Northern Ireland (Interim Arrangements) Bill

Simon Hoare Excerpts

2nd reading
Wednesday 10th May 2023 Commons Chamber

[Mr Baker]

I do recognise those aspects. We have published today revised guidance and those relatively small changes are now available on gov.uk. We will certainly be interested in the hon. Gentleman’s views, and those of all relevant parties, on that guidance. In a nutshell, I agree with him that the best way forward is to restore the institutions. I am trying not to hector, but we are all very frustrated. As I have repeatedly said, I recognise that the Democratic Unionist party and Unionism more broadly face a very difficult compromise, but I am committed, as I know the hon. Gentleman is, to saying that devolved government in Northern Ireland is the best way forward.

[Simon Hoare (North Dorset) (Con)]

Will my hon. Friend give way?

[Mr Baker]

I will, and once I have done so I will try to press on.

[Simon Hoare]

I am grateful to my hon. Friend for giving way. Picking up on the point raised by the hon. Member for North Down (Stephen Farry) with regard to the role of civil servants, is the Minister able to consider seconding GB civil servants with experience of delivering dynamic change management to both the Northern Ireland civil service and the Northern Ireland Office in order to help deliver those changes? Although we hope it will for a short period of time, all hands are needed to the pump.

[Mr Baker]

My hon. Friend makes a very sensible suggestion. I am sure it will be considered in due course, but I hope he will not mind me saying that it would be best if that request came from a restored Executive. I know that I sound like a broken record, but that is the present issue.

I will press on. First, I express my sincere thanks to Opposition Members for continuing to ensure that Northern Ireland is served as well as possible and for not making it a political football. I appreciate that most sincerely.

The Bill does three important things. First, it continues the provisions relating to decision making for Northern Ireland civil servants, which Parliament passed in December in the Northern Ireland (Executive Formation etc) Act 2022. Those provisions, which clarify the decisions that civil servants in the Northern Ireland Departments can take in the absence of Northern Ireland Ministers and an Executive, are due to expire on 5 June. Under this Bill, those powers will continue until an Executive are restored. This will avoid a governance gap arising if an Executive are not in place by 5 June. As before, senior officers will be required to have regard to guidance, now published, set by my right hon. Friend the Secretary of State and the Government. That draft is out there, and we will take representations on it.

The second thing that the Bill does, and this is a little more novel, is give power to the Secretary of State to explore, with Northern Ireland Departments, options for budget sustainability, including further revenue raising, in Northern Ireland. Alongside allowing him to commission advice, the Bill will allow the Secretary of State to direct consultations to be held by Northern Ireland Departments on those matters. These powers are time-limited and apply only until an Executive are formed.

--- Later in debate ---

[Simon Hoare (North Dorset) (Con)]

I support this Bill as a necessity, without any particular enthusiasm, and I echo and endorse entirely what my hon. Friend the Minister said in exhorting political parties to get back into Stormont to deliver for people. I also echo the point made by the shadow Secretary of State, the hon. Member for Hove (Peter Kyle), about the importance of learning from the process of talks and leadership that got us to the Good Friday agreement. We cannot sit like latter-day Mr Micawbers, waiting for something to turn up; we have to try to make the weather. I suggest to my hon. and right hon. Friends on the Government Front Bench that if conversations are not already being had with Dublin as one of the two capital co-guarantors of the Good Friday agreement, they should re-inject some energy, pull people in and find out precisely what the issues are and what, if anything, can be done to address them and rebuild trust, in order to get back to serving the people of Northern Ireland through directly elected politicians.

Over this coronation weekend, I learned from our vicar in Blandford Forum a new Henry Ford quote—it was new to me, although possibly not to anybody else. Henry Ford once said that if he had asked the population at the time what they wanted, they would not have said a motor car; they would have said that they wanted a faster horse. Sometimes, we as politicians have to make the weather, and show leadership and shape the debate, rather than merely echo what the base has to say. That requires the vision, the courage and the bravery that we saw from that political class in the mid-1990s, running through to the Good Friday agreement. I am an optimist, and I believe that that spirit of delivery in public service still exists. It is not beyond the wit of this place and the political parties in Northern Ireland to resurrect it and to see Stormont come back.

I think we all recognise that for too long, bold and brave policy initiatives in Northern Ireland have been slightly less to the fore. There has been a tendency to ask for additional moneys from the Treasury, and the Treasury coughing up and providing it through some avenue or another. Everybody is conscious of the unique history of Northern Ireland as part of the United Kingdom, and therefore of the additional needs for public expenditure and intervention that are required, which are different from any other part of the UK. However, as we, hopefully, move forward—we discussed this at the Select Committee this morning, and Sir David Sterling certainly echoed this point—in order to deliver step changes of improvement for those who use public services, a greater reliance on match funding from the Treasury needs to be looked at. That means that local politicians in Northern Ireland deliver new streams of money, either through revenue or expenditure savings, and the Treasury provides new money. To just continually provide new money with no concomitant reform from Belfast does not serve any particular purpose, and arguably raises too many questions in the minds of English voters as to why they are not getting a greater share of the public purse than, for example, those in Northern Ireland, because they too readily and easily forget the difficult history.

[Gavin Robinson (Belfast East) (DUP)]

The Chairman of the Northern Ireland Affairs Committee will remember that back in January, he and I argued the toss on issues of how Northern Ireland is financed. Since then, I appreciate that he took a letter from me. He understood exactly where I was coming from on the structural improvements required for the funding of Northern Ireland and launched an inquiry in that regard. I appreciate those efforts, but I regret that even today he is talking about coughing up on a regular basis more and more money from the Treasury, when he knows from the Fiscal Council that this is not a separate discussion about reform, though that is necessary and important for the delivery of public services. Northern Ireland is structurally underfunded by this Parliament, and it has been for years, with a compounding impact on the ability to deliver public services. Rather than pitch us against his constituents in England, would it not be better for him to reflect on the structural underfunding, the resolve to get Northern Ireland to a more sustainable place with public finances and the need to use a comparator such as Wales, which went through exactly the same process 15 years ago, culminating in a financial uplift 10 years ago?

[Simon Hoare]

Let me answer that point first. The hon. Gentleman makes a perfectly valid point, and I am grateful to him for being the genesis for the Committee’s current inquiry, which is proving incredibly useful. He is right to talk about the disparity, and perhaps the phrase “coughing up” might not have been the most elegant I could have used, but he knows me well enough to know that elegance is not one of my greatest strengths. I can almost feel a second letter of “I agree with you” coming from him. He will be pleased to know that the one he sent me some months ago adorns the wall of the downstairs loo, as a rare thing of him agreeing with something that I said in this place in a debate on Northern Ireland.

In all seriousness—this is a point we discussed upstairs in Committee—constituents in England, Wales and Scotland are paying for things that residents of Northern Ireland currently are not paying for. While he is right to point to some of the structural imbalances, it does need to be a two-way street. There should not be an opportunity for the continuance of water and other things being outwith the charging mechanisms while expecting additional resource from Treasury to meet that gap. If he has looked at the reports of the Fiscal Council, he will see clearly the amount of money that could be generated by introducing charges.

[Claire Hanna (Belfast South) (SDLP)]

This is an interesting discussion, and the hon. Member for Belfast East (Gavin Robinson) has, on a number of occasions, made sensible points about the challenges of delivering public services with the economy of scale that we have in Northern Ireland. Would the hon. Member for North Dorset (Simon Hoare) agree that when we look to a wider economy of scale, perhaps on the island of Ireland, services become considerably more viable? Would he further agree that it opens up the opportunity of using numerous other fiscal levers to take us outside the locked-in cycle of just being dependent on pocket money from UK Governments? Would he further agree that the substantial budget surplus that the Republic is currently identifying and enjoying could help with some of these problems?

[Simon Hoare]

The hon. Lady digs the most elegant of tiger traps, hoping I will jump into it, but I will swerve around it. She makes a point that most people in their heart of hearts would agree with, which is that if a greater bang for the public sector buck can be achieved, which then has a direct benefit for outcomes in health, economic development, education and so on, that should be explored. Part of the reason why so many people in this place were keen to ensure the openness of the border north-south was that huge exchange of people, trade and ideas that takes place on a daily basis. Purely in the need to try to drive as much efficiency for the taxpayer as possible, nothing should be ruled in or out. If, however, her intervention was an elegant way of inviting me to endorse the idea of joint authority, I am afraid I will have to disappoint her, because devolution is the only game in town as far as I am concerned, and the Minister articulated that, too.

I move to my final point, because I know that others wish to speak. Under new section 5A in the Bill, which concerns advice and information, any direction from the Secretary of State falls or lapses at the end of the current period in which there is no Executive. What that could effectively mean—perhaps the Bill is deliberately opaque on this—is that all the work, consultation, information, advice and so on is lost. Does it get passed to Ministers in Stormont as a piece of work that they may or may not wish to consider? We know that the Secretary of State perfectly properly—although that in itself is a debatable point—cannot take decisions based on the advice or consultation. However, if that good work, particularly that undertaken by civil servants—as always, they will be rising to the challenge of trying to deliver not just existing public services, but public service reform—is to be meaningful, I would hope that the advice and information tabled to the Secretary of State would be passported over to the relevant new Minister in the Executive.

It is clear, certainly in the evidence sessions that we have held, in meetings that the Committee has had and on visits to Northern Ireland, that the public are ahead of us on this. They know that there are problems with public service. The right hon. Member for East Antrim (Sammy Wilson) made the point to me some while ago that a resurrected Stormont could not solve all the problems, and he is right to make that point, but it can certainly play a part in trying to find solutions to very many of them. The public appetite for public service reform is acute, as people face the cost of living crisis post covid and the economy faces all the challenges as a result of Ukraine and the associated knock-on effects. I would like to hear from the Minister what will happen to that advice.

I join the Minister in praying, exalting, urging—whatever. The people of Northern Ireland deserve so much better than this. They do not deserve interim arrangements. They do not deserve or need temporary sticking plasters. They need fundamental, robust, energised and engaged public service. The appetite is there, and I believe that it is growing across the political parties in Northern Ireland. I hope that we can get Stormont back up and running because, as we all know, devolution really is the only show in town.

[Mr Deputy Speaker (Sir Roger Gale)]

I call the Scottish National party spokesman.