Oral Answers to Questions

Diana Johnson Excerpts

Thursday 9th December 2010 Commons Chamber

[Richard Benyon]

I can reassure the hon. Gentleman that people will be able to claim for items such as stiles because they are capital items, as are car parks and the provision of access for disabled people. Those claims can still be made, therefore. The hon. Gentleman is a very strong advocate of HLS, and he and many other Members were worried that we might not be able to protect it under the spending review. We have done, however: we are going to increase it by 83%, but we are focused on reversing the decline in biodiversity and helping environmental works on farms. That is why we have taken the decisions that we have.

[Diana Johnson (Kingston upon Hull North) (Lab)]

15. What assessment she has made of the effects of proposed changes to her Department’s flood defence budget on the level of insurance premiums for homes at risk from flooding.

[The Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs (Richard Benyon)]

DEFRA is working closely with the insurance industry to maximise the availability of flood insurance cover. We are consulting on changes to the way in which Government funding is allocated to flood and coastal erosion risk management projects. That will help safeguard insurance terms by encouraging increased investment beyond levels that the national taxpayer alone can afford.

[Diana Johnson]

The insurance market in Hull has been closed since 2007, and unless people had insurance then, they will not be able to get it now. Moreover, for people who can access insurance, premiums have gone up hugely. What does the Minister have to say to my constituents, as even those who currently have insurance are now very concerned that they will not be able to continue to have it in the future?

[Richard Benyon]

The hon. Lady’s constituents, like mine, have suffered greatly from flooding in the past, and what she says is true: there are excess charges and premiums have risen. We have taken forward, from our very successful flood summit, two important working parties with the insurance industry—one on data sharing, so that information on where money has been spent is made available to insurers, and a second on working with the insurance industry so that following the post-2013 statement of principles, there will be an environment in which insurance is still available. The insurance industry will then be able to gear up for a new environment in which specialist brokers can start to help constituents such as the hon. Lady’s and mine.