Protection of Jobs and Businesses

Douglas Ross Excerpts
Wednesday 9th September 2020

(3 years, 7 months ago)

Commons Chamber
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Alison Thewliss Portrait Alison Thewliss (Glasgow Central) (SNP)
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People across these islands are going through the most difficult of times. In the past six months, people have lost loved ones; they have not been able to have the human contact we all need; and they have struggled to keep themselves and their families going. Communities have pulled together admirably to help their neighbours, but businesses of all sizes have found it difficult, and an estimated 730,000 jobs have been lost so far. Ending the employment support schemes prematurely could cost 3 million jobs. The SNP fully supports the motion tabled by the Labour party today.

On 17 March, the Chancellor made a promise in this House. He said:

“I promised to do whatever it takes to support our economy through this crisis and that, if the situation changed, I would not hesitate to take further action.”—[Official Report, 17 March 2020; Vol. 673, c. 931.]

On these Benches, we welcomed the coronavirus job retention scheme and the self-employment support scheme. The economic powers to create such schemes rest in the hands of the UK Government. That has nothing to do with the strength of the Union: it is merely a reflection of where the economic powers lie.

The Scottish Government’s programme for government shows that where we do have the powers, Scotland has an ambitious and comprehensive plan for sustainable economic recovery, and 71% of Scots now think that Holyrood should have the financial powers required to protect our economy.

Douglas Ross Portrait Douglas Ross (Moray) (Con)
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The hon. Lady mentioned the SNP’s programme for government. Does she agree with the SNP Scottish Government adviser who has said that the programme for government announced by Nicola Sturgeon lacks ambition for business and economic recovery in Scotland?

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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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May I begin my remarks by thanking the Labour party for bringing forward this motion for debate today? It has allowed Members from both sides of the House and across all parties to highlight the positive impact that has been felt by the massive measures that were introduced by the UK Government during this coronavirus pandemic and the positive impact that has been felt in constituencies the length and breadth of the country.

In Moray, 85,000 meals were served under the Eat Out to Help Out Scheme, 12,900 jobs were furloughed, 2,800 individuals were supported through the self-employed income support scheme, more than 1,000 bounce back loans totalling over £28.5 million were granted as well as 44 coronavirus business interruption loans. That has delivered more than £7 million in the Moray constituency alone. That is the support that we have seen from the UK Government, and I am extremely grateful for that.

Briefly, I want to echo the remarks of the hon. Member for Easington (Grahame Morris), who is no longer in his place. I have raised the plight of the coach industry at Treasury questions. I know that this is a difficult issue and I know that Treasury Ministers have heard this case before, but Maynes of Buckie, who I have been doing a lot of work with, and groups across Scotland and the UK are looking for support for the coach industry and anything that can be done would be gratefully received.

I also want to highlight something that I have done in my first month as leader of the Scottish Conservatives. I made a pledge to produce a document for Scotland’s economic recovery and jobs recovery, which is so important during this pandemic and as we recover from it. I was disappointed that none of the suggestions that we put forward in our policy document—both short-term and long-term measures—were picked up by the Scottish National party. Indeed, the Scottish Government’s programme for government that was announced just a few weeks ago did not mention small businesses once. They did not include an education Bill, which is vital as we take our country forward, but, they did, of course, find the time to put in another referendum Bill to separate Scotland from the rest of the UK. That shows the priorities of the SNP during this pandemic and its lack of ambition for Scotland after 13 years of power.

Alison Thewliss Portrait Alison Thewliss
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indicated dissent.

Douglas Ross Portrait Douglas Ross
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The hon. Lady can shake her head, but when I intervened on her to ask her whether she agreed with the Scottish Government’s adviser to Nicola Sturgeon, she claimed it was because Scotland does not have enough powers at the moment. That adviser was specifically saying that the programme for government—the powers that Holyrood already has and that the SNP could use to rebuild Scotland’s economy and to get us going again—lacked ideas to bolster economic growth. That was the criticism of an adviser to the Scottish Government of the lack of ambition and lack of determination from the SNP after 13 years in power in Scotland to deliver for areas the length and breadth of the country. We need to move away from the separation and the division of the past and look more at the opportunities for Scotland in future. That is what I intend to do in this place and as leader of the Scottish Conservatives. I hope that others do that, too.

Covid-19: Future UK-EU Relationship

Douglas Ross Excerpts
Wednesday 15th July 2020

(3 years, 9 months ago)

Commons Chamber
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Ian Blackford Portrait Ian Blackford (Ross, Skye and Lochaber) (SNP)
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I beg to move,

That this House welcomes the European Union’s openness to extend the transition period for negotiations; calls on the Government to immediately accept this offer and notes the Scottish Government’s publication of 3rd June entitled, “COVID-19: The Case for Extending the Brexit Transition Period”, warning of the damage a no deal would cause to the economy in addition to the cost of the covid-19 health crisis.

The Prime Minister, like all of us here, could not have foreseen the covid-19 pandemic when his Government initiated the process of leaving the European Union. 2020 has become a year like no other, and this Government must adapt and do what is right by their citizens. Our priority must be dealing with this health emergency and the consequent economic challenge; it is definitively not business as normal. That is why my Government in Edinburgh, under the stewardship of Nicola Sturgeon, has prioritised dealing with the crisis above all else. We are demanding that the UK Government do the same—[Interruption.] Mr Speaker, it has started already. This is a serious subject, and what we get is laughing and guffawing from the hon. Member for West Aberdeenshire and Kincardine (Andrew Bowie). He really should show some respect and grow up.

The SNP is calling on the Government immediately to extend the Brexit transition period while we navigate the unprecedented health and economic crisis we currently face. The European Union has expressed its ongoing openness to extending the transition period for negotiations, and the UK Government now need to accept that offer. The Government will claim that this opportunity ended at the end of June, but we are dealing with realpolitik here. We know that while we are still in the transition period this House can legislate for an extension and the European Union would recognise the mutual benefit. It simply requires political will and leadership.

The Scottish Government have set out their position in “COVID-19: The Case for Extending the Brexit Transition Period”, which sets out why it is vital, if we are to ensure the most rapid recovery possible from the covid-19 crisis, that the UK must immediately seek an extension to the Brexit transition period for two years. We are in unprecedented times: a health pandemic, an economic crisis, and the real threat of a second wave of covid-19 later this year. Now is the moment for the UK Government to recognise reality and to reconsider their position.

The United Kingdom is facing an unprecedented economic crisis. The Office for Budget Responsibility and the Bank of England have published various scenarios in which GDP falls by as much as 13% to 14% this year, which would be the largest decline in economic output in 300 years. By comparison, the most recent largest single-year fall in GDP was 4.2% on the back of the financial crisis in 2009. This overshadows anything that any of us we will ever face.

At least 1 million jobs have already gone, and many more will go when the Government end the furlough scheme, which is needed as a bridge to secure employment until recovery takes hold. Indeed, we know from the Office for Budget Responsibility that close to 2 million of those on the furlough scheme could face unemployment. Just dwell on that: the threat of unemployment in the UK could perhaps increase to as many as 4 million people. Just dwell on the human misery—the families struggling to make ends meet and pay their bills; a sharp rise in poverty, and the human cost of that for families and their children. That is why a stimulus package is required to build confidence and get folk back to work.

Douglas Ross Portrait Douglas Ross (Moray) (Con)
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The right hon. Gentleman is outlining the stark realities that we currently face across the whole United Kingdom, and indeed the world. Because of that, is he grateful that Scotland is part of the United Kingdom, and that the broad shoulders of this Union are supporting Scotland, with more than £10 billion going from the UK Government to Scotland just during the covid pandemic?

Ian Blackford Portrait Ian Blackford
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I must say that I am disappointed in the hon. Gentleman, as I would expect more of him than that. I say to Conservative Members that we must ensure that we have the tools at our disposal in the Scottish Parliament and the Scottish Government. I spoke about the importance of the furlough scheme, and we welcomed that. We will welcome Government measures that help to deal effectively with the challenge we face. There is a harsh reality, however, for our industries in Scotland, such as the tourism industry, which is important in my constituency and that of the hon. Gentleman, as well as many others.

Effectively, we are facing three winters, and there is a truncated summer season. Our tourist industry barely exists over the winter months, and the last thing we need is to find that the UK Government are kicking the legs away from our industry by ending the furlough scheme early. The challenge for every Conservative Member of Parliament from Scotland is to ensure that if the UK Government do not provide the necessary support for our businesses and our people, those powers have to reside in the Scottish Parliament. Will Scottish Tory MPs stand with us and ensure that the Scottish Parliament has the powers it needs to do its job and protect the people of Scotland? I think we know the answer.

The Chancellor said that the UK is suffering because of covid-19, in common with many other economies around the world. However, the UK economy is likely to suffer worse damage from this crisis than any other country in the developed world. According to the OECD, a slump in the UK’s national income of 11.5% during 2020 will outstrip falls in France, Italy, Spain, Germany and the US. With the continued risk of a second wave hitting the economy and our communities in winter, the idea of the UK leaving the European Union at the same time is economic madness.

The outlook is bleak—there is no other way to look at it—and things are about to get much worse, unless the Government end their refusal to extend the Brexit transition period. Refusing to do so is the ultimate act of self-harm. With businesses fighting for survival, a bad deal or no deal will burden businesses with additional costs and red tape. Yesterday, the Financial Times told us that UK Government officials had indicated that a potential additional 215 million customer declarations will be required, at a cost of up to £7 billion. Businesses are fighting for survival, and the UK Government want to send them a bill for £7 billion. I wonder if the Prime Minister will put that on the side of a bus. That is not taking back control; that is self-induced madness.

We can stop this now. We can recognise that this is a price that we cannot pay in the middle of a health and an economic crisis. All it requires is political will. All it requires is leadership.

Ian Blackford Portrait Ian Blackford
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Really? Is that the best that Thanet can send to the House of Commons? Heaven help them. I have to say to the hon. Gentleman that we were told that if we stayed in the United Kingdom in 2014, Scotland would be respected and that we were to lead the UK. The question for him and for his Government is: why did they not respect the fact that Scotland voted to stay in the EU, with 62% of those living in Scotland voting to do so? At every opportunity in the past few years, the Conservatives, as they have been in every year since 1955, have been thoroughly rejected by the people of Scotland, and it is no wonder. We stood on a platform in the election in December about Scotland’s right to choose. The Tories said, “Say no to devolution. Say no to independence.” How did that go down? They lost more than half their seats and we increased our representation from 35 to 48. I think he has had his answer.

Douglas Ross Portrait Douglas Ross
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Will the right hon. Gentleman give way?

Ian Blackford Portrait Ian Blackford
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You’ll get your opportunity later.

Douglas Ross Portrait Douglas Ross
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On a point of order, Mr Speaker.

Lindsay Hoyle Portrait Mr Speaker
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I hope it is a point of order.

Douglas Ross Portrait Douglas Ross
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It is a point of order, Mr Speaker, because the right hon. Gentleman said that Scottish Conservatives stood on a manifesto commitment against devolution. This Government have given more powers than ever to the Scottish Parliament, and we have never stood on a manifesto against devolution—

Lindsay Hoyle Portrait Mr Speaker
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We do not both need to stand at the same time—it is easier if you sit down. As a person who is very good with red cards, you should be aware of what we need to do to keep good order. That is a point of clarification and I am sure you will want to save some of that for when you speak later.

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Drew Hendry Portrait Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)
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It is a pleasure to follow the hon. Member for Leigh (James Grundy), who at least tried to make his point, even if I did not agree with a word of it. He at least tried to make a point that was worth making—by contrast with the bitter and twisted rant by the hon. Member for Berwickshire, Roxburgh and Selkirk (John Lamont)—and even managed to get the Loch Ness monster in, so he gets an extra point.

The Minister asked why we brought this debate to the Chamber. We did so because it is the right thing to do for people and communities and businesses across Scotland, who are facing a treble whammy of hits in terms of the economy, their lifestyle, their jobs and their family status. There are people living across Scotland, including in my constituency in the highlands and islands, who will be dealt a serious blow come January if there is no extension to the transition. The UK Government are not sleepwalking into this; they are running towards a cluster crisis.

My constituents—and Scotland—never voted for this and they do not want it. It is bad enough that the combined loss of economic activity in leaving the EU is estimated to be up to £3 billion. But on the covid emergency, the UK Government’s language—unlike that of the Scottish Government, whose aim is elimination of the virus—shows that they are planning for a second wave, with the forethought that we shall be going into a second wave while we are faced with a no-deal-Brexit exit—

Douglas Ross Portrait Douglas Ross
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Will the hon. Gentleman give way?

Drew Hendry Portrait Drew Hendry
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I will give way later.

No matter how the Prime Minister tries to cover it up by calling it an Australia-style deal, it is simply nothing and does no good for any of the people who will be affected in Scotland.

Douglas Ross Portrait Douglas Ross
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I seek clarity on the point the hon. Gentleman makes. He seems to be criticising the Government for planning for all eventualities in a pandemic. Is he honestly saying that Nicola Sturgeon and the SNP Scottish Government are not planning for all eventualities on covid-19?

Drew Hendry Portrait Drew Hendry
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The hon. Gentleman is a former Minister who resigned because his boss’s boss took a trip to Barnard Castle and so broke the covid regulations, so fair play to him, but of course that is the problem. He has left a legacy there and it is now an issue that the Government have to plan for that second wave. To clarify, in Scotland we are planning for elimination of the virus. That is the right thing to do.

We are facing a calamity. The Minister, who is not in her place now, said that she wanted us to focus on the policies of the UK Government—or should we say promises, or rather broken promises. For communities around Scotland, especially in regions such as the highlands and islands, there is another pressure caused by this reckless course. According to research by the Conference of Peripheral Maritime Regions, locally we will lose over £160 million and, Scotland-wide, over £800 million. That is the extra punch that our communities are losing out on in terms of EU structural funding. This is funding that underpinned further education, youth employment, smart cities, connectivity for islands and communities, small and medium-sized enterprises, apprenticeships, regeneration, innovation, productivity, social inclusion, and a whole lot more.

People in Scotland, across our cities, towns, villages and communities, are now seeing that the promises will not be delivered through the so-called shared prosperity fund, because it is not coming. Communities and charities have used the EU funding to benefit people, especially the most vulnerable and disadvantaged. They have been waiting now for years to find out what funding will be available post-Brexit, and in spite of promise after promise it is becoming clear that come January there will be none. The Minister had the opportunity to answer the question from my right hon. Friend the Member for Ross, Skye and Lochaber (Ian Blackford) about the shared prosperity fund earlier, and she chose not to do so.

I have been asking for clarification on this point since 2017, as have many others. A succession of Ministers, including the Prime Minister, have all promised details. They said they would consult widely. In 2018, the mantra was: “before the end of the year”. Time and again, they repeated that. In 2019, it turned into “shortly” and “soon”, and in 2020, it is morphing into “in due course”. In fact, we are now at the end point. There is no funding in place. Nobody can bid for anything as we enter 2020. All those promises have been broken, it has all been a glaik.

If the fund ever is established—let us imagine that it could happen somehow—it looks like yet another power grab will be at centre of it, with, ironically, as is proposed, another unelected body telling the devolved Parliaments what to do about the funding. In Scotland’s case, these should be decisions for the Scottish Parliament. It is no wonder—this has been repeated, because people are noticing these things—that polling in Scotland is showing support for independence consistently above 50%. It is no wonder that people who voted no in 2014, who said, “We just can’t do it”, are now coming to me and my colleagues and saying, “You know what? It was a big mistake. We were sold a packet of goods they had no intention of delivering. If they had, we would have had some of it and we have had none of it”.

As this Government ride roughshod over our people’s rights, and ignore the needs of our communities, it is important that they think again. Let me recall the words of the Minister of State, the right hon. Member for Rossendale and Darwen (Jake Berry), during a Backbench Business Committee debate on shared prosperity that I secured in 2019. He twice made the promise that devolution would be respected. Indeed, his second clarification stated:

“To be absolutely clear and to repeat what I said in my contribution, the Government will fully respect the devolution settlement in respect of the UK shared prosperity fund and, I am sure, in all other respects.”—[Official Report, 5 September 2019; Vol. 664, c. 445.]

At that time I told him that he would be judged not on those words, but on the actions of his Government. Let me tell hon. Members, and those watching the debate, that the people of Scotland are making that judgment, and seeing that Westminster is not working for them. It is not listening to them or delivering what they need, and that is why more and more people are convinced that Scotland would be better served by taking our place as an independent nation.

There is another unique hit that we will take as a result of this Government’s actions. This is the worst of all possible times for young people across our constituencies for the economic crisis to be coupled with Brexit. That is not in Scotland alone, as it affects all nations of the UK, but it is particularly harsh in places such as the highlands and islands, where we have been working incredibly hard to turn around the demographic of losing our young people.

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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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It is always a pleasure to speak in SNP Opposition-day debates, because we get the opportunity to play Blackford bingo. We heard the regular things from the right hon. Member for Ross, Skye and Lochaber (Ian Blackford) who must, at some point—today twice—show full outrage at Conservative Members for daring to make any sort of noise when he is speaking during the debate, totally ignoring, of course, the chirling nature of his colleagues behind him, when Government Members choose to make points on behalf of the people of Scotland.

We also had, as we always do during Blackford bingo, the words “power grab”, yet I have never heard a single SNP Member be able to articulate what powers are being grabbed. If it is a power grab, there must be powers that are currently held by the Scottish Parliament, and enacted by the Scottish Government on behalf of the people of Scotland, that we, the UK Government, are taking away.

Douglas Ross Portrait Douglas Ross
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I will give way to the hon. Gentleman, because he will be the first SNP Member ever who is able to explain a power held by Holyrood that the UK Government are going to grab away. I look forward to it.

Alyn Smith Portrait Alyn Smith
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I am grateful to the hon. Gentleman for giving way. The shared prosperity fund has been mentioned by every SNP Member who has spoken thus far. For those present who do not know, that is the successor to the EU funding mechanism that the Scottish Government, and local government, have used productively for 20-odd years to encourage economic growth. The current proposal is for the UK to take over that funding and control it from London, via the Scotland Office. That is a power grab, surely, in any objective sense of the word.

Douglas Ross Portrait Douglas Ross
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The search goes on, so I will keep asking. What the hon. Gentleman has just described is a power currently held by the EU that the UK is going to get back, because we chose in a referendum to leave the EU, which the SNP would want to give back to the EU.

Douglas Ross Portrait Douglas Ross
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Attempt No. 2—I will give way to the SNP Chief Whip.

Patrick Grady Portrait Patrick Grady
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The hon. Gentleman knows that the principle of the devolution settlement is that if ain’t reserved—if it is not scheduled in the Scotland Act—it is devolved. The Government are scheduling these powers that should come from Europe, as he says, to the Scottish Parliament and they are grabbing them and keeping them here in Westminster. That is a power grab.

Douglas Ross Portrait Douglas Ross
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It is not. I was very clear, but I will try to be clearer for SNP Members if they need me to be. Can any SNP Member explain just one—not 10 or hundreds—power that the 129 MSPs and the Scottish Government currently have that during this “power grab” the UK Government will somehow take away? [Interruption.] None can; SNP Members simply cannot do it, because there is no power grab. As I said in my intervention, this and successive Conservative UK Governments have given more powers to the Scottish Parliament than any other and it is now one of the most powerful devolved Administrations anywhere in the world. The problem, more often than not, is not the lack of powers in the Scottish Parliament, but the lack of desire, will and vision on the part of the Scottish Government to use those powers to the best of their abilities. That is really the crux of the argument.

I am sorry that the right hon. Member for Ross, Skye and Lochaber missed my opening remarks, but I want to come back to his motion, on which the House will divide later. It is about the transition period, the EU and the UK Government. It seems strange to have this debate after the deadline set by the EU and the UK to decide whether to have an extension to the transition period. A decision was taken by the UK Government not to seek an extension and the EU Commissioner said of that decision:

“I take this as a definite conclusion of this discussion”.

The EU Commissioner who responded to the UK Government’s decision has decided that that is a definitive conclusion of this matter and I wish the SNP would accept it as such.

Jacob Young Portrait Jacob Young
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Will my hon. Friend join me in congratulating Liberal Democrat, Plaid Cymru and the Democratic Unionist party Members on outnumbering the Labour party Members on the Opposition Benches, with not one Labour Back Bencher to speak in this important debate?

Douglas Ross Portrait Douglas Ross
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I am always happy to agree with my hon. Friend. Let me add that Scottish Conservatives in the Chamber today would outnumber, if he were here, the one Scottish Labour Member by five or six to one. We continue to be a strong force in Scotland and in this Chamber.

Let me return to the title of this debate and what we are discussing generally this afternoon, because there have been a number of omissions in the SNP speeches we have heard so far—I am sure this will be rectified later. We have not heard the F-word at all during this debate. I represent Moray and the Minister on the Front Bench represents Banff and Buchan. In a debate about the EU, I expect to hear about fishing, particularly from the SNP. So why, would we surmise, would SNP Members and their leader here, who represents a constituency that has many fishing interests, not mention fishing once during this debate? Is it perhaps that they are ashamed of their policy towards Scottish fishermen?

During this debate, we are speaking about an extension, but what the SNP have not spoken about is what they would do at the end of that extension, because of course they just want to prolong this period of instability for our businesses, communities and individuals. At the end of it, they do not want another extension or a deal with the EU to be granted by the UK Government; they want to stop us leaving the EU. That is a perfectly acceptable policy for them to hold, but they therefore have to explain to fishing communities in Moray, in Banff and Buchan, and around Scotland, including those that they currently represent here and at Holyrood, what their plans are for the fishing industry in Scotland. It is very clear: they would say to the 1 million people in Scotland who voted to leave the European Union, many of them in fishing communities: “We don’t need you, we don’t trust you, we think you were wrong, and we’re going to take you straight back into the European Union and straight back into the common fisheries policy, which you have campaigned against throughout your lives and has been damaging to your business, because we don’t trust the result you gave in 2016.” That is a shameful position for Scottish National party Members to hold. Maybe it is not surprising, then, that they have not once mentioned the word “fishing” in this debate.

Deidre Brock Portrait Deidre Brock (Edinburgh North and Leith) (SNP)
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I would very much appreciate it if just one Conservative Member could explain to me why Conservative Members suggest that there would be total control of the seas around the UK in the event of Brexit when UNCLOS—the United Nations convention on the law of the sea—makes it very clear that that would not be case, and, based on historical fishing rights, the other countries in the EU will be challenging this in court? I never hear Conservative Members talk about that—all they say is that UK waters will be completely controlled by the UK, and it simply is not true.

Douglas Ross Portrait Douglas Ross
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I would say to the hon. Lady that I am her one Conservative Member, because I can explain it to her. When we finally leave the transition period on 31 December, we will become an independent coastal state controlling who fishes what, where and when in our waters—a proud independent state. There are examples of others that are able to do that, and we will follow suit.

Something that is not often considered in this debate is how big a difference a short extension to the transition period would make. Fishing leaders in Scotland have said that a one-day increase in the transition period beyond 31 December this year would be a one-year increase for their industry, because we would go into a whole new round of talks. When the right hon. Member for Ross, Skye and Lochaber suggests that we as a Government and a country should have two years of extra negotiating during the transition period, we should ask what that would mean for our fishing industries, which I am not willing to accept.

I represent the constituency in Scotland that came closer than any other to voting leave in 2016: just 122 votes separated leave and remain. So while I know it is very convenient for Scottish National party Members, the Scottish Government and others to say that Scotland voted to remain, not everyone in Scotland did. One in two people in Moray voted to leave and one in two people in Moray voted to remain. This argument does foster great passion, understandably, but it is not as black and white as the SNP would often like to make it.

I also want to focus on the points about leadership that we have heard during this debate. I tried to intervene on the right hon. Member for Ross, Skye and Lochaber when he highlighted poll ratings that suggest that Nicola Sturgeon’s leadership has been positive during this pandemic. I was going to ask him: was it leadership when Nicola Sturgeon chose not to inform the Scottish people of the first case of covid-19 being identified at the Nike conference? [Interruption.] I am sorry if the hon. Member for Perth and North Perthshire (Pete Wishart) thinks it is funny that the Scottish Government, the First Minister and Scottish Government Ministers withheld information from the Scottish people about the first case of covid-19 in our country, but I do not believe it is a laughing matter. I hope that he will reconsider his actions when I am discussing an important matter about people who have lost their lives.

Is it leadership when the UK Government are carrying out more covid-19 tests in Scotland than the Scottish Government? I am happy that our broad shoulders of the United Kingdom can help the UK Government, but I would have thought that the Scottish Government would be ambitious enough to have the testing facilities in place to do more than the UK Government. I am extremely grateful that the UK Government are there to support the Scottish Government.

Is it really leadership when we have senior members of the Scottish National party, and indeed the First Minister, threatening to put up barriers at the border to stop people coming into our country? Given that the Scottish Tourism Alliance criticised those comments by saying that 70% of tourism in Scotland is from the rest of the United Kingdom, any signal from the First Minister, the Scottish Government or the SNP that we are closed for business is unacceptable. It is not a political issue—it is a financial issue for bed and breakfasts, hotels, restaurants and all those who rely on investment and money from people across the United Kingdom to support them. We need to send an unequivocally clear message that Scotland is open for business. I was grateful to hear that from the right hon. Member for Ross, Skye and Lochaber today. Sadly, I would say that the message has come too late.

Christine Jardine Portrait Christine Jardine
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While the hon. Gentleman and I do not share the same view of the European Union—and I would not wish to leave at this moment—does he share my confusion at hearing an SNP Member say that this was the worst possible time for the economic dislocation of leaving the European Union, without recognising the economic dislocation that would be caused to Scotland by leaving the United Kingdom? [Interruption.]

Douglas Ross Portrait Douglas Ross
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I agree with the hon. Lady. The pathetic actions by some SNP Members in response to a legitimate point made by one of my political opponents show their narrow-mindedness, not just in this debate but every time there is a debate in the House of Commons. It was only one of a number of confusing comments from the SNP in the debate and, sadly, I think we will hear more this afternoon.

I want to come on to a point that I made in my intervention on the right hon. Member for Ross, Skye and Lochaber. It was unbefitting of him and his party not even to recognise the broad shoulders of the United Kingdom during the pandemic. People in Scotland, whether they support the Scottish National party, the Scottish Conservatives, the Scottish Liberal Democrats, the Scottish Labour party or the Scottish Greens, or whether they have no party affiliation at all, recognise that during a pandemic, when people were looking for health and economic responses, the UK Government went above and beyond, with one of the strongest and most comprehensive arrangements anywhere in the world, to support individuals, businesses and communities.

Almost £13 billion was provided to protect hundreds of thousands of jobs, with support for the self-employed. Support from the UK Treasury went to the Scottish Government, which they sent to local government in Scotland to support businesses with grants of £10,000 to £25,000. That is by any measure the broad shoulders of the United Kingdom supporting every part of the UK: Scotland, Wales, Northern Ireland and England. Whether Members disagree with the Government or with the Conservatives more generally, I hope they would all accept that it is because of that that we have got to this stage of the pandemic in as strong a place as possible.

Ian Blackford Portrait Ian Blackford
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Let us try to bring some grace to the debate. I agree with the hon. Gentleman on something: when we are dealing with a pandemic, it is important that we work together. I shall use an example of something that happened in my constituency, on the Isle of Skye, where there was an outbreak in Home Farm care home. The testing by NHS Highland and the UK-wide testing was put in place to make sure that we supported the community and we got to a position where we controlled the outbreak. That is an example of the benefits of the two systems coming together, so I am happy to give credit where it is due.

Let me also mention the job retention scheme, which we welcome. I stress on behalf of my colleagues in the Scottish Government and the SNP that, where appropriate, we will work with the UK Government—that is what we have to do in this crisis—but will the hon. Gentleman join me in recognising that we need flexibility in the scheme, particularly to support our rural industries for as long as necessary, so that they can come back with as strong an economy as possible?

Douglas Ross Portrait Douglas Ross
- Hansard - -

I thank the right hon. Gentleman, particularly for his earlier remarks. It is perhaps a milestone in the debate to have some consensual discussion between the opposing sides. On the job retention scheme, he asked for flexibility and, again, I hope he will accept that the UK Government delivered that. When it was established at pace not just by the Ministers and the Treasury but by Her Majesty’s Revenue and Customs, there were strict rules, which were necessary, but listening to concerns from Scottish businesses, communities and others across the whole UK, the Chancellor and the UK Government amended it to allow the flexibility that he is asking for. On further flexibility, the right hon. Gentleman will know that many countries across Europe are winding down their job retention schemes, because it is impossible to continue them much longer.

Pete Wishart Portrait Pete Wishart
- Hansard - - - Excerpts

The hon. Gentleman has been speaking for 25 minutes.

Douglas Ross Portrait Douglas Ross
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I have been speaking for 25 minutes—the right hon. Member for Ross, Skye and Lochaber spoke for 35 minutes.

Eleanor Laing Portrait Madam Deputy Speaker (Dame Eleanor Laing)
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Order. That is a criticism of me, not of the right hon. Gentleman. It is obvious to me that some speeches—actually, all speeches bar one—have been long this afternoon. However, I have been counting the number of interventions, and this is a real debate, so I do not see any need to curtail it while it is flowing with equal force on both sides.

Douglas Ross Portrait Douglas Ross
- Hansard - -

I am very glad, Madam Deputy Speaker. In my other role, I tend to ignore the heckling I get from the sidelines and focus only on the referee. I am glad to get that guidance from you.

Patricia Gibson Portrait Patricia Gibson
- Hansard - - - Excerpts

I was listening with interest to the hon. Gentleman’s comments about broad shoulders. There is no doubt there has been some level of financial co-operation between the rest of the UK and the Treasury. However, if the shoulders are so broad, why has Scotland, with 8.3% of the UK’s population, received just over 4% of all UK borrowing, and why, indeed, when the Prime Minister announced his £30 billion the other week, was only 0.1% allocated to Scotland?

Douglas Ross Portrait Douglas Ross
- Hansard - -

The SNP and the hon. Lady talk about “some”, but that is £13 billion—£13 billion going in a matter of months from the UK Government directly to her constituency and my constituency and protecting jobs. Just because the Scottish Government cannot rubber-stamp that money and say that they delivered it to the people of Scotland, that does not devalue what the UK Government are investing directly into Scotland.

I want to bring my remarks to a conclusion by saying—

None Portrait Several hon. Members rose—
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Douglas Ross Portrait Douglas Ross
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I will give way as many times as hon. Members like. Eeny meeny—I will give way to the hon. Member for Glasgow North (Patrick Grady).

Patrick Grady Portrait Patrick Grady
- Hansard - - - Excerpts

Just before the hon. Gentleman brings his remarks to a conclusion, I just wondered whether, with “independent coastal state”, “most powerful devolved Parliament”, “barriers at the border” and “broad shoulders of the Union”, I can get the prize for Ross bingo.

Douglas Ross Portrait Douglas Ross
- Hansard - -

I think Blackford bingo has a bit more of a ring to it. Perhaps the right hon. Gentleman can think of something that rhymes with Ross for the next debate—[Interruption.] I said Ross.

Alan Brown Portrait Alan Brown
- Hansard - - - Excerpts

Earlier, as the hon. Gentleman was going on about the broad shoulders of the UK and talking about testing during the covid virus pandemic, he said that the UK has done a lot more testing in Scotland than has been done through the Scottish Government. I am looking at the statistics that the Scottish Government put out every single day, and the cumulative total of covid-19 tests carried out by NHS labs was 324,474, while the total number of covid-19 tests carried out through the UK Government testing programme was 205,000. Does he agree that 324,000 is higher than 205,000?

Douglas Ross Portrait Douglas Ross
- Hansard - -

What I would say is that if the hon. Gentleman listened to my speech, rather than trying to google the answer, he would have heard me say that the UK Government are currently testing more people in Scotland than the Scottish Government are, and that is correct. He cannot deny that. The daily testing shows that the UK Government are conducting more tests than the Scottish Government. That is what I said, and that is correct. If the hon. Gentleman gets back on his iPad, I am sure he will have a look at that.

I want to finish by saying something that, sadly, we have to say all too often now in these debates led by the SNP. It has come up time and time again, and it is important because, as the SNP likes to say, the people of Scotland are watching. I gently say to the right hon. Member for Ross, Skye and Lochaber and to members of the SNP that they do not speak for Scotland. The SNP does not equal Scotland. I do not speak for Scotland. The Labour party does not speak for Scotland. The Liberal Democrats do not speak for Scotland. Scotland is a diverse nation, with a range of views that we should all encompass and debate, but in a manner that is befitting of this place and the people who send us here. I am sorry that in every single Opposition day debate we get from the SNP, we hear protests from SNP Members that they are speaking up for Scotland. They are not. They are speaking up for their belief about Scotland. They are speaking up for their party’s views in Scotland. But they are not Scotland—nobody is Scotland.

When we get an Opposition day debate that looks at the benefits of our two Governments in Scotland—the UK Government and the Scottish Government—I will join SNP Members in the Lobby and support them. However, as long as they use these Opposition day debates simply as party political events for the Scottish National party, rather than actually trying to achieve something for their constituents or our country, I will not support them—and, tonight, I will certainly not be supporting the SNP.

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Douglas Ross Portrait Douglas Ross
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Will the hon. Gentleman give way?

Pete Wishart Portrait Pete Wishart
- Hansard - - - Excerpts

I am not giving way to the hon. Gentleman as he took half an hour, sorry.

This is where we are in Scotland, and I thank Conservative Members from the bottom of my heart for helping me in my ambition and quest to deliver independence for Scotland.

It is so unnecessary. There are a couple of ways that we could do these things. We could have a separation of the ways peacefully and amicably, respecting each other, or Conservative Members could do the thing of shouting us down, disparaging us and trying to take the powers of the Scottish Parliament. I suggest this to the hon. Gentleman and hon. Ladies on the Conservative Benches: why don’t we do it the friendly way? I will tell them something. They won their Brexit; have it. Please have it. If that is what England wants, please have it. I will be the first person to applaud them, cheer them and wish them all the best. We do not want it. We don’t want it—that is the simple thing. Why can we not both have what we both want? Why can’t they have their Brexit, have their splendid isolation and have their fantastic trade deals that they have in the bag? What we will do is reflect on what the Scottish people want, which is to be an independent nation within the European Union.

I am here to sum up today’s proceedings, so let us see if I can make a little bit of a job just about that. There have been some fantastic contributions. Looking around, even the Tories, with their disparaging remarks about Scotland, have been pretty interesting. [Interruption.] They have been great. They have been fantastic for us and we are so looking forward to putting a compendium together.

The opening speech by my right hon. Friend the Member for Ross, Skye and Lochaber (Ian Blackford) was a trademark tour de force accurately summarising the situation in and condition of Scotland: talking about the power grab, the threat to the Scottish Parliament in terms of the devolution settlement, talking about where the Scottish people are in relation to Brexit, and saying why it is necessary to have an extension to Brexit. That is what he laid down so very effectively in his speech today.

We then had some fantastic speeches from my hon. Friends the Members for Argyll and Bute (Brendan O'Hara), for Inverness, Nairn, Badenoch and Strathspey (Drew Hendry), for Stirling (Alyn Smith), for Kilmarnock and Loudoun (Alan Brown), for Paisley and Renfrewshire North (Gavin Newlands) and for North Ayrshire and Arran (Patricia Gibson). From Glasgow to Aberdeenshire to Lothian, there were fantastic speeches from my hon. Friends. “They do not speak for Scotland.” I do not know which one of the disparaging remarks that was from. But my hon. Friends speak on behalf of nearly every single community in Scotland. We have 80% of the Members representing Scotland in this House. From Ayrshire to Argyll to Aberdeenshire to everywhere, we have SNP Members who will put the views of their constituents. On no issue do they speak on behalf of those people more than on Brexit. Scotland voted overwhelmingly to reject Brexit. Every single constituency in Scotland voted to remain in the EU. What my hon. Friends did here today was to stand up for their community, represent their views, and make sure that they were properly represented and that their voice was heard. They did a fantastic job of that today.

Then, of course, there were the Conservative speeches. I am not going to say any more about them, because that was just great. But there is something I have observed—[Hon. Members: “More!”] Okay. They are saying, “More.” How about this, then? I have been in this House for 20 years and I have never observed a Conservative party quite like it: the new model Conservatives, the red wall Tories, the Commons commandos—how about that one? That is the way to describe them, or Boris’s Brexit bombardiers! How about that one? I cannot tell them apart. They are all the same. They are nearly all male and they are all standing there. They all beat the Labour party and they are all really thrilled about that. Well done. Gosh, we tanked the Labour party 10 years ago! It is not a big deal or a big feat.

The poor hon. Gentleman, the hon. Member for Sheffield Central (Paul Blomfield), sitting there having to take all this. I actually feel sorry for him. The Labour party could not even be bothered to turn up. It was just appalling. For goodness’ sake, they must have something to say about Brexit. Even if they turned up and just asked to open the window or something, at least they would have been on the record, but they could not be bothered to even do that. Does he want to say something? I’ll give way to him.

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Iain Stewart Portrait Iain Stewart
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How rude of the right hon. Gentleman. That says it all. SNP Members do not have the courtesy to listen to the answers that have been given.

Douglas Ross Portrait Douglas Ross
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Perhaps I could provide clarity for the Minister, because he has been assiduous at the Dispatch Box all afternoon—for six hours. I have also received a copy of the embargoed UK Government press release. I received it from “Newsnight” because the right hon. Gentleman and I are both appearing on it to discuss this issue. This is not the Government issuing things early; this is “Newsnight” trying to help those going on it. If the right hon. Gentleman is so confident in his argument, I would have thought that he would have been willing to have a debate with me, rather than wanting to go on 10 minutes before.

Iain Stewart Portrait Iain Stewart
- Hansard - - - Excerpts

My hon. Friend makes an excellent point. When the publication is made available tomorrow, and this House has its proper opportunity to scrutinise it, Members will see that these proposals are all about helping businesses across the United Kingdom. An internal market is not a novel concept. Any country that has a powerful system of federal arrangements or devolution has an internal market structure. These proposals are about making sure that Scottish businesses can continue to trade throughout the rest of the United Kingdom, unfettered, without additional restrictions, barriers or costs, and that they can sell their goods or acquire their supply chain products. That is what this is about. We will see that these are just tired old claims of a power grab. Nothing can be further from the truth. In fact, the truth is that many more powers will be coming not just to the Scottish Parliament, but to all the devolved Administrations of the United Kingdom.

The right hon. Member for Dwyfor Meirionnydd (Liz Saville Roberts), the leader of Plaid Cymru, said in her contribution that there should be more devolution. I am happy to say that Brexit means that there will be more devolution. Let me give some of the policy areas where that will happen: agriculture, fisheries, chemical regulation, food safety, procurement, waste management, carbon capture, aviation—I could go on and on. There is a long list of powers currently residing with unelected bureaucrats in Brussels that will go down either to this House or, more importantly, to the devolved Administrations, where they will be subject to democratic decision making.

Of course, these will complement the strong existing powers that Holyrood and the other devolved Parliaments have. The hon. Member for Kilmarnock and Loudoun (Alan Brown), among others, moaned that the Scottish Parliament did not get any more powers after the 2014 referendum. Did he not see the Scotland Act 2016, which devolves significantly more taxation and welfare powers to the Scottish Parliament? That is the reality, and all we get from the SNP is manufactured grievances that are straight out of the separatist playbook.

Oral Answers to Questions

Douglas Ross Excerpts
Tuesday 7th July 2020

(3 years, 9 months ago)

Commons Chamber
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Jesse Norman Portrait The Financial Secretary to the Treasury (Jesse Norman)
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As the hon. Lady will know, the Treasury is in constant communication with the FCA on these and other issues. If she would like to bring the specific details to my attention, I will make sure that they are examined by Ministers.

Douglas Ross Portrait Douglas Ross (Moray) (Con)
- Hansard - -

Our coach industry will be vital as the country opens up and we begin our recovery from covid-19. Local Moray firm Maynes of Buckie, and its owner Kevin Mayne, have been leading calls for a bespoke deal to support the coach industry. Will the Treasury look at that idea and consider it?

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I am sure my hon. Friend understands that the desire for bespoke deals across every sector is extremely great. Our view has been that what is required is to lift all boats by a general support for the economy, and that is the approach we have taken, which is why the interventions we have made so far include almost £300 billion of guarantees—worth roughly 15% of UK gross domestic product.

Economic Outlook and Furlough Scheme Changes

Douglas Ross Excerpts
Tuesday 16th June 2020

(3 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.

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Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

I massively welcome the right hon. Lady’s support for and chairmanship of the Stratford East. It is a phenomenal theatre, as anyone will know who has acted in Joan Littlewood’s theatre workshop or “Oh! What a Lovely War”. It is a foundational place. She will be aware that many theatre companies have benefited from some of the schemes already launched and that the Government have already made a substantial commitment of support to this sector through the Department for Digital, Culture, Media and Sport, but of course we continue to look closely at it, and it is right that she raised the issue, on behalf not just of the Stratford East and other theatres but of performing art spaces more widely, because the problem with coronavirus is not just the safety aspect; it is also the fear aspect that goes with a pandemic crisis of this kind.

Douglas Ross Portrait Douglas Ross (Moray) (Con)
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Because of the UK’s support, 11,700 jobs in Moray were furloughed and 2,600 self-employed benefited from a share of £7.8 million, but a Scottish Government report has identified Moray as the area in Scotland potentially at risk of the highest number of job losses following this pandemic. What will the UK Government do with the Scottish Government to help businesses and individuals in Moray in the weeks and months ahead?

Jesse Norman Portrait Jesse Norman
- Hansard - - - Excerpts

As my hon. Friend will be aware, we have always taken Moray very seriously. We have made a significant investment in the oil and gas sector, from which it is a massive beneficiary, and have supported the city of Aberdeen. We have been very engaged indeed and will continue to look at the sectoral and geographical impacts of the pandemic, but I am grateful to him for highlighting the enormous impact in his constituency of our work so far.

Oral Answers to Questions

Douglas Ross Excerpts
Tuesday 1st October 2019

(4 years, 7 months ago)

Commons Chamber
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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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13. What recent discussions he has had with Cabinet colleagues on the Moray growth deal.

Simon Clarke Portrait The Exchequer Secretary to the Treasury (Mr Simon Clarke)
- Hansard - - - Excerpts

I discuss matters of importance regarding the Scottish economy with Government colleagues on a regular basis. In July, £32.5 million was allocated for the Moray growth deal.

Douglas Ross Portrait Douglas Ross
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The £32.5 million investment that the Minister has just mentioned, which was also matched by the Scottish Government, made the Moray growth deal the highest funded per head of population anywhere in the country. The next key milestone will be the signing of the heads of terms, so can he update us on the progress made towards that?

Simon Clarke Portrait Mr Clarke
- Hansard - - - Excerpts

I thank my hon. Friend for his question. He has been a great champion for the growth deal, which will unlock huge benefits for the people of Moray. We hope to settle the heads of terms this month to allow this whole project to move forward quickly.

Summer Adjournment

Douglas Ross Excerpts
Thursday 25th July 2019

(4 years, 9 months ago)

Commons Chamber
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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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It is a pleasure to follow the hon. Member for North Tyneside (Mary Glindon).

May I begin by putting on record my thanks and, I am sure, the thanks of all Scottish Conservative colleagues here in Westminster, Holyrood and across Scotland for the sterling service of the previous Scottish Secretary, my right hon. Friend the Member for Dumfriesshire, Clydesdale and Tweeddale (David Mundell). He has been a staunch supporter of Scotland and the Union, and really was Scotland’s man in the Cabinet. I know that his successor, my hon. Friend the Member for Dumfries and Galloway (Mr Jack), will continue that work, but my right hon. Friend certainly made me and my colleagues who joined this place in 2017 feel extremely welcome. We valued his support—no one more so than me for his efforts to get the Moray growth deal over the line. I read an article by the Scottish journalist, Stephen Daisley, today in which he said that my right hon. Friend’s time in office as the Scottish Secretary was the longest since Lord Lang. He was appointed by David Cameron to the shadow Cabinet 13 and a half years ago, which meant that he was the longest serving Scottish spokesperson for either party since Willie Ross served under Harold Wilson, and that is a commendable record.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
- Hansard - - - Excerpts

There would not be a Stirling and Clackmannanshire city region deal without the former Secretary of State either, so I put on record my grateful thanks to him too.

Douglas Ross Portrait Douglas Ross
- Hansard - -

I appreciate that comment from my hon. Friend.

May I also use this opportunity in the House of Commons today to thank another person for sterling service, and that is Clare Russell who will shortly retire after 14 years as the Queen’s representative as Lord Lieutenant of Banffshire? In those 17 years, she has organised more than 40 royal visits, the last of which was for the Earl and Countess of Forfar to visit Glenfiddich Distillery in Moray. Over and above the royal visits that Clare Russell organised and participated in, she has been part of countless community events throughout Banffshire. She is always ably assisted by her husband, Oliver.

The Lord Lieutenant of Banffshire was presented with the Commander of the Royal Victorian Order by Her Majesty in 2018 and a few years earlier received an honorary degree from Aberdeen University. I want to say from these Green Benches that the people of Banffshire are extremely grateful for the commitment and dedication that Clare Russell has shown to our area and for the 17 years of great service. We are also extremely grateful to her for everything that she has done to promote Banffshire and for being the Queen’s representative in our area.

I also want to use the time available today to mention once again our armed forces, who are an integral part of the Moray community. Time and again, I mention RAF Lossiemouth and our brave men and women who serve there, and, of course, those at 39 Engineer Regiment in Kinloss at Kinloss barracks. Tomorrow, I will be joining them in Grant Park in Forres where there will be an Operation Trenton medals parade. The regiment will march down Forres high street and assemble in Grant Park. I hope that this great weather that we are currently having will continue for the men and women who will receive their honours tomorrow.

A slightly negative point that I feel I must bring to the attention of the Chamber today is the closure of the East Beach bridge in Lossiemouth. This is an extremely popular beach in Lossiemouth where I enjoy taking my family and our dog for a walk. Indeed, I even train on the dunes sometimes at East Beach, but, yesterday, after a report from the public, Moray council carried out an inspection and the bridge was closed. It was estimated just on Tuesday this week that 3,500 people cross that bridge in a single day, and the East Beach at Lossiemouth attracts tourists all year round. I hope that we can find an immediate solution to these problems, and that the UK Government, the Scottish Government and private investors can get involved to ensure that the bridge reopens as quickly as possible. It is such an important attraction to the area, and there are real concerns from the business community that its closure could affect tourism in the area. I spoke to the chairman of Lossiemouth Community Council, Mike Mulholland, this morning and was told that there would be an emergency meeting at 12 o’clock this afternoon to get an update from the council. I worry that there will not be an immediate solution, but we all must work together to try to get the bridge opened as quickly as possible.

Finally, in the last few seconds I want to mention the great community spirit in Moray. Just last week I visited the baby bank that has been set up by Susan and Ian Sutherland, who collect clothes and the other goods that people require for young babies and distribute them in the local community. The project originally started in their dining room and has now moved into premises in Urquhart. Those people are doing great work, and I praise them and all the volunteers in Moray who do outstanding work throughout the year.

Local Bank Closures

Douglas Ross Excerpts
Wednesday 12th June 2019

(4 years, 10 months ago)

Westminster Hall
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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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I beg to move,

That this House has considered the Government response when the closure of the last local bank is proposed.

It is a pleasure to serve under your chairmanship, Ms Ryan. I am delighted to have secured this debate, because the closure of our local bank branches in Moray has been an issue of significant concern for some time. I want to start with a roll call. Since 2015, we have seen 16 bank closures in the following towns in Moray: Cullen, Dufftown, two in Aberlour, three in Keith, two in Buckie, Elgin, a further two in Lossiemouth, two in Forres, Burghead and Fochabers. Those bank closures have affected communities in the north, east, south and west of Moray—no part of our area has been unaffected. The issue continues, with growing frustration for my constituents in Moray and constituents across Scotland and the UK.

In the UK, bank branches have reduced from 11,365 in 2007 to just 7,207 10 years later. In Scotland, between 2010 and 2018, a significant number of branches closed. RBS reduced its branch network by 70%, Clydesdale bank by 53% and Santander by 42%. Which? estimates that there are 130 communities in Scotland alone that are described as cash deserts. That means they do not have access to either a local bank branch or an ATM.

The banks have their reasons for doing this. They explain that footfall is decreasing, that more people are taking up online banking and that people can use different methods to deal with their banking needs. I disagree with that for a number of reasons, but an email I received from a constituent summed it up perfectly. The constituent comes from Portknockie, and wrote:

“I support you in calling banks to account. We know that bank closures in Moray have been severe and that banks have not even followed their own protocols when closing branches.”

She continued:

“I use online banking and am fortunate to have both the skills and fast broadband which make this possible, but I think that it is wrong that banks are acting on the assumption that everyone has these and increasingly that they have smartphones and good mobile signals. I have a smartphone but the mobile signal where I live in Portknockie is so poor that SSE were unable to install a smart meter.”

Yes, the banks do have many reasons for suggesting that these closures are the right way forward, but I believe that this constituent and many more who contacted me ahead of this debate are absolutely right. People are not unaffected by these closures. A large number of people in our communities either do not have access to fast broadband, to allow mobile banking, or simply do not want to use it, but wish to continue the face-to-face contact that they value with their banks.

Stephen Kerr Portrait Stephen Kerr (Stirling) (Con)
- Hansard - - - Excerpts

I congratulate my hon. Friend on securing this debate. His constituent also raised the question of the procedures and processes that banks go through before they disengage with a community. In the experience of my constituents and my own experience in Bridge of Allan, that is a tick-box exercise and nothing more.

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Douglas Ross Portrait Douglas Ross
- Hansard - -

I endorse and agree with my hon. Friend’s comments. I want to focus specifically on how banks approach this whole process. It could be done far better—indeed, it could not be any worse.

John Lamont Portrait John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)
- Hansard - - - Excerpts

My hon. Friend is making an excellent case for why it is wrong that these banks have been closed. In my own area in the Scottish Borders, we have lost many bank branches, which causes great anxiety to many of the residents. When banks shut a branch, they say that there are mobile or other banking options, but many communities do not have access to mobile phone signals or broadband. Does my hon. Friend agree that the banks should be doing more, before they shut the branch, to ensure that all residents and communities are properly connected? The Government may have a role in supporting that, too.

Douglas Ross Portrait Douglas Ross
- Hansard - -

My hon. Friend’s seat in the Scottish Borders, my own in Moray and many others across Scotland do not have adequate broadband provision to allow a suitable online connection, to which the banks are directing so many people. I will be interested to hear the Minister’s response to the point made by my hon. Friend.

It is right that we should discuss bank closures in the round, but this debate specifically addresses the point at which the final bank branch in a town closes. Sadly, we have recently seen that in Lossiemouth. Lossiemouth is not a small town; it is a growing town. The population is increasing, largely due to the UK Government’s investment there. We are putting £400 million extra in RAF Lossiemouth, which will be the home of the P-8 Poseidon aircraft. With that, there will be at least an additional 400 personnel and their families coming to the town.

It is all the more bizarre and upsetting that now, when Lossiemouth has this huge investment and is preparing for an increase in population, the last branch in the town should have decided to go—it closed last week. This weekend was the first without the branch and, as I will mention later, the ATM was also removed. In the first weekend after the branch closed and the ATM was removed, a town with almost 8,000 residents was left with no cash whatever. The two remaining cash machines in Lossiemouth ran out of money.

Liz Saville Roberts Portrait Liz Saville Roberts (Dwyfor Meirionnydd) (PC)
- Hansard - - - Excerpts

I am sure that all of us here now have experience of towns with no banks in them. If a town known to be highly dependent on the cash economy, as many of our tourism towns are—this particularly affects bars and pubs—loses its last bank, people will be aware that cash is being kept on premises. To what extent have the Government considered the security of the towns and the threat of organised crime? Bars and pubs in particular—on bank holiday weekends, say—will no longer be able to deposit cash locally, so that cash will be held on the premises, which are not equipped and not necessarily insured to hold that level of cash. This is an aspect that we have not considered so far.

Douglas Ross Portrait Douglas Ross
- Hansard - -

I am grateful to the right hon. Lady, because that issue came up when I held a public meeting in Lossiemouth, following the announcement that the final branch in the town would close. The local football club, Lossiemouth F. C., said that it had checked with its insurers, who said that they would either increase the premium to a level that it could not afford or simply not insure it at all, because it would now not be able to deposit cash at the end of the night: the cash would have to remain on the premises. I hope the Minister addresses that issue, but we also have to put it to the insurers, because it is no fault of the football club or other operators in these towns that the banks are now closed and people cannot deposit money.

I want to return to Lossiemouth, a huge town in Moray, being left without cash this weekend. Denise Bedson of the Lossiemouth Business Association told The Press & Journal:

“The situation at the weekend was disgraceful. A lot of small businesses can’t afford card facilities. I know there are cheaper solutions but the phone signal isn’t always the best here for them to work properly. We’re trying to get more banking facilities here because the situation is very difficult”.

It was so difficult that there were reports of people going into the local store to buy one tin of baked beans just to get cash back. They had to buy something that they did not want or need, simply to get money from the store, because the cash machines were not working. Councillor James Allan, my colleague, who represents Heldon and Laich, has been a great local champion for this cause for years. We have gone from four banks and seven ATMs down to just two ATMs. In a community the size of Lossiemouth, that is simply unacceptable. This is just the first weekend. We have serious concerns that this will go on further.

Mention was made of tourism and tourist businesses. Lossiemouth is a great attraction for tourists, with whom it is very popular. We have takeaways and taxi firms, which do not accept credit cards or debit payments. They will suffer as a result of this. Lossiemouth Community Council and its councillors Mike Mulholland and Carolle Ralph have been highlighting the bank closures for some time; they also held a public meeting about them, following my meeting. The issue has been of considerable concern since the announcement was made last November. We knew that this was coming, but the banks have deserted Lossiemouth and other communities across Moray, Scotland and the UK. I believe that they have to do more about it.

While I am speaking about Lossiemouth, the area in Moray that is most affected because it has no branch left, I also want to mention post offices. They play a vital role, but there are some limitations. I know how hard Tony Rook, owner of the post office in Lossiemouth, and his staff are trying—as he commented in The Northern Scot this week, they are doing their level best—but when there is a spike in use and they are away for the weekend, there is nothing that they can do to put more money into their cash machine. He has one of the two cash machines in Lossiemouth. It costs his business to have it facing outwards to the street, but he does it as a public service. It is a great service, but even with great efforts from him and his staff, we were still left without money in a Moray town at the weekend. That is something that we need to look at.

It is not just Lossiemouth that has been affected. At the same time as the closure in Lossiemouth was announced, there was another in Keith. I held a public meeting there as well; I was grateful for the attendance of local councillor Donald Gatt, as well as Paul McBain, representing the post office, and Pearl Hamilton from the Federation of Small Businesses.

When we consider the impact of branch closures or the reduction of ATMs, we often think only about the customers who want to take money out, but the small businesses in our communities suffer just as much, if not more. FSB Scotland retweeted my tweets about today’s debate because it has great interest in the matter. Small businesses are losing not only the branch that they bank with and deposit their takings at, but the opportunity for people to take money out and spend it in their shops. They are the lifeblood of our local communities, so it is unfortunate and deeply reprehensible that they are being drawn into this.

I also want to speak about the bank’s response. I have to say that its contempt both for its own customers and for local communities is disgusting. As the local Member of Parliament, I got a phone call about the Bank of Scotland’s closures in Lossiemouth and Keith, days before it even wrote to its customers; I know my MSP colleague did, too. It came to the politicians to tell us, “This is what we are doing—oh, and by the way, we will tell our customers after the bank holiday weekend.” It thought that they could wait a few days before even bothering to tell its customers about news of such magnitude.

The banks get involved in the process that has been laid down to consult and inform communities of their decision, but they never change their mind. It is a fait accompli—they have decided what they are doing. When communities rightly stand up against these cuts and removals to express their concern about how deeply damaging they will be, the banks turn a deaf ear: they are not interested, and they do not want to hear it. I have to say that I think their behaviour shocking and unacceptable.

Jamie Stone Portrait Jamie Stone (Caithness, Sutherland and Easter Ross) (LD)
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The hon. Gentleman is making a most persuasive speech. When a local authority in Scotland wants to close a school, there has to be a proper public consultation process. Does he agree that something similar would be appropriate for proposed closures of bank branches?

Douglas Ross Portrait Douglas Ross
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The hon. Gentleman makes a valuable point with which I wholly agree. Like him, I have been involved with school closures as a local councillor, and they are not easy decisions to take. When we were proposing to close Cabrach Primary School in Moray, we had to have a full consultation, even though it had no pupils left at all—the final two, a brother and sister, had moved to another school. There has to be a full consultation with the community to close a school with no pupils, but a bank branch with so many customers that is so valuable to the local area can be closed when the bank comes in and ignores every view put to it.

My most abiding memory of Lloyds’s reaction to what it was doing in Lossiemouth and Keith was that it was not even willing to engage. I wrote to it when I quickly assembled the public meetings, which were attended by people from community councils, the post office and business associations. The meetings in Lossiemouth and Keith both had an empty chair for the bank; because it could not even be bothered to turn up and face the public about its decision, I thought it only right to show the public that it was absent by leaving a chair empty.

People wanted to challenge the figures about reducing footfall or the number of transactions. There were several people in the community who did not believe the figures that were put forward. The bank should have either substantiated its claims and stood up to support them, or gone back to the community and said, “This is where we were correct, and this is where you were correct.” That it was unwilling to do that demonstrates its whole attitude to this crisis.

The bank’s next response is, “Well, we’ll put in mobile banking.” A town the size of Lossiemouth, which has gone from four branches to none, now has a mobile bank coming for an hour or two a week. We have a great climate in Lossiemouth, but it is not always sunny and beautiful; it is sometimes cold and wet, and yet we expect elderly bank customers to stand outside and wait while others go in and carry out their business. There are also elements of privacy that a mobile banking service cannot replace. It is wrong that we should keep hearing, “We are closing your branch, but we will continue to have a presence.” That presence is pitiful, and it does not match the needs and aspirations of the community that uses it.

As I have mentioned before in Westminster Hall, in a debate about access to cash, RBS in Moray has a mobile branch van called the Moray Rambler. There have been so many closures of bank branches across the north-east of Scotland that the Moray Rambler now has to ramble into Banffshire and Aberdeenshire to cover areas outwith my constituency. Not only have we a poor service, but it is being stretched further and further and towns are getting less and less time with the mobile bank.

Post offices rightly have a role to play that we all value. Paul McBain represented the National Federation of SubPostmasters at my public meetings, and he did so well. Some tasks can be done at the post office instead of the bank, but some simply cannot be replicated: transferring money from an account, seeking advice about bank accounts, opening or closing accounts, registering a power of attorney or grant of probate, making complaints or inquiring about savings, current accounts, credit cards, mortgages, personal loans or investments. There is a role for the post office and there are tasks that it can do, but there are many that it simply cannot. It is wrong for the bank to say, “We’ll put in a mobile branch, or you can use the post office as an alternative.” It is not a like-for-like alternative; it is misleading and wrong to say so, and we will be in trouble if we go down that route.

Research into post office usage by Which? reveals that only 55% of adults are aware that they can use the post office for banking—almost half of the population do not know that—and that 47% are unlikely to use a post office for banking in the future. I hope that we can change those figures; as I said in an Adjournment debate in the main Chamber a couple of months ago, we need to encourage the public to use our post offices. However, many people out there do not want to use them for certain aspects of their banking needs. Some 42% of people did not want to go into a post office for banking because queues were too long, while 32% believed that they were not private enough.

Stephen Kerr Portrait Stephen Kerr
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The key thing is that post offices have to be financially viable. If they are to take on more services, they have to be able to make a living from them. That is a fundamental challenge to the existence of many sub-post offices.

Douglas Ross Portrait Douglas Ross
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I agree wholeheartedly. That is an issue for the Government, but not for the Minister; I know that the Under-Secretary of State for Business, Energy and Industrial Strategy, my hon. Friend the Member for Rochester and Strood (Kelly Tolhurst), has been discussing it. I want our post offices to be rewarded for doing the tasks that the banks are currently doing, because they are not being rewarded at the same level as banks for the jobs that they do.

My final point about closures goes back to the figures on footfall. In Lossiemouth, we have been told, “Your nearest branch is in Elgin, which is not too far away.” It is not far away in mileage, but getting there can be quite difficult because our bus services are not as good as they once were. People are expected to get the bus from Lossiemouth into Elgin, but ironically the branch there is not as accessible: people cannot park very easily on the high street, so they have to pay to use a car park and then troop round to the bank. Customers of the same bank used to go from Elgin to Lossiemouth because it was easier to park outside, and now we have closed the branch that they actually wanted to go to. Again, that shows how ill thought-out these plans are.

I know that many hon. Members want to speak in this debate, but I will just highlight access to cash. I have already mentioned the scenario in Lossiemouth where there was no cash available over the weekend. There has been a decline in the use of cash, but research undertaken in 2018 showed that 73% of people used cash frequently—that means once or twice a week.

The next figure that I will cite is interesting: 60% of 18 to 24-year-olds use cash frequently—again, that is once or twice a week. I am looking around me in Westminster Hall; before my hon. Friend the Member for Angus (Kirstene Hair) came in, I thought I was the youngest Member here, but she has beaten me to it. My hon. Friend the Member for East Renfrewshire (Paul Masterton) may have a complaint to make about that. Generally, we think that younger people—those in their thirties, or younger—are more likely to use smartphones, other technology or contactless payment, but we are told that 60% of 18 to 24-year-olds still use cash. Access to cash is not just something that affects the older population; it affects everyone in our communities. Industry figures predict that in a decade’s time, cash will still be the second most popular payment method.

A further concern that was mentioned today in a press release from Which? is that 7 million people were unable to use a payment card last year because of IT glitches. We can encourage people to use different payment methods and move away from cash, but people will still be affected if there are IT glitches, and such problems sometimes cost them money. We need to bear in mind that in the last year, 7 million people were affected by IT glitches.

Patricia Gibson Portrait Patricia Gibson (North Ayrshire and Arran) (SNP)
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The hon. Gentleman is making an important point. Access to cash machines is also important for people who are on a budget. They like to withdraw small amounts without being charged, to help them to budget, whereas better-off people may make one large withdrawal for the week.

Douglas Ross Portrait Douglas Ross
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The hon. Lady is absolutely right. Research into the issue shows that some of the lowest paid in our society will be most affected if there is an even greater reduction in access to cash.

John Lamont Portrait John Lamont
- Hansard - - - Excerpts

My hon. Friend makes an excellent point about the importance of cash. There is a wider economic point, because many of the small towns that he represents, and many of those that I represent in the borders, are absolutely dependent on cash. In Coldstream, Hawick and other towns in my constituency, when the banks have shut and the cash machines have gone, many traders have noticed a significant decrease in footfall and sales. That undermines the economic viability of the high street.

Douglas Ross Portrait Douglas Ross
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I totally agree with my hon. Friend. As he mentioned Coldstream and Hawick, I am sure he will get two press releases out of that intervention—something he always does well in debates such as this. Our high streets are vital to our communities, but we have seen a reduction in the number of shops on them. If that continues, we will really suffer.

I will briefly mention banking hubs. They are an idea that we have to consider, and I want to hear what the Minister has to say about them. The idea is not a new one; I know that it was suggested as far back as 2002. Last year, I wrote to every bank operating in Scotland about the suggestion of looking further at banking hubs—I know it has been made by several politicians from different parties—and I have to say that the response was disappointing. Some of the banks ignored the suggestion, and others said that hubs were not right for them. Nationwide said that it did not believe it was in the interests of its members to enter into a branch-sharing scheme. Such a scheme might not be in the interests of Nationwide’s members, but it might be in the interests of our constituents and its customers.

We have to do far more to get the banks to work together. They may have some concerns, but if we cannot have the four branches that we used to have in Lossiemouth, let us at least have one hub where the banks can work together to ensure there is still a banking presence.

Kirstene Hair Portrait Kirstene Hair (Angus) (Con)
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I thank my hon. Friend for giving way and for bringing this important issue to the House. We have seen the starting up of a pilot business hub in Birmingham, whereby four bank branches have come together to help businesses. Does my hon. Friend agree that that shows that there is a mechanism for banks to do this, and that they just need the will to ensure that they help their personal banking customers just as much as their business ones?

Douglas Ross Portrait Douglas Ross
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My hon. Friend makes the point that hubs have been created before and there should be no blockage. However, the banks seem unable or unwilling to move forward on the issue, and perhaps the Minister can use either a carrot or a stick to encourage them to do a little more.

I will end by putting some points to the Minister and asking him some questions, and then I will allow others to contribute to this debate. I was interested to read a report from July 2018 by the Scottish Parliament’s Economy, Jobs and Fair Work Committee, which was chaired by my colleague Gordon Lindhurst. The report contained a number of key points, including that there will be an indefinite ongoing need for cash and universal face-to-face banking provision; that the access to banking standard, with its post-closure-decision consultation, is failing and a binding pre-decision consultation is needed; and that there is a need for the UK Government to research the issue properly and come up with binding statutory and regulatory conclusions.

I know that the Minister listened intently and understood the concerns of Scottish Members when he addressed this issue at the Scottish Affairs Committee this morning. I hope that, with some of the asks from me and other Members, the UK Government can make some progress on this issue.

I hope that the Minister will look at the access to banking standard and toughen it up, because some banks are not part of it. As I said when I read out communications from a constituent and others, there are concerns that banks are not adhering to the standard. I also hope that he will engage with the banks about banking hubs; the banks have too easily written off that suggestion rather than engaging properly on it. Although I accept that there are commercial reasons why banks choose to leave towns, I hope that the Minister will accept that the situation is different when a bank branch is the last to leave a town or village, and that that has a far greater impact than earlier closures.

To conclude, there has already been a devastating reduction in the number of branches across Moray, across Scotland and across the UK. We almost always lose ATMs at the same time, and therefore access to cash as well. We need to reverse that trend. Banks can improve their image—it is not always the most positive—by listening to communities and working with them, and not by simply leaving towns and villages. To date, I do not believe that the Government have done enough. We can also improve our image on this issue by working with communities and ensuring that they retain the banking presence and bank branches that they so greatly need.

Joan Ryan Portrait Joan Ryan (in the Chair)
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I intend to start calling Front-Bench spokespeople at 3.27 pm. That leaves roughly between four and five minutes if each Back-Bench Member who wishes to speak is to have an equal share of the time that is left; I leave Back-Bench Members to manage their time themselves.

--- Later in debate ---
John Glen Portrait The Economic Secretary to the Treasury (John Glen)
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It is a pleasure to serve under your chairmanship, Ms Ryan. I congratulate my hon. Friend the Member for Moray (Douglas Ross) on securing this important debate. I acknowledge the contributions of all who have spoken this afternoon. I have listened carefully to the speeches, and it is good to have seven of my hon. Friends from north of the border here. I will endeavour to answer the points substantively.

I gave evidence to the Scottish Affairs Committee this morning on this very issue. Straight after this debate, I hope to make a speech at the Which? cash summit, where I will set out the work being done by industry, the Government and regulators to ensure that access to cash is safeguarded. I recognise that this is a very important issue for many of our constituents. In my own constituency of Salisbury, I have seen bank branches close and I understand how difficult that is for communities. We have heard some specific examples this afternoon of the distress that can be caused when the process does not go smoothly. I recognise there are different opinions across the House about how the challenge should be met, and I will address those shortly.

Undoubtedly, the fact that the retail financial landscape is changing rapidly, as more consumers and businesses opt for the convenience, security and speed of digital payments and digital banking, is a significant factor. Ten years ago, cash accounted for more than three fifths of all payments in the UK; today, the figure is less than three in 10—and that is anticipated to fall to less than one in 10 in nine years, by 2028. In 2017, debit cards overtook cash for the first time as the most frequently used payment method in the UK.

I am very sensitive to the point made by the hon. Member for North Ayrshire and Arran (Patricia Gibson) that debit cards are not everyone’s choice; it is really important that we keep in focus the need to maintain access to cash. In 2018, two thirds of UK adults used contactless payments, 72% of UK adults used online banking and 48% used mobile banking. How we use financial services is changing and consumers have more choice than ever. It is an exciting time, but it is also a disruptive and potentially confusing time for our constituents.

Closing a branch is never an easy decision, but the decision will ultimately be a commercial one for the bank. The Government have been clear that we do not intervene in those decisions because industry is best placed to know what works best for its customers. I recognise that branch closures can be very disappointing for customers and the impact on communities must be understood, considered and mitigated where possible. I will therefore set out some of the ongoing work in this area—in particular, access to the banking standard and how it might be enhanced.

Douglas Ross Portrait Douglas Ross
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The Minister says that closing a bank is a commercial decision and the banks are listening to their customers. How can they be listening if they take those decisions prior to any consultation and if, when they are encouraged to engage, they do not even turn up?

John Glen Portrait John Glen
- Hansard - - - Excerpts

That behaviour that my hon. Friend experienced in his constituency is not best practice. It is not acceptable. It is very unfortunate when that happens. My job is to try to ensure that there is a systematic upgrade to the quality of the consultation and engagement from the banks, and I will now set out what is happening.

The access to banking standard has been noted by a number of colleagues today. Since May 2017, the major high street banks have been voluntarily signed up to the standard, which commits them to work with customers and communities to minimise the impact of branch closures. The standard ensures that banks keep customers informed about branch closures, and that the bank sets out its reasons for closure and the alternative options for continued access to services. How meaningful that consultation process is has been raised, on the basis that it happens when a decision has been made and not prior to the decision. I am looking into that. I have written to the Lending Standards Board and will be meeting its representatives to discuss the matter further.

The options for continued access should include specialist assistance for customers who need more help. For example, the Lending Standards Board, which monitors and enforces the standard, has told me it sees evidence of support from firms to assist customers in understanding and using alternative banking options. I recognise that that happens in some, but not all, cases. Such support might include digital experts being placed in the relevant branches to demonstrate how mobile and online banking works and assisting those customers who wish to use that functionality, as well as making introductions to nearby post offices and retained branches.

I continue to be very supportive of the access to banking standard and I value the commitment it places on banks to communicate the next steps for customers when the decision is made to close a branch, but I am aware of the concerns that colleagues have expressed about the standard. I confirm that I recently wrote to the Lending Standards Board to seek reassurances that the access to banking standard remains fit-for-purpose, and I intend to meet the chief executive to discuss matters further, drawing on the meetings I have had with various groups from all parts of the House and on the representations made so forcefully by colleagues this afternoon.

I turn to the Post Office. I was pleased to see the successful renegotiation of its commercial agreement with high street banks. That will enable 99% of personal customers and 95% of small and medium-sized enterprise customers to continue to carry out their everyday banking at one of the UK’s 11,500 post office branches; that is 91 more branches than there were in March 2018. I acknowledge the point that my hon. Friend the Member for Moray made about functionality and how not all functions can be carried out at the post office. That could evolve, but we already see aggregation of banking services at the sub-regional level when more specialist advice is required. The issue is about working out ways to solve that challenging problem. I am engaged in that work and am happy to explore that further with him.

As a result of the renegotiation, postmasters will see a considerable increase in fees for processing deposits, and the fees will rise further if transaction volumes continue to grow. An increase in fee income will help the Post Office and its network become more financially sustainable and will allow for investment in automation, training and security in post offices. Some £2 billion has been invested by the Government since 2010.

It is essential that more people know about the banking services offered by the Post Office, which is why I asked it to work together with UK Finance to raise awareness. According to a survey by Which?, only 55% of UK adults are aware that they can use their post office for banking services; that statistic was made clear this afternoon by my hon. Friend. The point he did not make was that 77% of those who had used the post office for banking said they would do so again. We are on a journey of understanding, as people become familiar with what can happen in a post office. After that work, UK Finance and the Post Office found that awareness had increased and committed to using community outreach to further improve awareness. I will continue to take a keen interest in the progress of that work.

Although many customers are satisfied with the Post Office’s banking services, I am aware that there are still some outstanding concerns—they have been mentioned this afternoon—such as with privacy and queueing. I have therefore written to my hon. Friend the Member for Rochester and Strood (Kelly Tolhurst), the Minister in the Department for Business, Energy and Industrial Strategy responsible for postal affairs, to request that our officials continue to work closely to explore the issues.

My hon. Friend the Member for Ayr, Carrick and Cumnock (Bill Grant) made a point about credit unions and post offices. I welcome any feasible innovations in that space. The main trade body for credit unions is conducting extensive UK-wide consultation, and it will come back to the Government in September. I would be happy to explore with it how the solution he suggested might be acted on.

Related to bank closures is the issue of continuing access to cash. It is clear that for some people, cash remains their preferred, or only, method of payment for a variety of reasons. My hon. Friend the Member for Waveney (Peter Aldous) set out his experience, and that situation remains true for many people out of choice. Our financial system needs to cater for everyone in our society. Although it is exciting for many consumers, technology must not come at the expense of choice. There will therefore be no changes to our current system of notes and coins. We want to ensure that cash is available for those who need it, when they need it.

In 2015, we established the Payment Systems Regulator, a powerful economic regulator of the payments industry. Its objectives balance the need for competition and innovation on the one hand with the protection of consumer and business interests on the other. Through the creation of the joint authorities cash strategy group, we are acting to ensure a comprehensive approach to regulation in light of changing trends and preferences for cash. The Payment Systems Regulator is already examining the factors that affect the distribution of ATMs across the country. I was concerned by what happened in Lossiemouth: it is a good case study for the regulator to be examining during the early weeks of its work.

I welcome today’s announcement by UK Finance, the trade body for banks, that it too intends to explore key issues around access to cash, including the role of local areas and communities. The industry must continue to play its part, and developers should consider the needs of all customers as they design new digital banking products and forms of payment. We are seeing companies such as Square trying to increase the use of card payments in small towns. No one should be locked out of the benefits that technology brings.

I recently concluded a Westminster Hall debate speech with a call to arms to the industry to think about all consumers when developing its services, and I re-emphasise that here this afternoon. I welcome the innovations that banks are introducing to respond to changes in customer behaviour as more of us choose to bank on demand online or via an app, rather than visiting a branch. We cannot reverse digital innovation, and nor should we, given the benefits it brings to our constituents—I acknowledge once again the point made by the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone) about his constituents’ experience of connectivity—but we need to find solutions for the whole of the United Kingdom. Improving digital and financial inclusion is key to ensuring that vulnerable customers are not left behind.

I will keep pushing the industry—someone mentioned the carrot and the stick: both are required—to move forward and do more. I hope Members will recognise that I have responded thoroughly to the points made. I am happy to continue the dialogue, but I am working to engage on the specific issues raised and to secure the improvements needed.

Douglas Ross Portrait Douglas Ross
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First, I thank you, Ms Ryan, for how you have chaired this debate; there was a subtle change in your demeanour indicating that I had spoken for long enough, and that ensured other colleagues were able to speak.

I am grateful to the hon. Members for Motherwell and Wishaw (Marion Fellows), for Strangford (Jim Shannon) and for Caithness, Sutherland and Easter Ross (Jamie Stone); to my hon. Friends the Members for East Renfrewshire (Paul Masterton), for Ayr, Carrick and Cumnock (Bill Grant), for Waveney (Peter Aldous) and for Stirling (Stephen Kerr); to the hon. Members for North Ayrshire and Arran (Patricia Gibson) and for Oxford East (Anneliese Dodds), the Opposition spokespeople; and to the Minister for a constructive, detailed and hopefully positive debate—not only for Lossiemouth, Moray and Scotland, but for communities across the United Kingdom that have been affected in this way.

The Minister said that the Government have made progress, which is welcome, but we can also agree that there is more to be done after this debate. His constructive response shows that the Government are listening. I have written down the actions that he is taking at the moment and that he will take going forward, but he will be left in no doubt by today’s debate that there are still major issues in all our constituencies that need to be tackled. There was mention of banging heads together and carrots and sticks: we have to use any and all means to find a solution to the problem. Although it is useful to have had this debate, talking only goes so far. We need action, and we need it now. I am encouraged by this debate that that will happen, but the pressure will remain until we can ensure that our communities can continue to be served by the banks they need.

Question put and agreed to.

Resolved,

That this House has considered the Government response when the closure of the last local bank is proposed.

Sport in the UK

Douglas Ross Excerpts
Monday 4th February 2019

(5 years, 2 months ago)

Commons Chamber
Read Full debate Read Hansard Text Read Debate Ministerial Extracts
Douglas Ross Portrait Douglas Ross (Moray) (Con)
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It is a great pleasure to follow the hon. Member for Cardiff Central (Jo Stevens), particularly because she mentioned a number of people involved in sport, including volunteers. As a referee, I was very pleased that she mentioned referees, although she then mentioned others involved in sport, including hotdog sellers. Many things are said before and after “referee” when people describe me, but I have never heard “hotdog seller” before, so that is a new one. At this point, I remind the House of my declaration in the Register of Members’ Financial Interests, as a qualified Scottish Football Association referee; I also officiate for UEFA and FIFA.

I want first to focus on a point made by the hon. Member for Paisley and Renfrewshire North (Gavin Newlands) about facilities, because facilities are extremely important to all our communities. In the last week, I have raised a number of points about budget cuts, so today I do not want to get into the politics of the budget cuts, who is to blame, and how we can fund things more or less centrally in Scotland or through Westminster. I want to highlight the major impact that budget cuts are having on facilities in Moray. When our swimming pools in Keith and Lossiemouth are under threat, I stand with the hundreds of campaigners who went to a public meeting in Lossiemouth and are signing petitions to save their swimming pool in Keith.

The Active Schools programme is hugely important in Moray, and a number of parents and others have contacted me since Moray Council has decided to axe the programme. The programme is a partnership between councils and sportscotland, with the aim of promoting more and higher-quality opportunities to take part in sport. In 2017-18, over 90,000 participant sessions in Moray were held through Active Schools, with 35% of all school pupils in Moray participating in the sessions. Some 50% of those in my former council area of the Milne’s associated school group were involved in the Active Schools programme. There are 487 people involved in delivering these sessions, 93% of whom are volunteers.

Luke Graham Portrait Luke Graham (Ochil and South Perthshire) (Con)
- Hansard - - - Excerpts

My hon. Friend is talking about budget cuts. In Clackmannanshire, we are facing cuts to Alloa leisure bowl, which is the only remaining public swimming pool in the county. Does he agree that we should be saving and investing in these facilities to give these opportunities to our young and old people, not taking them away?

Douglas Ross Portrait Douglas Ross
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I fully endorse my hon. Friend’s point.

If the Active Schools programme is taken away, that will devastate our communities and our young people. Sportscotland is giving £272,000 in the next financial year to Moray Council to run this and other sports programmes, and that funding is under threat if we ultimately do away with Active Schools.

In speaking about facilities in Moray that face potential closure, I also want to highlight what will be a great addition to our facilities in Moray—Moray sports centre. It will be built in 364 days, and delivered on time and on budget. It will cost £8.4 million, with £8.15 million of that investment coming from the Moray Sports Trust and £250,000 from sportscotland. It will be a great facility with eight courts allowing for regional-level competition in many sports. That is really needed in Moray, as I am sure it is in other communities. Athletes young and old often have to travel to Inverness and, more often, further afield to Aberdeen, to train several times a week, so having a facility like that is a huge breakthrough for sport in Moray. It is more than 30 years since a major new public sports facility was built in Moray. I really pay tribute to Sandy Adam, Kathryn Evans, Grant Wright and everyone else involved in constructing this outstanding facility, which will be opened later this year and will be a huge benefit to the local area.

There are many things that I would like to have spoken about, but time is clearly constrained, so, as a football referee, I want to focus on football and refereeing. We have already heard about the Scottish women’s team qualifying for this year’s World cup in September. That was a great achievement for Scottish sports stars and for our women’s team. I know that everyone in the country will be getting behind the team later this year at the finals. There will also be a derby match between England and Scotland that will, I am sure, allow for interesting debates across the Chamber as it is being played. It is great to see women’s football doing so well in Scotland and across the UK. If I may, I will make a quick pitch for the reception I am hosting on Wednesday night to promote opportunities for women and girls in the football industry. I hope that the Minister, the shadow Minister and the SNP spokesperson could perhaps come to that event. Many people are going to be speaking there, and we really have to do everything we can to promote having more women in football and in sport generally.

On football refereeing, I could speak not just for five minutes but for five hours and maybe even for five days. We do not mention refereeing enough. Without the referees, and indeed the other officials, there is no football. We are quite often derided for our decisions, but it is quite simply the fact, in any sport, that without officials that sport cannot take place. Without a Deputy Speaker in the Speaker’s Chair, this debate cannot take place. That shows how important it is to have someone neutral keeping an eye on the time and on the behaviour of the participants. When I was a Member of the Scottish Parliament, I led a debate on our Scottish officials who had been selected to represent Scotland at Euro 2016. It is important when our sports stars—the men and women who play the sports—qualify for international tournaments, but when we have officials who are selected to represent their country, whether they be tennis umpires or snooker referees, we should celebrate that as well.

ATM Closures

Douglas Ross Excerpts
Tuesday 4th December 2018

(5 years, 4 months ago)

Westminster Hall
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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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It is a pleasure to serve under your chairmanship, Mr Hollobone. I congratulate the hon. Member for Rutherglen and Hamilton West (Ged Killen) on securing the debate and on introducing it so well. I was delighted to agree to be a co-sponsor when the hon. Gentleman applied for the debate to the Backbench Business Committee, and I am grateful to that Committee for granting it.

I will divide my comments into two parts. First, it is abhorrent that we should be charged to take our own money out of ATMs. There are still a few in Moray that charge for use. If I come upon one, I will actually go away to another. It might end up costing me more in money, time, fuel and inconvenience, but out of principle I would rather go to another destination than pay a company to access my own money. It is simply unacceptable that, in 2018, we still have to pay some companies to take out our hard-earned money. My constituents in Moray are particularly aggrieved about that.

However, I will focus my remarks on the availability of ATMs in high streets and rural communities, as the motion mentions. ATMs have been critical to many communities in Moray for several years, particularly in Lossiemouth and Keith. A couple of weeks ago, Bank of Scotland announced the closure of eight branches across Scotland. Some are in the constituency of my hon. Friend the Member for Angus (Kirstene Hair), but 25% of those eight are in Moray—one in Keith and one in Lossiemouth. As well as potentially closing the branches next year, the bank will also remove the ATMs.

In the 2011 census, the population of Lossiemouth was just over 6,000. That has now boomed to more than 7,000. The P-8s are coming to RAF Lossiemouth in one of the biggest UK Government investments in our defence estate, which will boost personnel numbers at the base alone by 400, and those personnel will bring their families with them as well.

The town is expanding at an excellent rate, which is encouraged by the local community, yet Bank of Scotland has decided to close its very last branch in the town. With that it will take away the ATM, so a town with a population of more than 7,000 that is expanding will go from three ATMs to two ATMs. One of those is in the local post office at Buckley’s, which is up for sale. If it is sold and that ATM is lost, we could have a population of more than 7,000 and only one cash machine. That is simply unacceptable and cannot be allowed to happen.

Luke Graham Portrait Luke Graham
- Hansard - - - Excerpts

My hon. Friend makes a powerful point. Does he agree that banks are speaking with a little bit of a forked tongue? They are closing branches in the areas that really need them, such as his constituency and mine, but are happy to open them in places such as Canary Wharf and Chelsea, which are very well served by the financial system and by broadband, and where more people bank online than in our constituencies.

Douglas Ross Portrait Douglas Ross
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I absolutely agree. That issue came up at the two public meetings I have held in Lossiemouth and Keith since the potential closures were announced. The questions at Keith centred on the fact that this would not happen in the central belt of Scotland or in the capital down here in London, where there is a large footfall. Closing one branch would have less impact on communities in Glasgow or Edinburgh than closing the last branch in a town such as Lossiemouth.

My hon. Friend the Member for Angus made the excellent point that some people may decide not to shop locally if they cannot access an ATM so that they can pay by cash. We heard at my Lossiemouth public meeting that a lot of takeaway shops only accept cash payments. It is not that people go there and decide not to buy; they have already purchased on the phone. They place an order, the food is then made, and they turn up to find out that payment is by cash only. With the cash machines potentially going in Lossiemouth and Keith, they may have no opportunity to get money out, and therefore the takeaway business loses income, because it has already produced the order.

Another important point is that, yes, this has a huge impact on local residents, and particularly the elderly, but Lossiemouth and Moray are beacons for tourists coming to Scotland. We want to welcome as many tourists as possible. What will they think when they want to buy something from the local shop, when they want a memento of their visit to Lossiemouth and Moray, but there is no cash machine for them to get their money out to purchase the goods in the town? We have to consider that going forward.

The local Conservative councillor for Heldon and Laich, James Allan led a great campaign in Moray. I pass on my best regards for Councillor Allan, who unfortunately ended up at Dr Gray’s hospital yesterday. He is recovering well. James has been a real champion of this issue in his hometown of Lossiemouth. When the Royal Bank of Scotland left the town and took away its ATM, he led the campaign to reintroduce it. The RBS building has been taken over by a commercial businessman who would be absolutely delighted to retain the RBS ATM in the town, because he knows the needs of local people. He would facilitate and work that machine, but RBS has so far refused to allow the machine to reopen. It really has to consider its obligations to the community. It may leave and close branches, but it should not take lock, stock and barrel away with the ATMs as well.

James has done an excellent study of the number of cash machines in the local area. Lossiemouth, with a population of more than 7,000 and expanding, currently has three cash machines, which will potentially be down to one. Forres, with a population of 12,500, has eight cash machines. Fochabers, which I used to represent as the councillor for Fochabers and Lhanbryde, has a population of 1,700 and three cash machines, compared with a community the size of Lossiemouth, which is expanding and will potentially go down to one cash machine.

I have to say that the mobile banking provision, which the banks always say will support the communities, does not serve our communities particularly well. It is potentially available for one hour every week or every fortnight, and many of the functions of an ATM are not available at a mobile banking service. The Moray Rambler introduced by RBS now covers a far wider area than only Moray, because RBS has closed so many other branches in Aberdeenshire and the highlands and so on, and our service in Moray is diminished even further.

I will finish on a recent court judgment about ATMs in England and Wales. I was involved in an issue with Buckley’s newsagents in Lossiemouth, again with Councillor Allan. It has an ATM that faces out on to the high street, to ensure that people can use it 24 hours a day. The owner, Tony Rook, could put it inside, but it would then be available only when the shop is open. As a servant to the community, he decided to have it outward-facing. He is being punished by the Scottish Government, who have implemented far higher business rates for outward-facing ATMs than those inside a shop.

I hope that the Minister will clarify this. The issue was passed on to me by Councillor John Cowe, who attended the public meetings in Lossiemouth and who is encouraged by the judgment that came down, I think, last month. Since 2010, supermarkets and convenience stores have been liable to pay rates on the machines, but the courts have now decided that that is not correct and have ruled in favour of the supermarkets who took this forward, particularly Sainsbury’s and Tesco, meaning that the £300 million already charged will now be refunded. I agree with the Tesco spokesperson who said:

“We welcome today’s result and the confirmation of our belief that ATMs should not be separately rateable.”

I will be interested in the Minister’s response and particularly whether he has had any discussions with his Scottish Government counterpart about how they will look at the issue in Scotland, because the ruling was for England and Wales only. It will be very important and useful for us to learn what the Scottish Government will do as a result of the judgment, because it will make a big difference to people such as Tony Rook at Buckley’s newsagents.

I am grateful for your indulgence, Mr Hollobone. This is an important debate for our communities, and I am grateful to the hon. Member for Rutherglen and Hamilton West for initiating it. Banks and ATM providers have a moral obligation to the communities that we all represent and serve. The message is coming through loud and clear. Do not take away ATMs, which are an integral part of our communities; they are important for everyone who lives in and visits them. We need them, we need them to be free and we need them to be accessible and available. By shutting them down, banks and ATM providers are shutting down many of the communities that rely on them.

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Patricia Gibson Portrait Patricia Gibson (North Ayrshire and Arran) (SNP)
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I thank the hon. Member for Rutherglen and Hamilton West (Ged Killen) for bringing this important debate, and for the work he has done on this issue. I am pleased to participate in this debate on the important issue of our constituents’ access to their own cash free of charge and, ultimately, the issue of social and financial inclusion.

We have heard that 2.2 million people across the United Kingdom are entirely reliant on cash, as opposed to credit or debit cards. It must be correct that we should all be able to access our own cash without incurring any charges. The fact is, those who are reliant on cash transactions tend to be less well-off and are the least able to pay any additional cost to access what little cash they have.

As the hon. Gentleman pointed out, earlier this year LINK, the UK’s largest cash-machine network, announced that it would go ahead with plans to cut its interchange fee by 20% over the next five years. As a result, we have seen hundreds of ATMs closing. Scotland has been hit hard, with 221 free cash machines lost between January and July 2018—around one every day. There are now fewer than 6,000 free cash machines left in Scotland. That sits uncomfortably alongside bank branch closures, as the hon. Member for Strangford (Jim Shannon) pointed out, with banks closing at a rate of 60 each month, leaving significant towns in my constituency—such as West Kilbride, Dalry, Brethe, Stevenston, Ardrossan, Kilwinning—with no bank at all thanks to RBS closures. The communities affected will never forgive RBS for this abandonment and betrayal. I believe that RBS will never again be trusted, nor will it have its reputation repaired. It is still disappointing that the UK Government did not intervene and use what influence they had in that matter.

We have also heard that post office closures, stretching back to 2007 and 2008, have compounded the issue, as the hon. Member for Makerfield (Yvonne Fovargue) pointed out. As the hon. Member for Strangford said, we have the additional problem of postmasters not being replaced; so the issue is snowballing.

I fairly enjoyed the hon. Member for Moray (Douglas Ross) doing his impersonation of a trapeze artist when he tried to blame—if I heard him correctly—the shortage of ATMs and the impact on small businesses on the Scottish Government. He will be well aware, I am sure, that thousands of businesses in Scotland have benefited from the small business bonus. I think anybody in Westminster Hall would agree, looking at the evidence, that the major issue facing small businesses is the concern and uncertainty caused by Brexit. We will just leave that there.

Douglas Ross Portrait Douglas Ross
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Will the hon. Lady give way?

Patricia Gibson Portrait Patricia Gibson
- Hansard - - - Excerpts

I will not give way. I will proceed.

So far, 2018 has seen 670 local bank branches closing across Scotland, following close on the heels of the 879 that closed in 2017. In response to this debate, the banks will no doubt tell us that fewer and fewer of us use cash in our transactions; but research shows that at least three-quarters of us use cash at least two or three times a week and it is still the most popular method of payment. The hon. Member for Stoke-on-Trent North (Ruth Smeeth) pointed out—as did almost every contributor to the debate—that those on lower incomes and older people are likely to be hardest-hit by any reductions in access to cash. The less well-off you are and the older you are, the more likely you are to rely on cash transactions, with just over a quarter of people not using card payments at all.

This perfect storm of a reduction in free ATMs and bank closures means that now there are real concerns about the effect that the closures will have on consumers and small businesses without adequate access to cash. This financial and social exclusion is utterly unacceptable. Consumers are gradually being forced into online banking, and the evidence suggests that now they are being gradually forced into cashless transactions—so much for consumer choice.

We heard from the hon. Member for Rutherglen and Hamilton West that in January 2018, LINK announced a series of four reductions in the interchange fee—the amount paid every time a customer uses a free ATM, and which funds the entire free-to-use network—from around 25p per transaction to 20p. However, concerns have been raised and, as we heard from the hon. Gentleman, the third and fourth reductions have been cancelled and put on hold respectively. Cutting the interchange fee was supposed to reduce machines in areas where there were considered to be too many, but maintain geographical coverage of ATMs across the UK. LINK commissioned a review to consider consumer requirements for cash machines over the next five to 15 years. That review was cognisant of the fact that financial inclusion is extremely important for all consumers and will remain so. Their needs and requirements must be met. Like all hon. Members in Westminster Hall today, I look forward to the findings of that review in March.

Meanwhile, research carried out by Which? is truly shocking. It shows that free-to-use ATMs are closing at a rate of 250 a month, while over 100 ATMs with so-called protected status have stopped transacting in the same period. The hon. Member for Rutherglen and Hamilton West set out the challenges associated with ATMs with protected status. Analysis shows that from November 2017 to April 2018, following LINK’s announcement about cutting the fees paid for each ATM transaction, the rate of cashpoint closures increased from around 50 per month to 300 each month. LINK’s own figures show that between January and June this year, 500 cashpoints closed each month. The implications of all this are extremely significant, with more machines being lost in rural communities despite LINK’s pledge that changes would only target urban machines, not rural ones.

Just under half of us use a cashpoint at least once a week, with 80% of us saying that access to free-to-use cash machines is important in our daily lives for paying for goods and services. Forcing people to pay to access their own cash would leave around 10% of us struggling and would constitute nothing less than financial exclusion. It would hit small and local businesses hard, as was set out in some detail by the hon. Member for Strangford. As the hon. Member for Rutherglen and Hamilton West said, already many people struggle to access free cashpoints, with around 11% of us having to walk for more than 30 minutes to access the nearest cash machine and around 9% saying that the nearest machine is simply too far away to reach on foot. That, coupled with the fact that many people do not have access to a car, makes life extremely difficult, as the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone) reminded us.

One in five of us currently does not have access to free-to-use cash, but it seems this might get worse. That is why the calls from Which? for the Payment Systems Regulator to bring more regulatory scrutiny and intervention to bear on this issue are so important. I agree that it is time for the financial inclusion programme to be amended to ensure that the entire ATM network is fit for purpose. LINK has tried to address concerns that all ATMs 1 km or more from the next free ATM will be exempt from any reductions and cuts to fees for transactions made and is increasing the subsidy for these machines, but there is some concern that these measures, although well-meaning, simply do not go far enough. Exempting individual cashpoints from cuts to fees might not be enough to save them. Cashpoint closures are not decided by LINK. We know that recent closures and the inability of LINK to quickly and effectively replace protected machines shows the shortcomings of the current approach.

We have heard from many Members today that it really is time for the Payment Systems Regulator to show its teeth. It seems eminently sensible for the PSR to conduct its own review of LINK’s financial inclusion programme, including the ATM replacement process, because that must be fit for purpose. The Government must also beef up the powers of the PSR to allow it to protect cash, and impose a duty of care on it to ensure the sustainability of the UK’s cash infrastructure. I believe that would do much to protect consumers, the choices they want to make and their financial inclusion.

If it had the power from Government, the PSR could introduce robust measures to ensure that all our communities have free and easy access to their own cash. I urge the Minister to set out how he can empower, and what he is prepared to do to empower, the PSR, to ensure that there is a robust future for free-to-use cash machines. In correspondence with me on 12 September, the PSR has admitted that it is “concerned about these closures”.

Douglas Ross Portrait Douglas Ross
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rose—

Patricia Gibson Portrait Patricia Gibson
- Hansard - - - Excerpts

I am hoping the Minister will heed the calls he has heard from all parts of Westminster Hall today to work across party lines to ensure a sustainable, inclusive approach on this issue that works for all consumers.

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John Glen Portrait John Glen
- Hansard - - - Excerpts

I acknowledge that we are not seeing the end of cash. The challenge is how we adapt to the different mode and frequency of its use. There is no simple single solution. Clearly, creating a complete network in sparsely populated areas will not always be the right answer.

Although the hon. Member for Makerfield (Yvonne Fovargue) is not in her place, for general edification I will respond to her point about the lack of notice when ATM operators move. They have a duty to inform LINK that a protected ATM will close. LINK can offer premiums to all its members to incentivise the replacement of the machine. It has set up a publicly available monitoring tool on its website that shows ATM availability. It has the power to mandate and directly commission an ATM deployer where one is necessary.

LINK’s measures aim to reduce the duplication that I mentioned earlier and to intervene where necessary. It aims to incentivise broad, national coverage of free ATMs and to protect every community across the UK from losing free ATM access. Specifically, LINK has ensured that free ATMs that are 1 km or more from the nearest free ATM are exempt from any reductions in the interchange fees that fund free ATMs. It has put in place specific arrangements to protect free ATMs more than 1 km away from the nearest free ATM, including boosting the interchange fee available in those areas. It has also enhanced its financial inclusion programme by tripling the interchange fee available to the lowest-income areas of the UK, to ensure that they all have at least one free ATM. Some 93%—an all-time high—of the most deprived areas in the UK have a free ATM.

That fact has to be seen in the context of the £2 billion of investment in the Post Office since 2010. The £370 million that is earmarked for 2018-21 is designed to maintain the last post office in the village and ensure that consumers can use the over-the-counter option to secure cash.

Douglas Ross Portrait Douglas Ross
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I am grateful to the Minister for his courtesy in giving way—a courtesy that was sadly lacking in the hon. Member for North Ayrshire and Arran (Patricia Gibson). As he is speaking about post offices, does he think that the hon. Lady did not take my intervention because she is fully aware that business rates are overseen by the SNP Scottish Government in Scotland? The problem for the Lossiemouth post office is that it is being punished by the SNP Scottish Government for having its ATM facing outwards and accessible 24/7 rather than inside the post office, which has therefore reduced the hours when the ATM is accessible.

John Glen Portrait John Glen
- Hansard - - - Excerpts

In response to my hon. Friend’s earlier request, the Government are aware of the Valuation Office Agency’s ruling and are considering their response, which will come in due course. He points out that there is a clear distinction in that behaviour.

Treasury Spending: Grants to Devolved Institutions

Douglas Ross Excerpts
Tuesday 3rd July 2018

(5 years, 10 months ago)

Commons Chamber
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Douglas Ross Portrait Douglas Ross (Moray) (Con)
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I am shocked—shocked that a debate entitled, “Spending decisions of HM Treasury and their consequences for grants to the devolved institutions” could muster just one Scottish National party speaker. The hon. Member for Aberdeen North (Kirsty Blackman) and the SNP Chief Whip sitting in the corner, out of a parliamentary group of 35 MPs, is all they can muster. The hon. Member for Carmarthen East and Dinefwr (Jonathan Edwards) has just rightly said that this is a debate about bread and butter issues that he is happy to be debating, yet other nationalists in this place seem to be happy to be absent.

I will be looking very closely tomorrow at the SNP Opposition day debate on the claim of right for Scotland: yet another argument in this place about constitutional matters. Will the SNP Benches be so sparsely populated for a debate on the claim of right for Scotland as they are tonight about the money we spend in Scotland and the public services we get? I think my constituents and people across Scotland will wonder why they send SNP representatives down to Westminster if they cannot even turn up to a debate about spending in the devolved Administrations.

This is an important debate that affects all our constituencies across Scotland and Wales. It is about the money we put forward in Westminster to be spent in the devolved Administrations. I want to pick up on points made by my hon. Friend the Member for Angus (Kirstene Hair). My NHS area is suffering at the moment. NHS Grampian is one of the poorest funded health boards anywhere in Scotland. I continually receive complaints about local healthcare and waiting lists. In fact, I wrote to the acting chief executive today about someone who has to wait up to two years for an ear, nose and throat check for nosebleeds that stop her leaving her home, because she is so worried about having another severe nosebleed. When she went to the NHS in Scotland, they said, “You can go privately and get it done within a week or two.” But NHS Scotland, overseen by the SNP for the past 11 years, says she has to wait up to two years. That is not acceptable to my constituent or to anyone else.

I note that the two SNP Members in the Chamber are not intervening to say that that is wrong. They know that after 11 years, under a First Minister who was previously Health Secretary, another Health Secretary who was her friend, and now a new Health Secretary, health in Scotland is suffering because the SNP is performing poorly in this area despite significant investment by the UK Government. We have already heard that £2 billion extra has been invested in Scotland as a result of last year’s Budget. By 2020, the block grant will have grown to over £31.1 billion: £31.1 billion is going to the SNP Government in Scotland and the way they are spending it is letting us down.

Stephen Kerr Portrait Stephen Kerr
- Hansard - - - Excerpts

Will my hon. Friend confirm that because of our hard-nosed lobbying of the Treasury, the £2 billion that was dismissed as not real money is very much real money, and it is investment in Scotland that we badly need?

Douglas Ross Portrait Douglas Ross
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Absolutely. The Chancellor said at the Dispatch Box during that Budget debate that his ear had been bent by the Scottish Conservatives. It was not bent by the SNP—not surprising, because they do not seem to turn up to debates about the economy in Scotland. It was the work of the Scottish Conservative MPs, working alongside our Ministers within Government, that achieved that for Scotland. The resource budget in Scotland has gone up by almost £100 million in the last year. Those real-term changes are positively impacting on people in Scotland and all we get from the SNP are more and more complaints.

I know that time is short, Madam Deputy Speaker, but I was interested that in the 20 minutes that the hon. Member for Aberdeen North spent introducing the debate, there was no mention of the recent reshuffle. This is important when we talk about the money that goes to Scotland to spend on the devolved Administration. She did not mention that in a decade of the SNP being in power in Scotland, the number of Ministers has gone from 16 to 26. The cost of Ministers in Scotland has gone up by £400 million. That does not include the extra funding that will go to their private offices or on their car hire. I notice that the hon. Member for Perth and North Perthshire (Pete Wishart) has just come in. Clearly, a message has gone out—“We must get more people on our Benches.” They have now gone up to three, and it will be interesting to see his contribution to the debate.

Martin Whitfield Portrait Martin Whitfield (East Lothian) (Lab)
- Hansard - - - Excerpts

Is it not also the case that as the ministerial burden has increased with the SNP Government, there has been a 10% cut to our councils in Scotland over the last eight years, which has caused huge problems to individuals and our constituents?

Douglas Ross Portrait Douglas Ross
- Hansard - -

Absolutely, and I want to finish on that point because it is important. My Moray Council has suffered one of the biggest funding reductions of all councils anywhere in Scotland. When the SNP in Scotland gets more money from Westminster, it spends less on our health service. It spends less on our local councils and it spends more on giving 42% of all SNP MSPs a job in Government. If that is what we get after 11 years in power from the SNP, the next election cannot come quickly enough.

Ian Murray Portrait Ian Murray (Edinburgh South) (Lab)
- Hansard - - - Excerpts

I am grateful to the hon. Gentleman for pointing out some home truths, but could we not sum up his speech and that of the hon. Member for Angus (Kirstene Hair) by saying that the UK Conservative Government is addicted to austerity, and that the SNP Scottish Government is addicted to austerity?

Douglas Ross Portrait Douglas Ross
- Hansard - -

That is amazing from a Member of the party that brought about the collapse in the financial markets, which is why we have had to have good governance of our finances in this country—to deal with the mess left behind by Labour.

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Douglas Ross Portrait Douglas Ross
- Hansard - -

No, I will not give way to someone who comes in halfway through a debate. I must finish because a lot of Members on the Conservative Benches want to speak in the debate, even if those opposite do not. This is an important debate. This is where our constituents want to see decisions being taken. They want to see money going from Westminster to Holyrood, but what they are seeing in Scotland at the moment is an SNP Government who are letting them down. What they will hopefully see tonight is a UK Government who are investing in Scotland and investing for the future, and that it is the Scottish Government and the SNP who are letting them down.

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Patrick Grady Portrait Patrick Grady (Glasgow North) (SNP)
- Hansard - - - Excerpts

I understand that there are hordes of people around London this evening looking for 90 minutes of entertainment on a green playing field, and where better to look than the House of Commons? We have been thoroughly entertained already and I am sure that there is nothing else in this evening’s line-up that could be as interesting. I want to start by congratulating my hon. Friend the Member for Glasgow South (Stewart Malcolm McDonald) on securing this debate, and the Backbench Business Committee and the Liaison Committee on securing the time for him. My hon. Friend unfortunately took unwell morning and is unable to be here. I say gently to Members who criticise people for their absence that they should perhaps not do so from a position of ignorance.

Douglas Ross Portrait Douglas Ross
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I was fully aware of the illness of the hon. Member for Glasgow South and I understood that that was why the hon. Member for Aberdeen North (Kirsty Blackman) took his place. That was perfectly clear to all of us on the Government side of the House. What was not clear was where the other 34 Scottish National party MPs were at the time. The reinforcements have arrived in the Chamber now, so the text messaging system works well, but that is the point that we were making.

Patrick Grady Portrait Patrick Grady
- Hansard - - - Excerpts

I was watching the parliamentary private secretary passing notes around the back of the Chamber earlier, so I will take no lessons on internal group communications from the hon. Gentleman.

I have spoken in estimates day debates before and been called out of order for daring to actually discuss the estimates, so it is very helpful indeed to be able to have this discussion on Government spending. The reason that we have these debates is that the SNP questioned the estimates process in the context of the English votes for English laws process. We were told by the then Leader of the House, who is now the Transport Secretary, that if we wanted to have a say and a vote on spending as it affected Scotland, the estimates process was the way to do so. As we have been so ably encouraged by Conservative Members to take that opportunity this evening, I am sure that they will look forward to that happening at 7 o’clock and in the time that follows.

In summing up, it would be only fair to address the points that have been raised by Conservative Members. The hon. Member for Angus (Kirstene Hair) was interested in health and in the Barnett consequentials that will allegedly come as a result of the £20 billion increase in expenditure for the health service. It is great to know that they are coming, and the Scottish Government have consistently said in successive manifestos that they will pass on all the Barnett consequentials that they receive for health. The question is: where is the funding coming from? It was supposed to be coming from a Brexit dividend, but it now appears that it will come from increased taxation or perhaps from cuts to other Departments. However, if other Departments are cut to fund health spending, there will be cuts to the Barnett consequentials as well.