to share a constituency with Devon; they would rather have five representatives in the other place than a sixth if it involved going across the Tamar.

Baroness O'Cathain Portrait Baroness O'Cathain
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I make one observation again. There are the examples of Liverpool and Everton and of Celtic and Rangers. It is a situation where we are actually having tensions within an area, where we are all supposed to be part of—dare I say it?—a big society, and where we help one another irrespective of boundaries.

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Lord Strathclyde Portrait Lord Strathclyde
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It is not that rare, but very occasionally—about once every 10 years—my noble friend is vociferous in his opposition. It is very nice to see him being so supportive today. I was also pleased to have the support of my noble friends Lord Roberts and Lady O’Cathain.

To me, this debate demonstrated the width and depth of the gulf that exists between what the Government are trying to achieve and the position of noble Lords opposite. At the heart of what we want is equality across the country of the number of constituencies. To me, that is entirely logical: 600 seats—we do not need to debate again why 600—divided by the number of the electorate to get a figure, plus or minus 5 per cent. That is what we are trying to do.

Lord Myners Portrait Lord Myners
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Surely the noble Lord is aware that this is not about equality of the number of constituencies; it is about equality of the size of constituencies. Is the noble Lord not familiar with his own legislation?

Lord Strathclyde Portrait Lord Strathclyde
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I thank the noble Lord, Lord Myners. That is precisely what I mean.

Noble Lords opposite say that equality of the size of constituencies is not important; they say that something else is important. The Bill, of course, provides for some of the other things that are important. They talked about community links and they talked about counties, as if counties were the same thing as constituencies. I totally dispute that. I live in Ayrshire. Ayrshire is, in fact, not a county. Everybody recognises it as a county, but it is not, as it has been divided in two. The noble Lord, Lord Foulkes, used to represent part of it. However, I do not say, and nobody says, “I come from Carrick, Cumnock and Doon Valley”, or whatever the constituency is called. I say, “I come from Ayrshire”. I have no emotional link with the constituency at all.

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Moved by
88: Clause 11, page 10, line 29, at end insert—
“( ) There shall remain the current number of constituencies in Cornwall, and these constituencies shall be entirely within the county of Cornwall.”
Lord Myners Portrait Lord Myners
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My Lords, I am surprised if there was any suggestion that this amendment would be not moved because it is one of great importance to the people of Cornwall. It is one which is being watched closely in Cornwall this evening, listened to on the radio and watched on the parliamentary channel. I speak, proudly, as a Cornishman; my designated title is Lord Myners of Truro. I was raised in Cornwall and schooled there at the local Methodist school. I am deeply proud of being Cornish. The noble Lord the Leader of the House referred earlier to how people identify themselves. Our mode of self identity is terribly important and, to me, being Cornish is a matter of great pride.

I was encouraged by the surprising degree of unanimity expressed earlier in Committee on the subject of Cornwall. The Leader of the House, the noble Lord, Lord Strathclyde, acknowledged the strength of opinion that was being expressed from Cornwall—from all aspects of the community and from all political parties, the national and the local nationalist organisations. The noble and learned Lord, Lord Falconer of Thoroton, speaking from the Opposition Front Bench, also acknowledged that Cornwall appeared to have a particularly strong case, one which was deeply held by people who are concerned on this point. I missed the earlier contribution from the Liberal Democrat Benches of the noble Lord, Lord Teverson, but other Members of the House have spoken highly of the words that he expressed on Cornwall.

Having acknowledged that, I took some encouragement from the words of the Leader of the House, the noble Lord, Lord Strathclyde. I have to say that he showed considerable insensitivity when suggesting that there really was not much difference between Cornwall and Devon and that, actually people in Cornwall worked in Devon. I have to say that a significant number of them work in the dockyards in Devon—the dockyards which this Government are now committed to closing down. The fact is that even those who live in Torpoint, Saltash or other towns which border Devon do not regard themselves in any way as being linked to Devon. They regard themselves as Cornish, and ferociously so in their expressed support.

Cornwall is an isolated peninsula. It is bounded by the full force of the Atlantic Ocean on one side, the English Channel on another and the River Tamar on the third. It is some distance from London. As my noble friend Lord Knight of Weymouth observed, it really takes a considerable time to get to the far end of Cornwall, let alone to the Isles of Scilly. It is not easy to get national politicians to come to Cornwall. Jonathan Powell, in his recent book, describes the great difficulty he had in persuading the right honourable Tony Blair to visit Cornwall and the even greater difficulty in getting him to stay for more than a few hours. It is pleasing to see that the current Prime Minister adopts an altogether different attitude. Indeed, he even arranged to have his daughter born at the Royal Cornwall Hospital in Treliske.

The fact is that the people of Cornwall, as my noble friend Lord Knight observed earlier, feel themselves to be denied and ignored by London—and detached from that which goes on in London. They have a particularly strong affinity with their local Members of Parliament. They have a relationship with them regardless of which party they represent, which is distinct and different from that which one would see in many parts of the country. The Cornish economy is facing considerable adversity. We have seen a decline in the fishing industry. Mining for tin is almost now non-existent and quarrying for kaolin, or china clay, is in considerable decline.

The people of Cornwall have had to be innovative. They have been very successful in developing new industries, harnessing technology and promoting businesses around digital communication and biotechnology. Of course, Cornwall continues to have an extraordinarily attractive offering when it comes to tourism, be it the wild beaches and cliffs of north Cornwall or the sheltered and wooded valleys of the south. These are augmented by a number of significant new developments; the wonderful Eden Project, just outside St Austell; the National Maritime Museum’s extension in Falmouth and Tate St Ives, which was the first of the major national initiatives to give heart to Cornwall and begin to help the Cornish economy to turn the corner. Of course, tourism in Cornwall continues to benefit from the fact that Cornwall is one of the sunniest places in the country.

Lord Phillips of Sudbury Portrait Lord Phillips of Sudbury
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Am I not right in thinking that the Duchy of Cornwall is based upon the fact that in times long past Cornwall was almost a kingdom of its own? Does it not have a language and is it not the only Celtic part of England? Are these not further strings to his already overladen bow?

Lord Myners Portrait Lord Myners
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I was about to bring my address to a close, but I now feel that I have been given an opportunity to expand on the virtues of Cornwall. The noble Lord, Lord Phillips, is correct. More than 300 people now speak the Cornish language. It is taught in 12 primary schools and an increasing number of secondary schools. There is a deep and long history in Cornwall that sees Cornwall as a separate nation, based, indeed, upon the Duchy. I tread with some caution because earlier the noble Lord, Lord Tyler, who represented a Cornish constituency with great aplomb and skill for many years, rose to speak when I pointed out that at one stage Cornwall had 44 Members of Parliament, compared to the current six. I suggested that this was due to the tin mining industry and its prosperity and importance. The noble Lord, Lord Tyler, suggested that it was due to other factors. I have since checked AL Rowse’s Tudor Cornwall and I find that my original observation that it was largely a reflection of the prosperity of the Cornish tin industry is the same conclusion that AL Rowse reached.

Of course, the tin mining industry explains the flag of St Piran, the national flag of Cornwall. We do not talk about it as the county flag, but as the national flag, because we regard Cornwall in many respects as a nation. That is reflected in the views of many people in Cornwall who deny the status of Cornwall as a part of England, who deny that Cornwall is a county and continue to believe that the Duchy of Cornwall affords special constitutional privileges which are not presently recognised by this Parliament.

I spoke about challenges, but there is hope in Cornwall. There are a number of extraordinary people who are turning Cornwall around; an inspiring leader in the chief executive of Cornwall County Council, the new unitary authority for Cornwall, Mr Kevin Lavery; Alan Livingston of the Combined Universities; Lady Mary Holborow, the Lord Lieutenant of Cornwall; and Sir Richard Carew Pole, who has done so much for the arts and culture in Cornwall. Those, together with the young people who are now coming to Cornwall to study at the Combined Universities, are turning the corner in Cornwall, enthusing people with their identity and passion for the county of Cornwall.

At the last election, Cornwall was allocated an additional seat by the Boundary Commission. Cornwall had previously had five seats. Noble Lords will remember that that number compared with the 44 or so MPs that Cornwall had from the mid 16th century until 1832, but the number of seats in Cornwall was raised from five to six by the Boundary Commission. How did the Boundary Commission come to the conclusion that Cornwall needed an additional Member of Parliament? By sensitively listening to representations from the people of Cornwall on the nature of local communities, how people defined themselves and how local organisations worked—clear and distinct communities. Even within that, of course, in creating an additional constituency there needs to be movement. So, for instance, Truro, having previously been part of St Austell, has now become part of the Falmouth constituency.

There was recognition, however, that there were key focal points of community living and cultural identity in Cornwall that should be recognised in parliamentary constituencies. That is the Boundary Commission doing its work in a proper and sensitive way, having regard to local opinions, customs and practice. Instead, in the Bill we are being told to support an arithmetic division of the country into 600 constituencies of equal size, with a modest flexibility of 5 per cent either side of the—

Lord Taylor of Goss Moor Portrait Lord Taylor of Goss Moor
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Will the noble Lord give way?

Lord Colwyn Portrait The Deputy Chairman of Committees (Lord Colwyn)
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My Lords, I must put the Question before the debate proceeds. Is the noble Lord, Lord Myners, moving his amendment?

Lord Myners Portrait Lord Myners
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I would have been more than happy to have given way to the noble Lord, Lord Taylor of Goss Moor, who was my local Member of Parliament for many years. I look forward with great interest to his later contribution to the discussion on this amendment.

I was bringing my remarks to a close. I am sure that Members of the House realise that I can talk about Cornwall for some considerable time, but I will not delay the House further than to say that an approach that is based upon arithmetic simply will not be acceptable to the people of Cornwall. In an earlier debate the question was asked: “Would the people of Cornwall prefer to have five constituencies, none of which went across the boundary into Devon, or six representatives in the other place, one or more of whom had seats that went into Devon?”. The noble Lord, Lord Teverson, answered correctly, I believe, that the people of Cornwall would much prefer to have five committed Members of Parliament who stood for Cornish seats rather than someone who stretched across into a part of the world that the Cornish people regard as a different country. They look at Devon as part of a different country and they would not be able to understand why a constituency strayed across the Tamar into a country with totally different economic and social circumstances.

The obvious place where that would happen would be into Plymouth, yet the European Union, through the granting of Objective 1 and follow-on status, has recognised the acute poverty of Cornwall, which is very different from Plymouth. Indeed, one of the reasons why Cornwall was slow in getting support from Europe for its manifest poverty was that it was originally co-joined with Plymouth and Torbay, which had the effect of giving an illusion that Cornwall was more prosperous than is the reality. That is why my Amendment 88 proposes that Cornwall should retain six parliamentary constituencies and that they should remain within what is now the county of Cornwall.

Lord Tyler Portrait Lord Tyler
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I yield to no one in my pride at my Cornish ancestry. I am a direct descendant of Bishop Jonathan Trelawny, on whose behalf 20,000 Cornishmen threatened to march on London. Of course London gave way, so they did not have to march.

I have great affection for the noble Lord, Lord Myners. It is great to have him here fighting for Cornwall. I wish he had been more effective in doing so when he was a member of the previous Administration. However, I have to correct several of his misapprehensions. First, the reason why there were so many seats in Cornwall had nothing to do with good representation, unfortunately. It was simply that they were rotten seats, rotten boroughs, effectively owned by the Crown through the Duchy of Cornwall—it was a way of bolstering their majority in the other place. In my own north North Cornwall constituency, for instance, Bossiney had a notable Member representing it: Francis Drake. I am not aware that he ever went there, and there were only about three electors if he did.

Secondly, and much more seriously, if the noble Lord thinks that it was somehow through the advocacy of we who represented Cornwall that we managed to increase the number of seats from five to six, that is simply untrue. It was arithmetic—just as now, quite rightly, we are looking at the arithmetic. My noble friend Lord Taylor of Goss Moor and I can guarantee that because of the increase in population in Cornwall, the Boundary Commission had to give us another seat.

I will also take the noble Lord up on his history. I know, for example, that when miners went over the border into Devon—it having been found that, as a result of the running down of the mining industry in Cornwall, there were more jobs in west Devon, as it now is—they allocated to themselves the description of working in greater Cornwall. That enabled them to say proudly that they were still Cornish miners. They could then emigrate to New South Wales, for example, knowing that they would not have to mix with Welsh, Scottish or Yorkshire miners. There would be only the real thing—Cornish miners.

I have a great deal of sympathy with this amendment—a great deal more, I am sorry to say, than with the selection we considered earlier. The big difference is that many of the other exceptions claim to be able to have overrepresentation. Their reasons are understandable; I do not deny the special claims that have been made. The Isle of Wight and Cornwall are, as far as I can see, the only areas of the country that may be prepared to accept underrepresentation. The case for six seats in Cornwall is not very strong. It makes a real difference if the people of Cornwall are prepared to accept underrepresentation with five seats, as was the case when my noble friend and I were Members in the other House and had very large electorates. The difficulty is of how to test that. Even if a referendum in Cornwall showed that people were prepared to accept a level of underrepresentation at the moment—which would be very persuasive to me, as a good democrat—what about the future? What about a year or two hence, when people say, “Why should we have less effective representation than other parts of the country?”? It is a real dilemma.

I do not know whether the noble Lord intends to press his amendment to a vote—perhaps he does—but we must give very careful consideration to that issue. In the mean time, it is much better that we treat Cornwall as a special case and examine it as such, as in the case of the Isle of Wight. It would have been wrong to put it into a longer list of exceptions, as I said at some unearthly hour last week.

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Lord Wallace of Tankerness Portrait Lord Wallace of Tankerness
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My Lords, I am conscious that some hours ago I replied to a debate in which the issue was not crossing the rivers Tyne, Thames and Mersey, but I rather suspect that the Tamar is slightly wider in symbolic terms than those rivers. When I entered another place in 1983, my knowledge of things Cornish was not extensive. An acquaintanceship, I like to think also a friendship, with the late David Penhaligon soon put an end to that. He made very clear what the essence of being a Cornishman was. On numerous subsequent occasions I was able to visit Cornwall and I certainly recognise the passion with which noble Lords have expressed their affinity with Cornwall and the arguments they have presented today.

It is obvious—the case has been made for some time—that this part of the Bill seeks to address the significant differences in size between many parliamentary constituencies. Those differences make the effect of votes in some parts of the country more effective than others depending on where people live. We seek to address that with a parity rule which requires constituencies to be within 5 per cent of the United Kingdom electoral quota. The noble and learned Lord, Lord Falconer of Thoroton, said that the matter under discussion on the amendment of the noble Lord, Lord Myners, could be addressed by a 10 per cent flexibility. While that would be a better bet, there is no guarantee that it would not result in one constituency crossing the Tamar.

The issue of what the exceptions should be has been well debated, both in previous sessions of the Committee and today, and the Government have made it clear that extreme geographical circumstances can make it necessary to do so, specifically with regard to Orkney and Shetland and the Western Isles—remote islands and communities which are not readily accessible for inclusion with a mainland constituency—and the House voted last week on the Isle of Wight. Aside from these specific exceptions, the Government do not feel that other features should detract from the fundamental principle of equality between constituencies and votes.

As I have indicated, I am well aware of the depth of feeling on the subject of the Cornish boundary. I have received numerous e-mails and letters on the subject and representations from my honourable friends, Andrew George, Stephen Gilbert and Dan Rogerson. I am under no illusions as to the strength of feeling and I recognise that Cornwall has a proud and unique history.

It was significant that my noble friends Lord Tyler and Lord Taylor of Goss Moor said that they may be prepared to accept underrepresentation, but the two amendments which might have provided for that were not moved. We have before the House today an amendment which does the opposite and would lead to overrepresentation. That would be a much more difficult position from which to make exceptions and it does not carry the same kind of moral force as the point argued by my noble friends.

The Government do not agree that an MP would not be capable of representing people effectively in both Cornwall and Devon at the same time. It was not fair to say, as was said in an earlier debate, that my noble friend Lord Strathclyde had been dismissive of Cornwall’s opinion because he made the factual statement that some people living in Cornwall work in Plymouth. That point was acknowledged by the noble Lord, Lord Myners, when he moved the amendment. It is of course the case—although it may not be instinctively what people think—that there is some community of interest between people living in one county and working in the other. I do not believe that a Member of Parliament could not represent a constituency effectively, wherever his constituents lived within Devon or Cornwall.

Several constituencies have widely varying cultural factors. I recognise the strength of the arguments but, given the parity that the Government seek and that exceptions should be limited to where there are extreme geographical considerations, it is not possible to accept the amendment. I therefore invite the noble Lord, Lord Myners, to withdraw it.

Lord Myners Portrait Lord Myners
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My Lords, I have now recovered my composure after the noble Lord, Lord Tyler, criticised my service as a Minister. I have done so with the support of some informed comments from my noble friends Lady Corston and Lord Howarth of Newport. I also thank the noble Lord, Lord Berkeley, although he has reminded me of the “Scillonian”, on which my wife, family and I used regularly to travel to the Isles of Scilly on holiday. My wife will no longer go on the “Scillonian”. It is a boat with a very shallow draft, which makes for a wobbly crossing, to put it mildly. She now insists on us flying, although my son and I would prefer to go by boat. I do not know whether we will be going next year because this year when we were on holiday in Tresco she was attacked by a lady in an electric golf cart—on an island that should not have any motorised transport at all other than that owned by the ruling family of Tresco.

The people of Cornwall will be listening carefully to this debate. They will have heard the noble and learned Lord, Lord Wallace of Tankerness, speaking on behalf of the Conservative and Liberal Democrat Government. Indeed, the noble and learned Lord was kind enough to his own colleagues on the Liberal Democrat Benches in the other place to list them by name, although I noticed that he had to look at his notes to remember the names of the three Liberal Democrat Members of Parliament for Cornwall. The people of Cornwall will have heard him say, “I’ve listened to your representations but I’m ignoring them. They simply don’t carry weight. Our rigid adherence to an arithmetic formula will disregard any issues around local community, local culture and local identity”. I found that to be a matter of deep regret.

It is also a matter of deep regret that there was not a single contribution from the Conservative Benches, even though three of the seats in Cornwall are held by Conservative Members of Parliament. When this issue was debated in the other place, Cornish MPs were somnolent. They barely participated and did not vote against the proposal that Cornwall should not be treated separately and given appropriate recognition for its culture.

The noble Lord, Lord Taylor of Goss Moor, made an interesting observation. I do not stand here to make the case for my amendment and to listen only to my own voice; I listen to the contributions of other noble Lords on this amendment and others. A recurrent feature is the 5 per cent tolerance figure in the Bill. The noble Lord, Lord Strathclyde, got his maths wrong. It is not 10 per cent on 95 per cent; in fact, it is about 11 per cent on 95 per cent. However, as he got his numbers wrong on other matters, we can put that to one side. The noble Lord, Lord Taylor of Goss Moor, is a welcome addition to the House and he made an interesting point about the mathematics.

That leads one to say that Cornwall at the moment appears to be eligible for five and a half seats in the other place. We have heard arguments about whether Cornwall should have five or six seats. Perhaps my amendment is deficient in specifying six, because I readily acknowledge that many of the people in Cornwall who express an opinion on this—I fully appreciate that the noble Lord, Lord Tyler, asked how we would test this and prove it to a high degree of competence—say that they would rather have seats that fell within the boundaries of Cornwall even if that meant having fewer seats.

The tolerance level at 5 per cent narrows the opportunity for qualitative judgment on this matter. I would be inclined to continue to support the view that Cornwall should have six seats. I do that because of its great geographical isolation and the enormous distances that our Members of Parliament have to travel to return to their constituencies. It is possible that I am alone in seeing this, but it seems that the closer you are to Parliament, the less your constituents want to see you on a regular basis. If you are a Member of Parliament for Cornwall, your constituents expect to see you every weekend. They expect to see you all the time that Parliament is not sitting. That is a factor that we should take into account. It has been argued in respect of Scottish constituencies and the argument applies similarly to Cornwall.

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Lord Myners Portrait Lord Myners
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I am most grateful that the noble Lord, Lord Taylor, has—

Lord Tyler Portrait Lord Tyler
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Ditto to that. Would the noble Lord like to conclude by putting his amendment and testing the opinion of the House? Then he could stop talking.

Lord Myners Portrait Lord Myners
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I find the discourtesy of the noble Lord, Lord Tyler, which seems to be present at any time that I speak in this House, quite extraordinary and contrary to what I understood to be the custom and practice of this House. That is reprehensible. Fortunately—and I am closing my remarks now—it will not be long before the noble Lord, Lord Marks of Henley-on-Thames, will be able to speak on matters relating to Cornwall. The noble Lord is a recent and most welcome addition to our House. He has previously contested seats in Cornwall and I know that he has a great affection for Cornwall. I also know him as a man of considerable courtesy and look forward to his interventions rather more than I can look forward to those from one or two others who sit with him.

In closing, and before inviting the House to take a position on the amendment, I take considerable encouragement from the comments of the noble Lord, Lord Strathclyde, that Cornwall is worthy of special consideration and from the endorsement given to that view from my own Front Bench by my noble and learned friend Lord Falconer of Thoroton. I hope, notwithstanding the somewhat dismissive approach to the case for Cornwall from the noble and learned Lord, Lord Wallace, that careful consideration will be given to the issue of Cornwall and that the Government will bring forward their own amendments at a later stage. I beg leave to withdraw the amendment.

Amendment 88 withdrawn.

Parliamentary Voting System and Constituencies Bill

Lord Myners Excerpts
Monday 17th January 2011

(13 years, 3 months ago)

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Lord Howarth of Newport Portrait Lord Howarth of Newport
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The noble Lord will find that, one way or another, Members of the Administration, including Parliamentary Under-Secretaries and Whips, have become even more numerous than they used to be.

Lord Myners Portrait Lord Myners
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Perhaps I may suggest to your Lordships’ House that the number of Ministers receiving salaries is limited by statute, not the number of Ministers.

Parliamentary Voting System and Constituencies Bill

Lord Myners Excerpts
Monday 15th November 2010

(13 years, 5 months ago)

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Lord Myners Portrait Lord Myners
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My Lords—

Lord Elton Portrait Lord Elton
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My Lords, I think that it is our turn. I wonder whether the Front Benches consider that we have now heard as much as we are likely to take in that is relevant and that we should now divide.

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Lord Strathclyde Portrait Lord Strathclyde
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My Lords, if the Examiners decided that the Bill was not hybrid, that still could not stop 400 constituency amendments being tabled.

Lord Myners Portrait Lord Myners
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My Lords, it seems to me—

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Order!

G20

Lord Myners Excerpts
Monday 15th November 2010

(13 years, 5 months ago)

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Lord Strathclyde Portrait Lord Strathclyde
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My Lords, I welcome the noble Lord’s words and his reporting back of his own visit to China. He is right that there are elements of the protocols on climate change on which we have to go a great deal further. As the premier economic forum, the G20 is right in recognising the importance of low-carbon growth in preventing climate change and creating a sustainable global economy and in sending positive signals ahead of Cancun, but the meeting at Cancun is the key forum for negotiation on climate change. None of us should have false hopes about what is going to happen at Cancun. Immensely difficult decisions need to be taken. It is only a few weeks away now, and we shall have to wait for the results of that to see whether we have succeeded in our objectives.

Lord Myners Portrait Lord Myners
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I welcome many of the Prime Minister’s comments, in particular those about protectionism and rolling back those areas where protectionist measures have already been taken. I take great encouragement from the Prime Minister’s positive statements about the Doha round and the need to address imbalances. On both sides of the House we accept the need for growth in global economic activity, although on this side we believe that the policies the Government are currently pursuing are alien to good growth outcomes.

However, the Prime Minister overstates the achievement in the banking industry. I express my grave concern at the lack of real progress. The Prime Minister referred to Basel III being completed within 18 months. With all respect to the Minister, nothing has been achieved under Basel III, which is not due to be implemented until 2018 and, in some respects, 2023. Not a single bank has had to increase its capital as a result of Basel III. We have seen no material progress on the identification and agreement of process for globally systemically important financial institutions. We have seen no progress on the agreement of a net stable funding ratio. These are all critical to creating a more stable banking system. Is the noble Lord pleased with the progress that has been made under Basel III? If so, could he identify the tangible things that have happened as a result of it?

Lord Strathclyde Portrait Lord Strathclyde
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My Lords, I very much welcome the early remarks of the noble Lord, Lord Myners. He was agreeing with me so, naturally, I agree with him. The right approach is about growth, getting the deficit under control, international trade and fighting the battle against protectionism—a path other countries would like us to head down. The noble Lord can easily make the case that it is still too early to decide whether Basel III has been a success. It is true that there is a long transition period between 2013 and 2019, when it needs to be put in place.

Having said that, a significant strengthening of capital and liquidity requirements and a binding constraint on leverage are essential to strengthening financial stability. Therefore, we welcome the G20’s endorsement of the Basel reforms to global capital and liquidity standards. Full, consistent and non-discriminatory implementation of these new international standards is now crucial to minimise the risks of regulatory arbitrage and the fragmentation of international financial markets. The UK, as the noble Lord well knows, has consistently argued for strengthened international financial regulation to address the failings that were laid bare by the crisis. The G20 has agreed major reforms to international financial regulations and we aim to move these forward. The key to this is to maintain the momentum that has come from Basel and the G20.