Financial Statement and Budget Report

Debate between Chris Bryant and Jeremy Hunt
Wednesday 15th March 2023

(1 year, 1 month ago)

Commons Chamber
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Jeremy Hunt Portrait Jeremy Hunt
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Today I am providing a £63 million fund to keep our public leisure centres and pools afloat. I have also heard from the charities Minister, my right hon. Friend the Member for Pudsey (Stuart Andrew), and his Secretary of State, my right hon. and learned Friend the Member for South East Cambridgeshire (Lucy Frazer), about the brilliant work that third sector organisations are doing to help people struggling in tough times. They can often reach people in need that central or local government cannot, so I will give his Department £100 million to support thousands of local charities and community organisations to do their fantastic work.

I also note the personal courage of one of my predecessors, my right hon. Friend the Member for Bromsgrove (Sajid Javid), in talking about the tragedy of suicide and the importance of preventing it. We already invest a lot in this area, but I will assign an extra £10 million over the next two years—nearly a million pounds for every year that he has been in Parliament—to help the voluntary sector play an even bigger role in stopping more families experiencing that intolerable heartache.

My penultimate cost of living measure concerns one of our other most treasured community institutions, the great British pub. In December, I extended the alcohol duty freeze until 1 August, after which duties will go up in line with inflation in the usual way. But today I will do something that was not possible when we were in the EU and significantly increase the generosity of draught relief, so that from 1 August the duty on draught products in pubs will be up to 11p lower than the duty in supermarkets. It is a differential a Conservative Government will maintain as part of a new Brexit pubs guarantee. [Hon. Members: “More.”] British ale is warm, but the duty on a pint is frozen. And even better, thanks to the Windsor framework negotiated by my right hon. Friend the Prime Minister, that change will now apply to every pub in Northern Ireland.

Finally, I have heard the representations from my hon. Friend the Member for Stoke-on-Trent North (Jonathan Gullis), my right hon. Friend the Member for Witham (Priti Patel), my hon. Friend the Member for South Thanet (Craig Mackinlay) and The Sun newspaper about the impact on motorists of the planned 11p rise in fuel duty. I notice the party opposite called for a freeze on this duty. Somehow they forgot to tell the British people they have voted against every single fuel duty freeze for the last 12 years. Because inflation remains high, I have decided now is not the right time to uprate fuel duty with inflation or increase the duty, so here is what I am going to do: for a further 12 months I am going to maintain the 5p cut and I am going to freeze fuel duty too. That saves the average driver £100 next year and around £200 since the 5p cut was introduced.

Our energy price guarantee, fuel duty and duty on a pint, all frozen in today’s Budget. That does not just help families: it helps the economy too, because their combined impact reduces CPI inflation by nearly three quarters of a per cent. this year, lowering inflation when it is particularly high.

I now turn to the Prime Minister’s second priority, which is to reduce debt. Here too our plan is on track. Underlying debt is forecast to be 92.4% of GDP next year, then 97.3%, 94.6%, 94.8%, before falling to 94.6% in 2027-28. We are meeting the debt priority. And with a buffer of £6.5 billion, it means we are meeting our fiscal rule to have debt falling as a percentage of GDP by the fifth year of the forecast.

As a proportion of GDP, our debt remains lower than the USA, Canada, France, Italy and Japan and, because of the decisions I take today and the improved outlook for public finances, underlying debt in five years’ time is now forecast to be nearly 3 percentage points of GDP lower than it was in the autumn. That means more money for our public services and a lower burden for future generations—deeply held Conservative values which we put into practice today.

At the autumn statement, I also announced that public sector net borrowing must be below 3% of GDP over the same period. The OBR confirmed today that we are meeting that rule, with a buffer of £39.2 billion. In fact our deficit falls in every single year of the forecast, with borrowing falling from 5.1% of GDP in ’23-24, to 3.2%, to 2.8%, to 2.2% and 1.7% in ’27-28.

Even better, in the final two years of the forecast, our current budget is in surplus, meaning we only borrow for investment and not for day-to-day spending. Day-to-day departmental spending will grow at 1% a year on average in real terms after ’24-25 until the end of the forecast period. Capital plans are maintained at the same level set at the autumn statement. We will uprate tobacco duty and we will freeze the gross gaming duty yield bands. We are also maintaining the starting rate for savings and ISA subscription limits, and we will bring forward a range of measures to tackle promoters of tax avoidance schemes. Taken together, today’s measures lead to a slightly lower overall tax burden for the rest of the Parliament compared with the OBR’s autumn forecast. Other parties run out of money, but a Conservative Government are reducing borrowing and improving our public finances. By doing so, we are on track to halve inflation, get debt falling and grow our economy, which I turn to next.

Growth is the Prime Minister’s third priority and the focus of today’s Budget. Thirteen years ago, we inherited an economy that had crashed—[Interruption.] Opposition Members might want to listen to this, because since 2010, we have grown more than major countries like France, Italy or Japan, and about the same as Europe’s largest economy, Germany. We have halved unemployment, we have cut inequality and we have reduced the number of workless households by 1 million.

For the first time ever, because of rises in tax thresholds made by successive Conservative Chancellors, people in our country can earn £1,000 a month without paying a penny of tax or national insurance. The Labour party opposed those tax reductions, but they have helped lift 2 million people out of absolute poverty, after housing costs, including 400,000 pensioners and 500,000 children. That averages 80 pensioners and 100 children lifted out of poverty for every single day we have been in office.

Today, we face the future with extraordinary potential. The World Bank said that of all big European countries, we are the best place to do business. Global chief executives say that apart from America and China, we are the best country to invest in. We became the second country in the world to have a stock of foreign direct investment worth $2 trillion, and London has just pipped New York and 53 other global cities to be the best place in the world for female entrepreneurs.

Declinists are wrong about our country for another reason, which is our strength in new industries that will shape this century. Over the last 13 years, under Conservative leadership, we have become the world’s third trillion-dollar tech economy after the US and China. We have built the largest life sciences sector in Europe, producing a covid vaccine that saved 6 million lives and a treatment that saved 1 million more.

Our film and TV industry has become Europe’s largest, with our creative industries growing at twice the rate of the economy; our advanced manufacturing industries produce around half the world’s large civil aircraft wings; and thanks to a clean energy miracle, we have become a world leader in offshore wind. Other parties talk about a green energy revolution, so I gently remind them that nearly 90% of our solar power was installed in the last 13 years—showing it is the Conservatives who fix the roof when the sun is shining.

Let us turn now to what the OBR says about our growth prospects. In November, it expected that the UK economy would enter recession in 2022 and contract by 1.4% in 2023. That left many families feeling concerned about the future. But today, the OBR forecasts we will not enter a recession at all this year, with a contraction of just 0.2%. After this year, the UK economy will grow in every single year of the forecast period, by 1.8% in 2024, then 2.5%, 2.1%, and 1.9% in 2027. It also expects the unemployment rate to rise by less than one percentage point to 4.4%, with 170,000 fewer people out of work compared with its autumn forecast.

That return to growth has direct consequences for our role on the global stage. I am proud that we are giving the brave people of Ukraine more military support than anyone else in Europe. On Monday, we were able to go even further, with my right hon. Friend the Prime Minister announcing a £5 billion package of funding for the Ministry of Defence—an additional £2 billion next year and £3 billion the year after. Today, following representations from our persuasive Defence Secretary, I confirm that we will add a total of £11 billion to our defence budget over the next five years, and it will be nearly 2.25% of GDP by 2025.We were the first large European country to commit to 2% of GDP for defence, and we will now raise that to 2.5% as soon as fiscal and economic circumstances allow.

Following representations from the equally persuasive Minister for Veterans’ Affairs, I am today also increasing support for our brave ex-servicemen and women. We will provide a package worth over £30 million to increase the capacity of the Office for Veterans’ Affairs, support veterans with injuries returning from their service and increase the availability of veteran housing.

But to be Europe’s biggest defender of democracy, we must build Europe’s most dynamic economy. That means tackling our long-standing productivity issues, including two in particular which I address today: lower business investment and higher economic inactivity than other countries. Too often companies struggle to recruit, and even when they do, output per employee is lower. So today I set out the four pillars of our industrial strategy to address these issues. As colleagues will know from my Bloomberg speech, they all conveniently start with the letter E: enterprise, employment, education and everywhere. I start with everywhere—[Interruption.] Well, Opposition Members may not want to level up growth across the United Kingdom, but we do.

This Government were elected on a mandate to level up. We have already allocated nearly £4 billion to over 200 projects across the country through the first two rounds of the levelling-up fund. A third round will follow. Since we started focusing on levelling up, 70% of the growth in salaried jobs has come from outside London and the south-east, and today we take further steps. Canary Wharf and the Liverpool docks were two outstanding regeneration projects that happened under a previous Conservative Government. I pay tribute to Lord Heseltine for making them happen, because they transformed the lives of thousands of people. They showed what is possible when entrepreneurs, Government and local communities come together.

So today I announce that we will deliver 12 new investment zones—12 potential Canary Wharfs. In England, we have identified the following areas as having the potential to host one: west midlands, Greater Manchester, the north-east, South Yorkshire, West Yorkshire, east midlands, Teesside and, once again, Liverpool. There will also be at least one in each of Scotland, Wales and Northern Ireland. To be chosen, each area must identify a location where it can offer a bold and imaginative partnership between local government and a university or research institute in a way that catalyses new innovation clusters. If the application is successful, it will have access to £80 million of support for a range of interventions, including skills, infrastructure, tax reliefs and business rates retention.

Working together with our formidable Levelling Up Secretary, I also want to give some further support to levelling up areas under the E of everywhere. First, I will invest over £200 million in high-quality local regeneration projects across England, including the regeneration of Tipton town centre and the Marsden New Mills redevelopment scheme. I am also announcing a further £161 million for regeneration projects in mayoral combined authorities and the Greater London Authority, and I will make over £400 million available for new levelling-up partnerships in areas that include Redcar and Cleveland, Blackburn, Oldham, Rochdale, Mansfield, south Tyneside and Bassetlaw.

Having listened to the case for better local transport infrastructure from many hon. Members, I can announce a second round of the city region sustainable transport settlements, allocating £8.8 billion over the next five-year funding period. Following a wet then cold winter, I have also received particularly strong representations from my hon. Friends the Members for North Devon (Selaine Saxby), for South West Devon (Sir Gary Streeter) and for Newton Abbot (Anne Marie Morris), as well as Councillor Peter Martin from my own constituency, about the curse of potholes. The spending review allocated £500 million every year to the potholes fund, but today I have decided to increase that fund by a further £200 million next year to help local communities tackle this problem.

For Scotland, Wales and Northern Ireland, this Budget delivers not only a new investment zone but an additional £320 million for the Scottish Government, £180 million for the Welsh Government and £130 million for the Northern Ireland Executive as a result of Barnett consequentials. On top of that, in Scotland I can announce up to £8.6 million of targeted funding for the Edinburgh festivals as well as £1.5 million funding to repair the Cloddach bridge. I will provide £20 million of funding for the Welsh Government to restore the Holyhead breakwater, and in Northern Ireland I am allocating up to £3 million to extend the tackling paramilitarism programme and up to £40 million to extend further and higher education participation.

But for levelling up to truly succeed, we need to unleash the civic entrepreneurship that is only possible when elected local leaders are able to fund and deliver solutions to their own challenges. That means giving them responsibility for local economic growth and the benefit from the upside when it happens. So this Government will consult on transferring responsibilities for local economic development from local enterprise partnerships to local authorities from April 2024.

I will also boost Mayors’ financial autonomy by agreeing multi-year single settlements for the west midlands and the Greater Manchester Combined Authority in the next spending review, something I intend to roll out for all mayoral areas over time. I have also agreed a new long-term commitment so that they can retain 100% of their business rates, something I also hope to expand to other areas. Investment zones, regeneration projects, levelling-up partnerships, local transport infrastructure and business rates retention—more control for local communities over their economic destiny, so we will level up wealth and opportunity everywhere.

Today’s priority is the Prime Minister’s promise to grow the economy. We have talked about making that growth happen everywhere, so I now move on to my second E—enterprise. We need to be—[Interruption.] Well, this has never been something of interest to the Labour party, but the Conservatives will not rest until we are Europe’s most dynamic enterprise economy, and under a Conservative Government that is exactly what has been happening. Since 2010, we have 1 million more businesses in the UK—a bigger increase than Germany, France or Italy—but I want another million and another million after that. So today I bring forward enterprise measures in these three areas: to lower business taxes, to reduce energy costs and to support our growth industries.

Let us start with business taxation. Conservatives know the importance of a competitive tax regime. We already have lower levels of business taxation than France, Germany, Italy or Japan, but I want us to have the most pro-business, pro-enterprise tax regime anywhere. Even after the corporation tax rise this April, we will have the lowest headline rate in the G7—lower than any period under the last Labour Government. Only 10% of companies will pay the full 25% rate, but even at 19% our corporation tax did not incentivise investment as effectively as countries with higher headline rates. The result is less capital investment and lower productivity than countries like France and Germany.

We have already taken measures to address this. For larger businesses, we had the super deduction, introduced by my right hon. Friend the Prime Minister, which ends this month. For smaller businesses, we increased the annual investment allowance to £1 million, meaning 99% of all businesses can deduct the full value of all their investment from that year’s taxable profits. If the super deduction was allowed to end without a replacement, we would have fallen down the international league tables on tax competitiveness and damaged growth. As a Conservative, I could not allow that to happen.

Today, I can announce that we will introduce a new policy of full capital expensing for the next three years, with an intention to make it permanent as soon as we can responsibly do so. That means that every single pound a company invests in IT equipment, plant or machinery can be deducted in full and immediately from taxable profits. It is a corporation tax cut worth an average of £9 billion a year for every year that it is in place, and its impact on the economy will be huge. The OBR says that it will increase business investment by 3% for every year that it is in place. This decision makes us the only major European country with full expensing and gives us the joint most generous capital allowance regime of any advanced economy.

I understand that the Labour party is reviewing business taxes. Let me save it the bother. It puts them up, and we cut them.

I also want to make our taxes more competitive in our life science and creative industry sectors. In the autumn, I said I would return with a more robust research and development tax credit scheme for smaller research-intensive companies. Today, I am introducing an enhanced credit which means that if a qualifying small or medium-sized business spends 40% or more of its total expenditure on R&D, it will be able to claim a credit worth £27 for every £100 that it spends. That means an eligible cancer drug company spending £2 million on R&D will receive over £500,000 to help it to develop breakthrough treatments. That is a £1.8 billion package of support helping 20,000 cutting-edge companies who, day by day, are turning Britain into a science superpower.

The Government’s audio-visual tax reliefs have helped to make our film and TV industry the biggest in Europe. Only last month, Pinewood announced an expansion which will bring another 8,000 jobs to the UK. To give even more momentum to this critical sector, I will introduce an expenditure credit with a rate of 34% for film, high-end television and video games, and 39% for the animation and children’s TV sectors. I will maintain the qualifying threshold for high-end television at £1 million. Because our theatres, orchestras and museums do such a brilliant job at attracting tourists to London and the UK, I will extend for another two years their current 45% and 50% reliefs.

An enterprise economy needs low taxes, but it also needs cheap and reliable energy. We have already announced billions of support to help businesses reduce their energy bills through the energy bills relief scheme and the energy bills discount scheme. We have appointed Dame Alison Rose, chief executive of NatWest, to co-chair our national energy efficiency taskforce and help deliver our national ambition to reduce energy use by 15%. To support her efforts, I will extend the climate change agreement scheme for two years to allow eligible businesses £600 million of tax relief on energy efficiency measures. But the long-term solution is not subsidy, but security. That means investing in domestic sources of energy that fall outside Putin’s or any autocrat’s control. We are world leaders in renewable energy, so today I want to develop another plank of our green economy: carbon capture usage and storage. I am allocating up to £20 billion of support for the early development of CCUS, starting with projects from our east coast to Merseyside to north Wales, paving the way for CCUS everywhere across the UK as we approach 2050. That will support up to 50,000 jobs, attract private sector investment and help capture 20 to 30 million tonnes of carbon dioxide per year by 2030.

We have increased the proportion of electricity generated from renewables from under 10% when we came into office to nearly 40%, but because the wind does not always blow and the sun does not always shine—even under the Conservatives—we will need another critical source of cheap and reliable energy, and that is nuclear. There have been no more powerful advocates for this than my hon. Friends the Members for Ynys Môn (Virginia Crosbie), for Copeland (Trudy Harrison), for Hartlepool (Jill Mortimer) and for Workington (Mark Jenkinson). They rightly say that increasing nuclear capacity is vital to meet our net zero obligations. To encourage private sector investment into our nuclear programme, I today confirm that, subject to consultation, nuclear power will be classed as environmentally sustainable in our green taxonomy, giving it access to the same investment incentives as renewable energy.

Alongside that will come more public investment. In the autumn statement, I announced the first state-financed investment in nuclear for a generation, a £700 million investment in Sizewell C. Today, I can announce two further commitments to deliver our nuclear ambitions. First, following representations from our energetic Energy Security Secretary, I am announcing the launch of Great British Nuclear, which will bring down costs and provide opportunities across the nuclear supply chain to help provide one quarter of our electricity by 2050. [Interruption.] It is so good to hear that the Labour party is in favour of nuclear energy. [Interruption.] It is just a shame that it never did any. Secondly, I am launching the first competition for small modular reactors. It will be completed by the end of this year and if demonstrated as viable we will co-fund this exciting new technology.

Finally, under the E of enterprise, I come to our innovation economy: a central area of national competitive advantage for the United Kingdom. Over the weekend, I worked night and day with the Prime Minister and the Governor of the Bank of England to protect the deposits of thousands of our most cutting-edge companies. We successfully secured the sale of the UK arm of Silicon Valley Bank to HSBC, so the future of those companies is now safe in the hands of Europe’s biggest and one of its most creditworthy banks. But those events show that we need to build a larger, more diverse financing system, where the benefits of investment in high-growth firms are available to more investors. I will return in the autumn statement with a plan to deliver that. It will include measures to unlock productive investment from defined contribution pension funds and other sources, make the London Stock Exchange a more attractive place to list, and complete our response to the challenges created by the US Inflation Reduction Act.

When it comes to our innovation industries, however, I want to make progress on two areas today. Nigel Lawson made the City of London one of the world’s top financial centres by competitive deregulation. With our Brexit autonomy, we can do the same for our high-growth sectors. Today, I want to reform the regulations around medicines and medical technologies. We are lucky to have, in the Medicines and Healthcare products Regulatory Agency, one of the most respected drugs regulators in the world—indeed, the very first anywhere to license a covid vaccine. From 2024, it will move to a different model, which will allow rapid, often near-automatic sign-off for medicines and technologies already approved by trusted regulators in other parts of the world such as the United States, Europe and Japan. At the same time, it will set up a swift new approval process for the most cutting-edge medicines and devices to ensure that the UK becomes a global centre for their development. With an extra £10 million of funding over the next two years, they will put in place the quickest, simplest regulatory approval in the world for companies seeking rapid market access. We are proud of the life science sector, which received more inward investment than any in Europe last year. Today’s change will make the UK an even more exciting place to invest, using our Brexit freedoms and speeding up access for NHS patients to the very newest drugs.

Today, with our talented Science, Innovation and Technology Secretary, I also take measures to strengthen our position in artificial intelligence, where the UK hosts one third of all European companies. I am accepting all nine of the digital technology recommendations made by Sir Patrick Vallance in the review that I asked him to do in the autumn statement. I can report to the House that we will launch an AI sandbox to trial new, faster approaches to help innovators get cutting-edge products to market. We will work at pace with the Intellectual Property Office to provide clarity on IP rules so that generative AI companies can access the material they need. We will ask Sir Patrick’s successor, Dame Angela McLean, to report before the summer on options around the growth duty for regulators.

Because AI needs computing horsepower, I today commit around £900 million of funding to implement the recommendations of the independent “Future of Compute” review for an exascale computer. The power needed by AI’s complex algorithms can also be provided by quantum computing, so today we publish a quantum strategy, which will set out our vision to be a world-leading quantum-enabled economy by 2033, with a research and innovation programme totalling £2.5 billion.

I also want to encourage the best AI research to happen in the UK, so will award a prize of £1 million every year for the next 10 years to the person or team that does the most groundbreaking British AI research. The world’s first stored-program computer was built at the University of Manchester in 1948, and was known as the Manchester baby. Seventy-five years on, the baby has grown up, so I will call this new national AI award the Manchester prize in its honour. We want the UK to be the best place in Europe for companies to locate, invest and grow, so today’s enterprise measures strengthen our technology and life science sectors, invest in energy security and—for three years, but I hope permanently—cut corporation tax by £9 billion a year, to give us the best investment incentives of any advanced economy.

An enterprise economy can only grow if it can hire the people it needs, which brings me to my third pillar after everywhere and enterprise. [Interruption.] I said it was a growth budget. We are talking about the E of employment. I am going to talk about a difficult topic for the Labour party. Brexit was a decision by the British people to change our economic model. In that historic vote, our country decided to move from a model based on unlimited low-skill migration to one based on high wages and high skills. Today, we show how we will deliver that, with a major set of reforms. The OBR says that it is the biggest positive supply-side intervention that it has ever recognised in its forecast.

We have around 1 million vacancies in the economy but, excluding students, more than 7 million adults of working age are not in work. That is a potential pool of seven people for every vacancy. Conservatives believe that work is a virtue. We agree with the road haulage king Eddie Stobart, who said:

“The only place success comes before work is the dictionary.”

Today, I bring forward reforms to remove the barriers that stop people who want to work from doing so. I start with over 2 million people who are inactive due to a disability or long-term sickness. Thanks to the reforms courageously introduced by my right hon. Friend the Member for Chingford and Woodford Green (Sir Iain Duncan Smith), the number of disabled people in work has risen by 2 million since 2013. But even after that, we could fill half the vacancies in the economy with people who say that they would like to work, despite being inactive due to sickness or disability. With Zoom, Teams and new working models that make it easier to work from home, that is possible now more than ever.

For that reason, the ever-diligent Work and Pensions Secretary today takes the next step in his groundbreaking work on tackling economic inactivity. I thank him for that, and today we publish a White Paper on disability benefits reform. It is the biggest change to our welfare system in a decade. His plans will abolish the work capability assessment in Great Britain and will separate benefit entitlement from an individual’s ability to work. As a result, disabled benefit claimants will always be able to seek work without fear of losing financial support.

Today, I am going further by announcing that, after listening to representations from the Centre for Social Justice and others, in England and Wales we will fund a new programme called universal support. This is a new, voluntary employment scheme for disabled people, where the Government will spend up to £4,000 a person to help them find appropriate jobs and put in place the support that they need. It will fund 50,000 places every single year.

We also want to help those who are forced to leave work because of a health condition such as back pain or a mental health issue. We should give them support before they end up leaving their job, so working with our Health Secretary, I am also announcing a £400-million plan to increase the availability of mental health and musculoskeletal resources, and expand the individual placement and support scheme. Because occupational health provided by employers has a key role to play, I will also bring forward two new consultations on how to improve its availability and double the funding for the small company subsidy pilot.

Another group that deserves particular attention is children in care. They, too, should be given all possible help to make a normal working life possible when they reach adulthood. Often, they depend on foster families, who do a brilliant job, so today I am nearly doubling the qualifying care relief threshold to £18,140 which will give a tax cut to a qualifying carer worth an average of £450 a year. I will also increase the funding that we provide to the Staying Close programme by 50%, to help more care leavers into employment, and I will support young people with special educational needs and disabilities with a £3-million pilot expansion of the Department for Education’s supported internship programme, to help those people to transition from education into the workplace. No civilised society can ignore the contribution that can be made by those with challenging family circumstances, a long-term illness or a disability, so today we remove the barriers that we can, with reforms that strengthen our society as well as our economy.

The next set of employment reforms affects those on universal credit without a health condition, who are looking for work or on low earnings. There are more than 2 million jobseekers in this group—more than enough to fill every vacancy in the economy. Independence is always better than dependence. [Interruption.] With some exceptions, Madam Deputy Speaker. That is why a Conservative Government believe that those who can work, should. Sanctions will be applied more rigorously to those who fail to meet strict work search requirements or choose not to take up a reasonable job offer. For those working low hours, we will increase the administrative earnings threshold from the equivalent of 15 hours to 18 hours at national living wage for an individual claimant, meaning that anyone working below that level will receive more work coach support, alongside a more intensive conditionality regime.

The next group of workers I want to support are those aged over 50. My younger officials have termed these people “older” workers, although as a 56-year-old I prefer the term “experienced”. Fully 3.5 million people of pre-retirement age over 50 are not part of the labour force—an increase of 320,000 since before the pandemic. We now have the 23rd highest inactivity rate for over 55s in the OECD. If we matched the rate of Sweden, we would add more than 1 million people to our national labour force.

Madam Deputy Speaker, I say this not to flatter you, but older people are the most skilled and experienced people we have. [Hon. Members: “Oh!”] No country can thrive if it turns its back on such a wealth of talent and ability. But for too many, turning 50 is a moment of anxiety about the cliff edge of retirement rather than a moment of anticipation about another two decades of fulfilment. I know this myself. After I turned 50, I was relegated to the Back Benches and planned for a quiet life, but instead I decided to set an example by embarking on a new career in finance.

Jeremy Hunt Portrait Jeremy Hunt
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It’s going well, thank you. So today I take three steps to make it easier for those who wish to work longer to do so.

First, we will increase the number of people who get the best possible financial, health and career guidance ahead of retirement by enhancing the Department for Work and Pensions’ excellent mid-life MOT strategy. It will also increase by fivefold the number of 50-plus universal credit claimants who receive mid-life MOTs from 8,000 to 40,000 a year.

Secondly, with the Secretary of State for Education, my right hon. Friend the Member for Chichester (Gillian Keegan), who has a deep personal commitment to this area, we will introduce a new kind of apprenticeship, targeted at the over 50s who want to return to work. They will be called returnerships and operate alongside skills boot camps and sector-based work academies. They will bring together our existing skills programmes to make them more appealing for older workers, focusing on flexibility and previous experience to reduce training length.

Finally, I have listened to the concerns of many senior NHS clinicians, who say unpredictable pension tax charges are making them leave the NHS just when they are needed most. The NHS is our biggest employer, and we will shortly publish the long-term workforce plan I promised in the autumn statement. But ahead of that, I do not want any doctor to retire early because of the way pension taxes work. It is an issue I have discussed not just with the current Secretary of State for Health and Social Care, my right hon. Friend the Member for North East Cambridgeshire (Steve Barclay), but a former Health Secretary who kindly took a break from WhatsApping his colleagues to consider it.

As Chancellor, I have realised the issue goes wider than doctors. No one should be pushed out of the workforce for tax reasons. So today I will increase the pensions annual tax-free allowance by 50%, from £40,000 to £60,000. Some have also asked me to increase the lifetime allowance from its £1 million limit. But I have decided not to do that. Instead I will go further and abolish the lifetime allowance altogether. It is a pension tax reform that will stop over 80% of NHS doctors from receiving a tax charge, incentivise our most experienced and productive workers to stay in work for longer, and simplify our tax system, taking thousands of people out of the complexity of pension tax. [Interruption.]

Autumn Statement

Debate between Chris Bryant and Jeremy Hunt
Thursday 17th November 2022

(1 year, 5 months ago)

Commons Chamber
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Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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That was a bit of a surprise, Madam Deputy Speaker. I do not think that you carried the House there.

This is really grim. The public finances are in a really difficult situation, and even more importantly the OBR figures show that disposable income for households will fall after what the Chancellor has done today by 7% over the next two years. Will he confirm that that is the biggest fall in our history? That means families not being able to afford things, and that is, in the end, at the doorstep of No. 10, is it not?

Jeremy Hunt Portrait Jeremy Hunt
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The first part of what the hon. Member said is broadly correct. There will be a very big fall—[Interruption.] Would Members like me to answer the question or not? There will be a big fall in disposable income, but the OBR says that the measures that I took today mitigate that, reducing the effect by around 25%. That is very important, but to say that somehow this has nothing to do with a global pandemic and a war in Ukraine—

Chris Bryant Portrait Chris Bryant
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Did I say that?

Jeremy Hunt Portrait Jeremy Hunt
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Yes. The hon. Member said it was at the doorstep of No. 10. I think that is to ignore the reality staring him in the face.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Tuesday 15th November 2022

(1 year, 5 months ago)

Commons Chamber
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Jeremy Hunt Portrait Jeremy Hunt
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What the public know is that unemployment is the lowest for nearly half a century under a Conservative Government.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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Energy inflation and food inflation are already making the finances of schools and local authorities almost unsustainable, with many in real fear of going bust in the next few months. May I urge the Chancellor, as he is thinking about Thursday, not to push this all down on to council tax, because many of the poorest areas of the country have the highest level of need and the fewest people who can afford to make additional contributions? So it would be entirely counterproductive to do that, and the ratchet effect could make local authorities even more unsustainable.

Economic Update

Debate between Chris Bryant and Jeremy Hunt
Monday 17th October 2022

(1 year, 6 months ago)

Commons Chamber
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Jeremy Hunt Portrait Jeremy Hunt
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I absolutely do, and I think that there are many economists, such as Paul Johnson, who would say that if we really want the productivity, levels of wealth and prosperity of places such as Germany and Singapore, the skills gap is the biggest gap that we have. It is scandalous that for decades Governments from all parts of the House have not been able to deal with the fact that about 100,000 people leave school every year unable to read. These are important issues, but I want to be honest: this is not something that the Government or I can address in the next two weeks, but it is absolutely something that we will have to come back to.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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For all the hand-wringing and soft soap, I am afraid that I do not think that this Chancellor is any better than the last one. [Interruption.] Well, he has been present at all the failures over the past 12 years: the failure to invest in the NHS; the failure to make sure that we had personal protective equipment in time for a pandemic; the failure to deal properly with the invasion of Ukraine and the annexation of Crimea. In all those things, he has been at the scene of the crime. The biggest problem is that, as a result of 12 years of Tory economics, we will have the highest tax take in our history and still the highest borrowing in our history and probably the largest tax cuts in our history. Why is this the only major economy in the world that has not yet grown to the level that it occupied before the pandemic?

Jeremy Hunt Portrait Jeremy Hunt
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I have a lot of respect for the hon. Gentleman as a great parliamentarian, but will he allow me to say that there is not really a polite word to describe the nonsense that he has just uttered? We inherited the worst financial crisis since the second world war from his party, and since then, we have become the third-fastest growing country in the G7. He talked about the NHS, which had a £20 billion increase in funding on my watch—40,000 more doctors, nurses and other clinicians—and there is more to come if we take the difficult decisions to grow our economy that his party always opposes.

Situation in the Gulf

Debate between Chris Bryant and Jeremy Hunt
Monday 22nd July 2019

(4 years, 9 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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I am very happy to do that. We have a memorandum of understanding with the Kingdom of Bahrain, and we are incredibly grateful for the support that Bahrain gives us in hosting HMS Jufair. In fact, that is the first permanent naval presence we have had in the middle east since 1935, so opening it last year was a very big step.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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I, too, warmly commend the work of the right hon. Member for Rutland and Melton (Sir Alan Duncan), although I think it is a bit over the top to resign from office just to avoid appearing before the Foreign Affairs Committee tomorrow afternoon.

On a serious point, the UK’s position on Iran has always been subtly different from that of the United States of America, even though it is our closest ally. That is partly because of our historical relations with ancient Persia, but, more importantly, even on the night that George Bush declared Iran a member of the axis of evil, we were actually trying to send an ambassador to Tehran for the first time for many years, and the American position ended up scuppering that. Just how can we make sure, in the coming months, that while we maintain our strong alliance with the United States of America, we still maintain our independence of thought in relation to Iran?

Jeremy Hunt Portrait Mr Hunt
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That is a very fair question. The truth is that we have to do that by being very frank with the Trump Administration when we disagree with them and about why we disagree with them. I think that, under the surface, the positions are a bit closer than they might look in the simple sense that I have actually had a number of conversations with President Trump himself about his concerns about what would happen if that region became nuclearised. I do not think the United States is indifferent to the nuclear threat in that region, and it has started to talk a lot about that recently. We use our influence, I suppose in private circles, as much as we can to try to get a meeting of minds.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Tuesday 25th June 2019

(4 years, 10 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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Absolutely. I think that what happens in Hong Kong is, for us all, a litmus test of the direction of travel that China goes in, because we had an internationally binding agreement signed in 1984 that Britain feels very, very strongly about. It is, as my hon. Friend rightly says, at the heart of Hong Kong’s economic success as well as its political freedom.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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Is not the real problem that although the Chief Executive may not directly take her orders from Beijing, she often looks over her shoulder to find out what the Communist party of China is saying? Is not the fundamental truth that in the end one can repress human freedom for a while but one cannot finally quash it?

Jeremy Hunt Portrait Mr Hunt
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The hon. Gentleman puts it beautifully; he is absolutely right. Whatever the pressure that may or may not be exerted on the Chief Executive of Hong Kong, what works in Hong Kong at the moment is that the judiciary is independent, and that must not change.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Tuesday 30th October 2018

(5 years, 6 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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My hon. Friend is absolutely right. If we looked at a map of Europe showing all the places where there have been Russian-inspired cyber-attacks, we would see it is a very busy map indeed. We need to create a new international red line that says these cyber-attacks are unacceptable, which is why it is very positive news that, on 15 October, the EU agreed to set up a sanctions regime for cyber-attacks, but that is just the first of a number of steps.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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We need to keep up the pressure on Russia. There is no point in just referring to what we have already done. When will the Government bring forward their first list of people caught by the new Magnitsky legislation in this country? Would it not be a good idea for us now to include those who are gangsters, rather than just those who have abused human rights?

Jeremy Hunt Portrait Mr Hunt
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The hon. Gentleman is absolutely right. As he knows, the Sanctions and Anti-Money Laundering Act 2018 only comes into effect after Brexit, because it depends on us taking trade measures, which is what has to happen. Ahead of that, however, we are talking to the EU about whether it should introduce a sanctions regime for human rights abuses, and that is relevant not just to Russia but to many countries.

Francis Report

Debate between Chris Bryant and Jeremy Hunt
Wednesday 5th March 2014

(10 years, 2 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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My hon. Friend is, as ever, absolutely right on this issue, which he has spoken about a great deal. The use of data allows inspections to be meaningful in a way that has not been possible before. We have to ensure that the public are happy that protections are in place on how their data are used, but at the same time we must be bold in using those data, because that saves a lot of lives.

The inquiry condemned the way in which complaints were handled in Mid Staffs. Following the excellent work carried out by the right hon. Member for Cynon Valley (Ann Clwyd) and Professor Tricia Hart, all hospitals will now have to demonstrate to inspectors that they treat complaints as more than just a process and are actively using them to learn and improve.

Doctors have responded to the new climate of transparency by agreeing to a world first: to make England the first country anywhere that publishes surgery outcomes by consultant for 10 major specialties. More specialties will follow.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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This point does not quite follow on from what the Secretary of State is saying, but I spent all day yesterday with rugby players and neuropathologists talking about chronic traumatic encephalopathy, which often follows rugby injuries. One big difficulty is that concussion is regularly misdiagnosed, or completely and utterly missed, throughout the whole NHS, and that sports bodies are not taking the matter seriously. Will he seriously consider changing the whole way in which the NHS engages with sports and with that issue?

Jeremy Hunt Portrait Mr Hunt
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As the hon. Gentleman knows, I used to be responsible for sport in this country, so I take a great deal of interest in the issue. I will certainly consider his point. We all remember what happened to Fabrice Muamba, and sport has a role to play in raising awareness of conditions that people might not otherwise be aware of.

Accident and Emergency Departments

Debate between Chris Bryant and Jeremy Hunt
Tuesday 10th September 2013

(10 years, 7 months ago)

Commons Chamber
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Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Jeremy Hunt Portrait Mr Hunt
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My hon. Friend speaks extremely wisely, as ever. She is right. The reason why the 100 or so hospitals that have not benefited today did not get money is that our assessment is that they have outstanding leadership and will be able to cope. That is not, however, to minimise the pressure they will be under or the fact that it will be extremely hard work. I pay tribute to them because, as good hospitals, they often have to deal with more people wanting to go through their doors than through those of other hospitals with less good reputations. We need to support everyone and my hon. Friend is right to say so.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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One pressure that applies equally in Wales and in England is that on the recruitment of consultants for A and E. Last year, Welsh health boards advertised for 14 A and E consultants but managed to appoint only one, and that was after a nine-month interregnum. May I urge the Secretary of State—this has been impressed on me many times by those who work in the NHS—to speak to the Minister for Immigration, because many trusts and hospitals are saying that the new operation of the immigration rules makes it impossible to recruit from overseas, even from countries that deliberately train for the international market?

Jeremy Hunt Portrait Mr Hunt
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We have designed the immigration rules so that they are flexible enough to make sure that NHS hospitals can recruit trained staff where they are needed and where we cannot find people with those skills in the UK. I say to the hon. Gentleman that although some challenges may be the same in England and Wales, one challenge is very different in Wales, because Labour there decided to cut the budget by 8%, which has made life a great deal harder for NHS trusts.

Hospital Mortality Rates

Debate between Chris Bryant and Jeremy Hunt
Tuesday 16th July 2013

(10 years, 9 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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These are precisely the problems that this review is designed to root out. There were problems with long A and E waits as well as with inappropriate medical interventions and poor communication with patients, but I hope my hon. Friend’s constituents will be reassured by the transparency of what is happening today, and the fact that I am making this Government accountable for sorting out those sorts of problems.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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I suspect that in a quieter moment the Secretary of State will not think this statement was his proudest moment. [Interruption.] Well, it seems that he used to be run by Coulson and now he is run by Crosby.

Most voters will be more interested in the future and how we can make sure that people’s lives are protected, so what does the Secretary of State have to say about the fact that fewer people are coming from other countries to work in the NHS? Because of the Government’s immigration policy, there is a real danger that we will have a significant problem in A and E recruitment across the country.

Jeremy Hunt Portrait Mr Hunt
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I struggle to find the link between that question and Sir Bruce Keogh’s report on the 14 hospitals, but as the hon. Gentleman has asked about A and E, and as he is trying to take the moral high ground, perhaps he would explain why he has not been standing up in this House campaigning against Labour’s abysmal record, as it has missed its A and E targets in Wales since 2009.

Accident and Emergency Waiting Times

Debate between Chris Bryant and Jeremy Hunt
Wednesday 5th June 2013

(10 years, 11 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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The hon. Gentleman should listen to this. One reason for the problems in Wales is that Labour cut the NHS budget in Wales by 8%, or £814 million, and cutting the NHS budget is exactly what the shadow Health Secretary wants to do in England—

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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Will the Secretary of State give way to a Welsh MP?

Jeremy Hunt Portrait Mr Hunt
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The hon. Gentleman, as a Welsh MP, might want to listen to this. Both the NHS budget and spending—

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Jeremy Hunt Portrait Mr Hunt
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I shall make some progress, because this gets even worse for Labour.

The shadow Secretary of State wrote to me at the weekend, asking me to relieve pressure on A and E by using the health underspend to put extra money into social care. There is a way of releasing resources into social care, but it is not that, because the underspend he talks of sits largely with NHS trusts and clinical commissioning groups, which are allowed to keep their underspends and roll them over to subsequent years. If we took away that money and put it into social care, we would therefore have to take it away from hospitals, where it is needed most to help tackle pressures in A and E and other places.

Let us look at some of the hospitals that would lose money under Labour’s plans. Wigan and Leigh NHS Foundation Trust, in the right hon. Gentleman’s own constituency, had a £4 million underspend in 2012-13. It would be prevented from using that money to reduce A and E pressures, as would the Royal Cornwall, the Royal United hospital Bath, Nottingham University hospitals—

Chris Bryant Portrait Chris Bryant
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rose—

Jeremy Hunt Portrait Mr Hunt
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I am going to make some progress. The Royal Wolverhampton, East Lancashire, Royal Liverpool and Broadgreen, North Bristol, Coventry and many other hospitals would also be prevented from using the money. So Labour’s solution to the A and E crisis is to cut funding to hospitals—about as logical as wanting to reduce debt by increasing the deficit.

From a Labour party that wants to be a Government in waiting, this is not good enough. It is against a cut in NHS spending that did not happen, but when there is a real cut in Wales it says nothing. It is against hospital reconfigurations in England, where we are hitting the A and E target, yet says nothing about reconfigurations in Wales, where Labour is missing the A and E target. It says it is against reorganisations and it has just proposed its own huge structural reorganisation to merge the health and social care system. Why is that? It is because in the end it is more interested—we have seen this today—in party politics than the right policies. I think we can expect better from someone who used to be a Health Secretary.

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Jeremy Hunt Portrait Mr Hunt
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I shall make some progress.

Labour’s complacency on that issue is revealed as even more shocking when we look at the root causes of pressures on A and E departments, because nearly all of them involve issues that Labour either failed to tackle in office or made a great deal worse—for example, the IT fiasco, so heavily criticised by the National Audit Office. It is completely unacceptable that A and E departments are not able to access, with their consent, people’s GP records. Last year, there were 30,000 wrong prescriptions in the NHS and 11 deaths—something we know would be significantly improved with e-prescribing in hospitals. The Government have addressed that, with a fund that I announced last month and an ambitious programme to make the NHS paperless by 2018, learning from that procurement debacle for which we are now paying the price.

Let us look at other causes. The working time directive, which Labour signed up to, makes the recruitment of A and E staff very much harder.

Chris Bryant Portrait Chris Bryant
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rose—

Jeremy Hunt Portrait Mr Hunt
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I think the hon. Gentleman should listen to this. Professor John Temple described that as having the biggest impact on the emergency and out-of-hours parts of the NHS, which is why the Government are now having to increase recruitment into A and E through the mandate that the Government have set Health Education England. Or there is the total failure—

Health and Social Care

Debate between Chris Bryant and Jeremy Hunt
Monday 13th May 2013

(10 years, 11 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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The point of a cap is not that we expect everyone to have to pay £72,000 towards their care. First, through pension plans and insurance policies people can make provision so that they never have to pay that £72,000. Secondly, as part of the package, we are increasing the threshold, below which the Government help, to £118,000—much higher than it is currently—so that it will be available to help, I think, around 40,000 more people than are currently helped because of the level of the means-testing threshold.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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Will the right hon. Gentleman give way?

Jeremy Hunt Portrait Mr Hunt
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No, I am going to make some progress.

Finally, the values of the NHS—compassionate care and free at the point of need—are its greatest asset, but they open it up to risk of abuse from health tourists coming to this country to exploit that generosity.

Chris Bryant Portrait Chris Bryant
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Will the right hon. Gentleman give way?

Jeremy Hunt Portrait Mr Hunt
- Hansard - - - Excerpts

I am going to make some progress.

Over the summer, we will consult on proposals to make the system fairer and ensure that people who should pay for NHS services do in fact do so. That will also help to ensure that our NHS remains sustainable at a time of tight public finance.

These proposals represent our commitment to ensuring a compassionate, fully integrated and sustainable system of health and social care built entirely around the needs of the patient. They represent a commitment to the NHS and social care system, which lies at the heart of our determination to make Britain the best country in the world to grow old in. [Interruption.]

Immigrants (NHS Treatment)

Debate between Chris Bryant and Jeremy Hunt
Monday 25th March 2013

(11 years, 1 month ago)

Commons Chamber
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Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Jeremy Hunt Portrait Mr Hunt
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We need to deal with all those issues, and they are all failures of the last Government.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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There is a problem with recruitment in the NHS not only in England, but in Wales. Last year, Welsh NHS trusts tried to recruit 32 A and E consultants from the UK, but failed to do so and had to go abroad. Is there not a danger that the rhetoric in which the Government are indulging will put off the talented doctors that the NHS in this country needs?

Jeremy Hunt Portrait Mr Hunt
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We owe a great debt to the many talented doctors, nurses and health care assistants who come from overseas and make our NHS what it is. Nothing in our immigration laws will change that.

Social Care Funding

Debate between Chris Bryant and Jeremy Hunt
Monday 11th February 2013

(11 years, 2 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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My hon. Friend is absolutely right: that is perhaps the biggest remaining issue that we have to face in the NHS and social care system today. There are interesting parts of the country, such as Torbay, where it is happening very effectively, but anything he can do in North Yorkshire to make it happen more speedily and more effectively will be very welcome.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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Mining constituencies have some of the highest percentages of home ownership in the country, so this issue affects them. Further to the question asked by the hon. Member for South Antrim (Dr McCrea), what discussions has the Secretary of State had with the Welsh Assembly, because I presume that there will be a Barnett consequential—money going to Wales as a result of today’s announcement? How much will that be?

Jeremy Hunt Portrait Mr Hunt
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All the Barnett consequential issues are decided by the Treasury, and we will of course comply with them.

Ministerial Code (Culture Secretary)

Debate between Chris Bryant and Jeremy Hunt
Wednesday 13th June 2012

(11 years, 10 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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I will give way in a moment.

Paragraph 1.2.c of the ministerial code, to which the right hon. and learned Lady referred, is very clear. If Ministers make an inadvertent error, they should correct it at the earliest possible opportunity, which I did, not breaking the ministerial code, but acting in accordance with it. I have not very often had to correct things that I have said, but may I remind the right hon. and learned Lady that she had to correct the record in January 2010, May 2009, April 2009, July 2008, July 2007 and November 2003—one of many aspects of this job where she has much more experience than I do.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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I have had to correct the record as well. There is no dishonour in correcting the record. However, what the Minister just referred to was his reply on 7 September, when he said that it was for reasons of cost that he was not able to provide anything more. How much would it have cost him to remember that he had sent a memo to the Prime Minister on the matter, or to have checked his own mobile phone for the text messages that he sent to James Murdoch? He has lied to Parliament. [Interruption.]

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Jeremy Hunt Portrait Mr Hunt
- Hansard - - - Excerpts

It is because I wish to make my case that I want to draw the House’s attention to the very important distinction between inadvertently misleading this House and lying. Lying implies that there is deliberate intent. The hon. Member for Rhondda (Chris Bryant), who has made great play in the press of how he has suffered when inaccurate allegations about him have been bandied about in the press, would, I am sure, not want to associate himself with the comment he has made unless he has any evidence. I am happy to give way to him now if he will show me evidence of any occasion when I have misled Parliament deliberately.

Chris Bryant Portrait Chris Bryant
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Mr Speaker, I very much hope that I will manage to catch your eye later in the debate. I hope that the Secretary of State will stay because I have a great deal of evidence to prove that he has lied to Parliament. That will be the subject not of a point of information now, but of a whole speech.

Jeremy Hunt Portrait Mr Hunt
- Hansard - - - Excerpts

This point is very pertinent, because I am here to respond to any allegations that the hon. Gentleman might make. If he is not prepared to come forward with evidence that I deliberately misled the House, I will have to assume that he does not have such evidence.

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Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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The Secretary of State is a nice man. He is courteous; he is polite; that is not in doubt—but that is not the matter in hand today. It is also perfectly understandable that on certain occasions the House is misled. It is not uncommon for a Minister to say something in the honest belief that what he is saying is true, and for it to turn out not to be true—a distinction that he himself made. That is why there is a means of correcting the record. I did that myself quite recently. I believe that the House sees no dishonour in correcting the record—indeed, quite the reverse: it enhances somebody’s reputation.

The issue, therefore, is the deliberate misleading of Parliament and the requirement, in the words of the code,

“that Ministers give accurate and truthful information to Parliament, correcting any inadvertent error at the earliest opportunity.”

Evidence of not complying with the code can be drawn from the fact that the misinformation provided was emphatic rather than tentative, was repeated, was not corrected when fuller information was available or was calculated to deceive for political advantage. I believe that there is prima facie evidence that all these things apply to the Secretary of State for Culture, Olympics, Media and Sport.

Some facts are not in dispute. First, the Secretary of State was a strong supporter of Sky in general and the bid in particular. Indeed, he wrote to tell the Prime Minister so, he texted James Murdoch so on the very day he was given control of the bid, and he told me so in September 2010. Secondly, James Murdoch knew what the Secretary of State was going to say before Parliament did. Thirdly, Fred Michel is not a clairvoyant; he was given privileged information directly by Adam Smith, the special adviser to the Secretary of State, quite possibly breaking the law. This was not just on one occasion; it was repeated time and again—hundreds of texts, dozens of e-mails and who knows how many phone calls of which we have not yet been informed.

Fourthly, the Secretary of State doubts that

“there’s a minister who worked more closely with a special adviser than I worked with Adam Smith”—

closer than DEFRA special adviser Osborne worked with Douglas Hogg and closer than Treasury special adviser Cameron worked with Norman Lamont. Yet the Secretary of State expects us to believe that he had no idea what his special adviser was up to; no idea that he was colluding with Sky in a way that would have led to an expensive judicial review, which the taxpayer would have had to pay for if the bid had not been scuppered by the phone-hacking revelations. He has been hanging out with News International so much that he even expects us to accept the “one rogue reporter” defence that News International deployed, long after it knew that it was a lie in relation to hacking.

Jeremy Hunt Portrait Mr Jeremy Hunt
- Hansard - - - Excerpts

Let me just correct the hon. Gentleman. It is standard practice for my Department, and indeed other Departments, to let companies know if there is a statement being made in Parliament about them in advance of that statement being made, and that is exactly what Adam Smith was doing, and it was proper that he should do so—I believe in every situation, but we are still looking through the evidence very carefully. Secondly, if, as the hon. Gentleman says, I had a plan—some grand scheme—that was going to deliver BSkyB to News Corp, why would I say that I was going to ask for the opinion of independent regulators, whose advice I have absolutely no control over, and that I was going to publish it at the same time as I published my decision? The reason I did that was because I was setting aside the views I had prior to the bid taking place, and that has been vindicated by every single page of the evidence.

Chris Bryant Portrait Chris Bryant
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I am sorry, but I simply do not believe the Secretary of State, because I believe that he secured precisely the outcome that he wanted to achieve—or that he wanted the Secretary of State for Business, Innovation and Skills to achieve—and that is exactly what he put in the memo to the Prime Minister before he took over the bid. Secondly, in relation to providing information, what is key about—

Jeremy Hunt Portrait Mr Hunt
- Hansard - - - Excerpts

rose

Chris Bryant Portrait Chris Bryant
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If the right hon. Gentleman will wait a moment and just let me finish—[Interruption.] If the Whip could just calm down—

Chris Bryant Portrait Chris Bryant
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I will give way again to the Secretary of State in a moment, but I just want to answer the point about providing information to Sky before it was available to this House. Yes, there are certain circumstances where that option is available to a Secretary of State, but not normally before the markets have opened, not when it can be used for commercial advantage for that organisation and not when people on the other side of the bid have been treated in a completely different way. That is why I think the Financial Services Authority may still want to investigate.

Jeremy Hunt Portrait Mr Hunt
- Hansard - - - Excerpts

I just want to understand: is the hon. Gentleman actually saying that the independent advice that I received from Ofcom and the OFT was not, in fact, independent? If I ask for independent advice, what that means is that I do not know what it is going to say. Unless I have very good reason, I am likely to follow that advice. That could not possibly be the actions of someone who was trying to achieve a specific outcome.

Chris Bryant Portrait Chris Bryant
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I am afraid that the issue is the way in which the back channel was organised through the Secretary of State’s special adviser, Adam Smith, of whom the right hon. Gentleman has said there has never been a closer working relationship between a Minister and a special adviser—and we are meant to believe that the information this person was providing to Sky was not material—and the process whereby all the e-mails that were provided made it absolutely clear what was in the Secretary of State’s mind and how he was trying to secure that outcome.

That brings me to the central charges: first, that the Secretary of State deliberately misled Parliament. He told Parliament in March 2011 that he had published

“all the documents relating to all the meetings—all the consultation documents, all the submissions we received, all the exchanges between my Department and News Corporation.”—[Official Report, 3 March 2011; Vol. 524, c. 526.]

That was a very, very emphatic statement, which clearly had not been verified, because then, on 7 September, he tried to backtrack a bit—or cover his tracks. In a written answer to my hon. Friend the Member for Bassetlaw (John Mann), the Secretary of State said:

“A search for correspondence from officials, press officers and special advisers to and from all the individuals listed would incur disproportionate cost to collect.”—[Official Report, 7 September 2011; Vol. 532, c. 616.]

He did not choose to correct the previous statement. He chose not to reveal that he had texted James Murdoch himself and had sent a memo to the Prime Minister. Far from exonerating the Secretary of State, the answer he provided on 7 September proves beyond doubt that he deliberately failed to tell the whole truth to this House. It was only the legal powers vested in Leveson that forced the truth out into the open.

Chris Bryant Portrait Chris Bryant
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This House has regularly excoriated Ministers when they have resorted too swiftly to the argument that it is too expensive to provide the full information, but to be honest, I cannot see how it could have been too expensive to have found the memo that the Secretary of State wrote to the Prime Minister—or, for that matter, the text messages that the Secretary of State sent to the people concerned.

There are some other facts to be dealt with. The deliberate nature of the misinformation is also evidenced by the Secretary of State’s response, following his statement in April this year, to questions from two Back Benchers—both doubtless inspired directly by the Whips, as was the question posed earlier by the hon. Member for Vale of Glamorgan (Alun Cairns). When one Back Bencher—helped, I am sure—asked him how many conversations he had had, meaning how many with News International and News Corporation, the Secretary of State said, quite categorically and emphatically, “zero”. When another Back Bencher—a Conservative Member; this did not come out of the blue—asked whether the Secretary of State recognised the conversations attributed to him by Fred Michel, he said:

“I do not. Throughout the bid process, when I got responsibility for it, the contact that I had with Fred Michel was only at official meetings that were minuted with other people present. The fact is that there is a whole pile of e-mails—54 in total—in which he talks about having contact with me, but that simply did not happen.”—[Official Report, 25 April 2012; Vol. 961, c. 543.]

Neither response was unpremeditated; they were deliberately placed on the record. Both are deliberate obfuscations and lies.

Jeremy Hunt Portrait Mr Jeremy Hunt
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I am sure that the hon. Gentleman would not wish to mislead the House, so let me just tell him that in both cases the question I was asked—one was from my hon. Friend the Member for Stratford-on-Avon (Nadhim Zahawi) and the other was from my hon. Friend the Member for Gloucester (Richard Graham)—referred to the 54 e-mails that Fred Michel wrote in which he talked about conversations with “JH”. In both cases I confirmed that no such conversations with me had happened.

Leveson Inquiry

Debate between Chris Bryant and Jeremy Hunt
Wednesday 25th April 2012

(12 years ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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My hon. Friend is absolutely right. There are countless examples in those e-mails of things that simply did not happen—of meetings that were alleged to have taken place not just with me, but with members of my Department, but that simply did not happen. It is very important that we hear all the evidence so that we can get to the bottom of what is truth and what is fiction.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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Every councillor in the land knows what “quasi-judicial” means. They know that it means that if they are on the planning committee, they cannot tip the wink to anybody on one side or the other, and that they have to be cleaner than clean, whiter than white. The Secretary of State and the Prime Minister have both asserted for the last two years that they had no inappropriate conversations with that woman, Rebekah Brooks, and that every single one of their meetings has been published. May I just give this one final chance to the Prime Minister to come clean on all the meetings, because I think he might find things are going to get very difficult for him later on today?

Jeremy Hunt Portrait Mr Hunt
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Let me say this: the Prime Minister had no inappropriate conversations, because he was not responsible for this decision.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Thursday 9th February 2012

(12 years, 2 months ago)

Commons Chamber
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Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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T7. I draw the House’s attention to my entry in the Register of Members’ Financial Interests.Members will know that those who have taken civil action, which is now complete, against the News of the World have faced legal bills of some £300,000, £400,000 or £500,000, yet the most that has ever been awarded by a court in a privacy case is £60,000, and many settlements have been for much less. Given the changes to the conditional fee agreements that the Government are pushing through, may I suggest that it might be a good idea to have a small claims court for privacy and libel cases? Would the Secretary of State support that? I do not want him to say, “Let’s wait to hear what Leveson and the Justice Secretary say.” We want to know what he thinks.

Jeremy Hunt Portrait Mr Hunt
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Without wishing to pre-empt what Lord Justice Leveson says, I think the hon. Gentleman’s idea may have some merit. We will look into it and see whether it is something that we can pursue.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Thursday 15th December 2011

(12 years, 4 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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I would love to, as I recognise that north Yorkshire has gone further faster than many parts of the country and the £18 million grant that it received has helped that. We have tried to make the European regional development fund rules simpler to enable local authorities to tap into them for their rural broadband programmes. I would certainly be happy to help my hon. Friend and every local authority speed up the process of getting these contracts signed.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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May I urge the Secretary of State to look very closely at his definition of rural? Many areas that look urban, such as former mining constituencies, actually feel very rural in relation to broadband because businesses still need fast broadband but, because of the contention rate, find it very difficult to get a decent service.

Jeremy Hunt Portrait Mr Hunt
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The hon. Gentleman is right. Let me reassure him that our commitment is to 90% coverage of superfast broadband for the whole country. We talk about rural broadband because that is where there are particular challenges, but we are not forgetting semi-rural areas. We want it to apply to the whole country and, indeed, we want our cities to go even further with a faster broadband offering, as announced by the Chancellor in the autumn statement.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Thursday 3rd November 2011

(12 years, 6 months ago)

Commons Chamber
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Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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In 2007, News International’s lawyers, as we now know but have recently learned, wrote to senior management at the News of the World, including James Murdoch, to make it explicit that the “sole rogue reporter” line was completely untrue. Does the Secretary of State really believe, with BSkyB’s annual general meeting coming up on 29 November, that James Murdoch is a fit and proper person to chair the company any longer?

Jeremy Hunt Portrait Mr Hunt
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The hon. Gentleman has campaigned extensively on this. The most important thing is that the truth comes out. James Murdoch is speaking to the Select Committee, Lord Justice Leveson is conducting an inquiry and there are extensive police inquiries. It would be inappropriate for me to make specific comments on who should do what job before the inquiries are completed, but this Government launched the process to resolve this and are doing everything possible to ensure that we end up in the right place.

Phone Hacking and the Media

Debate between Chris Bryant and Jeremy Hunt
Monday 11th July 2011

(12 years, 9 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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As I said in my statement, I completely understand the horror with which many people viewed the thought of a company allegedly responsible for these appalling actions taking over what would become Britain’s biggest media company. I completely understand where the public are on that. We now have a lengthy process that will get to the bottom of the media plurality issues. If any of the appalling events that have come up in the past week are linked to media plurality, I am sure that they will be considered in their entirety.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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I hope that the whole House will, like me, be scandalised by the facts that are emerging this afternoon about the former Prime Minister’s son’s medical records having been targeted by other newspapers in the News International stable.

One of the biggest problems that we have is that the police failed to act systematically. Assistant Commissioner Yates repeatedly lied to Parliament. He said that there were very few victims. He said that all the victims had been contacted. He said that all the mobile phone companies had been put on notice in relation to this. All of these things are lies, as he seems to have admitted in yesterday’s edition of The Sunday Telegraph, and yet he has not had the decency to apologise to this House or, for that matter, the decency to apologise at all—surely he should. He is in charge of counter-terrorism in this country, for heaven’s sake. Surely he should resign.

Jeremy Hunt Portrait Mr Hunt
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I completely understand the hon. Gentleman’s anger on that issue, but obviously parliamentarians cannot tell the police what to do because we have the separation of powers. However, the judge-led independent inquiry will look fully at the way in which the police have behaved and it will get to the bottom of this. We must give it our full support.

BSkyB

Debate between Chris Bryant and Jeremy Hunt
Thursday 30th June 2011

(12 years, 10 months ago)

Commons Chamber
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Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Jeremy Hunt Portrait Mr Hunt
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I thank my hon. Friend, who understands these issues very well. There is a legitimate question as to whether it is appropriate to give elected politicians the responsibility for arbitrating on a decision for which many members of the public will inevitably question their motives. That is why I have tried to be completely transparent and have sought, published and, after careful consideration, followed independent advice at every stage. We can debate in the House whether the law is right to insist on the procedures that it does, but I know that hon. Members feel passionately that due process must be followed, and that is why I am doing that in this case.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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How on earth did we—and I mean all of us, not just the Minister—become so spineless as to allow a company whose directors not only failed in their fiduciary duties to prevent criminality at the News of the World, but actually participated in its cover-up, to hold dominion over such a vast swathe of the media in this country? No other country in the world would allow somebody to have so much power.

Chris Bryant Portrait Chris Bryant
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Apart, perhaps, from Italy. Why on earth do we allow it?

Jeremy Hunt Portrait Mr Hunt
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Phone hacking is incredibly serious, and the police must follow their inquiries wherever they lead. The fact that we are having those inquiries at the moment and that they have been as extensive as they are demonstrates that no company is above the law, and no company should be.

BSkyB

Debate between Chris Bryant and Jeremy Hunt
Thursday 3rd March 2011

(13 years, 2 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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My hon. Friend asks a very important and pertinent question. The Ofcom report sent to me on 31 December 2010 pointed out that Ministers’ ability to intervene in the public interest on grounds of news plurality can be triggered only when there is a corporate transaction. It cannot be triggered when, for example, a news organisation grows its market share organically. That is different from competition law, under which it is possible, through the Office of Fair Trading, to trigger a Competition Commission inquiry. It is reasonable to ask whether we should look at whether we have the triggers we need for this very important issue. I said in my statement that I will do that as part of our review of communications regulation for potential inclusion in a new communications Act this Parliament.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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I am sorry, but I think that this is a particularly shabby deal, and I think that it has been brought to us by a Secretary of State who made his mind up a long time ago. I say that because he told me so in East Grinstead last September, before this process even started. What would he say to my constituents in the south Wales valleys who suffer from Murdoch’s virtual monopoly in broadcasting, particularly in respect of certain channels in south Wales, and in the provision of many channels and sporting opportunities? They are deeply concerned that the guarantees that have supposedly been given are no stronger than those made in relation to The Sunday Times and The Times, and will not stand the test of time.

Jeremy Hunt Portrait Mr Hunt
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It is not a question of what I think as much as what independent regulators who have been involved in every stage of the process have said, and whose advice I considered before making my decision. I not only considered their independent advice, but, as it happens, followed it. It has been extremely important to do so, because in this decision, of all decisions, people are understandably suspicious of the motives of politicians. That is why I have involved independent people at every stage of the process. I would say to the hon. Gentleman’s constituents that it is very important that we have a competitive market in the media. It is very important that we have competition, and we want to ensure that that is the case. We have a competition regime to ensure that it happens, and we will continue to police that regime diligently.

Oral Answers to Questions

Debate between Chris Bryant and Jeremy Hunt
Monday 29th November 2010

(13 years, 5 months ago)

Commons Chamber
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Jeremy Hunt Portrait Mr Hunt
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I thank my hon. Friend for his important question. We greatly value the role of local radio, and we are also very committed to the transition to a digital future. We want to ensure that the timing is such that it does not force people to jettison their analogue radios in huge quantities. Our discussions are progressing rapidly. Last week I had a discussion with the managing director of one of the largest commercial radio groups, and we hope that our discussions will progress further in the next month.

Chris Bryant Portrait Chris Bryant (Rhondda) (Lab)
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There is a great deal of anger in Wales about the way in which the Minister and his Department have treated our local media. ITV Wales will probably not be able to sustain its public service requirements, and S4C has been treated appallingly. There has been no consultation with the people of Wales. There will be a single monopolistic presence in broadcasting in Wales, and the Minister is doing a great disservice to the people of Wales by the way in which he is advancing his cause.

Jeremy Hunt Portrait Mr Hunt
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The mess in local broadcasting in Wales was not created by this Government. It was the hon. Gentleman’s party under which audiences for S4C halved over the last decade, and which did absolutely nothing about it. We have sought to find a secure future for S4C that will maintain its independent identity but will also give it the support of our largest broadcaster. We have actually done something about the problem; the hon. Gentleman’s party did nothing about it whatsoever.