Civil List Debate

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Department: HM Treasury
Thursday 30th June 2011

(12 years, 11 months ago)

Commons Chamber
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Michael Ellis Portrait Michael Ellis (Northampton North) (Con)
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May I personally commend and congratulate the Chancellor of the Exchequer not only for taking the initiative in this matter, which has been pressing for many years, but for making excellent and historic improvements to the current arrangements, which have been unsustainable for some time?

The royal family are one of the few departments of Government—just about the only thing that the Government funds, I would suggest—that make a profit for the taxpayer. They brought into the revenues of the Treasury something in the region of £200 million than was paid out last year. That was a profit for the taxpayer in raw figures. It has also been estimated that one weekend, the weekend of the recent royal wedding, brought hundreds of millions of pounds into the Revenue in tourism, merchandise sales and the like. That profit for the taxpayer is well worth sustaining.

Kevan Jones Portrait Mr Kevan Jones
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I take the hon. Gentleman’s point about tourism and other matters that provide a net contribution, but surely under the settlement of the 1760s we cannot really consider the Crown Estate as still being owned by the royal family. It was given up so that it could produce the money for the state that it currently does. I would not look at it in the same terms as the hon. Gentleman.

Michael Ellis Portrait Michael Ellis
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The hon. Gentleman may not, but others may choose to do so. In fact, I happen to think that the 1760 arrangements were an historic injustice to King George III and his heirs and successors. There is every reason to say that if the hon. Gentleman is not happy with the arrangements being proposed, perhaps the royal family could sustain having 100% back.

Michael Ellis Portrait Michael Ellis
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I see that that idea is getting agreement.

Viscount Thurso Portrait John Thurso
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The hon. Gentleman has tempted me. Part of the 1760 settlement was that the Crown no longer had to pay for the Army. Would it be equitable for it to take back the Crown Estate and the entire Ministry of Defence Budget?

Michael Ellis Portrait Michael Ellis
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Now my hon. Friend is tempting me.

It is important to bear in mind, as Professor Vernon Bogdanor has stated in one of his treatises on subject—“The Monarchy and the Constitution”, I think—that it costs about the same to run the royal family as it does to run the Driver and Vehicle Licensing Agency in Swansea. I venture to suggest that the royal family attract far greater support from the British public than most institutions.

The issues at stake are important, and they are: fairness, accountability and transparency, and the necessary flexibility, which has not been built into the system to this point. As my right hon. Friend the Chancellor of the Exchequer has pointed out, the previous system, although not that old, was quite frankly archaic, bureaucratic and burdensome. It was also inflexible, so that if money was saved in one department—for example, in travel arrangements—it could not be spent on, say, repairing a leaking roof. The previous arrangements were unnecessarily bureaucratic, and they urgently needed reform to save taxpayers’ money and to save time. They also needed to be more accountable and transparent, which is what these necessary reforms will achieve.

If we take the trouble to look at how the money is spent, we see, for example, that £400,000 is spent on communications. I venture to suggest that much of that money is spent on communication with members of the public who write in to the palaces, and on other necessary duties, such as inviting to garden parties the tens of thousands of people—and it is, in fact, tens of thousands—who enjoy and appreciate visiting the royal households by invitation every year. This money is not spent on trifles; it is spent for the general public’s enjoyment.

The same thing goes for the palaces. Much of the expenditure goes on the maintenance of royal palaces. I venture to suggest that not even the few republican diehards whom we might find in this House would propose that the royal palaces be knocked down after the abolition of the monarchy and car parks built in their stead. Even in the absence of a monarchy—may God forfend—those palaces would have to be maintained. They might be museums or something similar, but they would still need the maintenance that they need now. In fact, they have been allowed to fall into a state of disrepair because of the lack of funds, which only makes it more expensive to repair them.

I also support the modernising arrangements as they relate to the Duchy of Cornwall. That is welcome, because in future the heir to the royal house will be able to secure funds and revenue from the Duchy of Cornwall without necessarily being male—that is, without being the Duke of Cornwall. That is important and follows other reforms, in the tradition of the Demise of the Crown Act 1901. Formerly, offices of the state were cancelled on the demise of the Crown. However, the various Acts that Parliament has seen fit to pass over the past 100 years or so have meant that such positions—ministerial positions, judicial appointments and the like—could continue. My right hon. Friend the Chancellor of the Exchequer’s further reform, making it necessary only for an Order in Council after the completion of one reign and the beginning of another, simply follows in that historic tradition.

I commend these measures, and I support them in full. I congratulate the Chancellor on bringing them forward, and I invite Members of this House to consider supporting Her Majesty in her 60th jubilee gift, which the House is currently considering.

Denis MacShane Portrait Mr Denis MacShane (Rotherham) (Lab)
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This has been a most enjoyable debate. With the need to refurbish some of the royal households with up-to-date wallpaper, we have learned that the fortunes of Osborne & Little might now increase. We heard from my right hon. Friend the shadow Chancellor some historical evidence of our hon. Friend the Member for Bolsover (Mr Skinner) making interventions from a sedentary position when this issue was last discussed in the 1970s. People listening to this debate from outside this place might have felt that some of the speeches by right hon. and hon. Members were delivered not so much from a sedentary position but, as it were, from a kneeling position, if that were possible in the House. I would say gently to the hon. Member for Northampton North (Michael Ellis) that some of us think that the land in this country that is not in specific private ownership belongs to the people. For us, the notion that the royal family is signing generous cheques to the taxpayer sits a little oddly.

I want to raise one substantial point today. The Chancellor and the shadow Chancellor said that we needed to look back to 1760, but if my history—learned from Linda Colley and other historians of the period—serves me right, it was actually a cunning manoeuvre by the late King George III that substantially increased royal revenues, rather than the act of generosity that it is sometimes presented as. One part of the motion, which I think the House will support, that worries me conceptually is the notion that the time of transition from one monarch to another is not the time for reflection on the arrangements that we want for our Head of State. The notion that we are going to write down a settlement that cannot be debated for another 200 years might therefore need some reflection on Second Reading.

I respect the Queen and I have travelled with other members of the royal family, although I hate the term “minor royals”—it is offensive to the very hard-working men and women who give a lot of their time to public service. If I can, I always welcome in person any of them who come to my constituency, because they are always well received and well liked. Her Majesty came to the Advance Manufacturing Centre in Catcliffe with Prince Philip last November and stood for an hour asking good questions. I was amazed at her stamina and her presence; the visit really cheered up all the people there. This just goes to show that 85 really is the new 55.

None the less, how does one justify 159 butlers, valets, cooks, dressers, housekeepers and the rest for Prince Charles? [Interruption.] We are all reading the memoirs written by the father of the hon. Member for North East Somerset (Jacob Rees-Mogg) in The Times, and there is a lovely entry today about how he and Rupert Murdoch managed to cheer up the Queen at a lunch back in the 1970s; I would not have minded eavesdropping on that. But why on earth, when we keep a royal flight, is Prince Charles taking a jet trip from Mr Joe Allbritton, who is not British at all but some kind of American oligarch and millionaire—

Michael Ellis Portrait Michael Ellis
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Why not?

Denis MacShane Portrait Mr MacShane
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The hon. Gentleman, from a sedentary or kneeling position, asks why not—

--- Later in debate ---
Martin Horwood Portrait Martin Horwood (Cheltenham) (LD)
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I speak as—I hope—a radical democrat who really believes that sovereignty resides with the people and should be only cautiously delegated to Crowns and perhaps even Parliaments. Nevertheless, I declare myself a monarchist, not just for sentimental reasons but because I believe that the monarchy performs an important role as an impartial focus for national sentiment at a time when public confidence in other public institutions, with which we are of course familiar, may be seen as being at an all-time low. Moreover, it is clear—certainly from the celebrations of the royal wedding day in my constituency—that royal occasions provide a terrific excuse for a party which will make people feel good, and that must be a good thing at a time when we are increasingly measuring national well-being as well as simple economic indicators.

Let me say to my hon. Friend the Member for Northampton North (Michael Ellis) that I consider those to be rather better justifications for the civil list and the spending of public money on the monarchy than the fact that monarchy offers better value for money than the DVLA, which I think is a dangerous road on which to embark. Obviously affection for, and confidence in, the monarchy has been reinforced by the conduct of the current Queen, who has performed her role over many decades with enormous dignity and professionalism. It is important that the monarchy has also moved with the times, not least by responding appropriately to the recent austere financial situation in which this country finds itself. I am therefore very supportive of the Chancellor’s announcement.

Michael Ellis Portrait Michael Ellis
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As the hon. Gentleman is so eloquently expressing his support for the monarchy, will he be contributing towards Parliament’s gift for the Queen’s diamond jubilee—the window?

Martin Horwood Portrait Martin Horwood
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I think that is a rather inappropriate question actually, but I was strongly inclined to do so, although it might be a rather expensive window, so if we can bring the cost down a bit, that might be appropriate.

I was making the important point that it is entirely right to bring greater audit and transparency to the arrangements for the Head of State. My hon. Friend the Member for Bristol West (Stephen Williams) said that too, and he is also absolutely right that public money and public confidence must go together. However, some issues remain to be tackled if we are to maintain that confidence over future generations for the Queen’s heirs and successors.

I am pleased that the Minister for Equalities is sitting on the Front Bench as well as the Chancellor, because I want to discuss the issue of absolute cognatic primogeniture. I am not referring here to the situation of Catholics in the succession, which is simple in terms of equalities but rather complicated in terms of the role of the Church of the England as the state Church; that raises all sorts of issues. The issue of succession to the Crown by women in order of birth is important, however. Without wanting to cause any embarrassment to Their Royal Highnesses the Duke and Duchess of Cambridge, it is an issue on which we have a window of opportunity that may close in a year or so.

This was an issue in Sweden in the 1980s, when the birth of an infant daughter following the birth of the young Crown Prince Carl Philip meant that it became a question of disinheriting a young heir to the throne. It would be unfortunate if we were to go down that path in this country, so if we want generally to modernise the monarchy, now would be a good moment for this issue to be addressed alongside the financial issues. We could then look forward to future generations of the monarchy enjoying the same affection and confidence as Her Majesty the Queen.