Northern Ireland (Interim Arrangements) Bill

Baroness Hoey Excerpts

2nd reading
Thursday 18th May 2023 Lords Chamber

[Baroness Hoey (Non-Afl)]

My Lords, the Minister said it was with profound regret that he was bringing forward this Bill; I think we all share that sentiment. I do not want to repeat what the noble Lord, Lord Morrow, said, but it is important that we remind ourselves why we are here: we are here because the United Kingdom Government decided that Northern Ireland could be treated differently, and our citizenship is being eroded in many ways. The internal market has gone and all the hype about the Windsor protocol, as I would call it, is being exposed more and more. Therefore, we are here through the Government’s own making, and because they are not committing to the whole of the United Kingdom leaving the European Union—which was what was on our ballot paper in Northern Ireland as well.

Of course, we have to go ahead with this Bill; it is important. However, I think we should also remind ourselves that the 1998 devolution process, which we have been commemorating recently, is inherently unstable. It may have enhanced peace, yet there have been over 150 terrorist murders in that period, mostly killings between terrorist groups and each other. None were caused by the state, although around five involved the deaths of security force and prison staff. You could be forgiven for thinking otherwise, given the ceaseless list of 1970s legacy cases going through the courts in Belfast—every week there is another one—all of which are trying to rewrite history by reallocating blame for killings from the IRA to some element of state forces. It is really important that your Lordships realise and remember that.

A working Executive could do various things. They could agree on dividing up the money from the block grant. However, as we know in this House, any issues which require the two communities to yield on their particular hard and fast views mean we in Parliament end up legislating time after time: on legacy, abortion, gay rights or welfare reform—anything that is really controversial ends up here. We need to remember that as well.

The 1998 consociational structure means that Stormont operates on two tracks that do not meet. Local government works because it operates more on a committee system that cannot be boycotted easily. We see, and it is quite sad, that the Government, having changed the date of the local council elections to today, then put Northern Ireland legislation on the agenda for today. My personal view is that we should be strengthening local government in Northern Ireland, increasing the numbers of Members of Parliament, and doing away with and abolishing the whole Stormont set-up.

The current Secretary of State will not remember it, unlike the Minister, but when David Trimble twice pulled down the Executive over decommissioning, or the lack of it, he experienced the same wave of outrage that we hear in the media in Northern Ireland about what is not happening and Stormont not sitting. Today that rage is compounded by the strategic budget cuts. I believe that Northern Ireland needs the same focus on the Barnett formula, and how it works, that Wales got—it really is time for that. People in Northern Ireland are not stupid. They know that some 98% of government spending in Northern Ireland will proceed, regardless of whether Stormont is sitting or not. The financial situation is dire, and of course some of that happened under Stormont. The Sinn Féin Finance Minister could not get his budget through Stormont, so the idea that if we all get back to Stormont tomorrow the finances would be sorted is rather silly.

We have a legislative lockdown, but with only the minimum of law changes needed to keep the show on the road and to stop the lack of money supply actually wrecking sections of the economy. However, I feel the Secretary of State has perhaps decided that punishing the Northern Ireland people is the way to get devolved government back. We have seen senior civil servants—who I am sure are taking soundings from government Ministers—choose the most conspicuous cuts, such as this week’s cut to nurse-training funding, to frighten the public. I am sure this is being given the green light by certain people in certain positions. That health cut is going to inflict a major workforce shortfall in three years’ time, when those nurses who should have been graduating and entering the local profession will not do so—and of course there is a huge shortage of trained nurses in Northern Ireland and Great Britain.

There is some common sense in the Bill. Clause 2 gives powers for the Secretary of State to direct departments to provide advice or information, and even to oblige them to carry out a consultation. There might be a seed of a possible return to what I think would be a more sensible solution, and that would be a form of direct rule.

I know the noble Lord, Lord Murphy, on the Front Bench, will probably have a different view, but I think the Orders in Council system could have been a better way. We are going to find it extremely difficult to get Stormont set up and working well. It is time we started to think about that and to realise that Northern Ireland does need the direct attention of this place, and not treat devolution as some way of getting rid of it. We need to remember that while we have the Windsor protocol we will not have devolution.

--- Later in debate ---

[Lord Murphy of Torfaen (Lab)]

My Lords, obviously, I join the Minister and other Members of your Lordships’ House in referring to the work of Lord Brooke. Peter Brooke was a man of huge decency and integrity. He was a colleague of mine in the House of Commons, and obviously a very effective Secretary of State in the sense that he actually progressed the peace process. Also, and sometimes forgotten, he was a very effective chairman of the Northern Ireland Select Committee. He will be missed. He played his part in Northern Ireland history; there is no question about that.

We of course agree with the necessity of the Bill. It has a very innocuous name, the Northern Ireland (Interim Arrangements) Bill. What it actually means is that we are going to carry on with a sort of direct rule until we can resolve the problems with regard to the restoration of the institutions. That is not good, of course—we deeply regret it and I will come to that in a second—but with regard to the Bill, particularly on the issue of finance, there are important questions that the Government have to address. They have been raised by the noble Lord, Lord Morrow, the noble Baroness, Lady Suttie, and others. There is a case—I speak as a former Finance Minister for Northern Ireland—for a re-look at, reform of and rethink of how the Barnett formula applies to Northern Ireland.

The noble Lord, Lord Morrow, quite rightly referred to Northern Ireland, in the formula sense, being underfunded. He referred to the position of Wales, which I know a little about. It is quite interesting to reflect that the settlement changed for Wales because of the work that was done and the pressure that was put on the Government by the Welsh Assembly and the Welsh Government. Would that have happened without devolution? It might have done, but I doubt it. A sitting Government in Cardiff and a sitting Parliament could address these issues in detail and then negotiate with the United Kingdom Government. Therefore, the issue which the noble Lord, Lord Morrow, referred to is best addressed in the context of a restored Executive and Assembly in Northern Ireland.

I do not agree with the noble Baroness, Lady Hoey, that we could exist without an Executive and an Assembly in Northern Ireland. If we completely forget about the Good Friday agreement and the peace process, with a Parliament in Edinburgh and a Senedd in Cardiff, it would be impossible not to have a devolved Parliament in Northern Ireland, irrespective of the peace process. We must live with that, and we should, because it is the only answer to the problems of Northern Ireland. Every time a Member from Northern Ireland gets on their feet in the Commons or in this House, ultimately it is not good enough. Those people in the Assembly in Belfast are elected directly by the people of Northern Ireland to address the specific issues which are devolved to Belfast. The Minister knows that there are dozens and dozens of huge decisions which cannot be taken by civil servants. It is totally unfair, in a modern democracy, to put on the backs of people who are unelected the burden of having to make huge decisions which only politicians can decide, particularly regarding finance.

Obviously, we still understand the problems that the Democratic Unionist Party has with the settlement in Northern Ireland regarding the European Union. However, the Windsor Framework is a real step forward and should be the basis of proper negotiation to arrange a settlement. This morning I was looking, yet again, at Section 1 of the Northern Ireland Act1998, which I had the privilege of steering through the House of Commons a quarter of a century ago. It says specifically that Northern Ireland is a part of the United Kingdom and will only cease to be so if the people of Northern Ireland so decide by a majority. I cannot see that happening for some time to come—who knows?—but that is what it says. The principle of consent—

[Baroness Hoey (Non-Afl)]

I thank the noble Lord for giving way and I agree with that part of the 1998 Act. I am sorry for going on about a very simple thing, but it is the kind of basic thing that makes people in Northern Ireland feel very left out: duty-free. Why can people flying from Belfast to anywhere in the EU not get duty-free, when you can fly from the rest of the United Kingdom to anywhere in the EU and get it? I got an answer recently which almost implied that part of the reason was because you could fly from Northern Ireland to the Republic of Ireland. Of course, as the noble Lord knows, you cannot fly from Northern Ireland to the Republic of Ireland, but that is just a simple thing that sets us apart.

[Lord Murphy of Torfaen (Lab)]

I do not think that in any way alters the position that Northern Ireland is a part of the United Kingdom. The noble Baroness will recall, because she comes from Northern Ireland and lived the early part of her life there, that there has always been a difference between Northern Ireland and the rest of Britain in certain respects. For example, livestock and agriculture have always had to be checked as they came across the Irish Sea, for various reasons. There was a separate Government for decades in Northern Ireland which imposed various restrictions, but that in no way affected the fact that Northern Ireland is part of the United Kingdom, so long as the people in Northern Ireland decide it should be. I do not underestimate the problems that have arisen, frankly because of Brexit. Without Brexit, this dilemma would not be in front of us, but we have to live with it. It seems to me that the Windsor agreement is a good start.

There are elections today in Northern Ireland. We will not know the outcome for another day or so. The marching season will soon be upon us. The recess is not far away. However, that should not stop the Government from planning for proper structured negotiations with the political parties in Northern Ireland and the Irish Government, so far as they affect the agreement. There should be a big role for the Prime Minister in the weeks and months ahead to work with parties in Northern Ireland to get a settlement. Despite the problems which we have had in Northern Ireland over the last two years regarding the protocol and the difficulties about the suspension of the institutions, there is no doubt from when we celebrated the Good Friday agreement some weeks ago in Belfast and elsewhere—and I do mean celebrated—that there has been a huge change. The noble Baroness, Lady Hoey, said quite rightly that, tragically, there have been 150 deaths in Northern Ireland over the last 25 years, mainly as a result of terrorism. However, that must be set against the 3,500 people who perished in the 25 years before the Good Friday agreement. That is the real measure of where we are in Northern Ireland.

Northern Ireland (Interim Arrangements) Bill

Baroness Hoey Excerpts

3rd reading & Committee stage
Tuesday 23rd May 2023 Lords Chamber

I accept what the noble Baroness, Lady Ritchie, says about having the Executive to deal with these issues. Regrettably, when the Executive was in place, the issues were not dealt with because, as I have indicated, the Finance Ministers of the day did not bring forward budgets. So it is important to listen to the independent voice in Northern Ireland, and that is the Fiscal Council. I hope the Minister will take that on board in his response.

[Baroness Hoey (Non-Afl)]

My Lords, I strongly support this amendment in the names of the noble Lords, Lord Morrow and Lord Dodds. I agree very much with what has been said by everyone who has spoken so far, although obviously I disagree with the noble Baroness, Lady Ritchie, that somehow the only way in which this can be dealt with is by getting the Executive back. There is no reason for that, given that the Fiscal Council said what it did, and the Minister knows that Northern Ireland is not being fully funded because the Barnett squeeze is getting greater. Surely if the Government know that that is happening to a part of the UK, they should be able to act without waiting for an Assembly or an Executive, which, given what has been said, is very unlikely to come back in the near future. I urge the Minister not to treat this as some kind of bargaining point with politicians in Northern Ireland; that is not the way to deal with this serious financial situation.

It is important that the point about consultation be included in the Bill. Being realistic, there are things in Northern Ireland that—forgetting the whole issue of the Barnett formula and the overall funding—could raise more money. That has always been difficult because controversial decisions are very difficult to take between the two mainstream political parties and the two factions —or perhaps three factions—in Northern Ireland. There are some things that are not the same as in the rest of the UK but should be. No doubt I would be slated by the media in Northern Ireland for saying this, but I genuinely think we should be looking at prescription costs. There is a huge amount of waste due to the fact that prescriptions are free for everyone in Northern Ireland. That is just one small thing, but I am certain that, if the public were properly consulted on it, talked about it and understood it, there would be support in many areas for that way of raising extra funds.

There are other such issues but I will not go into any of those. I know the Minister is particularly knowledgeable about and supportive of Northern Ireland, but he may not have a Secretary of State who is necessarily quite so knowledgeable and supportive, so it is important that the Secretary of State listens to what people who understand Northern Ireland are saying.

As we are on finance, I will ask the Minister about policing in Northern Ireland, which is in a particularly difficult situation over its funding. Morale among the Police Federation there is very low. Are the United Kingdom Government giving extra money to the police to make up for the huge amount that it cost to have the very short visit of President Biden and all the other dignitaries who flew in and flew out again as quickly as possible, having joined in the commemoration of the Belfast/Good Friday agreement? It cost a huge amount of money to bring over police officers from Great Britain. Have the Government given any extra money for that? If not, why not?

We had a wide-ranging debate at Second Reading, so there is no point going over all the arguments again; we cannot in a debate on an amendment anyway. But let us not forget that we are here discussing the Bill only because we have no Executive, and we have no Executive because this Government—our Government—have decided that Northern Ireland is to be treated differently. We are being left under EU trading rules, which have set us apart and will set us further apart as time goes on. That is the really important issue that noble Lords need to remember.

[Lord Dodds of Duncairn (DUP)]

My Lords, I too am sorry that I was not able to be present, along with other noble Lords and noble Baronesses who have spoken, for the Second Reading of the Bill last Thursday because of other commitments in Northern Ireland. I put it on record that it was somewhat strange that the Second Reading was scheduled for the day of the local government elections in Northern Ireland. If nobody in the Government realised that, it tells us a lot about competence; if they did realise it and scheduled it anyway, it tells you a lot about their regard for Northern Ireland. I would like to know what actually happened that such a thing should be scheduled in that way.

I am glad that we have the opportunity to debate the amendment in the names of my noble friend Lord Morrow and me. It raises an important issue because, despite what is constantly said about the restoration of the Executive and the Assembly, if they were back tomorrow that would not make the slightest difference to the underfunding of Northern Ireland. In fact, Ministers—newly installed Ministers—would have to go about the business of slashing public services in health, education, policing and so on to an unprecedented degree. I do not agree with the idea that we should wait for the Executive and the Assembly to be restored. The need is here and now. The underfunding is taking place as a result of decisions taken here, in Whitehall and Westminster, by the Treasury.

It used to be the case over many years that the Northern Ireland Office was the advocate for Northern Ireland vis-à-vis central government and the Treasury, but it now appears that the current Secretary of State’s position is to become an advocate for the Treasury against the interests of Northern Ireland. He came on the other day to say that there would be no problem finding £100 million for a sports stadium. That is somewhat controversial in Northern Ireland but he was saying, “No problem at all—we’ll find the money if the bid’s successful”. But he cannot find an extra penny piece to deal with extraordinarily long waiting lists in the health service, education underfunding, police underfunding and the rest.

That sort of glib response to the crisis in Northern Ireland by the current Secretary of State, married to the refusal in this Bill to bring forward powers to give direction to civil servants, is an absolute abdication of responsibility by government Ministers who will no doubt respond and say, “Well, you should get into the Executive”. But they themselves are responsible for the current position in Northern Ireland by their refusal to restore the power of the Northern Ireland Assembly to make laws over 300 areas. Right across the economy of Northern Ireland, there are powers that do not reside in Belfast or here at Westminster or in Whitehall; they reside in Brussels with the European Commission—unaccountable and unanswerable. The Government need to recognise the current situation as it exists.

My noble friend Lord Morrow has very ably and in considerable detail set out the arguments behind our amendment. The Government may respond by saying that for many years they have funded Northern Ireland considerably well; the Minister referred to this at Second Reading. But whatever the past, what we are dealing with is now. As a result of government decisions taken by the Treasury, Northern Ireland is more below need on a funding-per-head basis than has ever been the case in any constituent part of the United Kingdom in the last 40 years. That is unacceptable and should not continue a moment longer. They cannot justify underfunding today on the basis of past settlements. Today’s budgetary position in Northern Ireland means social, economic and political dislocation. That is agreed and assented to by all the political parties in Northern Ireland across the board. It cannot be justified by looking backwards to previous financial settlements.

We will no doubt be told that Northern Ireland receives 20% per head more than the UK average spend. But, as we have heard, the true measure is spending against need. In Wales, steps were taken despite spending per head there being above the UK average. This is a question of asking not for favours or a privileged position but that the funding is structured so that services for the people of Northern Ireland meet the level of need, as is the case elsewhere in the United Kingdom. It is a quest not for privilege but for a level playing field. It is not a question of comparing Northern Ireland spending per head against England; it is about comparing Northern Ireland spending against need.

Of course, many people in Northern Ireland suspect the real game that the Northern Ireland Office is playing. I do not include in this the Minister answering on the Front Bench today, who has displayed time and again a willingness to fight Northern Ireland’s corner and stand up for the union. There are people within the NIO who no doubt believe that, by imposing this kind of budget and underfunding Northern Ireland both in the short term and going back some years, we will fix all this or come forward with a package if only the Executive and Assembly are restored and unionists operate the Northern Ireland protocol/Windsor Framework. That would entail operating measures that are injurious to the union and breach the Belfast agreement, the Acts of Union and the New Decade, New Approach document—the basis on which Northern Ireland devolution was restored in January 2020.

We have to face the reality that the failure of the Government to restore Northern Ireland’s place within the United Kingdom—subjecting it to arrangements that undermine democracy and are a breach of the agreements—is the fundamental problem we are grappling with. Unless that issue is tackled, we will continue to have a lack of devolved government in Northern Ireland. We have to accept the fundamental reasons why we are in the present position. Of course we do not want to see legislation having to be passed in this place to deal with the situation and would far rather have the Executive and the Assembly restored, but we have to have it back on the basis that we have powers to make the laws that affect and govern the economy of Northern Ireland. That cannot be avoided, and the fact is that the restoration of devolution lies in the Government’s hands.

The DUP stood on a manifesto in which we made it clear that the Northern Ireland protocol—the Windsor Framework—needs replacing

“with an arrangement that passes our seven tests”,

including getting rid of the Irish Sea border. It means restoring democracy and giving us the power to formulate and pass laws over our own economy, which seems very simple, straightforward and basic in terms of equal citizenship for all citizens of the United Kingdom. We are asking for something that would be seen as a matter of fact and common sense in every other part of the United Kingdom. Indeed, those who advocate different arrangements would never accept it for one minute for their own constituency, region or country in the United Kingdom.