Covid-19 Economic Support Package

Rachael Maskell Excerpts
Wednesday 14th October 2020

(3 years, 6 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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My hon. Friend is absolutely right. The only sustainable way to protect jobs in the long run is to have an economy that is open and functioning. No amount of support can make up for that.

There are other things we have done: eased repayment terms on those loans through pay as you grow; delivered on our promise to give the NHS what it needs; backed hundreds of thousands of young people to find good jobs through the kickstart scheme and new investment in training and apprenticeships; created green jobs through the £2 billion green grant programme; showed that we are here for our cultural sector, with the cultural recovery fund and a further support package for charities; and invested hundreds of billions of pounds in the largest, most sustained programme of infrastructure investment the UK has seen in decades. That is comprehensive action to protect the jobs and livelihoods of the British people. It undermines the credibility of the Labour party that, in the face of all that support, it continues to pretend that insufficient action is being taken.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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Will the Chancellor give way?

Rishi Sunak Portrait Rishi Sunak
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I will make some progress.

As the crisis evolves, our economic response will also evolve. What we will see over the winter is a complex picture of some businesses able to open safely and others being ordered to close to control the spread of the virus. Our winter economy plan provides a toolkit to protect jobs and businesses over the difficult weeks and months to come. The plan has three parts.

First, the job support scheme will protect jobs in businesses that are open or closed. If businesses can open safely, but with reduced or uncertain demand, the Government will directly subsidise people’s wages over the winter, giving those employers the option to bring people back to work on shorter hours rather than making them redundant. We are expanding the job support scheme to give more support to businesses that are ordered to close. For people unable to work for one week or more, their employer will still be able to pay them two thirds of their normal salary and the UK Government will cover the cost. This national programme will benefit people the same wherever they live and whatever job they do.

Rishi Sunak Portrait Rishi Sunak
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I am glad that there has finally been some acknowledgment that there will be a hit to businesses and jobs from what the Labour party is suggesting. It is right that there is support provided for hospitality, which is why the Government have provided a VAT reduction, a business rates holiday, direct cash grants, eat out to help out and now the job support scheme that is directly there to support those businesses that are open and operating but not at the same levels that they were previously. To give those businesses and their employees certainty, rather than the weeks that I heard about from the hon. Member for Oxford East, this scheme will run for six months through to the spring. This job support scheme is in line with those in most other European countries and, to support the lowest paid through this crisis, we have made our welfare system more generous and responsive too.

Rachael Maskell Portrait Rachael Maskell
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The Chancellor will know from York’s economic base and the complexity of our economy that unemployment may rise to 27% in our city. What additional measures will he put in place to build the bridge to get us through this really difficult period? The job support scheme will just not deliver for my constituents.

Rishi Sunak Portrait Rishi Sunak
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The job support scheme was widely welcomed not just by businesses groups such as the CBI and the Federation of Small Businesses but by the TUC, which I was happy to work closely with to design the scheme. However, she is right. That is not the only thing that we will do to support jobs, which is why we have put in place the £2 billion kickstart scheme to provide fully funded job placements for those young people most affected by this crisis and most at risk of unemployment. Thousands of those young kickstarters will be starting their new jobs this autumn.

Support for Self-employed and Freelance Workers

Rachael Maskell Excerpts
Thursday 17th September 2020

(3 years, 7 months ago)

Commons Chamber
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Caroline Lucas Portrait Caroline Lucas
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A whole range of practical proposals has been set out by the Treasury Committee, ExcludedUK and many others documenting the other paperwork that could be presented, including records from tax returns and so forth, that can make sure that this scheme is not open to fraud. If the political will is there, a way can be found using a range of different documentation to demonstrate that the money that people are applying for is absolutely legitimate. We can look at bank statements, for instance. It is not beyond the wit of people to make sure that people in our constituencies are not literally having to go to food banks, as an hon. Member mentioned the other day, in order to be able to put food on the table.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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When I raised this very issue with the Treasury Minister, I highlighted the fact that the records are held in Companies House and all HMRC has to do is marry up the records. The reason he gave was that they did not have enough staff at HMRC. Is that not just a complete disgrace?

Caroline Lucas Portrait Caroline Lucas
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I thank the hon. Lady for making that point. She is of course absolutely right, and it would be a simple measure to do this if the political will were there.

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Kemi Badenoch Portrait The Exchequer Secretary to the Treasury (Kemi Badenoch)
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I congratulate the hon. Member for Brighton, Pavilion (Caroline Lucas) on securing the debate and acknowledge the many and varied contributions of right hon. and hon. Members across the House. The Government understand the crucial role that the self-employed, including members of partnerships and freelancers, play in this country’s economy. They are part of the lifeblood of British enterprise and they, too, have suffered during the months of the pandemic. We have not forgotten them, but we recognise that we have not been able to help everyone in the country exactly as they would have liked. However, what the Government have done has been unprecedented.

Since the launch of the self-employment income support scheme earlier this year, designed and implemented at speed, claims totalling £7.6 billion have been paid out to support more than 2.5 million people. That represented a first grant and we did not stop there. As of 17 August, individuals have been able to claim for a second and final self-employment scheme grant. This further grant is open to anyone who meets the eligibility criteria and whose business was adversely affected by covid-19 on or after 14 July 2020. Importantly, applicants do not need to have claimed the first grant and they can receive the support while continuing to work.

The eligibility criteria have been raised by many Members. The criteria for the scheme are fair and rightly aimed at delivering support to those who need it most. Self-employed individuals, including members of partnerships, are eligible if they submitted their tax return for the tax year 2018-19, continue to trade and have been adversely affected by covid-19. To qualify, their self-employed trading profits must be no more than £50,000 and at least equal to their non-trading income. Many Members have said that this is not enough, so I would like to pick up on those points.

My hon. Friend the Member for North East Bedfordshire (Richard Fuller) said that there is a discrepancy between the 3 million who are not served and the 95% that the Treasury is talking about. We are talking about people for whom at least half their income comes from being self-employed. Ninety-five per cent. of those people are covered—that is about 3.4 million people who were mainly self-employed in 2018-19 who should be eligible for this scheme. The statistics show that the scheme has helped individuals across the UK in all sorts of different sectors. The extension of the scheme also means that eligible individuals whose businesses are adversely affected, from or after 14 July, can claim a second and final grant until 19 October. That is a taxable grant worth 70% of their average monthly trading profits paid out in a single instalment. Like the first grant, the second grant will be based on three months’ worth of trading profits and capped at a maximum of £6,570. We are listening. Many different requests are coming through and we are trying to get a package that works, but that is balanced towards businesses, the consumers and the taxpayer.

Very many Members, including the hon. Member for Hammersmith (Andy Slaughter), my hon. Friend the Member for Hastings and Rye (Sally-Ann Hart), the hon. Member for Belfast South (Claire Hanna) and others, have raised the case for those working in the arts. We do recognise that. The Government know the challenge facing creative organisations and practitioners as a result of the pandemic and the disruptive impact of the necessary measures on cultural and creative activity. We have announced a £1.57 billion cultural recovery fund to protect the cultural sectors through the covid-19 pandemic, and that money will also go to help those self-employed individuals who may not have been able to access schemes. None the less, as the economy opens, we believe that the situation will improve.

The self-employed, including freelancers, benefit not only from Government support specifically designed for their needs, but from schemes that we have created that will cover them, but that are not specifically targeted at them. They benefit, like so many others, from schemes such as bounce back loans, tax deferrals, rental support, increased levels of universal credit, mortgage holidays and other business support grants. The Government have spent £160 billion in support on interventions—as much as we have spent on the NHS and schools. That is alongside many other Government measures that will help support people and kickstart the economic recovery. The plan for jobs, for instance, will make up to £30 billion available to assist in creating, supporting and protecting jobs. I am pleased that hon. Members from across the House have acknowledged that the UK has one of the most generous self-employed support schemes in the world. However, today’s debate is about the concerns and not about the successes.

Several Members, including the hon. Member for Brighton, Pavilion (Caroline Lucas), are particularly interested in the eligibility of individuals who receive income from dividends issued by their own limited company. Although the Government understand that some business owners choose to pay themselves in the form of dividends, it has not been possible to include them in this scheme. The Government have worked closely with stakeholders and carefully considered the case for providing a new system for those who pay themselves through dividends, but it would be so much more complex than other existing income support schemes. My hon. Friend the Member for South Cambridgeshire (Anthony Browne) was very perceptive in raising the operational difficulties that it would entail. That is because, under current reporting mechanisms, it is just not possible for HMRC to distinguish between dividends derived from an individual’s own company and dividends derived from other sources. Unlike existing support schemes that use information that HMRC already holds, such a scheme would require individuals to make a claim and submit information that HMRC may not efficiently or consistently verify. Such verification would be essential to ensure that payments were made to eligible companies for eligible activity.

Many Members have talked about comparing notes with Companies House. I do not think that people really understand just how difficult that would be. It is not simply a matter of looking at Companies House. It would require so many manual compliance checks: those people who need money would have to send information to HMRC, which would then need to be cross-checked. That would be extremely arduous and due regard would have to be given to the opportunity cost for that resource—where compliance activity would have to be reduced elsewhere. In other words, the many checks that Members are asking for would make it even harder for us to help those people who are most at need. It is important that the House—

Rachael Maskell Portrait Rachael Maskell
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Will the hon. Lady give way?

Kemi Badenoch Portrait Kemi Badenoch
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I am afraid that I do not have enough time. I am sorry I am not taking interventions.

It is important that the House understands that we have not taken a deliberate stance against support for company owner managers who pay themselves through dividends. This is about understanding and identifying what is operationally feasible, managing technical complexities and fraud risks and ensuring that other forms of Government support are delivered in a timely way.

Owing to the Government’s reasonable concern to protect against fraud and error, it has also not been possible to include in the scheme those who are newly self-employed, which I know many Members have raised. That is because the most reliable and up-to-date record of self-employed income is from the 2018-19 tax records. Individuals can submit tax returns for 2019-20, but again there would be significant risks to the public if the Government relied on those returns for the scheme. That would create an opportunity for fraudulent activity through the returns—where no trading activity has taken place, where trading profits have been inflated to increase the size of the grant, and where trading profits have been reduced to below the £50,000 threshold in order to become eligible. The Government cannot expose the taxpayer to those risks, and the extension of the scheme would not mean that those concerns have been reduced.

The hon. Member for Edinburgh East (Tommy Sheppard), among others, raised the issue of parental leave. The treatment of self-employed parents is part of the scheme. As the Minister for Equalities, it is a subject close to my heart, made even closer by the fact that I recently returned from maternity leave. That is why I want to address the issue directly. Claiming maternity allowance or taking parental leave does not mean that trading has ceased and will not therefore affect a person’s eligibility for the self-employment scheme, as long as the individual intends to return to trading after parental leave.

In addition, we have listened to feedback from stakeholders and made changes to the scheme to benefit self-employed parents. Those parents who were previously ineligible for the scheme because they had not submitted a tax return for 2018-19, or because their trading profits in 2018-19 were less than other trading income because they were taking time off work to care for their newborn or adopted child, can now claim through the self-employment income support scheme. Those parents who have become eligible can now make a claim for the first grant, the second grant or both depending on when their business may have been adversely affected by covid-19. Again, we have made those changes. Many Members of Parliament have written to us with requests about that.

We are aware of concerns raised on how the grant is calculated, particularly for those who have taken parental leave. As the Chancellor indicated, delivering a scheme for the self-employed is a very difficult operational challenge, particularly in the time available. We are trying to get the money to people as quickly as possible. There is no way for HMRC to know from income tax self-assessment returns why an individual’s profits may have dropped in earlier years. However, to help those with volatile income in 2018-19, eligibility can be determined by profits in 2018-19 or by an average between 2016-17 and 2018-19. This scheme has been designed to deliver support as quickly as possible to millions of self-employed individuals by using information that HMRC already has. It is an enormous delivery challenge and we need to ensure that the changes do not risk delivery of the scheme.

The hon. Member for Rutherglen and Hamilton West (Margaret Ferrier) and others expressed concerns about the impact a second wave might have on the future income of their constituents and talked about extensions. The scheme will remain open for applications for the second and final grant until 19 October 2020. Unfortunately, it is the case that some businesses will be affected by covid-19 far longer than others, and the Government will seek to support those businesses appropriately. As I mentioned earlier, many other schemes can provide support to specific businesses.

Let me end by saying that we are living in unprecedented times. The Government needed to deliver support at incredible speed, prioritising those schemes that could help as many as possible, as quickly as possible. Once the scheme launched, we have remained flexible. We have worked with stakeholders to consider carefully the case for making changes. We listened and, where possible, acted to bring individuals into eligibility.

The Chancellor has acknowledged that the Government have not been able to support everyone in the exact way that they would want, and we have been clear from the beginning that delivering the scheme for the self-employed is very difficult in the time available. They are a very diverse and wide mix of people, with a diverse mix of turnover and profits and monthly and annual variations even in normal times. In many cases, they have substantial alternative forms of income, too. Despite the challenges, the scheme has delivered what it set out to do successfully, providing at speed much-needed income support.

I will endeavour to make sure that ExcludedUK and ForgottenPAYE, which so many Members praised, receive a ministerial response to their letters, and I am happy to write to those Members who have other areas that they feel have not been addressed today. I thank so many Members for contributing to this debate, and I hope colleagues will support the Government as we now turn our thoughts, energies and resources to looking forward and planning for the recovery.

Coronavirus Job Retention Scheme

Rachael Maskell Excerpts
Thursday 17th September 2020

(3 years, 7 months ago)

Commons Chamber
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Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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The Labour party will do everything within its power to convince the Government that they need to find an urgent solution to the pending jobs crisis of withdrawing the job retention scheme next month. Trade unions and businesses agree. For us, jobs are not about statistics; jobs are about people, families and communities, and they just do not know what the future will bring. Time is running out. Redundancy notices are being written now. We are facing the worst economic crisis we have ever seen. My constituency is forecast to be the second worst hit place in the country, and that is why I am standing here today.

I look at our twin cities of Münster in Germany, where people have an additional 14 months’ security, or our twin city of Dijon in France, where people have until January and then a possible extension until July 2022. Workers in my city do not have that security and safety. They are scared because they could be on the dole before Christmas.

The Treasury should invest in these jobs because they are good jobs. The problem we saw with this Government after 2010—we are seeing it now—is that if we do not invest in good-quality jobs, we end up with low pay and low-wage jobs. That means low productivity and less money going back to the Treasury. That is why we are calling right now for more flexibility to be built into the job retention scheme and for help for the sectors that are struggling, such as tourism, hospitality and leisure, which are so dominant in my local economy.

Yesterday, I raised with the Prime Minister the fact that 17,700 people in my constituency are currently on furlough. Their future looks bleak unless the Government act. The 8 million people who visit York each year just are not there, and people in my constituency are saying that they are facing their third winter in a row as they move into the next season without the support they desperately need. Some 22% of jobs are forecast to go in York—one in five jobs. That is terrifying. That is why we need the Government to step up now. Time is not on our side.

Looking at companies in my city, employers are worried, too. Great Rail Journeys, established in 1947, has already had to lay off staff and has 80 members of staff currently furloughed. It helped people at the start of this crisis to cancel or postpone their bookings, and now they are not seeing more money coming in. We absolutely need to support these parts of the economy.

Finally, I say this to the Minister: I stand here for the sake of the livelihoods of my constituents. They need their jobs preserving, and I look to him to do that.

Protection of Jobs and Businesses

Rachael Maskell Excerpts
Wednesday 9th September 2020

(3 years, 7 months ago)

Commons Chamber
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Anneliese Dodds Portrait Anneliese Dodds
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I would love it, frankly, if the Chancellor and his team wished to open talks with the Opposition, with business, with trade unions, looking at the different options that I have just set out. I know the hon. Gentleman is one who does look at detail. I have just set out a variety of different models that have been set out by business, trade unions and think tanks. We want to work with government on this. If he is signalling that he wishes that discussion to happen, I hope that his Front-Bench colleagues will take that invitation up as well. It is not just he who wishes to have that discussion with his Front-Bench team. I note that a huge number of Conservative Members want to participate in this debate, and I am keen to hear their thoughts on it. Some of their colleagues have already pronounced on it. The right hon. Member for Preseli Pembrokeshire (Stephen Crabb) has said that there should be

“targeted extensions to the furlough scheme beyond October.”

The hon. Member for Harborough (Neil O’Brien) has said that he can see the case for it, too. How many more Conservative Members are worried, privately, about the impact on their constituents of this Chancellor pushing stubbornly ahead with his plan to take support away from everyone, all at once?

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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I recall the Chancellor saying that he would do “whatever it takes”. The hospitality and tourism sector, which covers a quarter of the jobs in my constituency, is now entering its third winter in a row, as the sector puts it. Should not support be targeted at that sector, too?

Anneliese Dodds Portrait Anneliese Dodds
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My hon. Friend has been such a champion for those jobs in York and, indeed, for jobs throughout the country. I say to her exactly what businesses in tourism right across the UK have been saying to me when I have spoken to them: they do not want a handout; they just want a fair chance. If they end up having to close their businesses—if they end up having to lay off staff—it will take a very long time to build those businesses back up again. The Government should be listening to them.

Indeed, the Government should be listening, as I said, to the Government Members who are concerned about the withdrawal of the scheme. More than half a million at-risk jobs belong to people living in the constituencies of the Chancellor’s newest colleagues on the Government Benches—over 18,000 in Burton, more than 20,000 in Watford and in excess of 21,000 in Milton Keynes North—but so far, the Chancellor is not listening. Of course, he has not come to the Chamber today to hear what Members have to say about the very real fears of their constituents. We have not heard him speak in the House since the summer recess, despite the fact that our country is in the grip of a jobs crisis.

The Labour party, trade unions, think-tanks, business and even the Chancellor’s own Back Benchers can all see that what the Government are doing will make our jobs crisis worse and lead to untold misery for millions of people, as well as reducing our economic capacity for the future. We are all sounding the alarm; the question is: what will it take for this Government to listen?

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Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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The reserves have run out, the fundraising has dried up, and vital support never arrived for our vital community and voluntary sector. It is estimated by Pro Bono Economics that 60,000 jobs will be lost from our charities. The organisations that stepped up in the crisis are now in crisis and need the Government to step up. Already, 6,500 jobs are registered as being lost. On top of that, many small organisations will be losing the ones and twos that never hit the headlines. However, the pain for those organisations is as great. We think about animal welfare charities having to pay vet bills and feed animals. We think about medical research charities that are seeing a 41% drop in funding. The result is that the cancer plan is delayed, treatments are delayed and vital treatments are not provided. That is our loved ones not being cared for. This is what charities do day in, day out.

The withdrawal of the furlough scheme will be devastating for this sector, which has depended on it so much. There is no money coming in. We need a solution.

Danny Kruger Portrait Danny Kruger (Devizes) (Con)
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Will the hon. Lady give way?

Rachael Maskell Portrait Rachael Maskell
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I wish to continue.

When talking about large organisations, from the Southbank Centre to Oxfam and the National Trust, we must also remember the small organisations. It is estimated that 90% of black, Asian and minority community organisations will be gone by the end of the financial year. If we think of what has just happened across this country, it is clear that we need those organisations. The Government need to step up and ensure that they are there.

The sector is calling for an extension of the coronavirus job retention scheme with greater flexibility; a gift aid emergency relief package; the repurposing of the national fund, which is worth £500 million, to allow access to support charities and services; the effective and efficient distribution of the shared prosperity fund; and the creation of a community wealth fund using dormant assets. It is crucial that is brought forward now, before it is too late.

If I may, Madam Deputy Speaker, I want to raise one issue concerning my constituency. We will be the second worst hit constituency in the country, and therefore we need some action now. While the Government have supported the BioYorkshire plan, which will create 4,000 jobs, they are tying that up in a devolution deal. I therefore urge the Government to bring that funding forward so that we can provide that safety net now to stop us moving into an unemployment crisis in York, which no one in this House wants to see. The Minister could solve that problem for us.

Public Health England Review: Covid-19 Disparities

Rachael Maskell Excerpts
Thursday 4th 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.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

This information is provided by Parallel Parliament and does not comprise part of the offical record

Kemi Badenoch Portrait Kemi Badenoch
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I thank my hon. Friend for that question, which makes an important point. We do want to see diversity in leadership across institutions in this country, which is one reason why we asked Professor Kevin Fenton, who is a black surgeon, to lead on this review. This issue is close to my heart, and, as a black woman who is Equalities Minister, I will be looking into it as well. I can definitely take this forward and examine what is happening across our institutions.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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In 2010, Professor Marmot published his report on how structural inequalities predispose the poorest to the worst health outcomes. We know how race inequality is entwined with that. A decade on, the inequalities have grown. The PHE report has now highlighted the fatal consequences of that. Even today, low-paid workers are exposed to the greatest infection risks, and lockdown easement is reinforcing that. Will the Minister pause the easement plan until a full mitigation plan is in place to address these inequalities?

Kemi Badenoch Portrait Kemi Badenoch
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It is important to reiterate that any easement plan is being made in conjunction with scientists. The Government have reviewed and explained guidance extensively across all sorts of occupational areas. It is important that employers make risk assessments for their staff so that they are not unduly exposed to the virus.

Covid-19

Rachael Maskell Excerpts
Monday 11th May 2020

(3 years, 11 months ago)

Commons Chamber
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Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op) [V]
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In opening, let me send my heartfelt condolences to all those who have lost family members at this difficult time. The complications of isolation make bereavement more challenging, and I pray that all can find peace, as they work through their pain of loss.

Again and again, we are struck by the professionalism, care, compassion, courage, commitment and love of our NHS and care staff. They have gone beyond their duty to serve us, as have so many frontline workers, ensuring that the nation is fed, supported and cared for. I know, in York, of the sacrifices that have been made by so many and thank all workers and volunteers for each act of kindness that they have shown during this crisis.

I want to raise one issue on the behalf of those workers before moving to my main contribution. In November 2014, following the Francis report into the serious issues uncovered at Mid Staffordshire hospital, the duty of candour was introduced. If healthcare workers are to be safe, we need to ensure that there is a place where all can safely raise concerns, and that those concerns are responded to. The duty should extend to all. I know that concerns have been raised by careworkers in my constituency and yet they have not been addressed. Access to PPE is one such example. Employers, local resilience forums and, yes, Government need to be honest in their response to the challenges that are presented, and mitigation must be put in place to protect workers.

Last night, the nation was thrown into confusion, but I believe the Prime Minister was clear: he was shifting risk from the state to individuals and businesses. That is unacceptable when dealing with such a dangerous virus. Today, I want to raise two major issues missing from the Government’s strategy. To mitigate the worst aspects of the pandemic, we need better data and we need a risk analysis. The data is scant and the risk analysis absent. As covid-19 will be prevalent until a vaccine is administered, the right data needs collecting now.

I have two brief examples. We receive hospital mortality figures and, latterly, figures for care homes. However, if we are looking into infection control, it is not the location of death that is important, but the location of infection. How many covid-positive hospital admissions originate from care homes, how many have been infected in hospitals, and then how have many died? Clearly, infection data, not just mortality data, must be shared. We need data to expose where risk resides. How do the infections and deaths of so many people align with protected characteristics and underlying health conditions? If they do align, with which ones, and what about socioeconomic circumstances? Data needs to be granulated, so that risk is understood and mitigated.

Secondly, where is the risk register? Today, I am calling on the Government to publish a risk register. Unless there is a full risk analysis of all the risks, how can we balance them and put appropriate mitigation in place? Without a risk register, how can anyone scientifically scrutinise the Government? Every Department, every local authority, every statutory body and every employer must produce a risk analysis not only on the basis of health but, importantly, on the basis of the economy. Each decision must also be accompanied by an equality impact assessment. Had that been the Government’s approach, we would never have seen the austerity measures that stripped our NHS of vital resources such as PPE and staff, and all the gross inequalities demonstrated in the mortality statistics. We would not have seen the mistakes that have occurred over the past few weeks, with gaps in the economic package causing severe hardship. We would not have had last night’s announcement. We need an evidence-based approach to decision making, and we need this crucial information published now. I call on the Government to put data and a risk analysis in the public domain.

Rating and Valuation

Rachael Maskell Excerpts
Tuesday 4th February 2020

(4 years, 2 months ago)

Commons Chamber
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Jesse Norman Portrait Jesse Norman
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Let me start by responding to the comments from the Opposition Front Bencher, the hon. Member for Oxford East (Anneliese Dodds), who raised a series of questions of a technical nature. She asked why the Government are continuing to use RPI versus CPI, and I was grateful that she acknowledged that the policy has been one of slow alignment. In September 2019, the Chancellor announced that the Government and the UK Statistics Authority would jointly consult on proposals to address shortcomings in RPI. We expect that consultation to launch at the time of the Budget.

I am sure the shadow Minister is aware—I think she hinted at this—that since 2010 the Government have been reducing the use of RPI, and we will continue to do so where practicable. She asked why primary legislation had not been used in the context of this instrument. The answer is that the Government have made a commitment that this will be permanent and that they will use CPI for the uprating of business rates. We have also said—if we have not, let me say it now—that we will consider introducing primary legislation in due course, but the parliamentary timetable is very congested and we have to make sure it can fit alongside many other items, including items to which I am sure she is thoroughly committed.

The shadow Minister talked about raising thresholds. As I think she will acknowledge, we have increased the rate for the retail discount, and the pubs discount has been set at a high level and so includes a great number of pubs. She asked about the review. We have said we will launch a review in due course. I will not go further than that, although at this time of the year it does not require the application of rocket science to see when “in due course” might ultimately land.

Finally, the shadow Minister talked about local government. Of course, she is right to focus on the importance of business rates to local government funding. I had the British Retail Consortium in to see me only recently, and I talk closely with all those affected by the rate. As she will be aware, the Secretary of State for Housing, Communities and Local Government published the provisional 2020-21 local government finance settlement in December, which set out an additional £2.9 billion in core funding, as announced in the spending review 2019. As she also knows, however, it is not just a matter of what funding is provided by central Government; it is also a matter of what core spending power is available to local authorities.

I am pleased to welcome the hon. Member for Liverpool, Wavertree (Paula Barker), who made her maiden speech. I congratulate her and welcome her to her place in the House. She got wonderful support from her colleagues on the Opposition Benches, which is always a comfort when doing one’s maiden speech, so I congratulate her on that as well. She described herself as a woman with an opinion. In this House, anyone who can describe themselves like that will go a long way, so I congratulate her again. Just to correct the public record, however, I hope she will recognise that Tory support for Liverpool goes back a long way. Michael Heseltine was recently given the freedom of the city in recognition of his support, and I think that everyone can see the difference and the energy the city has at the moment. The Government are seeking to support it and the mayoralty in many different ways.

Question put and agreed to.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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On a point of order, Madam Deputy Speaker. I wonder if you could assist me. When we have a public health scare, we expect the Government to be in control. Yesterday, I raised the serious issue of how information about the coronavirus infection was being shared and how getting communications right was crucial to alleviating public concern while also protecting the public. Today we have learnt that the information provided concerning those infected with coronavirus was incorrect. The student did access student accommodation—Vita Student accommodation—despite our being told they had not. There is confusion over how information is being gathered and shared, which could have a serious impact on public confidence in how the coronavirus is being managed. The Government need to get a grip as we may be in the early stages of the management of this infection. Could you, Madam Deputy Speaker, advise the House on whether the Secretary of State for Health and Social Care intends to make a further statement to the House, in particular to address the management of communications surrounding coronavirus, in the light of the latest developments?

Rosie Winterton Portrait Madam Deputy Speaker (Dame Rosie Winterton)
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I thank the hon. Lady for her point of order, and for giving me notice of it. Obviously the Secretary of State is responsible for the accuracy of what he says in the Chamber, and for the information that is given to the public about this extremely important matter. I have not heard of any intention on the part of Ministers to make a further statement, but those on the Treasury Bench will have heard the hon. Lady’s point of order, and I know that she is well aware of the further routes that she can pursue if she remains dissatisfied with the situation.