(11 years, 1 month ago)
Commons ChamberOrder. Due to the large number of right hon. and hon. Members who wish to speak, there will be a time-limit for all Back-Bench speeches. There will be 10 minutes for the first two Back Benchers and five minutes for each remaining speech thereafter.
No, I will not, because, with great respect to the right hon. Gentleman, it would not be fair to the 30-odd other Members who wish to speak.
The hon. Member for Leeds West keeps criticising the Chancellor for not succeeding in eliminating the deficit entirely in the last five years. I am very glad that he did not do so. It is the same with all forecasts—[Interruption.] It is not possible to find a Chancellor who has produced forecasts that are three, four or five years out and which resemble what actually happened. It is necessary to take account of what is happening in the real world. Macro-economic policy has to be pragmatic.
I cannot tell what will happen over the next five years, and nor can any Opposition Member. Will China actually have a soft landing? What will happen to the oil market? Is the recovery in the United States really sustainable? Will the eurozone begin to achieve a bit more growth this year and beyond? What about difficult emerging markets like Brazil? The fact is that we are part of a globalised economy—quite apart from the impossibility of forecasting with exactitude what will happen here.
The Chancellor has cut the deficit substantially, and has moved nearer to getting it under control. Had he moved at a faster pace, heaven knows where we would be now, but we would be in a very difficult situation. Actually, I do not know whether the Labour party thinks that he should have moved faster or more slowly, but I am sure that it is not capable of maintaining progress. I hope that we can achieve a surplus in the next Parliament—and so, obviously, does the Chancellor—but that will depend, again, on whether circumstances permit us to do so. In five years’ time, we shall find out where we are.
Meanwhile, having that kind of responsibility is an essential precondition to raising our educational standards and continuing to tackle the skills shortages which always slow up the British economy—we are making great progress with apprenticeships, and we have much further to go. At last we are beginning to see business investment come through, with more confidence and, I hope, improved credit for businesses. That should pave the way for the productivity growth that we desperately require. We need infrastructure investment, which the Government are pressing on with. We need the EU reforms, which the Prime Minister was talking about earlier. If we can complete the single market—if we can extend it to services, if we can have a common energy market, if we can have a common market for the digital economy, if we can have an EU-US trade agreement—all that will reinforce the efforts of the Government to put this country in a much better position than any other to look optimistically to the future.
If we were in the world of traditional politics of 30 or 40 years ago, this Government would be on a walkover in this election, producing figures to die for after taking over a disaster. We still have to rise above the cynical comedy of today’s protest politics. This Budget shows that a competent Conservative Government can finish the job.
Order. I suggest that we now move to a time limit of six minutes, as we have had a few withdrawals.
All Members look at the Budget and see what is in it for their constituents. I did the same last week, for the whole north-east of England. When I got a look at it, I thought that there was one little chink of hope: I might get the Blyth and Tyne rail link reinstated in my constituency. I might be lucky, and I know that the county council has put some money aside, but I am not sure what will come from the Budget. We hope that the money might be there, but as for everything else, all my constituency is getting are a few crumbs. Some might be getting their pension, which is their own money, of course, but otherwise a few crumbs have fallen off the table that my people have managed to gather and I am sure that everybody else is thinking the same. As far as I am concerned, all we are getting in the north-east of England is the usual pie in the sky.
A lot has been said about what is happening now, but what will happen after this? What will happen if this lot get elected again? I went and had a look at the TaxPayers Alliance’s site to see what it was doing. We all know what the TPA is: the reserve Tory party, the ones who get paid by big business to tell the Tories what to do. It is talking about ending national bargaining, which means another freeze on wages. Another freeze, after five years of freezes, with some people getting no increase and some people getting only 1% increases. We can see where that is coming from, and that is what the TPA is telling the Tory Government.
The TPA wants an end to the triple lock on pensions. There we are: it is telling the Tories to end the triple lock on pensions. We could go on to benefits, of course. The TPA wants to freeze benefits for two years, so my constituents are in for a right surprise if they get them. That is another thing that will happen at the next election. Then, of course, there is the £12 billion that has to be cut from social security. All that has got to happen, and this is a Budget for happiness? I think that it is a Budget for disaster.
Then there is the cutting back. Apparently it is imperative that the next Government cut back on winter fuel allowances and bus passes. Last week, I saw on television that a compassion pill had been invented—someone could take it and become compassionate. I think £25,000 would give every Tory Member one, to see if we could get some compassion into their hearts for the people of this country, who have suffered for five years.
The TPA says that the next Government “need” to save £70 billion; that is what it is telling you. It is not telling us, thank God—I hope they are not, mind—but it is telling you, because those people are your people. That is who they are.
Order. Obviously, when Members say “you” they mean me. Do not worry about it, Mr Campbell. Carry on.
I apologise, Mr Deputy Speaker.
What have we got? We have the pension provisions. Okay, that is those people’s money and I suppose they are entitled to it, but I can tell Members what happened a few years ago when the miners were given the chance to pull their pensions out of the national mineworkers’ pension fund. I was chairman of the local branch at the time, not an MP, and I remember the spivs coming in big style. We had nothing to do with them, but they had meetings in social clubs and pubs and brought all the lads in. The Major Government said at the time that people could take their pension then as long as they got a better deal, the lads thought that they were getting a better deal and, of course, the spivs and speculators all came in. The lads all gave up their pension, saying that they were going to get a better deal, but within a year to 18 months they had to come back into the pension scheme.
That was a scandal waiting to happen, because there was no advice at all. The miners were finished—it was after the miners’ strike—and we told them to keep their pension where it was, but of course the spivs were telling them how wonderful their options were.
(11 years, 2 months ago)
Commons Chamber
Gemma Doyle (West Dunbartonshire) (Lab/Co-op)
There are a number of Labour Members who have worked in business, including me. What the hon. Gentleman said was ridiculous, and perhaps he will withdraw it.
Order. May I just say that interventions are going to take time from Members who are going to speak later? That is the only worry I have, but by all means continue.
I thank the hon. Lady for intervening. I am delighted she has some experience of business. The same is not so for the Leader of the Opposition, is it?
When it comes to businesses, I think the Leader of the Opposition has actually decided—this business bashing is not an accident—that bashing businesses will win votes. He thinks that bashing big businesses will somehow compel small businesses to move towards him. I have to say that that is utter fantasy. In my constituency, many people are employed by small businesses and they will not like what the Labour party has been saying. Small businesses want to grow into large businesses. They have ambition and aspiration, but that is not what we have been hearing from the Opposition.
The Government’s policies have created the real jobs, the real prospects and the real skills that young people and those who have been long-tem unemployed need. That is what has been happening in the past five years. I will not support the Opposition motion. It is unfunded, it is unclear and it has no support in the business community. Unless the shadow Minister can tell me otherwise, I do not think there are huge numbers of businesses crying out for the compulsory jobs guarantee.
Order. I have to reduce the time limit to four minutes. I have tried, but there is nothing else I can do.
Order. Unfortunately, I must bring the time limit on Back-Bench speeches down to three minutes.
(11 years, 3 months ago)
Commons Chamber
The Minister for Pensions (Steve Webb)
I beg to move,
That the draft Social Security Benefits Up-rating Order 2015, which was laid before this House on 19 January, be approved.
With this we shall discuss the following motion, on the guaranteed minimum pensions increase:
That the draft Guaranteed Minimum Pensions Increase Order 2015, which was laid before this House on 19 January, be approved.
Steve Webb
Let me first deal with what is an entirely technical matter that we attend to each year and that I imagine we will not need to dwell on today. The Guaranteed Minimum Pensions Increase Order 2015 provides for contracted-out defined-benefit schemes to increase their members’ guaranteed minimum pensions that accrued between 1988 and 1997 by 1.2%.
I should like to turn now to the Social Security Benefits Up-rating Order 2015—and as we are about to spend nearly £3 billion of taxpayers’ money it is good to see that the Opposition Benches are packed. As you will be aware, Mr Deputy Speaker, we are not here to discuss the Welfare Benefits Up-rating 2015 Order, which was made on 14 January. The 1% increases in that order were debated in Parliament during the passage of the Welfare Benefits Up-rating Act 2013.
Let me begin with the basic state pension. Despite the difficult economic situation, this Government remain committed to protecting those who have worked hard all their lives. This is why we have stood by our triple lock commitment: to uprate the basic state pension by the highest of earnings, prices or 2.5%. This year, as the increase in average earnings and the increase in prices were less than 2.5%, the basic state pension will increase by the full 2.5%; that is twice the increase in prices and four times the increase in earnings, which is the minimum required by law. So the earnings increase is what we are required to do by law, and we are increasing the state pension by four times that amount. Occasionally we have had debates about the triple lock and Labour has queried whether it actually bites. In a year like this, it really bites. There is a substantial increase in the state pension—far more than inflation or the growth in the average wage.
(11 years, 3 months ago)
Commons ChamberI beg to move,
That the draft Mesothelioma Lump Sum Payments (Conditions and Amounts) (Amendment) Regulations 2015, which were laid before this House on 14 January, be approved.
With this we shall take the following motion, on pneumoconiosis:
That the draft Pneumoconiosis etc. (Workers’ Compensation) (Payment of Claims) (Amendment) Regulations 2015, which were laid before this House on 14 January, be approved.
I am sorry that the names of these regulations are not very catchy, but they are important none the less. I confirm that they are compatible with the European convention on human rights. The two schemes stand apart from the main social security uprating procedure, and there is no legislative requirement to review the level of payment each year. However, I am happy to increase the amounts payable for 2015 by the consumer prices index—that is, 1.2% as at September 2014, which is the same rate being applied to some social security disability benefits and industrial injuries disablement benefit. I was here for the previous debate when my right hon. Friend the Minister for Pensions clearly set out why CPI, rather than the discredited retail prices index, is the right measure by which to increase these benefits. I do not propose to detain the House by repeating his very clear and detailed explanation.
The Government recognise that people suffering from diseases as a result of exposure to asbestos or one of a number of other listed agents may not be able to bring a successful claim for civil damages, partly due to the time lag between exposure and the onset of the disease, which could be as long as 40 years. As well as compensating people who cannot make civil claims, these two schemes fulfil an important role by ensuring that most sufferers receive compensation while they can still benefit from it.
The Pneumoconiosis etc. (Workers’ Compensation) Act 1979 provides a lump sum compensation payment to those who suffer from one of five dust-related respiratory diseases, who are unable to claim damages from employers who have gone out of business, and who have not brought any action against others for damages. The 2008 scheme provides compensation to people who contracted mesothelioma but were unable to claim compensation for that disease under the ’79 Act, perhaps because their exposure to asbestos was not due to their work. The 2008 scheme means that payments can be made quickly to mesothelioma sufferers at their time of greatest need.
Under both schemes, a claim can be made by a dependant if the sufferer has died before being able to make a claim. Payment levels under the ’79 Act scheme are mainly based on the level of the disablement assessment and the age of the sufferer at the time the disease is diagnosed. The highest amounts are paid to those diagnosed at an early age and with the highest level of disablement. All payments for mesothelioma under the ’79 Act scheme are made at the 100% disablement rate—the highest rate of payment. Similarly, all payments under the 2008 scheme are made at the 100% disablement rate and based on age, again with the highest payments going to the younger sufferers. In the last full year, April 2013 to March 2014, over 3,700 payments were made in respect of both schemes, totalling over £54 million.
These regulations increase the levels of support through the Government compensation schemes. I am sure we all agree that while no amount of money can ever compensate individuals and families for the suffering and loss caused by mesothelioma, those who are suffering rightly deserve some form of monetary compensation. I commend the regulations to the House.
(11 years, 4 months ago)
Commons ChamberOn a point of order, Mr Deputy Speaker. Can you advise me whether it is in order for the Minister to say that she is not going to answer a question because she thinks that the answer would be misleading? Surely it is for Members of the House to determine what information they want and for Ministers to provide that information.
The responsibility to answer a question lies with the Minister. The right hon. Member for East Ham (Stephen Timms) has been tenacious in holding the Minister to account. That is the role of Members: to hold Ministers and Departments to account. I am sure that that will continue if he does not get the answer today.
I appreciate that, Mr Deputy Speaker. That is why we are having this debate today. It is not me who is—
An answer that was given a year and a half ago was misleading. If that is the case, would it not have been appropriate for the Minister who gave that misleading answer to come to the House at the first opportunity, as is the convention, to correct the information? As far as I am aware, there has been no correction whatever. I ask you to take this matter up, Mr Deputy Speaker, as a point of procedure with the relevant Department.
What we need to do is to get to the end of the debate. The point is well made and it has been taken on board.
I do not have my glasses on at the moment. It is John McDonnell on the Opposition Benches, is it not? [Interruption.] It is. I thought that perhaps the hon. Gentleman was standing up to pass comment on something else, now that it is Christmas—the time when people should be able to stand up and apologise—or, as he said he would in front of the House, to invite me for a cup of tea—
Order. [Interruption.] Order, everybody! Let us have a little bit of Christmas spirit. The Minister must give way when there is a point of order.
On a point of order, Mr Deputy Speaker. Allegations have been made here that have been responded to previously. If the right hon. Lady is raising matters in relation to me, I am quite happy to respond to them if she gives way.
We are not going to get into that. It is Christmas, and this is the final debate before the recess, so we ought to take on board where we are and be careful about the comments that are made.
Thank you, Mr Deputy Speaker. As the hon. Gentleman said that he would make a phone call to speak to me about this matter, I await the phone call—
I do not want this debate to deteriorate any further. It is an important debate, and I want us to stick to the facts. I do not want any more personal attacks on either side of the Chamber. I want to move forward.
As I said to the right hon. Member for East Ham, the point is not whether I was withholding the information. The Department looked at the information that had been handed out and felt that it was not robust. It was not comfortable handing it out because it was neither reliable nor accurate, and that was why the subsequent answers were given in a series of letters and parliamentary answers. I have given the exact reply that has been deemed correct, because we obviously want the Department and the House to give out accurate information.
Question put and agreed to.
(11 years, 8 months ago)
Commons Chamber
Crispin Blunt (Reigate) (Con)
I represent a significant number of providers in my constituency, including Legal and General, Partnership and Just Retirement, while Fidelity is also in this market to a degree. I am very concerned about the levy that is coming in to pay for the guidance, and about the difference between the £20 million that the Government have set aside to begin funding the guidance and the reality of what realistic guidance actually requires. If the Minister or I wanted an evaluation of our pensions for the purposes of a court—for divorce, for example—the amount of work required would cost about £2,000. There are 500,000 people waiting for and needing guidance. It will be £1 billion—
Order. The hon. Gentleman might be better off making his point in two interventions, because otherwise he will have made his speech, and I am sure that the Minister will not remember it all.
Steve Webb
Let me make a start, and I will then be happy to give way again. To be clear, the £20 million is not an estimate of the annual recurring cost of providing guidance; it is a one-off, seedcorn, getting-the-thing-going fund. For example, if we need to set up websites, produce literature and create infrastructure, the £20 million will enable us to do so. That may involve organisations such as the Pensions Advisory Service and the Money Advice Service, and it may involve Government spending. The first point is that it is about getting things going; it is not our estimate of the recurring cost of guidance.
The second point is that there is clearly a world of difference between a guidance conversion to get people to base camp—enabling them to understand concepts and helping them to know where to go for further information and advice—and a sophisticated, individualised, tailored piece of independent financial advice recommending products. There is a whole spectrum, and the guidance is very much at not the “cheap”, which is the wrong word, but the budget end of that scale.
I assure my hon. Friend that we do not envisage a levy on the financial services industry to pay for full-blown, regulated, independent, tailored financial advice. The guidance will not be like that, but it will certainly be cost-efficient. Although we will honour the Chancellor’s pledge for face-to-face guidance when people want it, we anticipate that many people will want telephone conversations, websites and all the rest of it, much of which is substantially cheaper than the very expensive sort of advice he mentioned.
(11 years, 10 months ago)
Commons ChamberThe hon. Lady is a fine contributor to our Select Committee and adds a lot of intellectual rigour and brings a lot from her previous background. My challenge is: would it not be lovely if we could control the media? She is absolutely right, I am sure, that some inappropriate things have been said by the wrong people, but when it comes to who said what and whether what is reported in the press is true, I find it a very hard leap of faith to make to accept her other point. I do not believe that any member of the Government would wantonly wish to put out any message in the way that she describes—
Order. The hon. Lady has already had 14 minutes. Let somebody else in—we need short interventions.
Language such as that about “shirkers” and “scroungers” has been used in the House by Ministers, and I reiterate that I find this deeply offensive.
If we consider welfare reforms in the round, we can see that there have been huge errors in how they have been delivered. If we consider them in the context of other reforms to the welfare state, we can see that we are experiencing a decimation of the welfare system that was set up after the second world war, with people who are sick and disabled through no fault of their own increasingly being denied access to a basic standard of living. In addition, the changes to access to health care and to justice are also affecting benefit claimants and because of the changes there has been a 20% reduction in the number of benefit claimants whose appeals are successful. We need to look at the situation in the round. I find it disappointing that a debate such as this is not seen in the context of everything else that is going on.
On the implementation of universal credit, I do not understand how the Secretary of State can still be in a job. Mistakes and errors have cost hundreds of millions of pounds of taxpayers’ money. That has been accompanied by cover-up and claims that the system has been reset.
I endorse all the positive comments that have been made about the Chair of the Select Committee, my hon. Friend the Member for Aberdeen South (Dame Anne Begg). She is a fantastic Chair, always allowing people to engage and giving them the opportunity to speak, but she has been shown such disrespect. If anybody has not seen how the Secretary of State behaved in that Select Committee meeting in February, I invite them to watch it. It was a disgrace.
(11 years, 10 months ago)
Commons ChamberI should like to make some progress first, not least because I want to congratulate the hon. Lady a little more. We have plenty of time, after all—with your permission, Mr Deputy Speaker.
(12 years, 1 month ago)
Commons ChamberMay I suggest that Members take up to 10 minutes, because of the number of speakers in the next debate as well?
(12 years, 1 month ago)
Commons Chamber
Steve Webb
The hon. Gentleman raises an important point, which is that these changes have a number of knock-on effects within our Department and the Department of Health. Of course, we will make sure that the spirit of the Chancellor’s announcement is carefully reflected in the way Departments carry on. These flexibilities do not come in for another year, so we still have time to work through detail of the sort that he properly raises.
Last, but certainly not least, the voice of Middlesbrough South and East Cleveland—Tom Blenkinsop.
Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)
Thank you, Mr Deputy Speaker.
I find the Minister’s statement fascinating given that he said only recently that putting a cap on pensions was like trying to put
“a price cap on a tin of baked beans”.
I wonder whether he read this in yesterday’s Financial Times:
“Labour led the way with criticism of the annuities market and high opaque fees on pensions, long before the coalition took action.”
Would he care to comment on that very good article?