Monday Volume 539 23 January 2012 No. 253

HOUSE OF COMMONS OFFICIAL REPORT

PARLIAMENTARY DEBATES (HANSARD)

Monday 23 January 2012

£5·00 © Parliamentary Copyright House of Commons 2012 This publication may be reproduced under the terms of the Parliamentary Click-Use Licence, available online through The National Archives website at www.nationalarchives.gov.uk/information-management/our-services/parliamentary-licence-information.htm Enquiries to The National Archives, Kew, Richmond, Surrey TW9 4DU; e-mail: [email protected] HER MAJESTY’S GOVERNMENT

MEMBERS OF THE CABINET

(FORMED BY THE RT HON.DAVID CAMERON,MP,MAY 2010)

PRIME MINISTER,FIRST LORD OF THE TREASURY AND MINISTER FOR THE CIVIL SERVICE—The Rt Hon. David Cameron, MP DEPUTY PRIME MINISTER AND LORD PRESIDENT OF THE COUNCIL—The Rt Hon. Nick Clegg, MP FIRST SECRETARY OF STATE AND SECRETARY OF STATE FOR FOREIGN AND COMMONWEALTH AFFAIRS—The Rt Hon. William Hague, MP CHANCELLOR OF THE EXCHEQUER—The Rt Hon. George Osborne, MP LORD CHANCELLOR AND SECRETARY OF STATE FOR JUSTICE—The Rt Hon. Kenneth Clarke, QC, MP SECRETARY OF STATE FOR THE HOME DEPARTMENT AND MINISTER FOR WOMEN AND EQUALITIES—The Rt Hon. Theresa May, MP SECRETARY OF STATE FOR DEFENCE—The Rt Hon. Philip Hammond, MP SECRETARY OF STATE FOR BUSINESS,INNOVATION AND SKILLS—The Rt Hon. Vince Cable, MP SECRETARY OF STATE FOR WORK AND PENSIONS—The Rt Hon. Iain Duncan Smith, MP SECRETARY OF STATE FOR ENERGY AND CLIMATE CHANGE—The Rt Hon. Chris Huhne, MP SECRETARY OF STATE FOR HEALTH—The Rt Hon. Andrew Lansley, CBE, MP SECRETARY OF STATE FOR EDUCATION—The Rt Hon. Michael Gove, MP SECRETARY OF STATE FOR COMMUNITIES AND LOCAL GOVERNMENT—The Rt Hon. Eric Pickles, MP SECRETARY OF STATE FOR TRANSPORT—The Rt Hon. Justine Greening, MP SECRETARY OF STATE FOR ENVIRONMENT,FOOD AND RURAL AFFAIRS—The Rt Hon. Caroline Spelman, MP SECRETARY OF STATE FOR INTERNATIONAL DEVELOPMENT—The Rt Hon. Andrew Mitchell, MP SECRETARY OF STATE FOR NORTHERN IRELAND—The Rt Hon. Owen Paterson, MP SECRETARY OF STATE FOR SCOTLAND—The Rt Hon. Michael Moore, MP SECRETARY OF STATE FOR WALES—The Rt Hon. Cheryl Gillan, MP SECRETARY OF STATE FOR CULTURE,OLYMPICS,MEDIA AND SPORT—The Rt Hon. Jeremy Hunt, MP CHIEF SECRETARY TO THE TREASURY—The Rt Hon. Danny Alexander, MP LEADER OF THE HOUSE OF LORDS AND CHANCELLOR OF THE DUCHY OF LANCASTER—The Rt Hon. Lord Strathclyde MINISTER WITHOUT PORTFOLIO—The Rt Hon. Baroness Warsi

DEPARTMENTS OF STATE AND MINISTERS Business, Innovation and Skills— SECRETARY OF STATE AND PRESIDENT OF THE BOARD OF TRADE—The Rt Hon. Vince Cable, MP MINISTERS OF STATE— The Rt Hon. David Willetts, MP (Minister for Universities and Science) John Hayes, MP (Minister for Further Education, Skills and Lifelong Learning) § Mark Prisk, MP The Rt Hon. Greg Clark, MP § Lord Green of Hurstpierpoint (Minister for Trade and Investment) PARLIAMENTARY UNDER-SECRETARIES OF STATE— Edward Davey, MP Edward Vaizey, MP § Baroness Wilcox Cabinet Office— MINISTER FOR THE CABINET OFFICE AND PAYMASTER GENERAL—The Rt Hon. Francis Maude, MP MINISTER OF STATE—The Rt Hon. Oliver Letwin, MP PARLIAMENTARY SECRETARIES— Mark Harper, MP Nick Hurd, MP Communities and Local Government— SECRETARY OF STATE—The Rt Hon. Eric Pickles, MP MINISTERS OF STATE— The Rt Hon. Greg Clark, MP § The Rt Hon. Grant Shapps, MP (Minister for Housing and Local Government) PARLIAMENTARY UNDER-SECRETARIES OF STATE— Andrew Stunell, OBE, MP Robert Neill, MP Baroness Hanham, CBE ii HER MAJESTY’S GOVERNMENT—cont.

Culture, Media and Sport— SECRETARY OF STATE FOR CULTURE,OLYMPICS,MEDIA AND SPORT—The Rt Hon. Jeremy Hunt, MP PARLIAMENTARY UNDER-SECRETARIES OF STATE— John Penrose, MP Hugh Robertson, MP (Minister for Sport and the Olympics) Edward Vaizey, MP § Defence— SECRETARY OF STATE—The Rt Hon. Philip Hammond, MP MINISTER OF STATE—Nick Harvey, MP (Minister for the Armed Forces) PARLIAMENTARY UNDER-SECRETARIES OF STATE— Gerald Howarth, MP The Rt Hon. Andrew Robathan, MP Peter Luff, MP Lord Astor of Hever, DL Duchy of Lancaster— LEADER OF THE HOUSE OF LORDS AND CHANCELLOR OF THE DUCHY OF LANCASTER—The Rt Hon. Lord Strathclyde Education— SECRETARY OF STATE—The Rt Hon. Michael Gove, MP MINISTERS OF STATE— Sarah Teather, MP Nick Gibb, MP John Hayes, MP (Minister for Further Education, Skills and Lifelong Learning) § PARLIAMENTARY UNDER-SECRETARIES OF STATE— Tim Loughton, MP Lord Hill of Oareford Energy and Climate Change— SECRETARY OF STATE—The Rt Hon. Chris Huhne, MP MINISTERS OF STATE— Charles Hendry, MP Gregory Barker, MP PARLIAMENTARY UNDER-SECRETARY OF STATE—Lord Marland Environment, Food and Rural Affairs— SECRETARY OF STATE—The Rt Hon. Caroline Spelman, MP MINISTER OF STATE— The Rt Hon. James Paice, MP PARLIAMENTARY UNDER-SECRETARIES OF STATE— Richard Benyon, MP Lord Taylor of Holbeach, CBE Foreign and Commonwealth Office— SECRETARY OF STATE—The Rt Hon. William Hague, MP MINISTERS OF STATE— Jeremy Browne, MP The Rt Hon. David Lidington, MP (Minister for Europe) The Rt Hon. Lord Howell of Guildford PARLIAMENTARY UNDER-SECRETARIES OF STATE— Henry Bellingham, MP Alistair Burt, MP Government Equalities Office— MINISTER FOR WOMEN AND EQUALITIES—The Rt Hon. Theresa May, MP § MINISTER FOR EQUALITIES—Lynne Featherstone, MP § Health— SECRETARY OF STATE—The Rt Hon. Andrew Lansley, CBE, MP MINISTERS OF STATE— Paul Burstow, MP Simon Burns, MP PARLIAMENTARY UNDER-SECRETARIES OF STATE— Anne Milton, MP Earl Howe Home Office— SECRETARY OF STATE AND MINISTER FOR WOMEN AND EQUALITIES—The Rt Hon. Theresa May, MP § MINISTERS OF STATE— Damian Green, MP (Minister for Immigration) The Rt Hon. Nick Herbert, MP (Minister for Policing and Criminal Justice) § Lord Henley (Minister for Crime Prevention and Antisocial Behaviour Reduction) PARLIAMENTARY UNDER-SECRETARIES OF STATE— Lynne Featherstone, MP (Minister for Equalities) § James Brokenshire, MP HER MAJESTY’S GOVERNMENT—cont. iii

International Development— SECRETARY OF STATE—The Rt Hon. Andrew Mitchell, MP MINISTER OF STATE—The Rt Hon. Alan Duncan, MP PARLIAMENTARY UNDER-SECRETARY OF STATE—Stephen O’Brien, MP Justice— LORD CHANCELLOR AND SECRETARY OF STATE—The Rt Hon. Kenneth Clarke, QC, MP MINISTERS OF STATE— The Rt Hon. Lord McNally The Rt Hon. Nick Herbert, MP (Minister for Policing and Criminal Justice) § PARLIAMENTARY UNDER-SECRETARIES OF STATE— Crispin Blunt, MP Jonathan Djanogly, MP Law Officers— ATTORNEY-GENERAL—The Rt Hon. Dominic Grieve, QC, MP SOLICITOR-GENERAL—Edward Garnier, QC, MP ADVOCATE-GENERAL FOR SCOTLAND—The Rt Hon. Lord Wallace of Tankerness, QC Leader of the House of Commons— LEADER OF THE HOUSE OF COMMONS AND LORD PRIVY SEAL—The Rt Hon. Sir George Young, MP PARLIAMENTARY SECRETARY—David Heath, CBE, MP Northern Ireland— SECRETARY OF STATE—The Rt Hon. Owen Paterson, MP MINISTER OF STATE— The Rt Hon. Hugo Swire, MP Privy Council Office— DEPUTY PRIME MINISTER AND LORD PRESIDENT OF THE COUNCIL—The Rt Hon. Nick Clegg, MP Scotland Office— SECRETARY OF STATE—The Rt Hon. Michael Moore, MP PARLIAMENTARY UNDER-SECRETARY OF STATE—The Rt Hon. David Mundell, MP Transport— SECRETARY OF STATE—The Rt Hon. Justine Greening, MP MINISTER OF STATE—The Rt Hon. Theresa Villiers, MP PARLIAMENTARY UNDER-SECRETARIES OF STATE— Norman Baker, MP Mike Penning, MP Treasury— PRIME MINISTER,FIRST LORD OF THE TREASURY AND MINISTER FOR THE CIVIL SERVICE—The Rt Hon. David Cameron, MP CHANCELLOR OF THE EXCHEQUER—The Rt Hon. George Osborne, MP CHIEF SECRETARY—The Rt Hon. Danny Alexander, MP FINANCIAL SECRETARY—Mark Hoban, MP EXCHEQUER SECRETARY—David Gauke, MP ECONOMIC SECRETARY—Chloe Smith, MP COMMERCIAL SECRETARY—Lord Sassoon PARLIAMENTARY SECRETARY—The Rt Hon. Patrick McLoughlin, MP LORDS COMMISSIONERS— Michael Fabricant, MP Angela Watkinson, MP Jeremy Wright, MP Brooks Newmark, MP James Duddridge, MP ASSISTANT WHIPS— Philip Dunne, MP Stephen Crabb, MP Robert Goodwill, MP Shailesh Vara, MP Bill Wiggin, MP Norman Lamb, MP Mark Hunter, MP Greg Hands, MP iv HER MAJESTY’S GOVERNMENT—cont.

Wales Office— SECRETARY OF STATE—The Rt Hon. Cheryl Gillan, MP PARLIAMENTARY UNDER-SECRETARY OF STATE—David Jones, MP Work and Pensions— SECRETARY OF STATE—The Rt Hon. Iain Duncan Smith, MP MINISTERS OF STATE— The Rt Hon. Chris Grayling, MP Steve Webb, MP PARLIAMENTARY UNDER-SECRETARIES OF STATE— Maria Miller, MP Lord Freud Her Majesty’s Household— LORD CHAMBERLAIN—The Rt Hon. Earl Peel, GCVO, DL LORD STEWARD—The Earl of Dalhousie MASTER OF THE HORSE—Lord Vestey, KCVO TREASURER—The Rt Hon. John Randall, MP COMPTROLLER—The Rt Hon. Alistair Carmichael, MP VICE-CHAMBERLAIN—The Rt Hon. Mark Francois, MP CAPTAIN OF THE HONOURABLE CORPS OF GENTLEMEN-AT-ARMS—The Rt Hon. Baroness Anelay of St Johns, DBE CAPTAIN OF THE QUEEN’S BODYGUARD OF THE YEOMEN OF THE GUARD—The Rt Hon. Lord Shutt of Greetland, OBE BARONESSES IN WAITING—Baroness Garden of Frognal, Baroness Northover, Baroness Rawlings, Baroness Stowell, Baroness Verma LORDS IN WAITING—Earl Attlee, Lord De Mauley, TD, Lord Wallace of Saltaire

§ Members of the Government listed under more than one Department

SECOND CHURCH ESTATES COMMISSIONER, REPRESENTING CHURCH COMMISSIONERS—Tony Baldry, MP HOUSE OF COMMONS

THE SPEAKER—The Rt Hon. John Bercow, MP

CHAIRMAN OF WAYS AND MEANS—Lindsay Hoyle, MP FIRST DEPUTY CHAIRMAN OF WAYS AND MEANS—Nigel Evans, MP SECOND DEPUTY CHAIRMAN OF WAYS AND MEANS—The Rt Hon. Dawn Primarolo, MP

PANEL OF CHAIRS Mr David Amess, MP, Hugh Bayley, MP, Mr Joe Benton, MP, Mr Clive Betts, MP, Mr Peter Bone, MP, Mr Graham Brady, MP, Annette Brooke, MP, Martin Caton, MP, Mr Christopher Chope, MP, Katy Clark, MP, Mr David Crausby, MP, Philip Davies, MP, Jim Dobbin, MP, Nadine Dorries, MP, Sir Roger Gale, MP, Mr James Gray, MP, Mr Mike Hancock, MP, Mr Dai Havard, MP, Mr Philip Hollobone, MP, Mr Jim Hood, MP, The Rt Hon. George Howarth, MP, Mr Edward Leigh, MP, Dr William McCrea, MP, Miss Anne McIntosh, MP, Mrs Anne Main, MP, Sir Alan Meale, MP, Sandra Osborne, MP, Albert Owen, MP, Mrs Linda Riordan, MP, John Robertson, MP, Andrew Rosindell, MP, Mr Lee Scott, MP, Jim Sheridan, MP, Mr Gary Streeter, MP, Mr Andrew Turner, MP, Mr Charles Walker, MP, Mr Mike Weir, MP, Hywel Williams, MP SECRETARY—Simon Patrick

HOUSE OF COMMONS COMMISSION The Rt Hon. The Speaker (Chairman), Sir Paul Beresford, MP, Mr Frank Doran, MP, Ms Angela Eagle, MP, John Thurso, MP, The Rt Hon. Sir George Young, MP SECRETARY OF THE COMMISSION—Dorian Gerhold ASSISTANT SECRETARY—Joanna Dodd

ADMINISTRATION ESTIMATE AUDIT COMMITTEE Alex Jablonowski (Chairman), Ms Angela Eagle, MP, The Rt Hon. Sir Alan Haselhurst, MP, John Thurso, MP, Stephen Brooker, Mark Clarke SECRETARY OF THE AUDIT COMMITTEE—Gosia McBride

LIAISON COMMITTEE The Rt Hon. Sir Alan Beith, MP (Chair), Mr Graham Allen, MP, The Rt Hon. James Arbuthnot, MP, Mr Adrian Bailey, MP, The Rt Hon. Kevin Barron, MP, Dame Anne Begg, MP, Mr Clive Betts, MP, The Rt Hon. Malcolm Bruce, MP, Mr William Cash, MP, Geoffrey Clifton-Brown, MP, Mr Ian Davidson, MP, DavidTCDavies, MP, The Rt Hon. Stephen Dorrell, MP, Mrs Louise Ellman, MP, Natascha Engel, MP, Dr Hywel Francis, MP, The Rt Hon. Sir Alan Haselhurst, MP, The Rt Hon. Margaret Hodge, MP, Mr Bernard Jenkin, MP, The Rt Hon. Greg Knight, MP, Miss Anne McIntosh, MP, Andrew Miller, MP, Mr George Mudie, MP, Richard Ottaway, MP, Mr Laurence Robertson, MP, Mr Graham Stuart, MP, Mr Robert Syms, MP, John Thurso, MP, Mr Andrew Tyrie, MP, The Rt Hon. Keith Vaz, MP, Joan Walley, MP, Mr John Whittingdale, MP, Mr Tim Yeo, MP CLERKS—Andrew Kennon, Philippa Helme

MANAGEMENT BOARD Robert Rogers (Clerk of the House and Chief Executive), David Natzler (Clerk Assistant and Director General, Chamber and Committee Services), John Pullinger (Director General, Information Services), Andrew Walker (Director General, HR and Change), John Borley, CB (Director General, Facilities), Myfanwy Barrett (Director of Finance), Joan Miller (Director of Parliamentary ICT) (External Member), Alex Jablonowski (External Member) SECRETARY OF THE MANAGEMENT BOARD—Matthew Hamlyn

SPEAKER’S SECRETARY—Peter Barratt SPEAKER’S COUNSEL—Michael Carpenter SPEAKER’S CHAPLAIN—Rev. Rose Hudson-Wilkin

PARLIAMENTARY COMMISSIONER FOR STANDARDS—John Lyon, CB PARLIAMENTARY SECURITY DIRECTOR—Peter Mason

23 January 2012

THE PARLIAMENTARY DEBATES OFFICIAL REPORT

IN THE FIRST SESSION OF THE FIFTY-FIFTH PARLIAMENT OF THE UNITED KINGDOM OF GREAT BRITAIN AND NORTHERN IRELAND [WHICH OPENED 18 MAY 2010]

SIXTIETH YEAR OF THE REIGN OF HER MAJESTY QUEEN ELIZABETH II

SIXTH SERIES VOLUME 539 THIRTIETH VOLUME OF SESSION 2010-2012

incentives right, about which there is some doubt, why House of Commons on earth is he refusing to let these providers publish their data if they want to? Monday 23 January 2012 Chris Grayling: It is precisely because I am keen to get information out there that we are looking at ways to The House met at half-past Two o’clock ensure that that can happen, despite the rules about national statistics, which we have to obey very carefully. PRAYERS If the hon. Gentleman wants some statistics about employment programmes, let me share a set with him. The flexible new deal, to which he referred, cost the [MR SPEAKER in the Chair] taxpayer £770 million and delivered 50,000 six-month job outcomes. He can do the maths on that—it amounts to approximately £14,000 per six-month job outcome. Oral Answers to Questions That is one failure of the welfare-to-work programmes we inherited, and that is why the welfare-to-work package that we have put together through the Work programme will be better value for the taxpayer and do a better job WORK AND PENSIONS for the unemployed.

The Secretary of State was asked— Mr Julian Brazier (Canterbury) (Con): Following that robust answer, does my right hon. Friend agree that Work Programme (Performance Data) when we are able to publish these data, they are likely to show the success of putting work out to contract when 1. John Woodcock (Barrow and Furness) (Lab/Co-op): we see that organisations such as the Shaw Trust are For what reasons Work programme contractors are not much better at providing work for disabled people than permitted to publish their performance data. [90837] the work done in-house by the Benefits Agency?

The Minister of State, Department for Work and Pensions Chris Grayling: When I visit Work programme providers (Chris Grayling): I thought that this afternoon we might —I have now visited most of them—I certainly find a have been extensively debating the benefits cap, but no great deal of enthusiasm, a sense of purpose and successful Labour Members have been brave enough to raise the progress. I hope that that will show through in the issue; I cannot think why. official statistics when the time arises. I am not in the The Department is following guidance issued by the business of burying good news, and I very much hope national statistician in order to comply with the code of that we will be getting the good news about the Work practice for official statistics and to protect the integrity programme out there as soon as we possibly can. and accuracy of data. However, we propose to allow providers to publish data that do not compromise the Stephen Timms (East Ham) (Lab): I welcome the official statistics and will issue guidance to providers shortly. U-turn on the publication of data that the Minister has just announced. The White Paper, “Open Public Services”, John Woodcock: As the Minister knows, under the which was published only last summer, included the flexible new deal, providers were allowed to publish following commitment: their data if they wanted to. If he is confident in his “Providers of public services from all sectors will need to Work programme and knows that he has got the contracting publish information on performance”. 3 Oral Answers23 JANUARY 2012 Oral Answers 4

So why did he write into the Work programme contract cancer, addiction and mental health in which we are a ban on the publication of performance data by those trying to provide better long-term protection for people providers? who are genuinely vulnerable.

Chris Grayling: As we can all see, one of the challenges Personal Independence Payment that Labour Members face at the moment is that they are all over the place on policy. On Friday, they were 2. Nadine Dorries (Mid Bedfordshire) (Con): What attacking me for allegedly misusing statistics; today steps he took to consult disabled people and representative they are asking why I am not going round the rules set organisations on the development of the personal out for us by the Office for National Statistics. They independence payment. [90838] need to make up their minds about what they really stand for, because at the moment they have no idea. The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller): We have consulted disabled Stephen Timms: The Minister has signally failed to people and their representative organisations at all stages answer the question. We know that he did not ask the of the development of the personal independence payment. UK Statistics Authority, whose rules he regularly quotes, That included a formal consultation in December 2010 before he imposed this absurd ban. I welcome the fact and our response which was published in April 2011; an that he has finally announced a climbdown today, but informal consultation on the draft assessment criteria he cannot blame anyone for asking him what he was in May 2011; and a 15-week formal consultation on the trying to hide. revised assessment criteria, which started on 16 January this year. Chris Grayling: I have absolutely nothing to hide. I have to say to the right hon. Gentleman, as I have been Nadine Dorries: I thank the Minister for that answer. saying to him for weeks, that I am not in the business of Agate house in my constituency, a Leonard Cheshire burying bad news. None the less, the statisticians expect home in Ampthill, looks after some of the most severely us to make sure that we have robust and clear statistics disabled residents. Some are born disabled and many before we publish them. As the Work programme has have degenerative illnesses that mean that they will need been going for only six months, and we have barely greater levels of care in future. They will never need less started to make payments for providers’ success in care than they do today or be less disabled, yet they all getting people into work, he is, I am afraid, not portraying have to go through the ignominy and bureaucratic the reality of the situation. I am glad that he is pleased process of an assessment of their allowance once a year. that we are going to try to get the good news out there Will the Minister examine that matter? It seems an as quickly as possible, but we have to stick by the rules. incredible waste of money, a bureaucracy, a waste of civil servants’ time and an embarrassment to residents. Could we change that? Charlie Elphicke (Dover) (Con): Is not the key point that statistics must be first approved by the UK Statistics Maria Miller: I thank my hon. Friend for her question Authority? Will Ministers ensure that when statistics and say to her that we absolutely share the objective of are available, the success of the benefits cap is also ensuring that the people with the severest challenges in published, with the approval of the UK Statistics Authority? living independently in our society do not receive undue assessments. At the moment there is no in-built reassessment Chris Grayling: I will absolutely do that because, as under disability living allowance. She put her question my hon. Friend knows, we are all about trying to help in the present tense—I am not sure whether she was people out of poverty by getting them back into work. referring to other things for which people are assessed. I The benefits cap is one part of a portfolio of policies— reassure her that under PIP, we do not intend to have including universal credit, the Work programme and fixed annual reassessments. They will be made based on the migration of people off incapacity benefit—that individuals’ personal circumstances. will deliver the kind of change to our welfare state that we so desperately need and was so desperately lacking Barbara Keeley (Worsley and Eccles South) (Lab): In in 13 years under Labour. their report “Responsible Reform”, disabled people and carers analysed the responses to the Government’s Kate Green (Stretford and Urmston) (Lab): The Minister consultation and raised many issues about the replacement will be aware that it is expected that the number of of disability living allowance. Carers UK has also expressed claimants on employment and support allowance who deep concern about the impact on carers of cuts to are routed to the Work programme will be about 150,000 disability benefits, yet today we learn that 5,000 carer lower than was expected when the contracts were let. households will be hit by the mean reduction of £87 a What assessment has he made of the impact on their week as a result of the benefits cap. Will the Minister viability? now publish an assessment of the impact on carers of all the Government’s cuts? Chris Grayling: Overall, as the hon. Lady will have seen from the figures that we published before Christmas Maria Miller: To give the House total clarity I should about expected numbers in the Work programme, we say that the report that the hon. Lady references was are likely to see more people in the harder-to-help highly selective. It examined only about 10% of the groups go into the programme than was previously responses that we received on the DLA and PIP expected. However, she will also have seen from the consultation. previous sets of statistics on ESA that we have a larger I will answer the hon. Lady’s question about carers than expected support group, which is partly because of directly as she, like me, wants to ensure that carers get policy changes that we have made in areas such as the support that they need. We have already made it 5 Oral Answers23 JANUARY 2012 Oral Answers 6 clear that carers will be eligible for carer’s allowance as a 8. David Rutley (Macclesfield) (Con): What steps he result of the person for whom they are caring being in has taken to reduce the level of health and safety receipt of either level of PIP. regulation affecting business. [90845]

Jenny Willott (Cardiff Central) (LD): Many disabled The Minister of State, Department for Work and Pensions people are deeply unhappy about the performance of (Chris Grayling): Britain has the best record in Europe Atos Origin in administering the work capability assessment. for the prevention of death and serious injury in the As a result, they are scared about the introduction of workplace. We should be proud of that, and we will the new PIP assessment. What discussions has the Minister seek to retain it under the Government. We also have had with disability organisations about who will carry one of the worst records in Europe for unnecessary out the new assessments, and what reassurance has she health and safety red tape. The Löfstedt report, which been able to give them that the mistakes made with the we published in November, recommends significant work capability assessment will not be repeated with changes to our regulatory regime. We accepted the the PIP? recommendations and, with other planned changes, we aim to reduce the total number of health and safety Maria Miller: My hon. Friend will be aware that the regulations by 50% by 2014. new personal independence payment assessment will be separate from the WCA, and that any contracts that are Jessica Lee: My right hon. Friend referred to the in place for Atos are not at all connected with the new Löfstedt review. Does he agree that, by returning to a assessment that we need for PIP. In fact, a formal common-sense approach to health and safety legislation, competition document is going out today to start the businesses such as mine in Erewash can concentrate on commercial process. To reassure her about the involvement positively contributing to the local economy rather than of disabled people, I say that we already have an fearing unnecessary prosecution? implementation development group, which involves disabled people closely at every step of the way. Chris Grayling: Absolutely. That is very much our hope. We have already implemented one of the key Mrs Anne McGuire (Stirling) (Lab): Just for balance, recommendations of the Löfstedt review. On 1 January, I should like to put on record my thanks to those who we established the first challenge panel, which will allow gave us the Spartacus report, which was a challenging businesses that believe that they are on the wrong end of document and took apart some of the Government’s a wrong decision as a result of a health and safety points. inspection to have a quick, easy and simple way of The Dilnot report recommended that universal disability challenging and, if necessary, overturning it. benefits for people of all ages should continue as now. However, under the new PIP the Government are scrapping Mr Ellwood: Is it not the case that a culture of hesitancy, low-rate care. Some 500,000 people, and probably more, leading to paranoia, developed under the previous could face escalating unmet needs that will result in Government? That culture saw the term “health and pressure on council care services. What specific discussions safety” justify bizarre decision making, such as cutting has the Minister, as lead for the Office for Disability down trees in school playgrounds in case children climbed Issues, had on the changes with her colleagues in the them, or council office light bulbs being replaced only Department of Health and the Department for by those who had completed the “how to use a six-foot Communities and Local Government, and with the ladder” course. I hope that we will see some change Scottish and Welsh Governments, and what action has from this Government on those issues. she taken as a result of any conversations? Chris Grayling: We hope that a simpler regulatory Maria Miller: The right hon. Lady will know that we structure will contribute to that. If we take the example have been having very close conversations with both the of schools, we have already shortened the forms that devolved authorities and the Department of Health, need to be filled in for a school trip from more than and she is right that we have to consider the changes 120 pages to eight. I encourage every Member of the that are happening in the round. She should also be House, including you, Mr Speaker, to challenge daft mindful of the fact that the changes that we are making health and safety decisions when you come up against under the PIP will remove something that we inherited them in your constituency. There is almost certainly no from the previous Government—£600 million a year basis for them in health and safety law. going out in overpayments to people whose conditions have changed and who no longer need the same level David Rutley: The average annual cost of compliance of support. with health and safety regulations is more than £4,000 for businesses of fewer than 50 employees. What steps Health and Safety Regulation are being taken to reduce further the burden of health and safety regulations on our start-ups?

3. Jessica Lee (Erewash) (Con): What steps he has Chris Grayling: That is particularly important. One taken to reduce the level of health and safety regulation of the Löfstedt review’s key recommendations was that affecting business. [90839] we should exclude altogether from health and safety rules self-employed people who do not endanger the 7. Mr Tobias Ellwood (Bournemouth East) (Con): lives of others in the course of their activities. We have What steps he has taken to reduce the level of health accepted that recommendation and will introduce it and safety regulation affecting business. [90843] shortly. 7 Oral Answers23 JANUARY 2012 Oral Answers 8

Andrew Miller (Ellesmere Port and Neston) (Lab): As rather than the institution. While the Government consider a member of the Löfstedt review, I can confirm that how to proceed following the recent public consultation, there is a recommendation that has the potential to and to support the colleges through any period of reduce significantly the net number of regulations. Will transition, I have committed to provision continuing the Minister confirm that the review actually recommends through to the end of the academic year ending summer consolidating lots of statutory instruments? It would 2013. not remove health and safety regulations and, more importantly, it is not a short, quick fix, but a very Stuart Andrew: I am grateful for that answer. Residential long-term systematic study that is needed. training colleges have built up a great deal of expertise in supporting disabled people back into work. How will Chris Grayling: Let me pay tribute to the hon. Gentleman my hon. Friend ensure that that expertise is preserved? for his work on that committee—his contribution was much appreciated and greatly valued. He is absolutely Maria Miller: My hon. Friend is absolutely right. We right, though I emphasise that there is a mix. Today, we need to ensure that that expertise is protected and have begun a consultation on scrapping the first seven retained. That is why I have given a personal commitment regulations that we have identified as superfluous or to the colleges for provision to continue through to duplicating other provisions. As I said at the start of my summer 2013. Indeed, other parts of DWP are supporting remarks, our approach is not about undermining health colleges to broaden their approach, particularly those and safety, which protects people from death and serious such as Enham in Hampshire and near my constituency, injury in the workplace, but about creating a streamlined which delivers the Work programme in the Thames and simple system that businesses can understand quickly, valley and on the Isle of Wight. easily and cost effectively. Universal Credit (IT Systems) Katy Clark (North Ayrshire and Arran) (Lab): The Minister will know that the Health and Safety Executive 5. Sarah Newton (Truro and Falmouth) (Con): What estimates that, each year, £22 billion is lost in the UK assessment he has made of the information technology economy because of health and safety failures. Surely systems which will support universal credit. [90841] any reduction in health and safety regulation risks increasing that figure. The Secretary of State for Work and Pensions (Mr Iain Duncan Smith): Universal credit is on track and on Chris Grayling: That does not follow because the budget. The systems are not new or complex. After all, Löfstedt review—and the hon. Member for Ellesmere more than 60% of the total developed system is based Port and Neston (Andrew Miller)—identified many on reusing existing IT. New developments will use tried areas in which the rules and codes of conduct are too and tested technology. The key difference between how complicated and difficult for businesses to understand. this Government are doing things and how they were We need to get back to a simple regime that is easy to done before is that we have adopted commercial “agile” understand and does what it is supposed to do: protect design principles to build the IT service for universal people from death and serious injury in the workplace. credit in four stages, each four months long.

Sheila Gilmore (Edinburgh East) (Lab): Given that Sarah Newton: I thank my right hon. Friend for his the Löfstedt report does not say that our health and answer. Given the billions of pounds that were wasted safety legislation is either excessive or wrong, will the by the previous Government on failed IT programmes, Minister also say that and stop peddling the myths on this matter is vital to me and my constituents. Will my health and safety legislation—the Löfstedt report says right hon. Friend therefore explain to colleagues more that they are myths—that some of his colleagues keep about the testing regime before the new system is peddling? implemented?

Chris Grayling: The hon. Lady misunderstands the Mr Duncan Smith: I should tell my hon. Friend that I challenge we face. It is not Members of the House am not complacent about delivery. Hon. Members on peddling myths; they are peddled all around the country, both sides of the House know that IT developments can by local authority inspectors and middle managers in have difficulties and can go wrong at key points, even organisations who blame health and safety for things when we are not expecting them to do so. I am trying to that have no basis in health and safety law. If we have a ensure that Ministers are directly involved at every turn. simplified regime that everyone can understand, it is We get weekly updates and have fortnightly meetings much less likely that they can get away with doing that. with those in charge. I set up a programme board, which I chair, and a senior sponsorship group, which Disabled People (Residential Training) includes Her Majesty’s Revenue and Customs, the programme board and the Department for Work and 4. Stuart Andrew (Pudsey) (Con): What plans he has Pensions. The major projects review group has regular to support residential training colleges for disabled reviews. “Agile” principles make it easier for us to people. [90840] pinpoint where there might be failures.

The Parliamentary Under-Secretary of State for Work Glenda Jackson (Hampstead and Kilburn) (Lab): and Pensions (Maria Miller): DWP adult residential This morning on the “Today” programme, the Secretary training provision is delivered in nine colleges. The of State declared that he knew where and who the Sayce review of specialist disability employment provision families were who would be most adversely affected by recommended that funding should focus on the individual the introduction of universal credit. They will lose their 9 Oral Answers23 JANUARY 2012 Oral Answers 10 homes, their children will lose their schools and they Priti Patel: In the light of the significant sums being will have to find new medical treatments. Why does he paid in sickness benefits to UK citizens abroad will my need that system, and has he begun the process of right hon. Friend update the House on the legal dispute informing those families about the cataclysm that he between the Government and the European Commission? will bring down on their heads? Will he assure me that he will fight the Commission all the way on this matter? Mr Duncan Smith: With respect to the hon. Lady, she is mixing up policies. This question is about universal Mr Duncan Smith: The Minister of State, Department credit, but she is referring to the cap. I am sorry that no for Work and Pensions, my right hon. Friend the Member Opposition Member tabled a question on the cap—there for Epsom and Ewell (Chris Grayling), is in the Councils might be a reason for that, but I do not quite know what on this one. My hon. Friend refers to the Commission’s it is. idea that the habitual residency test should be abolished. That is quite wrong and we disagree with it fundamentally, What I said this morning was quite clear. I said that but we are not alone: a large number of European when it comes to the cap and smaller numbers of nations disagree with the Commission and we join them people, we have worked very hard over the last nine in saying that this is a step too far—a leap into an area months or so to ensure that we know who will be that has always been preserved for national Governments eligible to fall within the cap. We know exactly all their and in which it has no right. We will fight this, and I details, which will make it easier for us to help them believe that we will win. through the process. She should have a word with Opposition Front Benchers, and ask them why they did Dr Eilidh Whiteford (Banff and Buchan) (SNP): This not ask a question about the cap. is a very serious issue, but will the Government’s programme of closing DWP’s overseas network in many countries Mr Peter Bone (Wellingborough) (Con): When the around the world help or hinder efforts to ensure that Secretary of State introduces the new IT system, will he benefits are paid only to those entitled to them? consider introducing a skills database for all those who want a job, enabling employers to dial into the database Mr Duncan Smith: I believe that the hon. Lady’s and match the skills required with the person seeking a question is not directly relevant to whether we are able job, as against the other way round as at present? to spot whether people are eligible, because anybody who claims will have to go through exactly the same Mr Duncan Smith: That is a very good idea and I am checks as they would in the UK. That in itself will be a certainly ready to discuss it with my hon. Friend. If we bit of a deterrent in their trying to claim something can make something work, it would be brilliant. from a foreign doctor.

Nick Smith (Blaenau Gwent) (Lab): The information Universal Credit technology necessary for university credit will depend on the Revenue’s new PAYE real time system. Is the 9. Chris Kelly (Dudley South) (Con): What recent progress Minister confident that every employer will be using the he has made on delivering universal credit. [90846] system successfully by next October? 19. Caroline Dinenage (Gosport) (Con): What recent Mr Duncan Smith: We are working towards that, and progress he has made on delivering universal credit. so far it has been a success. Small companies of nine [90857] employees or fewer will have access to free software upgrades, so those that do not have a software payroll The Secretary of State for Work and Pensions (Mr Iain system will not incur any great charge. We are running Duncan Smith): Design work is well under way. As I trials that will start in April and that will join with the said earlier, we are continually testing with staff and DWP in October. We are on target and we will continue claimants to ensure that it works and that we make to work towards that date. That is our expectation and progress. On 8 December the major projects review ambition. group panel report acknowledged that significant progress had been made over the past few months. Sickness Benefit (UK Citizens Abroad) Chris Kelly: How many households are expected to receive a higher entitlement as a result of the universal 6. Priti Patel (Witham) (Con): What steps he plans to credit, and how will it help hard-working families in take to reduce the cost of sickness benefit paid to UK constituencies such as mine? citizens living abroad. [90842] Mr Duncan Smith: Universal credit will be a major sea The Secretary of State for Work and Pensions (Mr Iain change for my hon. Friend’s constituents, who will appreciate Duncan Smith): We are bound by EU rules to pay the fact that for the first time ever we will guarantee that sickness benefits abroad when people are eligible. I work pays. Figures show that 2.8 million households emphasise that they need to be eligible, and the same will have higher entitlements under the universal credit. rules apply to the contributory element on employment and support allowance and incapacity benefit—there Caroline Dinenage: Is there any flexibility in the way are no additional limits. We are determined to clamp in which the universal credit will be paid? For example, down on people claiming when they are not eligible, could it be paid weekly rather than monthly, and could and we are arguing that through at the moment, even in its housing component be paid directly to landlords in the Commission. order to protect vulnerable families? 11 Oral Answers23 JANUARY 2012 Oral Answers 12

Mr Duncan Smith: I thank my hon. Friend for that The Secretary of State for Work and Pensions (Mr Iain question. She has raised an issue that has been raised by Duncan Smith): Real-time information—there was a a number of people. The reason why we want to try to question about this earlier—should not be an additional pay universal credit monthly is simply that when cost to business, and I do not believe it will be. Ultimately, unemployed people go back to work, they sometimes it will help to reduce administration burdens for employers. have to adjust to their wages being paid monthly rather RTI will also be good for Her Majesty’s Revenue and than bi-weekly, which often causes them problems. One Customs, because it will help to eradicate some of the of the reasons why they often fall out of work is that errors caused by HMRC waiting a year before adjusting they cannot settle on that. We want to try and pay the what it has already paid and then trying to chase people universal credit monthly, so that it assists them. We will for that money. The fraud and error savings that will give every bit of assistance we can to all those who have arise from the RTI programme—which the DWP considers difficulty to help them manage their budgets, which will vital for the universal credit—should be around include a new test on the way we pay housing benefit £700 million, which is an important feature. and the way it will be allocated through their bank accounts. I also give my hon. Friend this undertaking: Dame Anne Begg: I do not think that the businesses we will have set-back proposals to make it absolutely I speak to have any idea whatever that this is about to certain that we can assist those who genuinely cannot hit them ahead of the introduction of auto-enrolment, do so to pay their relevant bills. which they are more conscious of and worried about. However, that may be academic, because from what I Mrs Madeleine Moon (Bridgend) (Lab): Before Christmas am hearing, HMRC’s timetable for real-time information it was announced that, at least initially, local authorities has slipped. It will not be ready to roll out RTI universally would have no role in the universal credit assessment. across the country on the date that the universal credit Will the Secretary of State tell me what impact that will is introduced. What happens to universal credit if RTI have on those working in housing benefit departments is not in place on its launch date? in local authorities? Will his Department be helping with redundancy costs if large numbers of people working Mr Duncan Smith: From the word go, we have not in housing benefit departments lose their jobs? needed the full system of real-time information to be ready for universal credit. We get our information from Mr Duncan Smith: The reason is that we will be essentially two feeds, which we have already been working talking full time, all the time, to local authorities. We on with HMRC, long before any further timetables. The receive a huge amount of information from them, so we reality is that RTI will dovetail nicely with universal are not talking about stand-alone assessments being credit, but we do not need it for that, and we are not made; rather, the functioning of universal credit requires expecting it to be ready at the start of universal credit. that, at its best, it should be done in one location. We were never expecting that, and we have been working However, we will be in constant contact with local on that basis. However, RTI will come in—it is “on authorities about the needs in their areas, and we will be timetable”—and those involved will be working hard to with them all the way through in the way this is applied. produce it.

Tessa Munt (Wells) (LD): May I press the Secretary Workfare Scheme of State a little further on the matter of paying housing benefit directly to landlords? A number of my constituents 11. Grahame M. Morris (Easington) (Lab): What have found that when they are overdrawn or beyond recent progress he has made on the introduction of the their overdraft, the bank snatches the money, leaving workfare scheme. [90849] them still unable to pay their rent, so that they get into worse and worse difficulties. Will he reconsider? The Minister of State, Department for Work and Pensions (Chris Grayling): We do not operate a workfare scheme. Mr Duncan Smith: I recognise that, and the point is I think the hon. Gentleman might be referring to mandatory that although the vast majority of those who receive activity; in which case, I can confirm that we have local housing allowance make their payments on time, schemes in place as part of people’s job search. They there is always a group that does not. The way to deal include mandatory work activity and the community with that is to recognise that we need to help landlords action programme, which is being tested as part of by not allowing those kinds of people to get away with supporting the very long-term unemployed. it—for example, by paying a little bit at the two-month point, which sets the clock back to zero. We can make Grahame M. Morris: May I press the Minister to give adjustments that way, and we can also deal with those a fuller answer to the question that my hon. Friend the who have difficultly by assisting them and, where necessary, Member for Barrow and Furness (John Woodcock) making direct payments. However, those payments should asked a little earlier? Profits at Poundland soared by always be the exception, to try to help people manage 34% in 2011, with people on workfare forced to work their budgets. for free in Poundland stores and being told at the beginning of their placement that there is no prospect Universal Credit (Costs to Small Businesses) of permanent employment, while they carry out the same duties as paid employees. Who is the real beneficiary 10. Dame Anne Begg (Aberdeen South) (Lab): What of workfare: the taxpayer or the shareholder? estimate he has made of the average cost to a small business of real-time reporting of PAYE information Chris Grayling: The hon. Gentleman is telling a lot of to enable calculation of universal credit entitlement. complete nonsense to the House. The reality is that [90848] Poundland is one of many major retailers taking part in 13 Oral Answers23 JANUARY 2012 Oral Answers 14 our work experience scheme, which is providing young child benefit being paid to the non-resident children of people who are out of work with their first opportunity EU workers in this country? What can be done to to get into the workplace so that they can show a ensure that those benefits are minimised? potential employer what they can do. More than 50% of young people who go through the scheme move quickly Maria Miller: We all want to ensure that the money into employment afterwards, including, in some places, available goes to the children who need it most, and with Poundland. I am sure that we will look carefully at her question.

Nick de Bois (Enfield North) (Con): There is a lot of Ann McKechin (Glasgow North) (Lab): Given that noisy criticism from those on the left about asking 92% of single parent households are run by women, will people to work in return for benefits. Does the Minister the Minister tell me what she is doing about the alarming think that they are right? rise in female unemployment, which is rising at a much higher rate than that of male unemployment? Chris Grayling: My hon. Friend is right; those people keep harking back to the future jobs fund. Let me give the House a simple comparison. The future jobs fund Maria Miller: The hon. Lady will know that the resulted in about half the participants getting into Minister of State, Department for Work and Pensions, work, at a cost of between £5,000 and £6,000 per my right hon. Friend the Member for Epsom and Ewell placement. The work experience scheme is resulting in (Chris Grayling) is doing a great deal to support women more than half the participants coming off benefit and and men back into work in these very difficult times. I going into work at a cost of about £300 per placement. should like to commend him for the excellent work that Which one do you think is better value for the taxpayer, he is doing further to expand the Work programme. Mr Speaker? Duncan Hames (Chippenham) (LD): Families with Child Poverty children that are currently in receipt of disability living allowance are among those who are worried about what they read in the papers about the Government’s welfare 12. Mr David Hamilton (Midlothian) (Lab): What reforms. Will the Minister take this opportunity to estimate he has made of the number of children who reassure them that they will not experience any reduction will be living in poverty in 2015. [90850] in the cash value of that benefit under the reforms? The Parliamentary Under-Secretary of State for Work and Pensions (Maria Miller): The Government do not Maria Miller: My hon. Friend is referring to the forecast in the way that the hon. Gentleman’s question future of the personal independence payment. He will suggests. Child poverty is dependent on a number of be aware of my firm commitment to ensuring that that factors, and we know that the most sustainable way of payment is focused on helping those who need help the reducing it is through parents going to work. I hope most. He will have seen from our recently published that the hon. Gentleman will take this opportunity, documentation that our initial work in that area shows when asking his supplementary question, to show his that more of that money is going to people who really support for the benefit cap, which will be one of the best need it in order to live independent lives. ways of ensuring that work pays, for families throughout our country. Pensions

Mr Hamilton: The Minister will have a long wait. The 13. Rehman Chishti (Gillingham and Rainham) (Con): independent Institute for Fiscal Studies has said that What steps he is taking to protect the interests of child poverty, as measured by the Child Poverty Act 2010, people with small pension pots. [90851] will rise by 400,000 by 2015, and that 200,000 children will be forced into absolute poverty. That means that the Government have no chance of meeting the targets The Minister of State, Department for Work and Pensions set out in the Act, which both parties supported. Does (Steve Webb): The problems associated with small pension the Minister believe that those forecasts are wrong? pots can include higher charges, losing track of a pension Also, will she make a commitment not to overturn or facing barriers to moving the pension and getting a amendments to the Welfare Reform Bill passed in another decent annuity. That is why we published a paper last place when the Bill comes back here? month that sets out some radical options for some form of automated transfer system to make it easier for Maria Miller: As I have already said, the Government people to build up one large pension pot. are not really into the forecasts that the hon. Gentleman is looking at, but we are firmly committed to eradicating Rehman Chishti: Does the Minister have evidence on child poverty. The IFS projections do not tell the whole the number of small pension pots that will be created story; they do not take into account fundamental things after automatic enrolment? such as behaviour change, or our significant investment in early intervention, our education reform policies and Steve Webb: I am grateful to my hon. Friend for that our policies in other areas. question. There is a risk that without action, in an auto-enrolment world hundreds of thousands of new Andrea Leadsom (South Northamptonshire) (Con): small pension pots will be created each year as people Bearing in mind the great importance given to the issue change jobs. That is why it is doubly important that we of child poverty across the House, will my hon. Friend should have some mechanism to combine those pots so tell us what steps she is taking to assess the amount of that they are a pension worth having. 15 Oral Answers23 JANUARY 2012 Oral Answers 16

Gregg McClymont (Cumbernauld, Kilsyth and Pension Funds (Charges) Kirkintilloch East) (Lab): The UK is in the grip of a private pensions crisis, with 60% of private sector employees saving nothing for their retirement. In light of that fact 15. Hugh Bayley (York Central) (Lab): If he will set a and in the light of the emergence of new competitors in limit on the charges which pension fund managers may the auto-enrolment market, will the Minister consider levy for the administration of pension funds. [90853] ending the statutory restrictions on the national employment savings trust scheme so as to better serve the auto-enrolment The Minister of State, Department for Work and Pensions market? (Steve Webb): Initial evidence ahead of the roll-out of auto-enrolment later this year is that the creation of Steve Webb: The hon. Gentleman raises an important NEST, with its relatively low charges, and competition issue. The Labour Government introduced the constraints in the market are leading pension providers to offer on NEST—and for a good reason, as it ensured that products for auto-enrolment with lower than average NEST focused on its target market. The situation has charges. However, we believe that charging levels are moved on and competitive developments in the market important and have taken additional reserved powers have emerged that were not necessarily foreseen. We are under the Pensions Act 2011 to cap charges under reflecting on the role of those constraints and I look auto-enrolment if that proves necessary. forward to discussing the issue further with the Select Committee on Wednesday. Hugh Bayley: The report produced for the Government Social Fund (Closure) by Dr Christopher Sier shows that pensioners are losing out because of the excessive fees and charges levied by 14. Alex Cunningham (Stockton North) (Lab): What private pension fund managers. What action will the assessment he has made of the likely effect of the closure Government take to cap the amount that private fund of the social fund on (a) homelessness, (b) hardship and managers can milk from the funds they manage on (c) use of payday loans. [90852] behalf of pensioners?

The Minister of State, Department for Work and Pensions Steve Webb: I think the hon. Gentleman was a Minister (Steve Webb): The social fund is not closing as payments in our Department under the previous Administration, for maternity, heating and funeral expenses will continue. and as he knows they chose not to cap charges but to Some discretionary payments, particularly community give themselves powers to cap them if it proved necessary. care grants, will be replaced by targeted local provision At the moment, our judgment is that the early roll-out at the same total level—so it is not a cut in the budget—and of auto-enrolment will deal with big firms who will give universal credit will provide a better service with payments good deals and low charges and that we have more on account supporting many people in need of short competition than was perhaps expected, with NEST and longer-term credit. coming in at around 0.5% and other providers at or below that point. We are encouraged by developments Alex Cunningham: I am grateful for that update. For in the market but we are absolutely prepared to use the some people, the social fund is a crucial safety net, capping powers if it proves necessary. allowing them to avoid catastrophe. One of the major concerns about its abolition is that people will no longer Youth Contract be able to claim crisis loans to pay rent in advance when they move into private rented accommodation. What provision will there be to help formerly homeless people 16. Mr Marcus Jones (Nuneaton) (Con): What recent pay rent in advance when moving into independent progress he has made on the youth contract. [90854] accommodation? The Minister of State, Department for Work and Pensions Steve Webb: I know that the hon. Gentleman had (Chris Grayling): Since the launch of the youth contract, written his question before he heard the answer, but the we have been engaging with employers, providers and social fund is not being abolished. The new system stakeholders to give them an active role in shaping the under universal credit of payments on account will delivery of the new offer. As a result, employers are now actually be more flexible, allowing people to draw down starting to sign up to support the delivery of the youth their universal credit ahead of time. That will be more contract and we remain on track to implement it in efficient than the current rigid system of crisis loans. April as planned. Let me pay tribute to all the employers Hywel Williams (Arfon) (PC): What discussions has that are currently and have committed in the future to the Minister had with the Welsh and Scottish Governments offering places in our work experience programme and about the transfer of some responsibilities to local in sector-based work academies and to offering in other authorities and with what result? ways to support what we are trying to achieve.

Steve Webb: We are localising to English local authorities Mr Jones: I thank the Minister for his response. I and, as the hon. Gentleman says, to the Scottish welcome the youth contract and I am sure it will help Government and the Welsh Assembly. We take the many of our young people into employment, but having view—we have had a positive response on this from the spoken recently to a number of local business people, Welsh Assembly—that the ability to shape a system for particularly from small businesses, I have concerns about Wales is welcomed. Whether the Welsh Assembly chooses the general level of awareness of the policy. Will my to do that through Welsh local authorities or at a right hon. Friend assure me that he is doing all he can to national level in Wales will be a matter for it. raise awareness of this crucial policy with employers? 17 Oral Answers23 JANUARY 2012 Oral Answers 18

Chris Grayling: I can indeed. I met representatives of Topical Questions the major business representative groups a few weeks ago. Communicating with individual businesses is certainly T1. [90862] Mr Tobias Ellwood (Bournemouth East) a challenge but we aim to do everything we can to (Con): If he will make a statement on his departmental ensure that employers are taking up the wage subsidies responsibilities. available from April. It is worth noting that later this evening we will debate the Opposition’s plans to create The Secretary of State for Work and Pensions (Mr Iain 100,000 supported jobs, but that through the wage Duncan Smith): Today in the other place they will be subsidies in the youth contract we are offering a similar debating an amendment on the benefit cap. I believe opportunity to 170,000 young people. that that system will help to restore fairness by setting a cap for those on benefits of £26,000 a year after tax or Troubled Families (Employment) £35,000 a year before tax. I cannot understand why those who have said they would support this and were 17. Jack Lopresti (Filton and Bradley Stoke) (Con): in favour of it have voted against it as often as possible. What progress he has made in assisting members of Mr Ellwood: I congratulate my right hon. Friend and troubled families into employment through the use of his team on the work they are doing to modernise the payment-by-results programmes. [90855] benefit system following the mess that was left by the previous Government. On the benefit cap, does he agree The Minister of State, Department for Work and Pensions that those who oppose it need to explain to those who (Chris Grayling):We launched the programme before are in work but who earn less than £35,000 a year why Christmas, funded by European social fund money. people on benefits should be better off than they are? This is the second major foray that this Government have made into payment by results, and I am confident Mr Duncan Smith: My hon. Friend makes a powerful that the payment-by-results approach, combined with point. The reality is that almost everybody out there the support that is available to those families if they beyond the politicians and the game playing believe it is move into the Work programme, will provide a reasonable to say to people who are on benefits that if transformational level of support in the lives of some of they are not working, they should not earn more than our most challenged families. those who are working and paying their taxes. I am astonished at the Opposition, who do not seem able to Jack Lopresti: I thank my right hon. Friend for his get it. I understand from a recent poll that even their answer. Given that past Governments have not had supporters are overwhelmingly in favour of the proposal. great success at helping certain families get back into work, why does he think his approach will be more Mr Liam Byrne (Birmingham, Hodge Hill) (Lab): successful? I hope that the Secretary of State will not mind if I sustain his attention on the benefit cap for a moment Chris Grayling: The big difference is that we are adopting because there will be an important debate in the other the payment-by-results approach. The organisations taking place this afternoon on the cap. This is a policy we part in the programme can be paid only at certain support because, like him, we believe that people should points—first, when they agree an action plan with one be better off in work than on benefits. However, I want of the individuals in a problem household; secondly him to be absolutely straight with the House about when they deliver that action plan, which might mean what the cap will and will not achieve. Will he tell the the person completing a training course or something House how much the housing benefit bill is going to rise similar; and thirdly when that person gets into employment. over this Parliament as a result of his failure to get The taxpayer does not pay the bill unless that happens, people back to work? and that is a much better deal than ever happened under the previous Government. Mr Duncan Smith: There are two things to say on that question from the Opposition. If the right hon. Gentleman Kerry McCarthy (Bristol East) (Lab): In Bristol, we is, as he says, in favour of the cap, why does his party had the pilots for family intervention projects that keep voting against it? Today, in the other place, it has involved working with families who had a multitude of tabled what is officially a wrecking amendment on the problems to tackle some of these issues. Does the cap. Labour Members cannot weasel their way out and Minister accept that this is not just about working say that they are in favour on the one hand and against through one Department such as his own? Other on the other. On housing benefit, I remind him that Departments such as the Department of Health and the under his party, housing benefit pretty nearly doubled Department for Education, as well as drugs funding, in 10 years, and it was set to rise far more than it will will need to be supported if we are to succeed in under us. tackling these problems. Mr Byrne: Perhaps I can help the Secretary of State: Chris Grayling: I absolutely do that. Two points the truth is that over the course of this Parliament—over regarding the contracting of this support are crucial to four years—the housing benefit bill is set to rise by an what the hon. Lady says. The first is that referrals come extraordinary £4 billion. We do not want, on top of from local authorities so that they know they are taking that, another bill for council tax payers—a bill to clean people from their problem family register and are not up the cost of homelessness. The Secretary of State for duplicating effort. Secondly, the contracting was based Communities and Local Government has already warned very much around the effectiveness of the firms in the us that 20,000 people will be made homeless as a result bidding process at showing they could form the kind of of the way in which the cap will be introduced, and this partnerships that she rightly says are so important. morning, the Department for Work and Pensions published 19 Oral Answers23 JANUARY 2012 Oral Answers 20 an impact statement that puts up the number of families we have introduced, including enterprise zones and who will be affected by the cap by a third. It is almost as changes to the tax system. Through the Work programme, if the Secretary of State for Work and Pensions is our work experience scheme, and the youth contract, we making the policy up as he goes along. I hope that this will deliver the best possible support to get the unemployed afternoon he will accept Labour’s safeguards against a back into the workplace. new risk of homelessness. If he dismisses that risk—if he wants to be so glib about it—why does he not accept T9. [90871] Mr Rob Wilson (Reading East) (Con): My the amendment this afternoon? If he does not, we will constituent, Dr Christine Davies, has contacted me support the lord bishops’ amendment to safeguard against with examples exposing the unfairness of Child a new bill for council tax payers. That is the way that we Support Agency arrangements, which often fail to take will get this vote— into account the living costs of the non-resident parent. These are parents who are trying to engage with their Mr Speaker: Order. The right hon. Gentleman has children and do the right thing, but who are left to live had his say, and we are most grateful to him. on as little as £30 a week. What are Ministers doing to deal with this unfairness? Mr Duncan Smith: First, I do not accept the bishops’ amendment, because of course it would raise the cap on The Parliamentary Under-Secretary of State for Work the level of income to roughly £50,000; it would be and Pensions (Maria Miller): I thank my hon. Friend for rather pointless having a cap set so high that nobody his question, and I assure him that we are working very could ever hit it. Interestingly, I have just had an e-mail hard on reform of the maintenance system, which still from a vicar, who wondered why the bishops fail to fails to support around half of all children in separated recognise that he is paid only £22,000 a year. He wonders families. He talked about cases in which both parents why they are getting excited about £26,000 being a want to stay involved in their children’s upbringing; he poverty-level figure. As regards housing benefit, let me and I share that objective, and I hope that he will remind the right hon. Member for Birmingham, Hodge continue to support the reforms that we are taking Hill (Mr Byrne) that we are saving £2 billion a year; forward, which will provide far more family support to housing benefit doubled under him. enable that to happen.

T4. [90866] Mr Andrew Turner (Isle of Wight) (Con): T3. [90865] Mr Dave Watts (St Helens North) (Lab): Will my right hon. Friend tell me what the Government What advice can the Minister give the 3,259 people in are doing about migrants who live in the UK and claim St Helens who have been told to downsize their home, benefits without working or paying tax? Will the despite the fact that on existing turnover it will take Government consider recording the nationality of five and a half years for them to do so while, in the benefit claimants? meantime, losing their benefit? What advice would he give those constituents? The Minister of State, Department for Work and Pensions (Chris Grayling): I can confirm that we will record the nationality of benefit claimants when universal credit is The Minister of State, Department for Work and Pensions introduced in 2013. I also confirm to my hon. Friend (Steve Webb): I think that the hon. Gentleman is referring that where we have identified people who have a question to social housing over-occupation. If people are in a mark over their benefits and immigration status, particularly difficult situation, local authorities have investigations are already under way. For 27% of the been given an enhanced amount of discretionary housing people whom we looked at in our data matching process, payment to help them make that transition. It is vital that we are not yet able to make a match between benefit we tackle 1 million empty bedrooms in social housing. claimant status and immigration status. We will continue to do detailed work to make sure that there is not a Robert Halfon (Harlow) (Con): Going back to the hidden problem, left behind by the previous Government, issue of testing disability living allowance, will the Under- relating to benefit tourism and inappropriate claims. Secretary of State for Work and Pensions, my hon. Friend the Member for Basingstoke (Maria Miller) reassure the Several hon. Members rose— House that testing will be localised, humane and fair?

Mr Speaker: Order. I remind right hon. and hon. Maria Miller: I thank my hon. Friend for his question, Members, in light of the extensive interest in topical and I pay tribute to him for all the work he does to questions, that topical questions and answers need to be make sure that things are right as we reform the benefits brief. Let us be collegiate towards each other. system. I can absolutely assure him that we will look at ensuring that the new face-to-face assessment is done T2. [90864] Hugh Bayley (York Central) (Lab): The in a fair manner, and we are going out to commercial benefits bill this year will be some £15 billion higher contracting on that. than in the last year of the Labour Government, and that costs about £600 per family per year. What will the T5. [90867] Paul Goggins (Wythenshawe and Sale Government do to cut unemployment, which is what is East) (Lab): During the recent Westminster Hall debate pushing up the benefits bill so fast? on the future of Remploy, I was pleased to be able to tell the Minister that at the Wythenshawe print factory Chris Grayling: Of course, we will debate this again sales continue to increase while operating costs are tonight, but as I keep saying to the House, we will sort falling. What action has she taken since then to procure out the problems in our public finances to deliver additional print work for the factory from Government stability in our economy. We will deliver the best possible Departments and agencies, and when does she expect support to business through the various measures that to be able to confirm that the factory will remain open? 21 Oral Answers23 JANUARY 2012 Oral Answers 22

Maria Miller: That was an important and useful in circumstances in which the coroner said that it was debate to ensure that the work that we are doing in as a result of assessments as part of the work capability government is made clear. I have asked officials to look assessment. Is that figure right? Can the Minister at the situation that he raised regarding Wythenshawe advise whether he has looked into what legal liability to make sure that the appropriate sales teams are in the Government may have and, in particular, whether place. He asked when we are going to talk about our there is exposure under the corporate manslaughter long-term decisions, and I can assure him that we will legislation? respond on that as soon as practicable. We are in year four of a five-year plan, and it is important that we have Chris Grayling: It is always a matter of regret when those new plans in place. any person on benefits or indeed any person at all commits suicide. We always look carefully at reports Nicky Morgan (Loughborough) (Con): I was pleased that suggest any link between anything we do and that the Minister affirmed her commitment to residential people finding themselves in such a position. Let us be training colleges, including the college of the Royal clear: the principle of trying to help back into work National Institute of Blind People in my constituency. people who have been on benefits long-term is very She may be aware of recently published figures from the important in supporting people who have mental health Select Committee on Work and Pensions showing that problems. If we do not reassess people, we will never be 1,000 people who have suffered sight loss are still looking able to identify those who can benefit from that help. for opportunities to be helped back into work. Does she agree that those colleges provide a valuable opportunity Margot James (Stourbridge) (Con): Average earnings to help those people find employment? in my constituency, Stourbridge, are £23,700 a year, on which there is a tax liability of some £5,000. Does my Maria Miller: I pay tribute to the work that my hon. right hon. Friend agree that to oppose or to equivocate Friend does to support her local residential training on the policy of a cap on benefits is an outrageous college. I absolutely agree that colleges such as the one insult to all hard-working people in this country? in her constituency have a valuable role to play, particularly Mr Duncan Smith: My hon. Friend is absolutely to offer specialist advice and support. I hope that the right. The cap is fair and popular, and it helps to put commitment that I have given the colleges to ensure right the welfare system that we inherited, which is in a provision through to the summer of 2013 will help them mess and is trapping people in dependency when we to plan for a future in which we focus more on individuals could free them. My hon. Friend is right that the than on institutions. Opposition position is ludicrous. The right hon. Member for Birmingham, Hodge Hill (Mr Byrne) has taken T6. [90868] Ian Murray (Edinburgh South) (Lab): more different positions on the issue than a Jane Fonda Recent reports have shown that more than £3 billion of work-out. pension charges are hidden from consumers. Will the Minister tell us what the Government plan to do to make Mr Speaker: I call Mr Jim Cunningham, not necessarily it possible for pension fund trustees and consumers to on the subject of work-outs, but on whatever appeals to compare charges between pension funds? him. Steve Webb: The hon. Gentleman is absolutely right Mr Jim Cunningham (Coventry South) (Lab): May I that charges are a crucial issue, so we are working with ask the Minister whether employers can still take a the National Association of Pension Funds and others pensions contributions holiday and, if so, how many? who have undertaken an industry-led initiative to make charges information-transparent and consistent, and Steve Webb: Where employers run defined benefits we are pleased to support them in that. pension schemes, if they are in deficit and have a recovery plan agreed with the Pensions Regulator, there Sir Alan Beith (Berwick-upon-Tweed) (LD): May I is no obligation on them to overfund above 100%, and assure the Secretary of State that a great many of my there are Inland Revenue rules that affect surpluses, constituents object strongly to paying through their which are still in place. taxes for people to get more in benefits than they can get on a working wage, or to live in property far beyond Andrew Bridgen (North West Leicestershire) (Con): anything that they could afford on their wage? It is Does my right hon. Friend agree that those well intentioned important that we get the transition right, but the but misguided individuals who oppose the introduction principles are sound. of a benefits cap are in serious danger of killing with kindness the very people they seek to help, by condemning Mr Duncan Smith: I absolutely agree with my right them to a lifetime of benefits dependency and worklessness, hon. Friend. It is remarkable that there is overwhelming which the benefits cap will seek to reverse? support. Yes, he is right about making sure that we get Mr Duncan Smith: I fully understand those who on the transition right, but the principle behind this and its every principle and in every regard oppose the cap, but application are vital. I simply cannot understand why I cannot understand those who say they are in favour of the Opposition snigger and wriggle on this issue, failing it and then vote against it. to do what is right, and failing to do what is proper or to face up to their responsibilities. Several hon. Members rose—

T7. [90869] Katy Clark (North Ayrshire and Arran) Mr Speaker: Order. I am sorry to disappoint colleagues. (Lab): The disability advocacy group Black Triangle There is a great deal of interest, but we must now move has said that 11 disabled people have committed suicide on. 23 23 JANUARY 2012 Executive Pay 24

Executive Pay will translate into rewards under different scenarios. In the backwards-looking section of the report, companies will have to provide a single figure for total pay for each 3.32 pm director and explain how pay awards relate to the Mr Chuka Umunna (Streatham) (Lab) (Urgent Question): company’s performance. To provide context, companies Will the Secretary of State for Business, Innovation and will be mandated to produce a distribution statement Skills make a statement on the Government’s proposals outlining how executive pay compares with other dispersals, on executive remuneration? such as dividends, business investment, taxation and general staffing costs. The Secretary of State for Business, Innovation and Alongside more information, shareholders need new Skills (Vince Cable): I welcome this opportunity to set powers to hold the board to account. I will consult out Government proposals on executive pay. Last shortly on specific proposals to reform the current September I published papers that explored the issues voting arrangements and give shareholders a binding around the rapid growth in executive pay in our largest vote, enabling them to exert more pressure on boards. listed companies, and embarked on a call for evidence. This will include a binding vote on future pay policy, The evidence is clear that business and investors including details of how performance will be judged recognise that there is a disconnect between top pay and and real numbers on the potential payouts directors company performance, and that something must be could receive. Companies will have to include a statement done. We cannot continue to see chief executives’ pay on how they have taken into account shareholder views rising at 13% a year while the performance of companies and the results of previous votes. on the stock exchange languishes well behind, and we There will also be a binding vote on any director’s cannot accept top pay rising at five times the rate of notice period longer than one year and on exit payments average workers’ pay, as it did last year. It is not of more than one year’s salary. Shareholders will still Government’s role to micro-manage company pay, but get a vote on how the agreed policy has been implemented. there are things we can do to address what is a clear I will consider whether we need further sanctions that market failure. could be applied when a significant number of shareholders Today I can announce a package of measures that the dissented in the advisory vote. In addition, we will Government will take forward to tackle the issue on review what level of shareholder support is needed to four fronts: greater transparency, so that what people pass pay proposals—for example, whether the threshold are paid is clear and easily understood; more shareholder for a successful vote should be raised to 75% of share powers, such as the introduction of binding votes, so votes cast. By way of context, last year four FTSE 100 that shareholders can hold companies to account; more companies failed that test. diverse boards and remuneration committees; and best Let me move on to diversity in remuneration committees. practice led by the business and investor community. Having diverse remuneration committee membership No proposal on its own is a magic bullet, but together is crucial to changing the status quo on executive pay. they can enable a major transformation to get under The right way to tackle this is by having more diverse way. boards. I want to see more people who come from Let me start with transparency. Shareholders have different backgrounds appointed, including people from told us that they need clearer and more relevant information the professions, public servants, academics, lawyers, and about pay, particularly the link to performance. At people who have not been directors before. For example, present many company pay reports are simply impenetrable. I would like at least two board members to have never Through secondary legislation later this year the previously been members of a board of directors. Government will require companies to publish more In October a new provision in the UK corporate informative remuneration reports on how executives are governance code will come into force requiring companies rewarded. This will start with reports being split into to report on their policy on boardroom diversity, how two sections: one detailing proposed future policy for they propose to deliver it and what progress has been executive pay, and the other setting out how pay policy made. That sits alongside a new code of conduct for has been implemented in the previous year. executive head-hunters and good practice guidance from On future policy, remuneration committees will be the Association of British Insurers on the importance expected to explain why they have used specific benchmarks of board diversity, board evaluation and succession and how they have taken into account employee earnings, planning. The Government will also address fundamental including pay differentials, when setting pay. Companies conflicts of interest in the pay-setting process and require will also have to explain how they have consulted employees greater transparency on the role of remuneration and taken their views into account. UK employees in consultants, how they are appointed, their fees, and large companies already have the right to request that who they advise and report to. their employers consult them on issues relating to the We have also observed that in the FTSE 350 about organisation, including pay, through the Information 6% of remuneration committee members are executives and Consultation of Employees Regulations 2004. This of other companies. There is a perceived conflict, as potentially powerful mechanism for employees has been those individuals have a personal interest in maintaining underutilised to date, so I encourage employees to use it the status quo in pay-setting culture and in pay levels, and put executive pay on the agenda. and we are looking at mechanisms to limit that. Shareholders say that too often pay policy appears In the context of such changes, we must deal with the totally disconnected from their company’s overall strategy. specific issue of payments for failure. Some of our I want companies to state clearly and succinctly how consultees have argued that all quoted companies, not their proposed pay policy reflects and supports company just those in financial services, should have a clawback strategy, how performance will be assessed and how it mechanism in place, and we will ask the Financial 25 Executive Pay23 JANUARY 2012 Executive Pay 26

Reporting Council to revise the corporate governance and on the board of one of our most successful businesses, code in order to require all large public companies to John Lewis. We read that he would like to back the adopt clawbacks. proposal but has been prevented from doing so by the In relation to best practice, this package of measures Prime Minister and the Chancellor. Can he confirm will create a more robust framework within which executive that? pay is set and agreed. Moreover, lasting reform depends The right hon. Gentleman said nothing about the on active shareholders and responsible businesses accepting publication of pay ratios within businesses. Why will he the need for change and pushing the agenda forward. not agree to that proposal? If I am wrong, I am happy Deborah Hargreaves, who chairs the High Pay to be corrected. I agree with him on the need for greater Commission, will launch a new project next week to clarity about the role of remuneration consultants. They monitor the state of pay at the top. The high pay centre currently owe their duty to the board, as I understand will perform an important role in delivering the high-quality it. Does he agree that there is a case for changing the research that this area of debate badly needs. Companies situation so that, much like auditors, they owe their have to show leadership on this issue, and in the following duty to shareholders? weeks and months I will be working with business and Above all, I do agree that increased shareholder investor groups to build on the current momentum for activism is key. Two issues have been cited as obstacles: reform, to agree on what best practice looks like, and to that more of our UK stock is held by foreign investors promote that more widely. and that it is held for a shorter period. Does the right hon. Gentleman agree that that need not be an Mr Speaker: Order. I am extraordinarily grateful— insurmountable barrier to increased shareholder activism? [Interruption.] Order. I am extraordinary grateful to Finally, on shareholder activism, the Business Secretary, the Secretary of State, but I have been immensely—perhaps the Deputy Prime Minister and other Ministers who excessively—generous, because the right hon. Gentleman ultimately bear responsibility and control the public took precisely three times as long as he is supposed to stake in the banks—RBS, in particular—have said that take in answering an urgent question. I know he will they are in a position to stop the chief executive of that understand—I listened to him with great interest and bank from receiving a large bonus while he is issuing respect—that I must make allowance for that with thousands of redundancy notices to RBS employees. regard to the Opposition Front Bencher’s response, but How and when will that happen? Does the right hon. above all I make the point for the future that those on Gentleman think that it is acceptable for the chief the Front Benches must stick to the limit, because my executive of RBS to take a bonus of the order of concern is to protect the rights of Back-Bench Members. £1 million when thousands of company employees are being made redundant? Mr Umunna: Thank you, Mr Speaker, for forcing the Secretary of State to come to the House today to set out Vince Cable: I start by acknowledging that the issue the Government’s proposals in this area—[Interruption.] is, as some of the hon. Gentleman’s questions implied, The Under-Secretary of State for Business, Innovation complex. The best way to proceed with it for the country and Skills, the hon. Member for Kingston and Surbiton is to have an all-party consensus. The contributions (Mr Davey) chunters from a sedentary position, but it is made in recent weeks by the Prime Minister, the Deputy quite extraordinary for Ministers to demand greater Prime Minister and the Leader of the Opposition have accountability and transparency from people in business, contributed in a very positive way towards that, and we and then to seek to avoid being held to account for their can make some progress on that. I contrast that slightly policies in that area in the House of Commons. with the hon. Gentleman’s somewhat carping response. The problems of excessive executive pay and rewards I believe that today he put out a press release describing for failure have grown over the past few decades; in fact as “half-baked” proposals that he had not seen; he did it was probably 30 years ago, when the current Business not know what was coming. That was not terribly clever. Secretary was a happy and active member of the Labour The hon. Gentleman’s central criticism was that we party, that things were more in proportion. We agree had not gone far enough. Let me reflect on what that that it is right that those who work hard, generate means. We have emerged from 12 years of Labour wealth and create jobs for our country are rewarded, government, when many of the issues could have been but excessive pay and rewards for failure are bad for dealt with. That period of government started with business, the economy and society at large. something called the “prawn cocktail offensive”, which I welcome much of what the Business Secretary led to my immediate Labour predecessor saying that he says, but his proposals simply do not go far enough was “intensely relaxed about people being filthy rich”. in promoting the transparency, accountability and Those were the standards that we inherited. I remind fairness that people want to see. We support all the the hon. Gentleman about what happened in that period recommendations of the independent High Pay of government. At the beginning, chief executives’ pay Commission, to which the Business Secretary referred, was 47 times average pay; at the end, it was 120 times but why will he not do the same, particularly given that average pay. That is the problem that we are now trying his Treasury spokesperson in the Lords is a member to correct. Before the hon. Gentleman lectures me any of the commission, and presumably supports its further on not going far enough, he should reflect on recommendations? why so little was done when his party had the power to The Business Secretary and other Ministers have do it. underlined the importance of consulting employees, so Let me respond specifically to the point about workers why will he not back moves for employees to sit on the on boards. It would be very desirable if there were more remuneration committees that set pay? Employees play workers on boards. The initiatives being promoted in that type of role in Europe’s strongest economy, Germany, respect of encouraging John Lewis-type arrangements, 27 Executive Pay23 JANUARY 2012 Executive Pay 28

[Vince Cable] share ownership, the logical outcome of which is employees on the board. In view of that, and his rejection of the which by definition will get workers on boards, will take automatic right of employees to be on the board, for that further. We welcome worker participation in industry; the sole reason that a lot of companies have foreign that is one of the reasons why my ministerial colleague, employees, is the Secretary of State really trying to in conducting the Royal Mail legislation through Parliament, address this issue and to find a way through? Although laid such insistence on worker shareholding and giving it may be difficult in practice, it is very good in principle. workers a right to participate. But there is a specific set of problems around mandating companies to have workers Vince Cable: There is no logic to suggest an automatic on their boards. Consider the position of the large carry-over from worker shares to representatives on number of FTSE companies whose employees are boards. Those are separate issues. I simply urge the hon. predominantly overseas. How would the work force be Gentleman to look back on my comment about the use selected? Worker participation is a good idea for many of information and consultation arrangements. There companies, but let it be done without the prescriptive is a regulation that came from the European Union— route, which would simply not work. one of its better ones—back in 2005, which employees The same applies to pay ratios. There is a lot to be in many companies could use to engage directly in said for pay ratios; the hon. Gentleman may not have conversations with their management about their pay. heard me, but I did advocate that kind of metric as a Far too few people have taken advantage of that. I hope way of assessing what is happening. But if he had that he and others will encourage them to do so. reflected for a few minutes, he would have seen that there is a big difference between a company that, for Simon Hughes (Bermondsey and Old Southwark) example, has a large number of unskilled workers, and (LD): I congratulate the Secretary of State, who, after another company that has outsourced a lot of its unskilled 13 years of a Labour Government who did nothing labour force, producing totally meaningless figures in about this issue, has persuaded our Conservative colleagues respect of ratios. So we welcome pay ratios, but they that this is the right policy for the new century. I urge should not be mandated and prescribed. him to continue to be robust and to suggest that each The hon. Gentleman asked about the High Pay individual company should have a policy that reflects Commission, which has done excellent work; I referred the differential between the highest and the lowest-paid, to it during my contribution. I checked back on its according to the make-up of its own work force. 12 recommendations, and we are implementing 10 of them in practice or in spirit. Of the remaining two, Vince Cable: Again, I do not want to be too negative. one—about employees on boards—I have already referred One of my Labour predecessors, Patricia Hewitt, advanced to. The other was a very specific recommendation on the issue by introducing advisory votes. That was a step the structure of pay, which we judged to be impractical. forward but it was not enough, and we have to go On RBS, let me just say that that matter is above my further. However, that step was usefully taken. My right pay grade. The Prime Minister has said that he will hon. Friend asked specifically about pay ratios. I have ensure that it is dealt with properly. I am sure that it will said that those are useful metrics, and that we should be, and that there will not be excessive bonuses. encourage their use. However, companies have very To return to my first point, we can make progress in different structures, and pay ratios mean different things. this important area on an all-party basis. I encourage Therefore, mandating them is a different matter. the hon. Gentleman to revert to his usual more constructive and moderate approach, and to work with us to achieve Andrew Selous (South West Bedfordshire) (Con): Does far-reaching and overdue reforms. the Secretary of State agree that it is generally undesirable for public companies to pay more out in bonuses, Mr John Redwood (Wokingham) (Con): I welcome particularly to their senior staff, than in dividends, anything that recognises that it is the role of shareholders especially as dividends are often paid out to pension and competitive markets to decide pay in companies. funds, which include many members of the public on With that in mind, let us consider what happens where low incomes? the Government are the shareholder. Will the Secretary of State remind us what deal the Labour Government Vince Cable: Yes, my hon. Friend is correct. That is signed up to for RBS top executives, explain why it was why one element of transparency that we have advocated so far in excess of the dreadful results that have been is a breakdown of the different streams of payment by delivered in public ownership, and say what this companies, which include payments to shareholders, Government can do to put that right? payments to employees and other costs.

Vince Cable: My right hon. Friend is right to stress Mr Pat McFadden (Wolverhampton South East) (Lab): the central role of shareholders and to remind us about Does the Secretary of State agree that context, as well the conditions according to which the head of RBS was as contracts, matters? Whatever it says in the contracts appointed and the contract negotiated. Of course, the of the top people in the banks in which the Government problem is not just with pay; we are now also having to have a major stake, the context is pay freezes for millions consider the problem of knighthoods that were awarded of workers and the biggest squeeze in living standards for appalling behaviour in British banking. since the war. Will he therefore resist the temptation to rely on the defence advocated by the right hon. Member Mr Adrian Bailey (West Bromwich West) (Lab/Co-op): for Wokingham (Mr Redwood) about contracts and A lot of what the Secretary of State has said will have agree that there is nothing to stop bankers exercising cross-party support. The Government are backing employee restraint, given the economic context? 29 Executive Pay23 JANUARY 2012 Executive Pay 30

Vince Cable: Across the coalition, we have been very Margot James (Stourbridge) (Con): Incentives and clear that we expect restraint. In some cases that has rewards are fundamental to the private sector growth been accepted: the head of Lloyds, for example, has that we are all keen to ensure. Does my right hon. waived his bonus for this year. We should not trivialise Friend accept that it is sometimes hard to distinguish the issue of contracts, which is a serious matter involving between performance and failure, and that certain how business is conducted. companies facing extremely difficult trading conditions might have to hang on to an executive through the Mr Dennis Skinner (Bolsover) (Lab): Whatever happened incentive of high pay? to the phrase, “We’re all in it together”? I listened carefully to what the right hon. Gentleman said. He talked Vince Cable: Yes, and that is why operational decisions about “we”. Does he mean himself and the Liberals, or must remain with the company so that it can make a does he mean the whole Government? The truth is that judgment on the matter. Through these recommendations the workers will carry the can, and the bankers and we are trying to ensure that investors are properly executives who have got their 50% pay increases will get informed, and we are, through transparency, giving away with blue murder. them the power to make the judgment that the hon. Lady described, and act accordingly. Vince Cable: As my right hon. Friend the Member for Wokingham (Mr Redwood) reminded us, we are dealing Tony Lloyd (Manchester Central) (Lab): Does the with a legacy in which precisely the failings that he Secretary of State accept, as a number of his Back described were allowed to happen over a long period. Benchers do not, that this is fundamentally a question We are trying to put that right. Addressing executive about what type of society we want to be, and that when pay is only one means by which we deal with the we see executives being paid 75 times more than the fundamental injustices and inequalities in society. There lowest-paid people in the company, that is not about are many other issues, including tax and regulation. economic efficiency or incentives, but immorality? However, this proposal will make a significant difference. Vince Cable: Yes, this is about different types of society, but of course there are many wider issues than Mark Pritchard (The Wrekin) (Con): The Secretary the remuneration policies of public listed companies of State mentioned ending the rewarding of failure. Has and many aspects of fairness and inequality. I simply he consulted business people? Many of those to whom make the point that many other private enterprise economies I speak believe that over the past few years far too many —Germany, the Scandinavian countries, Japan—have a politicians have themselves been rewarded for failure, much more disciplined approach to executive pay than which has brought our economy down from the seventh has been the case in the UK, and many of their companies largest in the world to the eighth largest in the world. do very well commercially. Does he accept that the vice of greed should not be replaced with the vice of envy? Mr Adrian Sanders (Torbay) (LD): The Secretary of State will be aware of the book “The Spirit Level”, Vince Cable: I do agree with that. Of course, it is which suggests that the most successful economies and essential, in a successful economy, and particularly a societies are those in which the gap between the richest successful private enterprise sector, that enterprise, and the poorest is the narrowest. Does he believe that entrepreneurship and good management should be properly the announcements that he has made today will widen rewarded. The issue is not envy but performance. or narrow that gap?

Paul Blomfield (Sheffield Central) (Lab): The Secretary Vince Cable: They will certainly narrow it, in contrast of State acknowledged that he gave a fairly lame answer with the trend over the past decade that was identified to the question asked by my hon. Friend the Member in a recent OECD survey. It showed that almost uniquely for Streatham (Mr Umunna) about worker representation in the developed world, the big disparities between on boards. Will he now try to give a proper answer as to the top and bottom are widening in Britain. Today’s why the Government could not end the cosy closed announcement is one key element in rectifying that shop on remuneration committees by legislating for adverse trend, which we have seen particularly in the worker representation? past decade.

Vince Cable: Ending the cosy closed shop on Helen Goodman (Bishop Auckland) (Lab): The Secretary remuneration committees involves wider diversity in of State said that the decisions about RBS top pay were general. Workers are part of that, but so are consumers above his pay grade, but unlike the workers, he is on and people who have no other connection with the the board of the Government, namely the Cabinet. Will company. Diversity is a much wider concept. At the Ministers set a good example and control Stephen moment we are promoting the idea of women on boards. Hester’s bonus? I gave a considered answer to the question on workers on boards. We must remember that other issues are Vince Cable: Ministers have already made it very involved. For example, different companies have different clear that bonus restraint should be employed in that types of labour force spread across the world. There is company. also the question of how to ensure that a worker representative accepts the full legal responsibilities of a Mike Crockart (Edinburgh West) (LD): I welcome director. If the hon. Gentleman looked at what those the Secretary of State’s announcements today, especially legal responsibilities are, he would find that it is not those on transparency and increasing shareholder power. practical to employ that approach. Does he agree that the fundamental principle must be 31 Executive Pay23 JANUARY 2012 Executive Pay 32

[Mike Crockart] Government, when I was working with John Smith, was introduce a co-determination system, but alas that that executive pay reflects company performance? That Government showed very little interest in implementing is a principle that the 107 bankers suing Commerzbank it. for £1.6 million in bonuses next week would do well to remember. Mr David Nuttall (Bury North) (Con): As shareholders already have the power to vote out of office directors Vince Cable: Yes, the theme of what I have been saying who they believe are underperforming, why is there a today has been the link between pay and performance, need for any further measures that will serve only to and as my hon. Friend knows, there are specific problems undermine the competitiveness of British business? in the banking sector, not least because until the Vickers report is implemented we still have a “too big to fail” Vince Cable: As I have already explained to the hon. problem and an implicit Government guarantee. That Member for Shipley (Philip Davies), the consensus view is why rather stricter provisions have to apply in the among business and investors is that the status quo is sector. not supportable and is leading to damaging and perverse rewards, including rewards for failure, and that we need Mr David Winnick (Walsall North) (Lab): Does the to reform the system comprehensively. Secretary of State really want us to believe that those who get vast salaries, bonuses and share options and Mr David Hamilton (Midlothian) (Lab): May I remind probably earn well over £1 million a year are now Government Members that they agreed with Labour terrified as a result of what he has said today? The truth for 13 years about releasing details of chief executives’ is, it does not really amount to much, does it? pay? Will the Secretary of State take retrospective action against any companies that try to get through the Vince Cable: I do not expect them to be terrified, barriers before the changes come into operation? but I do expect them to think a little bit more carefully about their wider responsibilities. Vince Cable: In general, retrospective legislation is not a good thing, but I will look at the implications of Philip Davies (Shipley) (Con): I have heard some the question. drivel in my time, but I do not think that in all my years in opposition I heard as much drivel from the Treasury Duncan Hames (Chippenham) (LD): As we have Bench as I heard from the Secretary of State today. heard, some hon. Members argue that nothing should Businesses look to his Department for support and be done to put at risk a light-touch, risk-based regulatory help. May I suggest that he gets off their backs and lets regime. In my right hon. Friend’s attempts to achieve them create some wealth, and that he spends his time in cross-party consensus on the matter, how does he hope his Department trying to sort out the massive problems to persuade the shadow Chancellor to abandon that of their own that the Government face without interfering position? in every business across the country? Vince Cable: I was not aware of the shadow Chancellor’s Vince Cable: May I just gently suggest that my hon. wisdom on that particular subject, but his party leader Friend reads through the responses to the consultation, has spoken constructively and I hope that that will lead which are predominantly from businesses and investors to agreement between our parties on how we can proceed. advocating measures such the ones we are implementing? He might particularly want to examine the contribution Angela Smith (Penistone and Stocksbridge) (Lab): of the CBI. Does the Secretary of State still believe that all bankers paid more than the Prime Minister should publish Mr Speaker: It is interesting to note that the shyness details of their remuneration, as he believed when he and reticence that previously overcame the hon. Member was in opposition? for Shipley (Philip Davies) have now been successfully overcome. Vince Cable: I am surprised that Labour Members keep reminding us about bankers’ pay. Bankers’ bonuses Jonathan Ashworth (Leicester South) (Lab): A few in 2008-09, when the Labour party was still in government, moments ago, the Secretary of State told us that he were something of the order of £13 billion. They have would consider it desirable to see more employees now come down to about a quarter of that. represented on boards, but then he told us about what he considered to be insurmountable obstacles. If Germany, Mr Rob Wilson (Reading East) (Con): How does the Austria, Finland, Sweden, Norway and Denmark can Secretary of State think that his plans will help attract do it, why cannot we? inward investment and so aid growth?

Vince Cable: I have dealt with this question several Vince Cable: I think they will help considerably. Many times already. I am aware that those countries— of the countries from which we attract inward investment [Interruption.] Yes, of course those countries have a have good corporate governance systems, in which there different system that results in workers on boards, but is considerable restraint on excessive pay, and reward of course that does not happen in isolation. They have for success rather than failure. completely different systems of corporate governance. Since the hon. Member for Streatham (Mr Umunna) Gemma Doyle (West Dunbartonshire) (Lab/Co-op): reminded me of my days in his party, I shall say that one The Secretary of State will know that youth unemployment of the last things that I tried to do under the 1979 now stands at more than 1 million. Why will not the 33 Executive Pay23 JANUARY 2012 Executive Pay 34

Government repeat the bankers’ bonus tax, which could have made it clear that we expect restraint in bonuses in create up to 100,000 jobs for young people? the banking system and in RBS in particular, and we will see what happens. Vince Cable: This argument has been rehearsed many times. The then Chancellor of the Exchequer, who Andrew Bridgen (North West Leicestershire) (Con): introduced the bonus tax, made it clear that it was a Will the Secretary of State confirm that proposals to one-off measure and that, if it were continued, banks tackle excessive pay are just part of the Government’s would simply avoid it by converting bonuses into plans to reconnect the principles of risk-taking, success, consolidated pay. It was a good idea at the time. It hard work and rewards in both the private and the worked for a year, and we now have a much more public sector? effective and credible way of taxing banks. Vince Cable: The hon. Gentleman is absolutely right, Jason McCartney (Colne Valley) (Con): Rewards for although we have of course already introduced principles failure: the old boss at ITV, where I used to be the trade governing remuneration in the public sector, including union representative, slashed jobs, made a succession of greater transparency, ratios and things of that kind. We poor business decisions and brought the company to its are now extending those into the private sector where it knees while picking up millions in pay, perks, bonuses is appropriate to do so, while recognising, as he implied, and share options. Is my right hon. Friend surprised that in the private sector we need also to give incentives that the Leader of the Opposition has rewarded that to entrepreneurship and good management. failure with a key role in restructuring the Labour party? Debbie Abrahams (Oldham East and Saddleworth) (Lab): The Secretary of State mentioned that he was Vince Cable: I have not followed those developments, not accepting the High Pay Commission recommendation but perhaps I should retract some of the complimentary to publish the ratio between the highest and the average things I said about the Leader of the Opposition. earners in a company because it was too complex. Will he expand on that please? Mr Speaker: I remind the Secretary of State that he has absolutely no responsibility for restructuring the Vince Cable: That was not the recommendation to Labour party. which I referred. The commission also made a specific recommendation about a double number between salary and top-up to salary. For a variety of reasons, we do not Alex Cunningham (Stockton North) (Lab): Here is feel that being quite so prescriptive is appropriate, but another opportunity for the Secretary of State to clarify that was the recommendation to which I referred and his views on RBS bonuses. The share price has collapsed which we were not able to take forward. by 35% in the past year, so will he use any powers he has to block any bonus for the chief executive, or has he really surrendered those powers to the Prime Minister Mr Marcus Jones (Nuneaton) (Con): Does the Secretary and the Chancellor, who simply do not agree with him of State agree that the state should not control private that the bonus must be stopped? sector pay, but empower shareholders with the information they need so that they can be active and committed company owners? Vince Cable: I have heard at least three different sets of recommendations on RBS bonuses, including that Vince Cable: That is a pithy summary of what I was they should be reduced and that they should be stopped trying to say, on which, as Mr Speaker ruled, I took altogether. If we get a coherent, single source of advice, rather too long. perhaps I can respond better to it. Sheila Gilmore (Edinburgh East) (Lab): Apparently, Bob Stewart (Beckenham) (Con): Does the Secretary the chief executive of Peacocks took a hefty pay increase of State think that it is more important to have a board just last year when clearly his company must already with diversity or a board with competence, which looks have been failing. I am sure that all workers facing after the shareholders, the workers and the company? redundancy from Peacocks would like to know how the Secretary of State’s proposals might assist people in Vince Cable: I do not accept that there is a dichotomy their position in future. between diversity and performance. All the evidence suggests that particularly the drive to get more women Vince Cable: The hon. Lady refers specifically to on boards has nothing to do with political correctness Peacocks, on which I have been approached by several and everything to do with improving performance. concerned elected representatives. Having looked at the facts, the Government do not judge that there are any Diana Johnson (Kingston upon Hull North) (Lab): A grounds for intervention in the wider public interest, few months ago the Secretary of State said that the but I have great sympathy for the employees, who are in Government could intervene to stop bankers’ bonuses if a very bad position because of bad decisions made in they so wished. Does he stand by that? If he does, why is the past by their management. he not dealing with the RBS situation? David Rutley (Macclesfield) (Con): Does my right Vince Cable: I remind Opposition Members that the hon. Friend agree that there is an important role for semi-publicly owned banks, including RBS, are managed lawyers to big City firms and large plcs in advising their on an arm’s length basis under an arrangement devised clients on best practice when drawing up arrangements by the previous Labour Government. This Government for contracts and bonuses? 35 Executive Pay23 JANUARY 2012 Executive Pay 36

Vince Cable: In mentioning diversity, I think I included Vince Cable: The hon. Lady is quite right: there is a lawyers, improbable as that may seem. There is probably different pay structure in investment banks, because of a dissenting view on the Opposition Front Bench. the problems that she describes. The Chancellor has already initiated action, in the form of a proposed Mr William Bain (Glasgow North East) (Lab): Does regulation through the Financial Services Authority the Secretary of State accept the finding of the High which will require financial institutions to declare the Pay Commission that in the year to last autumn—on highest pay of employees who are not on the boards of his watch—the pay of FTSE 100 directors increased by those companies. 49%, whereas average incomes rose by only 2.7%? Does that not make the case for a permanent body on high pay to ensure that companies reflect the social obligations Mr Peter Bone (Wellingborough) (Con): The Secretary that they owe to all of us? of State must be extremely happy. The liberal, left-wing clap-trap that he has announced today—which even Vince Cable: As I understand it, the commission is Labour did not do, in 13 years—has somehow got in the process of encouraging the establishment of a through the coalition in the hope of a good headline. It monitoring body of that kind. That is not governmental has done nothing to increase growth or employment in or Government financed, but it would be a very useful this country. Is he a happy man? institution in helping us to understand the trends. Vince Cable: I am actually. I realise that when I first Robert Halfon (Harlow) (Con): Does my right hon. raised the issue of responsible capitalism 18 months Friend agree that crony corporatism, high taxes and ago, I was denounced in parts of the press as a Marxist. high regulation are as unjust, if not more so, than some I thought I had left that behind, but apparently not. of the problems he has set out today? Will he pay as much attention to dealing with those things as he is to dealing with the issues he set out? Tessa Munt (Wells) (LD): I am sure that my constituents will be absolutely delighted with the arrangements for Vince Cable: I am not terribly comfortable with the more transparency and, in particular, increased shareholder phrase “crony corporatism”, but my hon. Friend refers power. I wonder whether the Secretary of State will specifically to directors serving on each other’s boards. consider the fact that Somerset county council has We have looked at the facts on that. There are few imposed a pay freeze and is making people redundant— examples of reciprocal agreements, but there are cases— indeed, it sends me a Christmas card, at the same time 50 out of 1,000 or something of that order—in which as it is shutting libraries and slashing youth services—and directors serve on the board of another company. We is now considering abandoning youth carers, to save a are looking at how we can limit that, because it creates a paltry £70,000. Will he consider applying exactly the somewhat more incestuous environment and lacks the same principles of transparency and shareholder power—or diversity we are seeking. in this case taxpayer power—to councils and their pay and bonuses arrangements for senior management? Kerry McCarthy (Bristol East) (Lab): It is often not the management or those in executive roles who get the highest pay packages, particularly in the financial sector. Vince Cable: Mercifully, I am not responsible for For example, I have heard a rumour that at least one of local government, but there are certainly moves afoot, the traders at RBS is going to get a higher bonus than which my hon. Friend is aware of, to ensure much Stephen Hester. Can the Minister tell us whether his greater transparency in pay. Will Hutton prepared a proposals, particularly on transparency, will cover traders report for Government with some good recommendations, too? which include those she mentioned. 37 23 JANUARY 2012 38 Points of Order Opposition Day 4.17 pm [UN-ALLOTTED DAY] John Cryer (Leyton and Wanstead) (Lab): On a point of order, Mr Speaker. As you know, on Friday a consultation paper was introduced that is intended to Food Prices and Food Poverty lead to legislation creating a statutory register of lobbyists. That was trailed in the press like confetti, across the Mr Speaker: In the light of the increased interest that media. It was accompanied on Friday by a brief written has been expressed in participating in this debate, I have statement and nothing else. This is such an important decided to impose an eight-minute limit on each Back- issue that the Prime Minister himself has said that it Bench speech. For the benefit of the shadow Secretary is the next big scandal in British politics. Should not of State—the hon. Member for Wakefield (Mary Creagh) Friday’s statement be accompanied by an oral statement, —and the Secretary of State, I remind them that there is and has the Deputy Prime Minister contacted you to no time limit on Front-Bench speeches, but I hope that indicate that he wishes to come here to make a statement? they will apply a certain self-denying ordinance in order to enable more of their colleagues to contribute than Mr Speaker: I have not been contacted in the way would otherwise be possible. that the hon. Gentleman expected or would have advised. What I would say to him is twofold. First, the form of Government statements is overwhelmingly a matter for 4.20 pm Government to determine. The hon. Gentleman rightly Mary Creagh (Wakefield) (Lab): I beg to move, references the fact that although the Parliamentary That this House notes that food prices rose by more than 4 per Secretary, Cabinet Office, the hon. Member for Forest cent. over the last year and that an increasing number of families of Dean (Mr Harper) tabled a written ministerial statement are relying on foodbanks; is dismayed at Government delays to on this subject on Friday, there has been no subsequent the Groceries Code Adjudicator and that it has rejected oral statement. What I would say to the hon. Gentleman, recommendations by the Business, Innovation and Skills Committee secondly, is that my understanding of the matter is that and Environment, Food and Rural Affairs Committee to give it the Government have launched a consultation process. teeth; believes that the Adjudicator should have the power to fine It is an extremely important consultation process, on retailers and that third party organisations should be able to what, as he rightly says, is an extremely important report retailers for unfair practices; calls on the Government to bring forward proposals for the Groceries Code Adjudicator matter, but that is the stage that we have reached. If, early in the next Parliament to ensure fairness across the food following the consultation process, the Government supply chain; and further calls on the Government to work with have specific policy changes to recommend, I feel certain the retail sector to provide more responsible, transparent price that they will do so via an oral statement to the House; promotions and clearer unit pricing to offer genuine value-for-money and, knowing the hon. Gentleman as I do—we entered for consumers. the House together in 1997—I know that he will be I am sure that hon. Members on both sides of the eagerly expecting such an oral statement and will probably House will do their best to abide by your strictures, be the first in the queue to complain if it is not forthcoming. Mr Speaker. On Friday, I visited a food bank in Bradford and met Robert Halfon (Harlow) (Con): On a point of order, people who use its services. One woman had fled her Mr Speaker. Following the weekend reports that the violent husband when she was eight months pregnant. Houses of Parliament may be slipping into the River Another had left her husband but discovered that he Thames, will you give a statement to the House, just so had set up loans in their joint names for which she was that we know whether or not to buy ourselves lifejackets? still liable. There were women there who had held down high-powered jobs—one had been the personal assistant Mr Speaker: I am grateful to the hon. Gentleman, in to the chief executive of a large bank in Canary Wharf— particular for his concern for all those who work, or but, through a combination of bad decisions, bad luck even live, within the precincts of the Palace of Westminster. and bad men, they had fallen on hard times. I have known him for over 20 years, and I have never regarded him as an inveterate worrier. As he can see, One of the women apologised for not following politics, I am not worried. He should not believe everything that but said that she could not afford a television licence. he reads in the newspapers, or in those even more Another described how she had found herself shouting downmarket rags that in so describing themselves are at her children when they asked for a bit of jam on their almost certainly breaching the Trade Descriptions Act. bread, and how she visited relatives at teatime to ensure Getting overexcited is their stock-in-trade; keeping calm that her children were fed, while she herself went to bed and doing the right thing is ours. hungry. Another described cooking tea for her children and eating their leftover food. One woman told me how, the first time she brought home a food parcel, she cried all night because she could not do something as basic as feed her own children.

Robert Halfon (Harlow) (Con): The hon. Lady has mentioned food banks, and we have a very good one in Harlow. Can she explain why the previous Government stopped jobcentres handing out vouchers for local food banks? This Government have reversed that terrible decision. 39 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 40

Mary Creagh: I do not know the answer to that question. Mary Creagh: I agree and it all comes back to the I am not sure whether it is the role of jobcentres to pass social and economic failure of this Government. We are people on. There is a question mark over whether it is seeing these problems in places that were never hotspots appropriate for a Government agency dealing with people’s for homelessness, such as Oldham. We associate them welfare and benefits to outsource the food element of with our big cities and do not expect them in our that to charities, so I throw that question back to the smaller towns. There is a food bank in Wakefield now, Government. whereas previously there was not one. I went with the centre manager, Gareth Jones, to make up a food parcel. It contained cereal, tins of beans, four Kate Green (Stretford and Urmston) (Lab): My hon. tins of meat and four tins of fish—all nutritionally Friend might be aware of the campaign conducted by balanced by a health visitor who advises the centre. The Sainsbury’s shortly before Christmas, where the company hardest part for me was choosing the four treats. Would invited customers to buy an extra item with their shopping the children prefer a pot of honey or a treacle sponge and pop it in a shopping basket so that it could be pudding, meringue nests or another pot of jam? Those distributed to needy households. I was shocked when I are treats that we all put into our shopping trolleys attended my local Sainsbury’s to meet many people who without a second thought. said that they would like to help but could not afford to buy that extra item. Is not the idea that we can rely on Gareth told me that it was important to put in a mix charity to meet the need bound to be too limited? of branded and non-branded goods, so that when people opened the bags at home, they would feel valued. He told me how he holds pampering sessions at which Mary Creagh: I agree with my hon. Friend. If Sainsbury’s mums can enjoy a hot chocolate while someone minds is inviting consumers to put their hands in their pockets, their children for half an hour. He described how the it should match that investment item for item, rather type of person coming to the food bank had changed than simply adding it to its bottom line. from the homeless and destitute to the working poor. He said that families were referred to it by charities, Kate Green: In fairness, I should say that Sainsbury’s social services or even—as the hon. Member for Harlow matched every donation. (Robert Halfon) said—the jobcentre. When the state does not provide, the big society is left to pick up the Mary Creagh: That is very good to hear. pieces. Mrs Madeleine Moon (Bridgend) (Lab): Bridgend Alex Cunningham (Stockton North) (Lab): Much has food bank covers four of the 10 most deprived wards in been made of the importance of food banks, but does Wales, so the service it provides is critical. In its recent my hon. Friend share my concern that the New Life report, it said that the people who applied for food there church in Billingham in my constituency has felt the did so because of need to set up a food bank for the first time, to help “low income or ill health…repossession of their home…job loss local people who are struggling? I support the church in or desertion by the…breadwinner, or” doing so, but I am sure that she would agree that these burglary, facilities should not be necessary. Is not this another “house fire or unexpected benefit cuts.” illustration of this Government’s failure to address the People who go to food banks go for a variety of reasons, needs of the most vulnerable people in our society, who but is it not appalling that in 2012, when we are celebrating need food to eat? the Olympics and spending millions of pounds, people are still starving? Mary Creagh: I completely agree with my hon. Friend and pay tribute to the church in his constituency. We Mary Creagh: I agree. Charities such as the Salvation are seeing a proliferation in the number of food banks Army and HelpAge are seeing an explosion in demand around the country and one of our challenges to the as incomes fall, working hours are cut and prices rise. Government is to ask them to map where those food banks are and what social and economic policies are Mr Jim Cunningham (Coventry South) (Lab): I know needed to tackle their proliferation and hunger in our that my hon. Friend, like me, comes from Coventry. society. Would she be surprised to know that 35,000 children The Trussell Trust states that it now has 163 food banks will now be on the poverty line between Coventry and around the country, with one opening every week. Last Warwickshire and does she think that that is an indictment year, its food banks fed 61,000 people, 20,000 of whom of this Government’s failed policies? More importantly, were children, and this year it expects that figure to many families are now struggling with electricity prices, double. heating bills and so on, which is feeding through—

Debbie Abrahams (Oldham East and Saddleworth) Madam Deputy Speaker (Dawn Primarolo): Order. (Lab): Is my hon. Friend aware that in Oldham a food Interventions must be brief, as we are in a short debate bank has been established for the first time? That was in with time limits on speeches. the paper today. The vicar who set it up said that the banks are not just for homeless people but for hard-working Mary Creagh: I am very sorry to hear that my home families who are at crisis point. Reports by the Joseph city of Coventry has 35,000 children living in poverty. Rowntree Foundation and other organisations show I am sure the number was similar when I was growing that such problems exist up and down the country. Does up there in the 1970s and 1980s and I am only sorry that my hon. Friend agree that the cuts and austerity are not much of the good work we did in government is falling working? away and poverty is increasing. 41 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 42

FareShare, which operates nationwide and works to Diana Johnson (Kingston upon Hull North) (Lab): redistribute aid from the food industry to charities, says Will my hon. Friend pay tribute to the work that Hull demand is growing faster than supply. I pay tribute to city council is doing to reduce the cost of a school meal both Sainsbury’s and Brakes, which recycle their in-date to £1 in recognition of the increasing cost that families surplus to FareShare. It is important that the food is are having to meet, including those families just above in-date so that there is no risk associated with that food, the benefit level for free school meals? which includes fresh vegetables and, in particular, meat. Supermarkets could be doing much more to recycle Mary Creagh: I pay tribute to Hull’s Labour council food waste to hungry people. FareShare estimates it for that, as well as for the work it did when we were in gets 1% of supermarket food waste, which prompts the government on its free school meals pilot to make sure question of where the other 99% is going. More of it that children in Hull had access to a free school meal. I should be recycled to hungry children in this country, know that that experiment has been carried out by which is one of the richest on earth. We can learn from Islington council as well, and that it helps to ensure food businesses such as Pret A Manger, which delivers there is a wide take-up of free school meals and that no surplus sandwiches around its London stores in the stigma is attached to them. evening. We recall with horror the Tory proposals from Westminster council last year, when it wanted to make Lyn Brown (West Ham) (Lab): I am grateful to my food distribution illegal. I pay tribute to all those who hon. Friend for mentioning the free school meals pilot, fought that proposal and protected people’s basic human which Newham is continuing for primary school children. right to a square meal even in the city of Westminster. It wanted to extend it to secondary school children but Gareth said that food is at the heart of everything his simply could not afford to do so. One thing that I heard organisation does, but as my hon. Friend the Member from parents in that pilot was that school holidays were for Bridgend (Mrs Moon) said, charities are tackling a a particularly difficult time because their children were complex web of abuse, abandonment by the breadwinner, burning up a lot of energy but there simply was not the debt, unemployment, non-payment of benefits and other food or the money to feed those children properly equally serious issues such as house fires, which she during holiday time. Again, that is a hidden form of mentioned. food poverty.

Mark Pritchard (The Wrekin) (Con): The hon. Lady Mary Creagh: I pay tribute to Newham’s Labour is talking about the situation in the UK, but does she council and I find it amazing that, at a time when accept that rising food and commodity prices are an councils are experiencing a 28% cut to their revenue, international phenomenon and that biofuels are taking they are still managing to subsidise school meals or, as out of production a lot of agricultural land, which in Newham, to fund completely free meals. What a means that food prices are rising not only in this country tragedy it is that that scheme cannot be extended to but around the world? secondary schools there. I will return to the issue that my hon. Friend raises about school holidays. Mary Creagh: Commodity prices of certain things, such as wheat, have remained stable over the past 20 years, Luciana Berger (Liverpool, Wavertree) (Lab/Co-op): whereas others have risen. [Interruption.] Well, at the Does my hon. Friend share my great concern that the Oxford farming conference I saw the US Department of removal of extended schools money means that many Agriculture’s figures on that. However, the hon. Gentleman schools cannot afford to put on breakfast clubs? Many is right that there is an issue with commodity pricing, children who would previously have gone hungry if particularly with the financialisation of that sector, they had not got breakfast through a breakfast club are which is leading to increased volatility, making it harder returning to a situation in which they do not have food for food producers to hedge and putting on pressure. in their stomachs, and so cannot learn and are not We can see from Department for Environment, Food getting a healthy start to the day. and Rural Affairs figures that where we are self-sufficient we are more protected from those food price spikes than Mary Creagh: It is a tragedy that both breakfast where we rely on imports, which have to have the costs clubs and after-school clubs are under threat. The chef of transporting those materials added on. Also, when Richard Corrigan did a film for Sky called “Richard our pound falls significantly against other world currencies Corrigan on Hunger” in which a lady who runs clubs that puts those prices up. that are provided for by a charitable provider, Magic The people who food charities are seeing are no Breakfasts, talks about children being admitted to hospital longer just the homeless and the drug and alcohol users in the school holidays for malnutrition—that comes but the respectable mums and dads who have fallen on back to the point made by my hon. Friend the Member hard times and the pensioners whose energy bills are so for West Ham (Lyn Brown) about the challenge that high that they cannot afford to eat. It is an utter school holidays pose for families’ food bills—and scurvy disgrace that, although we are the seventh-richest country appearing in children of primary school age, which in the world, we are seeing thousands of people going I find deeply shocking. to bed hungry at night—many of them children. We need to look this issue squarely in the face. A wave of Robert Flello (Stoke-on-Trent South) (Lab): I am invisible hunger is taking root in our cities, towns and listening with great interest to my hon. Friend’s speech. villages. Those charities are the canaries down the mine Does she accept that some of the problem is hidden, telling us that respectable working-class and middle-class because really good, well meaning staff at schools are poverty is on the rise—and this is happening before the finding ways of feeding children during the day? That is housing benefit changes and universal credit come in. hiding some of the scale of the problem. 43 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 44

Mary Creagh: That is true, and I am glad that there In government, along with many hon. Friends who are so many passionate teachers—and passionate friends are seated behind me today, I campaigned for improvements and neighbours, who may suspect that all is not well. I to children’s diets through the Children’s Food Bill. remember people telling me, when I brought forward That led to nutritionally balanced school dinners, an my Children’s Food Bill, that they would invite their end to junk-food vending machines in schools, and neighbours and friends in for tea on a Saturday and lessons on cooking and growing food as part of key make sure that the children had as much meat and fruit stage 3. juice as they could get into them, because it became apparent from the way that they were eating that they Mark Tami (Alyn and Deeside) (Lab): Does my hon. had not been fed since Friday lunchtime. That point, Friend accept that the Government’s cuts to Sure Start from my constituency of Wakefield, has certainly stayed have made that problem worse, because much of that with me. educational knowledge about what is good food to give In addition, the Agricultural Wages Board is to be to children has been lost? abolished. That is a particularly nasty Government decision that has nothing to do with the deficit, but will Mary Creagh: I agree. Sure Start has been an amazing take £93 million from the sick pay and holiday pay of tool in the fight for good food in families, and for low-paid agricultural, horticultural and food processing cooking lessons. The 20% cut imposed by the Government workers over the next 10 years. That money will leach centrally can only make that more challenging for those out of the rural economy, where those workers live—out dedicated workers. of local pubs, post offices and shops—depressing the rural economy when spending is already squeezed. It Kerry McCarthy (Bristol East) (Lab): Does my hon. costs more to live in the countryside, and the abolition Friend share my concern that the Secretary of State for of the AWB could mean that we have in this country Education has decreed that free schools and academies food workers who are unable to buy the food that they do not have to meet the same nutritional standards in produce. We know that those agricultural workers are school meals as state schools? the most socially excluded people in our country. They are often migrants who speak limited English. Their Mary Creagh: Yes, it is slightly bizarre that that work is seasonal, short-term and low-skilled. They are should be the case. I do not understand why, having not in a trade union, and they move from county to battled so hard to secure minimum standards across the county, picking daffodils in Cornwall in February, and sector, the Secretary of State should think it acceptable following the crop and fruit cycle across the country. to water them down, unless it is about saving money in After the Morecambe bay tragedy in 2004, Labour pursuit of an ideological objective, but that could surely created the Gangmasters Licensing Authority to regulate never be the Government’s intention. labour providers in the food processing and packing, I have mentioned “Richard Corrigan on Hunger” and agricultural, horticultural, forestry and shellfish- and the hospitalisation of children. People also talk in gathering sectors. Our aim was to ensure that workers that programme about lunch boxes containing last night’s received a minimum wage, decent accommodation, safe cold chips and ketchup. In government, we set up the transport, contracts and decent working conditions, yet School Food Trust, whose latest research shows that the the GLA’s latest annual report reveals that, in the year average local authority-catered school dinner has gone to March 2011, it uncovered more than 800 workers up by 5p in the past year to £1.88 in primary schools, being exploited in the UK. It prosecuted 12 companies and by 4p to £1.98 in secondary schools. Councils are and revoked the licences of 33 gangmasters. In 2010, forced to charge more as their Government funding has there were horrific reports of children as young as nine been cut. We have heard today about councils that are picking onions in a field near Worcester. While the doing their best to prioritise children’s nutrition. Those Government, continuing with their red tape challenge, price rises could force parents to take their children out are deciding on the future powers of the GLA, we say: of school-meal provision and make do with a lunch “We will work with you to stamp out modern-day box. If someone has three children who do not qualify slavery, people trafficking, and serious organised crime, for free school meals, £6 a day or £30 a week is an awful wherever they occur in these sectors.” lot of money to find. In government, my right hon. Friend the Member for Leeds Central (Hilary Benn) brought stakeholders Food will be a defining issue for this century. The together to look at the risks to our food security, and price spike in food commodities in 2008 showed that the challenges of feeding a growing global population the era of cheap food may not be with us much longer. sustainably.The result was Food 2030, the first Government Increases in commodity prices—oil, fertiliser and food strategy since world war two. Peter Kendall, president pesticides—all contributed to year-on-year food price of the National Farmers Union, has described how that inflation of 6% last September: the second-highest increase strategy has been left on the shelf, and has been relegated in the EU, apart from Hungary. That 6% added £233 to to the food bill of a family of two adults and two children. Food inflation, currently at 4%, remains higher than “a one-line objective in the business plan” most pay rises that people will receive this year. As by the current Government. Labour gathered stakeholders prices rise, people are eating less beef, lamb and fish, together in September last year to look at that food and more bacon. People are shopping around and strategy. We believe that we must not lose sight of the trading down, and there is less supermarket loyalty. direction that it sets out, and we are pleased that the Figures from DEFRA reveal a 30% fall in the consumption Government have set up their green food project, imitation of fresh fruit and veg by the poorest fifth of families being the sincerest form of flattery. We look forward to since 2006. Those families are eating just 2.7 of their it reporting this summer. five-a-day fruit and veg. 45 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 46

We need a better understanding of what is driving up not on the face of the Bill, meaning that fines for food prices, and how costs and risk are transferred anti-competitive practices are even further away than across the supply chain. However, shopping is confusing 2015. The Financial Times quoted an executive of a and labels do not always show the true costs. Supermarkets large supermarket chain saying that are not required legally to show the unit cost on special “it is an adjudicator rather than an ombudsman, which suggests offers, so they give the price pre-discount, which makes that it is a watered-down role.” it impossible to compare prices on the shelf; or they give Suppliers can complain anonymously, but they are liable the price per unit of fruit, rather than by 100 grams, for full cost recovery if the adjudicator finds that the making comparisons impossible. We want supermarkets complaint was vexatious or wholly without merit. The to be more transparent in their labelling to ensure that Business, Innovation and Skills Committee recommended shoppers get the best deal. We want them to help people that whistleblowing from within retailers should also be to eat healthily. Our traffic light system was rejected by grounds for launching an investigation, which BIS Ministers significant players in the food industry, who have turned are currently considering. their back on what consumers want and need to make healthy choices. Consider this anonymous salad grower who works with the Food and Drink Federation: We want a fair and competitive supply chain for growers, processors and retailers. The Competition “X”— Commission in 2008 found that there was an adverse the name of a supermarket— effect on competition from unfair supply chain practices. “have expected us to support their current pricing campaign in It recommended that supermarkets with a turnover of store by contributing with reduced price returns, to maintain their more than £1 billion a year should be prevented from margin demands. It has been made very clear that lack of support imposing retrospective discounts and from changing could be seen as showing no commitment to”— terms and conditions for suppliers. That leads to an the supermarket— unfair spread of risk and cost down the grocery supply chain, and to short-termism in relationships. [Interruption.] “and the potential loss of business, forcing us to drop our prices and support the activity. Interestingly none of this has been put in I thought I heard a phantom sedentary intervention, writing.” but that is not the case. We wanted a voluntary approach, but the supermarkets were unable to agree a way forward. This suggests anti-competitive practices across the sector. That is why Labour in government secured cross-party If there is bad treatment at the top of the pyramid, that agreement for a groceries code ombudsman to ensure a sets the tone for treatment all the way down the food fair deal for farmers and producers. This Government’s chain, right down to the workers in the field. What we delays and procrastination mean that the adjudicator want is culture change across the food industry. will probably not be up and running until 2014-15. Mark Tami: My hon. Friend raises an important point. Andrew George (St Ives) (LD): I note that the motion In the case of many buy one, get one free offers, the cost expresses dismay at the Government’s delay, yet it asks is not borne by the supermarket. It puts pressure on the for the groceries code adjudicator to be introduced in supplier, because the supermarket is saying, in effect, the next Parliament, rather than in the next parliamentary “Unless you fund this, we will move the contract somewhere year, which I assume is a drafting error. Leaving that else.” In the end, it is often the workers in that company aside, given the fact that the first Competition Commission who suffer. report was in 2000, and the Competition Commission report to which the hon. Lady refers was completed Mary Creagh: My hon. Friend makes a good point. in 2008, what word other than “dismay” would she use Such offers increase the volume of sales, but often to describe the Labour Government’s response to that reduce the margin. That places enormous capital and report? liquidity costs on small companies in order to fund that as they wait for the money to come in from the supermarket. Madam Deputy Speaker (Dawn Primarolo): Order. May I remind everyone in the Chamber that the debate Philip Davies (Shipley) (Con): I cannot allow that to ends at 7 pm? There is already a time limit of eight stand. As somebody who worked for a supermarket minutes on Back-Bench speeches. Interventions should chain for 13 years, may I tell the hon. Lady that suppliers therefore be short, and I hope opening speeches will not used to fall over themselves to come to retailers and ask be overly long. to do buy one, get one free offers or three for the price of two offers, because it was a good marketing tool for Mary Creagh: I quote back to the hon. Member for them? When I worked for Asda, we used to ask them St Ives (Andrew George): whether we could have every-day low prices instead of “Every week the government fails to act, farmers are finding all those offers, but it was the suppliers who were themselves in more difficulty.” pushing buy one, get one free offers. The idea that That is what he said. The supermarkets were insistent. supermarkets are forcing them is just guff. We wanted an ombudsman. The supermarkets asked for a voluntary approach. It is right to try a voluntary Mary Creagh: That is interesting. I am sure the hon. approach first, which we did, but it did not work. This is Gentleman will have a range of suppliers who will the anti-regulation Government, but that approach failed. appear in the press tomorrow to say that the groceries What we need now is action from his Government. code adjudicator is not required. No doubt they will The commission recommended the powers to levy make their thoughts very clear through the Food and significant financial penalties, but the Government are Drink Federation, which represents the sector. However, recommending that only in reserve powers in the Bill, I will not hold my breath for that. I like shopping in 47 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 48

[Mary Creagh] had been, but does she acknowledge that wages have not gone up over that period, which means that people Asda, but I am not sure that it represents the sunlit are suffering huge food poverty? uplands that the hon. Gentleman remembers from his happy times working there. Mrs Spelman: I am challenging the hon. Member for We want the Government to act swiftly on the grocery Wakefield to consider the fact that during her party’s ombudsman. That will lead to less pressure on suppliers 13 years in power, which saw steep rises in food prices, it and an end to unfair competition, and greater price introduced neither a groceries code adjudicator nor the transparency in the supermarket sector. We want other measures called for in the motion. Despite claiming supermarkets to commit to clearer price labelling, today that the adjudicator would be some sort of panacea, particularly on those buy one, get one free promotions. the hon. Lady seems to feel that doing nothing about If they do not do so voluntarily, Government should this for 13 years is a credible basis on which to criticise act. We call on supermarkets to commit to sending us for not having completed the process in just over their in-date food waste to charities such as FareShare, 18 months. which will ensure that it goes to a good home. We want supermarkets to publish the amount of food they waste, Philip Davies: I must say that this is bizarre. My right and if they do not do so the Government should take hon. Friend says she is concerned about rising food action in the next waste review. We want supermarkets prices, but she is agitating to bring in a groceries code to commit to recycling more of that food to hungry adjudicator that, if it will have any influence at all, will children and less to landfill. only be able to put prices up further. The two things are We call on DEFRA Ministers to work with stakeholders completely contradictory. to define food poverty, identify the extent and scale of the problem and commit to tackling it. We have heard Mrs Spelman: If we thought that the groceries about the extent of the problem today and the obscenity code adjudicator would put prices up, there would not of food being wasted while people are going hungry in be the current cross-party support across the House for our towns and cities, but anecdotes are not evidence. We creating it. ignore the perfect storm of rising food prices, falling incomes and food poverty at our peril. The important point is that we need a degree of humility and candour about the Labour party’s record. 4.50 pm As has been noted, Labour has shown extraordinary The Secretary of State for Environment, Food and Rural candour in the wording of its own motion. We must be Affairs (Mrs Caroline Spelman): Let me start by welcoming clear that the hon. Member for Wakefield is calling on the opportunity to debate this important matter. World the coalition Government to introduce the adjudicator food prices are volatile and the Government should do early in the next Parliament. I am not sure whether she all they can to help families, but if we are to have a knows the outcome of the next election, but the motion grown-up debate we need to start by acknowledging clearly indicates that she has written off Labour’s prospects what the Government can and cannot do. Contrary to of forming the next Government—she is certainly not the rather Dickensian impression the hon. Lady seeks alone in that. It is always good to start a debate with an to convey, food price increases are not a direct result of issue on which we can make common cause, but the the Government’s political composition, and a Government good news for her is that we will not wait until the next cannot be held responsible for what the hon. Member Parliament to introduce the adjudicator. for Bridgend (Mrs Moon) cited: the abandonment of families by the main breadwinner, the misfortune of a Gavin Shuker (Luton South) (Lab/Co-op): The Secretary house fire or domestic violence perpetrated in the home. of State is keen to tie down the timing of the introduction Food prices are the product of many complicated and of the grocery code adjudicator, so when will she commit interrelated factors, many of which are globally driven. to do so? In order to have a fully informed debate, I will turn first to the specific issue of the groceries code adjudicator, Mrs Spelman: As I am sure Opposition Front Benchers which this Government, unlike the previous one, are are aware, the lead Department on the grocery code introducing, and put the current situation in context. adjudicator, both for the Government and for the No one underestimates the difficulties families face in Opposition, is of course the Department for Business, balancing household budgets when bills are high. As a Innovation and Skills, but we have been very clear as a veteran of the weekly shop, I see at first hand the Government that we are fully committed to introducing impact of food price rises, as I am sure many of us do. the adjudicator as soon as possible. Let us set the record straight. Last summer food price Free and fair competition is the key to a healthy inflation overtook general inflation, but by November market, and it is right that the adjudicator should make the reverse was true. In the coalition Government’s first sure the market is working in the best long-term interest year in office, food prices increased by less than the of consumers. In this Session, we published a draft Bill average annual increase in Labour’s last five years. to allow pre-legislative scrutiny. It was a popular measure, Between 2007 and 2008 food prices rose twice as fast as welcomed on both sides of the House, and as the they did between 2010 and 2011. Although the hon. Leader of the House said on 15 December 2011: Member for Wakefield (Mary Creagh) has a new-found interest in food prices, which is to be welcomed, it “There will be a second Session of this Parliament, and the comes a little late. Groceries Code Adjudicator Bill is a strong candidate for consideration as part of it.”—[Official Report, 15 December 2011; Vol. 537, Julie Hilling (Bolton West) (Lab): The right hon. c. 937.] Lady says that food prices are not rising as fast as they So there is no delay, but it has to be done right. 49 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 50

It is important to bear it in mind that, overall, the before”, “display until” or “store until”. There should Competition Commission found that retailers are providing be one date: if the product is perishable, the label should a good deal for their customers, and they should not be state “use by”, for food safety; if it is not, the label prevented from securing the best deals and passing the should state “best before”. In that way, we can certainly benefits on to their customers, but, similarly, we are help people to reduce the amount of food that goes to clear that they should be required to treat their suppliers waste. lawfully and fairly. During pre-legislative scrutiny, the Business, Innovation Kate Green: I am shocked to hear the Secretary of and Skills Committee suggested that third parties should State say that we should welcome food banks. It is a be allowed to lodge complaints. Our position remains social policy failure that families are reliant on food that it is more appropriate for complaints to be lodged handouts because they do not have enough money to directly or indirectly by suppliers, but we are open to afford a healthy diet for their children. considering further arguments on extending the range of those who can trigger an investigation. That is the Mrs Spelman: I gather that the hon. Lady would like benefit of pre-legislative scrutiny. We recognise that them banned. third parties, including trade associations, have a valuable role to play, so the adjudicator will be fully free to gather Kate Green indicated dissent. evidence from trade associations once an investigation has begun. Mrs Spelman: Well, she cannot have it both ways. The draft Bill provides the adjudicator with the power to name and shame retailers that are in breach of the Kate Green: Will the Minister give way? code, and we believe that, in a highly competitive market, retailers will not risk reputational damage from unacceptable Mrs Spelman: No. behaviour towards suppliers. If negative publicity proves insufficient, however, the draft Bill contains a reserve Let us get back to some facts. Retail food price power for the adjudicator to impose financial penalties, inflation reached 6.9% in June last year and currently subject to an order made by the Business Secretary but stands at 3.8%. In real terms, food prices have stayed at without the need for primary legislation. about the same level since the start of 2009, notwithstanding the fact that food price inflation has fallen below the I hope the House agrees, therefore, that these measures general rate of inflation. I accept that we need to help represent significantly more progress than was made those on the lowest incomes, who are spending more of under the previous Government and should be generally their budgets on food. welcomed. Andrew Bridgen (North West Leicestershire) (Con): Andrew George: It has been suggested, in particular Does the Secretary of State agree that the major during the intervention by the hon. Member for Shipley contributory factor to food price inflation is energy and (Philip Davies), that the adjudicator would introduce fuel price inflation? They are indelibly linked. inflation to the food market, but the Competition Commission itself, which is after all independent on the issue, made the situation quite clear, stating that Mrs Spelman: Shortly, my hon. Friend will hear me expand correctly on the analysis of what is driving food “if unchecked, these practices”— price inflation. the practices that the Secretary of State and others have described— It is important to remember that in 2010 the average family spent 11.5% of its household budget on food. The “would ultimately have a detrimental effect on consumers.” figure is greater for low income families, at 15.8%, but it It is quite clear that they would have a detrimental effect is coming down; the 2010 figures are 1% lower than two on prices for consumers. years previously. That is a very important fact—the trend is that household expenditure on food in the Mrs Spelman: I thank my hon. Friend for his lowest income families is coming down. intervention. The Competition Commission clearly keeps the practices of retailers under scrutiny and sees a Luciana Berger: I do not know whether the Secretary benefit in independent adjudication of fairness in the of State has seen the figures released by the OECD last supply chain. week. They showed that in the UK food prices rose by I shall turn to other points in the motion. The hon. 4% in the last year, which is 0.7% above the EU average. Member for Wakefield espouses the virtues of the Healthy Start programme, which this Government have continued, Mrs Spelman: The hon. Lady needs to understand and no one will argue with the role of food banks, the contributory factors. The depreciation of sterling which are an excellent example of the big society. They makes imports of food in other currencies stronger than are not new, as churches have been redistributing food ours more expensive. It is important to read the figures in that way down the decades, and we are four-square in the context of exchange rates and the other factors behind organisations such as FareShare, which do excellent that drive up inflation. work in the field. The Government are, of course, actively finding ways In making it easier for shoppers, this Government to help mitigate the rises. But the Government cannot have wasted absolutely no time in working with the do it all, and they should not pretend that they can. food industry to simplify food date labelling. Last autumn Since the removal of production linked support in 2005, I made it clear that one date should appear on the label, crops and livestock are traded on a global market. It is so that there is no confusion between “use by”, “use those markets that dictate food prices. As has been 51 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 52

[Mrs Spelman] ending hunger; managing the contribution of the food system to mitigating climate change; and maintaining pointed out, the key drivers of domestic retail food biodiversity in our ecosystems. To take on those challenges, price inflation include world agricultural commodity we need international reform. To address global food prices. security, we need an increase in agricultural productivity, I hate to have to tell the hon. Member for Wakefield which means a move away from subsidy. To address the (Mary Creagh), but if she is to have this brief she needs risk of climate instability disrupting production patterns, to learn that the wheat price has not been stable; it has we must have open world trading systems. fluctuated in recent years from £60 a tonne to more In June last year, G20 Agriculture Ministers met and than £200 a tonne. There are also oil prices and exchange agreed to the creation of an agricultural market information rates. In 2008, although the price of wheat fell in dollar system, which aims to stabilise food price volatility terms, it increased in sterling terms because of the through better transparency in the marketplace. In relative weakness of sterling to the dollar. To understand November, I attended the climate change conference the causes of food price inflation, one has to analyse and helped the South African Agriculture Minister to correctly the underlying drivers. get agriculture included in the work stream for the next World commodity prices are the key driver and we climate change convention. We are now preparing for are working hard internationally to ensure the better Rio plus 20, where we will push for international policies functioning of commodity prices at the global level. to help the most vulnerable in our society. We will lobby That, in turn, will affect food prices at home. The for the sustainable intensification of agriculture, climate- depreciation of sterling has made dollar-denominated smart agriculture and the reduction of post-harvest commodities more expensive. Furthermore, global weather losses. The Afghan Minister whom I met in Berlin this extremes have caused shortages that drive prices up. weekend at green week said that the reduction of harvest losses would make one of the greatest contributions to Nia Griffith (Llanelli) (Lab): I assure the Secretary of combating famine. State that the Opposition fully understand which things The challenges present an opportunity for the UK, Governments can intervene on and which they cannot. and we need to be the first out of the blocks and What is she doing to help the poorest families in the embrace it. British food producers must make the most country to make sure that they get enough food and do of international markets. That is why I have announced not have to rely on food banks? How many food banks that I will publish an action plan at the end of the would she regard as a measure of success, and what is month to help export the best of British food and drink she aiming to do by the end of her stay in office? across the world. It is through global trade that the UK can secure its future food supply and help keep food Mrs Spelman: The hon. Lady clearly was not listening prices down. We already contribute to global food to what I said about the continuation of the Healthy supply. We provide 2% of global wheat exports, 4% of Start campaign, for example. Of course, in any big global barley exports and 1% of global cereal exports. society, there is no finite amount of contribution that That demonstrates that the UK has a major role in food each of us might make to the more vulnerable; there is production. By expanding production and exports, we no need to put a limit on it. can contribute to the overall economic recovery. The food and farming industry is a high performer Kwasi Kwarteng (Spelthorne) (Con): Will my right with great potential. The food chain contributes £88 billion hon. Friend comment on the moves that the Government per annum to the economy, which is 7% of GDP. It is are making, such as freezing council tax and cutting responsible for 3.7 million jobs. The Government are fuel duty? That has made general inflation a much more acting across the food chain to stimulate growth, facilitate manageable phenomenon for ordinary families. international trade and drive fair competition, because a thriving and competitive economy, where our products Madam Deputy Speaker (Dawn Primarolo): Not at are freely traded on an international market, will deliver this precise point; the right hon. Lady is speaking to the resilient, stable and affordable food supplies to our motion. consumers. The Government are working with industry and Mrs Spelman: That is a shame, Madam Deputy Speaker, environmental partners to see how we can reconcile because there is a long list of things relevant to household our goals of improving environmental protection and budgets; there was a wider definition of that earlier. increasing food production. I am grateful to the hon. Freezing council tax is but one example of what frees up Member for Wakefield for welcoming the green food the budget to buy more food. project. The Government are spending £400 million on food and farming research, which addresses productivity, Last year, the Government’s Foresight report on the environmental performance and resilience along the future of food and farming concluded that Governments food chain. across the world must take action now to ensure that a Nobody is under any illusion about the pressures that rising global population can be fed. It is a chilling fact high food prices put on all our constituents. However, it that in only 13 years there will be 1 billion more mouths would be wrong to pretend that there is a “silver bullet” to feed on this planet. Increasing demand for water, solution when there is not. land and energy means that food security is one of the world’s greatest challenges. The report identified five Julie Hilling: I have not heard in the Secretary of challenges for all nations to act on: balancing future State’s contribution any mention of what she will do for demand and supply; ensuring that there is adequate the most vulnerable in this country, who are dependent food price stability and protecting the most vulnerable on a hugely increased number of food banks. What will from volatility; achieving global access to food and she do to feed those families who cannot feed themselves? 53 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 54

Mrs Spelman: I am sure that the hon. Lady would but globally, to turn that oil into food by using accept that the responsibility for helping the most vulnerable machinery—whether milking pumps, tractors or heated people in our society to have more disposable income to greenhouses—to produce more food. The UK imports provide food for their families goes beyond my Department. a huge amount of food—even things that we grow well She must take account of other things such as our in this country, such as tomatoes. We seem to have a freezing council tax, cutting fuel duty, cutting income fascination with buying imported tomatoes even during tax, taking 1.1 million low-paid people out of tax, our tomato season. On imported foodstuffs, we bring increasing child tax credit, taking action on energy into this country a large amount of soy to feed our prices and helping with the cost of rail travel. cattle because of the ever-increasing demand for more The groceries code adjudicator will not be a panacea milk production. As a result, oil prices are rising and in the face of rising food prices. The adjudicator has a will continue to rise further. As the years go by, the role to play in delivering a robust check on fairness built-in link between the price of oil and the price of between supplier and retailer; that is why we are introducing food means that the food prices that we have been used it. However, limiting food price inflation rests on multiple to will continue to increase as the price of oil goes up. factors, from energy to exchange rates, and not least We need to wean our farmers off oil. Back in the ’70s, the core issue of supply and demand. The Government companies decided to produce ever better strains of are not only alert to those factors but actively finding seeds. That was linked to the oil industry, because in opportunities to influence them. We are working order to grow those better strains, the farmers needed internationally to ensure that a growing population can fertilisers linked to oil. As the weeks, months and years be fed, we are using the challenges of food production stretch out ahead of us, if we cannot reduce the constant to kick-start growth and competitiveness here in the link with oil, we will face an inexorable increase in the UK, and through the green food project we are addressing cost of food. We need to act now, and the Government the tensions inherent in growing more food at less cost need to act now, to start to break that cycle. to the environment. Food banks such as that at St Clare’s, Meir Park, in The steps we are taking will produce the market my constituency are doing fantastic work and helping conditions required to deliver good quality, affordable the vulnerable in our society, and they have started only food for households throughout the UK. This debate is in the past year. In the 13 years of the Labour Government, important because it is about the household budget and for which the Secretary of State tried to berate us, they the cost of living. The Government have not sat idly by. were not needed. I would like to see a country in which We are directly helping in all kinds of ways—the freezing there are no food banks, of course—everybody would—but of council tax, the cutting of fuel duty, and so on. while we have the need for them, we must have them. Those are all measures that Labour refused to take when it was in power, despite running up the biggest Julie Hilling: Is my hon. Friend aware that the Trussell peacetime deficit in our country’s history. This is a Trust estimates that 60,000 people got food from food Government who are on the side of hard-pressed families, banks last year, and that 100,000 will this year? It this is a Department that is on the side of British farmers estimates that by 2015, half a million people will depend and food producers, and this is an issue on which on them. Labour has no credibility and no alternative. I urge the House to reject the motion. Robert Flello: Absolutely, my hon. Friend is correct: that is the scale of the problem that we face. By 2014-15 5.10 pm half a million people will be looking to food banks, so Robert Flello (Stoke-on-Trent South) (Lab): Listening how many people will by 2020, and how many by 2025, to the Secretary of State’s final comments, I thought for if action is not taken soon? a moment that I had stumbled into some sort of parallel People do not want to go to food banks. They do not universe, because I did not recognise any of her claims think on a Saturday afternoon, “Oh, I know, let’s pop to about what the Government are doing. She talked about the food bank.” They do it because they have no other the freeze in council tax. First, some of the families we choice. They are people with pride and self-esteem, but are talking about are so poor that they do not pay they think, “Well, hang on, it’s that or starve.” What a council tax. Secondly, in Stoke-on-Trent, as in other contradiction it is that at the same time we are throwing areas, the council has been so hammered by the cuts in away 7.2 million tonnes of food every year. It is unbelievable support from national Government to local government that we are wasting food on such a level. It is appalling, that it cannot accept the bribe of a 2% freeze and will and a national disgrace. have to make increases to try to get back some of the Why is that happening? The hon. Member for Shipley money that has been ripped away from it. (Philip Davies) rallied to the defence of the supermarket I welcome this debate because it provides the other industry. I will make further points about that industry side of the “heat or eat” coin. We recently discussed in in a moment, but when it has food promotions such as this House the situation whereby people have to make two for one or three for one, it causes problems for the choice between heating their home and having food families at the poorest end of the scale, who do not have to eat. Sadly, many people do not have that choice a freezer and cannot store so much food. However, because they cannot afford to heat their homes or to eat most of the problem comes from people such as—dare properly. Many families cannot afford to put proper I say it?—us in the House. Mea culpa: at the end of food in their stomachs, let alone heat their homes. Christmas and its excesses, we look at our own fridge or The problem is going to get worse. To be fair to the freezer and see that it is still full of food that was not Secretary of State, she touched on this area, to a small needed. That food ends up going in the bin, at the same extent. Back in the 1960s, ’70s and ’80s, we had cheap time as people—[Interruption.] Well, actually, I do not oil and we encouraged farmers, not only in this country throw food away, but there are people who do. 55 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 56

Chris Ruane (Vale of Clwyd) (Lab): You don’t look as and Filey, but if we consider poverty among the farming though you throw it away. community over the past 10 years, particularly in small upland farms, it is fair to say that farmers are not in a Robert Flello: My hon. Friend is quite right. However, position to employ many outside their own family. let us not lose track of the serious point. Normally the farmer, his wife and his family work on the farm, and that has led to diversification when possible. Philip Davies: Will the hon. Gentleman make it clear In some of the most successful examples, such as Shepherds to hard-pressed families in his constituency whether he Purse cheeses and Get Ahead Hats, the wife has diversified is in favour of supermarkets and retailers offering buy- or gone out to work separately. one-get-one-free offers, or against? I am sure they would The hon. Member for Wakefield also failed to tackle be very interested to know. the increasingly important issue of farm-gate prices, as opposed to rising supermarket prices. I would like to Robert Flello: I am delighted that the hon. Gentleman draw attention to that. In my constituency, I can point asks that question. I would like the goods on the shelves to pockets of rural poverty in the Hambleton district. to be at a fair price so that families can afford to buy In the Ryedale district there is a poverty gap, for those one of something and do not have to go for a two-for-one on low incomes, between their low wages and the offer to get the best value. I know that he is perhaps still particularly high cost of housing. an unpaid spokesperson for a supermarket. DEFRA’s farm business income report showed that There is a problem with the desire for perfect food, the cost of fertiliser and animal feed rose by nearly too. Our farmers are having to waste a lot of food 30% each in 2010-11, the last year for which figures are because it does not meet some of the supermarkets’ available. That means that the livestock and horticulture requirements for perfect food. sectors have suffered falls year on year. I draw the attention of the hon. Member for Wakefield to the fact Laura Sandys (South Thanet) (Con): Will the hon. that livestock farm income fell by 29% in lowland areas Gentleman give way? and 19% in upland areas, with horticulture income down 27%. Robert Flello: I will not, because I have less than two The hon. Lady did not consider exchange rates, which minutes to go. If there is time at the end of my speech my right hon. Friend the Secretary of State mentioned. I will allow the hon. Lady to intervene. What if the unthinkable were to happen and the euro My final point is about the groceries code adjudicator. failed—or what if even one member country fell out of We need somebody who holds the supermarkets to the euro? The question being asked coming up to spring account, because whether we are talking about the past in auction marts, particularly in the north of England, two years, the previous 13 years—as the Secretary of where most of the lambs are exported, especially to State tries to shift the blame on to our side—or the France, is: how and in what currency will farmers be past 20, 25 or 30 years, the supermarkets have been making paid? They are starting to wonder whether they will be money left, right and centre, hand over fist, but at the paid at all. We had the opportunity to cover some of same time our farmers have told us that they are struggling. those issues in today’s debate, and I am disappointed The number of farmers now is a fraction of what it was that we did not. 20 or 30 years ago, and customers and consumers—our I welcome the debate, but, as my right hon. Friend constituents—are suffering. We need the adjudicator. If the Secretary of State explained, we are looking at the the Secretary of State has a problem with the need for high cost of fuel as well as the increased costs of an adjudicator, the answer is quite simple: if the adjudicator feedstuffs and fertiliser. As the Chancellor of the Exchequer is appointed and does not have any work to do, perhaps has said on so many occasions, oil prices are set globally. the post will have been a success because the supermarkets The price of cereals and many farm commodities are set have realised that the game is up. internationally. This debate is not about those of us who are in the I want to focus on the role of supermarkets, and comfortable position of being able to go out and buy particularly the part of the motion that deals with the what we want in the supermarket. It is about the poorest groceries code adjudicator. I draw the House’s attention in our society, who may not have freezers and fridges, to a successful one-off evidence session that the and cannot buy in bulk, or buy food when it is on offer. Environment, Food and Rural Affairs Committee held. They are the ones who work and live from week to The hon. Member for Wakefield has included kind words week—sometimes from day to day. The House and the about the Committee in her motion. At the evidence session Secretary of State need to provide a positive steer, to I was very moved by a category of people to whom, ensure that the most vulnerable families are looked again, the hon. Lady did not refer—individual fruit and after, helped and supported by all the machinery of vegetable growers and horticultural growers, who have government. the loosest possible arrangement with supermarkets and virtually no protection. We were shocked to realise 5.19 pm that their contracts could be terminated at a moment’s notice. They need protection and to be able to make a Miss Anne McIntosh (Thirsk and Malton) (Con): I complaint anonymously. As we said in the letter that we congratulate the hon. Member for Wakefield (Mary submitted to the Chairman of the Business, Innovation Creagh) on calling the debate. In welcoming it, I draw and Skills Committee: attention to my declaration in the Register of Members’ “For many years there has been a ‘climate of fear’ in the Financial Interests. However, there are many other issues groceries supply chain. We therefore endorse the provision in the that the hon. Lady could have mentioned, which exercise draft Bill that will allow the Adjudicator to receive anonymous those who live in rural communities. I recognise that complaints from direct or indirect suppliers about retailers breaking Wakefield may not be quite as rural as Thirsk, Malton the Groceries supply Code.” 57 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 58

I hope some good can come out of today’s debate and sustainable food production. There is an inconsistency urge my right hon. Friend the Secretary of State to use at the heart of the Government on that. She will be her good offices to put pressure on the Secretary of involved in discussions on common agricultural reform State for Business, Innovation and Skills; that is the in Brussels. Greening the common agricultural policy responsible Department. could take productive land out of production. It could I commend all the Committee’s conclusions without also be hugely expensive and involve the introduction of hesitation, but I shall draw attention specifically to two more complex regulations, which we should be aiming of them. to simplify.

Philip Davies: My hon. Friend will know that the vast Mrs Spelman: My hon. Friend will know that I majority of suppliers to supermarkets are, by definition, acknowledged that problem when I gave evidence to her huge organisations—multinational companies such as Committee last week, and that we will try to ameliorate Mars, Coca-Cola, and Proctor and Gamble. Does she the Commission’s proposals in that regard. think that they need the protection of a grocery ombudsman, or does she agree that they are more than Miss McIntosh: I am most grateful for my right hon. big enough to look after themselves? Friend’s clarification. In conclusion, we should say, “Keep it simple.” With Miss McIntosh: I am so fond of my hon. Friend that all the regulations coming forward, whether to do with I have great difficulty in saying that I must draw his the adjudicator or not, the powers should be clear and attention to the remarks I have just made. His big allow individual growers, under a cloak of anonymity, organisation—Asda—is revered in north Yorkshire because to raise such issues, either directly or through a third it stemmed from Associated Dairies, which not only set party. I welcome this debate, although I regret that the price but provided a market for local milk suppliers. many of the issues that I have raised are not covered by Individual growers need protection, because they are the motion. However, we can have a positive debate unable to speak for themselves. We all have big today and see an early completion of the adjudicator constituencies and may not always be aware of such code, with an early introduction of the adjudicator in individuals. I hesitate to say whether big companies are the next Session. “good guys” or “bad guys”, but Asda and Morrisons source a lot of their food locally—almost 80% or 90%. 5.30 pm We need to protect the small individual growers. The Environment, Food and Rural Affairs Committee Pat Glass (North West Durham) (Lab): It is a pleasure believes that two of its conclusions could have an impact to follow the hon. Member for Thirsk and Malton if the Secretary of State for Environment, Food and (Miss McIntosh), who, like me, represents a large rural Rural Affairs can persuade the Secretary of State for constituency where farming is an important industry. Business, Innovation and Skills to amend the draft I visit farms and talk to farmers regularly, and the one Groceries Code Adjudicator Bill. First, the ability of question they ask me to raise in Parliament is, “When suppliers to make anonymous complaints is fundamental are we going to get the supermarkets ombudsman?” I to the success of the groceries code adjudicator. Secondly, was not here in the previous Parliament. I cannot the adjudicator should have the power to launch answer questions about why successive Governments investigations. We are all agreed that he should have the have not introduced a supermarkets ombudsman. However, power to fine, but he should also have the power to Members who were here tell me that the issue of a launch investigations. groceries code adjudicator has a long and not very productive history. Laura Sandys: I have just established a not-for-profit Members have championed the cause in opposition, company called Ugly Food. The strapline is “Tasty but but have proven remarkably slow to put anything into imperfect, just like you”. There is a phenomenal number action when in government. In opposition, the Tories of small suppliers who have food rejected because their announced that they would create the new body through produce is not perfect. We should look to create a a levy on retailers. Two years ago this month, in January market for that food, so that we do not waste it. 2010, the then shadow Environment Secretary, the right hon. Member for Arundel and South Downs (Nick Herbert), said that Miss McIntosh: The House will draw its own conclusions “further consultation is not the decisive action that consumers or about my hon. Friend’s self-advertising. the industry need…Conservatives are clear: we would establish a I understand that the powers of the Competition supermarket ombudsman to enforce the grocery supply code as a Commission are based on the powers of the Commission dedicated unit in the Office of Fair Trading to ensure a fair deal in Brussels. The EU directorate general for competition for producers and safeguard the consumer interest.” has the power to swoop when it believes an investigation However, we are two years into this Government, and it should take place. I urge my right hon. Friend the appears that they are not quite so decisive now. The hon. Secretary of State to make the same plea to the Business, Member for Westmorland and Lonsdale (Tim Farron), Innovation and Skills Secretary to adopt those two who was then the Liberal Democrat environment, food recommendations—and, indeed, all the Committee’s and rural affairs spokesman, also told us in January 2010: recommendations. “For years, Labour and the Tories have twiddled their thumbs The Secretary of State for Environment, Food and while huge supermarkets have pushed thousands of farmers to Rural Affairs will be aware of the Committee’s work on the brink. Their response has been totally inadequate”. food security. I hope she will remove any inconsistencies However, the Lib Dems are part of this Government, between trying to supply a secure strand of food and yet we are seeing no sign of decisive action. 59 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 60

[Pat Glass] one’s family healthily and effectively does not go up in price, but that is fundamentally different from talking Where we have seen consistent, strong and decisive about cheap food. action is from the big four supermarkets. They have The food system in this country has been distorted by always offered strong and sustained resistance to the the very cheapness of the products. Food here is cheaper establishment of a supermarket ombudsman. Tesco, than in any other country in Europe and, as a result, we Asda, Sainsbury’s and Morrisons have fought a long, have seen a much steeper price hike in recent years than consistent and, it now appears, successful campaign of the rest of Europe. That price hike has been compounded opposition and delay. However, in the meantime, the by two fundamental aspects of our food chain. We farming industry and the consumer continue to wait. import much more than any other OECD country, and Tom MacMillan of the Food Ethics Council tells us: we eat much more processed food, which is highly “The government must now ensure that it listens to small energy intensive and labour intensive. A further anomaly producers as well as big business. A strong supermarket ombudsman, is that, although this country’s supply chain is supremely invested with real power, would have the authority to ensure fair efficient, it is not very resilient. As a result, we face prices from the farm gate to the checkout”— greater price fluctuations and volatility when shocks to the very point that the hon. Member for Thirsk and the system occur. Malton made. He continues: “It would protect the livelihoods of farmers across the UK and Julian Sturdy (York Outer) (Con): I draw Members’ give consumers better access to fresh, healthy food.” attention to my declaration of interest. My hon. Friend The National Farmers Union tells us that dairy producers is right to say that food prices will continue to rise, and have been particularly squeezed, with dairy farmers that that will be a problem. Is it not the case, however, going out of business every day. That is exactly what I that one way of tackling that would be to tackle food am seeing in my constituency, where the number of waste? Should we not also examine the new technology dairy farmers has been reduced significantly, as they that could really move agriculture forward, not only in either move into other forms of farming or, more often, the UK but around the world? leave the industry altogether. War on Want believes that a supermarket ombudsman would support farmers here Laura Sandys: I totally agree with my hon. Friend. It at home and help poorly paid workers in the developing is pretty frightening that wheat yields in this country world. Only the British Retail Consortium, speaking for have not increased at all over the past 20 years. Also, the supermarkets, believes that a supermarkets ombudsman because food has been so cheap in this country, we have is a costly and unnecessary new bureaucracy that would not valued it. As a result, there is a huge amount of waste in the system. not benefit suppliers or consumers. [HON.MEMBERS: “Hear, hear.”] Oh sorry, only the British Retail Consortium It is interesting that the Opposition have chosen this plus one or two Government Members. subject for debate, because you left this country very The farmers in my constituency, and in many others vulnerable— across the country, are looking for decisive action from the Government on this matter. How many more of Madam Deputy Speaker (Dawn Primarolo): Order. them need to go out of business before the Government That is the second time the hon. Lady has done this. She get around to taking action? Farmers and consumers is not to refer to the Chair in that way. I have not done need a groceries code adjudicator with real powers who anything. She should refer to “the hon. Lady”. I certainly can impose real fines of a magnitude that will change have nothing to do with fruit of any kind. the behaviour of food retailers, and not just be seen as an occupational hazard and a risk worth taking. That Laura Sandys: I do apologise, Madam Deputy Speaker. is the way to bring in fairness across the food chain. It To address the bigger problem of food insecurity, we really does not matter whether we call the body a should look to the energy model. This Government’s groceries code adjudicator, a supermarkets ombudsman strategy on energy insecurity aims to manage a valuable or Oftrolley; what matters is that we get such a body resource, to address the waste in the system and to build now. greater UK resilience to international price fluctuations. With some tweaks, several of those policy mechanisms could and should be adopted for food. Security of 5.34 pm supply is an example. The previous Government cannot Laura Sandys (South Thanet) (Con): I must now claim much credit in that area. Imports of food increased declare an interest in the organisation called Ugly Food by 52% under the previous Government and agricultural that I have established. I believe that it is open to all land was diverted away from production. Thank goodness, small producers to market their foods with new branding today we have Ministers who understand the issues of and a new logo. production. Perhaps I am looking at these matters non-politically, To build greater security of supply, domestic production and perhaps I am looking too far into the future, but I must, in my view, increase. We must build a hedging think that we have a real problem. We talk about cheap mechanism against global volatility and realise not only food, but we are not always going to be able to deliver that food imports will become more expensive but that cheap food. We will have been deluding our constituents the level of imports, with a weak pound, is having a by suggesting that it will be available in the longer term, negative impact on our balance of payments and placing unless someone comes up with the answers to climate an inflationary pressure on benefits and entitlements. change, increased calorific intake and population growth. We must address food waste with a similar tenacity to If we are to be responsible and live in the real world, we that with which we are addressing energy waste through must try to deliver a system in which the cost of feeding the green deal. We need to reverse the indulgent years 61 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 62 that deskilled the consumer in food preparation and The Bill led to the proposal for a supermarket supported profligacy in the supply chain. Customers—we, ombudsman or groceries adjudicator being in all three the consumers—are often accused of being responsible parties’ manifestos for the 2010 election, but what has for such waste, but I disagree. The system is designed to happened since then? The hon. Member for South create waste and the consumer is merely responding Staffordshire (Gavin Williamson) secured an Adjournment to how the supermarkets and other retailers sell their debate on the groceries code adjudicator last April, and products. The waste in procurement is terrifying and I in May we had the Department for Business, Innovation hope that the grocery code of practice will ensure that and Skills document, “The Government’s policy for a we reduce some of it. As I have mentioned before, my Groceries Code Adjudicator”, but it is now January campaign through Ugly Food is one way of addressing 2012 and we do not seem to be any further on. some of the waste embedded in our system. I should like to ask the Secretary of State why we are Waste is also embedded in the design of consumer-facing waiting so long for the Bill and when we are going to see products. The hon. Member for Stoke-on-Trent South it. Is it going to contain the proper sanctions that we all (Robert Flello) talked about the packaging and presentation want to see—sanctions that will actually make a difference of food. People blame the customer, but is it their fault? and make people change their behaviour? Will the Servings of food are often too big and processed foods adjudicator be able to carry out proactive investigations? are heavily advertised. Although the Government have One thing is for certain: if, as the hon. Member for made a great deal of progress on display dates, safety South Thanet (Laura Sandys) has explained, we need to dates mislead the consumer about the longevity of increase food production, farmers are not going to be products. Point-of-sale displays draw consumers to larger able to do that if they are being squeezed on prices. packages rather than smaller units of food and BOGOFs— Many Members have cited the dairy industry as an buy one, get one free offers—neither help single item obvious example. If the price of milk is squeezed, shoppers nor reduce the bills for family shoppers. people inevitably go out of business and we produce less, which means we end up importing even such things Simon Hart (Carmarthen Westand South Pembrokeshire) as milk, which one would think we could produce very (Con): Will my hon. Friend add an additional item to easily in our climate. that long and rather depressing list, which is country of origin? Philip Davies: Here we are being offered again this painless panacea in which everyone benefits from an Laura Sandys: I believe that EU regulations are changing ombudsman. Can the hon. Lady explain how getting and that country of origin labelling will have to be the supermarket to pay more to the supplier and the much clearer, but we certainly have an issue with knowing farmer, fining it more and getting it to pay for the and understanding exactly where food comes from and, ombudsman will result in reduced costs for the customer? when it comes to meat, where the animal was born I am absolutely fascinated to hear how that will work. rather than where it was reared. Our system is designed around cheap disposable food Nia Griffith: This is about fairness. It is about paying and the UK, more than any other country other than a fair price to farmers for what they produce, having a the US, must embark on a culture change. We should fair price for consumers, and stopping sharp practices. re-engineer our food system to place value on food and It is about protecting the good businesses—the good to stop regarding it as disposable. That is why I am guys if you like—and creating a level playing field, calling for a food security obligation—similar to the which is extremely important. energy company obligation—for supermarkets and large Let me address what happens to people when they go food producers so that they record and reduce waste into supermarkets, particularly when they buy fruit and through their procurement process and commit to designing vegetables. We should not forget that there has been a their products with the aim of delivering real value for dramatic drop of 30% in fruit and vegetable purchasing money for the consumer, which is quite different from by the poorest families, so that the poorest children now cheap food. get only 2.7 of the five portions of fruit and veg they Both 2008 and 2011 were shocks to the system, but should have each day. Is it small wonder that when the price rises we have experienced will be the norm in people go into supermarkets they are quite worried the future. We had better get used to it. Food will not be about what will end up on their bill at the till, given that cheap, but with the right policies in place, feeding our they are absolutely dazed by the displays of fruit and families need not be more expensive. veg and the ways of pricing them? Sometimes they are priced by the item, sometimes by the packet—in fours, 5.43 pm eights or tens—and sometimes by weight. For example, there are many varieties of tomato, from cherry tomatoes Nia Griffith (Llanelli) (Lab): I pay tribute to the to beef tomatoes, and there is a range of different excellent work done by my hon. Friend the Member for pricing mechanisms, which is extremely confusing. There Ynys Môn (Albert Owen) through his private Member’s should be a very simple formula that allows us all to Bill, the Grocery Market Ombudsman Bill, which, as compare prices easily, because it is very difficult with many Members will know, had a long history spanning loose items such as fruit and veg, which can be packed several years. He said—this is the most important thing in so many different ways, to work out exactly what one to remember about the Bill—that it was about fairness is being charged. Last September there was a bumper to all those involved, whether they were farmers, small crop because of that fabulous spring we had last April, producers, local suppliers, suppliers from developing but did we see prices drop? No. Could we have told if countries, small shops, convenience stores, supermarkets they had dropped? No, because unlike at the petrol or, most importantly, consumers. pump where we can all see the sign displayed very 63 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 64

[Nia Griffith] 5.51 pm clearly and can tell when prices go up, one cannot see Fiona Bruce (Congleton) (Con): Thank you for this when prices for fruit and veg go up—it is easy to disguise opportunity to speak on food poverty, Madam Deputy and to pull a fast one on the consumer. Those issues Speaker. Members have mentioned with concern a lack need to be addressed. of knowledge among many people today about what constitutes a healthy diet, and a lack of the skills to As my hon. Friend the Member for Bolton West create healthy meals. I share those concerns, but in the (Julie Hilling) has explained, the number of people time that I have, I would like to concentrate on another needing help from food banks is increasing and it is set skill that is less prevalent today than it was just one or to increase further. Why? Because some of this two generations ago: the skill to grow and produce at Government’s taxation policies are hitting the poorest least some of our own food. That is something that my hardest and squeezing their income. For example, some grandparents did, and not just as a hobby; it gave them of the changes being introduced mean that those on low a vital supplement to their daily diet. I remember enjoying wages who are trying to do the right thing and go out to that whole-family activity on many summer evenings. work are going to find that their tax credits will be cut. I want to concentrate on some of the excellent initiatives They would like to top up with more work hours, but in my constituency devoted to sharing know-how in this those hours simply are not available. Sometimes that is sphere. Interestingly, while some groups are decades because supermarkets prefer to have people on low old, including the Middlewich and District Show Society, hours; it gives them more flexibility for the Saturday the Congleton and District Horticultural Society, and and Sunday shifts that they want worked. the Alsager Gardens Association, others have been set What about the cuts in housing benefit? They are up in the past two to three years, with immense support. going to leave many families who currently receive the They include the Sandbach Allotment Society, Home amount they need to pay their rent having to use what Grown in Holmes Chapel, and the Congleton Sustainability should be food money to pay the rent. That is why we Group. will see dramatic drops in the amount that people can People on low incomes have the lowest intakes of pay for their food. There will also be more and more fruit and veg, and are therefore far more likely to suffer families relying on food banks. What about the cuts in from diet-related diseases such as cancer, diabetes, obesity winter fuel allowance? They will leave some of our and coronary heart disease, which is why the initiatives pensioners with less money to spend on food. that I am talking about could be disproportionately valuable to them. The ability to develop and share skills, Simon Hart: Does the hon. Lady accept that obesity and more opportunities for people to grow their own— is increasing, particularly among young people and whether in their garden, a neighbour’s garden, or on people from poor backgrounds? Despite the efforts of community land—are greatly needed. That need will the previous Government and this Government, that increase, given that, as the chief scientific adviser to the does not show much sign of changing. Does she accept Government has said, by 2030 we will need to produce that, in reality, the issue is about a lot more than just the 50% more food, and given that the European Commission’s current Government’s tax system? It is much wider and current proposals could mean taking 7% of land out of much more complex than she portrays it as being. production, much to the consternation of farmers in my constituency. Turning back to the local, let me describe some of the Nia Griffith: Obesity may very well be on the increase benefits that the Middlewich annual show promotes. because unhealthier foods are the only type that some There were 400 entries last year across the many categories, families can afford; they cannot afford the healthier including cookery, flowers and vegetables. John Carver, alternatives. That is a real issue. People look at the the chairman, grows leeks, onions, carrots, potatoes, different pricing mechanisms and go for what can fill peas and broad beans in his garden. I can testify, having them up. That is the type of food that they are having to visited, that it is as attractive as any garden with flowers rely on now. They do not have the luxury of choice. in it. He says he gardens as people did 30 years ago, and Let me move on from pricing in supermarkets and has to buy hardly any veg for his family. He has carrots our adjudicators Bill to my worry about families who in storage, and freezes beans and peas. He advises cannot afford something very basic: enough food to eat. people to grow their own That is very serious. It is nothing to be proud of that we “as they are far better since they have not lost any of their need to have food banks; that is something that we do ‘goodness’”. not want to see. We do not want anybody to have to rely At the last Middlewich show, it was a real pleasure to on charity for something that every family should be see the civic hall crowded out. Some of the entrants able to afford. We want proper policies that will put were very young, and some of the veg were of phenomenal money in the pockets of the people who need to spend it size; several leeks, when stood on end for a photograph on food. No one in this country—one of the richest with me, were bigger than me. countries in the world—should have to look to charity for food. We need to make absolutely certain that the policies put in place deliver fair prices for consumers Chris Ruane: Never! and farmers, and that the distribution of income levels is fair, so that those who have the least can make the Fiona Bruce: That will not come as a surprise to some purchases that they need to make to feed their family. It Members. We should promote the idea of making greater is an absolute disgrace to rely on food banks to do use of gardens. Indeed, many elderly people might something that everyone should be able to afford to do: appreciate having veg tended in their gardens in exchange feed their family. for some of the produce. 65 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 66

The Sandbach Allotment Society has been going for On waste, I cannot omit to mention the tremendous just two years. Forty people came to the first meeting, work done by the Congleton Sustainability Group, and 120 to the second. It aims to encourage growing which produced the now-famous Congleton apple juice your own, and has found temporary accommodation that many Members tried here recently. In 2010, it used on a 1.2 acre site belonging to a local farmer. That will 3.5 tonnes of apples that would otherwise have gone to provide 34 half-plots, each of which will provide a waste, and its target for 2011 was 5 tonnes. significant amount of vegetables for a family, at a Those are just a few initiatives, but there are many fraction of the cost of buying them. It says that growing more that I could have described. If we are to alleviate your own is not an old man’s domain; it is for families. food poverty, it is important to promote, share and It brings families and communities together. I know develop skills at all levels of food production. It could how popular it is: there is a 100-person waiting list for take us a considerable way towards tackling problems in further allotments that it hopes to obtain. the years and decades to come. Home Grown in Holmes Chapel is an innovative community action group that encourages residents of 5.59 pm Holmes Chapel and neighbouring communities to buy Luciana Berger (Liverpool, Wavertree) (Lab/Co-op): locally produced food, shop in local shops, and work I congratulate my Front-Bench colleagues on securing together to grow their own fruit and veg. It has been today’s debate on this relevant and topical issue. I wish lent two previously untended plots of land in the village to use this opportunity to highlight the national scandal centre, one by the carpet shop and one by the health of rising poverty. centre. The organisers say that, despite rain showers, on a blustery May day, nearly 40 volunteers turned up to Some people find it hard to believe that food poverty the group’s first dig-in. Volunteers planted a variety of really exists in this country. Last year, I was aghast to fruit and veg—strawberries, lettuces, cabbages, sugar-snap hear the former Conservative MP, Edwina Currie, say peas, and radishes donated by the volunteers, whose on BBC radio that she had “great difficulty” believing ages ranged from just 18 months to 75 years. Lissy that people in Britain went without food. Only last Berry, aged eight, said to her mum: week, the Secretary of State for Work and Pensions said “This is hard work, but I’m really enjoying it—it is so worthwhile”, that people are not suffering as a result of benefit changes. Perhaps they have not seen the very real and and other volunteers agreed. Another said: tragic situation that thousands of families and pensioners “I have really enjoyed myself—it is a wonderful feeling to have face this winter, and perhaps they have not been affected achieved so much”. by the 4% rise in food prices over the past 12 months. I went to the group’s first harvest in October, and I can However, the thousands who are forced to queue for testify to the tastiness of the lettuce. handouts, in lines that stretch through church halls and The group says: community centres across our country, certainly are, and they include people who struggle to balance housing “We want people to think about the way we live our lives…We are not trying to feed Holmes Chapel—just show what is possible costs and rising energy bills, and the mums and dads with a little space, sunshine, water and love! It is great to eat who go hungry so that their children do not have to. vegetables that have been grown for taste, not for shelf-life, and it With rising prices, higher living costs and falling wages, is great to be able to do so without driving the car anywhere or it is becoming more difficult for people to make ends eating produce that has been flown half way around the world…We meet. The consumer prices index shows that the average are growing community fruit and vegetables for the community to household spends 12% of their income on food, meaning use!” that a couple with two young children spend more than The group has great plans: it is starting to talk to the £5,000 a year on food. In addition, according to the parish council and Cheshire East council about planting OECD figures that we have discussed a great deal this fruit trees around the village; holding a “shop local” afternoon, 4% food inflation has added an extra £233 to week; and encouraging residents who have a bit of that bill over the past year alone. spare community land near their house to set up a It is even harder for lower-income households to community veg plot. It is working with Holmes Chapel cope. DEFRA’s own statistics show that they have to primary school; I was pleased to see recently planted spend 15.8% of their income on food—nearly 3% more herbs and veg there, and there are plans for more than the average household. While jobseeker’s allowance vegetable beds. It wants to work with retirement and for a single adult is £67.50, it is just not possible to eat nursing homes in the village, and to see if it can get healthily on £8 a week or just over £1 a day. Last May, community groups working together to grow fruit and I did the “Live Below the Line” challenge, which was veg in those places. It says: organised to raise money for charities in Africa, and I “that is enough to keep us busy for some time to come!” lived on £1 a day for food and drink for five days. I did Other initiatives in the constituency seek to reduce not have enough protein, and I got headaches. I could waste. Ray Brown, a farmer, proposes to convert an old afford just one of the five recommended pieces of fruit Ministry of Defence fuel base into an anaerobic digester, and veg a day. I endured that for just five days: there are with the support of Cheshire East council. It is anticipated over 4,000 people in my constituency for whom that is a that it will be able to take all the food waste from the reality 365 days a year. entire population of Cheshire East, which covers not It is therefore not surprising that fruit and vegetable just my constituency but several others. That will raise consumption in poorer families fell by 30% last year. It Cheshire East’s recycling rates to a remarkable potential is even harder to buy food when the support to which 90%. The scheme will also generate electricity and feed someone is entitled to is not paid on time, as I found out it into the grid. As I hope the Government will recognise, when I visited a Trussell Trust food bank in my constituency that should negate the need for an incinerator just just before Christmas. I met a man who had walked in 15 minutes away in Middlewich. the freezing rain to get to the food bank. The week 67 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 68

[Luciana Berger] need action now, and we also need to act to protect consumers from vested interests. The grocery market is before, he had been in hospital recovering from heart dominated by four big supermarkets, which account for surgery. When he came out of hospital, he was told that about 85% of the total market. Nine out of 10 people he would have to wait a number of weeks for his benefit are concerned about rising food prices, and over half of payments to be reinstated. He was hungry. His district them are comparing prices more when shopping for nurse had given him a food voucher, but he could not food. However, only 53% of people think that it is easy afford the bus or a taxi. He had to walk more than four to work out which product is better value for money miles. He was a desperate man. using the price information available on labels. Consumers That is one of three food banks operating across need transparent pricing from the major retailers to Liverpool. We have five in total across Merseyside make it easier to compare goods so that they can make providing desperately needed assistance to people who informed choices. Under Labour proposals, retailers cannot afford to buy food. The figures show that the would provide clearer unit pricing for goods, with largest proportion of people seeking emergency information that is easier to read, and with unit prices assistance—just under 40%—do so because of delays in for promotional offers. receiving benefit payments. With the Chancellor’s austerity Today’s motion sets out to put right the failed approach programme sucking growth out of our economy and of this Government, who are out of touch with families pushing up inflation and employment, it is clear that, and pensioners facing the squeeze from rising living following reductions, Her Majesty’s Revenue and Customs costs. The approach set out by Labour in the motion and the Department for Work and Pensions cannot would help the thousands of men, women and children cope with the demands placed on them. That is set to who cannot afford to eat properly this winter, introducing get worse, as it is estimated that over the next three measures to get our economy moving and securing a years HMRC will lose 10,000 more staff, and DWP is fair deal for British farmers and consumers. Unlike the set to lose 17,000 staff. Secretary of State, I do not welcome the escalation in In my constituency in the past nine months, 312 people the number of food banks: there are already three too were issued with food vouchers for themselves and their many in Liverpool, and 163 too many across the UK. It families, which entitled them to at least three visits to is a tragic and terrifying indictment that we have food the food bank, but the food bank would never turn poverty in 21st-century Britain, one of the richest nations them away if they needed anything more. That situation in the world, and that food poverty is rising. The is not unique to Liverpool. There has been a huge Government must do anything and everything to reverse growth in food banks across the country, with one the situation in which over 100,000 people this year opening every week last year. Contrary to what the cannot afford to buy food to eat. I urge everyone to vote Secretary of State for Environment, Food and Rural for the motion. Affairs believes, I do not think that that is something to celebrate. As my hon. Friend the Member for Wakefield Several hon. Members rose— (Mary Creagh) highlighted, according to the Trussell Trust, the fantastic charity that runs 163 food banks Mr Deputy Speaker (Mr Nigel Evans): I shall try my across the UK, in the past 12 months, 60,000 people level best to allow everyone to speak. The wind-up received help from food banks, including 20,000 children. speeches begin at 6.40 pm, so there is a six-minute limit It predicts that 130,000 people will need help this year. on speeches. My hon. Friend the Member for Bolton West (Julie Hilling) highlighted the fact that those figures are set to rise to 500,000 by 2015. The figures are staggering and 6.7 pm awful but, faced with that crisis, the Government have Andrew George (St Ives) (LD): I shall do my very pursued out-of-touch policies that are making the situation best, Mr Deputy Speaker. I am the first Liberal Democrat worse, not better. They are making it harder for families speaker, and I regret the fact that we have only six minutes. and pensioners to make ends meet and to cope with the Of course, I am not criticising you, Mr Deputy Speaker. rising cost of living. Tax rises and spending cuts that go too far and too fast are choking off economic recovery, pushing up prices and leading to soaring unemployment. Bob Stewart (Beckenham) (Con): There are no more Liberals here. That reckless plan has backfired on the deficit too, with more people out of work and claiming benefit rather than paying taxes, meaning that the Government Andrew George: The hon. Gentleman has only just will not balance the books by 2015 as they promised. It arrived in the Chamber, so I advise him not to start. is time to change course and get our economy growing I welcome the fact that the Opposition have introduced to create more jobs. DEFRA should play its part by this important debate, the full title of which is, “Rising putting the food industry—the largest manufacturing Food Prices and Food Poverty”. That is appropriate, sector in the UK—at the heart of the economic recovery although I notice that the motion is rather narrow, and and getting a fair deal for British farmers and food refers primarily to the groceries code adjudicator. Following manufacturers. We want a competitive supply chain for my intervention on the hon. Member for Wakefield growers, processors and retailers. (Mary Creagh), I urge the hon. Member for Ogmore The Secretary of State for Environment, Food and (Huw Irranca-Davies), when he replies to the debate, to Rural Affairs was pressed earlier about when the groceries ensure that the Opposition reflect carefully on the drafting code adjudicator will be introduced, but we did not error in the motion, which sends an unhelpful message receive clarification. We are concerned that the office to those of us who believe that the primary message of will not be up and running until at least 2014-15. As today’s debate concerns the speed of the introduction price rises are 0.7% above the EU average at 4%, we of the groceries code adjudicator. I urge him to withdraw 69 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 70 the motion when he has an opportunity to do so. It is Andrew George: I am grateful to my hon. Friend. The vital that we send a strong, clear message through our objectives in the draft Bill are helpful. However, the debate. importance of speed should be emphasised. Most of I acknowledge the point that many Members have the framework is in the Bill, and I would be prepared to made about the impact of food poverty and the fact have it put in place early, even if we failed to achieve that people have to choose between paying their rent some of the elements that I have spoken about—proactivity, and eating, or between paying their heating bill and anonymity, third party referral to the adjudicator, which eating. Nowhere does that apply more than in my is important, and the power to fine. constituency, which has been at the bottom of the The Bill may well enable the Secretary of State to earnings league table for years, pretty much since records introduce regulations allowing the adjudicator to fine began. Tragically and regrettably, a food bank is required supermarkets that fall below the standards set in the in Penzance, which is strictly managed by an excellent Bill. To bring about reputational damage, which is the team of volunteers led by David Mann, Brenda Fox and only way in which supermarkets will be made to change others, who do very good work. They consider it a their practice, that additional power will be needed. It is matter of enormous regret that such things are needed. important to recognise that not all the supermarkets I welcome other topics raised by the hon. Member and those who will be brought under the code object to for Wakefield, including the importance of maintaining the proposal. Supermarkets have been achieving record regulation by the Gangmasters Licensing Authority and profits in the deepest recession, so to argue that they ensuring that agricultural workers are properly remunerated cannot afford it is rubbish. for their work. She expressed dismay at the failure to I say to the hon. Member for Ogmore that speed is of introduce the grocery code adjudicator. I remind her of the essence. The motion should be withdrawn in order the dismay that many of us felt at the failure of the previous that we send a strong message to the outside world. Government to act in this area. However, those who have followed the debate over many years recognise that 6.14 pm this is a matter on which there is cross-party consensus. Kerry McCarthy (Bristol East) (Lab): As we have The hon. Member for Ynys Môn (Albert Owen), who heard, people in the UK are facing the biggest squeeze was mentioned earlier, the former Member for Stroud, in living standards since the war. They are being hit on David Drew, who did some excellent work in this area, all sides. They are losing their jobs or their overtime or the hon. Member for Shrewsbury and Atcham (Daniel having their pay frozen. If they are self-employed, they Kawczynski), the hon. Member for South Holland and are struggling to earn the sort of money that they used The Deepings (Mr Hayes), who is the Minister for Further to earn. They are being hit by cuts to public services, Education, Skills and Lifelong Learning—Members across rising fuel bills, rising rents, cuts to housing benefits, all parties—have recognised that the abuse of power by cuts to tax credits, and as we have heard today, they are the supermarkets is unacceptable. being hit by rising food bills too. All those things add up In its 2008 report the Competition Commission and have a devastating impact on household finances. recognised that there was a climate of fear in the supply Food prices in the UK have been rising at well over chain. That had been identified by the Office of Fair twice the rate of the incomes of the poorest. Over the Trading report in 2004, when it reviewed the failure of past five years, food prices have gone up by 32%, rising the then supermarket code of practice and the urgent at well over twice the rate of the national minimum need for a grocery supply code of practice. As a result of wage and twice the rate of jobseeker’s allowance. Around the Competition Commission’s work, that has been in one in every 16 people have been forced to skip meals so place since February 2010, but it is a little like a game of that the rest of their family can eat. In Bristol that rugby without a referee. It is all very well having the represents 26,500 people in the city having to go hungry rules in place, but if there is no one to enforce them, we because of financial hardship. Eight hundred people in do not know that rampant abuses of power are not Bristol have used a food bank in the past year. Oxfam occurring within the supermarket sector. South West has reported an increase in demand on its I declare an involvement as the chair of the Grocery food banks, with some reporting a 100% increase on the Market Action Group, which includes representatives previous year’s total of applications for help. As we have from the National Farmers Union, Friends of the Earth, heard, the Trussell Trust estimates that the number of the Association of Convenience Stores, the British Brands people using food banks could increase from 100,000 this Group and other organisations. Since 2006 we have year to up to 500,000 by the end of this Parliament. been providing evidence to the Competition Commission I congratulate the charities and churches that run the and pushing for an adjudicator. We have made the point food banks on the work they do. During the half-term that we need a supermarket watchdog that has proactive recess I will be visiting the food bank in Bristol run by powers, can take information anonymously, can receive FareShare, which is an excellent organisation. Those third-party and trade association evidence, and follow charities make an immeasurable difference to people’s that through to an inquiry. Of course it is important lives, but as Kate Wareing, Oxfam’s UK poverty programme that an adjudicator should not be able to go on fishing director, has said, expeditions and waste the time and resources of “Everybody in the UK should have enough money to feed supermarkets and their suppliers in undertaking pointless themselves and their families, whether they are in or out of work. inquiries. That will sort itself out over time. It’s an outrage that increasing numbers of people in our country are having to visit food banks to feed themselves or put a hot meal Simon Wright (Norwich South) (LD): I know that my on table for their children.” hon. Friend has been looking into the matter for some So although I welcome the work of those running food years. What does he consider to be the initial priorities banks, I—unlike the Secretary of State—do not welcome of the adjudicator, once that office is established? the need for their existence. 71 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 72

[Kerry McCarthy] five workers earning less than a living wage, low pay is so pervasive that tax credits and food parcels are required Families are not only turning to food banks. The to give hard-working families the support they need Child Poverty Action Group has found that for a quarter simply to put food on the table. That is why I strongly of the children in the UK, school dinners are their only support calls for the draft Groceries Code Adjudicator source of hot food. In Bristol the number of children Bill to be brought forward in this year’s Queen’s Speech. eligible for school meals has been rising. Fortunately, I will also bring forward a ten-minute rule Bill in the local schools forum agreed to maintain funding March calling for action to enforce the principles of the after this Government discontinued the ring-fenced school food waste pyramid, which deals first with the reduction lunch grant, but schools too will be affected by rising of food waste, then the distribution of surplus food to prices. The value of breakfast clubs is often overlooked, redistribution charities, and then sale or donation for despite the fact that 32% of children regularly miss feeding livestock, rather than food waste being sent for breakfast. The simple truth is that too many children anaerobic digestion, or—even worse—landfill. I will be arrive at school each morning having not eaten a proper happy to talk with other Members who are interested meal since lunchtime the day before. Research by London in the Bill, and I hope that they will join me in Economics found that breakfast clubs led to a statistically supporting it. significant increase in attainment and improvements in punctuality that clearly outweigh the costs. A survey by 6.20 pm Magic Breakfast, a charity that provides breakfasts at 22p per child at 200 primary schools, including some in Mr David Nuttall (Bury North) (Con): In the Order Bristol, found that 88% of schools see improved attendance. Paper, the title of this debate is “Rising Food Prices and In the limited time I have left, I want to talk about the Food Poverty”, but I note that the words “food poverty” problem of food waste. Many people would regard it as appear nowhere in the motion. We should start by immoral that good edible food is thrown away when examining what constitutes a state of affairs that can be people are going to bed hungry. On a global scale, all described as food poverty. The Food Ethics Council, a the world’s 1 billion hungry people could be lifted out of registered charity, states on its website: malnourishment on less than a quarter of the food “Food poverty means that an individual or household isn’t wasted in the US, the UK and Europe. Charities such as able to obtain healthy, nutritious food, or can’t access the food FareShare and FoodCycle are taking concerted action they would like to eat.” to tackle the problem, and doing so in a way that also With so wide and all-embracing a definition, it could be encourages healthy eating, community involvement and argued that millions of people, including many quite volunteer engagement. I am proud to be a patron of high up the income scale, are living in food poverty. FoodCycle. Having said that, there are people on limited and fixed Much of the problem lies in the supply chain—farming, incomes for whom paying the bills is a great struggle, feeding livestock, transportation, supermarket supply, but I do not accept the patronising view that they are restaurant policy and expenditure, and a demand for somehow more likely to suffer from obesity because out-of-season food free from visual imperfections, as we they can afford to eat only certain types of food. As we heard from the hon. Member for South Thanet (Laura have heard this afternoon, processed and sugary foods Sandys). I congratulate her on her Ugly Food campaign. are often much more expensive than fresh foods. I accept that food, as a variable item of expenditure, is In its most recent report on the grocery market in always likely to come under pressure when there are 2008, the Competition Commission concluded that other demands on the household budget. The question supermarkets are guilty of passing unnecessary risks is what we can do to help those struggling to make ends and excessive costs on to their suppliers—for example, meet. through forecasting errors by supermarkets. They might tell a manufacturer a week in advance that they will I want to make two main points. First, we need to probably want 100,000 sandwiches, but on the morning tackle the European Union’s common agricultural policy. the sandwiches are to be delivered, they substantially It must be reformed. In a limited debate of this nature reduce their order, leaving the supplier with a pallet-load there is no time to do any more than flag up that of sandwiches which they cannot sell. Worse still, many disastrous policy. Few other sectors are controlled quite products carry the supermarket’s own brand name and so overwhelmingly from Brussels as agriculture. Despite supermarkets will often forbid the manufacturers to sell the Labour party signing away the UK rebate, supposedly the products on, insisting that they must be sold to them in return for substantial reform, the CAP remains a exclusively. There is also concern that if they give the complex system of subsidies and incentives that I believe products to charity, that will damage the brand. distort the operation of the free market. Particularly shamefully, supermarkets often agree a Glyn Davies (Montgomeryshire) (Con): I am interested price for a product with their supplier, but when sales in my hon. Friend’s point about the impact of the CAP. are less than predicted and products need to be put on Does he agree that the biggest impact is caused by price reduction, the supermarket will turn around and completely unnecessary regulation on farming? I happen require the supplier to share the burden of the reduced to be a livestock farmer, and the costs of some requirements, revenue. Even worse, there are the notorious take-back such as electronic tagging, have to be transferred and agreements, whereby supermarkets return to the are a serious contributor to the cost of food. manufacturer produce that they have failed to sell. Although the work of food redistribution charities is Mr Nuttall: My hon. Friend makes an excellent point. invaluable, their very existence implies an acceptance of I submit that the impact of EU regulation is of far the level of social inequality that creates the coexistence greater concern to farmers than their relationship with of food poverty and food waste. With more than one in our nation’s supermarkets. Despite all the tinkering 73 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 74 with the CAP, it still takes up more than 40% of the My hon. Friend the Member for Llanelli (Nia Griffith) entire EU budget. British consumers would be far better drew attention to the health risks of families eating less off if we were free from the tentacles of the European fresh fruit and vegetables, and I was pleased to hear the Union and its CAP altogether. hon. Member for Congleton (Fiona Bruce) speak about Secondly, I do not think that we should interfere with the contribution that people growing their own food on the operation of our retailers. The fierce competition allotments can make. I am pleased that in my constituency between high street food retailers has led to the sustained there are initiatives across many primary schools whereby availability of a huge choice of foods that previous fruit and vegetables are grown to make children and generations could only have dreamt of. As Asda battles families aware of the benefit of eating them. Indeed, Tesco, which competes with Sainsbury’s, which fights Leys Farm junior school not only has such an initiative, with Morrisons, which battles with Waitrose, Lidl, Booths, but the produce is served in the school kitchen. There is Aldi and Marks & Spencer, all competing with each much good practice out there that we need to build on. other and with smaller chains and independents, there Consumers want transparent food pricing by major is surely no doubt that all this competition has served to retailers so that it is easy to compare goods and to make drive down prices for the benefit of all consumers. informed choices, and that is why unit pricing is so important. I am concerned, however, about the need to Julian Sturdy: Is it not true that driving down some of crack on with introducing the grocery code adjudicator; those costs has been detrimental to dairy farmers? Milk there is a strong cross-party consensus for putting that prices have fallen, and the fact that supermarkets sell role in place. milk as a loss leader is having a real impact on local I have asked several written questions on the matter dairy farmers. and, in particular, on the issue of confidentiality in order to protect people who make complaints to the Mr Nuttall: Dairy farmers can band together and adjudicator, and the responses that I have received have form co-operatives in order to strengthen their negotiating all been in a similar vein: “Protecting the confidentiality position, as they have done. The market solution to of suppliers who raise complaints will be both a power the problem is to have higher prices. I am conscious of and a duty of the Adjudicator.” But the question is how the fact that many Members wish to contribute to the that is done, and the key issue is how it is managed. debate, so will leave my remarks there. The security surrounding confidentiality is important. I had a meeting today with representatives of a packaging federation, and they made it clear that their members 6.26 pm would be concerned about making individual complaints to the adjudicator, and that third-party complaints Nic Dakin (Scunthorpe) (Lab): Thank you, Mr Deputy would need to be part of the structure. The hon. Member Speaker, for calling me to speak in the debate, and I for St Ives (Andrew George) said that people in the apologise for not being here at the start—I was serving supply chain often operate in a climate of fear, so it is on a Statutory Instrument Committee. important that the decisions of this House, in pushing I am afraid that the Government are yet again out of forward the role of the grocery adjudicator, ensure that touch, in this case with families feeling the squeeze that climate no longer exists and is properly addressed. of higher food prices. At 4%, food inflation in the UK The National Farmers Union in my constituency and outstrips that of all other EU countries. I am pleased to throughout the country is very much concerned to follow the hon. Member for Bury North (Mr Nuttall), ensure that there is a third-party complaints process. because of his interest in Europe, and to be able to give Alex Godfrey, who represents the NFU in Scunthorpe, that context. has made that very clear to me, echoing the evidence As my hon. Friends the Members for Liverpool, that was given to the Environment, Food and Rural Wavertree (Luciana Berger) and for Bristol East (Kerry Affairs Committee. McCarthy) powerfully and graphically spelt out, food I hope that this debate helps to hasten putting in poverty is a growing concern. The cost of living crisis is place the grocery code adjudicator in a way that gains affecting households across the country and more families the confidence of not only the people in this Chamber, are relying on food banks. I pay tribute to the food bank but the people out there and, most importantly, the in my constituency, organised by Scunthorpe Baptist people who might want to use the adjudicator to ensure church, which does a fantastic job in helping people to fair play in the world. meet their crisis needs, particularly when there is a dislocation in their benefit payments. As has been said Mr Deputy Speaker (Mr Nigel Evans): I am grateful throughout the debate, although we recognise the great to the previous two speakers, Nic Dakin and David benefits that food banks bring to society, it is a great Nuttall, for not using their full allocation of time, as it shame and a great condemnation of where we are that allows at least two more speakers to get in. people in such a rich country have to rely on them. I am afraid that the Government are making it harder 6.31 pm for families to make ends meet and overseeing a massive growth in handouts from food banks as families struggle Neil Parish (Tiverton and Honiton) (Con): It gives with rising costs, higher bills and job insecurity.Rising food me great pleasure to speak in this debate, as there is no poverty is a national scandal. Last year 60,000 people doubt about the conclusion that we should make—that relied on food handouts, including 20,000 children, and there is a link between food prices and food poverty. It one new food bank opened every week. A family with is apparent that the poorest in society will find high two small children now has to pay over £233 a year prices difficult, and we only have to look throughout more for food due to rising prices. the world to find that. As the population of the world 75 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 76

[Neil Parish] cannot address without tackling issues such as alcohol and nutrition. That is an important point, because reaches 7 billion, and moves towards 8 billion by 2030, obesity affects children’s life chances and costs the rest we have a greater need to produce more food, and that of us. We know that, unless we address obesity, by 2050 is where I charge the previous Government, because for it will cost the country about £10 billion a year, so the much of their final period in office they did not encourage adjudicator represents good value for money. food production. In fact they said, “We can import as In addition to addressing loss leaders and ensuring much food as we like”; our home production did not that people have access to good-quality food, Ministers matter. should also consider the role of local food production. I We therefore need greatly to increase our food production pay tribute to Transition Town Totnes and the Campaign in this country, and as other Members have said, we to Protect Rural England for clearly setting out how need to use biotechnology in order to do so and to supporting good, local, sustainable food webs and delivering reduce our use of fertilisers and pesticides. A blight-resistant good, fresh, seasonal produce does not necessarily result potato is coming, and it could increase food production in higher prices, and for showing that we can use while dramatically reducing the environmental consequences measures to encourage the right choice to be the healthy of spraying potatoes, so there is much we can do, but we choice. have to go forward and do it. On the grocery code adjudicator, my hon. Friend the 6.37 pm Member for Shipley (Philip Davies), who is no longer in Huw Irranca-Davies (Ogmore) (Lab): This has been a his place, missed the point. If these wonderful supermarkets very good and wide-ranging debate, and all in all I think are not doing anything wrong, they have nothing to fear that we have had 12 speakers, if my maths is good— from the adjudicator. The point of setting up the post although maths is not my strong point. of adjudicator is to put him or her in place so that, if The hon. Member for Thirsk and Malton there is abuse, it can be looked at. My right hon. Friend (Miss McIntosh) spoke eloquently on behalf of farmers, the Secretary of State wants the role of the adjudicator and pressed the Government on farmers’ genuine concerns introduced quickly, so we need to give the legislation about currency and exchange rates and rising costs. She parliamentary time. Farmers, growers and many other spoke also of, in her phrase, “the climate of fear” in people in the food chain are often squeezed not only by the supply chain, and we recognise that. She pushed the the big supermarkets but by the big buyers in the chains, Government, as she has in her role as Chair of the and that is why the adjudicator is so necessary. excellent Environment, Food and Rural Affairs Committee, I therefore very much welcome the debate and what to give real teeth and power to the adjudicator. She also the Government are doing to increase food production almost referred to “good” and “bad” retailers, so I look and ensure that common agricultural policy reform forward to her contribution to the Labour Left review does not set aside more land and stop food production. or to Progress magazine. There is a moral obligation to produce food not only for The hon. Member for South Thanet (Laura Sandys) this country, but for the rest of the world. also spoke well, and said that the era of cheap food is Mr Deputy Speaker (Mr Nigel Evans): Thank you for coming to an end. Perhaps it is, but if so I am sure we all your time constraint. agree that we need the fairest prices for consumers and fairness throughout the food chain. She mentioned her involvement with, if this is correct, “Tasty but ugly 6.34 pm like you.” I do not mean you, Mr Deputy Speaker, of Dr Sarah Wollaston (Totnes) (Con): In the brief time course. I hesitate to lay the words “tasty” or “ugly” on that I have to speak, I shall make three points: first, you—[Interruption.] No, I will stop there. about the link between food poverty and obesity; secondly, The hon. Member for Congleton (Fiona Bruce), who about the impact of loss leaders; and thirdly, about the represents a lovely part of the world which I know well, role of local food production. made a very good contribution that could have been Data from the health and social care information called, “The Plot Thickens”. She talked about the centre show that one third of children are now obese, importance of grow your own, and I too stress the role but the link between deprivation and the risk of obesity of allotments—given that the chair of the National is stark. We see it in reception class, but it becomes even Society of Allotment and Leisure Gardeners, a very starker as children move through to year 6, where good gardener, lives in my constituency—and the need currently 23.6% of the poorest children, but only 12.8% of to protect and enhance them. The hon. Lady talked of the wealthiest, are obese. The reason why is the difficulty giant leeks, which we see also at Wales rugby matches, not just with buying food, but with the types of food and she advocated growing produce in one’s garden or that are the cheapest, with people’s choices being driven in one’s neighbour’s garden—although in the latter case by supermarkets and with the operation of loss leaders. it is always best to ask permission. I would not call on the adjudicator to issue an outright The hon. Member for Bury North (Mr Nuttall) said ban on loss leaders, because previous inquiries have that there was no mention of “food poverty” in the shown that such action does not reduce the cost of food motion. There is: it is in the title. The hon. Member for overall, but there needs to be much greater clarity about Tiverton and Honiton (Neil Parish) recognised the real the cross-subsidies that loss leaders introduce, as subsidising problem of food poverty, on which I congratulate him, products such as alcohol, chocolate and crisps increases and he took issue with his hon. Friend the Member for the cost of much healthier foods. We need to address Shipley (Philip Davies) about the nature and purpose of that issue, because one of the Labour Government’s the adjudicator, on which we agree. There was also a greatest failures, as identified by the King’s Fund, was thoughtful contribution from the hon. Member for in making progress on health inequalities, which we Totnes (Dr Wollaston). 77 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 78

The hon. Member for St Ives (Andrew George) made will soon be cut by the Government. Their home is a good contribution. He welcomed much of our motion increasingly cold and dark and the only things in their and many of our remarks. I can clarify that we want the cupboards are food parcels from the local food bank. adjudicator in the next parliamentary Session. Will he The right hon. Lady shakes her head, but they buy what support us? He should not let a drafting error get in the fresh food they can when they can, but without the way of our emerging coalition on this matter. support and kindness of local people, they would simply My hon. Friend the Member for Stoke-on-Trent South go hungry. We would love that to be fiction, but such (Robert Flello) spoke extremely well for his constituents, are now the facts of life for too many families. describing a “heat or eat” scenario—or, worse, neither Into that harsh reality stumbles a throwback to the heat nor eat. He went into detail on food banks and 1980s—a former Conservative Minister and hon. Member mentioned clearly that they did not exist in great numbers for South Derbyshire. When confronted recently with that under Labour because there was not the need for them dire social and economic regression, she boldly answered: on the scale at which they are now emerging. “Are you telling me people in this country are going hungry? My hon. Friend the Member for North West Durham Seriously? Seriously?” (Pat Glass) spoke powerfully for farmers in her area and Yes, seriously—former Conservative Ministers might the early introduction of a powerful groceries code not want to believe it, but it is a searing indictment of adjudicator in the next parliamentary Session. We agree. the Government that more and more people across “Fairness across the food chain”—her phrase—is a England, Wales, Scotland and Northern Ireland find good rallying cry. My hon. Friend the Member for themselves relying on food banks, one of which was Llanelli (Nia Griffith) paid tribute to the work of our opening every week last year. Those people depend on hon. Friend the Member for Ynys Môn (Albert Owen) the generosity of others to get by. on the groceries code adjudicator and called for an Last year, 60,000 people received help from a food urgent introduction of an adjudicator with clout. She bank, a figure that the Trussell Trust predicts will rise to said, stirringly, that it is a disgrace that anyone should 130,000 in the next year. For all those impoverished have to rely on charity to feed their family. families who now need a voice in the Chamber, the My hon. Friend the Member for Bristol East (Kerry words and sentiment of the former Member for Ebbw McCarthy) focused expertly on food poverty, the growth Vale echo down the years: this is their truth, our truth—tell in the number of food banks in Bristol and the work me yours. What is true across the UK is true in my being done to mitigate the problem of food poverty. My constituency and neighbouring constituencies. From hon. Friend the Member for Liverpool, Wavertree (Luciana Llanharan to Gilfach Goch, and Maesteg to Pontycymmer, Berger) described the national scandal of rising food and all points between, food banks proliferate. poverty, coupled with the rise in broad poverty issues We should pay tribute to the many volunteers and throughout the UK. She gave direct evidence of the organisations involved, such as the Bridgend food bank human tragedy for her own constituents, not least because and the Pontyclun food bank, but the issue is a terrible of the late payment of benefits, something echoed by indictment of the economic misery inflicted on families my hon. Friend the Member for Scunthorpe (Nic Dakin). under this failing coalition Government. I challenge the The Secretary of State talked widely about global Minister and the Government to dispute that stark issues, but did not focus on the particulars of food reality. The Government’s failing policies and inaction poverty and food banks. Labour Members picked up on on the economy mean that families are finding it hard an astonishing complacency. She described food banks to make ends meet and struggling to cope with rising as a triumph for the big society, rather than a tragedy living costs, higher energy, housing and food bills, and caused by the Government’s social and economic policy. the constant fear that they could lose their jobs—if they How many more food banks do we need before we can have them—at any time. proclaim the big society a resounding success? For too many, eating is losing out to heating and housing costs. Charities warn that having a job is now Mrs Spelman: When the hon. Gentleman checks Hansard no protection; an estimated 10% of food bank recipients tomorrow, he will see that I did not use the word are middle earners whose salaries have been cut or “triumph”. Opposition Members have failed to observe frozen or who have recently lost their jobs. Food prices that, for many decades, many institutions in this country rose by more than 4% last year. Lower-income families have helped the poor and needy. If he has never been to are eating less fresh fruit and vegetables. They spend a harvest festival and understood that churches collect more than 15% of their income on food. In real terms, it food to distribute among those in their community who comes down to a couple with two young children spending really need it, he is not alert to how much that is part of an extra £233 on their annual food bill. British culture. When surveyed by Which? in the last year, more than half of consumers said that increasing prices made it Huw Irranca-Davies: Charitable effort has indeed always difficult to eat healthily. Nearly 90% genuinely fear the been part of this country, before the phrase “big society” increasing cost of food. Those are startling figures. was invented, but never with the proliferation that we However, when people need help, the Government seem currently see. It is a tragedy. torn between prevarication and paralysis when it comes Let me relate a direct story about one not unusual to taking action that will go some way towards easing family of four in England today. One parent is out of the pressure on people’s wallets—not least by assisting work and the other is in a low-paid job. Before Christmas, farmers and manufacturers of the food we eat with the they found themselves behind on their mortgage, with retail and financial challenges that they face. their council tax debt racking up and the gas and When in government, Labour took action after the electricity meters running out of money. They receive hike in food prices in 2008 to address that challenge and working tax credit and child tax credit, both of which to produce more food sustainably. In 2010, we published 79 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 80

[Huw Irranca-Davies] rising at a faster rate under the previous Government. Likewise, we know that food price inflation was outstripping the first Government food strategy for 60 years and our general inflation at one point last year, only for the priority was a sustainable, affordable competitive food situation to be reversed later in the year. The dynamics sector. We gained cross-party support for the supermarket of where food prices stand at a particular point in time ombudsman—to ensure a fair deal for farmers and food are of secondary importance to hard-pressed families producers, who still need a fair deal from major retailers— who are balancing their budgets. Those families want to and for the implementation of the groceries supply code know what action is being taken to help, not just by of practice in February 2010. Government, but by a range of organisations that have Yes, there was more to be done, but the creation of an a distinguished track record in this regard. ombudsman—the groceries adjudicator—to enforce and We have heard of some excellent initiatives in the area monitor the code of practice was a recommendation of of food provision and redistribution. We know about the Competition Commission and is supported by the Healthy Start, which is a Government initiative. We Environment, Food and Rural Affairs and Business, have heard about FareShare, which provided 8.6 million Innovation and Skills Committees. It would do a great meals in the last financial year. Many hon. Members deal for farmers, food manufacturers and the public. It have spoken about food banks, which are organisations was not just us asking for it. set up by wonderful, community-minded people with real compassion. We applaud their activities. However, Andrew George: I have to put the hon. Gentleman I say to Opposition Members, in particular the hon. right. The Competition Commission was empowered Members for Liverpool, Wavertree (Luciana Berger) and used its power to introduce the groceries supply and for Bristol East (Kerry McCarthy), that it is ridiculous code of practice; it was not the last Labour Government. to say that the rise in the need for food banks is Will he retract that claim? attributable to this Government. This Government spend £122 million a day just to pay the interest on the debt Huw Irranca-Davies: I am happy to say that the code that their Government left us. That is what we have to is in place, and that happened while the Labour party spend before we even pay off the debt. was in government. I agreed with the hon. Gentleman when he said last September: Luciana Berger: Will the Minister give way? “Every week the government fails to act, farmers are finding themselves in more difficulty.” Richard Benyon: No, I will not give way. So let us get on with it. The motion is almost entirely consumed with statements We do not want bluff and bluster; we do need action. about the introduction of the groceries code adjudicator. As my hon. Friend the Member for Wakefield (Mary We agree on the importance of introducing an adjudicator. Creagh) said, we ignore the perfect storm of rising That is why we have published a draft Bill and are prices, falling incomes and food poverty at our peril. I getting on with putting it in place. What is rather more urge the House to support the motion. puzzling is the position of the Opposition, who wasted 13 years without introducing the adjudicator, even though 6.48 pm they knew that power was shifting from the suppliers to The Parliamentary Under-Secretary of State for the retailers and had received evidence on that. Despite Environment, Food and Rural Affairs (Richard Benyon): that, they criticise this Government for not having I compliment my hon. Friend the Member for St Ives completed the process in 18 months. (Andrew George), who bowled the hon. Member for The motion refers to “delays”. The only element of Ogmore (Huw Irranca-Davies) and hit the middle stump, delay is in the motion itself, which demands that the showing the paucity of the motion. I offer advice to the adjudicator be introduced in the next Parliament. The hon. Gentleman and his colleagues—they simply cannot hon. Member for Ogmore explained that that was a support the wording in the motion. It is a sign of drafting error. In that case, he must tell Members not to desperation to pray in aid somebody who has not been support the motion. Any Member who supports it is in the House for 15 years when referring to Conservative showing a paucity of ambition, because it means that or any other policy. they want the adjudicator to be introduced early in the It is clear from this afternoon’s debate that Members next Parliament. The hon. Gentleman will have to on both sides of the House take seriously the challenges withdraw the motion. That is the only thing to do. The posed by food price inflation. It is also clear that down hon. Member for Wakefield (Mary Creagh) might want the years Governments of different complexions have seen to wait until after the next general election to introduce varying degrees of price volatility. Of course I agree the adjudicator, but the coalition has no such intention. with hon. Members on both sides that wonderful work We will carry on with the work in hand and bring it in is done by charities and other organisations to support during this Parliament. people on low incomes. That has always been the case. Aside from the rather narrow focus on the adjudicator, But please can we not pretend that in some parallel there has been a series of interesting and useful contributions universe those charities were all forced into action on 6 on the work that can be done to mitigate food prices. I May 2010 and that their existence is totally the result of pay great tribute to my hon. Friend the Member for the coalition Government? That is such a puerile and South Thanet (Laura Sandys) and wish her social enterprise facile argument. Let us have a mature debate. I hope to well. It sounds like an interesting idea. I pay tribute to add some thoughts in the few moments that I have. my hon. Friend the Member for Thirsk and Malton Some Opposition Members have sought to ascribe (Miss McIntosh), who made some interesting comments the responsibility for high prices to the coalition. Clearly, about the social impact of the threat of high food that is undermined by the fact that food prices were prices. I confirm for her that the groceries code adjudicator 81 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 82 will consider anonymous submissions. She talked in I believe that the House is united in its concern for particular about the fruit and vegetable sector. Those those who struggle to manage their food bills. That is as suppliers can approach the groceries code adjudicator it should be. However, this debate has laid bare the anonymously. absence of any ideas from the Opposition. That is in The hon. Member for Llanelli (Nia Griffith) asked marked contrast to the practical steps that the coalition when the groceries code adjudicator would be introduced. is taking to help hard-pressed families up and down the I hope that we have answered her question. The draft country. On that basis, the motion should be rejected. Bill is available. I cannot second guess what will be in Question put, the Queen’s Speech. I would be in trouble if I did. The House divided: Ayes 223, Noes 293. My hon. Friend the Member for Congleton (Fiona Division No. 435] [6.58 pm Bruce) spoke about local and home-grown food. I pay tribute to what is happening in her constituency. My AYES hon. Friend the Member for St Ives was absolutely on Abbott, Ms Diane Dowd, Jim target. He sought, as I do, cross-party consensus because Abrahams, Debbie Doyle, Gemma on these issues this House sometimes produces more Ainsworth, rh Mr Bob Dromey, Jack heat than light. If we look at the matter in detail, we see Alexander, rh Mr Douglas Dugher, Michael that there is a lot more that we agree on than that Ali, Rushanara Eagle, Ms Angela separates us. Allen, Mr Graham Eagle, Maria The Government are hugely supportive of food banks Ashworth, Jonathan Edwards, Jonathan and other organisations that work to open up access to Bailey, Mr Adrian Efford, Clive Bain, Mr William Elliott, Julie food. The coalition Government have been clear from Balls, rh Ed Ellman, Mrs Louise the outset about the importance that they attach to Barron, rh Mr Kevin Evans, Chris third sector and civic activity. The success of many Bayley, Hugh Farrelly, Paul organisations in this area demonstrates why we are right Beckett, rh Margaret Field, rh Mr Frank to work hand in glove with them in delivering social Begg, Dame Anne Fitzpatrick, Jim solutions. Bell, Sir Stuart Flello, Robert This debate has demonstrated the extent to which Benn, rh Hilary Flint, rh Caroline food price inflation is shaped by an intricate matrix of Berger, Luciana Francis, Dr Hywel Blackman-Woods, Roberta Gapes, Mike interrelated global circumstances. To stand here and Blears, rh Hazel Gardiner, Barry pretend that the Government can step in and bring Blenkinsop, Tom Gilmore, Sheila down food prices at a stroke would be disingenuous. Blomfield, Paul Glass, Pat The Government can put measures in place to ameliorate Blunkett, rh Mr David Glindon, Mrs Mary the worst effects of food price inflation, which we are Bradshaw, rh Mr Ben Godsiff, Mr Roger doing through measures such as our continued support Brennan, Kevin Goggins, rh Paul for Healthy Start and other schemes. One of the biggest Brown, Lyn Goodman, Helen determinants of food price is global and domestic supply, Brown, rh Mr Nicholas Greatrex, Tom and this Department has put farming and food production Brown, Mr Russell Green, Kate at the heart of its business plan. Whether it is in Burden, Richard Greenwood, Lilian stripping away the needless bureaucracy that has swamped Burnham, rh Andy Griffith, Nia farmers, developing a strategy for balancing the needs Campbell, Mr Alan Gwynne, Andrew of greater food production with protecting our environment, Campbell, Mr Ronnie Hain, rh Mr Peter Caton, Martin Hamilton, Mr David or helping to fund innovation and increased competitiveness, Chapman, Mrs Jenny Hamilton, Fabian this Government are highly attuned to the need to Clark, Katy Hanson, rh Mr David increase high-quality food production domestically. Clarke, rh Mr Tom Harman, rh Ms Harriet My right hon. Friend the Secretary of State is personally Clwyd, rh Ann Harris, Mr Tom driving a great deal of work with other countries to help Coaker, Vernon Havard, Mr Dai to meet the food supply challenges set out in the Foresight Coffey, Ann Healey, rh John report. We are investing time and energy to ensure Cooper, Rosie Hendrick, Mark Corbyn, Jeremy Hepburn, Mr Stephen that we are working hand in glove with others on that Creagh, Mary Hillier, Meg important challenge. Understandably, the effects of that Creasy, Stella Hilling, Julie will take time to be felt. Cruddas, Jon Hodge, rh Margaret The fact is that there is no silver bullet. The Opposition Cryer, John Hodgson, Mrs Sharon should know better than to pretend that the adjudicator Cunningham, Alex Hoey, Kate will be the cure-all for hard-pressed families. What Cunningham, Mr Jim Hopkins, Kelvin families need now is for the Government to deliver real Cunningham, Tony Howarth, rh Mr George Curran, Margaret Hunt, Tristram help right now to get living costs down to a manageable Darling, rh Mr Alistair Irranca-Davies, Huw level. To that end, the Opposition should support freezing David, Mr Wayne James, Mrs Siân C. the council tax, cutting fuel duty, cutting income tax for Davidson, Mr Ian Jamieson, Cathy 25 million people, extending free child care, increasing Davies, Geraint Jarvis, Dan the child tax credit, taking action on energy prices and De Piero, Gloria Johnson, rh Alan many other measures. They were strangely silent on Denham, rh Mr John Johnson, Diana those measures throughout the debate. That is the Dobson, rh Frank Jones, Graham programme that the coalition Government will continue Docherty, Thomas Jones, Helen to deliver in parallel with our work to increase food Donohoe, Mr Brian H. Jones, Mr Kevan security and keep food prices down. Doran, Mr Frank Jones, Susan Elan 83 Food Prices and Food Poverty23 JANUARY 2012 Food Prices and Food Poverty 84

Jowell, rh Tessa Reynolds, Jonathan Bray, Angie Glen, John Joyce, Eric Riordan, Mrs Linda Brazier, Mr Julian Goldsmith, Zac Kaufman, rh Sir Gerald Robertson, Angus Bridgen, Andrew Goodwill, Mr Robert Keeley, Barbara Robinson, Mr Geoffrey Brine, Steve Gove, rh Michael Kendall, Liz Rotheram, Steve Brokenshire, James Graham, Richard Khan, rh Sadiq Roy, Mr Frank Brooke, Annette Grant, Mrs Helen Lammy, rh Mr David Roy, Lindsay Bruce, Fiona Gray, Mr James Lavery, Ian Ruane, Chris Bruce, rh Malcolm Grayling, rh Chris Lazarowicz, Mark Ruddock, rh Dame Joan Buckland, Mr Robert Green, Damian Leslie, Chris Sarwar, Anas Burley, Mr Aidan Greening, rh Justine Lewis, Mr Ivan Seabeck, Alison Burns, Conor Gummer, Ben Lloyd, Tony Sharma, Mr Virendra Burns, rh Mr Simon Gyimah, Mr Sam Llwyd, rh Mr Elfyn Sheerman, Mr Barry Burrowes, Mr David Halfon, Robert Long, Naomi Shuker, Gavin Burstow, Paul Hames, Duncan Love, Mr Andrew Simpson, David Burt, Alistair Hammond, Stephen Lucas, Ian Skinner, Mr Dennis Byles, Dan Hancock, Matthew Mactaggart, Fiona Slaughter, Mr Andy Campbell, rh Sir Menzies Harper, Mr Mark Mahmood, Mr Khalid Smith, rh Mr Andrew Carmichael, rh Mr Alistair Harris, Rebecca Malhotra, Seema Smith, Angela Carmichael, Neil Hart, Simon Marsden, Mr Gordon Smith, Nick Carswell, Mr Douglas Harvey, Nick McCann, Mr Michael Smith, Owen Chishti, Rehman Haselhurst, rh Sir Alan McCarthy, Kerry Spellar, rh Mr John Clark, rh Greg Hayes, Mr John McClymont, Gregg Straw, rh Mr Jack Clarke, rh Mr Kenneth Heath, Mr David McDonagh, Siobhain Stringer, Graham Clifton-Brown, Geoffrey Heaton-Harris, Chris McDonnell, John Stuart, Ms Gisela Coffey, Dr Thérèse Hemming, John McFadden, rh Mr Pat Sutcliffe, Mr Gerry Collins, Damian Henderson, Gordon McGovern, Jim Tami, Mark Colvile, Oliver Hinds, Damian McGuire, rh Mrs Anne Thomas, Mr Gareth Cox, Mr Geoffrey Hoban, Mr Mark McKechin, Ann Thornberry, Emily Crabb, Stephen Hollingbery, George McKenzie, Mr Iain Timms, rh Stephen Crockart, Mike Hollobone, Mr Philip McKinnell, Catherine Trickett, Jon Crouch, Tracey Holloway, Mr Adam Meacher, rh Mr Michael Turner, Karl Davey, Mr Edward Hopkins, Kris Mearns, Ian Twigg, Derek Davies, David T. C. Horwood, Martin Michael, rh Alun Twigg, Stephen (Monmouth) Howarth, Mr Gerald Miliband, rh David Umunna, Mr Chuka Davies, Glyn Howell, John Miliband, rh Edward Vaz, rh Keith Davies, Philip Hughes, rh Simon Miller, Andrew Vaz, Valerie Davis, rh Mr David Huhne, rh Chris Mitchell, Austin Walley, Joan de Bois, Nick Hunt, rh Mr Jeremy Moon, Mrs Madeleine Watson, Mr Tom Dinenage, Caroline Huppert, Dr Julian Morden, Jessica Watts, Mr Dave Djanogly, Mr Jonathan Hurd, Mr Nick Morrice, Graeme (Livingston) Weir, Mr Mike Dorrell, rh Mr Stephen Jackson, Mr Stewart Morris, Grahame M. Whiteford, Dr Eilidh Dorries, Nadine James, Margot (Easington) Whitehead, Dr Alan Doyle-Price, Jackie Javid, Sajid Mudie, Mr George Williams, Hywel Drax, Richard Jenkin, Mr Bernard Murphy, rh Mr Jim Williamson, Chris Duddridge, James Johnson, Gareth Murray, Ian Wilson, Phil Duncan, rh Mr Alan Johnson, Joseph Nandy, Lisa Winnick, Mr David Duncan Smith, rh Mr Iain Jones, Andrew O’Donnell, Fiona Winterton, rh Ms Rosie Dunne, Mr Philip Jones, Mr David Onwurah, Chi Wishart, Pete Ellis, Michael Jones, Mr Marcus Ellwood, Mr Tobias Kawczynski, Daniel Owen, Albert Woodcock, John Pearce, Teresa Elphicke, Charlie Kelly, Chris Wright, David Perkins, Toby Eustice, George Kirby, Simon Wright, Mr Iain Pound, Stephen Evans, Graham Knight, rh Mr Greg Raynsford, rh Mr Nick Tellers for the Ayes: Evans, Jonathan Kwarteng, Kwasi Reeves, Rachel Yvonne Fovargue and Evennett, Mr David Laing, Mrs Eleanor Reynolds, Emma Nic Dakin Fabricant, Michael Lancaster, Mark Farron, Tim Lansley, rh Mr Andrew NOES Featherstone, Lynne Laws, rh Mr David Field, Mark Leadsom, Andrea Adams, Nigel Beith, rh Sir Alan Foster, rh Mr Don Lee, Jessica Aldous, Peter Benyon, Richard Fox,rhDrLiam Lee, Dr Phillip Alexander, rh Danny Beresford, Sir Paul Francois, rh Mr Mark Leech, Mr John Amess, Mr David Berry, Jake Freeman, George Lefroy, Jeremy Andrew, Stuart Bingham, Andrew Freer, Mike Leslie, Charlotte Arbuthnot, rh Mr James Birtwistle, Gordon Fullbrook, Lorraine Letwin, rh Mr Oliver Bacon, Mr Richard Blackwood, Nicola Fuller, Richard Lewis, Brandon Baker, Steve Blunt, Mr Crispin Garnier, Mr Edward Lilley, rh Mr Peter Baldwin, Harriett Bone, Mr Peter Garnier, Mark Lopresti, Jack Barclay, Stephen Bottomley, Sir Peter Gauke, Mr David Lord, Jonathan Barker, Gregory Bradley, Karen George, Andrew Loughton, Tim Baron, Mr John Brady, Mr Graham Gibb, Mr Nick Luff, Peter Barwell, Gavin Brake, rh Tom Gillan, rh Mrs Cheryl Lumley, Karen 85 Food Prices and Food Poverty 23 JANUARY 2012 86

Macleod, Mary Russell, Sir Bob Youth Unemployment and Bank Bonuses Main, Mrs Anne Sanders, Mr Adrian May, rh Mrs Theresa Scott, Mr Lee Maynard, Paul Shapps, rh Grant Mr Deputy Speaker (Mr Nigel Evans): Before I call McCartney, Jason Sharma, Alok the first speaker, may I say to both Front Benchers that McCartney, Karl Shelbrooke, Alec a large number of Back Benchers have signified that McIntosh, Miss Anne Shepherd, Mr Richard they wish to take part in the debate? I ask them for some McLoughlin, rh Mr Patrick Simpson, Mr Keith time constraint in their opening speeches to allow as McPartland, Stephen Skidmore, Chris many Back Benchers as possible an opportunity to McVey, Esther Smith, Miss Chloe speak. Mensch, Louise Smith, Henry Menzies, Mark Smith, Julian 7.13 pm Mercer, Patrick Smith, Sir Robert Metcalfe, Stephen Soames, rh Nicholas Rachel Reeves (Leeds West) (Lab): I beg to move, Miller, Maria Soubry, Anna That this House notes with concern that unemployment has Mills, Nigel Spelman, rh Mrs Caroline risen to its highest level for 17 years, youth unemployment has Milton, Anne Spencer, Mr Mark now reached a record level of 1.04 million and the number of Mitchell, rh Mr Andrew Stanley, rh Sir John young people claiming jobseeker’s allowance for over six months Moore, rh Michael Stevenson, John has more than doubled since January 2011; believes that cutting Mordaunt, Penny Stewart, Bob spending and raising taxes too far and too fast has choked off the Morris, Anne Marie Stewart, Iain recovery and pushed up unemployment and that it was a mistake Mosley, Stephen Stewart, Rory for the Government to abolish the Future Jobs Fund; recognises Mowat, David Streeter, Mr Gary that rising unemployment and the Government’s failing welfare Mulholland, Greg Stride, Mel to work programmes are leading to a higher benefits bill, which is Mundell, rh David Stuart, Mr Graham contributing to the £158 billion of additional borrowing announced in the Autumn Statement; further notes reports that multi-million Munt, Tessa Stunell, Andrew pound bank bonuses are set to be paid out this year, even in banks Murray, Sheryll Sturdy, Julian where the share price has almost halved; and in view of the most Murrison, Dr Andrew Swales, Ian recent figures on unemployment, calls on the Government to take Neill, Robert Swayne, rh Mr Desmond urgent action to kickstart the economy to promote jobs and Newmark, Mr Brooks Syms, Mr Robert growth and to reconsider its refusal to introduce a tax on bankers’ Newton, Sarah Tapsell, rh Sir Peter bonuses this year, in addition to the permanent bank levy, to fund Nokes, Caroline Thurso, John 100,000 jobs for young people. Norman, Jesse Timpson, Mr Edward We have called the debate to raise the alarm on a Nuttall, Mr David Tomlinson, Justin O’Brien, Mr Stephen Tredinnick, David crisis that is now on the verge of becoming a national Offord, Mr Matthew Truss, Elizabeth disgrace—the disgrace of a few getting rewarded for Ollerenshaw, Eric Turner, Mr Andrew failure while many more pay the heavy cost of the Opperman, Guy Uppal, Paul failure of the Government’s economic policies. However, Ottaway, Richard Vaizey, Mr Edward the motion is not just a critique. It is also a call for Parish, Neil Vara, Mr Shailesh action, a reminder to the Government that, despite the Patel, Priti Vickers, Martin damage that has already been done, they still have a Penning, Mike Villiers, rh Mrs Theresa choice. There is an alternative—Labour’s five-point plan Penrose, John Walker, Mr Robin for jobs and growth could get people back into work, Perry, Claire Ward, Mr David get our economy moving and get the deficit down in a Phillips, Stephen Watkinson, Angela balanced and sustainable way. Pickles, rh Mr Eric Weatherley, Mike Pincher, Christopher Wharton, James Every hon. Member who is present will have met Poulter, Dr Daniel White, Chris victims of the unemployment crisis in their own Pritchard, Mark Wiggin, Bill constituency. They are families devastated by the arrival Pugh, John Willetts, rh Mr David of the dreaded redundancy letter and afraid of what the Raab, Mr Dominic Williams, Mr Mark future will bring, and parents determined to do the Randall, rh Mr John Williams, Stephen right thing and provide for their children but unable to Reckless, Mark Willott, Jenny make ends meet. Redwood, rh Mr John Wilson, Mr Rob Rees-Mogg, Jacob Wollaston, Dr Sarah Matthew Hancock (West Suffolk) (Con): The hon. Reevell, Simon Wright, Jeremy Lady mentions unemployment in Members’ constituencies. Reid, Mr Alan Wright, Simon Does she recognise that, based on the claimant count, Rifkind, rh Sir Malcolm Young, rh Sir George Robertson, Hugh unemployment in Leeds West has fallen by 106 since the Zahawi, Nadhim Robertson, Mr Laurence election? Which of the Government’s policies would she Rogerson, Dan Tellers for the Noes: recommend as being to blame for that? Rosindell, Andrew Greg Hands and Ruffley, Mr David Mark Hunter Rachel Reeves: Youthunemployment in my constituency, like in most of our constituencies, is rising fast, whereas Question accordingly negatived. it was falling at the time of the last election. Nadhim Zahawi (Stratford-on-Avon) (Con): May I share with the hon. Lady the figures in her own constituency? Youthunemployment rose by 625 between 2005 and 2010, which was a 103% rise, yet rose by 25 between 2010 and 2011, which was a 2% rise. Can she explain why it rose so much between 2005 and 2010? 87 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 88 Bonuses Bonuses Rachel Reeves: The hon. Gentleman might be aware few hundred senior employees amounting to hundreds of the global financial crisis that took place. Between of thousands, even millions of pounds in another multi- 1997 and the start of the financial crisis, unemployment billion pound bonus season. and youth unemployment were falling in my constituency The Opposition believe in rewarding hard work and and nationally, and at the time of the last general encouraging enterprise that contributes to the prosperity election unemployment was falling. Now, it is rising. of the economy, but this is about fairness, responsibility Government Members are in denial about what is and proportion. It is about the difference between rewards happening. The reality is that, over the past year, long- for success and rewards for failure. term youth unemployment has more than doubled. It is a reality that the Opposition recognise and would When millions of families are struggling to find work, do something about, whereas Government Members businesses are having their loan applications turned ignore it. down and banks are continuing to rely on taxpayers’ hard-earned money for their very survival, the vast majority of people in all our constituencies find the idea Toby Perkins (Chesterfield) (Lab): Is it not clear that of such sums being paid to a small number of individuals what we have heard in the first moment or two of this unacceptable. People rightly feel that we did not bail debate is Conservative Members saying, “It’s all right, out the banking system to perpetuate a business-as-usual everything’s going great”? We have record youth model or to pay big bonuses when ordinary workers are unemployment, and all we hear from Government Members losing jobs. Surely we bailed out the banks to protect is laughter and complacency. the businesses and families that depend on banks serving and supporting the wider economy. Rachel Reeves: I think many of our constituents watching this debate will say exactly that. The Government are in denial. Youth unemployment is at a record high, Mr John Redwood (Wokingham) (Con): Will the hon. and Government Members say, “There’s not a problem. Lady explain why Labour Ministers accepted and approved We don’t need to do anything about it. Everything is such grotesque contracts for RBS, so that they now fine.” That is not the reality for our constituents. personify payment for failure?

Mr David Winnick (Walsall North) (Lab): Even if Rachel Reeves: We introduced a bank bonus tax to this is a laughing matter for the Government, it certainly get some money back from the banks. The Government is not for us. My constituency has among the highest refused to go ahead with it and, instead, gave the banks levels of youth unemployment. It is a tragedy—there is a tax cut this year. That is not acceptable, and that is no other way to describe it—when young people are what the motion is about. simply unable to find work. I have been in touch with Jobcentre Plus, and there is no doubt about the difficulties While banks seemingly return to the business-as-usual and hardships for such young people. Yet for the model, aided and abetted by the current Government, Government, it is a laughing matter. last week the Office for National Statistics published another set of dreadful unemployment numbers. Total unemployment is now at its highest since the summer of Rachel Reeves: My hon. Friend speaks for the many 1994. Women’s unemployment is the highest it has been families and young people in all our constituencies who since autumn 1987. Youth unemployment is now the are experiencing a crisis, and I give him credit for highest since comparable records began. The number of recognising their challenges. young people claiming jobseeker’s allowance for six months or more has doubled in just 12 months. Andrea Leadsom (South Northamptonshire) (Con): Does the hon. Lady feel at all positive about the Those figures on their own are shocking enough and Government’s steps to create new apprenticeships for should be sufficient to end all debate and drive the young people to get them into real jobs that will endure? Chief Secretary and the Minister of State, Department for Work and Pensions, the right hon. Member for Rachel Reeves: The reality is that the Office for Budget Epsom and Ewell (Chris Grayling), to urgent action. Responsibility has examined all the Government’s plans However, most worrying is the fact that, on every measure, and predicts that unemployment will continue to rise all and according to every forecast and to the Government’s the way through this year, and the OECD predicts that Office for Budget Responsibility, unemployment is set it will rise next year as well. That is their verdict on the not to fall, but to get worse. Government’s economic policy. The Office for Budget Responsibility’s projection, alongside last year’s autumn statement, showed Several hon. Members rose— unemployment rising to 2.8 million this year. The OECD expects unemployment to rise to 9% in 2013. If Rachel Reeves: I will make a little progress, because unemployment continues to rise at the rate that it has we know that many Members want to speak. I will try done in the past six months, it will reach 3 million this to give way again later. summer. The economy may well be headed back to Although many of our constituents are very fearful recession—we will hear the grim reality on Wednesday. about the future, not everyone is looking to the future However, it is clear that, although the situation is with fear and trepidation—not for all the question of now perilously close to tipping point, and the Government’s how their money will last until the end of the month, or failures are mounting, they could still take action. Yet whether they can afford to heat their homes and eat since taking office in 2010, the backfiring of their three meals a day. For the past week, we have been attempts to cut too far and too fast has added a shocking hearing stories of banks preparing to pay bonuses to a £158 billion in extra borrowing. 89 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 90 Bonuses Bonuses Meg Hillier (Hackney South and Shoreditch) (Lab/ with? After a 40% rise in youth unemployment under Co-op): Does my hon. Friend agree that the growing trend the previous Government, some humility is required on of extended unemployment—more than six months—for both sides of the House, but not least on hers. young people creates the real worry that we will have a lost generation unless the Government act? Rachel Reeves: Unemployment has reached 3 million twice, both times under Conservative Governments. At Rachel Reeves: My hon. Friend is right that long-term the last election, unemployment was falling; today, it is youth unemployment has a scarring effect, which affects rising. more and more people throughout the country. It is similar to the situation in the early 1980s and early Mr Stuart: That is because we are clearing up your mess. 1990s—the last twice a Conservative Government presided Rachel Reeves: In the 1980s and early 1990s, over a recession. unemployment reached 3 million. Was that because With more people out of work and fewer businesses Conservative Governments were clearing up a Labour succeeding, the Government end up paying out more in mess? Really? I think it was because of the policies that benefits and getting less in through taxes. They are Conservative Governments always pursue—policies that filling that gap with the £158 billion more borrowing. hurt young people and put more people out of work. The inheritance that that leaves for the next Government That is the reality of Conservative Governments. will mean more tough decisions about taxation and Labour Members are not complacent. We do not say spending—the unnecessary and avoidable cost of the that it is inevitable, that it has got to happen and that Government’s failure. 3 million unemployed is a price worth paying. Labour Members are not prepared to give up on young people Mrs Madeleine Moon (Bridgend) (Lab): Unemployment and we urge the Government not to give up on them, among all 16 to 24-year-olds on jobseeker’s allowance either. in the Bridgend constituency is 8.8%. Would one way forward be to grant a one-year national insurance holiday, In the coalition agreement, the Government said that so that small business could take on young people, give a fundamental goal would be to them employment and the opportunity to experience work? “sustain the recovery and to protect jobs.” Before the election, the Prime Minister told voters that Rachel Reeves: My hon. Friend is exactly right. That jobs would be his top priority. He said: is why, as part of Labour’s five-point plan for jobs and “I understand if you leave people unemployed, and short term growth, we include a national insurance holiday for all unemployment becomes long term, then it becomes a lifetime of small businesses taking on new workers—a policy that unemployment. It’s a waste of life. I must stop it happening.” would help small businesses and the more than 1 million He was right then, but he does nothing now. The Deputy young people who are desperately searching for work. Prime Minister said earlier this month that “supporting people into work is my priority for 2012”. Elizabeth Truss (South West Norfolk) (Con): Does He is right, yet he does nothing. the hon. Lady accept responsibility for the failure to skill up our young people to take on jobs? For example, We must—and we will—hold the Government to after the Labour party’s 13 years in office, we had the their promises because we cannot allow the next generation smallest proportion of 16 to 18-year-olds studying maths to be denied the chance of expanded opportunities that of any OECD country. has always been the promise of Britain. Margot James (Stourbridge) (Con): Will the hon. Rachel Reeves: People are not getting jobs at the Lady acknowledge that long-term youth unemployment moment not because they do not have skills but because is falling—and, indeed, has fallen by 5%? Will she also the jobs are not available. In all our constituencies, five acknowledge that half a million new jobs have been or 10 people are chasing every job. That is why created in the private sector in the past year? Currently, unemployment is rising. Until the Government take there are 90,000 vacancies in retail, 44,000 in hospitality responsibility for that, the numbers will get worse, not and 11,000 in construction. What matters is that the better. Government, through the Work programme and so The price that families struggling with the consequences many other interventions, are maximising the skills and of redundancy and young people forced to abandon training for young people to get them into work. their career plans pay is incalculable. We cannot go on like that. Maybe some hon. Members—we have already Rachel Reeves: In the hon. Lady’s constituency, long-term heard from many of them—greet the prospect of rising youth unemployment has gone up by 25% in the past unemployment with a degree of fatalism, perhaps few months. I do not know what she says to her resignation. They may feel that the punishment being constituents—“There’s loads of jobs out there. Just go inflicted on innocent families and young people is the and get one”? More people are chasing jobs than there sad but inevitable consequence of austerity and economic are jobs available. That is because the Government are adjustment. Indeed, as I said earlier, there is a grim pushing more and more people out of work. I am sorry familiarity about the figures, which bear a depressing that the hon. Lady does not know the numbers for her resemblance to the record of previous Conservative constituency, but we know. Governments. Charlie Elphicke (Dover) (Con): The hon. Lady talked Mr Graham Stuart (Beverley and Holderness) (Con): about the scarring effect of the fast-buck culture. Will The hon. Lady talks about a grim familiarity. Does she she condemn the right hon. Member for South Shields acknowledge that every Labour Government in history (David Miliband) for taking a consultancy with private ended with higher unemployment than they started equity? 91 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 92 Bonuses Bonuses Rachel Reeves: I will not condemn my right hon. I hope we will not hear the usual hand-wringing— Friend for taking a job. I am talking about the reality of although I might have to give up that hope—or the the challenge that people in our constituencies face. usual shoulder-shrugging or blame-shifting. The jobs More and more people are out of work. We should crisis is not a fact of life or a force of nature, and the listen to them. They are saying that they are getting Government cannot play the innocent bystander, as degrees, A-levels and vocational qualifications but that they have tried to do. The jobs crisis is a result of the they cannot find work. As I have said, many would be choices they have made. They chose to cut too far and shocked that many MPs say, “That’s just inevitable—it’s too fast; to abolish employment programmes that were just what happens, and nothing can be done about it.” working; and to destroy job opportunities in both public That is not acceptable. Our constituents see unemployment and private sectors. rising. The House should be taking action to address that challenge. Mark Pritchard (The Wrekin) (Con): The hon. Lady approaches such matters very thoughtfully indeed, and Sheila Gilmore (Edinburgh East) (Lab): I would have as a future Labour leader I would expect nothing else of intervened earlier, but I was trying to work out the her, much to the shock and horror of the shadow arithmetic of Government Members. We are constantly Chancellor. told that 500,000 jobs were created last year, but we have been told about them for the past 20 months. Does Does the hon. Lady accept that the economy needs to my hon. Friend agree that Government Members cannot be rebalanced and that we need more tax producers constantly refer to those same jobs, which were largely than tax consumers? Surely we can all agree on that. the result of the stimulus applied by the previous Labour Government? Rachel Reeves: I am not sure how the Government will rebalance the economy by throwing more people on Rachel Reeves: I agree with my hon. Friend. We have the scrapheap. Perhaps the hon. Gentleman and I will look only at the forecasts from, for example, the independent just have to disagree, but that does not seem to me to be OBR, which says that unemployment will continue to the way to rebalance the economy and to get it growing rise this year, or at the OECD numbers, which say that again. unemployment will continue to rise into 2013. That is Despite the Government’s mistakes, they still have the reality. choices open to them. I am sure we will hear the Chief Secretary to the Treasury and others defend the Government’s inaction Susan Elan Jones (Clwyd South) (Lab): None of the and talk about their various half-baked and half-hearted automated Government Members mentions the VAT solutions. We look forward to hearing a report on the tax bombshell, because they must know in their heart of progress of those initiatives, and in particular what hearts the absolute disgrace of the VAT increase for difference the Government expect them to make to small companies. Does my hon. Friend agree that when future unemployment. As I have said, the OBR has said Labour Members speak of a VAT cut for home that there is no reason for it to revise its unemployment improvements, we are speaking up for jobs in construction projections as a result of the Government’s measures. in a way that some Government Members will never The Government’s response is inadequate for the understand? scale of the challenge. When the Prime Minister was challenged last week on his performance on unemployment, all he could do was admit with regret that youth Rachel Reeves: The cut in VAT to 17.5% is part of unemployment is a problem. However, the Opposition Labour’s five-point plan for jobs and growth. It would are asking the Government not simply to acknowledge put £450 in the pockets of an average family, which is they have a problem—we all know that—but to do desperately needed to help people who are struggling something about it. The Prime Minister says he takes with the rising cost of living—the rising train, energy responsibility for everything that happens in our economy, and petrol prices. but taking responsibility means taking action. We have rising unemployment and excessive bank bonuses, but it does not have to be that way. While Claire Perry (Devizes) (Con): Unemployment in my millions of families up and down the country struggle constituencyiscreepingupwardsandlong-termunemployment with the effects of redundancy and millions of young is coming down, but in both my constituency and the people lose the hope of fulfilling their potential, very hon. Lady’s constituency apprenticeship starts are increasing little is being asked of those with the broadest shoulders. at an incredibly rapid rate. Can she and I agree on one Despite his pre-election promises to tackle the bonus thing: that the best way to get young people into work is culture, the Prime Minister will not take the measures to get them such opportunities with the private sector, recommended by the High Pay Commission to make a and relentlessly to support them, as this Government difference. Despite the Government’s call for more are doing? shareholder activism and engagement as a check on excessive remuneration, they wash their hands of the reported decision to award more than £1 million to the Rachel Reeves: I expect the hon. Lady’s constituents, chief executive of RBS, in which they are a major like mine, regret that the Government cancelled the shareholder. future jobs fund, which was helping young people back to work. Since that cancellation, long-term youth unemployment in her constituency has gone up not just Mr James Gray (North Wiltshire) (Con): Will the by a little bit, but by 36%. That is the reality that her hon. Lady express some degree of regret, because bank constituents face day in, day out. bonuses under this Government are 40% lower than 93 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 94 Bonuses Bonuses they were under the previous one? She must tell the Stuart Andrew (Pudsey) (Con): The hon. Lady talks House who it was who gave Sir Fred Goodwin his about cuts to Leeds city council, but does she not knighthood. remember that it was her Government who took away neighbourhood funding, stripping the city council of Rachel Reeves: The Leader of the Opposition has £118 million and, funnily enough, giving the money to said that the knighthood for Fred Goodwin was not Sedgefield? warranted, but I do not remember hearing Conservative Members saying that he should not get a knighthood Rachel Reeves: In Pudsey, which is my next-door when it was awarded. constituency, long-term youth unemployment has increased Bank bonuses were taxed at 50% in the last year of by more than 20% in the last few months. I am sure that the Labour Government. That brought in £3.5 billion, the hon. Gentleman will agree that the cuts that Leeds which was used to help to support families and to city council is having to endure over the next few years support young people back to work. Unlike Labour, are out of all proportion to any reduction in the which introduced a tax on bank bonuses, the Government neighbourhood grant under the Labour Government. are introducing a tax cut for banks this year. That tax His constituents and mine are the people paying the cut is unwarranted and unjustified as unemployment price. and youth unemployment continue to rise. I hope that we can show in this debate that the House The Opposition proposal is simple. While banks are is in touch with the problems of those who are paying still not doing their job—they are not supporting jobs the highest price for the failure of this Government’s or growth—the Government must step in to ensure that policies. Hon. Members will know from their own resources are put to better use. A 50% tax on bank constituencies the heart-breaking stories behind some bonuses above £25,000 would, on a cautious estimate, of the statistics that we have already gone through raise enough revenue to support the creation of 100,000 jobs today, and I am sure that we will hear some of those for young people. stories in the debate this evening. Most of all, I hope that this debate will be focused on action—effective and We know that such a measure would work because it practical measures that can make a difference for the has worked before. Labour’s 2010 bank bonus tax raised millions at the sharp end of this crisis. The Government £3.5 billion, according the OBR. The future jobs fund, have no excuse for inaction. A tax on bank bonuses which was created by the previous Labour Government, would be fair and proportionate, and would enable us supported more than 100,000 people back into work. to address the immediate, pressing and growing challenge That is a record of which Labour Members are proud. of getting young people back into the jobs that are so By contrast, the Government have chosen a tax cut for needed. the banks and a belated, half-hearted and ineffective response to rising youth joblessness. 7.42 pm Tom Blenkinsop (Middlesbrough South and East The Chief Secretary to the Treasury (Danny Alexander): Cleveland) (Lab): My hon. Friend is making an excellent I welcome this opportunity to discuss youth unemployment speech on Labour’s proposal to create 100,000 jobs for and bank bonuses. Both matters are hugely important the young from a bankers’ bonus tax. The north-east is as we tackle this country’s extremely difficult economic bucking the national trend in manufacturing, which is circumstances. The recent youth unemployment figures in the doldrums in the rest of the nation, but 7,000 private demonstrate just how significant a challenge we face sector jobs were lost in the past three months of 2011, repairing the damage that the previous Government whereas 4,000 public sector jobs were lost. Given that inflicted on the economy, restoring growth and creating clear disparity, what does my hon. Friend make of the new jobs in the recovery. This coalition Government Prime Minister’s rhetoric on the creation of private will not let the young and the vulnerable bear the brunt sector jobs? of these difficult times, nor will we let them bear the consequences of the previous Government’s profligacy. Rachel Reeves: My hon. Friend speaks passionately Youth unemployment is not a price worth paying. about his region in the north-east, and I know he does a One thing that the shadow Chief Secretary failed to huge amount of work for businesses, young people and mention was the record of the Labour Government, families in his constituency. who oversaw a 40% rise in youth unemployment. The reality is that northern towns and cities are paying a particularly high price for this Government’s Meg Hillier rose— policies. In my city of Leeds, the local authority is losing more than 25% of its grant over the next four Danny Alexander: I will give way to the hon. Lady, years. As a result, more people are losing their jobs and and then I will make some progress. fewer services can be provided. It is people in the poorest areas who are paying the highest price for this Meg Hillier: What would the right hon. Gentleman Government’s policies. say to the young people in my constituency, where there has been a 12.5% increase in youth unemployment Several hon. Members rose— among 18 to 24-year-olds from December 2010 to December 2011, on this Government’s watch? Rachel Reeves: I will give way to the hon. Member for Pudsey (Stuart Andrew), who can perhaps try to justify Danny Alexander: I would say to them that in very the cuts in the grant to Leeds city council over the next difficult times we are doing everything we can to support four years. them. Let me tell the House what we are already doing. 95 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 96 Bonuses Bonuses David Miliband (South Shields) (Lab) rose— Sheila Gilmore: McDonald’s, which is apparently getting £10 million a year for training people in the things that Danny Alexander: Hold on. I will give way to the it normally trains them in and calls the process former Foreign Secretary, but let me make just a little apprenticeships, said in The Sunday Times yesterday bit of progress. that it had not created a single extra job with that We are already providing more apprenticeship places money. What is the Chief Secretary’s response to that? than any previous Government, with an increase of 400,000 in the last year and a commitment to 1.2 million Danny Alexander: I have visited companies around over the entire spending review period. That is at least the country, in Scotland and England, that have created 250,000 more than the previous Government’s commitment, a significant number of new jobs and new apprenticeships, although the shadow Chief Secretary seems to oppose providing a significant increase in skills. That is the that increase. As announced in the autumn statement, right way to go about it, and that is what we are trying we are also launching a new £1 billion youth contract to to do with the increase in apprenticeships. I hope that help get young people into work, so that they can learn the hon. Lady will welcome that. It is fair to say that the their trade and get equipped for their future career. apprenticeships programme and the youth contract Starting this spring, the youth contract will support up complement our Work programme, which is the biggest to 500,000 young people into education and employment payment-by-results employment programme that this opportunities. The youth contract wage subsidy is targeted country has ever seen. The Work programme will provide at employers in the private sector, creating sustainable personalised support to around 2.4 million people over private sector jobs for the long term. the next five years, helping those most at risk of long-term unemployment. Toby Perkins: The Chief Secretary talks about the previous Government’s record, but I feel as if I am Alison Seabeck (Plymouth, Moor View) (Lab): In listening to a broken record, because when we are here Plymouth we are dependent on the public sector, and to debate a motion about this Government’s policies, all we are also a garrison town. As a result of the Government’s we hear is him harking back to the last Government. defence decisions, we are seeing a lot of young men, in Will he come up with something constructive about particular, losing their positions in the services and what he is going to do for the millions of people who becoming unemployed. Those coming out of the services are unemployed and looking to him for some guidance? are relatively highly skilled, putting pressure on the few vacancies that we have in Plymouth and cutting long-term Danny Alexander: I fear that the hon. Gentleman was unemployed young people out of the market. We have planning his question so carefully that he did not listen seen a 96% increase in the long-term unemployed in to my remarks about apprenticeships or the youth Plymouth. What will this Government’s policies do for contract, which is a vast improvement on the wasteful those young people? Absolutely nothing in Plymouth. future jobs fund, which offered subsidies almost three times as high as the youth contract and funded too Danny Alexander: The youth contract, which I have many temporary jobs in the public sector. In fact, mentioned, along with the Work programme and many almost 50% of participants in that scheme were claiming other things that we are doing, will help the young benefits again within eight months of starting a future people in the hon. Lady’s constituency, and I very much jobs fund job. sympathise with the position that she has described.

David Miliband: The right hon. Gentleman quoted Mary Macleod (Brentford and Isleworth) (Con): Does the figure of 40% for the rise in youth unemployment my right hon. Friend agree that apprenticeships are an under the previous Government. It is correct that youth important part of the solution, by giving young people unemployment started rising in 2004, but the allegation the opportunity to build their skills? We have record against the current Government is that they have made numbers of apprenticeships; indeed, the number of the situation much worse. In my constituency of South them in my constituency has doubled. Shields there was a 210% increase in long-term youth unemployment in 2011 alone. That is what he has to Danny Alexander: I agree with my hon. Friend: the answer for. It is not that he invented the problem, but apprenticeship programme is a vital part of tackling his policies are making it worse. youth unemployment and lifting the skills in our work force. It is a real shame that the Opposition now seem to Danny Alexander: The Minister of State, Department be opposing the extra investment in apprenticeships for Work and Pensions, my right hon. Friend the Member that we have made. for Epsom and Ewell (Chris Grayling) will address the statistical changes that the previous Government made. Lilian Greenwood (Nottingham South) (Lab) rose— However, the right hon. Gentleman was in government during a boom, yet his Government presided over an Geraint Davies (Swansea West) (Lab/Co-op) rose— increase in youth unemployment. We are facing serious economic challenges in this country, caused in large Danny Alexander: I am going to make some progress, part by the actions of the previous Government, and we and I will give way again shortly. have to take steps to resolve those problems. Across the wider economy we are doing everything The youth contract offers young people the prospect we can to foster renewed prosperity, create new jobs of long-term private sector employment. It is a scheme across the UK and return the country to sustainable that has the full backing of the private sector. As John growth. Whether we are talking about regulation, the Cridland, director general of the CBI, has said, it strikes planning system, reducing corporate taxation, our at the “scourge of youth unemployment”. investment in infrastructure or the tax cuts that we are 97 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 98 Bonuses Bonuses delivering for low-income workers, we are putting forward involve substantial further increases in borrowing, which ambitious plans—plans that we need in these difficult would destroy this country’s economic credibility and times. the hard-won low interest rates that we have achieved. As a result of our action, we have record low bond Claire Perry rose— yields that feed through to record low interest rates, which benefit households paying mortgages and businesses Danny Alexander: I will give way in a moment. refinancing loans right across the country. Whereas our We have plans that will help to foster a recovery led bond yields are just 2.1%, those of Spain have risen to by our private sector, by entrepreneurs and by exporters, 5.5%, those of Italy remain over 6%, and those of Greece creating the kind of growth that the Opposition failed have climbed to a staggering 34%. Even a 1% rise in our to deliver in over a decade in government. We face the market interest rates would force taxpayers to find an monumental task of dealing with their legacy of extra £21 billion in debt interest payments. A 1% rise unsustainable spending and debt-fuelled consumption, in effective mortgage rates would result in an extra which left the coalition the task of dealing with the £10 billion for mortgage payments. largest peacetime deficit on record. The Opposition have had 18 months to come to terms with the mess they created, but they still do not John Cryer (Leyton and Wanstead) (Lab) rose— get it. It has taken them 18 months to move from the wrong place to all over the place. The Leader of the Geraint Davies rose— opposition called the pay freeze an Danny Alexander: I will give way in a moment. “ideological attack on the public sector”, The Opposition do not seem to realise that tackling but he now accepts it. The shadow Chief Secretary to that deficit is the vital precondition to sustainable growth. the Treasury called the uprating of pensions with the It is only by tackling the deficit that we can provide the consumer prices index an “ideologically driven move”, certainty, stability and low interest rates that are critical but it is a move that the Opposition have now accepted to a recovery. The past 18 months have seen sovereign for their party’s own pension scheme. So let us be debt downgrades across the Europe, bail-outs of the clear—financial discipline is not ideological; it is a weakest Eurozone economies, and countries racing to necessary condition for effective government. In the consolidate at the behest of the bond markets. past 10 days, members of the Labour shadow Cabinet have succeeded in proving that they cannot even convince Claire Perry: I should like to bring a local business themselves of the credibility of their economic policy. perspective to the debate. I had dinner last week with a group of people representing small businesses in the Robert Flello (Stoke-on-Trent South) (Lab): Will the Wiltshire area, all of whom said that their businesses right hon. Gentleman explain his idea of economic looked reasonable and they were thinking about hiring. stability to my constituents? In my constituency the Most importantly, they said that they had benefited long-term youth unemployment rate has risen by 162% in enormously from the economic stability that the the past year. Will he explain how his stability will affect Government had created. Has my right hon. Friend the people of Stoke-on-Trent who are losing jobs hand heard anything from the Opposition that amounts to a over fist because of his policies? coherent economic policy, or are they simply offering a wish list of chops and changes, and opposing for Danny Alexander: If the hon. Gentleman looks around opposition’s sake? Europe at the countries that have failed to tackle their deficits, he will see much more serious economic Danny Alexander: I have heard nothing coherent problems—problems of the kind that we would have from the Opposition, and I have heard nothing from the here if we followed Labour’s policies. He should start by business community in this country but support for our apologising for the mess that his party made of the economy. policies to deal with the deficit and restore this country’s economic credibility. The coalition has never shirked its John Cryer rose— responsibility to take tough and sometimes unpopular decisions to tackle the deficit and pull the country out Danny Alexander: I am going to make some progress of the hole that the previous Government dug. Because now. we did not delay, and because we took action to get ahead of the curve, we can cut the deficit on our own As the Secretary of State for Business, Innovation terms and shelter the UK from the debt storm that has and Skills outlined today, we will also take the tough engulfed our nearest neighbours. decisions to tackle excessive executive pay. At a time when millions of workers face a pay freeze or worse, Rachel Reeves: The right hon. Gentleman says that and when many businesses are confronting a difficult the Government are tackling the deficit, but will he trading environment, the highest-paid cannot be confirm how much extra borrowing there will be during disconnected from reality. That is why the Secretary of this Parliament, compared with the prediction when State announced new measures to drive through greater they took office? Is that not a cost of their failed transparency on executive pay, to empower shareholders economic policies? to deliver responsible pay, and to reform remuneration committees to break the old boys club. Danny Alexander: I can confirm that according to the It is for that same reason that the Government are latest forecast, there will be significantly increased borrowing leading efforts, domestically and internationally, to reform compared with the previous one. The hon. Lady should our banking sector fundamentally in order to protect have explained in her opening speech that her policies our competitiveness while safeguarding our stability. 99 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 100 Bonuses Bonuses [Danny Alexander] Seema Malhotra (Feltham and Heston) (Lab/Co-op): Will the right hon. Gentleman tell us how many jobs the We are abolishing the tripartite system of regulation Work programme has created? that failed so dramatically in the run-up to the last crisis, and putting the Bank of England in charge of both Danny Alexander: I cannot give the hon. Lady that micro and macro financial supervision. We are reforming information—[HON.MEMBERS: “Ah!”] I welcome her to the sector itself, as recommended by the Independent her place and congratulate her on her election. In due Commission on Banking, to safeguard the UK’s position course the Minister of State, Department for Work and as host to a world-class financial services sector without Pensions, my right hon. Friend the Member for Epsom putting UK taxpayers at risk. and Ewell (Chris Grayling) will provide that information. We have implemented a permanent bank levy to I can tell her, however, that Work programme providers ensure that banks make a fair contribution to tackling are making a difference across the country, helping the deficit, reflecting the risks that they pose to the people to come off all sorts of benefits and acquire the system while encouraging them to move away from necessary skills and support to get back into work. riskier models of funding. As we announced in the autumn statement, we have increased the levy from Toby Perkins rose— 1 January this year to ensure that it yields at least £2.5 billion a year, which is more than the amount Meg Hillier rose— yielded by the previous Government’s one-off tax on bonuses—a tax that Danny Alexander: I have already given way to the “failed to change the industry’s behaviour over pay”. hon. Gentleman and to the hon. Lady, and I want to Those are not my words, but those of the previous make some progress. Chancellor, who was responsible for the policy in the first place. Katy Clark (North Ayrshire and Arran) (Lab): The Through the Financial Services Authority’s remuneration right hon. Gentleman will be aware that while the living code, we have ensured that bonuses are deferred over at standards of those on low and medium incomes are least three years, and linked to the performance of the going down, the wealth of the super-rich is going up. employee and the firm. Through the disclosure regime, Will he give an undertaking that he will take action on we have provided more transparency than ever on pay. this issue, and that the gap between rich and poor will And while the previous Government managed to get be smaller by the next election? only four of the top 15 banks to sign up to the code of practice on taxation for banks that was introduced in Danny Alexander: The Government have taken on the 2009, we have ensured that all are signed up. issue of ensuring that the wealthiest pay a greater share, Our expectations of the banking sector are clear: to ensure that there is fairness in our deficit reduction banks should make a full and fair contribution. They plans. For example, we have increased capital gains tax must respect the spirit, not just the letter, of the law, and and put in place the new bank levy that I have mentioned. make a commitment not to use artificial schemes to We have also maintained the 50p rate of income tax. We avoid tax. The new Bank of England Financial Policy are making substantial changes to ensure that the wealthiest Committee, established as a result of this Government’s pay their fair share. reforms, has warned that in these turbulent times it is capital levels, not bonus payments, that have to be the Alec Shelbrooke (Elmet and Rothwell) (Con): On the priority. Did the hon. Member for Leyton and Wanstead point just raised in an intervention, we hear much (John Cryer) want to intervene? crowing from Opposition Members, but does my right hon. Friend think that they might persuade their former John Cryer: I wanted to intervene while the right hon. leader and Prime Minister, Tony Blair, to pay more than Gentleman was speaking earlier. £315,000 in tax on a £12 million income?

Danny Alexander: The hon. Gentleman may intervene Danny Alexander: My hon. Friend has made his now if he wishes to. point, but I do not think that it is for me to comment on the tax affairs of any individual taxpayer. John Cryer: Going back to the subject of unemployment rates, youth unemployment in my constituency has Meg Hillier: Last week the right hon. Gentleman gone up by 140% since the election. That is what is made a speech in which he talked about co-operatives, happening now, not what happened under the previous and ideas to bring them into the mainstream. When the Government. Will the Chief Secretary to the Treasury Government had the choice and opportunity to remutualise deal with the immediate issue and tell us why that is Northern Rock, why did they sell it off to a private happening? Will he also tell us whether he thinks it is a bank? Surely a mutual would have been fairer to all, price worth paying? particularly to the taxpayer, than a cheap sell-off.

Danny Alexander: As I made clear earlier, I do not Danny Alexander: I am quite confident that in that consider it to be a price worth paying. That is why the case we chose the option that was best for the taxpayer, Government are doing everything possible, through best for Northern Rock customers and best for the investment in apprenticeships, in our youth contract many hard-working people who work for Northern and in the Work programme, to ensure that there are Rock in the north-east of England. I think that was the opportunities for people. right decision on all those bases. 101 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 102 Bonuses Bonuses Toby Perkins: Will the right hon. Gentleman give circumstances from the previous Government, I wish way? that they had not left us the largest budget deficit in peacetime history, and I wish that we had not inherited Danny Alexander: No, I will not. a situation in which, as the same OBR report to which I mentioned the Financial Policy Committee of the the hon. Member for Barrow and Furness refers showed, Bank of England and its comments. That is why the the damage done to our economy by the bust was even FSA will scrutinise all proposed bonuses to make sure deeper than expected. He should probably reflect on that they are not paid at the expense of rebuilding that point, too. capital. There has already been some progress, with On bonuses, we fully expect them to fall further this levels of bonus payment down significantly.Hon. Members year and, as we approach the season, let me be clear should consider how far they have fallen. When the that this is just the start. Across the banking sector, shadow Chancellor was a City Minister in the Treasury, Labour allowed a sense of bonus entitlement to grow. bonus levels were £11.6 billion, whereas last year they In no other industry is there such a distorted culture of were almost half that, at £6.7 billion. We fully expect bonus entitlement. Following 13 years of Labour them to fall further this year. government we have come some way towards dismantling that culture in the banking sector, but we accept that we Lisa Nandy (Wigan) (Lab): May I ask the right hon. have a long way to go to make a fundamental change in Gentleman to consider one more fact before he concludes attitudes to pay. The coming bonus round provides on this subject? When youth unemployment rose under another chance for the banking sector and its shareholders the previous Government, that was largely due to increases to demonstrate leadership on pay. That message is in labour supply, but since his Government took over, already getting through. As Otto Thoresen, director the massive increases in youth unemployment have been general of the Association of British Insurers, wrote to due to a collapse in labour demand. That is why the bank chairs last December, Opposition are so desperately asking his Government “it can no longer be business as usual for this remuneration to change course. If the hon. Gentleman cares about round.” this issue, as he has said that he does, will he confirm I agree with that, and the Government will play our today that he will change course and prioritise growth part. over jobs? We have already said that for RBS and Lloyds Banking Group there will be a limit of £2,000 on cash bonuses, Danny Alexander: I am not sure that one can prioritise as we also imposed last year. growth over jobs—and that is the first explanation I have heard from the Opposition Benches of the reason Richard Fuller (Bedford) (Con): There is a lot of why youth unemployment rose during Labour’s time in consensus on both sides of the House that people who office. I do not know whether that opinion is shared by are wealthy should be looking to see what they can do those on the Front Bench. to help. Part of what the Opposition misses is the fact As I have made clear, we are prioritising tackling that one thing the Government have done—although youth unemployment. We do not want to see young they could do more—is to promote the enterprise people blighted by long-term youth unemployment as investment scheme, which gives people the opportunity they were in the 1980s. That is why the youth contract, to invest directly in small businesses. Will my right hon. our investment in apprenticeships and the Work programme Friend tell me what he is doing to promote that scheme, are all necessary to help young people back into work. and in particular, how small businesses that benefit from it can also take part in the youth contract? Several hon. Members rose— Danny Alexander: The Government have made decisions Danny Alexander: I will give way to the hon. Member to improve the benefits available through the enterprise for Barrow and Furness (John Woodcock), who has not investment scheme precisely to encourage more people intervened before. to invest in small firms in such a way. The new seed enterprise investment scheme, which we announced in John Woodcock (Barrow and Furness) (Lab/Co-op): the autumn statement, will further help new businesses The Chief Secretary is being very up-front with the to be created through that route. House about the fact that he believes that he is doing We have already said that for RBS and Lloyds Banking everything in his power to tackle youth unemployment—yet Group there will be a limit of £2,000 on cash bonuses, according to the Office for Budget Responsibility’s own as was imposed last year, and let me reiterate that the figures, unemployment is scheduled to rise in the coming bonus pool this year must be far, far lower than it was period. Does he think that that rise is inevitable? last year, and more transparent too. Tackling bank bonuses and youth unemployment is not just an economic Mr Deputy Speaker (Mr Lindsay Hoyle): I call Douglas challenge, but a challenge that is at the centre of the Alexander. coalition’s purpose, which is to promote a sustainable and responsible banking sector that puts consumers’ Danny Alexander: I do not think that he is on the need at the centre of the financial system. Government Front Bench any more, Mr Deputy Speaker. A fair account of the OBR’s forecast would also Julie Hilling (Bolton West) (Lab): Will the right hon. reflect the fact that it says that unemployment will come Gentleman give way? down to 6.2% by the end of the forecast period. That is a fair reflection of the OBR’s forecast. Of course I wish Danny Alexander: I shall give way one last time, and that we had not inherited such desperate economic then I shall finish my speech. 103 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 104 Bonuses Bonuses Julie Hilling: Is the right hon. Gentleman confirming, 8.8 pm then, that the chief executive of RBS will only get a £2,000 bonus? Mr George Mudie (Leeds East) (Lab): I want to raise three points. The hon. Member for Devizes (Claire Perry), who has left the Chamber, said that all we were Danny Alexander: I am doing no such thing, because proposing was a wish list. It is a wish list and I cannot those announcements will be made in due course. I have understand why the Government are opposing it. Regardless said that bonuses in the banks that we own will have to of how they view our performance and their performance be far lower than they were last year. The cash element on youth unemployment, not enough is being done, and of bonuses will be limited to £2,000 for all employees, the first wish in the motion is for £2 billion to be put in but of course there are other parts to bonuses, too. to help with youth unemployment. I think that is a Returning our country to prosperity has been the decent thing to have on a wish list. Secondly, we are founding purpose of the coalition Government, but in asking for that money to come from the people who our determination to restore growth, we will put fairness caused the difficulty, and that would be a very good at the very heart of our recovery, tackling gross inequity thing. in senior pay and tackling the perils of youth unemployment to ensure that young people’s prospects are not blighted I heard some of the comments directed at my hon. as those of too many were in the 1980s. Friend the Member for Leeds West (Rachel Reeves) and I think of parallel universes. I envy Government Members if they have the situation that they described in their Rehman Chishti (Gillingham and Rainham) (Con): constituencies. I have represented my constituency for Will the Chief Secretary give way? 20 years as an MP and 20 years as a councillor and it is probably in its saddest state since the ’80s, which were a Danny Alexander: No, I am going to make some desperate time. Unemployment among youngsters then progress now. was along the levels we are seeing now, and as a result A fair and sustainable recovery demands leadership, their lives were blighted and their self-esteem and confidence and that is exactly what we are providing. Labour cannot went. That situation affected families and communities, be taken seriously on the economy until it admits the and it was one of the saddest times to represent a mistakes it made when it was in power. If Labour was community. When the Labour Government came in really changing its position on the economy, the first they put in a lot of money and effort and they made a thing it would do is say sorry. Sorry for letting youth difference, but they did not finish the job and those unemployment get out of control, sorry for letting the issues remain. Communities are blighted by low self-esteem, banking sector get out of control, and sorry for letting low confidence and low ambition, and the real fear now the deficit and debt get out of—[Interruption.] is that that will be entrenched beyond any help or hope. I do not understand how anyone can abuse the shadow Mr Deputy Speaker (Mr Lindsay Hoyle): Order. Hon. Chief Secretary when she raises the issue of youth Members should calm down, as a lot of Back-Benchers unemployment, or read a speech with the kind of blandness want to speak as well. we have just heard, as though they were describing a perfect world. This is about people’s lives and their Danny Alexander: I do not think that those on the families’ lives being ruined. Opposition Front were trying to shout the apology that the country wants from them. They should say sorry, Rehman Chishti: Looking at what we are doing now, too, for letting the deficit and the country’s debt get out does the hon. Gentleman welcome the Government’s of control. Instead, all we have heard today is the pledge to put £150 million towards the creation of apology of a speech made by the shadow Chief Secretary. university technical colleges, which will improve the skills of our young people? Rachel Reeves: I wonder when the electorate might get an apology from the Liberal Democrats for trebling university tuition fees and imposing a VAT bombshell? Mr Mudie: I would rather the Government had not trebled tuition fees. I would rather that instead of spending £150 million they were taking the opportunity to raise Danny Alexander: I am sorry that the shadow Chief £2 billion to put into youth employment. This is a very Secretary did not take the opportunity to offer an serious, non-political matter and people’s lives are going apology for the terrible mess made by her party and the to be ruined unless they get urgent help. We should see Government of which the shadow Chancellor was a that as a priority, and we should have no compunction leading member. about taking that money from the people who caused It is the coalition Government who are investing in this difficulty.Governments, rating agencies and regulators skills, infrastructure and innovation to create new also played a part but the sheer greed and irresponsibility opportunities in the recovery. It is this coalition that is of the banking and financial industry takes my breath reforming a broken financial sector to entrench greater away. stability and embed long-term sustainability. It is this coalition Government alone who are determined to face up to today’s economic challenges to build tomorrow’s Jake Berry (Rossendale and Darwen) (Con): Will the fair, prosperous and sustainable economy. hon. Gentleman give way?

Several hon. Members rose— Mr Mudie: No, because I am short of time. The people who caused the difficulty earn huge salaries Mr Deputy Speaker: Order. I remind hon. Members because of gambling in the investment market, which that there is a six-minute limit on speeches. has brought country after country and bank after bank 105 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 106 Bonuses Bonuses to their knees, and which is now imperilling people’s those people served up to this country by way of financial standard of living—their homes, jobs and future. I find crisis. The idea that this is something that Conservatives that unacceptable. are casual about is utterly false. The speculation by the The shadow Minister has called for leadership, but Mayor of London about what the greatest pro-enterprise real leadership would not involve avoiding questions Prime Minister of the previous century would have about whether there is going to be a limit of £2,000 on thought of today’s sorry state of affairs was interesting. bank bonuses. The senior director of RBS will be He said that we should ask disappointed if he is not allowed to take his £4 million “what Margaret Thatcher would have thought of a system where and the chief executive is expecting £2.5 million, but directors sit on each other’s “remcoms”—remuneration committees— this is in a bank that the Government own. If we want and defend each other’s expanding awards, even when the directors leadership, it should come from the Chancellor and the in question have presided over commercial disaster of one kind or another. She would have thought it was absurd.” Government, who should take the steps that are needed. All Conservatives think that is absurd and that something Esther McVey (Wirral West) (Con): Will the hon. must be done about it. We think that two things should Gentleman give way? be done. First, we want to encourage people of talent to come to the UK, stay here and make the City of Mr Mudie: No, I am sorry because I will be stopped London the greatest financial capital on planet Earth. quite soon. The second thing we need to do is foster a regime in The last point I want to make concerns the irresponsibility which performance is more closely tied to reward. Quite of the banks in refusing to operate Project Merlin, frankly, that is not extant. which would have brought jobs for younger and older I suggest that a new blanket tax on bankers’ bonuses people. The cynical and shoddy way that they got out of would undermine those aims, or at best do nothing to that agreement is totally unacceptable, as is the way advance them. It would do nothing to distinguish between they are refusing to fund small and medium-sized businesses. cases in which an executive had genuinely earned a If we are going to rebalance the economy, that is the reward by turning around a failing organisation, increasing area that will provide the jobs. We need the Government profitability or increasing returns to shareholders, and to show some leadership because the banks must be cases in which executives had taken advantage of lax forced to fund and put resources into that sector. scrutiny to take excessive rewards for their failure. There is a distinction between the rich and the undeserving rich, of whom Sir Fred Goodwin is a terrible exemplar. 8.14 pm Mr David Ruffley (Bury St Edmunds) (Con): Youth Geraint Davies: The hon. Gentleman talks about unemployment and bankers’ bonuses are both too high, bankers, but he will be aware that among the FTSE 100 and the Opposition hope that by taxing the latter they companies, there has been an average 49% increase in can help the former. Let us first agree that help for the directors’ pay, and many of those companies have not young unemployed is vital. The scar of joblessness had a proportionate increase in share value or profitability. destroys self-respect and will also damage the long-term Is he saying that his Government should introduce economic growth rate of this country. What are the specific measures to cap pay increases for non-banker Government doing about it? They have already announced directors of FTSE 100 companies? If he is not, he is a record number of apprenticeships—440,000 in this saying nothing. Parliament—as well as a £1 billion youth contract and more than 250,000 more work experience places. The Mr Ruffley: I am not suggesting that for a minute, proposal for a tax on bankers’ bonuses is what I want to and if the hon. Gentleman bothered to read the motion, focus on. My starting point is that crony capitalism and he would see that it relates to excessive bankers’ bonuses. big financial rewards for failure not only are morally The fact remains that we have to be careful when we offensive but they subvert the principles on which successful talk about a tax on banking. My right hon. Friend the capitalism depends. Chancellor sensibly introduced a levy on bank balance Jake Berry: Let me pick up on the point about things sheets, something that the Labour party was not prepared being morally offensive. We have heard about the Leader to do. We were one of the first countries in the world to of the Opposition calling for Fred Goodwin’s knighthood do that, and it will raise more than £2.5 billion a year. to be removed. Does my hon. Friend agree that if that Instead of introducing another tax as the motion proposes, happened it would also make sense for former Labour we should do more to discourage the granting of excessive Cabinet members who were part of the Government bonuses in the first place. That would have a very happy who led to this bankruptcy for Britain to give up their by-product. When Robert Jenkins gave evidence to the peerages in the other place? Treasury Committee last week—for those who have not been initiated into these affairs, he is a member of the Mr Ruffley: That is an interesting suggestion. I also interim Financial Policy Committee, and a former think that the former Prime Minister should make a banker—he said something very interesting: personal apology when our Prime Minister, who is an “Every £1 billion of less bonus would support £20 billion of infinitely better one, strips Sir Fred Goodwin of that additional small business lending.” ill-deserved knighthood. I defy anyone on either side of the House to deny the Currently, there are excessive bonuses within the sector wisdom of that. that give capitalism a bad name. They have fostered the I am talking about the unjustifiably excessive bonuses belief that there is a class of people who pay themselves paid to executives in banks that have failed or are pretty much what they like while the rest of the country failing. Stephen Hester is, we are told, looking to accept has to deal with the consequences of what many of a bonus for 2011, despite the fact that his bank’s share 107 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 108 Bonuses Bonuses [Mr Ruffley] and 16-year-olds are left with literally nowhere to go. That is why the issue should be our top priority: it is price has fallen out of bed. Eric Daniels, who was the different, and it cannot wait. chief executive of another failed business—Lloyds- I worked for five years for the Children’s Society, HBOS—took seven-figure bonuses before he was booted which spoke out very powerfully about child poverty out. What the Labour party needs to understand is that this week, and I saw what happened to young people that culture, which we all deprecate, did not grow up in who were put out of work in the 1980s. They never recovered the past 18 months. I hope that Labour will show a bit resilience in the labour market and were forced to bring more humility in this debate than it has done so far. It up their children in workless households. Twenty years did not regulate the banks properly; it sat by while these later, we were still dealing with the impact of that, so I bonuses were being paid, year after year; and it gave say to Ministers that they are storing up trouble for knighthoods to the miscreants who accepted them. future generations if they do not take action now. Incidentally, it was the Labour Government who allowed I am concerned about what I have heard, because the some private equity bosses to pay very little tax—less Government are tinkering when what we really need is a tax than the cleaners in their offices. We shall therefore step change in approach to the wider economy and to take no lessons from Labour on regulation and on what this issue. Young people have a very, very strong sense we do about a state of affairs that I think we all agree is of fairness, which is why the starting point that my hon. unacceptable. Friend the Member for Leeds West has chosen is exactly Shareholders are not doing their job sufficiently well; the right one. More than anyone else whom I represent, that is why I urge the Government to change the law so young people understand the concept of something for that the threshold for shareholder approval of remuneration something. They have seen the education maintenance packages is shifted from 50% to 75%. I know that allowance, which they worked hard to get, axed; they Fidelity, one of the largest holders of shares in UK have seen Aimhigher, which raised the number of young banks, strongly supports that. Also, fund managers do people in my constituency going to university by 40% in not have much incentive to think in a long-term fashion; six years, axed; they have seen tuition fees hiked up way that is why I hope that the Financial Policy Committee, beyond anything they could even conceive of paying; when it is up and running, and the Prudential Regulation and they have seen the future jobs fund, which was Authority—the new regulator—will ensure that the making a dramatic difference to their confidence and to Financial Services Authority’s remuneration code, which their friends’ confidence, axed. At the same time, they covers only 2,500 firms, covers very many more. Bonus see bankers’ bonuses and pay continue to rise, so it is no clawback—clawing back money given to executives who wonder that they are angry. depart in disgrace and failure—is something that the Government need to talk about. Lloyds is apparently Meg Hillier: Does my hon. Friend agree that there looking into that. may be poverty among young people—my constituency, More tax is not the answer; better regulation, under unfortunately, was shown to have a high level of poverty this Government, is. in the excellent work that she referenced—but there is no poverty of aspiration, certainly not in my constituency? 8.23 pm Will she comment on whether that is the case in hers? Lisa Nandy (Wigan) (Lab): I want to make the case as to why, at a time when not everything can be our Lisa Nandy: I share that sentiment, but I am concerned. priority, this subject really ought to be. It is not just Those young people are turning to a Government who because in my constituency of Wigan, one in four said, “If you work hard and try hard, we will support young people is not in education, employment or training, you” but they see poverty of aspiration from the and it is not just because I have begun to detect a sense Government. They are angry, because the Government of hopelessness among them that really frightens me. It have broken the deal and the pact that, if they tried frightens me because for nearly a decade before I came hard, they would have the chance of a better future. to this place, I worked with some of the most disadvantaged children and young people in this country, and what I Duncan Hames (Chippenham) (LD): The hon. Lady am detecting in my constituency is a ripple effect: the is making a typically impassioned and impressive speech. sense of hopelessness is spreading outwards from the On the question of whether the Government broke the most disadvantaged to groups of young people who deal, would she not, given her experience before coming previously had strong hope for the future and strong to the House, acknowledge that youth unemployment resilience within themselves and their families. It is has been rising consistently since 2004? In my constituency, because young people cannot wait that I want to make unemployment trebled in the previous Parliament, so the case for the proposal in the motion. the Government need to be prepared to look at proposals and solutions other than those that did not work in We heard from my hon. Friend the Member for previous Parliaments. Leeds West (Rachel Reeves) about the wage-scarring effect, and we heard a powerful speech from my hon. Friend the Member for Leeds East (Mr Mudie) about Lisa Nandy: I am afraid that the facts do not bear the impact that youth unemployment has on young that out. I agree, however, about the stubborn problem people’s confidence. I have seen for myself the levelling-down of structural youth unemployment, which I shall come effect when jobs are scarce: graduates leave university on to. with a sense of despair because they have to take jobs I want to use the last few minutes of my speech to that they could have got three years earlier; 18-year-olds discuss what more must be done if we are serious about leave college with a sense of despair because they have giving young people hope for the future. I have made to take jobs that they could have got two years earlier; the case that, although the Work programme is a welcome 109 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 110 Bonuses Bonuses step, it is tinkering when we need fundamental change 8.32 pm in the system. Job preparation, while worth while and Jake Berry (Rossendale and Darwen) (Con): It is extremely important for some of my constituents, who clear to everybody in the House, regardless which side need support, confidence and help to get a job, is not they sit on, that we are facing exceptionally difficult enough if there are no jobs to go to. economic times in this country. I calculated that by the That is why I believe that growth, growth and growth end of this speech, with a six-minute time limit in force have to be the Government’s priority. In my constituency, and with no interventions, we will have spent in excess and across the country, as we have heard from my hon. of £500,000 just on debt interest. Our national debt is Friends, there are simply no jobs to go to. I have argued like a credit card, and the sooner we get to grips with it, that increases in youth unemployment under the previous the better. I do not want to have to look the next Government were caused by an increase in labour supply. generation of young people in the eye and say, “We The increase in youth unemployment under this were the Government, we were the group of MPs, who Government is the consequence of a collapse in labour shoved our heads in the sand and refused to tackle our demand. The focus on youth unemployment masks a national debt,” so that we could pass it on to them. rapid fall in youth employment, which is partly accounted for by the abolition of full-time education places. If We have seen a hugely unwelcome increase in Ministers are serious about this issue, they must speak unemployment, and an exacerbation of the existing problem to their hon. Friends in the Department for Education, of youth unemployment. The Leader of the Opposition and make the point that it does not make any sense to admitted in November last year that youth unemployment cut education places at a time like this. was not invented by this Government, but was a problem under the previous Government. The motion seeks to Will Ministers commit today to using every lever at link the problem of youth unemployment simplistically their disposal? There are so many things that a Government to a failed tax on bankers’ bonuses. can do, and it is distressing for young people to hear that the economic situation dictates inaction, when in This truly is the tax that keeps on giving. So far, there fact we could have action and we could have it now. The have been proposals to use it to tackle unemployment Government could use their procurement power to among older people, to tackle unemployment among ensure that young people have apprenticeships—it is younger people, to fund capital projects, to reverse VAT immoral to award public contracts to firms that will not increases, to cut taxes on fuel, to cut VAT on home give apprenticeships and opportunities to our young improvements, to build 25,000 more houses, and today people. The Government could also use their procurement to create 100,000 new jobs. That clearly shows that the power to make sure that those contracts go to firms that Labour party has no new ideas. It cannot be only provide real, lasting, paid jobs with a decent career today’s ICM/Guardian poll that is depressing them. It is structure, to give those young people the resilience in also the fact that a party that claims to represent the the labour market that they need. That is why I urge workers has come to represent the something-for-nothing Ministers to think again about the future jobs fund. I culture, a party that claims to fight inequality increased know that that has become a political issue, but I and inequality in 13 years in government, and at the end of my colleagues have seen the dramatic long-term difference the largest economic boom that we have ever witnessed, that it was beginning to make for young people in our Labour left 270,000 more young people out of work constituencies. than when it came to office. That is an appalling legacy. Structural youth unemployment remained stubbornly The solution is not more of the same, not to pile debt on at around 10% under the previous Government, despite debt, not to try and spend ourselves rich. huge efforts, particularly by my right hon. Friend the The motion sounds like the Opposition are being Member for Morley and Outwood (Ed Balls), to do advised by Charles Ponzi and has about as much credence something about it. The only way to tackle structural as the claim by the captain of the Costa Concordia that youth unemployment is through partnership working, he slipped and fell into the lifeboat. The Government, with the public, the private and the third sectors. I have however, must take true steps to tackle youth seen recently some attempts to focus on the most unemployment, and there is no panacea. disadvantaged young people—for example, in young One thing we must do is tackle the skills gap. The offenders institutions—and a focus on education to hon. Member for Leeds West (Rachel Reeves), who is lead young people into employment. no longer in her place, said that she hoped MPs would Ministers should be very careful about how they set today bring forward positive solutions on the question targets and measure progress. For some of the young of what they can do. A little known fact about the people with whom I have worked, with the extremely junction 4 retail park in Darwen—unless one is the MP serious problems that they have had, simply getting up for the area—is that it is the country’s specialist area in the morning and eating breakfast has been a challenge. for the creation of computer games. When I ask those Ministers must be careful not to throw away real progress businesses how many young people from the area they for some of the most disadvantaged young people in employ, they say none, because young people in Darwen this country, or they will not tackle the structural problem are leaving our schools without the menu of skills that of youth unemployment, which we tried so hard to deal the businesses want when they recruit. That is why it is with. Ministers know that some young people—disabled vital that we continue to increase the links between young people, young carers, those with transport schools and local employers. difficulties—need extra help. I am sure Ministers know that, and I hope that help will be forthcoming. Esther McVey: It is not just computer games and Inaction on this issue is a moral choice with lasting electronics companies that say that. The Institute for consequences for a group of young people whom those Manufacturing, the Institute of Physics and the chemicals on the Government Benches may never meet, but to industry say that we have not produced enough people whom they owe a heavy responsibility. in science to be the technicians and engineers, that we 111 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 112 Bonuses Bonuses [Esther McVey] If just throwing money at the problem solved youth unemployment, the previous Government would have have a dearth of those skills and that they have had to done so, because they threw lots at it. The only way we bring in people from outside the country to do those can solve part of the youth unemployment problem is jobs, which is a crying shame. through training and leadership, and leadership should come from hon. Members, from employers and from Jake Berry: I agree. Of particular joy to me is the fact the Government. There is nothing more important than that my constituency has a new academy school, which getting our young people back to work. has entrepreneurship and technology at its heart. We are starting to have those conversations with business in 8.40 pm order to equip our young people for the jobs market. I want to talk about what hon. Members can do positively Mr Pat McFadden (Wolverhampton South East) (Lab): in their constituencies to tackle youth unemployment. At first glance it might seem as though youth unemployment As we have heard, much of it is about leadership. At the and bank bonuses are separate issues, or that if they are start of next month I will launch the “100 in 100” linked it is only at the level of an argument about campaign in my constituency, which is my pledge to get fairness or equity. But that is not the case. The level of 100 people into 100 apprenticeships in 100 days. Building reward at the very top of the financial services industry up to this, I have visited as many local companies as is not just an argument about fairness or equity, although I can to talk with them about what we hope to do, and I it is certainly that; it is something that has a material have found that there is a huge appetite for giving young effect on the functions carried out by our financial people a chance. institutions, including the level of lending available to the economy and, thus, the capacity for job creation in it. Gordon Birtwistle (Burnley) (LD): I congratulate my hon. Friend on the initiative he is leading in his constituency. I should make it clear that I am talking about bonuses I did the same thing only last year, and the companies in at the very top. We should not forget that the vast Burnley were delighted to take on 107 apprentices in majority of people who work in the financial services 100 days, which shows that there are companies that are industry receive ordinary salaries, and that if they do keen to take on young people. A vast number of skilled get a bonus it is of a modest amount to which no one people working in the manufacturing sector in our area would object. are now in excess of 40 years of age, and the companies Indeed, we all value the employment created by our recognise that in future they might not have the skills to financial services industry, but there is a broader problem, deliver the products that the world wants. which we all know. In recent years we will have all met businesses that cannot find the funding that they need Jake Berry: I thank my hon. Friend for making to keep going or, in some cases, to expand, grow and such an eloquent point. As my near neighbour, he is employ people. Sometimes that is because the price of really throwing the gauntlet down, but I am confident credit rises so much that the business in question cannot that Rossendale and Darwen will more than beat afford it, but sometimes it is because the credit is not 107 apprenticeships in 100 days. available on any terms. I want to talk about some of the businesses that I No Government can second-guess every individual have been to see that are going to support us and that, lending decision, but there is no doubt that access to even before we started, pledged to give a young person a finance has become a barrier to the creation of employment. chance by taking on a new apprentice. Businesses from This Government’s answer was to get together with the every section of the economy are involved, not just banks in the Merlin agreement, which was based on those in the biblical trades or manufacturing. They gross lending, not net. Let me give the House one include Home Manor residential nursing home, Whitehead’s politician’s verdict on such agreements. He said: traditional butchers, DHJ Weisters Ltd, Aquasoft Solutions, “This would be completely letting the banks off the hook. It’s which is a computer company, McCambridge Group, perfectly possible for banks to achieve a gross lending target while Crown Paints, WEC Group, which is an engineering withdrawing capital from small to medium-sized businesses.” company, Turnbull Prints and Anglo Recycling. We He went on to say that, in agreeing to gross lending have across the entire constituency a commitment from targets, the previous Government allowed the banks business to give young people a chance. to run rings around them. I am of course quoting the current Business Secretary, who had that opinion on When I talk with those businesses, they tell me that gross lending agreements before he came into office—and the Government’s signal that they want to rebalance the then supported exactly the same thing. economy and will support apprenticeships has helped them to decide to take on apprentices. One thing in The right hon. Gentleman subsequently pirouetted particular has changed their mind: the pledge to give a and said that the Merlin project had not worked, telling £1,500 incentive to smaller firms to take on a young the House last month: person. We can get involved in the debate about what is “The Merlin project certainly did not succeed in its central right and wrong about the apprentice scheme and what objective, which was to achieve growth in gross lending by banks.”— else we should be doing, but I appeal to all hon. [Official Report, 8 December 2011; Vol. 537, c. 397.] Members to go out there, speak to businesses in their The banks’ argument is that they are under conflicting constituencies, advocate why they should support young pressure both to increase the amount of capital that people, why they should invest in their work force, why they hold and to lend more to business. They tell the young people would be good for their business, bringing public and they tell us politicians that we can have fresh ideas and new skills, and ask them whether they either safe and secure banks or more lending, but not will take a young person on and give them a chance. both; and that brings us back to bonuses. 113 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 114 Bonuses Bonuses The hon. Member for Bury St Edmunds (Mr Ruffley), 8.47 pm who is no longer in his place, referred to the evidence, given last week to the Treasury Committee by the new Stephen Williams (Bristol West) (LD): The motion links regulatory body responsible for financial stability, which the issue of bankers’ bonuses and youth unemployment. suggested that that was not the case at all. With my constituents in Bristol West, I agree that the levels of both are currently excessive. Meg Hillier: Does my right hon. Friend wish to I shall deal with bonuses first. Executive pay is meant comment on the sudden enthusiasm of Conservative to be the reward for company growth and shareholder Members for regulation, given that, when regulation return. Over the past decade, executive pay has gone up was proposed by the previous Government, they were by an average of 13.6% each year, but the growth in the not keen on it at all? index of the top 100 companies on the London stock exchange has gone up by only 1.7% each year. Executive pay has vastly outstripped the underlying growth in the Mr McFadden: There are many quotations from companies over which the directors have presided. Conservative Members calling for less regulation during the previous Government’s period in office, but I refer Bonuses, of course, are usually the worst manifestation to the Treasury Committee evidence from Mr Robert of spectacular reward—sometimes for just modest return Jenkins, a former Credit Suisse trader who is now a for the company’s shareholders, or even a paltry return. member of the Bank of England’s Financial Policy Even worse, they can be a pay-off for corporate failure. Committee. He recently made a speech in which he said: Today my right hon. Friend the Secretary of State for Business, Innovation and Skills announced the “The truth is that banks can strengthen their balance sheets without harming the economy. They can do so by cutting bonuses, Government’s action to deal with that excess in the by curtailing intra-financial risk-taking and by raising term debt boardroom. The boardroom is the place where that and equity.” excessive behaviour should be tackled and reined in, and shareholders need to take action in shareholder As the hon. Member for Bury St Edmunds said, last meetings. week Mr Jenkins told the Select Committee that if the banks reduced the bonus pot by £1 billion, that would The coalition Government will implement or consult make available £20 billion more for small businesses. on 10 of the recommendations of the High Pay This weekend, the banks hit back at that estimate. Commission. Taxes, of course, have a role to play, but it The Sunday Times was briefed, by an industry insider is a subsidiary one. The behaviour itself needs to change. who clearly has a thing or two to learn about rapid Under the previous Chancellor of the Exchequer, the rebuttal, that the real figure if bonuses were cut would right hon. Member for Edinburgh South West (Mr Darling), not be £20 billion but only £13.5 billion. That argument the bonus tax was a failure according to the terms that is based on whether we apply the capital and regulatory he used to describe it when he announced it in the rules that exist at the moment or those that may come in Budget. It was meant to curtail behaviour in the boardrooms future. But whether the figure is £13.5 billion in future of banks, but it failed completely. or £20 billion at the moment, the argument is clear: At that time, the underlying rate of income tax and reward is an issue not only about fairness, but about the national insurance on the recipients of bonuses was function that we want the banks to have in the economy. 41%; under the coalition Government, the figure is Of course it is galling for a nurse on a pay freeze to be 52%. When we factor in employers’ national insurance, paying for a crisis that they did not cause and then to we see that roughly two thirds of the value of a bonus see a seven-figure bonus, but it is more than galling—the comes back to the Treasury. In addition, the permanent truth is that we have been presented with a false choice bank levy will raise £2.6 billion for each subsequent between restoring the capital position of banks and year of this Parliament, which is more in net terms than supporting lending in the economy. There is not an the bonus tax raised under the Labour Government. automatic trade-off between levels of safety and levels The previous Government were, of course, in office of funding once we take into account issues of reward for 13 years. They had ample opportunity to do something. at the top. Put simply, less money in excessive pay at the I sat through five Queen’s Speeches, in each of which a top would make more available for the lending we need raft of legislation was announced by Her Majesty, but to create jobs. That is why youth unemployment and not once did I hear of an attempt to tackle corporate bank bonuses are linked. greed. Indeed, I would say that the Labour Government, I have one final thing to say. In the coming days, we certainly for their first eight years, positively encouraged are going to hear a lot about what top bankers are corporate greed. We just heard from the right hon. entitled to contractually; no doubt that argument will Member for Wolverhampton South East (Mr McFadden). be wielded by Ministers. However, contracts are not the The Cabinet Minister to whom he reported in the latter only thing that matters. Context matters too, and the years of the Labour Government, Lord Mandelson, context is the greatest squeeze on family living standards said famously that he and new Labour were since the war. That should be taken into account by the “intensely relaxed about people getting filthy rich”. bankers themselves as we decide on restraint on bonuses. It was the Labour Government who gave a knighthood The banking industry is hugely important to this to Mr Goodwin. country, but its relationship with the public has been broken. It is time to repair that relationship, and there is no better place to start doing that than in striking a Mr McFadden: I have heard that quotation twice better balance between reward at the top and the job today and I think that it is time to complete it. Lord that we want the banks to do—to lend in the real Mandelson went on to say, economy. “as long as people pay their taxes”. 115 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 116 Bonuses Bonuses Stephen Williams: That makes it all right, does it? Is it that we are raising the threshold at which people start okay to encourage the culture of corporate greed and to pay income tax. It is when people enter the jobs excessive behaviour as long as people pay their taxes? market for the first time that they are likely to be on the Of course, the former Chancellor, the right hon. Member minimum wage or on low average earnings if they are for Kirkcaldy and Cowdenbeath (Mr Brown), reduced working part time. The rise in the income tax threshold the rate of income tax that those people were paying. will disproportionately affect young people who are entering All that Labour promised for shareholders was an advisory the labour market. It is also right that the coalition role to rein in such behaviour, whereas the Government Government are massively expanding the number of have today announced binding votes for shareholders apprenticeships. However, we also need short-term help for so that they have some control over the executives who people who, through no fault of their own, find themselves are supposed to report to them for the value of their unemployed because of the economic circumstances. I companies. am therefore pleased that my right hon. Friend the Youth unemployment needs to be set in the overall Deputy Prime Minister has announced the youth contract, context of unemployment in the United Kingdom and which will start in April, with 410,000 places over the in other developed economies. The overall unemployment rest of this Parliament, 160,000 of which will be wage rate in the United Kingdom is 8.2% of the work force. subsidies of £275 per new job created. In the United States it is 9.1% and in the eurozone it is What will help the young unemployed most is economic 10.1%. In many eurozone states, the rate is much higher stability and recovery, together with the confidence that than the average. Youth unemployment tends to follow this coalition Government are putting in place the the same trend. It tends to be roughly double the rate in policies to deliver those two things. The low rate of each country. What is happening in this country is not interest that we currently have helps not only households unique among our main competitors. but businesses that are seeking to expand. The Government Youth unemployment is also not a new problem. At have a clear focus on stable finances and growth. We least the right hon. Member for South Shields (David should contrast that with Labour’s somersaults, U-turns Miliband), who was with us earlier, has had the grace to and ever-elastic bonus tax, which has no credibility as it acknowledge that under the Labour Government youth seems to have funded every single promise that the unemployment rose, even during times of strong economic party has made since the general election. growth and the longest sustained boom since the second As the hon. Member for Wigan (Lisa Nandy) said, world war. In the more than 20 years since 1992, the unemployment is a tragedy for every young person who rate of youth unemployment among 16 and 17-year-olds has experienced it. I grew up in a community scarred by has remained stubbornly flat and has barely changed, youth unemployment. I witnessed it among my friends—I whatever the underlying economic conditions. even experienced it myself at one point in my career—and [Interruption.] The hon. Member for Edinburgh East I do not want another generation to be blighted by it. (Sheila Gilmore) is shaking her head. I suggest that she The Government are taking action, and credibility is a looks at the Library’s statistics on this matter, specifically key part of that. for 16 and 17-year-olds. 8.56 pm Sheila Gilmore: In the early years of the Labour Government, did not youth unemployment fall far below Mr Michael Meacher (Oldham West and Royton) the level inherited from the previous Conservative (Lab): If I said that the Chief Secretary’s defence of the Government because measures were taken? Government’s position was unconvincing, that would be generous. Stephen Williams: Before the hon. Lady intervened, I want to focus on bank bonuses and the impact that I repeated that I was talking specifically about 16 and they have on the economy, particularly on youth 17-year-olds. The Library’s youth unemployment statistics unemployment. It is striking that this year the pig-fattening show that from 1992 to the current year the rate of season in the City—otherwise known as bonus time— youth unemployment has remained stubbornly at happens to coincide not only with unemployment among about 200,000, whatever the underlying economic young people exceeding 1 million but with the rest of conditions. For 16 to 24-year-olds, the broader group, the population being informed, through research undertaken the unemployment figure did not fall below 600,000, even by Resolution Foundation, that the pay freeze is now at the height of the boom. expected to last until 2020. Last year the squeezed middle, which represents about a third of the population, Sheila Gilmore rose— suffered a big 4.2% real-terms fall in their incomes; now they are being told that by 2020 they will have £1,700 a Stephen Williams: I will not give way again because year, or about £33 a week, less than they had in 2007—an the time would count against me. 8% drop even before inflation kicks in. On the other Youth unemployment is a long-term problem and we hand, the City’s 1,200 code staff—the people who take need long-term reform to tackle it. That is why the coalition and manage risk—will this year take home, on average, Government are right to introduce the pupil premium, about £1.8 million. That is £34,500 a week or, to put it which will enable young people from disadvantaged another way, 78 times the average wage. backgrounds who are on free school meals, as I was, to Of course, those people are the elite—the risk takers. get a leg-up in life. It is right that the coalition Government It is not a bad reward for those who took and managed are embarked on a programme of welfare reform. We risk so skilfully until 2008 that as a result, a gargantuan already have in place the Work programme, which offers bail-out was required that has cost this country and the assistance to people who are unemployed after nine Government £70 billion, and torn a hole in the Government months or, for 18-year-olds, after six months. It is right budget amounting to 8.5% of GDP, £120 billion. That 117 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 118 Bonuses Bonuses is the difference between the deficit before the crash and The banks continue to put their money overwhelmingly 11.6%, which was the figure afterwards, and it is still into property, mortgages, offshore speculation and tax projected to lead in 2013-14 to a national debt of about havens, all for their own enrichment, and stuff the rest £1.4 trillion—slightly more than the nation’s entire income. of the economy and jobs for young people. I am putting That is not a bad achievement for just over 1,000 people. it strongly, but there is huge bitterness outside, as one It is a pretty good thing that there were not a million of can see from the August riots, from the Occupy movement them, as that would have bankrupted the economy and from many other instances of anger beginning to totally. bubble up. What makes this greed—and that it is what it is—so unconscionable is that it is so unrepentant. There has Esther McVey: Will the right hon. Gentleman give not been a shred of remorse or apology for what has way? been done to the country; indeed, it has been quite the opposite, with an arrogant decision that we should Mr Meacher: No, I will not give way now. return to business as usual as though nothing has Bankers’bonuses have already nearly proved the ruination happened. As my right hon. Friend the Member for of this country. What we need is a smaller banking Wolverhampton South East (Mr McFadden) rightly sector that serves the real needs of this country, and said, the banks have not even fulfilled the very modest particularly of its young people, if we are to avoid a lost requirements of them under Merlin to increase lending generation. Saying no to bonuses, or at least taxing to businesses and home owners and contribute to the them, is certainly the right way to start. creation of jobs, especially for young people. Indeed, the opposite has happened. Lending to business has actually declined because of the degree of deleveraging, 9.3 pm and the number of jobs going to young people has also John Glen (Salisbury) (Con): I am grateful for the declined, leading, of course, to a disastrous increase in opportunity to participate in the debate. I would like to unemployment. make three points, but before I do I wish to put on The truth is that the bankers do not seem to get it. record my grave concern about the issue of youth There is public outrage that a banking system that owes unemployment. It is most regrettable that when we have its continued existence to massive Government intervention debates such as this, Opposition Members seek to label can still pay itself mega increases in salary and bonuses, Government Members as being glib and unconcerned and that in an age of austerity 90% of investment bank about the plight of their constituents who are in real profits are directed not at strengthening balance sheets, difficulty. at shareholders’ dividends, at lowering costs to customers I was put here by the people of Salisbury, and in my or at creating jobs for young people, but at a gigantic constituency 340 young people between the ages of 16 personal pay-off. and 24 are unemployed. I readily concede that that I simply ask this: what is the justification for bankers’ number is significantly higher than it was in the previous bonuses? Bonuses were what caused the reckless stampede year, but I do not accept the comments of the hon. into derivatives, securitisation and other new-fangled Member for Walsall North (Mr Winnick), who is no financial instruments that it turned out all those clever longer in his place, that somehow my colleagues and I chaps in the City did not even understand. Even now, do not care. I am not complacent about the matter or they still do not want to put their money into what the unwilling to acknowledge the grave seriousness of the nation really needs, which is jobs for young people—that problem of youth unemployment, nor am I unwilling to is what the debate is all about—and a massive revival of listen to suggestions from Members of all parties of manufacturing industry. In 2010 the UK deficit on how to tackle it effectively. traded goods was a staggering £100 billion, which is the I do not see the point of belabouring the fact that the worst by far that this country has ever suffered, and trend from 2004 was in the wrong direction, or that 2011 is likely to be much the same, or possibly worse. there were 279,000 more unemployed young people That is unsustainable, and dealing with it should be our when we came to power than there were in 1997. As the No. 1 priority. right hon. Member for South Shields (David Miliband) said, that trend started in 2004, well before any global Mark Tami (Alyn and Deeside) (Lab): My right hon. banking crisis. Let us therefore be honest in the debate Friend is making a powerful case. Does he agree that about the nature of the problem and how long we have the other problem is that bankers are still obsessed with faced it. the short term? That is why they are not investing in However, we must realise that we owe it to those such things as manufacturing. They are still obsessed young people to find a lasting and effective solution. with the short-term measures that deliver them large-scale The Opposition suggest that the Government’s cuts and bonuses. tax increases have choked the economy, that our welfare- Mr Meacher: My hon. Friend makes a very important to-work programmes are failing and that borrowing has point. As I am sure everyone in the House realises, there increased, so that the solution, very simply, is to tax is far too much short-term instinct, particularly in the bankers’ bonuses and introduce a permanent bank levy. City. What we need, and have not had, is the relational That is supposed to sort everything out overnight. banking that exists in the mittelstand in Germany. I have three concerns about that. Fundamentally, Banks there spend a lot of time, effort and money I am worried about the economic literacy of such a producing a long-term relationship with manufacturing proposal. One cannot just buy jobs. That logic led to the units that they can support. That is the type of model current ruinous situation. It is misguided on several that we need in this country, but it is not what we have levels. The Government are doing things to address the got. points that the right hon. Member for Oldham West 119 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 120 Bonuses Bonuses [John Glen] The most senior economic adviser to the former Prime Minister and Member for Sedgefield said in 1997 and Royton (Mr Meacher) legitimately highlighted: the that the Government whom he served had a golden grave frustration and anger about bankers’ bonuses. economic legacy. That is not what this Government had However, the banking levy that the Government introduced, when they took power nearly two years ago. It will which was effective from January 2011, will yield more therefore take time, but there is no complacency. There than the one-off policy on bankers’ bonuses in the last is a determination to face up to the underlying economic year of the previous Government. That is factually challenges. Only when we have done that will we have a correct. sustainable basis for dealing with the problem—the The Government will take on board the Vickers deep and desperate problem—of youth unemployment. commission’s conclusions, and reforms to the banking sector will be adopted. However, when the right hon. 9.10 pm Member for Wolverhampton South East (Mr McFadden), who is no longer in his place, worked alongside former Meg Hillier (Hackney South and Shoreditch) (Lab/ Prime Minister Tony Blair in No. 10 Downing street, I Co-op): It is timely that I follow the hon. Member for wonder where the desire to reform the culture and the Salisbury (John Glen), who lamented the increase in system of banking bonuses was then. We have all failed youth unemployment in his constituency, which is less to address the creeping callus of immorality in our society. than half the 1,305 people aged 24 and under claiming jobseeker’s allowance in my constituency—an increase However, the notion that the Government can somehow of 12.5% on the same time last year. just kick-start things and buy a few jobs here and there does not do justice to the macro-economic realities. The In December 2011, 420 jobs were advertised in jobcentres financial systems—the markets—will not see more spending in Hackney, which equates to around 14 claimants per as a signal that the Government are serious about vacancy. Young people who are just leaving school or tackling the underlying problem of the debt in this college are competing for those jobs against people who country. Interest rates would rise. That would lead to have work experience on their CV, which is one reason mortgage payments rising and businesses losing confidence why I lament some of the changes this Government in making investments. have introduced—getting that experience is crucial to helping people to get on their career path. Debbie Abrahams (Oldham East and Saddleworth) Hackney is a very young borough—around a third of (Lab): I am listening carefully to the hon. Gentleman, Hackney residents are under the age of 24—which and I do not want to impugn him or any of his colleagues means that youth unemployment is a particularly striking who are genuinely concerned about, for example, the and important issue in my constituency. The percentage plight of young people in my constituency. I meet college of 18 to 24-year-olds who have been unemployed for students who are devastated because of the impact of six months in Hackney is now higher than the national withdrawing education maintenance allowance and trebling and London averages. In December 2011, 2.1% of young tuition fees, and the fact that there are 10 people chasing people in Hackney had been unemployed for six months, every job. However, all the evidence shows that some of compared with 1.5% in London and 0.9% nationally. In the measures, such as enterprise zones, that the Government Hackney, 1.2% young people were unemployed for more have introduced have no effect. Would the hon. Gentleman than 12 months, compared with 0.5% in London and like to comment on that? 0.6% nationally. One of my concerns is that we are seeing a growing trend of longer-term unemployment Mr Deputy Speaker (Mr Lindsay Hoyle): Order. Can for young people. They might be small in number, but we have short interventions? the trend is in the wrong direction. It is important that we hear from young people John Glen: The Government have not been complacent. themselves. I have been talking to providers of the Work They have made, and are making, relentless attempts to programme in my constituency that work with some of deal with the difficulty—the £1 billion investment in the the hardest-to-reach people. The private companies take youth contract, 250,000 work experience places and the easier-to-place people and give specialist agencies 440,000 apprenticeships demonstrate Government action. and organisations the harder-to-reach ones. Janet Usoro, The effect is not immediate; things will not change the student contact co-ordinator at East London Advanced overnight, or in the next three months. We must be Technology Training, which is a third sector IT training realistic about what it takes to rebalance the economy. company for young people based in my constituency, However, 20,000 extra apprenticeships with £1,500 attached told me of a young man who comes from a troubled to each will encourage people in the private sector, background. His mother has mental health issues and including small businesses, to take on new people. his father is unknown to him, and he had difficulties in We must recognise that there needs to be long-term the past with drugs that resulted in a prison sentence. fundamental change in our economy. We must pay This young man decided to get his life back on the down the debt, reduce the burden of regulations and straight and narrow and at ELATT has achieved NVQ develop schemes that incentivise private sector employers levels 1 and 2 in IT networking. He is progressing to make the leap and invest in our young people. We through level 3. He has gained confidence and found must recognise the reality that we are in an international new personal self-discipline. He is on the right track, scenario, and that simply pressing a few buttons in the but with his background, his chosen career path will Treasury will not deliver immediate outcomes. Reheating require a record of work experience and extra support, the flawed logic and instincts of the late 1970s, which which, I worry, the Work programme is not entirely said that we could press those buttons and jobs would equipped to give him. I hope the Minister responds to appear, is flawed. that in his summing up. 121 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 122 Bonuses Bonuses Anthony Harmer, the chief executive of ELATT, tells than 84% at one school alone getting A* to C grades at me of his worries about long-term, sustainable funding GCSE, and seven young people placed at Cambridge, for the high-level support work it does with such difficult- including one young woman who had a baby at 15 and to-reach young people. is now at the university with her child. There is real opportunity and a real desire to achieve in Hackney. The Minister of State, Department for Work and Pensions There is no poverty of ambition among the young (Chris Grayling): As the hon. Lady has raised a specific people in my area. Most of all, however, we need to get point, may I put it to her that the Work programme those young people on pathways into jobs. We need providers have complete freedom to do what works to work experience available, so that they can get the help people into work, including securing work experience experience they need to compete in the job market. I places for them? It is my hope that the providers in her want to see the unemployment levels in my constituency area find work experience places precisely for someone fall dramatically. such as the young man she describes, even if they have not found work experience through the Government Several hon. Members rose— scheme or Jobcentre Plus. Mr Deputy Speaker (Mr Lindsay Hoyle): Order. There are still six speakers, and we have to bring on the Front Meg Hillier: If what the Minister says transpires, I Benchers at 9.40 pm. I am going to have to drop the will be a very happy Member of Parliament for Hackney time limit to four minutes, in order to get in all the South and Shoreditch, but I am picking up on the Members who want to speak. ground that that is not happening as it should be. The bulk of the business is going to private providers, for the 9.17 pm easier-to-place people, and they are taking the money, but the harder-to-reach people are going to the voluntary Alec Shelbrooke (Elmet and Rothwell) (Con): Thank providers, which are struggling to make the packages you, Mr Deputy Speaker; I shall try to keep to four work because their funding is crumbs from the bigger minutes. table. There may be a structural issue, which I hope the I start by echoing what my hon. Friend the Member Minister will watch closely as the programme is rolled for Salisbury (John Glen) said. I do not believe that out, because we do not yet know about the success of there is anybody in the House who does not want to try the Work programme. Ministers herald it as a success, to do as much as possible to help the youth unemployed, yet we have seen no figures or results, for all the reasons and I genuinely mean that, about all parts of the House. that have been well rehearsed. This is an issue that the It is easy to score cheap political points, but deep down, Minister, if he is serious about his job, needs to monitor. I think that there is probably no one in this House, on In my area, the third sector agencies are picking up either side, for whom that is not true. We feel this to be the harder-to-place young people, after what we might such an important issue for many of the reasons that call cherry-picking. However, I am not trying to be have been outlined today. political; I am concerned that those young people should I will come to why I think the motion is not helpful in get that work. Ian Ashman, the principal of Hackney solving the problem, but let me say that no matter how community college, has similar stories to tell. For example, we approach the issue, everyone wants to do something he has told me about Kevin, a 23-year-old father of two about it. That is the nature of party politics: the Opposition with a baby on the way who had an accident going to have a different approach to those of us in government. work one day and, as a result, lost his job. After 100 job When I look around at the unemployed young people applications, he has not been able to find another job. in my constituency, I think about how to help them. When it comes to full-time college courses, although the Equally, I have met young people on apprenticeships— college has a good relationship with the local jobcentre, 16-year-olds—and seen the difference that being able to the employment advisers there do not know enough go out has made to their lives. There are children whom about what colleges can provide. As the Minister is I have known over many years who have got an probably aware, that concern was shared by 44% of apprenticeship and who now go out to work. One sees colleges in a recent Association of Colleges survey. them visibly maturing before one’s eyes, becoming more Full-time courses such as those provided by Hackney confident in themselves and thinking about what it community college are not always appropriate for young means to get a career and move along that path. However, people such as Kevin, because of the impact on their the flip side of the coin is the children and young people benefits. Indeed, there is an issue with young people who have not been able to get an apprenticeship or get wanting to progress and improve their lives, but often those jobs. We think, “Well, for every high there must a being unable to undertake the extra qualification or low,” and we worry deeply about the effect that will have study that they need. Where do they go in the meantime? on young people. But is it fair to offer them false hope As we have heard, some of the apprenticeships on offer by suggesting that taxing bankers’ bonuses could create are not really true apprenticeships. I am all for more jobs for them? apprenticeships if they are real apprenticeships, but not I worry about the message that we send out from this if they amount to cheap, unpaid work experience. place, because there is nothing worse than false hope. Agencies, job brokers and colleges need long-term We have seen so many examples of it in the history of sustainable funding to help their work with the most politics. During elections, people vote for something difficult-to-reach people, which is something we need to that they believe will give them x, y or z, only to be look at. The young people in my constituency are not bitterly disappointed later. It is also easy for the Opposition interested in party politicking; they want to know that to make promises—I mean this not as a comment on there is a career path for them. We have seen huge the Labour party but as a general remark—when the improvements in schools in my constituency, with more reality of changing circumstances means that those 123 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 124 Bonuses Bonuses [Alec Shelbrooke] for example. Their apprenticeship scheme has the advantage over the jobs scheme introduced by the previous promises cannot be fulfilled. Another good example is Government in that it involves the private sector rather that, following the austerity Budget, we were hoping to than the public sector. I hope that we can bring hope to reduce the structural deficit by the end of this Parliament, the young unemployed in this country, without a false but because of the changes in the world economy since dawn. then, it does not look as though we will achieve that until 2016 or possibly 2017. 9.24 pm Mr Iain McKenzie (Inverclyde) (Lab): It will come as David Simpson (Upper Bann) (DUP): Does the hon. no surprise that I want to focus on the UK unemployment Gentleman agree that a further way in which the coalition blackspot that is Scotland. Scotland’s unemployment could help small to medium-sized businesses would be crisis has become a national tragedy with 250,000 people to reduce the heavy burden of bureaucracy that they out of work, and our young people are one of the have to deal with? A further area in which they could be hardest hit groups. The number of young people claiming helped is that of energy costs. jobseeker’s allowance for more than six months has soared by 93% in my constituency and unemployment Alec Shelbrooke: I am grateful to the hon. Gentleman in Scotland has risen by 8.6%, with some 19,000 more for that intervention. Bureaucracy has strangled small people out of work this year. Scotland now has higher businesses over the past 13 years and made it almost unemployment than the rest of the UK, with 200 Scots impossible for the people running them to say, “Let’s go losing their job every day. Those figures only confirm out and employ a few people. Let’s take a punt on it and what families in my constituency already know, which is see what happens. Let’s grow our business and see that we are facing an unemployment emergency. whether we can grow the economy.” If they tried to do that but did not succeed, the bureaucracy meant that it Jake Berry: As the hon. Gentleman is addressing his was very hard for them to scale back the business concerns to unemployment in Scotland, can he confirm afterwards. I believe in protection for workers—I think whether it went up or down during the last quarter? we all do—but there has to be a reality check at some point. Just keeping people employed because of bureaucracy Mr McKenzie: Unemployment in Scotland is suffering while watching a company go bust does not serve anybody. the double whammy of not only the UK Government That is why the Government have adopted a programme but the Scottish Government. It is obvious where the of tackling bureaucracy and some of the more nonsensical Scottish National Members are tonight—they are not parts of the health and safety at work legislation. I have in the Chamber debating unemployment in Scotland. talked to the local businesses in my constituency and For my constituents and millions of hard-pressed found that they have hired, on average, one full-time families, reports in the news that RBS is preparing to equivalent employee to deal with the increase in bureaucracy. offer a bonus of more than £1 million to its chief That is not job creation; that is sapping the resources executive look like nothing more than huge reward for from a company that might be willing to go a step failure. That leaves my young constituents to ask only further. one question: what about us? So, what about them? I am exceptionally worried about creating false hope. Labour has for some time argued for a tax on bank My hon. Friend the Member for Rossendale and Darwen bonuses to fund 100,000 jobs for young people. Our (Jake Berry) made it quite clear how many promises country needs a new plan for jobs, so the Government have been made about a bankers’ bonus tax, including should adopt Labour’s five-point plan for jobs, the suggestion that such a tax would create 100,000 jobs. incorporating the tax on bankers’ bonuses to fund those Bankers are already paying 50% tax on those bonuses. 100,000 jobs for young people and a temporary VAT Do I personally agree that the head of RBS should be cut to help people struggling with rising prices, and getting the size of bonus that he is getting when the kick-start the economy. share price has halved? No, I do not, but I did not draw Jobs for young people in my constituency of Inverclyde up his agreement. I do not know what the small print are of the utmost importance, which is why we cannot says. I do not know why he feels entitled to take that wait for the UK or Scottish Government to act and bonus. Do I think it right that he should do so? No, I do have commenced putting in place our own plans. I not, but we are not legally in a position to do anything acknowledge the efforts made by the hon. Member for about it. We have to look at the position that we have Rossendale and Darwen (Jake Berry) in going around got ourselves into, and try not to make those mistakes all the businesses in his constituency and I can tell him again. that I will be taking up that challenge over the coming I do not want to get back into the same old hoo-hahs weeks and months. Unfortunately, I might not have the that we have across the Chamber on these issues. We see handsome list of businesses that I have visited to quote, the same old faces on the other side, and we all have a which is unfortunate and will make the challenge more history, in these ding-dongs, of talking about whether difficult. I, along with my Labour-controlled council the austerity measures are working and what would and my MSP, will commit to searching for jobs and, I happen if we did not do what we are doing. Whenever hope, to attracting other businesses to the constituency. we introduce a policy to try to rebalance the economy, I have highlighted in the House before the Labour-led there will be a negative effect. There is a recession council’s brave decision to go it alone with the future throughout Europe and the world, and growth is practically jobs fund after that initiative was scrapped such a short flat across the whole of the European Union. We have time ago by the Government. We are uniquely successful: to do something about that. This Government are trying we were the second best-performing local authority in to do something. They are trying to invest in apprenticeships, the country as regards the future jobs fund, putting 125 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 126 Bonuses Bonuses some 500 young people a year into employment, 80% of Jonathan Reynolds (Stalybridge and Hyde) (Lab/Co-op): whom remained in those jobs. That again will prove If the future jobs fund was not a success, why have the successful. Now, after clever procurement by my council, Government introduced the youth contract, and is it which has delivered projects under budget, we are in a not simply a watered-down future jobs fund? position to put more funds into alleviating the disgrace of youth unemployment. Richard Graham: Let me be clear that I was not As a small council we cannot continue to finance writing off the future jobs fund—I did say that it was such projects indefinitely, so we need both the UK and useful. However, there are better ways of dealing with Scottish Governments to act now and implement plans these issues, which the Government have identified and to alleviate youth unemployment. Getting people, and are going ahead with. especially our young people, back to work is the best I was coming to a point that will answer the hon. way to put the UK, Scotland and Inverclyde back on Gentleman’s query about our alternatives to the hon. the right course. As the Deputy Prime Minister said: Lady’s four main ideas about how the problem of youth “I think fairness starts with doing the right thing for our young unemployment can be solved. I believe that we need a people”. mixture of different things. We need to allow manufacturers He went on to outline a £1 billion plan to provide to thrive again by reducing corporate tax and the subsidised work and training placements to thousands bureaucracy that surrounds their activities. We need to of young people. That initiative has all the hallmarks of encourage their entrepreneurial spirit. Happily, and by a watered-down version of Labour’s future jobs fund, chance, I can show hon. Members an excellent packet of which the coalition scrapped after coming to power. tea that is made in Gloucester and exported to China. I The initiative guaranteed under-24s out of work for also have in my pocket an aluminium pedal made on the six months or more a job or training. The young people Bristol road in Gloucester and exported to Australia. in my constituency need work and they need opportunities. These examples show that the entrepreneurial spirit is They do not wish to live on benefits, but they still await alive and kicking in my constituency and I hope that all action from this Government and the one in Edinburgh Members’ constituencies have similar companies doing on tackling youth unemployment. great things. Both the companies I have mentioned are Our young people cannot take another year of failure looking to take on apprenticeships this year. That speaks from Government to react to the crisis. They need, they to the point made by my hon. Friend the Member for deserve and they have the right to a job. It should be the Central Devon (Mel Stride) about the heavy support duty of all Governments to eliminate unemployment. and increased numbers of apprenticeships that the Government are delivering. 9.29 pm We also need to have incentives for small and medium- sized enterprises and I am very grateful that the debate Richard Graham (Gloucester) (Con): It gives me huge I led in Westminster Hall last year, in which many hon. pleasure to join this debate in which we can all surely Members spoke up in favour of SMEs, was heard by the agree with the hon. Member for Leeds West (Rachel Government, who have introduced those incentives so Reeves) that youth unemployment is too high and must that SMEs can take on apprentices. If every member of be reduced. As many hon. Members have said, none of the Federation of Small Businesses in the land took on us is complacent on this issue, so what to do? The hon. one apprentice, the largest part of the problem of youth Lady had three main suggestions: spend more, lower unemployment would be solved. Similarly, we can all VAT, and bash the bankers. There was also a possible lead by example by taking on our own apprentice. I fourth suggestion of bringing back the future jobs fund wonder how many Members from the Labour party or, as she put it, creating 100,000 jobs. The first of those have taken on an apprentice. We can also encourage suggestions has been utterly discredited and the second businesses in our communities to take on apprentices did not work. On the third suggestion, no Government and we can create apprenticeship fairs and job fairs. I except those of the ex-USSR and the current Democratic am delighted to be welcoming the employment Minister People’s Republic of Korea create jobs. We must be to the skillsfest in Gloucester on 9 February, when he clear that the business of government is about setting will see what we are doing to promote all aspects of the the conditions in which businesses can create jobs. It Government’s programme and will be quizzed by businesses simply does not work when Governments try to create on what more he can do to help them to grow. jobs. The motion mixes an unacceptable fact—high youth On the future jobs fund, the evidence we looked at in unemployment—with an unpopular sector: banking. It the Select Committee on Work and Pensions was absolutely is my strong belief that hammering our financial services clear: it was expensive and public sector-dominated. It sector, which is vital to this country, and destroying jobs was useful and it did give experience, but no future jobs in it does not help to create jobs elsewhere, so I propose, came from it. as an alternative, an idea that I believe would resonate across the land. It came to me when opening a regenerated Mel Stride (Central Devon) (Con): My hon. Friend bank branch in Gloucester two months ago. It would makes a powerful point about the future jobs fund—that enable banks to reconnect with their customers and it was basically about short-term jobs that did not last. grow cost-efficiently, and it would support our communities Does he agree that this Government’s approach to by reducing youth unemployment. The idea is simple: apprenticeships and investing in young people and skills every bank in the land should take on one apprentice in will give us sustainable, long-term jobs for the future? each of its branches. That would include the Co-operative bank, which is shortly, I hope, to take over the Cheltenham Richard Graham: My hon. Friend is entirely right and & Gloucester branches from Lloyds. If the financial brilliantly anticipates the thread of my argument. sector pursued that idea, Members in all parts of the 127 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 128 Bonuses Bonuses [Richard Graham] are we doing to skill ourselves up for future markets? Those questions do not seem to be being asked or answered House, instead of haranguing bankers, would be able to tonight. praise them for their role in solving the problem of In Swansea, I am talking with prospective manufacturers youth unemployment. Some talks have already taken from India about linking up with the university and place; I hope that there will be more. I commend that providing a manufacturing base to build on the cutting-edge policy, rather than the motion before us, to the Minister. life science research taking place there. I am talking with possible investors about investing in manufacturing 9.35 pm facilities. There are companies such as Tata near Swansea, which are already investing in the modern manufacturing Geraint Davies (Swansea West) (Lab/Co-op): At the of steel, which will have six layers and can create its own centre of this debate is the question of what the optimum energy and heat, so there are new global opportunities. balance should be between growth and cuts, and in This debate has been completely focused on who will what time scale we should bring down the deficit. I cut most, when. That is going nowhere. We cannot cut contend that the debate should not be some sort of ourselves out of this economic problem. We have to auction about who will cut what when; it should be grow, invest and reposition our industry. about who has the most creative, realistic growth strategy, predicated on what has happened in the past. Let us Glyn Davies (Montgomeryshire) (Con): I should like look at the Labour party’s record, to which people have to give the hon. Gentleman another chance to support referred. Post-1997, we created 2 million more jobs. We the Opposition’s policy of acknowledging both that replaced interest rates of 10% to 15% with very low they support the cuts programme introduced by the rates, thanks to the independence of the Bank of England. Government and that they made quite a few mistakes With those jobs and those taxpayers, we doubled our when they were in government. investment in the health service and reduced debt. We have a fine record to build on. Geraint Davies: We need a balance of savings—certainly In 2008, as we all know, there was a financial tsunami, not cuts against our productive capacity—with the main generated by sub-prime debt in the United States. Our focus on growth and jobs, as has always been the case. then Prime Minister, my right hon. Friend the Member The shadow Chancellor said that he cannot predict the for Kirkcaldy and Cowdenbeath (Mr Brown), got together future—he does not have a crystal ball—and in three with Barack Obama to ensure that we delivered a fiscal years’ time, with the situation ruined by a Government stimulus, and that there was not a depression. We had a who have destroyed industry and opportunity, it is shallow recession, and then fragile growth. Then the likely that we will face an even worse situation, so Tories arrived, and immediately announced 500,000 job promises cannot be made about reinstating things subject cuts. Consumer confidence and demand were thrown to Government cuts. The key point is that unless we out with the bathwater. Immediately, people in the have a growth strategy, as Barack Obama is trying to public sector thought that they were going to lose their do—and Europe is trying to reskill in a global environment jobs, and would not spend money. People in the private —we have no hope, given the Government mantra that sector stopped taking on employees, and we ended up all that they can do to save business is cut, cut, cut. All with the deficit rising. The deficit forecast is now £158 billion that that leads to is the death of industry. I shall leave it above what it was; when Labour came in, the deficit there, and let us focus on growth. forecast was falling. The question is what we should do to bring back confidence. 9.41 pm Stephen Timms (East Ham) (Lab): We have had a Charlie Elphicke: Will the hon. Gentleman explain very good debate. In June last year, the Prime Minister whether he agrees with the shadow Chancellor, who told the House that cutting the deficit faster would said the other day, revive private sector confidence. That was the basis of “we are going to have keep all these cuts”? the strategy with which we were presented for private sector investment and jobs to surge. Tragically, that has Geraint Davies: I am not opposing having to make not happened. The business confidence monitor from savings and cuts. I am saying that the key is growth. As the Institute of Chartered Accountants says: a business man in Swansea said to me, “It would be no “UK Business confidence has collapsed”. good laying off my workers and selling my tools if I was making a loss; I would need to grow my sales while It says: making savings.” That is the focus. That is why there is a “Confidence has declined across all sectors and all regions.” five-point plan focused on national insurance for the Nobody now claims that the coalition strategy is working building industry, on VAT for extra consumption, and to boost confidence. Confidence has evaporated, and on taxing banker bonuses to generate jobs and infrastructure the strategy has clearly not worked. growth. We are debating the consequences tonight: In addition, we need a credible growth strategy focused unemployment rocketing; youth unemployment of over on the growth opportunities in the global economy, 1 million, and becoming worse—the highest that it has namely the emerging consumer markets in India, China ever been. My hon. Friend the Member for Wigan (Lisa and south America. What are we doing to re-engineer Nandy) drew attention to the growing sense of hopelessness our financial markets, our modern manufacturing, and and the long-term damage to our economy. My hon. our services, so that they are tailored to those markets? Friend the Member for Hackney South and Shoreditch What will we do about getting capital opportunities (Meg Hillier) pointed to the growth of long-term from surplus-rich countries such as China, or oil-rich unemployment among young people as particularly countries, so that they invest in our infrastructure? What damaging. 129 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 130 Bonuses Bonuses As a result of that failure, the Government have to used as “bid candy” to win contracts. Some of them still spend a great deal more on benefits. It is worth comparing have not had a single referral since the Work programme the latest forecast from the end of last year showing began last summer. how much they intend to spend on benefits in the year The Open Public Services White Paper promised, as after next with the forecast a year earlier. Projected I quoted to the Minister earlier: benefit spending in the year after next has gone up by “Providers of public services from all sectors will need to £5.4 billion. The overall estimate of borrowing has gone publish information on performance and user satisfaction.” up by £158 billion—a figure at which the Chief Secretary to the Treasury balked at admitting. The Government I welcome the Minister’s U-turn on performance. What are determined to press ahead with their version of the about user satisfaction? Let me tell him about the benefit cap, which the Department for Communities satisfaction of one user, the father of a constituent of and Local Government says will add 20,000 to annual mine, who came to me to complain about his daughter’s homelessness figures, with massive Exchequer costs. experience on the Work programme. She received a The ill-judged attack by the Secretary of State for Work letter referring her to mandatory work activity. It was and Pensions on the bishops at the weekend has led to completely incomprehensible; I will send the Minister a yet another defeat for him in the other place. copy. She lives in my constituency in east London. The letter appeared to require her to report on an unspecified All along, we have been told that the solution to all date to an address with a postcode in Sheffield, and the these problems was the Work programme. Let me begin telephone number was given as 000. It was a shambles. by welcoming the U-turn by the Minister of State, It is no wonder the Work programme is not delivering Department for Work and Pensions, the right hon. and youth unemployment is rocketing. Member for Epsom and Ewell (Chris Grayling). I welcome his change of heart, because until now he has refused to Esther McVey: When I read the title of today’s Opposition allow Work programme providers to publish any data day debate, which mentioned youth unemployment and on their performance. Today, he has announced that he bank bonuses, I thought it was a list of Labour’s worst is going to change his policy. failings—youth unemployment up by 40% and a banks bonus culture developed under Labour and signed, Chris Grayling rose— sealed and delivered with a knighthood under Labour—so will not the right hon. Gentleman concede that where Stephen Timms: Perhaps the Minister will tell us Labour messed up, the coalition is cleaning up? when the guidance to which he referred will be published. Stephen Timms: We had some discussion in the debate Chris Grayling: I am a little puzzled. I could be about the future jobs fund. The Minister has awarded a wrong, but I thought I heard the right hon. Member for contract for the evaluation of the Work programme. I Birmingham, Hodge Hill (Mr Byrne) say that the Labour welcome the fact that he has done that. He should read party supported the benefit cap, but the right hon. the evaluation of the future jobs fund carried out by the Member for East Ham (Stephen Timms) has just said same organisation as he has commissioned to evaluate that they do not. Would he tell us which is right? the Work programme. It points out just how effective the future jobs fund was and the crucial value for young Stephen Timms: We do support the benefit cap. The people of version that the Minister is pressing through is, as the “a real job with a real wage”. House of Lords has rightly pointed out, going to cause We need a new approach. We should repeat the tax huge costs for the Exchequer. I hope that even now the on bankers’ bonuses to bring in £2 billion, funding Secretary of State will think again before returning to 100,000 real jobs for young people. We need, once the House with the measure next week. again, a temporary cut in VAT to rebuild momentum The Work programme was rushed, and badly prepared. in the economy, as the VAT cut did before the general As we pointed out at the time, there should have been a election. A further VAT cut on home improvements plan for transition to the new programme. There was no would give the construction industry, which is in a plan. We can glimpse how the Work programme has desperate state, the chance that it needs. We should been going by looking at the number of people coming bring forward investment in schools, roads and transport, off benefit each month. The number plummeted last and we should listen to the Federation of Small Businesses May, when the flexible new deal stopped, and it stayed and give small firms hiring new staff a break from low as the Work programme got going. I invite the Minister paying national insurance—five points that would give to compare the months after May with the same period us, at last, a chance. the previous year, because he will see that poor Work programme performance resulted in 86,000 people not getting into work who should have done. That is probably 9.49 pm a permanent unemployment rise. The damage will be The Minister of State, Department for Work and Pensions with us for years. (Chris Grayling): Let me start by making it absolutely The Government told us that the Work programme clear that tackling unemployment and youth unemployment would enlist an army of voluntary organisations to give is right at the top of the Government’s list of priorities. specialist help to jobseekers. To begin with, we were told I share the frustration of my hon. Friend the Member that 508 voluntary sector organisations would be involved. for Salisbury (John Glen) at some of the comments By August, that number had fallen to 423. Next week from Opposition Members. My right hon. Friend the the Government will count once again. Last week, Secretary of State for Education, to whom I pay tribute, apparently, at a crunch meeting, voluntary sector is firmly of the view that the decline in the teaching of organisations told the Minister that they were being history in this country is a lamentable failing in our 131 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 132 Bonuses Bonuses [Chris Grayling] recently by the Governor of the Bank of England as probably the most difficult in modern peace-time history, education system, and we realise precisely why when we if not ever. Yet against that background we are determined listen to the Opposition. They have forgotten the history to give business every opportunity to grow and develop not of 10 or 100 years ago, but of two years ago: the through investment in infrastructure, measures in the mess they left behind for us. tax system and the measures we are taking to deregulate— Someone listening to Opposition Members tonight for example, in relation to health and safety—in order might think that youth unemployment had been created to support business growth. There is no other way of in the past 18 months, but the truth is that when Labour securing the future of our work force or job creation in left office 18 months ago youth unemployment stood at the economy. 940,000. It has since risen by 100,000, which we wish We cannot go back to the uncertainty and instability had not happened. Half of that increase has come from under the previous Government and under the right students in full-time education looking for part-time hon. Member for Morley and Outwood (Ed Balls), who work. The Opposition talk about surging youth is chuntering away on the Front Bench and forgets the unemployment, and I get increasingly frustrated by severe damage that he and his colleagues did to the their use of figures, because they keep up the spurious economy when they were in office. claim that long-term youth unemployment under this Alongside the work that we will do and are doing to Government has rocketed, but that is utterly untrue. A ensure that business has the best possible opportunity like-for-like comparison that removes all of the ways in to grow and to create jobs, however, we have put in which they massage the figures reveals that long-term place a package of support for the unemployed that I youth unemployment today is actually lower than it was believe is more ambitious and more successful than two years ago. There is one other fact that they do not anything that the previous Government did. mention: fewer people in this country are on out-of-work Let us start with our work experience scheme, which benefits today than were at the time of the general will double in size under the youth contract and is election. Let us hear nothing about the failures of the already helping large numbers of young people to move past 18 months, and let us never forget the failings of into work. 13 years of Labour government. We have had a thoughtful debate and heard some Sheila Gilmore: I am sure the Minister agrees that sensible contributions, including those from my hon. work experience programmes should give people skills Friends the Members for Bury St Edmunds (Mr Ruffley), that they do not already have, and perhaps confidence if for Rossendale and Darwen (Jake Berry), for Bristol they have not worked for a long time, so why has it been West (Stephen Williams), for Salisbury (John Glen), for made compulsory for people who have already done the Elmet and Rothwell (Alec Shelbrooke) and for Gloucester work or had the training to go into jobs such as shelf- (Richard Graham). We have also had a snapshot of the stacking, on which I know the Conservative party is so past, present and future of the Labour party. On the keen? Why is that relevant to people who already have future of the party, I must say that the hon. Member for such experience? Wigan (Lisa Nandy) made some thoughtful contributions on things the Government might do, and I listened Chris Grayling: I simply cannot understand the view carefully to what she said. We also had a bit of a that Opposition Members have of our retail sector. Our throwback from the right hon. Member for Oldham larger retailers are national and international businesses, West and Royton (Mr Meacher), who talked about with hugely varied career opportunities for young people. bankers’ bonuses while conveniently forgetting that the The manager of a single supermarket can run a £100 million bankers’ bonus pool in the City of London was twice as business, so let nobody say that giving an unemployed big under Labour as it is today. young person the opportunity to show to a supermarket I was also struck by the lack of ambition among chain their ability to contribute to that organisation is Labour Members. When they went through their plans nothing but a possible footstone for a long-term career. yet again—we have to bear it in mind that the money The proof of the pudding is in the eating, because from their proposed bankers’bonus tax has been announced more than half the young people who are going through for nine different things so far; another bit of history our work experience scheme are moving off benefits they have conveniently forgotten—we realised that the quickly afterwards. When we make a comparison with reality is that they are talking about creating 100,000 places the future jobs fund, from which about half moved off in a replacement for the future jobs fund. I see that as benefits immediately afterwards, we find the total cost rather unambitious, because the package of support we of that scheme was between £5,000 and £6,000 per have put together will help, and is helping, far more placement, whereas the total cost of our work experience young people into employment. scheme—of achieving a similar result—is about £300 per We have a clear strategy to support the creation of placement. Which do Opposition Members think represents jobs in the economy and provide help for those people, better value for the taxpayer? older and younger, who are looking for work. We have Alongside that, we are also delivering 170,000 wage set out some of those measures. My right hon. Friend subsidies, through the youth contract, to employers the Chief Secretary to the Treasury, the Chancellor of who take on young people, and that is the big difference the Exchequer and the Treasury team set out in the between our philosophy and that of the Opposition, autumn statement a range of proposals to do everything who simply want to recreate another scheme with artificial, we can to stimulate and support the growth of business. six-month job placements in the public or voluntary I am particularly pleased that in the last quarter private sectors. We are trying to create a path to a long-term sector employment in the economy increased at a time career for young people. That is what the wage subsidies when we face huge economic challenges that were described in the youth contract will do, and it is also why we 133 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 134 Bonuses Bonuses have expanded by so many the number of available Coffey, Ann James, Mrs Siân C. apprenticeships. They are not about short-term placements; Cooper, Rosie Jamieson, Cathy they are about building long-term career opportunities. Corbyn, Jeremy Jarvis, Dan Since we took office, we have increased massively the Crausby, Mr David Johnson, rh Alan availability of apprenticeships in the economy, precisely Creagh, Mary Johnson, Diana because we believe that our young people are best Creasy, Stella Jones, Helen Cruddas, Jon Jones, Mr Kevan served by creating a path that they can follow to a Cryer, John Jowell, rh Tessa long-term career opportunity. Cunningham, Alex Kaufman, rh Sir Gerald The right hon. Member for East Ham (Stephen Timms) Cunningham, Mr Jim Keeley, Barbara talked about the Work programme, which is providing Cunningham, Tony Kendall, Liz much better and more intensive support for the long-term Curran, Margaret Khan, rh Sadiq unemployed than previous schemes, and about the flexible Dakin, Nic Lammy, rh Mr David new deal, which we inherited last year. Let me, however, Darling, rh Mr Alistair Lavery, Ian give him some statistics about that. It cost the Department David, Mr Wayne Lazarowicz, Mark for Work and Pensions £770 million, and it achieved Davidson, Mr Ian Leslie, Chris 50,000 job outcomes in six months—at a cost of £14,000 per Davies, Geraint Lewis, Mr Ivan De Piero, Gloria Lloyd, Tony job outcome. Does that represent good value for money Denham, rh Mr John Llwyd, rh Mr Elfyn or a programme worth keeping? Does anybody seriously Docherty, Thomas Long, Naomi believe that that programme had the effect he describes? Donohoe, Mr Brian H. Love, Mr Andrew I am confident that, by contrast, the Work programme Doran, Mr Frank Lucas, Ian will deliver results because it is based on payment by Dowd, Jim Mactaggart, Fiona results, and because we have created an environment in Doyle, Gemma Mahmood, Mr Khalid which the organisations, large and small, that are delivering Dromey, Jack Mahmood, Shabana the programme are paid only when they succeed in Dugher, Michael Malhotra, Seema getting somebody into long-term employment. Having Eagle, Ms Angela Marsden, Mr Gordon Eagle, Maria McCabe, Steve now been around the country and visited almost all the Edwards, Jonathan McCann, Mr Michael providers, I have seen a team of people who are motivated, Efford, Clive McCarthy, Kerry determined and succeeding in getting the unemployed Elliott, Julie McClymont, Gregg back to work. I meet people who have not worked for Ellman, Mrs Louise McDonagh, Siobhain years but who have got back into employment, and Evans, Chris McDonnell, John people who did not believe they could get back into Farrelly, Paul McFadden, rh Mr Pat work but are getting back into employment. Field, rh Mr Frank McGovern, Jim When we publish the figures, and we will, I look Fitzpatrick, Jim McGuire, rh Mrs Anne forward to demonstrating that that approach makes a Flello, Robert McKechin, Ann difference to the prospects of the long-term unemployed Flint, rh Caroline McKenzie, Mr Iain Fovargue, Yvonne McKinnell, Catherine in this country— Francis, Dr Hywel Meacher, rh Mr Michael Gapes, Mike Mearns, Ian Mr Alan Campbell (Tynemouth) (Lab) claimed to move Gardiner, Barry Michael, rh Alun the closure (Standing Order No. 36). Gilmore, Sheila Miliband, rh David Question put forthwith, That the Question be now Glass, Pat Miller, Andrew put. Glindon, Mrs Mary Mitchell, Austin Godsiff, Mr Roger Moon, Mrs Madeleine Question agreed to. Goggins, rh Paul Morden, Jessica Main Question put accordingly. Goodman, Helen Morrice, Graeme (Livingston) Greatrex, Tom Morris, Grahame M. The House divided: Ayes 225, Noes 302. Green, Kate (Easington) Division No. 436] [9.59 pm Greenwood, Lilian Mudie, Mr George Griffith, Nia Murphy, rh Mr Jim AYES Gwynne, Andrew Murray, Ian Abbott, Ms Diane Blears, rh Hazel Hain, rh Mr Peter Nandy, Lisa Abrahams, Debbie Blenkinsop, Tom Hamilton, Mr David Nash, Pamela Ainsworth, rh Mr Bob Blomfield, Paul Hamilton, Fabian O’Donnell, Fiona Alexander, rh Mr Douglas Blunkett, rh Mr David Hanson, rh Mr David Onwurah, Chi Ali, Rushanara Bradshaw, rh Mr Ben Harman, rh Ms Harriet Owen, Albert Allen, Mr Graham Brennan, Kevin Harris, Mr Tom Pearce, Teresa Ashworth, Jonathan Brown, Lyn Havard, Mr Dai Perkins, Toby Austin, Ian Brown, rh Mr Nicholas Healey, rh John Pound, Stephen Bailey, Mr Adrian Brown, Mr Russell Hendrick, Mark Raynsford, rh Mr Nick Bain, Mr William Burden, Richard Hepburn, Mr Stephen Reeves, Rachel Balls, rh Ed Byrne, rh Mr Liam Hillier, Meg Reynolds, Emma Barron, rh Mr Kevin Campbell, Mr Alan Hilling, Julie Reynolds, Jonathan Bayley, Hugh Campbell, Mr Ronnie Hodge, rh Margaret Riordan, Mrs Linda Beckett, rh Margaret Caton, Martin Hodgson, Mrs Sharon Robertson, Angus Begg, Dame Anne Chapman, Mrs Jenny Hoey, Kate Robinson, Mr Geoffrey Bell, Sir Stuart Clark, Katy Hopkins, Kelvin Rotheram, Steve Benn, rh Hilary Clarke, rh Mr Tom Howarth, rh Mr George Roy, Mr Frank Berger, Luciana Clwyd, rh Ann Hunt, Tristram Roy, Lindsay Blackman-Woods, Roberta Coaker, Vernon Irranca-Davies, Huw Ruane, Chris 135 Youth Unemployment and Bank 23 JANUARY 2012 Youth Unemployment and Bank 136 Bonuses Bonuses Ruddock, rh Dame Joan Twigg, Derek Freer, Mike Lewis, Brandon Sarwar, Anas Twigg, Stephen Fullbrook, Lorraine Lilley, rh Mr Peter Seabeck, Alison Umunna, Mr Chuka Fuller, Richard Lopresti, Jack Sharma, Mr Virendra Vaz, rh Keith Garnier, Mr Edward Lord, Jonathan Sheerman, Mr Barry Vaz, Valerie Garnier, Mark Loughton, Tim Shuker, Gavin Walley, Joan Gauke, Mr David Luff, Peter Simpson, David Watson, Mr Tom George, Andrew Lumley, Karen Skinner, Mr Dennis Watts, Mr Dave Gibb, Mr Nick Macleod, Mary Slaughter, Mr Andy Weir, Mr Mike Gillan, rh Mrs Cheryl Main, Mrs Anne Smith, rh Mr Andrew Whiteford, Dr Eilidh Glen, John Maude, rh Mr Francis Smith, Angela Whitehead, Dr Alan Goldsmith, Zac May, rh Mrs Theresa Smith, Nick Williams, Hywel Goodwill, Mr Robert Maynard, Paul Smith, Owen Williamson, Chris Graham, Richard McCartney, Jason Spellar, rh Mr John Wilson, Phil Grant, Mrs Helen McCartney, Karl Straw, rh Mr Jack Winnick, Mr David Gray, Mr James McIntosh, Miss Anne Stringer, Graham Winterton, rh Ms Rosie Grayling, rh Chris McLoughlin, rh Mr Patrick Stuart, Ms Gisela Wishart, Pete Green, Damian McPartland, Stephen Greening, rh Justine McVey, Esther Sutcliffe, Mr Gerry Woodcock, John Tami, Mark Gummer, Ben Mensch, Louise Wright, David Thomas, Mr Gareth Gyimah, Mr Sam Menzies, Mark Wright, Mr Iain Thornberry, Emily Halfon, Robert Mercer, Patrick Timms, rh Stephen Tellers for the Ayes: Hames, Duncan Metcalfe, Stephen Trickett, Jon Graham Jones and Hammond, Stephen Miller, Maria Turner, Karl Susan Elan Jones Hancock, Matthew Mills, Nigel Hands, Greg Milton, Anne NOES Harper, Mr Mark Moore, rh Michael Harris, Rebecca Mordaunt, Penny Adams, Nigel Carmichael, rh Mr Alistair Hart, Simon Morgan, Nicky Afriyie, Adam Carmichael, Neil Haselhurst, rh Sir Alan Morris, Anne Marie Aldous, Peter Carswell, Mr Douglas Hayes, Mr John Morris, David Alexander, rh Danny Chishti, Rehman Heath, Mr David Mosley, Stephen Amess, Mr David Clark, rh Greg Heaton-Harris, Chris Mowat, David Andrew, Stuart Clarke, rh Mr Kenneth Hemming, John Mulholland, Greg Bacon, Mr Richard Clifton-Brown, Geoffrey Henderson, Gordon Mundell, rh David Baker, Steve Coffey, Dr Thérèse Herbert, rh Nick Munt, Tessa Baldwin, Harriett Collins, Damian Hinds, Damian Murray, Sheryll Barclay, Stephen Colvile, Oliver Hoban, Mr Mark Murrison, Dr Andrew Barker, Gregory Cox, Mr Geoffrey Hollingbery, George Neill, Robert Baron, Mr John Crabb, Stephen Hollobone, Mr Philip Newmark, Mr Brooks Bebb, Guto Crockart, Mike Holloway, Mr Adam Newton, Sarah Beith, rh Sir Alan Crouch, Tracey Hopkins, Kris Nokes, Caroline Benyon, Richard Davey, Mr Edward Horwood, Martin Norman, Jesse Beresford, Sir Paul Davies, David T. C. Howell, John Nuttall, Mr David Berry, Jake (Monmouth) Hughes, rh Simon O’Brien, Mr Stephen Bingham, Andrew Davies, Glyn Huhne, rh Chris Offord, Mr Matthew Birtwistle, Gordon Davies, Philip Hunt, rh Mr Jeremy Ollerenshaw, Eric Blackwood, Nicola Davis, rh Mr David Huppert, Dr Julian Opperman, Guy Blunt, Mr Crispin de Bois, Nick Hurd, Mr Nick Ottaway, Richard Boles, Nick Dinenage, Caroline Jackson, Mr Stewart Parish, Neil Bone, Mr Peter Djanogly, Mr Jonathan Javid, Sajid Patel, Priti Bottomley, Sir Peter Dorrell, rh Mr Stephen Jenkin, Mr Bernard Paterson, rh Mr Owen Bradley, Karen Dorries, Nadine Johnson, Gareth Penning, Mike Brady, Mr Graham Doyle-Price, Jackie Johnson, Joseph Penrose, John Brake, rh Tom Drax, Richard Jones, Andrew Percy, Andrew Bray, Angie Duddridge, James Jones, Mr David Perry, Claire Brazier, Mr Julian Duncan, rh Mr Alan Jones, Mr Marcus Phillips, Stephen Bridgen, Andrew Duncan Smith, rh Mr Iain Kawczynski, Daniel Pickles, rh Mr Eric Brine, Steve Ellis, Michael Kelly, Chris Pincher, Christopher Brokenshire, James Ellwood, Mr Tobias Kirby, Simon Poulter, Dr Daniel Brooke, Annette Elphicke, Charlie Knight, rh Mr Greg Pritchard, Mark Bruce, Fiona Eustice, George Kwarteng, Kwasi Pugh, John Bruce, rh Malcolm Evans, Graham Lamb, Norman Raab, Mr Dominic Buckland, Mr Robert Evans, Jonathan Lancaster, Mark Randall, rh Mr John Burley, Mr Aidan Evennett, Mr David Lansley, rh Mr Andrew Reckless, Mark Burns, Conor Fabricant, Michael Laws, rh Mr David Redwood, rh Mr John Burns, rh Mr Simon Farron, Tim Leadsom, Andrea Rees-Mogg, Jacob Burrowes, Mr David Featherstone, Lynne Lee, Jessica Reevell, Simon Burstow, Paul Field, Mark Lee, Dr Phillip Reid, Mr Alan Burt, Alistair Foster, rh Mr Don Leech, Mr John Rifkind, rh Sir Malcolm Byles, Dan Fox,rhDrLiam Lefroy, Jeremy Robathan, rh Mr Andrew Cable, rh Vince Francois, rh Mr Mark Leslie, Charlotte Robertson, Hugh Campbell, rh Sir Menzies Freeman, George Letwin, rh Mr Oliver Robertson, Mr Laurence 137 Youth Unemployment and Bank 23 JANUARY 2012 138 Bonuses Rogerson, Dan Timpson, Mr Edward Motion made, and Question put forthwith (Standing Rosindell, Andrew Tomlinson, Justin Order No. 118(6)), Ruffley, Mr David Tredinnick, David Russell, Sir Bob Truss, Elizabeth REGULATORY REFORM Rutley, David Turner, Mr Andrew Sanders, Mr Adrian Tyrie, Mr Andrew That the draft Local Better Regulation Office (Dissolution and Sandys, Laura Uppal, Paul Transfer of Functions, Etc.) Order 2012, which was laid before this House on 6 December, be approved.—(Stephen Crabb.) Scott, Mr Lee Vaizey, Mr Edward Selous, Andrew Vara, Mr Shailesh Question agreed to. Shapps, rh Grant Vickers, Martin Sharma, Alok Villiers, rh Mrs Theresa Shelbrooke, Alec Walker, Mr Robin ADMINISTRATION Shepherd, Mr Richard Wallace, Mr Ben Ordered, Simpson, Mr Keith Ward, Mr David That Angela Smith be discharged from the Administration Skidmore, Chris Watkinson, Angela Committee and Mark Tami be added.—(Geoffrey Clifton-Brown, Smith, Miss Chloe Weatherley, Mike on behalf of the Committee of Selection..) Smith, Henry Webb, Steve Smith, Julian Wharton, James Smith, Sir Robert White, Chris ENVIRONMENT, FOOD AND RURAL AFFAIRS Soubry, Anna Whittaker, Craig Ordered, Spelman, rh Mrs Caroline Whittingdale, Mr John That Tom Blenkinsop and Cathy Jamieson be discharged from Spencer, Mr Mark Wiggin, Bill the Environment, Food and Rural Affairs Committee and Iain Stanley, rh Sir John Willetts, rh Mr David McKenzie and Ms Margaret Ritchie be added.—(Geoffrey Clifton- Stevenson, John Williams, Mr Mark Brown, on behalf of the Committee of Selection.) Stewart, Bob Williams, Stephen Stewart, Iain Willott, Jenny Streeter, Mr Gary Wilson, Mr Rob SCOTTISH AFFAIRS Stride, Mel Wollaston, Dr Sarah Ordered, Stuart, Mr Graham Wright, Jeremy That Graeme Morrice be discharged from the Scottish Affairs Stunell, Andrew Wright, Simon Committee and Pamela Nash be added.—(Geoffrey Clifton-Brown, Yeo, Mr Tim Sturdy, Julian on behalf of the Committee of Selection.) Swales, Ian Young, rh Sir George Swayne, rh Mr Desmond Zahawi, Nadhim Syms, Mr Robert Tellers for the Noes: PETITION Tapsell, rh Sir Peter Mr Philip Dunne and Thurso, John Mark Hunter Closure of Downhills Primary School, Tottenham

Question accordingly negatived. 10.15 pm Business without Debate Mr David Lammy (Tottenham) (Lab): The petition is from the governors, parents, teachers and community of Downhills primary school in Tottenham. DELEGATED LEGISLATION The petition states: Motion made, and Question put forthwith (Standing Order No. 118(6)), The Petition of residents of Tottenham, Declares that the Petitioners believe that there has been inadequate EDUCATION consultation about the Secretary of State for Education’s plans to close Downhills Primary School and re-open it as an academy; That the draft Special Educational Needs (Direct Payments) that the Petitioners value the links with the community that the (Pilot Scheme) Order 2011, which was laid before this House on school has maintained over the last 100 years; that the Petitioners 7 December, be approved.—(Stephen Crabb.) believe that the Secretary of State’s plans are undemocratic and Question agreed to. undermine the recent progress that has been made towards improving Motion made, and Question put forthwith (Standing standards at the school and that the Petitioners oppose any Order No. 118(6)), attempts to change the status of the school without the consent of the community. LOCAL GOVERNMENT The Petitioners therefore request that the House of Commons That the draft City of Birmingham (Mayoral Referendum) urges the Secretary of State for Education not to exercise his Order 2012, which was laid before this House on 5 December, be powers to close Downhills Primary School and re-open it as an approved.—(Stephen Crabb.) academy. The Speaker’s opinion as to the decision of the Question And the Petitioners remain, etc. being challenged, the Division was deferred until Wednesday [P000998] 25 January (Standing Order No. 41A). 139 23 JANUARY 2012 Gender Balance in Broadcasting 140

Gender Balance in Broadcasting level. That includes the producers, the executive producers, the head of programmes and the controller of Radio 2. Motion made, and Question proposed, That this House That situation may not come as a surprise. do now adjourn.—(Stephen Crabb.) Nadine Dorries: I thank the hon. Lady for that 10.16 pm contribution. I have that table of figures, but I decided Nadine Dorries (Mid Bedfordshire) (Con): I was inspired to concentrate on what the general public see from the to apply for this debate when, at a Christmas party, I BBC. However, I thank her very much for that intervention. met a very successful and very well-known BBC broadcaster Even though the BBC is wholly funded, one way or who shall remain anonymous. What I was told shocked another, by taxpayers, half of whom, as I said, are women, me, not least because that very famous individual told the BBC bosses seem to feel that the person who pays me that should he raise the issue within the BBC, life the piper does not need representing on daytime radio. would be made so difficult for him that the end of his Mr Speaker, I am sure that you remember the amazing career would be just around the corner. I was given a Annie Nightingale, and that you grew up, as I did, quick resumé of how the BBC behaves with regard to listening to her on Radio 1. She has more music knowledge women and female broadcasters, and the sexism inherent in her little finger than the majority of radio presenters not only in the BBC but throughout the broadcasting today on Radio 1. Do you know what Annie Nightingale arena and journalism in general. It was a shocking story. does now, Mr Speaker? She presents one programme, What is even more shocking is that in the case of the one night a week, from 2 till 4 am. That is where the BBC, the general public, 52% of whom are women, pay BBC has consigned Annie Nightingale. Jo Wiley is on a licence fee to endorse the behaviour in question. Radio 2 three nights a week from 8 till 9.30 pm. That is According to the Library, the BBC receives £293 million as good as it gets. It is a double travesty. Vanessa Feltz is a year in Government grants, £3.5 billion in licence fee on Radio 2 weekday mornings from 5 till 6.30. Another revenue, £888 million from commercial business and music legend—I am sure you remember her name, too, £12 million from selling content overseas. It could not Mr Speaker—Liz Kershaw, is on Radio 6 on Saturday earn the last two figures without the Government’s afternoon from 1 till 4. That is where the BBC has subsidy and the licence fee. placed those fantastic women. Before I cite some of the examples that highlight the Let us consider the male presenters on the BBC. disparity in gender balance in the BBC, may I ask the Some of them are in their 70s and still in primetime Minister whether, when the next round of negotiations spots, yet those women have been consigned to the with the BBC begins and he decides whether to hand graveyard. If the BBC placed a banner on top of over another lump sum of taxpayers’ money and agree Broadcasting House and wrote on it, “The BBC does the licence fee settlement, he would like to tell the BBC not believe that women deserve to be represented on that until it gets its house in order it will not be getting BBC radio”, that banner would be 100% accurate. the dosh? In fact, may I go further? I think it is about It is frankly amazing that Annie, Liz, Vanessa and Jo time the Minister set up a parliamentary Committee to have kept hold of their jobs at all, because we all know scrutinise the decision-making process within the BBC. what the BBC attitude is to women of a certain age. One Whatever it is doing at the moment, it is simply wrong. female radio presenter was not so lucky. We have all I am not advocating degrading quotas; I am talking heard about the treatment of Sarah Kennedy, who was about basic commercial common sense. I have only half harassed out of her Radio 2 early morning spot in the an hour, so I will cite just a few examples of what I am most appalling way after 17 years’ service. Mocked by talking about. First, however, I wish to name-check Radio 1 male presenter Chris Moyles in a tribute evening Kira Cochrane and Alexander Campbell, as I have to yet another male presenter, Terry Wogan, Sarah taken some of what I am about to say from work that eventually threw in the towel, citing a campaign by two they have researched and published, and Frances Rafferty BBC male employees to get her out of her job. Sarah from the National Union of Journalists, who has been was not so lucky: someone was after her job. It is only very kind and helpful in sending me useful links and because of the public outcry and anger that that graveyard information. spot, which was a good platform for a new male presenter Let us begin with radio, and Radio 2. The most trying to climb the ladder, is now hosted by Vanessa Feltz. listened-to music radio station in the world has not a Let us move to news and current affairs. The “Today” single female daytime broadcaster. Is that not shameful? programme on Radio 4 has 7 million listeners a day. Radio 1 has one daytime female presenter. However, Many of them are influential and decision makers. Yet Radio 2 has “Sally Traffic”, whose job seems to be only 16% of the voices heard on the “Today”programme— moving in and out of one studio after another to comprising both contributors and presenters—are women’s. massage the egos of the male presenters who are there As Jane Martinson states on the women’s blog, and as throughout the day. Although she outstrips most of the others have pointed out, if the female presenter is away presenters in wit and rapport, I imagine that she earns a from the presenting team, one can go two whole hours fraction of what the male egos that she massages do. in the morning when listening to the “Today” programme Sally appears far more intellectual and witty than every without a single female voice, and have male voices male broadcaster whom she has to humour. However, speaking at you throughout all that time. the BBC bosses, whoever they may be, appear not to have noticed that. Tessa Munt: When we look at the structure of the radio system and the controllers of Radio 1, Radio 2, Tessa Munt (Wells) (LD): As far as I could see when Radio 3, Radio 4 and Radio 5, we see that only Radio 4 preparing for this evening, there is not one woman with has a female controller. The director of radio and the children in Radio 2’s management above assistant producer director-general are both male. I am sure that the hon. 141 Gender Balance in Broadcasting23 JANUARY 2012 Gender Balance in Broadcasting 142

Lady agrees that in local radio, it is horrific that only Hon. Members may have noticed that the name of one woman presents a breakfast show, out of 43 such Mr Andrew Neil was not in that list, but I will give him flagship programmes. a quick mention. I have had an outburst against this particular gentleman; I am not proud of the fact that Nadine Dorries: Perhaps the hon. Lady and I should I described him as an ageing, overweight, orange toupee- apply for a joint Adjournment debate. wearing has-been. One could describe a number of When questioned about the fact that there were no male presenters in those terms. However, I made that female voices on Radio 2 for two hours on one particular outburst because of the outwardly sexist comments that day, BBC editors said that that was okay because they that particularly rude man has made about female did not receive any letters of complaint. I wonder politicians on his “This Week”programme, which almost whether they thought for a moment that the nation’s every week features three ageing men and a token women are far too busy to write letters to male BBC woman. Why are we women paying for that? Not only editors. I suspect that most women believe that the BBC do we not want to watch it; we object to paying for it. is so male dominated that there is no point in writing. Mr Neil has a verbose style that is aggressive, abrasive Most women have read about the high-profile cases of and often rude, which massively turns women off. He Sarah Kennedy, Miriam O’Reilly, Anna Ford, Selina uses the shadow public health Minister as his token Scott, Moira Stuart, Arlene Phillips and others. Sensible female only to attack her on the programme, which he women will think, “What’s the point of writing to such does frequently, including last week. Because she declined an ageist, sexist organisation—even if I am paying for to appear, he again made unpleasant sexist comments it?” about her. If radio is not bad enough, one can only cringe at television, especially the BBC. Let us consider the more I remember the first time I appeared on his programme. popular and highly rated programmes. It would appear I was asked to appear on a Monday morning; all the that in the minds of TV bosses, the viewing public only MPs were on their way to the House of Commons and enjoy watching ageing male hosts accompanied by young they could not get anyone else to speak. I ran over to blonde females. I shall list some of the names: Forsyth College green and did a little piece to camera and gave a and Daly, of “Strictly Come Dancing”; Chiles and quick quote on David Cameron’s election campaign. Bleakley; Schofield and Willoughby; and Cowell and Mr Neil thought I could not hear him as I finished, but Holden. Even on sensible “Countdown”, we find Stelling I still had the earpiece in, and heard him say, “Well, she and Riley.“Elderly male, young female”is an unchallenged looked tired and out of breath there didn’t she?” Would formula. he have said that about a male politician who had run over to College green to do that piece? No. It was It is not just that women’s representation on radio another sexist, negative Mr Andrew Neil pearler, saved and TV is woeful, but that sexism and ageism are just for the women politicians. How can we possibly combined, and at their worst, in current affairs and encourage more women into Parliament, when what politics. Only one in 10 women working in television are they see are men like that, and the media in general, aged over 50. As the number of people that TV employs making sexist comments about female politicians? The shrinks, the biggest losers are women, by two to one. Home Secretary was on the front of Total Politics I note that on the day of this debate the “Daily magazine today, but all anyone has spoken about is how Politics” show invited three female MPs as guests—a she looked and what she was wearing, not what she had rare day indeed, and a sticking plaster over a gaping to say or the substance of the article. Why would any wound. At least this debate had a tiny effect, even if for woman want to join us in this place when that is how just one day. Perhaps it is time the BBC took a long they are regarded and spoken about? hard look at its political news and current affairs programmes on both radio and TV, because the way in The BBC is seen as the holy grail by the left. I believe which they are presented says, to me and everyone else, that an irrational desire by the left to protect the BBC that the BBC believes that women are not capable of and not attack it or highlight its faults has allowed the presenting such programmes, and therefore by implication present situation to occur, under the prolonged former that they do not watch them. governance by Labour. It is a worrying theme that the left irrationally protects what it regards as the issues on Perhaps if women did watch such programmes, they its turf, sometimes to the detriment of women. MPs are could relate to the people presenting them. Let us also loth to challenge the BBC, for fear that they will no forgive Andrew Marr’s line-up of the best 20 political longer be invited to make their points on television or moments of 2011, and the fact that each and every BBC programmes—and I will probably be living proof politician was male. Let us not include David Dimbleby that they are right. However, such considerations are or Jeremy Paxman or Jeremy Vine; let us give them an cowardly. exemption, because all three are undeniable experts and silos of historical political knowledge, and considered In conclusion, the left may have ignored the behaviour to be more national treasures than presenters. I will do a of the BBC while it was in government, but if the quick round-up of the men who present TV news and Minister continues that pattern of behaviour, I and current affairs: Robinson, Naughtie, Webb, Campbell, others will view it as a dereliction of the duties of his Marr, Craven, Davis, Snow, Stewart, Murnaghan, Boulton, office. I would like him to tell us in his response what Sopel, Mair, Simpson, Mason, Pienaar, Stourton, Portillo, steps he will take, apart from using the financial hammer— Esler, Edwards, Matt Frei, Murphy, Austin, Gibbon, which I mentioned at the beginning of my speech—with Crick, Thompson and Islam. That is just the top layer which he can hit the BBC over the head. What else is he of news and current affairs. I challenge any hon. Member going to do to end the culture of ageism, sexism and to start a list of women. They would get stuck at three poor-quality male-dominated programming that we women names. are paying for, and are subjected to? 143 Gender Balance in Broadcasting23 JANUARY 2012 Gender Balance in Broadcasting 144

10.31 pm The BBC agreement does, however, place a duty on the BBC executive board to make arrangements for The Parliamentary Under-Secretary of State for Culture, promoting the equality of opportunity between men and Olympics, Media and Sport (Mr Edward Vaizey): Iam women. The BBC executive board is accountable to the grateful for the chance to respond to this important BBC Trust, and it is the duty of the trust to ensure that debate. My hon. Friend the Member for Mid Bedfordshire the duty on equality of opportunity is met. The BBC, (Nadine Dorries) has a formidable reputation for Channel 4 and S4C are all subject to the Equality Act bringing difficult issues to the House and raising subjects 2010, which seeks to eliminate discrimination and harassment that others might fear to bring to public prominence. and to advance equality of opportunity. Under the The representation of women across the media, but terms of the Act, all those broadcasters must publish particularly at the BBC, is an important issue that is equality objectives every four years, and publish information worth addressing. to demonstrate compliance with the general equality duty. Many of the statistics that my hon. Friend quoted are very much a cause for concern. Some of them came Tessa Munt: I am sorry to interrupt the Minister, but from a recently established campaign group called Sound I find myself amazed that, while six of the 39 DJs at Women that aims to support and celebrate the work of Radio 1 are women—all those DJs are forming the women in UK radio. It published an important report opinions of young women and young men across the called “Tuning out”—which one can find on its website, country—that station had a greater number of female soundwomen.co.uk—that was commissioned by the training DJs in 1987. Setting four-year objectives does not seem agency Skillset, which I work with closely to promote to be having any impact whatever, if nothing has improved skills in the creative industries. The report found that in all the intervening years. women are less likely to make it to the top of radio, making up just a third of senior managers and less than Mr Vaizey: The hon. Lady makes her point forcefully, a fifth at board level. It will not surprise the House to and I shall come to the points that she and my hon. hear that women in radio are more qualified than men, Friend have raised. with three quarters having degrees, compared with less I have mentioned the editorial independence of the than two thirds of men. However, women are still paid BBC, and it is important to point out that all broadcasters’ less, by an average of £2,200 a year. content and output services are exempt from the provisions of the Equality Act, to ensure that politicians do not Older women with children are less well represented, interfere in the editorial independence of those broadcasters. as the hon. Member for Wells (Tessa Munt) said. In fact, a lot of women abandon the radio industry after Ofcom, the independent regulator, also has a duty in the age of about 35. As was also pointed out by the hon. regard to the promotion of equal opportunities, and we Lady, who supported my hon. Friend so ably in this are in the process of reforming that. I must emphasise debate, out of 50 BBC local radio breakfast shows, only that that does not mean that we will take those obligations one is presented by a woman. Some 84% of reporters any less seriously. However, with the Equality Act 2010, and guests on Radio 4’s “Today” programme are men. we believe that equality duties will be undertaken more Indeed, on 5 July 2011, one would have had to wait efficiently with legislation in one place. We will be from 6.15 am until 8.20 am to hear one female contributor, consulting shortly on our proposals, and I hope that the alongside the 27 male contributors to that programme. hon. Lady and my hon. Friend will participate in the My hon. Friend therefore raises an important point. consultation. I think that to talk about redressing the balance is to Having raised those issues of concern, let me make it put it too strongly, but I want to use this opportunity to clear that I am nevertheless an admirer and respecter of point out areas in which broadcasters have made progress. the BBC, which forms the cornerstone of public service My hon. Friend and the hon. Lady have both, quite broadcasting in this country. Personally, I for one think rightly, highlighted the imbalance that exists in broadcasting, it is the finest public service broadcaster in the world but it is worth pointing out that 50% of BBC Trust today. We want to ensure that the BBC remains a members are women. The proportion of females on the national asset, but as my hon. Friend rightly pointed BBC executive board is only 42%, but that is still a far out, if it is to maintain its pre-eminence and prominence, higher proportion than is found on the majority of it must address the issue of gender imbalance. We are corporate boards. Within the whole staff of the BBC, well aware of the criticism that too many of the presenters women make up 49% of the total, and more women are at the BBC are men, and of the calls for more women joining the organisation than men at the moment. presenters. I want to make an important point; I am sure that my Nadine Dorries: That is an interesting figure. If we hon. Friend will regard it as a cop-out, but I am going were to look at the proportions of men and women to make it anyway. It is that the BBC is independent of among the total number of people in the House of the Government, and I do not think that Members Commons, we would probably find that they were about would want to have it any other way. I do not think that the same, taking into account the administrative and they would want politicians to use a particular issue as secretarial jobs. It does not actually mean anything to an excuse to interfere too closely with the operational or say that half the staff of the BBC are women. Those in editorial independence of the BBC. There is therefore, the key jobs—the important, opinion-forming jobs; the quite rightly, no provision for the Government to become ones that people listen to—are men. A bit like the involved in the BBC’s day-to-day operational and editorial House of Commons. decisions. For the same reason, the Government are equally committed to the independence of other Mr Vaizey: Certainly as far as I am concerned, the broadcasters, and will not seek to intervene directly in people in the House of Commons who do the administrative their on-screen or staff gender balance. and behind-the-scenes work are as important, if not 145 Gender Balance in Broadcasting23 JANUARY 2012 Gender Balance in Broadcasting 146 more important, than those who do the front-of-house actress; and Olivia Colman in “Tyrannosaur”. Channel 4 work. I take my hon. Friend’s point, however, which is has the formidable Baroness King leading its equality to draw attention to the public face of the BBC and to and diversity practice and, behind the scenes, it has also ask how female-friendly it is. I shall come to that point tried to tackle some aspects of production where women later. Let me finish my short defence of the BBC, are under-represented. Channel 4 has placed a special however. In BBC Vision, for example, 63% of the staff emphasis through its online education projects on working are women and, in the audio music division, 53% of the with female writers and developers, a group still under- staff are women. represented in the digital media. My hon. Friend talked about The Guardian’s recent Those are the statistics and the points that might interest in the number of female presenters on BBC balance the formidable case made by my hon. Friend radio and, of course, Jane Garvey has raised the issue the Member for Mid Bedfordshire. I noticed her reference on “Woman’s Hour”. I noticed that today a very rare to her spat with Andrew Neil, and I do not know whether event happened on “Woman’s Hour”, as a Conservative she has talked herself out of appearing on “The Daily MP appeared and it was a woman, my hon. Friend the Politics” in future. I hesitate to make any joke about Member for Redditch (Karen Lumley). That is, in a that, because when I heard that she had described way, some progress. The BBC has some outstanding Andrew Neil as an orange, overweight, toupee-wearing female presenters and it might amuse my hon. Friend has-been, I was going to say that almost all those the Member for Mid Bedfordshire to know that when adjectives probably apply to me. the corporation sent us the list, at the top was Annie My hon. Friend made some very serious points and Nightingale. She can read into that what she likes. this has been an ongoing issue in the media, which is There were also Sarah Montague, Fearne Cotton, Shelagh why we have very good campaign groups such as Women Fogarty, who happens to be a personal favourite of in Film and Television. The organisation Sound Women mine, Jenni Murray, Lauren Laverne, Mariella Frostrup, would not have been created out of thin air—there must Jo Whiley, Zoe Ball, Moira Stuart and, of course, Jane have been a problem with women appearing on radio as Garvey. If I might abuse my office, I am personally very presenters. disappointed that the BBC did not include Rachel Burden in that list. As hon. Members will be aware, she My offer to the hon. Member for Wells and to my is the formidable female presenter on the BBC 5 Live hon. Friend the Member for Mid Bedfordshire is to Breakfast show, which is the show I listen to in the broker a meeting with both of them—if that would be morning. There are some formidable presenters on all right with you, Mr Speaker, as they both made the BBC. formidable contributions to the debate—with the director- general of the BBC, Mark Thompson, and we will sit In Channel 4, 58% of the employees are women, down and discuss this issue. It is an issue that we must which represents a 1% increase on the previous year. keep pressing at. Some people might regard it as frivolous Four out of seven of the executive team are women and or something that makes good copy for a parliamentary so are six out of the 13 board members. Since we are sketch, but my hon. Friend made a valid and fundamental trading names and numbers, as it were, Channel 4 also point: we want to hear a balance of voices on the radio has a strong representation of women presenters, including and to see a balance of presenters on the television. We Cathy Newman, obviously, who has recently joined do not want to set quotas or diktats, but we do want Channel 4 News. Mary Portas, Kirstie Allsopp, Sarah to maintain a dialogue and pressure. I look forward to Beeny, Katie Piper, Jo Frost, Anna Richardson and brokering that important meeting. Davina McCall all lead their own shows. Question put and agreed to. There are also powerful women in the channel’s film and dramas: Vicky McClure in “This Is England”; Lauren Socha in “Misfits”; Meryl Streep in “The Iron 10.44 pm Lady”, who won the 2012 Golden Globe award for best House adjourned.

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The UK welcomes these proposals, as they will play Written Ministerial an important role in improving fiscal stability in the euro area, which is a good outcome for the UK. The Statements Government are however keen to ensure that, despite applying only to the euro area, these proposals maintain the role of the Council and EFC. Monday 23 January 2012 Presentation of the Presidency work programme The presidency will present Ministers with its work TREASURY programme. It has four priorities: A responsible Europe—making progress on financial regulation ECOFIN dossiers and multi-annual financial framework (MFF) negotiations; A dynamic Europe—revitalising the single market and The Chancellor of the Exchequer (Mr George Osborne): encouraging policies which stimulate EU growth; The Economic and Financial Affairs Council will be A green Europe—advancing energy efficiency and climate held in Brussels on 24 January 2012. The Chancellor change initiatives; and will attend. The following items are on the agenda to be discussed (as of 20 January 2012): A safe Europe—including combating terrorism and ensuring the EU speaks with one voice on international affairs. European Markets Infrastructure Regulation (EMIR) Ministers will have an exchange of views on the The Government agree that making progress on financial outstanding issues on EMIR. Trialogues have been regulation dossiers is important, and will want to see ongoing since ECOFIN reached general agreement on budgetary restraint in the MFF negotiations. The 4 October. The outstanding issues relate to the process Government support efforts to stimulate EU growth for authorisation of central counterparties (CCPs), and and strengthen the single market. provisions relating to third countries. The Danish presidency European Semester (incl. Annual Growth Survey and is seeking a solution that retains the key principles of Euro-Plus Pact) the Council position while integrating a number of the European Parliament’s concerns. Ministers will have an exchange of views on the second European semester. The Government believe On the authorisation of CCPs, the Government believe that the European semester should identify and prioritise that the National Competent Authority must have a policy measures that promote jobs and growth. To pre-eminent role. Therefore, any agreement should maintain achieve this, ECOFIN Ministers need to ensure that the principles established at the 4 October ECOFIN. fiscal consolidation and tackling macro-economic On third country provisions, the objective should be the imbalances is pursued alongside growth-enhancing smooth functioning of the global derivatives market structural reforms. The Government do not agree with while providing ex ante legal certainty to market the focus on taxation in the annual growth survey; it is participants. It is important that jurisdictions recognise important that member states retain the flexibility to the global nature of the derivatives market and ensure shape their own tax policies to suit their economic that legislation enables the smooth functioning of this circumstances. market in a safe manner. Proposals from the Commission on Economic Governance Follow-up to the G20 Meeting of Finance Deputies (Mexico, ECOFIN will hold a first exchange of views on two 19-20 January 2012) Commission proposals to strengthen economic governance. The presidency will give a debrief of the G20 Finance There are no direct policy implications for the UK as Deputies’ meeting. Items include: the global economy these proposals apply to the euro area only. The first and framework; strengthening of the international financial proposal concerns strengthening surveillance of budgetary architecture; financial regulation including financial policies. It would require: euro area member states to inclusion; and energy and commodities. This agenda present their draft budgets at the same time each year item will provide further clarity on the direction that and give the Commission the right to assess them; Mexico would like to take. closer monitoring and reporting requirements for euro area countries in excessive deficit procedure; and that Implementation of Stability and Growth Pact euro area member states have in place independent Ministers will discuss the Commission’s assessments fiscal councils and base their budgets on independent of Belgium, Cyprus, Malta, Poland and Hungary’s forecasts. progress on correcting their excessive deficits. The The second proposal concerns strengthening economic Commission has assessed that the first four member and fiscal surveillance of euro area countries facing, or states have taken effective action and no further steps threatened with, serious financial instability. It aims to under the Excessive Deficit Procedure (EDP) are necessary. ensure that the surveillance of member states under a For Hungary, the Commission proposes to move to the financial assistance programme, or facing a serious next stage of EDP and recommends that the Council threat of financial instability, is: robust, follows clear decides that no effective action has been taken to bring procedures and is embedded in EU law. Under the the deficit below 3% of GDP in a sustainable manner. proposal, the Commission would be able to decide Subject to this decision, the Commission may then whether a member state experiencing severe financial propose new recommendations, with a view to Hungary instability should be subject to enhanced surveillance. effectively addressing its excessive deficit. The Government The Council would be able to issue a recommendation believe that sound public finances are essential for to such member states to request financial assistance. sustainable economic growth. 3WS Written Ministerial Statements23 JANUARY 2012 Written Ministerial Statements 4WS

Revised Code of Conduct of the Stability and Growth The White Paper “Healthy Lives, Healthy People: Pact Our Strategy for public health in England” (Cm7985), The presidency will ask Ministers to endorse a revised described a new era for public health, with a higher code of conduct. The code of conduct provides guidelines priority and dedicated resources. We set out the scope on: the implementation of the stability and growth pact for a new public health system refocused around achieving and the content of stability and convergence programmes. positive health outcomes for the population and reducing The code of conduct has been updated in the light of inequalities in health. This public health outcomes the new economic governance legislation. The Government framework sets the context for the system, from local to support the revised code of conduct. national level. This is a national framework and local Eurogroup-plus meeting on 23 January priorities and objectives will be set through local health improvement plans. The framework sets out indicators Ministers will meet on 23 January, prior to ECOFIN. to measure how we are improving and protecting health They will discuss the intergovernmental agreement and at key stages in peoples’ lives and to reduce inequalities follow up to the December European Council. Ministers in health. will also discuss the European stability mechanism. On growth and competitiveness, the Government are at the We will continue to work across Government and forefront of driving the EU growth agenda, and will with our partners in public health, local government, continue to press for action. On the intergovernmental the NHS, other public services and the third sector to agreement, the Government will be engaging constructively improve the data we will rely upon to provide information in discussions. The UK will not be party to the new on how we well we are doing to improve outcomes. treaty. “Healthy Lives, Healthy People, Improving outcomes and supporting transparency” has been placed in the EDUCATION Library. Copies are available to hon. Members from the Vote Office and to noble Lords from the Printed Paper Office. School Travel Pathfinder Schemes The document is also available at: www.dh.gov.uk/ health/2012/01/public-health-outcomes. The Secretary of State for Education (Michael Gove): I am required under section 80(1) of the Education and Inspections Act 2006 (EIA 2006) to prepare and publish, before 1 January 2012, an evaluation of the operation JUSTICE and effect of school travel schemes approved under schedule 35C to the Act. EU Treaties The School Travel (Piloting of Schemes) (England) Regulations 2007 made provision for the piloting of the school travel schemes and listed the information which The Lord Chancellor and Secretary of State for Justice local authorities were required to include in their (Mr Kenneth Clarke): The Home Office and the Ministry applications to pilot such schemes. As none of the of Justice have prepared the second annual report schemes submitted fully met the criteria, none of the to Parliament on the application of protocols 19 and 21 schemes was approved, and consequently there is no to the treaty on European Union (TEU) and the treaty evaluation to publish. I am therefore proposing, by on the functioning of the European Union (TFEU) means of an order under s80(2) EIA 2006, to provide (“the treaties”) in relation to EU Justice and Home for the cessation of the school travel scheme provisions Affairs (JHA) matters. The report is submitted on behalf in section 508E and schedule 35C of the Education Act of both my own Department and that of the Secretary 1996. The order will specify 1 August 2012 or a date of State for the Home Department. shortly after on which the provisions are to cease. On 9 June 2008 the right hon. Baroness Ashton, the 1 August 2012 is the earliest date cessation can be then Leader of the House of Lords, made a statement effected under s80(3) EIA 2006. setting out commitments by the Government to Parliament in respect of the scrutiny of decisions to be taken by the Government in accordance with protocol (No. 21) to HEALTH the treaties on the position of the UK and Ireland in respect of the area of freedom, security and justice Healthy Lives, Healthy People: Improving Outcomes (“the Justice and Home Affairs opt-in protocol”). These and Supporting Transparency commitments were designed to ensure that the views of the Scrutiny Committees should inform the Government’s decision-making process. The Parliamentary Under-Secretary of State for Health (Anne Milton): Today I am publishing the new public This included a pledge that the Government would health outcomes framework. “Healthy Lives, Healthy lay a report in Parliament each year and make it available People, Improving outcomes and supporting transparency”. for debate, both looking ahead to the Government’s This will help enable Government, Public Health England, approach to EU Justice and Home Affairs policy and the NHS and local government to be held to account in forthcoming dossiers, including in relation to the opt-in, how well we are doing in improving and protecting the and providing a retrospective annual report on the nation’s health. To do this, we have focused on the most UK’s application of the opt-in protocol. important things we want to do to improve and protect On 20 January 2011, the Minister for Europe confirmed the nation’s health and wellbeing and improve the health in his statement to Parliament on enhancing parliamentary of the poorest, fastest. scrutiny of decisions in the area of EU Justice and 5WS Written Ministerial Statements23 JANUARY 2012 Written Ministerial Statements 6WS

Home Affairs that the coalition Government have has benefited from Government funding, approximately undertaken to maintain this commitment, and this is £14,500 in additional output is created relative to that the second such report. It covers the period 1 December of a UK worker displaying average productivity. 2010 to 30 November 2011. For completeness the report With over 90% of the UK’s import and export trade also covers the application of protocol 19 to the treaties by weight transported by the maritime sector, I believe on the Schengen acquis integrated into the framework continuing Government support in this area will reflect of the EU (“the Schengen opt-out protocol”). The our ongoing commitment to economic growth and will Government’s decision-making process for this protocol help to maintain the competitiveness of this sector. is the same as for the Justice and Home Affairs opt-in I have therefore decided to provide a budget of protocol. £12 million a year for the support for maritime training scheme for the remainder of this Parliament. In view of the forecast national shortage of trained seafarers and TRANSPORT the need to develop the next generation of UK officers and ratings, I intend that the majority of the budget be focused on supporting initial training for cadets studying Maritime Training Scheme at junior officer level with the remainder supporting ratings training and ratings to officer conversion training. I will be making a number of minor changes to the The Parliamentary Under-Secretary of State for Transport current scheme to achieve greater value for money by (Mike Penning): Further to my announcement of 22 June maximising the intake of trainees while ensuring more 2011, I would like to inform Parliament of the outcome rigorous accountability structures are in place. of the independent review into the requirement for Government support for merchant navy training and These changes are consistent with the Government’s skills development and how best to spend any continuing wider commitment to improve the transparency and Government funding. accountability of public spending. I have concluded that continuing Government support I will also be considering longer-term options to for maritime training is required. The consultants’ findings, deliver merchant navy training within an overarching accepted by the independent panel, were that there was skills and apprenticeship framework. a good value for money case for the retention of A copy of the consultants’ findings and the Government funding. Evidence was presented to me recommendations made by the independent panel have showing that for each working year of a seafarer who been placed in the Library of the House.

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events, and to ensure they are given every opportunity Written Answers to to engage with the celebrations. For example, Overseas Territories’ Governments are being supported in their Questions plans to hold diamond jubilee celebrations, which for many will include lighting a beacon to mark the occasion. Citizens of the Overseas Territories will be eligible for Monday 23 January 2012 the diamond jubilee medal in line with the agreed eligibility criteria. And, as announced in December by Buckingham Palace, members of the royal family will be visiting Overseas Territories throughout the diamond CULTURE, MEDIA AND SPORT jubilee year on behalf of the Queen. Advertising: Finance HMS Ark Royal Mr Offord: To ask the Secretary of State for Culture, Chris Ruane: To ask the Secretary of State for Olympics, Media and Sport what assessment his Culture, Olympics, Media and Sport how much was Department has made on the possible financial spent on advertising in the UK economy in the benefits to the economy of Torbay from the sale of last year for which figures are available; and what HMS Ark Royal to the Wreck the World organisation. proportion of GDP this figure represented. [90929] [90011] Mr Vaizey: The advertising sector was estimated to Peter Luff: I have been asked to reply on behalf of have contributed £5.9 billion, or 0.48% to the UK’s the Department for Defence. CVA in 2009. All proposals received to buy HMS Ark Royal are The latest “Creative Industries Economic Estimates” being evaluated solely against published technical, financial bulletin was released in December 2011, in which the and commercial criteria. contribution to the economy of the creative industries is Work to evaluate the proposals is at an advanced estimated (including the advertising sector) covering stage and we hope to make a decision about the successful gross value added (GVA),employment, exports in services bid in the near future. and number of businesses. This can be found at: Listed Places of Worship Grant Scheme http://www.culture.gov.uk/publications/8682.aspx Broadband: EU Grants and Loans Jonathan Ashworth: To ask the Secretary of State for Culture, Olympics, Media and Sport how many listed places of worship have participated in the grant scheme Julian Smith: To ask the Secretary of State for for repairs in (a) Leicester and (b) England in the last Culture, Olympics, Media and Sport what discussions 12 months. [91432] he has had with the Department for Communities and Local Government on European regional development John Penrose: From 1 January 2011 to 31 December fund applications relating to superfast broadband. 2011, two listed places of worship in Leicester have [91549] claimed a grant from the Listed Places of Worship grant scheme, and 2,223 listed places of worship in Mr Vaizey: The Department has been working closely England have claimed a grant from the scheme. with the Department for Communities and Local Sports Government on the definition of eligible expenditure on superfast broadband from the European regional John Mann: To ask the Secretary of State for development fund and we have agreed some guidance Culture, Olympics, Media and Sport which five sports which has been issued to broadband stakeholders. As (a) he and (b) the Minister for Sport and the set out in the National Infrastructure Plan and the Olympics visited most in an official capacity in 2011. Growth Review published in 2011, the Government are [88918] taking a flexible approach to ensure that local areas can benefit from the available funding. Hugh Robertson: The Secretary of State for Culture, Olympics, Media and Sport, my right hon. Friend the Diamond Jubilee 2012 Member for South West Surrey (Mr Hunt), and I visited many sports in an official capacity in 2011. Some Andrew Rosindell: To ask the Secretary of State for of the sports included were badminton, beach volleyball, Culture, Olympics, Media and Sport (1) what provision cricket, cycling, football, golf, motor racing, rugby, will be made for British Overseas Territories in the sailing, tennis, wheelchair basketball, boxing, table tennis, official Queen’s diamond jubilee celebration; [91037] equestrianism, handball, rowing, swimming, synchronised (2) what assistance his Department is giving to swimming, gymnastics, climbing, beach volleyball and British Overseas Territories to mark the Queen’s archery. diamond jubilee. [91038] Television: Advertising

Hugh Robertson: A series of key events will take place Chris Ruane: To ask the Secretary of State for over the extended bank holiday weekend in June to Culture, Olympics, Media and Sport whether he has mark Her Majesty’s diamond jubilee. This Department assessed the effect of (a) advertising specifically is working closely with Foreign and Commonwealth focused on children and (b) fictional acts of violence Office colleagues and Buckingham palace to establish portrayed on television and in film on children’s how the Overseas Territories can take part in these subjective well-being levels. [90874] 3W Written Answers23 JANUARY 2012 Written Answers 4W

Mr Vaizey: No assessment has been made. The rules Forces″ and ″Quest″ publications, both of which are on media content standards are the responsibility of widely distributed by service establishments and also media regulators that are independent of Government. online. It is these regulators who assess the sort of material that is appropriate for different audiences. Arms Trade

Third Sector Mr Jim Murphy: To ask the Secretary of State for Defence whether the National Security Council has Mr Thomas: To ask the Secretary of State for discussed the Arms Trade Treaty; and whether he has Culture, Olympics, Media and Sport what steps his asked the Council to discuss it. [88613] Department is taking to measure progress on the implementation of policies supporting the Big Society Nick Harvey: I refer the right hon. Member to the initiative; and if he will make a statement. [91390] answer given by the Foreign and Commonwealth Office by the Under-Secretary of State for Foreign and John Penrose: This Department’s Business Plan contains Commonwealth Affairs, the hon. Member for North a number of commitments which will help boost the East Bedfordshire (Alistair Burt), on 10 January 2012, Big Society. Updates on progress against all milestones Official Report, column 75W. in the Business Plan are published monthly and are available here: Entertainers: Afghanistan http://www.culture.gov.uk/about_us/8317.aspx Mr Knight: To ask the Secretary of State for Defence how much funding from the public purse has been spent on provision of accommodation, hospitality, DEFENCE transport or other facilities to enable showbusiness personalities, radio presenters and others in the Armed Forces: Education entertainment industry to visit Afghanistan in the last 12 months for which figures are available. [90242] Hazel Blears: To ask the Secretary of State for Defence (1) what estimate he has made of the cost of Mr Philip Hammond [holding answer 19 January the Standard Learning Credit scheme in (a) 2011-12, 2012]: Entertainment of members of the armed forces (b) 2012-13, (c) 2013-14 and (d) 2014-15; [87897] is, and has for many years been, an important element (2) what estimate he has made of the likely cost of of the deployment welfare package. It helps to maintain the Enhanced Learning Credits scheme in (a) 20011- morale and thereby combat effectiveness of service personnel. The Ministry of Defence has a contract with 12, (b) 2012-13, (c) 2013-14 and (d) 2014-15. [88390] Combined Services Entertainment to provide entertainment to members of the armed forces deployed overseas, Mr Robathan: We continue to promote lifelong learning including Afghanistan. The value of entertainment provided and estimate the following will be refunded to claimants for Afghanistan against this contract during 2011 was through the Standard, and Enhanced Learning Credits £437,637. This figure does include an element for UK scheme: travel and mobilisation costs, however, entertainment personalities who visit Afghanistan under this contract £ million or under other auspices are transported and accommodated Standard Enhanced Financial year Learning Credits Learning Credits alongside armed forces personnel at minimal extra cost to the public purse. 2011-12 2.1 15.3 2012-13 2.1 16.2 Ex-servicemen 2013-14 2.2 17.2 2014-15 2.2 17.3 Hazel Blears: To ask the Secretary of State for Defence whether he has any plans to assess whether Hazel Blears: To ask the Secretary of State for levels of (a) alcohol dependency, (b) substance Defence what steps he has taken to encourage more dependency, (c) homelessness, (d) mental health service personnel to take advantage of the funding problems and (e) crime perpetration are higher than assistance provided by his Department through average among ex-service personnel. [89964] schemes such as the Enhanced Learning Credits Scheme and Standard Learning Credits Scheme. Mr Robathan: The Ministry of Defence fully supports [89433] the need for high quality research in these areas. We have commissioned a number of well-received studies Mr Robathan: The MOD promotes lifelong learning over a number of years into various aspects of Defence among members of the armed forces, and this is encouraged health, including mental health. One such ongoing study through the Learning Credits schemes. Recruits undertaking carried out by King’s college, London has, since 2003, phase one training are provided with a briefing on the researched the experiences of armed forces personnel schemes and are automatically enrolled. These briefings who served in Iraq and/or Afghanistan. The study has are routinely followed up by learning and development over 20,000 participants and it monitors the effects of officers and service resettlement advisers. In addition operational service against a cohort group who did not Learning Credits are regular features in the ″Courses 4 deploy. Key findings to-date are: 5W Written Answers23 JANUARY 2012 Written Answers 6W

The overall mental health of the armed forces is good Nick Harvey: The fixed wing aircraft support to the and prevalence of disorders among service personnel is Swanland rescue operation was provided by the Irish generally in line with the rest of the population. Coast Guard, part of the Irish Department of Transport. Some 13% of respondents displayed evidence of alcohol The Ministry of Defence does not hold information on misuse, compared to a similar figure in the general the minimum altitude of the aircraft during the operation. population. Increased use is associated with operational deployment. Some 4% of respondents displayed symptoms of DEPUTY PRIME MINISTER post traumatic stress disorder (compared with 3%-7% in the general population). Electoral Register Common mental health disorders, such as anxiety Chris Ruane: To ask the Deputy Prime Minister and depression, are more prevalent, with 19.7% of pursuant to the oral answer of 11 October 2011, service personnel studied experiencing them. Official Report, column 172W, on individual voter The deployment on operations was associated with a registration, for what reasons the level of voter small increase in symptoms of post traumatic stress registration will not decrease significantly following the disorder in reservists (5%). This should be viewed against introduction of individual electoral registration. [91277] the very low prevalence of symptoms for reservists (1.8%) who did not deploy on operations. Mr Harper: The Government are putting safeguards in place to stop people “dropping off” the register, as We currently estimate that about 3.5% of the prison well as looking at ways we can increase registration population in England and Wales has previously served levels during the transition to individual electoral registration in the armed forces. We are committed to playing our (IER). part in supporting the Ministry of Justice and our voluntary and community sector partners, in identifying We have learnt from the experience in Northern and supporting ex-service personnel who come into Ireland and are phasing in IER over two years. Existing contact with the criminal justice system. electors will be invited to register under the new system in both the amended canvass in 2014 and the full HMS Victory household canvass in 2015 before they are removed from the register. In these canvasses we are funding extensive contact with all electors that will include Mr Andrew Smith: To ask the Secretary of State for invitations to register, reminders and door to door Defence what plans he has for the future management canvassing. This will be supported by an Electoral and conservation of the wreck of HMS Victory 1744; Commission publicity campaign. and if he will make a statement. [90968] Last year we tested data matching, that is the matching Mr Robathan: An agreement has been reached with of electoral registers with public databases. We are now the Maritime Heritage Foundation for the trust to considering the emerging findings and how it might undertake the future management of the Victory (1744) support completeness over the transition to IER. wreck site. The remains of the vessel have been gifted to The recent report by the Electoral Commission on the trust, with safeguards to ensure that any actions completeness and accuracy of the electoral registers taken in respect of the wreck are consistent with the shows that it is important, now more than ever, that we archaeological principles set out in Annex A to the modernise the system of electoral registration. That is UNESCO Convention on the Protection of Underwater what we are doing as part of the transition to IER, for Cultural Heritage. example by enabling online registration. The Government remain committed to ensuring that the maximum number Military Afloat Reach and Sustainability Programme: of eligible people are on the register. Tankers Chris Ruane: To ask the Deputy Prime Minister whether he has considered downgrading the remit Nicholas Soames: To ask the Secretary of State for of the Electoral Commission to monitor electoral Defence how many RFA tankers are to be ordered in registration. [91280] the MARS programme. [90755] Mr Harper: The Electoral Commission issues guidance Peter Luff [holding answer 19 January 2012]: We to and sets standards for electoral registration officers have received the final bids for the Military Afloat on electoral administration, and monitors their Reach and Sustainability (MARS) Tankers programme performance. The Government believe that this is an and anticipate announcing the winning bid later this appropriate role for the Electoral Commission and have spring. Up to four MARS tankers are expected to be no plans to change it. ordered. Rescue Services EDUCATION Mrs Moon: To ask the Secretary of State for Defence Academies Act 2010 pursuant to the answer of 14 December 2011, Official Report, column 799W, on rescue services, what the Lisa Nandy: To ask the Secretary of State for minimum altitude was of the maritime patrol aircraft Education if he will publish the outcome of the provided by the Irish Air Corps during the search and consideration he gave under section 9 of the Academies rescue operation for the Swanland; and if he will make Act 2010 to the effect of establishing the free schools a statement. [90815] that opened in September 2011. [89054] 7W Written Answers23 JANUARY 2012 Written Answers 8W

Mr Gibb: The outcome of the consideration under Academies: Primary Education section 9 of the Academies Act 2010, in respect of the impact of establishing a new school on educational John Mann: To ask the Secretary of State for institutions in the area in which the additional school is Education what assessment he has made of any effects (or is proposed to be) situated, is the Funding Agreement. of the conversion of primary schools into academies The 2011 Free School Funding Agreements will be on (a) head teacher salaries, (b) provision of cooked published in due course. meals in schools and (c) provision of free school meals. [89067] Academies: Faith Schools Mr Gibb: The Government believe that teachers and head teachers and governors know best how to run Dr Huppert: To ask the Secretary of State for schools. This includes the freedom to set terms and Education (1) whether his Department is working with conditions in relation to staff, including head teachers, the Church of England to make it possible for to give them greater scope to innovate and raise standards community schools to convert to faith academies in for the pupils in their schools. Regardless of academy one consultation; [90376] status, a school meal must also be provided to pupils (2) what equality impact assessment his Department who meet the eligibility criteria and who have made a has made on any plans to expand the number and request for the meal. It is for schools themselves to proportion of (a) academy and (b) non-academy decide what form that meal should take, i.e. whether Church of England schools; [90377] they provide a hot or cold meal, or a packed lunch. The (3) what measures are in place to protect staff and academy’s funding agreement requires the academy students at former community schools that gain a faith trust to ensure that a school lunch is provided for ethos from religious discrimination by the school or the eligible pupils. school’s sponsor; [90378] Education: Children (4) whether a school without a religious character but with a faith ethos can place an occupational Chris Ruane: To ask the Secretary of State for requirement on some senior posts requiring them to Education what plans his Department has to include share the religion of the school. [90379] reference to children’s subjective well-being relating to school life within school inspection frameworks and Mr Gibb [holding answer 17 January 2012]: We believe performance measures. [90140] that it is right that all schools, whether faith schools or not, should have the chance to enjoy the benefits of Mr Gibb: A new school inspection framework came academy status. We have been clear however, that schools into effect at the start of January. This reflects provisions which are voluntarily converting to academy status in the Education Act 2011 which require inspection should not be able to use the process of conversion itself reporting to be focused around the areas of pupils’ to gain a faith designation. achievement; teaching quality; leadership; and pupils’ The current requirement in respect of maintained behaviour and safety. In reporting on these matters, schools for a school to close and then reopen as a faith inspectors need to consider how the school is meeting school in order to gain a religious designation is set out the needs of the range of pupils and their spiritual, in primary legislation. Any change would, therefore moral, social and cultural development. All these aspects require legislation. The Department is currently reviewing are relevant to pupils’ subjective well-being. school organisation regulations, which apply in relation The Government are publishing, through the school to maintained schools, with the aim of streamlining performance tables, comprehensive information about processes and reducing bureaucracy. the standards pupils attain; the progress they make at The Department has no plans to expand the number school; and how gaps in performance between groups and proportion of Church of England schools. Therefore, of pupils are narrowing. These matters impact strongly an equality impact assessment of such a proposal has on pupils’ well-being. not been necessary. The Government are also committed to using the subjective well-being data that will become available Where an existing academy wants to gain a religious through the Office for National Statistics’ “Measuring designation, it must seek the permission of the Secretary national well-being programme”, alongside more traditional of State to change its articles and funding agreement. objective measures, to assess the impact of policies on We would always insist that a consultation of the local people’s quality of life. community had been carried out before considering whether such permission would be granted. Where an Education: Young People academy did gain a faith designation, we would ensure that in amending the funding agreement there was Chris Ruane: To ask the Secretary of State for guaranteed protection for existing staff. Education what assessment his Department has made Only designated faith schools have an exemption of the potential effect of the ending of educational from the Equality Act 2010 which allows them to apply maintenance allowance on levels of subjective well- religious criteria to certain posts, in line with the provisions being for 16 to 18-year-olds. [90139] of the Schools Standards and Framework Act 1998. Other schools may only discriminate in relation to Mr Gibb: Recent well-being data from the Office for senior posts if they can demonstrate that there is a National Statistics (ONS) shows that young people genuine occupational requirement for the post holder aged between 16 and 19 were rated as having relatively to be of a particular religion or belief. high levels of life satisfaction and happiness. 9W Written Answers23 JANUARY 2012 Written Answers 10W

The Department’s decision to end education maintenance The new Ofsted framework for inspection specifically allowance (EMA) was informed by research which indicated refers to pupils eligible for FSM and inspectors are that most young people who received EMA would have required to consider the extent to which the school participated in further education without it. meets the needs of such pupils. The 16-19 bursary fund, which began at the beginning of the current academic year, targets financial support History: GCSE towards those young people who are experiencing significant barriers to participating in education and training. The Michael Ellis: To ask the Secretary of State for Department has commissioned an independent evaluation Education what steps his Department is taking to of the bursary fund which is due to commence soon. increase the number of children taking history at The evaluation will consider the overall impact of the GCSE level. [90907] new arrangements, and will look particularly at the impact on vulnerable groups and those less likely to Mr Gibb: The Government are concerned that GCSE participate post-16. entries to history, geography and foreign languages have been falling and have introduced the English Baccalaureate Financial Services: Education to reverse these declines. The English Baccalaureate recognises schools’ and Anne Marie Morris: To ask the Secretary of State for pupils’ GCSE achievements in English, maths, sciences, Education what recent assessment he has made of the history, geography and languages. We have published (a) quality and (b) level of financial education in information on GCSE performance in this combination schools. [91009] of subjects to encourage schools to open their study up to more pupils. Mr Gibb: Financial education is currently taught as A survey of nearly 700 schools, carried out last part of the non-statutory framework for personal, social, summer, indicated that the introduction of the English health and economic (PSHE) education. Baccalaureate is having an immediate impact on the In July 2010, Ofsted published a report on PSHE proportion of children electing to take up study of education in schools, based on evidence from inspections GCSE history. Schools responding indicated that 39% of 165 maintained schools in England between September of their pupils (taking GCSEs in 2013) are taking up 2006 and July 2009. Inspectors found that students in history, against 31% of pupils entered for history GCSEs those schools that were successfully developing personal in 2010. This represents an approximate increase of finance education showed a good understanding of 26% in the number of pupils taking up history in the personal finance, used financial terms correctly and schools responding. were able to apply their knowledge in making financial decisions. They highlighted inconsistency in provision Primary Education: Teachers for finance education. We are reviewing PSHE, including financial capability, John Stevenson: To ask the Secretary of State for to determine how we can improve the quality of all Education how many (a) men and (b) women have PSHE teaching and support teachers to teach the subject qualified as primary school teachers in the last three well. The review will allow the Secretary of State for years for which figures are available. [89162] Education, my right hon. Friend the Member for Surrey Heath (Michael Gove), to consider the place of financial Mr Gibb: The latest available data are given in the education in the curriculum. We have completed our following table: public evidence-gathering phase, and expect to publish Number attaining qualified teacher status as primary teachers, by proposals for public consultation later this year. gender. Academic years 2007/08 to 2009/10. Coverage: England Gender Free School Meals Academic year Male Female Total 2007/08 2,010 13,510 15,520 Chris Ruane: To ask the Secretary of State for 2008/09 2,100 13,660 15,770 Education what consideration he gives to the number 2009/10 2,370 13,320 15,690 of free school meals claimed when calculating levels of Notes: educational (a) attainment and (b) performance. 1. Includes all routes to qualified teacher status (postgraduate and undergraduate routes, college-based and employment-based routes). [90886] 2. Numbers have been rounded to the nearest 10, so totals might not appear to be the sum of their parts. Mr Gibb [holding answer 20 January 2012]: The Government are committed to closing attainment gaps Pupils: Disadvantaged between disadvantaged pupils and their peers. Eligibility for free school meals (FSM) is used as a measure for John Stevenson: To ask the Secretary of State for disadvantage and the attainment of pupils who are Education what estimate he has made of the number of eligible for FSM forms a key part of the published children eligible for the pupil premium in Carlisle school performance data. The Department publishes constituency in academic year 2012-13. [89163] national and local attainment data by pupil characteristics, including eligibility for FSM, annually. These data for Sarah Teather: We do not yet have final figures for the Key Stage 2 were published on 15 December and data number of pupils eligible for the pupil premium in the for Key Stages 4 and 5 will be published in February 2012-13 academic year as they will, in part, be based on 2012. pupil numbers recorded in the January 2012 census 11W Written Answers23 JANUARY 2012 Written Answers 12W returns. The Department has produced illustrative tables, Secondary Education: Gifted Children based on the January 2011 pupil census, showing estimated allocations of the pupil premium for 2012-13. This Damian Hinds: To ask the Secretary of State for estimate reflects the change in the criteria for eligibility Education how many and what proportion of for the pupil premium which I announced on 12 December maintained secondary schools had nominated at least 2011. This extends eligibility in 2012-13 to pupils who one pupil for the Gifted and Talented programme as at have been eligible for FSM at any point in the last six the end of each year of the programme. [89503] years. The tables can be found at: http://www.education.gov.uk/schools/adminandfinance/ Mr Gibb: The Department does not hold this information financialmanagement/schoolsrevenuefunding/ in the form requested. settlement2013pupilpremium/a00200465/schools-funding- settlement-2012-13-including-pupil-premium In state-funded primary schools there were 353,865 pupils in the Gifted and Talented cohort, a small decrease Based on the January 2011 pupil census, the estimated from 365,970 in 2010, and representing 8.6% of the number of pupils in the Carlisle constituency who school population. In state-funded secondary schools would be eligible for the pupil premium in 2012-13 is there were 464,040 pupils in the Gifted and Talented 2,530. The total number of pupils eligible for the pupil cohort, a small decrease from 481,225 in 2010, and premium in the Carlisle constituency may be higher, but representing 14.2% of the school population. it is not possible to identify the number of pupils in each parliamentary constituency recorded as being in CfBT Education Trust completed its three-year contract care or recorded in the alternative provision census as, with the Department to manage the Gifted and Talented in both cases, the returns are provided at local authority programme on 31 March 2010. level rather than at establishment level. The identification of gifted and talented pupils has always been left to schools. The Government’s approach is to give school leaders greater power and control to John Stevenson: To ask the Secretary of State for drive improvement in their schools so that they have the Education how many children the pupil premium has freedom and flexibility to offer tailored educational been allocated to in Carlisle constituency since it was opportunities that will ensure that the most academically introduced. [89164] able children receive appropriate challenge and stretch.

Sarah Teather: The pupil premium was introduced in Sixth Form Colleges: Safety April 2011 and allocations have so far only been made for the 2011-12 financial year. Pupil premium funding is Mr Graham Stuart: To ask the Secretary of State for provided in respect of pupils known to be eligible for Education whether the updated health and safety free school meals, children in care who have been guidance for schools and local authorities issued in July continuously looked after for at least six months and 2011 also applies to sixth form colleges; and if he will children whose parents are serving in the armed forces. make a statement. [90461] In the Carlisle constituency there were 1,710 pupils recorded on the January 2011 school census returns as Mr Gibb: The Department for Education’s updated known to be eligible for FSM or to be service children. health and safety advice to schools issued in July last The total number of pupils eligible for the pupil premium year summarises how existing health and safety law in the Carlisle constituency may be higher, but it is not affects employers, be that the local authority or governing possible to identify the number of pupils in each body depending on the type of institution. This advice parliamentary constituency recorded as being in care or is not statutory guidance but it summarises the legal recorded in the alternative provision census as, in both duties and powers under health and safety legislation. cases, the returns are provided at local authority level Sixth form colleges are covered by the same health and rather than at establishment level. safety legislation and may therefore find the updated advice useful to inform their approach to health and safety but it is not statutory. Schools: Liverpool The DFE guidance is due for review during the summer of 2012 and I will ask officials to discuss it with Steve Rotheram: To ask the Secretary of State for the Association of Colleges and the Sixth Form Colleges’ Education what assessment he has made of the Forum. effect on schools in Liverpool of reductions in his Department’s budget in 2014-15. [86955] Skerton Community Primary School

Mr Gibb: In October 2010, the Government announced David Morris: To ask the Secretary of State for that funding for schools would be maintained at flat Education what discussions have taken place between cash per pupil over the spending period. This means his Department and Lancashire County Council on the that, as the number of pupils rise, the overall budget future of the Skerton Community Primary School site. will rise in line. The Government also announced a [89934] pupil premium for deprived pupils, which will rise to £2.5 billion by 2014-15. In 2011-12, Liverpool received Mr Gibb: No discussions have taken place between £8.88 million from the pupil premium and £12.3 million the Department for Education and Lancashire county in capital allocations. Funding levels for individual local council on the future of Skerton Community Primary authorities beyond 2012-13 have not yet been set. School. 13W Written Answers23 JANUARY 2012 Written Answers 14W

Under Schedule 35A to the Education Act 1996 in the insulation industry if the average annual take-up consent is required of the Secretary of State for Education, rate of (a) loft insulation fell from 1,060,000 to 70,000 my right hon. Friend the Member for Surrey Heath and (b) cavity wall insulation fell from 510,000 to (Michael Gove), before land at a community school can 170,000 installations. [91309] be disposed of or appropriated by a local authority. This applies to any community school land where that Gregory Barker: DECC’s impact assessment, published land has been used wholly or mainly for such a school in November 2011, estimated that each year, £1.3 billion in the eight years preceding the date of disposal. This will be spent by energy companies and over £700 million long-standing provision is to allow the Secretary of in private finance on energy efficiency—meaning investment State for Education to consider the suitability of community in the sector will be higher than ever before. It estimated school land for use by an Academy or Free School. that the Green Deal and ECO will support growth in employment in the insulation sector from 27,000 to 65,000 by 2015. We are currently in the process of updating the ENERGY AND CLIMATE CHANGE impact assessment. This will take account of new research, and developments such as the £200 million announced Carbon Sequestration: EU Grants and Loans in the Autumn Statement to drive the early uptake of the Green Deal. The final impact assessment will be Barry Gardiner: To ask the Secretary of State for published alongside the Government response to the Energy and Climate Change what written consultation. representations he has made to Commissioner Hedgegaard on UK readiness to co-finance carbon EU Law capture and storage projects under the NER300 process. [91316] Mr Thomas: To ask the Secretary of State for Energy and Climate Change whether his Department holds Charles Hendry: None. DG Climate are expected to information on the EU regulations in its policy areas seek formal assurances regarding member state support of responsibility which have not been implemented in for successful NER300 projects in the autumn, before (a) France and (b) Germany; on which dates those finalising Award Decisions and announcing projects at regulations became EU law; and if he will make a the end of the year. My officials are in contact with DG statement. [90694] Climate to ensure the UK and European processes synchronise. Gregory Barker: The information requested is not held by the Government. Providing an answer would Barry Gardiner: To ask the Secretary of State for incur disproportionate cost. However, this information Energy and Climate Change what assurances is held on the European Commission’s EUR-Lex website: representatives of the European Commission’s DG http://eur-lex.europa.eu/en/index.htm Climate have sought on the UK’s readiness to co-finance carbon capture and storage projects under Mr Thomas: To ask the Secretary of State for Energy the NER300 process. [91317] and Climate Change which EU regulations his Department has not implemented; on what date the Charles Hendry: DG Climate are expected to seek regulations became EU law; and if he will make a formal assurances regarding member state support for statement. [90709] successful NER300 projects in the autumn, before finalising award decisions and announcing projects at the end of Gregory Barker: DECC is the lead Department the year. My officials are in contact with DG Climate to responsible for the following EU directives and regulations ensure the UK and European processes synchronise. which have not yet been fully implemented by the UK Government (this list does not include legislation made Christmas by the European Commission; or EU directives and regulations which have been implemented by the UK Mr Thomas: To ask the Secretary of State for Energy Government but where implementation remains to be and Climate Change how much his Department spent completed by Gibraltar or by the devolved on (a) Christmas trees and (b) other Christmas Administrations): decorations in 2011; and if he will make a statement. Directive 2009/28/EC on the promotion of the use of energy [91088] from renewable sources (came into force 25/06/2009); Directive 2009/29/EC to improve and extend the greenhouse Gregory Barker: The Department of Energy and gas emission allowance trading scheme of the Community (came Climate Change incurred nil expense in relation to into force 25/06/2009); Christmas trees or other Christmas decorations in 2011. Directive 2009/31/EC on the geological storage of carbon dioxide (came into force 25/09/2009); Environment Protection: Employment Directive 2009/119/EC imposing an obligation to maintain minimum stocks of crude oil and/or petroleum products (came into force 29/10/2009); Luciana Berger: To ask the Secretary of State for Directive 2011 /70/EURATOM establishing a Community Energy and Climate Change with reference to the framework for the responsible and safe management of spent fuel impact assessment for the Green Deal and Energy and radioactive waste (came into force 22/08/2011); Company Obligation, what estimate his Department Regulation (EU) No 1227/2011 on wholesale energy market has made of the number of jobs that would be lost integrity and transparency (came into force 28/11/2011). 15W Written Answers23 JANUARY 2012 Written Answers 16W

EU directives and regulations become EU law when ¤ they enter into force, which is usually 20 days following their publication in the Official Journal of the European 2006-07 671,471,108 Union. The date for transposition in the UK is usually a 2007-08 791,751,369 year or more later. 2008-09 702,236,975 2009-10 776,975,944 European Investment Bank 2010-11 825,013,205 Barry Gardiner: To ask the Secretary of State for Energy and Climate Change when he expects to be Animal Welfare: Circuses notified by the European Commission’s DG Climate of the relative positions of UK projects in the ranking Jo Swinson: To ask the Secretary of State for prepared by the European Investment Bank of Environment, Food and Rural Affairs what legal proposals submitted under the NER300 process. obstacles prevent the enactment of a ban on wild [91315] animals in circuses in the UK. [90463]

Charles Hendry: DG Climate is expected to approach Mr Paice: I refer the hon. Member to the answer I member states to inform them of the relative positions gave to the hon. Member for Scunthorpe (Nic Dakin) of their projects shortly after the EIB 9 February deadline. on 3 October 2011, Official Report, columns 1405-06W. No formal announcements will be made until Award We are also considering the relevance of a judgment of Decisions are made at the end of the year. My officials the Austrian Constitutional Court that was published will be in regular informal contact with DG Climate on 21 December 2011 and whether it is relevant to the throughout the year. legal position here. Homesun Holdings Fiona O’Donnell: To ask the Secretary of State for Environment, Food and Rural Affairs with reference to Caroline Flint: To ask the Secretary of State for the recent decision by the Austrian Constitutional Energy and Climate Change what legal costs his Court, whether she has taken further legal advice on Department has incurred in the case of Homesun the legality of a ban on the use of wild animals in Holdings Ltd v Secretary of State for Energy and circuses; and if she will make a statement. [91003] Climate Change. [89860] Mr Paice: I refer the hon. Member to the answer Gregory Barker: I estimate that the Government have I gave her on 17 January 2012, Official Report, incurred costs of approximately £66,400 to date in column 734W. relation to the application for judicial review made jointly by Homesun, Solarcentury and Friends of the Earth. In the event that we are successful on appeal we Fiona O’Donnell: To ask the Secretary of State for would expect to recover all, or a substantial proportion, Environment, Food and Rural Affairs pursuant to the of our costs. answer of 16 January 2012, Official Report, column 456W, on animal welfare: circuses, and with reference to the findings of the Radford Report, what assessment she has made of the adequacy of available scientific ENVIRONMENT, FOOD AND RURAL AFFAIRS evidence on which her Department can base its conclusion that it will be possible to introduce a set of Agriculture: Subsidies enforceable standards that will ensure the welfare of wild animals in travelling circuses. [91371] Mary Creagh: To ask the Secretary of State for Environment, Food and Rural Affairs how much Mr Paice: I refer the hon. Member to the answer I Scottish farmers have received in subsidies from the EU gave her on 16 January 2012, Official Report, column in each of the last five years. [91283] 456W.

Fiona O’Donnell: To ask the Secretary of State for Fiona O’Donnell: To ask the Secretary of State for Environment, Food and Rural Affairs how much Environment, Food and Rural Affairs pursuant to the Scottish farmers have received in subsidies from the EU answer of 17 January 2012, Official Report, columns in each of the last five years for which figures are 733-4W, on animal welfare: circuses, which licensing available. [91367] systems for animal welfare in the UK her Department has considered in its assessment; and what evidence Mr Paice: The available figures, in euros and relating was available to her Department on the efficacy of such to the EU CAP finance year running from 16 October licensing systems and their operation. [91374] to 15 October, are given as follows. They include all payments under the common agricultural policy European Mr Paice: There are currently a number of animal agricultural guarantee fund and the European agricultural welfare licensing systems operating in England, including fund for rural development (EAFRD) programmes (direct for: zoos, dangerous wild animals kept in private ownership, payments and rural development respectively) and also pet shops, riding schools, greyhound tracks, kennels include the co-financed element of the EAFRD payments and catteries, and dog breeding establishments. In particular, funded by the Scottish Government. Figures for the the standards required by the Zoo Licensing Act 1981 2010-11 year are provisional. (the Secretary of State’s Standards of Modern Zoo 17W Written Answers23 JANUARY 2012 Written Answers 18W

Practice) have been considered in the development of Departmental Procurement our proposed licensing scheme for wild animals in travelling circuses. Mr Thomas: To ask the Secretary of State for DEFRA keeps all its licensing schemes under review Environment, Food and Rural Affairs how many contracts and we are not aware of any evidence that there are any her Department has awarded directly to (a) small, (b) inherent problems with the concept of licensing to medium-sized and (c) large businesses in each month safeguard animal welfare. since May 2010; what the value was of such contracts; and if she will make a statement. [75135]

Animal Welfare: Exports Richard Benyon: The information in the format requested is not held centrally and could not be obtained without Laura Sandys: To ask the Secretary of State for incurring disproportionate cost. However, I refer the Environment, Food and Rural Affairs what proportion hon. Member to the answer I gave to his previous of the Animal Health and Veterinary Laboratories question which was published on 15 November 2011, Agency budget was allocated to the inspection of live Official Report, column 735W. animal export shipments from UK ports in the latest period for which figures are available. [90233] Departmental Recruitment

Mr Paice: There is no specific budget for the inspection Jon Trickett: To ask the Secretary of State for of live animal export shipments from UK ports. While Environment, Food and Rural Affairs how much her some of this work is carried out by Animal Health and Department spent on recruitment agencies in each Veterinary Laboratories Agency (AHVLA) inspectors, month since September 2011. [88008] the majority is undertaken by private veterinarians appointed as official vets to work on AHVLA’s behalf, Richard Benyon: Since September 2011, the Department and these inspections are paid for by the exporter. has spent the following on recruitment agencies since September 2011 in core DEFRA: Laura Sandys: To ask the Secretary of State for Environment, Food and Rural Affairs how many staff £ in the Animal Health and Veterinary Laboratories Agency are responsible for inspecting live animal September 26,010.00 export shipments from UK ports. [90234] October 5,940.00 November 0 Mr Paice: Resourcing portal inspections is largely 1-19 December 0 dependent upon the number of vehicles coming in, and Total 31,950 the risk these represent. As a minimum, portal inspections and supervised loadings are normally undertaken by These figures comprise of costs involved in using one inspector although this may change if there are Executive Search Providers, including the outsourcing circumstances to warrant it. of recruitment activity to third parties. These inspections form a very small percentage of the overall work undertaken by Animal Health and Veterinary Dogs: Tagging Laboratories Agency staff at ports in GB. Huw Irranca-Davies: To ask the Secretary of State for Environment, Food and Rural Affairs pursuant to Dangerous Dogs the answer of 11 January 2012, Official Report, column 363W, to the hon. Member for Portsmouth South, on dogs: tagging, if she will publish her Department’s Mr Umunna: To ask the Secretary of State for assessment of all aspects of microchipping. [90387] Environment, Food and Rural Affairs (1) what recent discussions she has had with ministerial colleagues on Mr Paice: We are currently working on a package of the Dangerous Dogs Act 1991; [89945] measures to tackle irresponsible dog owners. This will (2) what discussions she (a) has had and (b) plans be announced soon and will include details of the to have with ministerial colleagues on the powers of benefits of compulsory microchipping of dogs. local authorities relating to the control of dogs; and if she will make a statement. [89946] Fisheries Mr Paice: The issue of dangerous dogs is one that encompasses several Government Departments. In Fiona O’Donnell: To ask the Secretary of State for particular, DEFRA Ministers have been in discussion Environment, Food and Rural Affairs (1) what with colleagues in the Home Office, Ministry of Justice assessment she has made of the effect of reductions in and Department for Communities and Local Government the number of days fishermen can spend at sea on the over the development of a package of measures aimed ability of the UK fishing fleet to use increased quotas at promoting more responsible ownership of dogs. of certain fish stocks; [88680] Discussions have included powers available to local (2) what assessment she has made of the effect of the authorities to deal with the control of dogs. I anticipate outcome of the recent EU Fisheries Council on the further discussions with colleagues on this issue will be number of fishing vessels that will be viable in 2012; taking place. [88681] 19W Written Answers23 JANUARY 2012 Written Answers 20W

(3) what assessment she has made of the number of recommendations in the report commissioned by the fishing vessels in (a) England, (b) Scotland, (c) Wales Forestry Commission Scotland and the Scottish and (d) Northern Ireland that will be affected by the Government on supporting biomass electricity in the reduction in the number of days fishermen can spend Renewables Obligation (Scotland); and if she will make at sea; [88682] a statement. [90256] (4) what assessment she has made of the effect of the reduction in the number of days fishermen can spend Mr Paice: The Government Bioenergy Strategy, due at sea on the financial viability of the fishing fleet in for publication shortly, will set out the framework for (a) Scotland and (b) the UK. [88684] future UK bioenergy policy and, along with evidence received as part of the consultation process, will support Richard Benyon: At the December Fisheries Council, the Renewable Obligation Review.The Scottish Government we achieved an agreement that included significantly have been providing their views on the strategy, drawing larger quota opportunities for British vessels than originally on the carbon research recently published by Forestry proposed by the European Commission. We also agreed Commission Scotland. That evidence, alongside other much smaller reductions in days at sea for those parts of issues, will be considered as part of the continuing the fleet subject to the Cod Recovery Plan than were in development of the strategy. prospect at the start of the Council. Habitats Regulations The effect of the package on different parts of the fleet around the United Kingdom will vary according to the combination of quota and days at sea changes that Mary Creagh: To ask the Secretary of State for affects different vessels, as well as the extent to which Environment, Food and Rural Affairs what discussions previous days at sea allocations were fully used. Also, she had with the Chancellor of the Exchequer on the the choices made by skippers to maximise their profitability, effect of the Habitats Regulations between July 2011 which may include participation in conservation initiatives and 29 November 2011; and on what dates any that either exempt them from days at sea restrictions or meetings to discuss this matter took place. [90348] allow an increase in their days at sea. Richard Benyon: The Secretary of State for Environment, Fishing Catches Food and Rural Affairs, my right hon. Friend the Member for Meriden (Mrs Spelman), had a number of discussions with the Chancellor of the Exchequer, my Mr Amess: To ask the Secretary of State for right hon. Friend the Member for Tatton (Mr Osborne), Environment, Food and Rural Affairs (1) what her between July 2011 and 29 November 2011 on the policy is on over-fishing; what recent representations implementation of the Habitats Directive. she has received on the issue; and if she will make a statement; [89879] Hydroelectric Power (2) what recent discussions she has had with the European Commission on over-fishing in EU waters; Mr Bone: To ask the Secretary of State for and if she will make a statement; [89881] Environment, Food and Rural Affairs how many (3) what reports she has received of overfishing in applicants for hydro-electric power schemes there have each country in the EU; what discussions she has had been; and what progress she has made with the Nene with her counterpart in each EU member state on this Valley Hydro group scheme. [90624] issue since May 2010; and if she will make a statement. [89882] Richard Benyon: In 2011 the Environment Agency received 203 pre-applications and 101 formal applications Richard Benyon: Overfishing puts at risk the long for hydro-electric power schemes for England and Wales. term health of both fish stocks and the livelihoods of The Environment Agency’s account manager for hydro fishermen who depend on them; domestically, overfishing power proposals has been in regular contact with the by UK fishermen risks prejudicing the legitimate fishing Nene Valley Hydro Group regarding their proposals for opportunities of other UK fishermen. It is therefore hydro schemes at six sites along the River Nene. The important that there are effective and dissuasive measures Environment Agency has attended a number of meetings in place to discourage overfishing and, where it does with the group to discuss both general principles and occur, to penalise transgressors. This may include criminal site specific details. These discussions have enabled the prosecution as well as a requirement to pay quota group to progress its most advanced scheme (Hardwater penalties and to compensate others prejudiced by such Mill) and the Environment Agency continues to support actions. the group further in the implementation of its other In discussions with the EU Fisheries Commissioner proposals. and Ministers from other EU countries, I have made clear we must have a Common Fisheries Policy (CFP) Lakes and Reservoirs that safeguards our fish stocks for the future, for the benefit of both fish stocks and fishermen. This must be Nicholas Soames: To ask the Secretary of State for a fundamental demand of CFP reform. Environment, Food and Rural Affairs what steps she is taking to encourage farmers and landowners to Forestry Commission excavate and install lakes and reservoirs. [90192]

Mrs McGuire: To ask the Secretary of State for Mr Paice: The Water White Paper published last Environment, Food and Rural Affairs if she will December summarised the Government’s support to assess the relevance to her Department’s policies of the farmers to improve the management of water resources, 21W Written Answers23 JANUARY 2012 Written Answers 22W including by the building of reservoirs. DEFRA’s surveys trade in specimens of listed species of wild fauna and show that around one third of farms which are equipped flora in order to ensure that any trade in endangered to irrigate in England already have winter storage reservoirs. species is not detrimental to their long-term survival. The Government encourage farmers to invest in building However, those species most at risk are listed on appendix I safe reservoirs through a number of measures, which of CITES, and their importation for commercial purposes, include: including their sale as pets, would be prohibited under The Rural Development Programme for England (RDPE), CITES the sale of endangered species taken from the which has provided support for water management, including wild can be allowed as long as it is sustainable. supporting the construction of 41 on-farm reservoirs and providing information and training on irrigation and soil management. Rivers: Surrey Water management continues to be one of the measures supported by the new nationally consistent RDPE funded schemes. These are the Farming and Forestry Improvement Scheme, a small Nicholas Soames: To ask the Secretary of State for grants scheme launched last November, and the Rural Economy Environment, Food and Rural Affairs what assessment Grant, which is a grant scheme for larger projects to be launched she has made of river flows in Surrey and West Sussex; in early 2012. and if she will make a statement. [90207] The Environment Agency can provide advice on positioning and construction methods for reservoirs to help farmers ensure Richard Benyon: The Environment Agency continuously they are safe and fit for purpose. The Government are working monitors river flows of the major rivers in Surrey and with the Environment Agency to develop technical guidance for West Sussex. River flows are compared to long term farmers. averages, mapped and summarised in monthly Water The Farming Advice Service has expanded the scope of its advice from 1 January 2012 and includes advice on abstraction Situation Reports on the Environment Agency’s website: licensing and on climate change adaptation, including water http://www.environment-agency.gov.uk/ management. The last 15 months in Surrey and West Sussex have The Water White Paper also gave further information been the driest since 1996. However, despite the impact on the Government’s commitment to reform the abstraction of rain in December, the Rivers Ouse, Adur, Cuckmere management regime. A key objective of this reform is to and Arun in Sussex and the Mole and Wey in Surrey are provide clearer signals to abstractors such as farmers to either ″low″ or ″notably low″ when compared to average invest to meet water needs and protect water ecosystems, flows for this time of year. Low river flows can affect for example, through investment in reservoirs. water supplies, business and the environment. The The report on the Farming Regulation Task Force Environment Agency continues to work closely with included recommendations on the regulation of on-farm local communities and the water supply companies to reservoirs and on the licensing of abstraction. The minimise the impact. Government response will be published early this year The Environment Agency completed a detailed screening and set out our response to these recommendations. of water abstractions in West Sussex and Surrey, as part of the Restoring Sustainable Abstraction initiative. This Natural Capital Committee did not highlight any significant issues, and there is no evidence that unsustainable abstraction is an issue affecting Barry Gardiner: To ask the Secretary of State for river flows in West Sussex and Surrey. The current low Environment, Food and Rural Affairs (1) what criteria flows being measured and reported by the Environment she proposes the Natural Capital Committee will use to Agency on their website are caused by the period of determine if natural assets are being used significantly dry weather we have been experiencing in unsustainably; and if she will make a statement; [90811] the South East. (2) what indicators she proposes the Natural Capital More broadly the Environment Agency is taking Committee will use to report to Government on the action to investigate and identify solutions to unsustainable state of natural capital in England. [90813] abstraction. On 8 December 2011, I launched a new approach to water management as set out in Water for Richard Benyon: The Natural Capital Committee will Life, the Water White Paper. In particular it includes a advise the Government on the state of English natural package of measures to help us do this more efficiently capital and it will be set up initially for the duration of and promote increased trading of abstraction licences this Parliament. Recruitment for the positions of Chair to support economic growth. and Members of the Committee is under way. Once this is completed it will be for the Committee, as an independent Water: Climate Change advisory body, to develop suitable methodologies and approaches that will enable it to advise the Government in accordance with its remit, including in relation to Barry Gardiner: To ask the Secretary of State for unsustainable use of natural capital. Environment, Food and Rural Affairs whether she has assessed the available annual water resource in the UK Nature Conservation under the (a) 2°C and (b) 4°C global temperatures increase scenario. [90805] Mark Pritchard: To ask the Secretary of State for Environment, Food and Rural Affairs if she will take Richard Benyon: DEFRA, the Natural Environment steps to stop the sale of endangered species as pets. Research Council, the Environment Agency and UK [90596] Water Industry Research are jointly funding a project to look at changes in river flows and groundwater levels Richard Benyon: The UK Government are a party to associated with the UKCP09 climate projections. These the convention on international trade in endangered are not specifically 2°C and 4°C global temperature species (CITES), which seeks to regulate commercial increase scenarios, but they will provide a useful guide 23W Written Answers23 JANUARY 2012 Written Answers 24W to the range of possible changes in flow. The project will Abnormal finish in April 2012. Initial results, showing changes in Total Charging load escort flow in the 2050s for the medium emissions scenario, traffic revenue revenue were included in the recently published ″Water for Life″ count (£) (£) Total (£) White Paper.

2011 January 3,805,979 5,406,725.17 21,777.00 5,428,502.17 NORTHERN IRELAND February 3,734,975 5,321,204.20 23,753.00 5,344,957.20 March 4,203,915 5,984,303.38 25,074.00 6,009,377.38 Equality Commission for Northern Ireland: Public April 4,236,731 5,957,905.99 25,053.00 5,982,958.99 Appointments May 4,368,283 6,134,077.05 25,642.00 6,159,719.05 June 4,413,877 1,978,882.70 28,686.00 2,007,568.70 Mr Gregory Campbell: To ask the Secretary of State July 4,709,028 6,512,431.16 28,098.00 6,540,529.16 for Northern Ireland when he plans to announce August 4,540,045 6,417,089,32 28,603.00 6,445,692.32 the appointment of the next Chief Executive of the September 4,389,117 6,145,307.43 27,699.00 6,173,006.43 Equality Commission for Northern Ireland; and what October 4,424,600 6,235,793.07 27,870.00 6,263,663.07 account he has taken in the recruitment process of the need to address the under representation of the November 4,086,868 5,846,369.80 25,042.00 5,871,411.80 Protestant community in recruitment to parts of the December 4,005,654 5,647,548.15 20,309.00 5,667,857.15 public sector. [91358] Departmental Public Expenditure Mr Swire: The appointment of the chief executive of the Equality Commission is a matter for the Chief Maria Eagle: To ask the Secretary of State for Commissioner of the Equality Commission and Transport (1) what estimate she has made of how much Commission Members. of the cost to the public purse of the Tyne and Wear The appointment process for a new Chief Commissioner Metro falls beyond the comprehensive spending review of the Equality Commission is being conducted in period; [90944] compliance with all relevant statutory duties and guidelines. (2) what estimate she has made of the total cost to We hope to announce the result shortly. the public purse of the Tyne and Wear Metro in each of the remaining years of the comprehensive spending review period. [90945] TRANSPORT Norman Baker [holding answer 20 January 2012]: Dartford-Thurrock Crossing: Tolls The Department agreed funding with Nexus for the Tyne and Wear Metro on 2 February 2010. This included revenue support funding for the period 2010-11 to Gareth Johnson: To ask the Secretary of State for 2018-19 and capital grant funding towards the Metro Transport (1) what estimate she has made of the Reinvigoration programme for the period 2010-11 to number of vehicles which used the Dartford crossing in 2020-21. each of the last 18 months; [90533] The sums are set out in the following tables by year: (2) what estimate she has made of the amount of toll revenue which accrued from vehicles using the Resource Grant Dartford crossing in each of the last 18 months. £ million [90534] 2010-11 25.3 2011-12 23.9 Mike Penning: The Dartford crossing encompasses 2012-13 23.1 the two tunnels and the QE2 bridge and charging 2013-14 22.7 applies in both directions. The figures in the table cover the Dartford crossing as a whole. It shows how many 2014-15 22.2 vehicles used the Dartford crossing in each of the last 2015-16 21.7 18 months and also how much revenue was accrued in 2016-17 21.5 each month, including revenue for the escorting of 2017-18 21.4 abnormal loads. 2018-19 21.2 Total 203.0 Abnormal Note: Total Charging load escort The above figures are subject to indexation. traffic revenue revenue Capital Grant count (£) (£) Total (£) £ million

2010 2010-11 34 July 4,812,796 6,691,335.77 33,465.00 6,724,800.77 2011-12 35 August 4,697,270 6,447,745.50 27,480.00 6,475,225.50 2012-13 35 September 4,444,339 6,241,370.84 26,314.00 6,267,684.84 2013-14 24 October 4,490,284 6,324,958.95 26,209.00 6,351,167.95 2014-15 23 November 4,065,869 5,791,536.88 25,872.00 5,817,408.88 2015-16 23 December 3,498,480 4,993,233.49 15,435.00 5,008,668.49 2016-17 16 25W Written Answers23 JANUARY 2012 Written Answers 26W

Capital Grant Mrs Villiers: Network Rail is currently undertaking £ million an assessment of the proposal to build a rail connection between the Great Western main line and Heathrow 2017-18 15 airport. This will inform any decision on whether the 2018-19 15 scheme should progress. On 10 January, the Secretary of 2019-20 15 State for Transport, my right hon. Friend the Member 2020-21 15 for Putney (Justine Greening), announced that route Total 250 options should be developed for a spur link to Heathrow airport to form part of the second phase of HS2, which The amounts of Capital Grant set out above represent would be subject to future public consultation. Network a firm commitment from the Department to Nexus. In Rail is working with HS2 Ltd to assess the potential addition, an element of funding (as set out in the interfaces between the two schemes. following table) is not subject to the firm commitment at this stage and may be subject to adjustment according Highways Agency: Motor Vehicles to consideration of the following factors: the need to maintain the infrastructure to a condition that John Woodcock: To ask the Secretary of State for enables train services to be provided by the operator as required Transport how many vehicles of each type are available under the concession agreement; to incident support units in each area of the Highways Nexus’s performance to date on delivery of the Asset Renewal Agency network; and how many such vehicles of each Plan (criteria to be agreed); and type were available in each of the last two years. affordability within the context of the Department’s overall [91310] budget. Mike Penning: Details of the number of incident £ million support unit (ISU) vehicles available for use on the 2010-11 — Highways Agency’s network, shown by area and by 2011-12 — type, can be found in table “Strategic Road Network—ISUs by Type” which will be placed in the Libraries of the 2012-13 — House. The table provides current figures, plus those for 2013-14 7 2011 and 2010. 2014-15 8 2015-16 8 Japan Tobacco International: Ministerial Policy 2016-17 15 Advisers 2017-18 16 2018-19 16 Mr Hain: To ask the Secretary of State for Transport 2019-20 15 whether any (a) Ministers and (b) special advisers in 2020-21 15 her Department have received hospitality from Japan Total 100 Tobacco International since May 2010. [87614]

In addition to the sums set out above, there is a local Norman Baker: No DFT Ministers or special advisers contribution of 10% of the capital funding. have received hospitality from Japan Tobacco International in a departmental or ministerial capacity since May East Coast Railway Line 2010. However, Japan Tobacco International’s UK headquarters are based in Weybridge in the constituency Karl McCartney: To ask the Secretary of State for of the former Secretary of State for Transport, the right Transport whether Ministers have been involved in the hon. Member for Runnymede and Weybridge (Mr decision by East Coast Trains to apply to the Office of Hammond). In his capacity as constituency MP, he Rail Regulation for train paths to enable them to received hospitality in the form of tickets for the Chelsea extend their two hourly service between London and Flower Show in May 2010 and May 2011. Newark Northgate. [91331] Pearson VUE

Mrs Villiers: East Coast’s application to the Office of Dr Whiteford: To ask the Secretary of State for Rail Regulation to obtain track access rights is a matter Transport on what occasions (a) she and (b) other for the train operator not for Ministers. East Coast Ministers in her Department have met with provides train services in accordance with a services representatives of Pearson VUE since 25 October 2011; agreement with the Secretary of State for Transport, my and what future meetings have been scheduled. [90668] right hon. Friend the Member for Putney (Justine Greening). Any changes to that agreement to exercise Norman Baker: Neither the Secretary of State for new access rights would require ministerial approval. Transport, the right hon. Member for Putney (Justine East Coast has not requested any such changes. Greening) nor other Ministers in the Department have met with representatives of Pearson VUE since 25 October Heathrow Airport: Railways 2011. Nor are any meetings scheduled at present. Details of ministerial meetings with external organisations Zac Goldsmith: To ask the Secretary of State for are routinely published every quarter and can be accessed Transport what her policy is on a rail connection from via the following link: the Great Western Main Line to Heathrow airport and http://www.dft.gov.uk/publications/ministerial-transparency/ the proposed High Speed 2 scheme. [89358] #meetings 27W Written Answers23 JANUARY 2012 Written Answers 28W

Pedestrian Crossings: Accidents pedicabs do not fall within the legal classification of a hackney carriage and are therefore not subject to formal Anne Marie Morris: To ask the Secretary of State for licensing controls. Transport what estimate she has made of the number In London, pedicabs are the responsibility of the of accidents that occurred on zebra crossings in the Mayor of London and Transport for London. As such latest period for which figures are available. [90955] the Department has not carried out any specific assessment of compliance with Section 29. Mike Penning: The Department collects information only on reported personal injury road accidents. The number of accidents involving pedestrian casualties Jim Fitzpatrick: To ask the Secretary of State for that occurred on zebra crossings in Great Britain in Transport what assessment her Department has made 2010 was 764. This total excludes accidents on zebra of the (a) safety and (b) roadworthiness of pedicabs. crossings that did not involve pedestrian casualties. [90964]

Pedicabs Mike Penning: The Department has made no assessment of the safety and roadworthiness of pedicabs, however, Jim Fitzpatrick: To ask the Secretary of State for they must comply with the requirements of the Pedal Transport (1) what representations she has received on Bicycle (Safety) Regulations 2010, the Pedal Cycle the application of traffic regulations to pedicabs since (Construction & Use) Regulations 1983, the Road Vehicle June 2010; [90894] Lighting Regulations 1989, and if they are electrically (2) what recent discussions she has had with (a) the assisted, the Electrically Assisted Pedal Cycles Regulations Mayor of London and (b) Transport for London on 1983. the safety of pedicabs; [90915] If an electrically assisted pedicab is over 60 kg unladen (3) what discussions she has had with (a) the police weight, then it must also comply with the requirements and (b) the Secretary of State for the Home of the Road Vehicles (Construction & Use Regulations) Department on parking and traffic offences committed 1986 (as amended) as it is classed as a motor vehicle and by riders of pedicabs or rickshaws. [90916] would therefore need to be registered, insured and be issued with the appropriate road fund licence. The rider Mrs Villiers: Pedicabs outside London are already would also need to hold the correct licence. ″ ″ regarded in law as hackney carriages (taxis) and local Enforcement of these requirements would be a matter licensing authorities have the power to license them for the police. under the existing legislation which applies to hackney carriages. However, in London, pedicabs do not fall within the legal classification of a hackney carriage and Port Security Regulations 2009 are therefore not subject to formal licensing controls. In London, pedicabs are the responsibility of the Mayor of London and Transport for London. The Jim Fitzpatrick: To ask the Secretary of State for Secretary of State for Transport, my right hon. Friend Transport what progress she has made on the Member for Putney (Justine Greening), has not implementing the Port Security Regulations 2009. received any applications of traffic regulations to pedicabs [90297] since 2010. Enforcement of traffic regulations in London is the responsibility of Transport for London, London borough Mike Penning: The Port Security Regulations 2009, councils, the Metropolitan Police and ultimately the which provides for the designation of port security Home Office. authorities covered by Directive 2005/65/EC on enhancing port security, came into force in September 2009. A We have no record of these matters being discussed consequent pilot implementation exercise resulted in recently. the port at Bristol being designated in March 2010. Jim Fitzpatrick: To ask the Secretary of State for Subsequent to scrutiny by the European Commission Transport whether the provisions of the Disability of the reduced implementation programme that was Discrimination (Transport Vehicle) Regulations 2006 notified in September 2010, the Department has been apply to pedicabs; and what assessment her reviewing the port facilities in the UK and will set out Department has made of the compliance of pedicabs any changes in implementation shortly. In the meantime, with the requirements of the Disability Discrimination the Department has continued to implement the plan, Act 1995. [90914] challenging rigorously the impact to ensure that the regulatory burden is kept to a minimum. As a result, the Mrs Villiers: The Disability Discrimination Act 1995 designation order for the port of Dover will come into has now been replaced by the Equality Act 2010. Section force at the end of January, and the remaining ports are 29 of the Equality Act essentially prohibits discrimination now geared to the timing of an evaluation report that in the provision of services; this would include the the European Commission is due to submit to the provision of a pedicab service. European Parliament in December 2013. Pedicabs outside London are already regarded in law In parallel, the pre-existent Port Security Committees as ″hackney carriages″ (taxis) and local licensing authorities and Police Portal Groups across the country have enabled have the power to license them under the existing legislation the enhancement of port security ahead of formal which applies to hackney carriages. However, in London, implementation at the ports. 29W Written Answers23 JANUARY 2012 Written Answers 30W

Railways: Disability Mike Penning: The Highways Agency is responsible for operating and maintaining the Strategic Road Network Richard Graham: To ask the Secretary of State for (SRN). In respect to service provider incident response Transport how many UK cities do not have disabled the agency has undertaken liaison with its suppliers and the Association of Chief Police Officers (ACPO). access at mainline railway stations. [91346] Discussions have taken place at ACPO/Highways Agency Partnership Board (November 2011) and the North Norman Baker: The Department for Transport does West Police Liaison meeting (September 2011). This not hold this information. Information about station liaison was supplemented by the agency’s attendance at facilities is a matter for the Association of Train Operating the Roads Policing Operations Forum on 19 January Companies. They provide comprehensive information 2012. on accessibility at all stations via the National Rail Enquiries website. This allows passengers to decide if In future, incident management will focus more on the facilities at a station allow them to access it, based clear up times than initial incident response of service on the individual nature of their disability. providers. With respect to closure procedures for motorway incidents, a review was carried out jointly with the Home Office, ACPO, Department for Transport (DFT) Railways: Exchange Rates and the Highways Agency. This was undertaken to identify what can be achieved collectively to reduce Chris Williamson: To ask the Secretary of State for incident clear up times. A preliminary report published Transport whether the foreign exchange rate risk was on 19 May 2011 can be found on the DFT website considered as part of the major projects and rail under publications/roads/appraisal and evaluation or investment review. [89887] via the following link: http://www.dft.gov.uk/publications/investigation-and-closure- Mrs Villiers: It is not clear which review the question procedures-for-motorway-incidents is intended to relate to. If the reference in the question is With respect to winter service, I can confirm that the to the recent study on rail value for money led by Sir Highways Agency has not altered its standards for Roy McNulty, I can confirm that foreign exchange risk winter service. Following a review of the efficiency of its was not an area highlighted by the report. winter service, the agency has made minor changes to The Department performs sensitivity analysis of the winter service specification, to allow its contractors exchange rate movements, and their repercussions on greater flexibility in developing and delivering winter contract awards, on an ongoing basis. service treatments, while maintaining the same level and standard of service delivered over previous winter seasons.

Railways: Theft Roads: Snow and Ice

Anne Marie Morris: To ask the Secretary of State for Andrew Rosindell: To ask the Secretary of State for Transport how many cases of theft of metal from Transport what recent assessment she has made of the railways lines there have been in (a) Newton Abbot appropriateness of the volumes of road grit reserves. constituency and (b) Devon in each of the last three [91031] years. [90956] Norman Baker: Total salt stock holdings in Great Norman Baker: Network Rail has advised that it only Britain at the start of December 2011 were just over 2.7 holds information on metal theft on railway lines at million tonnes, including strategic stockpiles of 539,000 Network Rail route level, rather than in geographical tonnes. This is a significant improvement on the stock regions. The Devon area now falls within Network levels held in previous years. Rail’s west of England route, for which the number of Due to the actions on winter resilience this Government thefts is shown in the following table. have taken, we assess that the country retains an appropriate volume of road salt reserve for any severe winter weather Number of thefts we may encounter.

2009-10 13 Travel Information 2010-11 19 2011-12 (to 10 December 2011) 22 Mr Jim Cunningham: To ask the Secretary of State for Transport what steps she plans to take to ensure Prior to November 2011, Network Rail’s western that travel information is available in a variety of route included Wales. Now that Wales has been a separate formats. [88900] route since November 2011, these numbers do not align with previously published route breakdowns. Norman Baker [holding answer 12 January 2012]: Travel information is primarily a responsibility of the Roads: Repairs and Maintenance transport operators and local government. The United Kingdom has many world-leading information services Mrs Ellman: To ask the Secretary of State for that operate at national, regional and local level and Transport who she consulted on her decision to alter which cover single modes and multi-modal services. standards in respect of (a) response time to incidents The UK Government’s Transport Direct service provides and (b) winter maintenance on roads under the journey planning between any address, postcode, settlement jurisdiction of the Highways Agency. [91578] or transport access point across Great Britain. Journeys 31W Written Answers23 JANUARY 2012 Written Answers 32W can be planned on any mode of transport or combination The Government are committed to rebalancing the of modes. Transport Direct can be accessed via the UK economy across the regions and to maintaining the internet, mobile phones and digital television and also, status of the UK as an international hub for aviation. provides numerous services via third parties including The Government will continue to work with stakeholders the BBC, Visit Britain, the Department for Work and to examine the role of the tax system in support of these Pensions and the National Trust. objectives. Other providers include Transport for London’s journey The Department for Transport is also considering planner, National Rail, Traveline, the AA, Traffic England, regional connectivity and regional airports policy as Google and many others. The services include planned part of its development of a sustainable framework for services, real-time information, planned and unplanned UK aviation, which will be issued for public consultation disruption and fares information. in March 2012. To ensure these services remain relevant and Banks: Pay contemporary and also to encourage the provision of new and user-centred services, the Government encourage Jason McCartney: To ask the Chancellor of the the transport industry to create and operate using common Exchequer what steps he is taking to make the bonuses standards and protocols in areas such as location and awarded to employees of state-owned and state-funded service definition. They are also encouraging the adoption banks more transparent. [90677] of open data principles with their own and wider industry data to enable the rapid creation of innovative products Mr Hoban: The Government are currently consulting and services such as those delivered via mobile phone on extending executive pay disclosure arrangements applications and user generated websites. made under Project Merlin to eight executives below board level at all large banks from 2012 onwards. This is Unmanned Air Vehicles in addition to the financial sector-wide remuneration disclosure regime introduced by the Financial Services Authority designed to facilitate better oversight of the Dr Huppert: To ask the Secretary of State for relationship between pay and risk. These reforms will Transport if she will regulate the use of unmanned help ensure that UK disclosure requirements are the aerial vehicles by the Government and police. [91364] most comprehensive of any major financial centre. Mrs Villiers: The use of unmanned aircraft systems is Banks: Unfair Practices already covered by the Air Navigation Order 2009 and the Rules of the Air Regulations 2007. Guidance on the Guto Bebb: To ask the Chancellor of the Exchequer use of such aircraft is contained in the Civil Aviation (1) what recent discussions he has had with the Authority’s (CAA) publication ″CAP 722—Unmanned Financial Services Authority on the number of cases Aircraft System Operations in UK Airspace″ which is where banks were found to be in breach of Conduct of available from the CAA website. Business Sourcebook rules when selling hedging products to clients; [90900] (2) what recent discussions he has had with the Financial Services Authority on the enforcement of the TREASURY Conduct of Business Sourcebook rules on mis-selling by banks of interest rate swap products to clients. Air Passenger Duty [90901] Mr Hoban: Treasury Ministers regularly meet with Andrew Rosindell: To ask the Chancellor of the the Financial Services Authority (FSA) to discuss a Exchequer what assessment he has made of the effect range of issues. The FSA, as a statutory independent of air passenger duty on the airline industry. [91034] body, is responsible for decisions relating to the Conduct of Business Sourcebook and its enforcement are a matter Miss Chloe Smith: The Government published their for them. response to the consultation on reform of air passenger duty on 6 December. Business: Taxation Air passenger duty is fundamentally a revenue-raising Karl McCartney: To ask the Chancellor of the duty which makes an important contribution to the Exchequer what guidance he has issued to officials in public finances. In meeting their revenue requirements, HM Revenue and Customs on the practice of offering the Government consider aviation taxes in the round. sweetheart deals; and what his policy is on the future of The Chancellor of the Exchequer, my right hon. such deals. [91237] Friend the Member for Tatton (Mr Osborne), keeps all taxes under review along Budget timelines. Mr Gauke: I refer the hon. Gentleman to the answer I gave him on 16 January 2012, Official Report, column Jonathan Edwards: To ask the Chancellor of the 495W. Exchequer what recent assessment he has made of the Child Benefit potential economic effects of levying variable air passenger duties in different parts of the UK. [91577] Mr Hollobone: To ask the Chancellor of the Exchequer what estimate he has made of the average Miss Chloe Smith: The Government published their annual saving to the Exchequer of abolishing child response to the consultation on reform of air passenger benefit for (a) higher rate taxpayers and (b) third and duty on 6 December 2011. This can be found online at: subsequent children for all taxpayers over the next http://www.hm-treasury.gov.uk/2011budget_airpassenger.htm three years. [91430] 33W Written Answers23 JANUARY 2012 Written Answers 34W

Mr Gauke: Page 12 of the spending review document Credit Reference Agencies: Scotland provides this information for abolishing child benefit for higher rate taxpayers: Andrew Stephenson: To ask the Chancellor of the http://cdn.hm-treasury.gov.uk/sr2010_completereport.pdf Exchequer if his Department will estimate the (a) credit An estimate of the saving for abolishing child benefit rating an independent Scotland would receive from for third and subsequent children would be available international ratings agencies and (b) the 10 year bond only at disproportionate cost. spread that an independent Scotland could expect when borrowing. [90723] Climate Change Levy Mr Hoban: The judgments involved in assessing credit Barry Gardiner: To ask the Chancellor of the ratings are a matter for the international ratings agencies. Exchequer when he expects the spending cap to be In recent months, the major credit rating agencies have reached for every policy covered by his Department’s re-affirmed the UK rating at triple-A with a stable Control framework for Department of Energy and outlook. As part of the United Kingdom, Scotland Climate Change levy-funded spending. [90810] clearly benefits from the UK’s strong credit rating. UK Government bond yields are currently at record lows. It Gregory Barker: I have been asked to reply on behalf would be a matter for credit rating agencies to decide if of the Department of Energy and Climate Change. an independent Scotland would have a triple-A rating, Under the terms of the levies control framework, and how the financial markets view the terms of DECC’s levies policies have an aggregate annual spending independence could have an impact on its borrowing limit as set out in the following table. We are currently costs. working through consultation responses on both the Feed In Tariffs Review and the Renewables Obligation EU Law Banding Review and so it is impossible to provide up-to-date estimates of future projections. However, Mr Thomas: To ask the Chancellor of the Exchequer current deployment trends suggest we expect to reach (1) whether his Department holds information on the the levies caps in 2012-13 and 2013-14. EU regulations in its policy areas of responsibility Spending review levies budgets which have not been implemented in (a) France and £ million (b) Germany; on which dates those regulations became EU law; and if he will make a statement; [90702] 2011-12 2,094 (2) which EU regulations his Department has not 2012-13 2,627 implemented; on what date the regulations became EU 2013-14 3,184 law; and if he will make a statement. [90717] 2014-15 3,870 Miss Chloe Smith: The Government do not hold the Community Development Tax Relief information requested on implementation of EU regulations by France and Germany. Mr Thomas: To ask the Chancellor of the Exchequer Information on HM Treasury’s implementation of what assessment he has made of the effectiveness of the regulations is not currently held centrally. I have asked Community Development Tax Relief Scheme; and if my officials to compile this information to the extent he will make a statement. [90742] possible and I will write to the hon. Member with details when these are available and deposit a copy of Mr Gauke: At Budget 2011 the Government announced my letter in the Library of the House. they will renotify community investment tax relief to the European Commission and consult in advance of Excise Duties: Gaming Machines renotification on how the scheme can be made more effective. Chris Ruane: To ask the Chancellor of the Exchequer Cooperatives what assessment he has made of the economic effect of the introduction of Machine Game Duty on (a) Mr Thomas: To ask the Chancellor of the Exchequer seaside tourism and (b) city centres. [90921] what steps (a) his Department and (b) those bodies for which his Department is responsible are taking to Miss Chloe Smith: The latest assessment of the impact mark UN Year of the Co-operative 2012; and if he will of Machine Games Duty (MGD) on individuals and businesses is available in the Tax Information and Impacts make a statement. [88610] Note published on 6 December 2011 together with draft Miss Chloe Smith: HM Treasury will work closely legislation for MGD. with Cabinet Office, the Mutuals Taskforce and with This publication can be found online at: Co-operatives UK to develop and take full advantage http://www.hm-treasury.gov.uk/d/machine_games_duty.pdf of opportunities to celebrate the achievements of The detailed tax impact on, and within, specific gambling co-operative organisations during the United Nations sectors will be estimated after MGD rates are set. International Year of Co-operatives. The Mutuals Taskforce is co-ordinating Departments’ Sandra Osborne: To ask the Chancellor of the support for the International Year of Co-operatives, Exchequer what assessment he has made of the effect with Co-operatives UK leading the taskforce’s work in of machine gaming duty on (a) jobs and this area. (b) businesses in the amusement sector. [91243] 35W Written Answers23 JANUARY 2012 Written Answers 36W

Miss Chloe Smith: The latest assessment of the impact Miss Chloe Smith: Gift aid applies only to gifts of of machine games duty (MGD) on individuals and money. If a donor wishes to give something other than businesses is available in the Tax Information and Impacts money, gift aid cannot be applied. However, at the Note published on 6 December 2011 together with draft suggestion of the charity sector, HM Revenue and legislation for MGD. Customs has allowed existing gift aid legislation to be This publication can be found online at: applied to the proceeds of charity shop sales. To qualify http://www.hm-treasury.gov.uk/d/machine_games_duty.pdf for gift aid treatment, the charity and donor must agree The detailed tax impact on, and within, specific gambling that the charity is selling the goods as the donor’s agent. sectors will be estimated after MGD rates are set. The donor must be able to choose to keep the sale proceeds if they wish. Financial Services Accordingly, charities will write to the donor when they want to make a gift aid repayment claim that Mr Thomas: To ask the Chancellor of the Exchequer includes the proceeds of the sale of the item. If a (1) what assessment he has made of the quality of data charity has a number of items to sell on behalf of published by banks on their lending activities to a donor, the charity need not write multiple letters but businesses in deprived areas; and if he will make a can wait until all the items have been sold before contacting statement; [90738] the donor. (2) what estimate he has made of the number of The charity must inform the donor of the amount households who do not have (a) a bank account, (b) a raised by the sale so that the donor can make a decision private pension, (c) home insurance and (d) life as to whether to donate the proceeds and assure themselves insurance (i) in total and (ii) resident in the poorest five that they have paid, or will pay, sufficient tax to cover per cent. of local authority wards; and if he will make a the gift aid reclaimed by the charity. Without this statement; [90740] information, the donor cannot be said to have made a (3) what estimate has been made of the number of valid donation for gift aid purposes. adults without access to a bank account in each of the last 10 years for which figures are available; and if he Further information on how the scheme works is available online at: will make a statement; [90741] (4) if he will take steps to encourage (a) banks, http://www.hmrc.gov.uk/charities/gift_aid/rules/retail.htm (b) payday lenders, (c) insurance companies, The Chancellor of the Exchequer, my right hon. (d) private pension fund providers and (e) other Friend the Member for Tatton (Mr Osborne), keeps all financial services businesses to publish their (i) lending, taxes, and tax reliefs, under review along Budget timelines. (ii) insurance and (iii) take-up by (A) postcode area and (B) local authority ward area; and if he will make a statement. [90744] Income Tax Mr Hoban: The following table from HM Treasury’s “Statistical Release: Households without access to bank Mr Raab: To ask the Chancellor of the Exchequer accounts 2008-2009”, shows the most up-to-date figures what proportion of income tax revenue was derived for the number of unbanked broken down by number from the (a) first, (b) second, (c) third and (d) fourth of adults and households. quartile of earners in (i) 2010-11 and (ii) 2011-12. [91304] Table 1: Unbanked (without access to transactional account) Households without Adults without access to transactional account— transactional account— Mr Gauke: Projected shares of income tax liabilities positively affirmed no positively affirmed no arising for individuals in the four quartiles of the distribution account account of income taxpayers by total income is provided in the Percentage Percentage following table. All additional and higher rate taxpayers Thousand of total Thousand of total are in the fourth quartile. 2008-09 1,140 4 1,540 3 Share of total tax liabilities (Percentage) 2007-08 1,280 5 1,750 4 Taxpayer quartile by 2006-07 1,410 5 1,920 4 total income 2010-11 2011-12 2002-03 2,570 10 3,570 8 First 2.6 2.4 Data from the Family Resources Survey indicates Second 8.4 7.9 that in 2009-10, 36% of people aged 16 to 64 in Great Third 16.6 15.8 Britain (14 million) were contributing to private pensions— Fourth 72.4 73.9 38% of men and 34% of women. In general, the Government do not require businesses These estimates are based on the 2007-08 Survey of to publish data relating to the geographical distribution Personal Incomes projected in line with the Office of of their customers. Budget Responsibility’s budget 2011 Economic and Fiscal Outlook. Gift Aid Further information on the distribution of taxpayer Patrick Mercer: To ask the Chancellor of the incomes and income tax liabilities is published in table Exchequer if he will consider relaxing the requirement 2.4 “Shares of total income (before and after tax) and that in order to claim 25 per cent. Gift Aid, charities income tax for percentile groups, 1999-00 to 2011-12”, must write a letter to the donor on each occasion a available on the HMRC website at: donated item is sold. [90678] http://www.hmrc.gov.uk/stats/income_tax/table2-4.pdf 37W Written Answers23 JANUARY 2012 Written Answers 38W

Insurance: Floods approximately £4.5 billion to UK depositors in Icesave. As at 31 March 2011 these payments were made up of Harriett Baldwin: To ask the Chancellor of the three different tranches: Exchequer pursuant to the written ministerial £2.3 billion for deposit balances up to ¤20,887 (£16,872) which statement of 19 December 2011, Official Report, should have been paid by the Icelandic Depositors and Investor columns 140-1WS, on flood risk management, what Guarantee Fund (DIGF); meetings (a) have taken place since 19 December 2011 £1.4 billion for deposit balances above £16,872 and below and (b) are planned between officials and Ministers in £50,000 which the FSCS is liable for. his Department to discuss progress on ensuring the £0.8 billion for deposit balances above £50,000 which HM universal availability of flood insurance from July Treasury is liable for. 2013. [91013] Therefore the Iceland Depositors and Investor Guarantee Fund owes the UK approximately £2.3 billion. The Miss Chloe Smith: Treasury Ministers and officials Government expect this to be repaid in full. have meetings with a wide variety of organisations and UK’s official reserves individuals in the public and private sectors as part of the process of policy development and delivery. As was As at 31 March 2011, the UK Government’s official the case with previous Administrations, it is not the holdings of international reserves were approximately Government’s practice to provide details of all such £53 billion, of which £35 billion were held in foreign meetings. currency assets. The majority of these holdings are in bonds issued or guaranteed by national governments The Government remains committed to making sure (eg the US, euro area countries and Japan). flood insurance remains widely available, and will continue to work with insurance companies to consider what additional measures might help safeguard the affordability Manufacturing Industries of flood insurance for households. As part of this ongoing work the feasibility, value for money and deliverability of targeting funds to help those most in Chris Ruane: To ask the Chancellor of the Exchequer need will be considered, building on the analysis undertaken if he will estimate the effect of the outsourcing of by the working groups established after last year’s flood services in the manufacturing sector on its assessed summit. contribution to GDP in National Statistics over the last The Government continue to consider options over 30 years. [90932] the winter months with the aim of making further announcements in the spring. Miss Chloe Smith: The outsourcing of services previously-undertaken by the manufacturing sector would Listed Places of Worship Grant Scheme have an impact on the composition of measured GDP. However, due to data constraints, no assessment of this impact has been made. Jonathan Ashworth: To ask the Chancellor of the Any statistical impact would result from the movement Exchequer whether he has any plans to review the of the output associated with these services from the budget allocated to the Listed Places of Worship Grant manufacturing sector to the service sector. Holding all scheme. [91361] else constant this would result in a decline in the manufacturing sector’s contribution to GDP and an Mr Gauke: There are no plans to review the budget increase in the service sector contribution. However, allocated to the Listed Places of Worship Grant scheme there would be no overall change to GDP itself. at this stage.

Loans Mortgages

Mr Crausby: To ask the Chancellor of the Exchequer Andrew Stephenson: To ask the Chancellor of the how much money was owed to the UK, and by which Exchequer what plans his Department has for future countries, in the last year for which figures are regulation of buy-to-let mortgage loans. [90971] available. [90664] Mr Hoban: The Government recognises the importance Miss Chloe Smith: The information is as follows: of the private rental sector to accommodate people’s Bilateral loan to Ireland housing needs. Buy-to-let properties, which currently It is in our national interest that the Irish economy is represent around one third of the privately rented stock, successful and its banking system is stable. With this in make an important and valuable contribution. mind, UK signed an agreement with Ireland for a The European Commission has proposed a directive bilateral loan of £3.2 billion. The first tranche of £403.37 on the regulation of residential mortgages. The Government million was disbursed on 14 October 2011. believes that buy-to-let mortgages should be exempt FSCS loan to Iceland from the directive. In November 2008, following the Financial Services While the Government continues to negotiate for an Authority’s announcement that the UK branch of exemption for buy-to-let lending from the directive, we Landsbanki was in default, the Financial Services are working with industry and the Financial Services Compensation Scheme (FSCS) began payouts to UK Authority (FSA) to limit the impact of any potential depositors with Icesave. The FSCS made payments of future regulation on the buy-to-let market. 39W Written Answers23 JANUARY 2012 Written Answers 40W

Revenue and Customs: Industrial Disputes Mr Gauke: The Government have no current plans to introduce minimum pay for self-employed workers when calculating tax credits in respect of their plans for Priti Patel: To ask the Chancellor of the Exchequer universal credit. what steps he plans to take to ensure that members of the public are able to obtain assistance and advice on Unpaid Taxes the deadline for online self-assessment returns in the event of industrial action by HM Revenue and Customs employees. [90733] Bill Esterson: To ask the Chancellor of the Exchequer how much tax was unpaid in each of the last three years; and what estimate he has made of Mr Gauke: The Government consider that the planned the cost to the Exchequer of collecting all unpaid tax in potential industrial action on 31 January is unnecessary. each of the next three years. [91376] HMRC has well-established contingency plans in place and is doing everything possible to support customers Mr Gauke: The amounts of unpaid tax are shown in on the self-assessment online filing deadline. the HMRC Consolidated Accounts and Trust Statements for each of the last three years. These can be found on Revenue and Customs: Standards the HMRC website. The overall costs of collecting taxes are spread across a number of HMRC business units and it is not possible within the cost parameters to David Morris: To ask the Chancellor of the specify the amounts. Exchequer what the policy of HM Revenue and Customs (HMRC) is on charging penalties for late VAT return if the delay is the fault of HMRC. [90585] Albert Owen: To ask the Chancellor of the Mr Gauke: In any case where HMRC accepts that a Exchequer what assessment HM Revenue and Customs taxpayer has a reasonable excuse for the late submission has made of the effect on small businesses of making of a return, legislation allows for any late-return penalty online submission of VAT returns compulsory from to be removed. It is not possible to say that something April 2012. [91230] always would, or would not, be a reasonable excuse because every case is considered on its own merits. Mr Gauke: HMRC ran a formal consultation exercise However, if a taxpayer would have submitted a return (from 8 August to 31 October 2011) which asked for on time but fails to so as a direct result of a failing or comments and volumetrics on how those customers delay by HMRC, HMRC would accept that there is a might be impacted. reasonable excuse and cancel the penalty. HMRC has published its response to the consultation If HMRC do not agree that there is a reasonable on its website: excuse, the taxpayer can appeal to an independent http://customs.hmrc.gov.uk/channelsPortalWebApp/ tribunal. channelsPortalWebApp.portal?_nfpb=true&_pageLabel=pageLibrary_ ConsultationDocuments&propertyType=document&columns- Tax Evasion 1&id=HMCE_PROD1_031788 HMRC also published details of the help and support available to customers on the ’What’s New’ section of Andrew Rosindell: To ask the Chancellor of the its website: Exchequer what steps he plans to take to reduce the http://www.hmrc.gov.uk/news/index.htm incidence of tax evasion. [91033] VAT: Fraud Mr Gauke: The Government are determined to tackle tax evasion of all kinds and ensure that the tax system operates fairly and efficiently for all. As part of the 2010 Mr Raab: To ask the Chancellor of the Exchequer spending review settlement we announced that just over what estimate he has made of the cost to the Exchequer £900 million would be made available to HMRC to of VAT fraud within the EU emissions trading system step-up their activity in tackling tax loss. For the four-year in each year since 2008. [91305] period from April 2011 HMRC will reinvest £917 million of the savings they make to maximise additional revenues, Mr Gauke: The total cost to the Exchequer of VAT which will include putting extra resource into tackling fraud involving EU emission allowances was almost both evasion and avoidance. This reinvestment will £300 million, all of which occurred in 2009. HMRC is fund a range of measures which will enable HMRC to relentlessly pursuing all those involved and the net loss bring in around £7 billion each year in additional to the Exchequer will be significantly lower. Anti-fraud revenues by 2014-1 5. legislation has since removed the scope for this type of VAT fraud to be perpetrated.

Universal Credit: Self-employed VAT: Repayments

Daniel Kawczynski: To ask the Chancellor of the Katy Clark: To ask the Chancellor of the Exchequer Exchequer whether he plans to introduce minimum pay (1) how many small and medium-sized businesses were for self-employed workers when calculating tax credits rejected repayment agreements in respect of their VAT in respect of the Government’s plans for universal liability in (a) 2009-10, (b) 2010-11 and (c) 2011-12 to credit. [90541] date; [90526] 41W Written Answers23 JANUARY 2012 Written Answers 42W

(2) how many small and medium-sized businesses were Association estimates that the total amount available in granted repayment agreements in respect of their VAT dormant accounts may be of the order of £320-400 million. liability in (a) 2009-10, (b) 2010-11 and (c) 2011-12 to date. [90527] Charitable Donations

Mr Gauke: The information is not available and Mr Thomas: To ask the Minister for the Cabinet could be researched only at disproportionate cost. Office what steps his Department is taking to incentivise employers to offer payroll giving Working Tax Credit: Shrewsbury opportunities to their employees; and if he will make a statement. [91423] Daniel Kawczynski: To ask the Chancellor of the Exchequer (1) how many households in Shrewsbury Mr Hurd: The Cabinet Office has been gathering and Atcham constituency in receipt of working tax views from Payroll Giving agencies (the charities that credit were working less than 24 hours per week in the process employer donations) as well as existing online latest period for which figures are available; [90542] giving providers and key sector groups with a view to (2) how many households in Shrewsbury and understand ways in which the Payroll Giving system Atcham constituency will no longer be entitled to tax might be improved. credits following the introduction of changes to credits The National Payroll Giving Excellence Awards were from April 2012. [90543] successfully re-launched in October 2011 at 11 Downing Street. This included the announcement of a new Platinum Mr Gauke: In December 2011, there were around Quality Mark to recognise the very best employer payroll 200 couples with children in Shrewsbury and Atcham in giving work. receipt of working tax credit working fewer than 24 hours The Cabinet Office is looking to work with large per week. public and private sector employers with a view to HMRC estimate around 1,700 households in Shrewsbury generate behavioural insights into payroll giving based and Atcham will see their tax credit award reduced to on their experience. zero following changes from April 2012, principally due The Government are further co-ordinating their work to the removal of the second income threshold of child on Payroll Giving. The inaugural Payroll Giving Working tax credit. Group met in early November 2011 and pages have been created on the Civil Pages site for information exchange between Payroll Giving representatives from Government Departments and agencies. CABINET OFFICE EU Law Big Society Capital Mr Thomas: To ask the Minister for the Cabinet Mr Love: To ask the Minister for the Cabinet Office Office whether his Department holds information on how much money Big Society Capital has raised from the EU regulations in its policy areas of responsibility dormant accounts in banks, building societies and which have not been implemented in (a) France and other financial institutions since its inception; what (b) Germany; on which dates those regulations became estimate he has made of the amounts that will be raised EU law; and if he will make a statement. [90690] in each year to 2014-15; and if he will make a statement. [91287] Mr Maude: I refer the hon. Member to the answer given by the Minister for Business and Enterprise, my Mr Hurd: The Government have committed that the hon. Friend the Member for Hertford and Stortford Big Society Bank will be established using every penny (Mr Prisk), today. of dormant bank and building society money available for spending in England as identified in the Dormant Families Bank and Building Societies Act 2008. The dormant accounts scheme is administered by Chris Ruane: To ask the Minister for the Cabinet Reclaim Fund Ltd which has begun to receive dormant Office how many and what proportion of children live account money from a number of banks and building with (a) married (first time marriage), (b) married societies since its establishment last year. Reclaim Fund (reconstituted), (c) divorced (living with father), Ltd will hold back a portion of this money to meet (d) divorced (living with mother) and (e) separated claims from customers, and release any surplus for families. [91542] spending on social purposes. Reclaim Fund Ltd has so far released £47.6 million Mr Hurd: The information requested falls within the for spending on social purposes. This money will be responsibility of the UK Statistics Authority. I have apportioned between the four countries of the UK and asked the authority to reply. the English portion will be transferred to Big Society Letter from Stephen Penneck: Capital once it has been authorised by the FSA. Indications are that Reclaim Fund will release a total of around £60 As Director General for the Office for National Statistics, I have been asked to reply to your request to ask the Minister for million for social purposes by summer 2012. This will the Cabinet Office, how many and what proportion of children be followed by further releases determined by Reclaim live with (a) married (first time marriage), (b) married (reconstituted), Fund Ltd’s independent board and based on the observed (c) divorced (living with father), (d) divorced (living with mother) rate of reclaim of dormant accounts. The British Bankers’ and (e) separated families (91542). 43W Written Answers23 JANUARY 2012 Written Answers 44W

The number and type of children in families in the UK can be www.ons.gov.uk/ons/rel/population-trends-rd/population- estimated using the Labour Force Survey. Estimates are provided trends/no--140--summer-2010/index.html for dependent children which are those living with their parent(s) estimated from survey data that 3.8 million, or 30 per cent, of and either (a) aged under 16, or (b) aged 16 to 18 in full-time dependent children in Great Britain had a birth parent not living education, excluding children aged 16 to 18 who have a spouse, in the household in 2009. This figure will be much higher than the partner or child living in the household. number of children living in more than one household because it ONS normally publishes statistics about children by family was estimated that over half of such children never stay overnight type based on who is currently living in the household, and it is with their non-resident parent. Only 18 per cent of children with a not straightforward to determine which adults in a family are non-resident parent were estimated to stay with them at least once birth parents of a particular child or whether married adults are a week, so the majority of children with a non-resident parent in a first marriage or remarriage. In the table below, married may be considered as living in one household. There is no agreed couple families and cohabiting couple families include families definition of how much time a child would need to spend staying where: in a second household for them to be considered as ‘living in more neither, one or both parents are birth parents; or than one household’. neither, one or both parents have been previously married. B. 2001 census It is possible that a child may be enumerated twice in a census, Dependent children by family type, UK 2011 where two parents living in separate households both complete a Estimate Percentage of census form for the same child. Following the 2001 census, Family type (thousand) children research using the Longitudinal Study (LS) showed that a very Married couple family 8,151 62 small proportion of LS members (0.38 per cent) had been enumerated more than once in the census. Of these, less than 5 per cent were Civil partner couple 90children of separated or divorced parents who were enumerated family as living with both parents, see: Cohabiting couple 1,839 14 family http://celsius.lshtm.ac.uk/documents/LS10.pdf Lone father—divorced 83 1 p95-97. Lone father—other 147 1 Therefore the only way that children living in more than one marital status household could affect the accuracy of national statistics concerning Lone mother—divorced 713 5 children is because population estimates for mid-2001 onwards are based on the 2001 census. However, it is very unlikely that any Lone mother—other 2,212 17 further double counting could have entered the population estimates marital status between mid-2001 and mid-2010 through the components of Total 13,153 100 birth or migration since 2001. Notes: C. 2011 census 1. Estimates do not sum exactly due to rounding. 2. “Other marital status” includes single (never married), married The 2011 census asked for all residents in England and Wales, (separated), widowed, civil partner (separated) and surviving civil including children, ‘do you stay at another address for more than partner (partner having died). 30 days a year?’. If the response was ‘yes’, the respondent was 3. Cohabiting couple families also include same-sex cohabiting asked to provide the address and also asked about the type of couples. second address, one listed response category being ‘another parent As with any sample survey, estimates from the Labour Force or guardian’s address’. Analysing answers to these questions once Survey are subject to a margin of uncertainty. 2011 census statistics are available will provide an insight to the number of children who live in more than one household. Chris Ruane: To ask the Minister for the Cabinet ONS has developed robust methods to adjust for double Office (1) how many and what proportion of children counted children enumerated at both parents addresses from live in more than one household; [91543] published 2011 census statistics so that children living in more than one household are only counted once. Therefore the impact (2) what estimate he has made of the effect of the on population estimates for children and on survey estimates number of children living in more than one household relating to children is expected to be minimal from 2011 onwards. on the accuracy of national statistics concerning D. Understanding Society children. [91544] Information on shared parenting arrangements in Great Britain Mr Hurd: The information requested falls within the is being collected in ‘Understanding Society’, a longitudinal responsibility of the UK Statistics Authority. I have household panel survey, funded by the Economic and Social Research Council and led by the Institute of Social and Economic asked the authority to reply. Research, with the survey work delivered by the National Centre Letter from Stephen Penneck, dated January 2012: for Social Research, see: As Director General for the Office for National Statistics, I www.understandingsociety.org.uk/ have been asked to reply to your Parliamentary Questions asking: ONS is contributing to improvements in the wording of questions 1. how many and what proportion of children live in more than on shared parenting in the Family Networks and Child Maintenance one household (91543); modules for Wave 5 starting in 2013 to ensure that the number of children who are resident in more than household because their 2. what estimate he has made of the effect of the number of parents do not live together is estimated as well as possible. children living in more than one household on the accuracy of Therefore it is expected that information on children living in national statistics concerning children (91544). more than one household will be available from this data source The Office for National Statistics does not routinely publish in future. However this is not an ONS survey, so ONS is not able estimates of the number or proportion of children who live in to comment on the statistics about children from this source. more than one household. However, two sources, an article about children with a non-resident parent, and the 2001 census can provide some information. Two further sources will be able to Shift Work provide such an estimate in the future; the 2011 census and the longitudinal survey Understanding Society. Chris Ruane: To ask the Minister for the Cabinet A. Article ‘Children with a non-resident parent’ Office what information his Department holds on the The article ‘Children with a non-resident parent’ published by number of people who worked night shifts in each of ONS in Population Trends 140, see: the last 30 years. [90895] 45W Written Answers23 JANUARY 2012 Written Answers 46W

Mr Hurd: The information requested falls within the at the local level with support from the Cabinet Office. responsibility of the UK Statistics Authority. I have The local authorities involved are Westminster city council, asked the authority to reply. the London borough of Hammersmith and Fulham, Letter from Stephen Penneck, dated January 2012: Leicestershire county council and Birmingham city council. As Director General for the Office for National Statistics, I Third Sector have been asked to reply to your Parliamentary Question asking how many workers worked night shifts in each of the last 30 years. [90895] Mr Thomas: To ask the Minister for the Cabinet Office what steps his Department is taking to measure The available information is provided in the table. Estimates progress on the implementation of policies supporting prior to 1992 are not available. The estimates are derived from the Labour Force Survey (LFS) and are not seasonally adjusted. As the Big Society initiative; and if he will make a with any sample survey, estimates from the LFS are subject to a statement. [91387] margin of uncertainty. Mr Hurd: Departmental business plans set out clear People working permanent night shifts, three months ending June, 1992 to 2011, United Kingdom, not seasonally adjusted priorities across Government, including what we are Thousand putting in place to support the growth of Big Society, and we continue to report publicly on progress against 1992 272 these priorities at: 1993 310 http://transparency.number10.gov.uk/transparency/srp/ 1994 357 Within Cabinet Office this includes reporting progress 1995 360 on initiatives such as Community Organisers, Community 1996 373 First, National Citizen Service, and Big Society Capital. 1997 363 In addition we are carrying out full evaluations of 1998 391 key Big Society programmes such as National Citizen 1999 440 Service to determine its effectiveness in creating a more 2000 445 engaged, cohesive and responsible society.Such evaluations 2001 430 will be fully published in due course at: 2002 429 www.cabinetoffice.gov.uk 2003 418 2004 428 Voluntary Work: Conditions of Employment 2005 412 2006 422 Mr Thomas: To ask the Minister for the 2007 386 Cabinet Office what assessment he has made of 2008 388 the recommendation of the Association of Chief 2009 348 Executives of Voluntary Organisations Commissioner 2010 378 on Big Society that the Employment Rights Act 1996 2011 338 should be amended to extend employees right to take Source: reasonable time off, with the permission of their Labour Force Survey. employer, to serve a voluntary organisation; and if he will make a statement. [91422]

Social Impact Bonds Mr Hurd: The Giving White Paper made clear that the Government fully support and encourage organisations Mr Love: To ask the Minister for the Cabinet Office making time available for employees to volunteer. The how much the Government has invested in social Government have also made their ambitions clear with impact bonds in the latest year for which figures are their commitment to turn the civil service into a civic available; what estimate he has made of the level of service, supporting civil society organisations. This will such investment in each succeeding year to 2014-15; encourage civil servants to give time by providing them and if he will make a statement. [91285] with opportunities to use their skills and using volunteering as a means of learning and professional development Mr Hurd: The Government have not so far acted as both in terms of gaining new skills and experiences and an investor in social impact bonds, and has no plans to also better understanding of the impact of government do so. policies on the civil society sector. Under Every Business Commits, we are also challenging However, in September 2010 the Ministry of Justice businesses to take action on priorities including promoting launched the world’s first social impact bond at employee well-being and engaging with communities, Peterborough prison, targeting reduced rates of reoffending. with Government committing in return to encourage Around £5 million of capital was raised from social enterprise and reduce red tape to create the best conditions investors and is being used to pay for services in the for businesses to succeed. prison and outside in the community. Outcome-based payments to investors, linked to the success of the Working Hours project in reducing reoffending, are capped at around £8 million and will be made by the Ministry of Justice Chris Ruane: To ask the Minister for the Cabinet and the Big Lottery Fund. Office what information his Department holds on the The Government are also supporting work on other average number of hours worked by full-time workers social impact bonds. This includes four potential pilot in each socio-economic group in each of the last projects targeting troubled families being developed 30 years. [90896] 47W Written Answers23 JANUARY 2012 Written Answers 48W

Mr Hurd: The information requested falls within the The table provides the information requested for the July to responsibility of the UK Statistics Authority. I have September quarter each year from 1992 onwards. Estimates prior asked the authority to reply. to 1992 are not available. The National Statistics Socio-Economic Classification is an occupationally based classification. In 2001 Letter from Stephen Penneck, dated January 2012: the occupation classification used in the Labour Force Survey changed from SOC 1990 to SOC 2000. As a result it is not As Director General for the Office for National Statistics, I possible to provide consistent socio-economic occupation groups. have been asked to reply to your Parliamentary Question asking The estimates are derived from the Labour Force Survey (LFS) for the average number of hours worked by full-time workers in and are not seasonally adjusted. As with any sample survey, each socio-economic group in each of the last 30 years. [90896] estimates from the LFS are subject to a margin of uncertainty.

Average number of weekly hours1 worked by full-time2 workers in each socio-economic group. Three months ending September, 1992 to 2011, United Kingdom, not seasonally adjusted

Hours worked

Employers Employers and and Prof workers Intermediate Junior non- Personal Foreman and managers managers (self- Prof workers non-manual manual service supervisors (lge est.) (sml est.) employed) (employees) workers workers workers (manual)

1992 37.7 43.6 42.8 37.7 32.9 33.5 34.3 37.7

1993 37.8 43.6 44.5 38.1 32.5 33.7 33.8 38.6

1994 37.8 43.8 43.9 37.6 33.0 33.5 34.4 39.0

1995 37.9 43.3 42.4 38.1 33.2 33.6 34.7 39.3

1996 38.2 43.5 43.3 38.5 33.7 34.0 33.8 38.7

1997 38.4 43.9 41.9 38.3 33.3 34.1 33.9 38.7

1998 38.5 43.0 40.6 38.1 33.5 34.0 33.9 39.5

1999 38.2 42.5 41.4 38.1 33.8 34.0 33.0 39.0

2000 38.2 41.8 42.3 38.1 33.3 33.7 32.3 38.3

Hours worked Semi Farmers Skilled skilled Unskilled Own (employers Farmers Members All socio- manual manual manual account and (own Agricultural of armed economic workers workers workers workers managers) account) workers forces groups3

1992 37.4 35.8 35.8 42.0 60.9 63.6 44.9 37.3 37.2 1993 37.7 35.8 35.7 42.9 60.5 62.4 44.4 34.2 37.3 1994 38.5 36.1 36.2 43.1 64.0 63.7 46.4 38.9 37.7 1995 38.2 36.0 36.3 42.5 62.0 63.6 46.5 37.2 37.6 1996 38.8 35.9 36.3 42.7 62.2 62.2 47.4 39.1 37.8 1997 38.6 36.2 36.9 42.2 65.3 62.8 45.1 40.3 37.7 1998 39.3 36.5 36.5 41.5 62.7 61.2 47.1 39.6 37.7 1999 39.1 36.2 36.1 41.7 61.6 61.5 47.2 37.9 37.5 2000 38.4 36.1 36.2 41.6 61.7 64.7 46.1 38.9 37.1

Hours worked Small Higher Lower employers managerial managerial and own Lower All socio- and and Intermediate account supervisory Semi-routine Routine economic professional professional occupations workers and technical occupations occupations groups3

2001 38.2 35.7 33.3 44.3 38.3 35.0 38.0 37.1 2002 38.4 35.6 32.8 43.6 37.7 35.1 38.0 36.9 2003 38.6 35.1 32.9 43.1 37.4 35.0 37.5 36.7 2004 38.1 34.9 32.9 42.7 37.6 34.3 37.1 36.4 2005 37.8 35.1 33.5 42.0 37.5 34.5 37.6 36.5 2006 38.0 34.9 33.1 41.9 37.3 34.1 37.5 36.4 2007 38.0 35.2 33.2 41.4 37.6 34.9 37.4 36.5 2008 38.2 35.4 32.8 41.5 37.2 34.2 37.4 36.4 2009 37.6 34.8 33.0 41.2 37.0 34.0 36.9 36.1 2010 38.0 35.3 33.4 41.5 37.2 33.8 36.9 36.4 2011 38.6 35.5 33.0 41.7 37.4 35.1 37.2 36.5 49W Written Answers23 JANUARY 2012 Written Answers 50W

1 Main job only. 2 The full-time classification is based on the respondents’ self-classification. 3 Includes those who did not state their socio-economic group. Note: The National Statistics Socio-Economic Classification is an occupationally based classification. In 2001 the occupation classification used in the Labour Force Survey changed from SOC 1990 to SOC 2000. As a result it is not possible to provide consistent socio-economic occupation groups. Source: Labour Force Survey

COMMUNITIES AND LOCAL GOVERNMENT Electoral Register: Finance

Christmas Chris Ruane: To ask the Secretary of State for Communities and Local Government whether he has Mr Thomas: To ask the Secretary of State for had discussions with the Deputy Prime Minister on Communities and Local Government how much his the potential effects of funding reductions by his Department spent on (a) Christmas trees and Department on budgets for voter registration. [91178] (b) other Christmas decorations in 2011; and if he will make a statement. [91094] Robert Neill: Ministers within the Department for Communities and Local Government regularly meet Robert Neill: In 2011 the (a) Christmas tree and colleagues from the Cabinet Office to discuss a range of (b) other Christmas decorations were supplied at no matters. cost to the Department. I also refer the hon. Member to my answer of EU Grants and Loans 20 December 2010, Official Report, column 941W, on Scrooge and politically correct Grinches. Mr Marsden: To ask the Secretary of State for Council Housing: Repairs and Maintenance Communities and Local Government (1) how much money from the European regional development fund has been (a) contracted and (b) paid to projects in Austin Mitchell: To ask the Secretary of State for each region to date; [86452] Communities and Local Government what steps he plans to take to provide funding to deal with the (2) how much funding from the European regional backlog of capital works needed to council housing; development fund remains to be allocated in each and what his policy is on the provision of such funding region. [86586] through rent rises. [89591] Grant Shapps [holding answer 13 December 2011]: Andrew Stunell: Last year, my Department allocated The Government are on target with the current European £1.6 billion over the current spending review period to regional development fund programme. Funds must be 46 local authorities in England to help them address the spent by 2015 and we have already invested some two-thirds backlog of council housing that has yet to meet the of the moneys at a point when we are two-thirds of the Decent Homes standard. way through the duration of programme. All areas have The number of non-decent local authority dwellings meet their 2011 spend targets. Recent funding calls have across England was 217,100 on 1 April 2011, a 26% attracted high levels of interest, which reinforces the decrease from 291,600 on 1 April 2010. fact that we are on track to spend the remainder of the programme on target. Rental income is another means by which local authorities can raise revenue for improvement work, I would note that the claims made by the hon. Member but this is a matter for each individual authority to in his recent party political press release were wholly decide. inaccurate. Indeed, under the last Administration, the European regional development fund was plagued by a legacy of poor administration, and the coalition Council Tax: Sefton Government have overhauled the management of these schemes that we have inherited. Bill Esterson: To ask the Secretary of State for We have ensured that the European Commission Communities and Local Government what assessment lifted an interruption on the programme which it had he has made of the effect on the income of Sefton ordered. These steps will also protect taxpayers from borough council of proposed reform of council tax. the prospect of large ’financial corrections’ being levied [91321] due to poor administration, as happened under the 2000-06 European regional development fund programme. Robert Neill: The Government’s assessments of the The operation of the fund is governed by complex impact of the reforms of council tax, including those in European regulations and comes with stringent penalties the Local Government Finance Bill, are published at: if those are not met. Our firm action is helping to http://www.communities.gov.uk/documents/localgovernment/ reduce the size of the liabilities that we inherited from pdf/2053960.pdf the 2000-06 programme, as well as ensuring better and management of the 2007-13 programme that we have http://www.communities.gov.uk/documents/localgovernment/ inherited, by bringing it in-house and tighter audit pdf/2053909.pdf processes. 51W Written Answers23 JANUARY 2012 Written Answers 52W

To place the shocking mismanagement of the last Local area To be allocated (£) Administration in context, as outlined in the answer of 12 October 2011, Official Report, column 448W, a total South West (Competitive 48,829,742 £101.3 million of funding was lost through financial Programme) corrections and unrecoverable amounts arising from South West (Convergence 100,766,724 irregularities from the European regional development Programme) fund 2000-06 programme throughout the period 2000-11. West Midlands 157,864,877 Such losses effectively mean less money to invest in Yorkshire and Humberside 237,816,539 regeneration and growth. Total for all England 1,031,697,560 As noted in a recent departmental press notice, this As described in the written ministerial statement by Government inherited potential liabilities for European the Under-Secretary of State for Communities and regional development fund projects between 2000 and Local Government, my noble Friend, Baroness Hanham, 2006 estimated to be as high as £236 million, of which of 3 February 2011, Official Report, House of Lords, the Department has accepted that £38.1 million of this column 86WS, local management committees, in which could not be recovered (this is included in the £101.3 million Local Enterprise Partnerships, local authorities and figure in the paragraph above). other local bodies are heavily involved, are charged with At the end of December 2011, my Department has making decisions about where funding can best be used. managed to reduce the remaining figure (£198 million) European regional development fund officials are working to a total of £67 million (a reduction of around alongside local partners in the individual fund programme £131 million) and is continuing to seek recovery of the areas to make sure that fund investment is taken up. remaining amount. The Government are taking a number of steps to To ensure that we continue with tighter levels of promote match funding. My Department has carried control for the 2007-13 programme we have taken on out an exercise to identity further potential sources of independent auditors, Moore Stephens, to identify match funding across Government. Last month, Ministers irregularities in existing claims to the European from my Department and the Department for Business, Commission; and we have overhauled the audit process Innovation and Skills wrote to all the chairmen and to minimise errors in future claims. vice-chairmen of the Local Management Committees which now oversee European regional development fund As at 30 November 2011, the following sums from the funding locally to remind them of the availability of current European regional development fund 2007-13 match funds from within government through programmes programme had been contracted for, and paid to each such as the Manufacturing Advisory Service, Business part of England: Coaching for Growth and UK Trade International. We have set up innovative approaches to bring in more £ funding for example through the regional growth fund Local area Contracted Paid to projects and growing places fund. East Midlands 128,925,000 65,899,074 As announced in November’s national infrastructure East of England 67,491,699.63 32,266,355 plan, we have also taken the initiative of using the London 112,117,174 77,615,389 current programme to support actively the roll-out of North East 202,170,235 126,871,643 super-fast broadband, and my Department has been North West 445,100,000 273,744,864 liaising with Broadband UK and the pilot broadband South East 12,971,315.80 6,550,148 projects. South West 57,584,633 27,918,003 (Competitive EU Law Programme) South West 290,253,287 126,691,760 (Convergence John Mann: To ask the Secretary of State for Programme) Communities and Local Government how many of the West Midlands 187,242,945 84,451,352 regulations his Department brought into force through Yorkshire and 266,322,045 162,069,156 (a) primary legislation, (b) secondary legislation and Humberside (c) other means originated from proposals by the Total for all 1,770,178,334.43 984,007,774 European Commission in (i) 2010 and (ii) 2011. [88963] England Robert Neill: In 2010, the following measures originating As at 30 November 2011, the remaining sums from in EU requirements were enacted by DCLG: the current programme are to be allocated are listed in The Energy Performance of Buildings (Certificates and Inspections) the following table. Again, I would note that we are on (England and Wales) (Amendment) Regulations 2010 (SI 2010/1456). track and on target, given the timetable of the programme. In 2011, the following measures originating in EU requirements were enacted by DCLG: Local area To be allocated (£) Infrastructure Planning (Environmental Impact Assessment) East Midlands 103,200,000 (Amendment) Regulations (SI 2011/2741) East of England 28,348,013 Town and Country Planning (Environmental Impact Assessment) London 46,080,472 Regulations (SI 2011/1824) North East 119,640,235 The Architects (Recognition of European Qualifications) Regulations 2011 (SI 2011/2008) North West 180,800,000 South East 8,350,940 The Energy Performance of Buildings (Certificates and Inspections) (England and Wales) (Amendment) Regulations 2011 (SI 2011/2452). 53W Written Answers23 JANUARY 2012 Written Answers 54W

The following provisions in the Localism Act 2011 Robert Neill: All EU regulations for which my are intended to ensure that EU regulations and directives Department is responsible, that are due, have been are transposed into English law in the context of implemented. neighbourhood planning: paragraph 2 of schedule 9 of the Localism Act 2011 inserted European Regional Development Fund sections 61E9(8), 61K(b) and (c) into the 1990; paragraph 5 of schedule 9 of the Localism Act 2011 inserted Mr Anderson: To ask the Secretary of State for section 38A(6) into the Planning and Compulsory Purchase Act 2004; and Communities and Local Government what steps his Department is taking to ensure that regions of England Schedule 10 of the Localism Act which inserted paragraph 8(2)(f) of new schedule 4B into the Town and Country Planning access all funds available under the European regional Act 1990. development fund. [88537]

Priti Patel: To ask the Secretary of State for Grant Shapps: I refer the hon. Member to the answer Communities and Local Government which EU I gave to the hon. Member for Blackpool South (Mr (a) directives, (b) regulations and (c) other legislation Marsden) today, PQs 86452 and 86586. affecting his Department require transposition into UK law; and what estimate he has made of the cost to Fire Services: East of England (i) the public purse and (ii) the private sector of such measures. [89687] Mr Stewart Jackson: To ask the Secretary of State Robert Neill: The following EU legislation affecting for Communities and Local Government what the this Department requires transposition into UK law: (a) revenue and (b) capital cost was of the Eastern Region Fire Control Centre in Waterbeach, The directive on the assessment of the effects of certain public and private projects on the environment (85/337/EEC) (the EIA Cambridgeshire in each of the last three financial directive) and the directive on conservation of natural habitats of years; and if he will make a statement. [91007] wild flora and fauna (92/43/EEC) (the habitats directive) require transposition in relation to proposals for neighbourhood development Robert Neill: The revenue costs for the East of England orders made under schedule 4B of the Town And Country Regional Control Centre building in Waterbeach, Planning Act 1990 (inserted by schedule 10 of the Localism Act Cambridge for 2009-10, 2010-11 and 2011-12 are shown 2011). There is no cost to the public or private sector from implementation. in the table. No capital costs for the Regional Control Centre building were incurred in these three financial Articles 3(2) (b) to (d) of the birds directive (2009/147/EC) requires further transposition following infraction proceedings. years. DEFRA is the lead Department. In 2011 DCLG have reduced the facilities management The energy performance of buildings directive (recast) (2010/31/EU) costs for the buildings by 25% and utilities by 35%, and requires transposition by 9 July 2012 and must be progressively will look to make further savings where appropriate. implemented from 9 January 2013. The total cost of implementation will be £4.1 million over a 30 year period. This cost falls almost Revenue1,2 (£) exclusively on the public sector. The Construction Products Regulation (EU No 305/2011) 2009-10 1,811,315.51 comes fully into force on 1 July 2013. Although the substantive 2010-11 1,999,452.93 provisions are directly effective and do not require transposition, 2011-12 2,182,591.60 some domestic implementing measures may be needed to ensure 1 Revenue includes: Rent and Service Charges, Fixed Maintenance that the regulation applies compatibly with domestic law. There is and Utilities. no cost to the public or private sector from implementation. 2 Vat is included in payments made from 1 January 2011. The estimate of the cost of the cost of these measures I note that the National Audit Office report of 1 July is £4.1 million over a 30-year period. 2011, HC 1272, on ″The Failure of the FiReControl project″, states: Mr Thomas: To ask the Secretary of State for ″The Department’s failure to manage the project as a whole Communities and Local Government whether his has resulted in the creation of empty regional control centres. The Department holds information on the EU regulations nine regional control centres were purpose-built to house the new in its policy areas of responsibility which have not been computerised equipment and were designed specifically for that implemented in (a) France and (b) Germany; on purpose. The Department’s decision to prioritise the procurement which dates those regulations became EU law; and if of the centres over the IT system at an early stage meant that the he will make a statement. [90692] first centres were completed in June 2007, just three months after the IT contract had been awarded.″ Robert Neill: The information requested is not held full report, p.8. by Her Majesty’s Government. Providing an answer would pose a disproportionate cost. However, this Mr Stewart Jackson: To ask the Secretary of State information is held on the European Commission’s for Communities and Local Government what plans he EUR-Lex website: has for the disposal of the Eastern Region Fire Control http://eur-lex.europa.eu/en/index.htm Centre building in Waterbeach, Cambridgeshire; and if he will make a statement. [91008] Mr Thomas: To ask the Secretary of State for Communities and Local Government which EU Robert Neill: I am due to meet Cambridgeshire Fire regulations his Department has not implemented; on and Rescue Authority shortly, to discuss a number of what date the regulations became EU law; and if he issues including the future of the control centre building will make a statement. [90706] at Waterbeach, Cambridgeshire. 55W Written Answers23 JANUARY 2012 Written Answers 56W

I note the observations of the National Audit Office Agency through an additional award of £7.0 million (437 units). report of 1 July 2011, HC 1272, on “The Failure of the Shared equity remained an important selling tool throughout the FiReControl project”. It states: period given the ongoing constraints on mortgage finance. Of these completions, 477 used the Government FirstBuy initiative.″ “The FiReControl project was flawed from the outset because it did not have the support of those essential to its success—local Figures on the New Build Homebuy can be found at: Fire and Rescue Services. The Department rushed the start of the http://www.communities.gov.uk/publications/corporate/ project, failing to follow proper procedures. Ineffective checks statistics/affordablehousing201011 and balances during initiation and early stages meant the Department committed itself to the project on the basis of broad-brush and inaccurate estimates of costs and benefits and an unrealistic Housing: Wiltshire delivery timetable, and agreed an inadequate contract with its IT supplier. The Department under-appreciated the project’s complexity, Justin Tomlinson: To ask the Secretary of State for and then mismanaged the IT contractor’s performance and delivery. Communities and Local Government what estimate he The Department failed to provide the necessary leadership to has made of the level of New Homes Bonus funding to make the project successful, over-relying on poorly managed consultants and failing to sort out early problems with delivery by be allocated to (a) Swindon and (b) Wiltshire in the contractor. The Department took a firmer grip of the project 2012-13. [90820] from 2009 and terminated the contract in December 2010 to avoid even more money being wasted.” (National Audit Office Grant Shapps: The New Homes Bonus is paid to local press release, 1 July 2011). authorities in recognition of net additions to their housing Our aim is to achieve the best possible value for stock. It match funds the additional council tax raised money for the tax payer from the control centre buildings. using the national average in each band for new homes Our preference is for fire and rescue authorities to use and long-term empty properties brought back into use, the buildings as they are purpose built for them. The with a premium for affordable homes, for each of the decision as to whether fire and rescue services use the following six years. buildings is entirely a local matter and where local fire The New Homes Bonus provisional allocation for and rescue authorities decide this is not the best way Swindon borough council totals £2,783,259. This includes forward for their communities, then DCLG will market the second Year 1 instalment of £1,451,214 and the first the buildings more widely, including to other emergency Year 2 instalment of £1,332,046. It also includes the services. first affordable homes premium of £98,700. For Wiltshire council, the provisional bonus allocation First Time Buyers totals £4,586,324 and includes the second Year1 instalment of £1,841,402 and the first Year2 instalment of £2,744,922. John Stevenson: To ask the Secretary of State for The affordable homes premium amounts to £257,600. Communities and Local Government how many first A full list of the provisional allocations has been time buyers have participated in the (a) First Buy placed in the Library of the House and is also available Shared Equity and (b) New Build Home Buy scheme on the Department for Communities and Local since it was launched. [89166] Government website at: http://www.communities.gov.uk/housing/housingsupply/ Grant Shapps: The FirstBuy shared equity scheme newhomesbonus will help an estimated 10,500 aspiring home owners in England by 2013. The FirstBuy prospectus was published An announcement will be made shortly on the final by the Homes and Communities Agency in April 2011 allocation figures. and allocations were announced in June following the bidding competition. The contracts were signed over Local Government Finance: Kent the summer, with the first homes being available for sale from September 2011. Gareth Johnson: To ask the Secretary of State for Official statistics on this scheme are published by the Communities and Local Government what funding his Homes and Communities Agency bi-annually in June Department has provided to Kent County Council in and November for the preceding March and September each year since 2005. [90536] respectively.Figures published in November 2011, reflecting that first month of sales and the initial opening of the Robert Neill: The total grant funding allocated by the scheme, show 44 sales to the end of September. This Department of Communities and Local Government does not reflect the take-up of the scheme subsequently, to Kent county council is as follows: and I would note that housebuilders have found significant Kent interest from first time buyers, reporting over 2,500 reservations following the signing of the contracts in £000 the summer. 2005-06 934,411 As an illustration, I note that Persimmon Homes’ 2006- 268,673 Trading Statement of 9 January remarked: 2007-08 286,177 ″Take up of the Government’s FirstBuy Scheme has been 2008-09 375,368 encouraging.″ 2009-10 380,416 In addition, Barratt Homes’ Trading Statement, 2010-11 390,980 published on 12 January, stated: The definition of central Government grant used ″FirstBuy, the Government backed equity share product, will remain an important sales tool. We have made good progress in here is the sum of: using our initial allocation of £24.9 million (1,400 units) and this formula grant (revenue support grant and redistributed non- success has been recognised by the Homes and Communities domestic rates); 57W Written Answers23 JANUARY 2012 Written Answers 58W

specific grants inside Aggregate External Finance (i.e. revenue licence or under the planning permission the local authority grants paid for council’s core services) (awarded by DCLG only); can take enforcement action to rectify the breach, including specific grants outside Aggregate External Finance (awarded by prosecution if necessary. by DCLG only); Area Based Grant (from 2008-09); and Michael Fallon: To ask the Secretary of State for ‘other grants’ provided by Departments. Communities and Local Government when he expects These figures are taken from revenue outturn forms to publish proposals for the regulation of park homes. provided by authorities after the end of a financial year. [90648] It is not possible to disaggregate DCLG element of formula grant, Area Based Grant and other grants from Grant Shapps: The Government are committed to grants from other Government Departments. Comparison reforming the park homes sector and giving residents across years may not be valid owing to changing local better rights and protection from unscrupulous site authority responsibilities and changes to funding owners. I plan to publish a consultation document this methodology. spring on a range of measures to improve the licensing regime which applies to park home and caravan sites Local Government: Pensions and prevent the unacceptable practice of sale blocking by some site owners. Mrs Hodgson: To ask the Secretary of State for Non-domestic Rates: Sefton Communities and Local Government what economic impact assessment his Department has carried out on the effect of the proposed changes to the Local Bill Esterson: To ask the Secretary of State for Government Pension Scheme in (a) Washington and Communities and Local Government what assessment Sunderland West constituency and (b) Sunderland he has made of the effect on the income of Sefton local authority area. [91548] borough council of his proposed changes to non- domestic rates. [91322] Robert Neill: I refer the hon. Member to the answers given to the hon. Member for Gedling (Vernon Coaker), Robert Neill: The Government’s proposals will ensure and the hon. Member for Stoke-on-Trent Central (Tristram a stable starting point, so that no local authority will be Hunt), on 7 November 2011, Official Report, column worse off as a result of its business rates base at the 23W. outset of the new system. The impact of the Government’s proposals will depend Mobile Homes on a range of factors, including future business rates growth at the local level and the behavioural response Mr Ellwood: To ask the Secretary of State for to the changes. The proposals incorporate a range of Communities and Local Government whether he plans protections to ensure councils can meet local needs, to review guidance issued by his Department on the including a safety net for places in need of additional management of mobile home parks. [91066] support, funded by a levy recovering a share of disproportionate gain. Grant Shapps [holding answer 20 January 2012]: The These reforms will boost local firms and local jobs as Department for Communities and Local Government councils are given more autonomy over their own financial published model standards for all licensable residential circumstances, and rewarded for building stronger mobile home sites in England in 2008. These are standards relationships with business to strengthen the local economy. which local authorities must have regard to in setting They have the potential to increase the aggregate income conditions in licences they issue. Authorities having from business rates, compared to the status quo, due to considered the standards are not obliged to adopt them. greater enterprise and economic growth. The Government are also committed to reforming the mobile home sector and giving residents better rights and protection from unscrupulous site owners. I plan to publish a consultation document in the spring FOREIGN AND COMMONWEALTH OFFICE on a range of measures to improve the licensing regime Antarctic Treaty which applies to park home and caravan sites and prevent the unacceptable practice of sale blocking by some site owners. Stephen Phillips: To ask the Secretary of State for Foreign and Commonwealth Affairs what steps his Mr Ellwood: To ask the Secretary of State for Department is taking to ensure the enforcement of the Communities and Local Government what powers are Antarctic Treaty. [91413] available to local councils to deal with owners of mobile homes who breach the guidance on the number Mr Bellingham: The Antarctic Treaty provides for the designation of observers to carry out inspections to of homes permitted on a site. [91067] ensure the observance of the provision of the Treaty. Grant Shapps [holding answer 20 January 2012]: The UK has regularly undertaken formal inspections in Mobile home sites are required to be licensed under the Antarctica, most recently in 2005-06. Reports of Antarctic Caravan Sites and Control of Development Act 1960 Treaty Inspections can be viewed at: and use of land for stationing mobile homes on it http://www.ats.aq/e/ats_governance_listinspections.htm requires planning permission under the Town and Country Through the Royal Navy’s ice patrol vessel, HMS Planning Act 1990. If the number of homes on a Protector, and the British Antarctic Survey, the UK particular site exceed the number permitted under the maintains an active and influential presence in Antarctica, 59W Written Answers23 JANUARY 2012 Written Answers 60W including to ensure that the provisions of the Antarctic As stated in my reply to the hon. Member for Brent Treaty are implemented in the region. Any activities in North (Barry Gardiner) on 21 November 2011, Official the Antarctic by those with a relevant British connection Report, column 194W, a new global biodiversity target require authorisation under the UK’s Antarctic Act was agreed at the tenth meeting of the Conference of 1994 and post-visit reports are assessed to ensure full the Parties to the Convention on Biological Diversity in compliance with permit requirements. Nagoya in October 2010 as part of the new Strategic Plan for Biodiversity 2011-20. The Strategic Plan includes Australia: Eagles 20 headline targets for 2015 or 2020; these are called the ″Aichi Targets″. Both the Strategic Plan and the Aichi Mark Pritchard: To ask the Secretary of State for Targets apply to those Overseas Territories to which the Foreign and Commonwealth Affairs if he will raise the Convention on Biological Diversity has been extended. effect of intensive logging on the Tasmanian wedge- These are the British Virgin Islands, Cayman Islands, tailed eagle population with the Government of Gibraltar, St Helena, Ascension and Tristan da Cunha. Australia. [90595] DEFRA has recently published a paper (“The Environment in the United Kingdom’s Overseas Territories: Alistair Burt: The British Government remain concerned UK Government and Civil Society Support”), available about the continuing loss of biodiversity globally. We to view on the DEFRA website, describing the support are committed to promoting sustainable forest management available to the Overseas Territories on environmental and reducing this loss of biodiversity. issues, from the Department, its agencies and civil society. The Tasmanian wedge-tailed eagle has been listed as The paper contains 10 commitments that underpin endangered in international, national and state legislation, three priority areas for action to support meeting our however, this is an issue for the Australian federal and two environmental objectives for the Overseas Territories. Tasmanian state governments. More specifically one of the commitments in the paper On 13 January 2012, the Australian and Tasmanian is to continue implementing the UK Overseas Territories governments and Forestry Tasmania signed a Conservation Biodiversity Strategy and to develop an implementation Agreement, as part of the Tasmanian Forests plan to facilitate and co-ordinate delivery of the strategy. Intergovernmental Agreement, to provide legally binding Further to this, we are committed to continue to provide protection for an interim area of almost 430,000 hectares advice on the extension of our ratification of multi-lateral of forest where the Tasmanian wedge-tailed eagle nests. environment agreements, such as the Convention on Biological Diversity to the Overseas Territories. Belarus: Freedom of Expression Burma: Political Prisoners Jeremy Corbyn: To ask the Secretary of State Dr Huppert: To ask the Secretary of State for Foreign for Foreign and Commonwealth Affairs what and Commonwealth Affairs what recent reports he has representations he has made to the government of received on the health of monk U Sandawbartha, Belarus on freedom of expression in that country. known as U Gambira, recently released from prison in [91072] Burma. [91363] Mr Lidington: The Government have made a number Alistair Burt: We understand from contacts that the of representations to the Belarusian authorities both in health of monk U Sandawbartha, known as U Gambira, London and Minsk about the serious human rights has improved. Our embassy in Rangoon is in close situation in the country, including about freedom of contact with many Burmese civil society and democratic expression. The most recent occasions were on 11 and activists, including individuals recently released from 16 January. I have made numerous statements, for example prison. condemning the fact that new legislation has made it all but impossible for Belarusian citizens to exercise their Crown Dependencies rights of freedom of expression and assembly, and underlining that the legislation is not in line with Belarus’s Conor Burns: To ask the Secretary of State for obligations under international human rights law. I am Foreign and Commonwealth Affairs what mechanisms deeply concerned about the constant harassment of his Department has put in place to ensure that the journalists. In a recent EU statement in the OSCE, we contracts it awards relating to Crown Dependencies and our EU partners urged the Belarusian authorities and British Overseas Territories go to British to stop this intimidation and to ensure that they can companies when there is no suitable local supplier. carry out their reporting activities in an unhindered [90970] way. Mr Bellingham: The Government are obliged under British Overseas Territories: Biodiversity EU law to procure goods and services through transparent and fair competition with the successful supplier being selected on the basis of suitability and value for money. Barry Gardiner: To ask the Secretary of State for Foreign and Commonwealth Affairs whether he Departmental Manpower expects the Government’s target to halt overall loss of biodiversity by 2020 to apply to the British Overseas Andrew Rosindell: To ask the Secretary of State for Territories; and if he will make a statement. [90808] Foreign and Commonwealth Affairs how many officials in his Department are solely responsible for Richard Benyon: I have been asked to reply on behalf Overseas Territory affairs; and what the (a) job title of the Department for Environment, Food and Rural and (b) specific responsibilities are of each such Affairs. official. [91041] 61W Written Answers23 JANUARY 2012 Written Answers 62W

Mr Bellingham: The Foreign and Commonwealth Mr Lidington: The information requested is not held Office employs more than 40 officials in London working by Her Majesty’s Government. Providing an answer solely on Overseas Territories affairs. They are led by would incur disproportionate cost. However, this the Director for the Overseas Territories (except those information is held on the European Commission’s engaged on Gibraltar issues) who is supported by four EUR-Lex website at: Deputy Directors, six Section Heads and teams of Desk http://eur-lex.europa.eu Officers providing thematic and territory-specific advice. Further staff are engaged on financial management and Mr Thomas: To ask the Secretary of State for administrative support duties. The Overseas Territories Foreign and Commonwealth Affairs which EU are a priority area of work for the FCO in our Departmental regulations his Department has not implemented; on Business Plan. what date the regulations became EU law; and if he will make a statement. [90711] Mr Thomas: To ask the Secretary of State for Foreign and Commonwealth Affairs what estimate Mr Lidington: There are no outstanding EU regulations he has made of the number and proportion of full- which my Department should implement, but has not time equivalent staff in his Department engaged in done so. delivering (a) frontline and (b) corporate or back office services; and if he will make a statement. [91085] European Court of Human Rights Mr Bellingham: Of the Foreign and Commonwealth Office’s (FCO) 4,500 UK based staff some 74% are Mr Stewart Jackson: To ask the Secretary of engaged on frontline activity and 26% on corporate and State for Foreign and Commonwealth Affairs which back office services. Frontline staff include all diplomatic (a) Departments, (b) Ministers and (c) other activity overseas plus trade and investment and consular stakeholders are consulted prior to the preparation by services. It also includes all staff dealing primarily with his Department of observations made in respect of foreign policy from the UK. The ’back office’ (corporate cases affecting UK citizens being heard by the function staff) includes finance, human resources, European Court of Human Rights; and if he will make information technology, security and estate management a statement. [90957] staff. The FCO also has nearly 8,700 locally engaged staff Mr Lidington: The Foreign and Commonwealth Office at overseas Posts of which around 34% are engaged on legal advisers act as agents of the UK Government for front line activity and 66% on ’back office’ tasks. The applications made to the European Court of Human back office function at Posts also supports significant Rights. When applications against the UK are numbers of staff from other Government Departments. communicated to them they co-ordinate an appropriate response with the lead Government Department (which will depend on the subject matter), other interested Diplomatic Service: Work Experience Departments and external counsel. The lead Government Department may consult Ministers as necessary. It is Luciana Berger: To ask the Secretary of State for not the Government’s practice to submit observations Foreign and Commonwealth Affairs how many unpaid on cases affecting UK citizens which are brought against or expenses-only interns there were employed by or other contracting states. based at UK (a) embassies and (b) consulates since May 2010. [91370] Ilois: Resettlement

Alistair Burt: The Foreign and Commonwealth Office Jeremy Corbyn: To ask the Secretary of State for (FCO) does not hold data centrally on the number of Foreign and Commonwealth Affairs pursuant to the interns taken on by our embassies and consulates overseas. answer of 10 January 2012, Official Report, column The information requested could be provided only at 85W, on Ilois: resettlement, what the costs to the public disproportionate cost. purse have been of defending actions brought by the Human Resources central guidance provided to FCO Chagos Islanders since 1999 (a) in total and (b) in embassies and consulates on appointments for internships relation to (i) the 1999-2000 case, (ii) legal aid to the makes clear that these should be made in accordance plaintiffs, (iii) staff costs of officials and legal advisers with local law and also follow the Civil Service in his Department, (iv) relevant research carried out Commission’s Recruitment Principles of merit based, by the British diplomatic posts in (A) Mauritius and fair and open recruitment. (B) Seychelles and (v) other relevant staff costs. [91070]

EU Law Alistair Burt: The cost of legal fees for (i), the 1999-2000 case, was £455,268.44. Mr Thomas: To ask the Secretary of State for Foreign and Commonwealth Office staff and staff in Foreign and Commonwealth Affairs whether his British diplomatic posts do not keep detailed timesheets Department holds information on the EU regulations of work on different tasks and it is not possible to in its policy areas of responsibility which have not been estimate costs with respect to (iii), (iv) and (v). implemented in (a) France and (b) Germany; on I will write to the hon. Member and place a copy in which dates those regulations became EU law; and if the Library of the House on part (ii) costs of legal aid, he will make a statement. [90696] when further research has been done. 63W Written Answers23 JANUARY 2012 Written Answers 64W

Libya: Politics and Government (b) Somali pirates captured in future military actions will be subject to a rigorous prosecution process to Angus Robertson: To ask the Secretary of State for deter others from engaging in similar actions. [91359] Foreign and Commonwealth Affairs what reports he has received on unrest around the town of Gharyan in Alistair Burt: Every encounter with suspected pirates Libya. [90616] is treated seriously and in each case the Royal Navy will carry out detailed analysis of all the physical evidence Alistair Burt: The Foreign and Commonwealth Office and witness statements. If there is sufficient evidence on is aware of recent reports that a militia from the town of which to be reasonably confident of achieving a successful Gharyan clashed with members of a militia from the prosecution we will make every effort to secure the neighbouring town of Alasabah. Reporting of the incident transfer of suspected pirates for prosecution in the remains unclear, however, we are aware of at least five region: it remains our priority to give real support to deaths. Libyan Defence Minister Juwayli intervened the countries in the region to deal with the problem of and secured a ceasefire although the situation remains piracy themselves and to deter any engagement with tense. We will continue to monitor the situation closely. piracy whatsoever. To that end, we are leading international work to build penal, judicial and law enforcement capacities Nigeria: Politics and Government in the region and to tackle the root causes of piracy on land. Mr Gregory Campbell: To ask the Secretary of State USA: Scotland for Foreign and Commonwealth Affairs if he will discuss with his Nigerian counterpart the effect of unrest and industrial action on disadvantaged Mark Pritchard: To ask the Secretary of State for communities in that country. [91360] Foreign and Commonwealth Affairs if he will hold discussions with the US Secretary of State on the Mr Bellingham: The Secretary of State for Foreign national security implications for the US of and Commonwealth Affairs, my right hon. Friend the independence for Scotland. [90184] Member for Richmond (Yorks) (Mr Hague), does not currently plan to discuss strike action in Nigeria with Alistair Burt: The UK benefits from having Scotland his counterpart. within it and has no plans to discuss with Secretary Clinton the national security implications for the US of The Nigerian Government’s decision to remove the independence for Scotland. subsidy on fuel led to national strike action and protests from 9 January, with some regrettable loss of life. It was suspended on 16 January, following discussions between the Government and unions. President Jonathan made HEALTH an accompanying statement about his Government’s commitment to combating corruption in the petroleum Air Ambulance Services industry and other areas of the Nigerian economy. We recognise the rationale of removing the fuel subsidy, Chris White: To ask the Secretary of State for Health when accompanied by fiscal transparency—so that what assessment he has made of future commissioning government spending can be invested in development arrangements for air ambulance services. [90653] programmes and infrastructure that benefits the Nigerian public. It is for the Nigerian Government to manage the Mr Simon Burns: In England, air ambulances are run effects of such policy decisions on all sections of society. and funded by charitable organisations. It is for local national health service organisations to decide whether President of the European Council they commission air ambulances charities. David Morris: To ask the Secretary of State for Air Ambulance Services: Finance Foreign and Commonwealth Affairs what recent representations he has received on the cost to the Chris White: To ask the Secretary of State for Health Exchequer of a new headquarters for the President of what proportion of air ambulance personnel are the European Council. [90588] funded by the NHS. [90654]

Mr Lidington: The European Council approved the Mr Simon Burns: This information is not collected costs for the new headquarters for the President of the centrally.My hon. Friend may wish to approach individual European Council in 2004. This Government do not national health service trusts to ascertain this information. believe that the headquarters represent good value for money. We are told that it would now cost more to Benzodiazepines cancel the headquarters than to complete them. The UK is therefore calling for all involved to exercise Eric Ollerenshaw: To ask the Secretary of State for the utmost economy and efficiency. Health what warnings his Department has issued on possible teratogenic effects of the use of Somalia: Piracy benzodiazepines; when such warnings were issued; and on what scientific evidence they were based. [90539] Mr Gregory Campbell: To ask the Secretary of State for Foreign and Commonwealth Affairs what Mr Simon Burns: There are limited data relating to assurances he has sought that (a) the Somali pirates the safety of use of benzodiazepines in pregnancy and captured by the Royal Navy in January 2012 and the implications for the unborn child. Clinical trials or 65W Written Answers23 JANUARY 2012 Written Answers 66W studies are not routinely conducted in pregnant women. Diabetes: Screening Consequently, the data available in relation to safety in pregnancy mainly comes from animal studies, spontaneous Keith Vaz: To ask the Secretary of State for Health case reports and practical experience with the medicine what steps he is taking to introduce universal screening over time. Evidence from these sources is carefully for diabetes in South Asian communities. [90609] evaluated and the relevant information is reflected in the product information. Paul Burstow: The UK National Screening Committee In 1980, guidance on the use of benzodiazepines was (UK NSC) advises Ministers and the national health published by the Committee on the Review of Medicines, service in all four countries about all aspects of screening this included use during pregnancy. In September 1997, policy. The UK NSC has just commenced a review of the medicines regulatory authority and its advisory screening for type 2 diabetes against its criteria and committee published further information in the bulletin stakeholders will be given the opportunity to input into Current Problems in Pharmacovigilance. This guidance the review process once the completed review is posted strengthened the guidance previously provided that on the UK NSC website for consultation. benzodiazepines are associated with a risk of neonatal The NHS Health Check programme is aimed at withdrawal symptoms if benzodiazepines are used during everyone in England between the ages of 40 to 74. It is a the latter stages of pregnancy. In addition, it advised risk assessment and risk management programme, which that high doses administered during late pregnancy or assesses people’s risk of heart disease, stroke, kidney labour may cause neonatal hypothermia, hypotonia disease and diabetes and supports people to reduce or and respiratory depression. It advised that benzodiazepines manage that risk through individually tailored advice. can also pass into the breast milk of mothers in sufficient In rolling out this programme, some primary care trusts doses to cause side effects in the babies and therefore targeted high-risk groups first such as South Asian should be avoided, if possible, during breast-feeding. populations who are at particularly high risk of diabetes. Benzodiazepines are therefore not recommended for The National Institute of Health and Clinical Excellence use during pregnancy unless there is clear clinical need (2011) guidance on ‘Preventing type 2 diabetes through for which the benefits to the mother, such as seizure population and community-level interventions in high-risk control, are considered to outweigh the risk to the groups and the general population’makes recommendations foetus. Any woman of childbearing potential, should be for the provision of culturally appropriate messages advised to speak with her doctor about stopping the about preventing type 2 diabetes. The guidance underlines product if she intends to become pregnant or suspects the action that we are already taking to improve public that she is pregnant. health and reduce the risk of people developing type 2 Information regarding use during pregnancy, is provided diabetes. in the product information for each product. Guidance Drugs: Imports is also provided in the British National Formulary which is provided free to all prescribes in the NHS. Barry Gardiner: To ask the Secretary of State for Health what assessment he has made of the potential Christmas effects of the timescales for variations to pharmaceutical licences on UK businesses involved in Mr Thomas: To ask the Secretary of State for Health the importation of medicines from other EU member how much his Department spent on (a) Christmas states to the UK. [90814] trees and (b) other Christmas decorations in 2011; and if he will make a statement. [91074] Mr Simon Burns: When assessing variations to parallel import licences, the primary objective of the Medicines and Healthcare products Regulatory Agency (MHRA) Mr Simon Burns: The Department did not spend any is to ensure that the proposed change to the product to money on Christmas trees or Christmas decorations in be imported will have no effect on the therapeutic 2011. equivalence of the product to the United Kingdom sourced product. The MHRA is aware that the time Departmental Air Travel taken to approve a variation to a parallel import licence impacts on the business of the parallel importers and Mr Crausby: To ask the Secretary of State for Health has been working to reduce this impact while maintaining on what occasions since August 2010 he has taken its primary responsibility of safeguarding public health. flights on departmental business in the UK; how many The gross time taken for processing variations to parallel of any such flights were made in either first or club import licences includes waiting time for information class; and who accompanied him on each such flight. from other member states and from the applicants responding to questions from the agency. [90669] Dystonia: Health Services Mr Simon Burns: The Secretary of State for Health, my right hon. Friend the Member for South Cambridgeshire Mr Virendra Sharma: To ask the Secretary of State (Mr Lansley), has taken two flights within the United for Health what the conclusions were of the review by Kingdom in this period. These were for a trip to and the South West Specialised Commissioning Group from Belfast undertaken in November 2010 for a military (SCG) of funding of deep brain stimulation for severe health event to which he was accompanied by his dystonia; on what basis its review was commissioned; parliamentary and principal private secretaries. The and for what reason it rather than another SCG was flights were in economy class. chosen to conduct the review. [90545] 67W Written Answers23 JANUARY 2012 Written Answers 68W

Mr Simon Burns: This is primarily a matter for the Anne Milton: We welcome the Future Forum’s local national health service. recommendations and will discuss them over the coming months with a range of interested parties. EU Law Health Professions: Finance Mr Thomas: To ask the Secretary of State for Health whether his Department holds information on the EU regulations in its policy areas of responsibility which Karen Lumley: To ask the Secretary of State for have not been implemented in (a) France and (b) Health what funding his Department has allocated to Germany and the dates on which those regulations the provision of health trainers in (a) England and (b) became EU law; and if he will make a statement. Worcestershire in the latest period for which figures are [90697] available. [90656]

Mr Simon Burns: The Department does not monitor Anne Milton: The total departmental expenditure to or maintain records of the implementation of European support the provision of the Health Trainer programme Union law in other EU member states. in 2010-11 was £609,000. Funding for local areas was distributed by regional hubs. Mr Thomas: To ask the Secretary of State for Health which EU regulations his Department has not Health Services implemented; on what date the regulations became EU law; and if he will make a statement. [90712] Mr Virendra Sharma: To ask the Secretary of State Mr Simon Burns: The Department is responsible for for Health what timetable he proposes for the the transposition of the following European Union development of nationally convergent commissioning legislation into United Kingdom law: policies in relation to specialised services; what plans he Directive 2010/53/EU (Organ transplantation) has for clinical, patient and public engagement with that process; and if he will make a statement. [90544] Directive 2010/53/EU on standards of quality and safety of human organs intended for transplantation entered into force on 26 August 2010. The Department intends to implement by the Mr Simon Burns: Commitments have been given to deadline of 27 August 2012. primary care trusts that no policy convergence will take Directive 2011/62/EU (Falsified medicines) place in 2012-13 without their knowledge and explicit support. Directive 2011/62/EU on falsified medicines entered into force on 21 July 2011. The implementation deadline is 2 January 2013. A clinical, financial and public patient experience We plan to implement Directive 2011/62/EU on 2 January 2013. and engagement process is being developed to support Directive 2010/84/EU (Pharmacoviligance) policy convergence for 2013-14 onwards. Directive 2010/84/EU amending, as regards pharmacovigilance, Directive 2001/83/EC on the Community code relating to medicinal Health Services: Lancashire products for human use entered into force on 20 January 2011. The Department intends to implement by the deadline of 21 July 2012. Andrew Stephenson: To ask the Secretary of State for Directive 2011/24/EU (Cross border health care) Health what funding he proposes to allocate to Healthwatch in Lancashire in each of the three Directive 2011/24/EU on cross border health care allowing EU financial years from 2013-14. [90722] citizens to seek planned health care treatment in other EU member states entered into force on 24 April 2011. The Department intends to implement by the deadline of 25 October 2013. Mr Simon Burns: Local Healthwatch organisations will carry out all the activities currently carried out by Genito-urinary Medicine local involvement networks and certain additional functions. The Government will announce the local government Ms Abbott: To ask the Secretary of State for Health financial allocations each year in the usual way. Funding whether data on the percentage of appointments at to support local Healthwatch’s additional functions genito-urinary clinics made within 48 hours of the will be allocated as part of the Department’s Learning appointment will continue to be collected after April Disability and Health Reform Grant. The funding for 2013; and if he will make a statement. [90962] the rest of local Healthwatch’s functions will be allocated through the local government formula grant. Anne Milton: The Department ran a public consultation on the Fundamental Review of Data Returns, which In addition to this, £3.2 million will be made available closed in late November 2011. This review considered in 2012-13 to help with start-up costs for local Healthwatch. all central data returns, including the genito-urinary medicine, 48-hour access, monthly monitoring collection. Andrew Stephenson: To ask the Secretary of State for A response to this consultation will be published shortly. Health how much funding was made available to local involvement networks in Lancashire in each of the last Health Professions five years. [90772]

Keith Vaz: To ask the Secretary of State for Health Mr Simon Burns: Allocations to individual local what discussions he has had on the recommendations authorities for local involvement networks were announced made by the NHS Future Forum about health as part of the local government finance settlement for professionals asking patients about their lifestyle. 2008-09. The allocations for Lancashire are in the following [90608] table: 69W Written Answers23 JANUARY 2012 Written Answers 70W

to the Prime Minister in October 2010. The Government £ million subsequently announced that they wished to see the 2008-09 0.454 report implemented. In order to do so £2 million was 2009-10 0.455 made available in 2010-l1 and £1.8 million per year over 2010-11 0.456 the following four years for the national health service in England. In his report, Dr Murrison made the following From 2010-11, funding has been maintained but is veteran-specific recommendations; that the equivalent distributed via the local government formula grant. of 30 whole-time equivalent community nurses, known Local involvement networks were introduced in April as veterans’ therapists, be deployed with a remit to 2008, under the Local Government and Public Involvement ensure that veterans are able to access mental health in Health Act 2007. The Government made £81 million care; that there be a trial of an online early intervention available to local authorities between 2008-09 and 2010-11’to service for serving personnel and veterans; and, that a support the funding of networks. Veterans Information Service be deployed 12 months after a person leaves the armed forces. Liposonal Dioxorubicin To take each of these in turn: In relation to the whole-time equivalents, the provision of 30 Mel Stride: To ask the Secretary of State for Health mental health nurses dedicated to helping veterans with mental whether he plans to reduce regulations which limit the health problems is being taken forward regionally: each of the manufacture and supply of approved drugs such as original 10 strategic health authority areas is covered by an liposonal dioxorubicin. [90599] Armed Forces Network. Within each Network, the NHS and Combat Stress are working together to develop integrated services Mr Simon Burns: The Department keeps its stock of for veterans with mental health problems. This type of service is now online in two of the 10 Networks: the South-West veterans’ regulation under close review and reduces burdens where mental health service, and Pennine Care Military Veterans’ service possible and in line with its public health obligations. in the North-West. Both of these services will manage cases The Medicines and Healthcare products Regulatory referred by embedded mental health professionals, general practitioners Agency (MHRA), an Executive agency of the Department, (GPs) or other agencies. The remaining eight services will be up will be participating in the Red Tape Challenge in and running in the next few months. spring this year. The Challenge encourages feedback on Turning to the online intervention service for serving personnel regulatory requirements and processes and the MHRA and veterans, the Department has funded Big White Wall—an would welcome comments on any aspect of its approach online counselling service—for armed forces personnel, their families and veterans to be able to access peer support, mental to regulation, including those that affect the manufacture health advice and guidance. The uptake of membership of the and supply of medicines for human use. Big White Wall from the armed forces community is currently The MHRA will publish its response to the Red Tape exceeding expectations. As of December 2011, approximately Challenge towards the end of 2012. 37% of the take up that can be attributed to. the armed forces community users is from veterans. Mental Health Services Lastly, the Veterans’ Information Service is the next phase to take forward. This is currently being developed and will be rolled Chris Ruane: To ask the Secretary of State for Health out in the first half of this calendar year. what assessment he has made of the effect of It is also important to note that other work has been mindfulness-based practices on levels of (a) mental done to fit in with Dr Murrison’s recommendations. health, (b) depression and (c) physical health. [90898] For example, we launched the Combat Stress Support Helpline 0800 138 1619 (freephone) on 11 March 2011. Paul Burstow: I refer the hon. Member to the written The helpline is delivered by the charity Rethink Mental answer I gave him on 3 October 2011, Official Report, Illness using a combination of time specialist service column 1406W, which outlines the research that has leads and volunteer staff to operate the phones 24-hours- been carried out on this treatment. The National Institute a-day, and. has significant support from Combat Stress. for Health and Clinical Excellence has evaluated and The Government have given £200,000 to fund the running recommends the use of mindfulness-based therapies as of a one-year pilot of the helpline. a psychological intervention for the prevention of relapse Finally, an e-learning package was developed in within its guideline “Depression: the treatment and conjunction with the Royal College of GPs to raise management of depression in adults”, a copy of which their awareness of specific veterans’ mental health issues. has been placed in the Library. It is also available at the This was launched alongside Big White Wall in September following address: 2011. www.nice.org.uk/nicemedia/live/12329/45888/45888.pdf Mental Health: Employment Mental Health Services: Ex-servicemen Hazel Blears: To ask the Secretary of State for Stephen Phillips: To ask the Secretary of State for Health what steps he is taking to reduce barriers to Health when he expects the recommendations on the employment for people with (a) mental health issues mental health of veterans in the Fighting Fit report and (b) learning difficulties. [90671] will be implemented in full. [91414] Paul Burstow: The cross-Government mental health Mr Simon Burns: The Government are making excellent strategy ‘No Health Without Mental Health’ was published progress in relation to the recommendations of the February 2011. Included within the strategy’s high-level Fighting Fit report. The hon. Member for South West objectives is Government’s ambition for “better employment Wiltshire (Dr Murrison), presented his report “Fighting rates for people with mental health problems”. To help Fit: a mental health plan for servicemen and veterans” to ensure that the objectives of the strategy are implemented 71W Written Answers23 JANUARY 2012 Written Answers 72W across England, the Department of Health is working Mr Simon Burns: Guidance advising that NHS trusts with a wide range of partners, including the Department should not advertise the services of personal injury for Work and Pensions, to produce an implementation lawyers was last issued by the Department in 2007 in framework in support of the strategy. ‘Health Building Note 00-08: Estatecode’. A copy has We are investing around £400 million in talking therapies already been placed in the Library. over the next four years. All Improving Access to This guidance has advisory status for NHS trusts. Psychological Therapy (IAPT) services include delivery Department of Health guidance does not apply to NHS of employment support. Between July 2010 and September foundation trusts. 2011, over 24,000 of those treated on the IAPT programme The Department does, not monitor compliance with have moved off sick pay and benefits, while from the advertising guidance and does not hold information on start of the programme in October 2008, over 34,000 of how many breaches have occurred in respect of advertising those treated have moved off sick pay and benefits. by personal injury lawyers. Employment for people with learning disabilities remains a Government priority.On 16 March 2011, the Department NHS: Parking published a suite of practical tools and materials to help drive local delivery of learning, from the demonstration sites, information for commissioners and new best practice Andrew Gwynne: To ask the Secretary of State for guidelines on supported employment. These are published Health what statistics each NHS organisation reported on the British Association for Supported Employment to his Department in the Estates Return Information (BASE) website: Collection on (a) the number of car parking spaces http://base-uk.org/sites/base-uk.org/files/[user-raw]/11-06/ provided for (i) staff, (ii) patients and (iii) visitors, how_to_guide_- (b) the average fee charged per hour for (A) patient, _learning_from_the_vpn_employment_demonstration_sites.pdf (B) visitor and (C) staff parking and (c) the number of Cross-Government work on employment for young parking spaces for disabled people provided in each people with a severe learning disability was included in year from 1997-98 to 2010-11. [91046] the Green Paper ‘Support and Aspiration’: A new approach to special educational needs and disability published by Mr Simon Burns: The information is not available in the Department for Education on 9 March 2011. the format requested. Since 2001-02, the Department has collected annual Neurology data from national health service trusts on car parking provision and any associated charges, through the Estates Returns Information Collection (ERIC). The Department Mr Andrew Smith: To ask the Secretary of State for does not hold data on this subject before that period. Health if he will prepare and publish a national outcomes strategy for long-term neurological conditions. The data which are available for each year from [90969] 2001-02 to the latest available data covering the 2010-11 period have been placed in the Library with an indication Paul Burstow: We have no plans to produce a separate of compulsory and non-compulsory data items for national outcomes strategy specifically for long-term NHS organisations including NHS foundation trusts. neurological conditions. The information provided has been supplied by the However, we are currently working-to produce a generic NHS and had not been amended centrally. The accuracy national outcomes strategy for long-term conditions, and completeness of the information is the responsibility including neurological conditions. This strategy will of the provider organisation. look at all of the aspects that impact on the lives of people with long-term conditions, and outline how the Pancreatic Cancer key players (Government Departments, local authorities, charities and individuals) can act in future in order to Eric Ollerenshaw: To ask the Secretary of State for improve outcomes for those with long-term conditions. Health (1) what assessment he has made of the causes The strategy will be published later in 2012. of regional variations in pancreatic cancer survival We will be working with the third sector, patient and rates; [90537] carer groups, the national health service, social services (2) what steps he is taking to ensure that survival and others to ensure that the strategy takes account of rates for pancreatic cancer in the worst performing their views, and is a meaningful, relevant document. cancer networks are raised to equal those in the highest Third sector neurological organisations will be invited performing. [90538] to engagement events surrounding the strategy, and officials working on the strategy will meet with the neurological leadership group, and the neurological alliance. Paul Burstow: We know that late presentation and patients having a more advanced stage of disease at diagnosis are two of the main reasons for variation in NHS Foundation Trusts: Advertising cancer survival outcomes. This is why we have prioritised achieving earlier diagnosis in “Improving Outcomes: A Andrew Bridgen: To ask the Secretary of State for Strategy for Cancer”, published on 12 January 2011. Health how many NHS Trusts were found to have The strategy, backed by more than £750 million over the breached his Department’s advertising guidelines in spending review period, sets out an ambition to save an (a) 2007, (b) 2008, (c) 2009, (d) 2010 and (e) 2011; additional 5,000 lives every year by 2014-15 through and how many breaches involved advertising by earlier diagnosis of cancer and improved access to personal injury lawyers in each year. [90652] screening and treatment. 73W Written Answers23 JANUARY 2012 Written Answers 74W

While the Department has not assessed the causes of Schizophrenia regional variations in pancreatic cancer survival rates, to support the national health service in tackling regional Mr Charles Walker: To ask the Secretary of State for variations in cancer survival rates, we are providing Health (1) what estimate he has made of the number of data to providers and commissioners that allow them to people in England diagnosed with schizophrenia in benchmark their services and outcomes against one each (a) primary care trust area, (b) strategic health another and to identify where improvements need to be authority area and (c) parliamentary constituency; made. Surgical resection is currently the best curative intervention for pancreatic cancer and through the National [90725] Cancer Intelligence Network, we have already made (2) how many people received active treatment for available data collections on survival rates and surgical schizophrenia (a) in each primary care trust area and resection rates across a range of cancers, including (b) nationally in each year since 2002; [90726] pancreatic. (3) how many people with a diagnosis of (a) In August 2011, the Department and the National psychosis and (b) schizophrenia committed suicide in Cancer Action Team published the “Radiotherapy Dataset England in each of the last five years. [90727] First Annual Report”to help tackle unwarranted variation in radiotherapy services and from April 2012, we are Paul Burstow: The term psychosis does not refer to a mandating the collection of chemotherapy data to achieve diagnosis so we do not have figures for such. We cannot the same. provide the number of people in England diagnosed In “Improving Outcomes a Strategy for Cancer: First with schizophrenia; however, tables showing admissions Annual Report”, published on 13 December 2011, we to hospital, based on finished admission episodes, where have said that continuing to provide the NHS with there was a primary diagnosis of schizophrenia have benchmarked data on variations in services and outcomes been placed in the Library. We do not collect information as a lever for improvements is a priority for 2012. A by parliamentary constituency but by primary care copy of this report has been placed in the Library. trust and strategic health authority. Paroxetine The following table gives information on the number of people with a primary diagnosis of schizophrenia in contact with mental health services in the 12 months Eric Ollerenshaw: To ask the Secretary of State for prior to suicide between 2004 and 2008 in England: Health whether his Department has assessed paroxetine as being teratogenic. [90540] Patient suicides with schizophrenia (England, 2004-08) Number

Mr Simon Burns: Paroxetine belongs to a class of 2004 259 antidepressant medicines known as the Selective Serotonin 2005 243 Reuptake Inhibitors (SSRIs). At the initial time of 2006 205 licensing, in the absence of human pregnancy data, 2007 194 paroxetine was tested in animal studies in line with 2008 175 regulatory requirements and these did not suggest that Source: paroxetine was teratogenic. National Confidential Inquiry into Suicide and Homicide by People In the post marketing period, there have been several with Mental Illness. epidemiological studies designed to evaluate any possible potential adverse effects in human neonates exposed to Chapter 5 (Psychosis) of the document ‘AdultPsychiatric paroxetine during pregnancy. The results of the early Morbidity, in England 2007’ gives more background studies were conflicting and numbers of exposed statistical information about schizophrenia and a copy pregnancies small. has been placed in the Library. More recent studies have suggested that there is the potential for an association between exposure to paroxetine Mr Charles Walker: To ask the Secretary of State in early pregnancy (the first trimester) and a small for Health how many people were diagnosed with increase in the risk of birth defects, in particular heart-related schizophrenia in (a) each primary care trust and defects. Other studies have shown that exposure to (b) England in each year since 2002. [90912] SSRIs, including paroxetine, in the later stages of pregnancy is associated with a small increased risk of a condition Paul Burstow: We cannot provide the number of affecting the neonatal lung and circulation called Persistent people in England diagnosed with schizophrenia. However, Pulmonary Hypertension of the newborn (PPHN). a table showing admissions to hospital, based on finished The product information for-prescribers (the Summary admission episodes, where there was a primary diagnosis of Product Characteristics) and the patient information of schizophrenia broken down by primary care trust leaflet for paroxetine and all SSRIs have been updated per year since 2002 and a total figure for England, has to include warnings about the small increased risks of been placed in the Library. birth defects and PPHN. Information on these risks have also been communicated on the Medicines and Healthcare products regulatory Agency website and Social Services: Kent through its drug safety bulletin, Drug Safety Update. Current advice is that paroxetine should only be used Gareth Johnson: To ask the Secretary of State for in pregnancy when strictly indicated and only if the Health what estimate he has made of the cost of adult expected benefit to the mother is thought to be greater social care in (a) Dartford constituency and (b) Kent than any potential risk to the foetus. in (i) 2020, (ii) 2040 and (iii) 2060. [90535] 75W Written Answers23 JANUARY 2012 Written Answers 76W

Paul Burstow: The Department does not hold such EU Law figures centrally. In its Fiscal Sustainability Report, the Office for Budget Responsibility has produced national Mr Thomas: To ask the Secretary of State for level estimates for the cost of long-term care as a the Home Department which EU regulations her percentage of gross domestic product to 2060-61. For Department has not implemented; on what date the 2020-21, this figure is 1.3%. For 2040-41 it is 1.8%, and regulations became EU law; and if she will make a for 2060-61, the estimate is 2.0%. Local authorities may statement. [90713] also produce their own estimates on the cost of future need. Damian Green: There is one EU regulation that is awaiting full implementation. Suicide Council Regulation (EC) No. 380/2008 of 18 April 2008 amending Regulation (EC) No. 1030/2002 laying down a uniform format for Mrs Moon: To ask the Secretary of State for Health residence permits for third-country nationals. how many hospital-based staff have completed Applied This measure was adopted on 18 April 2008 and will Suicide Intervention Skills Training in each primary come into force on 20 May 2012. care trust in each of the last five years; and if he will make a statement. [90991] Immigration: Appeals

Paul Burstow: The Department does not keep this Mr Raab: To ask the Secretary of State for the Home information centrally. However, the Government’s Department with reference to the letter from the “Consultation on preventing suicide in England: a cross- Minister for Immigration of 13 June 2011 on the government outcomes strategy to save lives” published number of appeals allowed by the First-tier Tribunal in July 2011 identifies, among its prompts for local (Immigration and Asylum) on the basis of Article 3 action, the importance of suicide prevention and awareness and Article 8 of the European Convention on Human skills training to ensure front-line staff working with Rights in the fourth quarter of 2010, what the high-risk groups receive training in the recognition, equivalent figures are for the (a) first, (b) second and assessment and management of risk and fully understand (c) third quarter of 2011 for appeals relating to their roles and responsibilities. Following consideration (i) criminal casework (foreign national prisoners), of responses to the consultation document the final (ii) international group entry clearance, (iii) special outcomes strategy will be published later this year. cases, (iv) asylum appeals, (v) temporary migration, (vi) permanent migration—settlement and (vii) permanent University Hospitals of Morecambe Bay NHS migration—decisionsundertheImmigration(EEA)Regulations Foundation Trust 2006. [89528]

Tim Farron: To ask the Secretary of State for Health Damian Green [holding answer 16 January 2012]: if he will meet the hon. Member for Westmorland The United Kingdom Border Agency’s Case Information and Lonsdale, local clinicians and patients to discuss Database does not record the specific reasons why an (a) the lessons learned from the investigation of the appeal is allowed and the new information requested University Hospitals of Morecambe Bay NHS Foundation could be obtained only at disproportionate cost through Trust into emergency care and (b) ensuring that patients the examination of individual files, computer records treated by the trust are safe. [91377] and appeal determinations.

Mr Simon Burns: I am happy to meet the hon. Riot (Damages) Act 1886 Member and other hon. Members, whose constituencies are served by the University Hospitals of Morecambe Yvette Cooper: To ask the Secretary of State for the Bay NHS Foundation Trust, to hear their views on the Home Department (1) what proportion of the recently announced investigation by the Care Quality monetary value of claims brought under the Riot Commission into emergency care at the trust. (Damages) Act 1886 have been paid since August 2011; The Care Quality Commission will seek the views of [90568] local stakeholders, including clinicians, patients and (2) how many small business owners who claimed for Members of Parliament, as part of the investigation. property damage under the Riot (Damages) Act 1886 have received compensation since August 2011; [90570] (3) how many individuals claiming for home damage under the Riot (Damages) Act 1886 have received HOME DEPARTMENT compensation since August 2011. [90571]

Christmas Mrs May [holding answer 19 January 2012]: Payments to individuals and businesses are the responsibility of Mr Thomas: To ask the Secretary of State for the police authorities. The Home Office will reimburse all Home Department how much her Department spent payments made by police authorities under the Riot on (a) Christmas trees and (b) other Christmas (Damages) Act. decorations in 2011; and if she will make a statement. [91102] Security: London 2012 Olympics

Damian Green: The Home Department has not spent Mrs Moon: To ask the Secretary of State for the any money on Christmas trees and other Christmas Home Department (1) whether the security systems decorations in 2011. and resources of the Metropolitan Police, Government 77W Written Answers23 JANUARY 2012 Written Answers 78W and Olympic Agencies, Transport for London and Mr Blunt: My Department has published a number relevant local authorities will be integrated during the of statistical bulletins covering cases relating to the London 2012 Olympics; and which agencies and public disorder of 6 to 9 August 2011. These publications companies are responsible for any such work; [90416] provide information on defendants brought before the (2) what steps are being taken to ensure that all courts, including initial outcomes, sentencing information security resources available for the London 2012 analysis of criminal histories, prison population and Olympic venues are integrated; and what account has linked socio-economic data. been taken of previous major incidents in this work; The data reported to my Department by courts, [90417] which were subsequently used to compile these bulletins, (3) how existing security resources outside the do not include any information on whether these cases London 2012 Olympic venues and at the perimeter involved any element of restorative justice. fencing will be brought into use; and if she will make a I have arranged for copies of these bulletins and statement. [90418] associated data tables to be placed in the House Library.

Mrs May: The Government are committed to delivering Priti Patel: To ask the Secretary of State for Justice a safe and secure London 2012 Olympic and Paralympic whether any offenders convicted of involvement in the Games for all, and are confident the right plans are in public disorder in August 2011 whose cases were heard place to deliver this. There will be a number of major in the Inner London Crown court were issued with a exercises leading up to the Games. Delivery of venue compensation order. [90787] security, including perimeter security, is the responsibility of the London 2012 Organising Committee (LOCOG). Mr Blunt: I refer my hon. Friend to the answer I gave on 17 October 2011, Official Report, column 663W.The report referred to was published on 24 October 2011. I have placed a copy in the House Library. JUSTICE Civil Proceedings: Finance Bronzefield Prison: Visits Mr Slaughter: To ask the Secretary of State for Kate Green: To ask the Secretary of State for Justice Justice with reference to Lord Jackson’s what the cost of security checks on family visitors to recommendations in his review of civil litigation Bronzefield prison was in the last year for which figures funding, what steps he has taken to determine the are available. [90890] means by which a 10 per cent. uplift in general damages could be implemented; and if he will make a statement. Mr Blunt: HM Prison Bronzefield is a women’s [91312] establishment for adults and young offenders aged 18-20. It is run under contract to the Ministry of Justice by Mr Djanogly: As the Government indicated in their Sodexo Justice Services. Because payment under the response to the consultation “Reforming Civil Litigation contract is on the basis of occupancy, the cost of Funding and Costs in England and Wales—Implementation security checks on family visitors is not identified separately. of Lord Justice Jackson’s Recommendations”, there will be an increase of 10% in non-pecuniary general Chief Coroner damages such as pain, suffering and loss of amenity in tort cases for all claimants. The senior judiciary have Mr Jim Murphy: To ask the Secretary of State for agreed to look at how this is to be taken forward. Justice (1) whether he proposes that the charter for the coroner service will include reference to the chief Mr Slaughter: To ask the Secretary of State for coroner and his (a) functions and (b) powers; [87858] Justice what progress he has made in determining the qualifications that will be used in the qualified one way (2) whether he plans to reconsult on his proposed costs shifting regime for civil litigation; and if he will charter for the coroner service following his decision make a statement. [91313] not to abolish the office of chief coroner. [87859] Mr Djanogly: The Government are seeking to reform Mr Djanogly: The charter, which we plan to issue in the way in which conditional fee agreements operate in early 2012, is for current coroner services under the Part 2 of the Legal Aid, Sentencing and Punishment of Coroners Act 1988 and 1984 Coroners Rules (as amended) Offenders Bill. As part of these reforms, the Government and will not refer to the chief coroner as the functions are introducing qualified one way costs shifting (QOCS) and powers of that office have yet to be implemented. in personal injury cases. The Government are developing We intend to consult on a revised charter when we the details of QOCS with stakeholders, including how implement the coroner provisions of the Coroners and the rules should be drafted and what qualifications Justice Act 2009. The revised version will include reference should be applied. to the functions and powers of the chief coroner as appropriate. Community Orders

Civil Disorder Priti Patel: To ask the Secretary of State for Justice what the average cost is of (a) providing supervision Mr Buckland: To ask the Secretary of State for for and (b) supporting an offender with a community Justice how many cases relating to the public disorder sentence; and what the average cost is of processing in summer 2011 summer disorder have involved the use such an offender through the criminal justice system. of restorative justice processes. [91142] [90788] 79W Written Answers23 JANUARY 2012 Written Answers 80W

Mr Blunt: As part of the Government’s commitment Information about the number of contact orders to provide greater transparency, to enable the public to made in divorce and separation cases, about residence hold services to account and assess whether they are orders altered from one parent having residence to the receiving value for money from the services we provide, other parent, or about no contact orders were altered NOMS will publish, in autumn 2012, three probation where applications were made by one parent and the level input indicators one of which is the cost per other parent had custody, is not held centrally, and community order. This will be the average, fully-apportioned could be obtained through the inspection of individual cost to probation of delivering a Community Order or files only at disproportionate cost. Suspended Sentence Order sentence to the service definition as detailed in the NOMS service specification. This will Crimes Outside National Territories include both managing the sentence and delivering court- ordered requirements. The costs of the latter will be Jason McCartney: To ask the Secretary of State for derived from the average number and type of requirements Justice (1) whether a time limit exists for prosecutions attached to a sentence for an offender on each tier. brought in respect of offences committed in other No distinction is made when collecting costs between countries; [90675] providing supervision, supporting an offender and (2) whether steps are being taken to extend the time processing an offender. limit for prosecutions brought in respect of crimes committed in other countries. [90676] Contact Orders Mr Blunt: Only a small number of offences that are Robert Flello: To ask the Secretary of State for committed overseas are capable of being tried in England Justice (1) how many contact orders issued by the and Wales, and none of them attracts a time limit on family division were contested by a parent in each of prosecution. the last three years; [90729] (2) how many contact orders were issued by the Criminal Injuries Compensation family division in divorce and separation cases in each of the last three years; [90730] Robert Flello: To ask the Secretary of State for (3) how many residence orders were altered by the Justice pursuant to the answer to the right hon. family division from one parent having residence to the Member for Tooting of 28 February 2011, Official other parent on application in each of the last three Report, columns 5-8W, on departmental public years; [90731] expenditure and with reference to page 22 of his (4) how many no contact orders were altered by the Department’s annual report and accounts 2010-11, family division where applications were made by one what the budget was of the Criminal Injuries parent and the other parent had custody in each of the Compensation Scheme in 2010-11. [87538] last three years. [90732] Mr Djanogly: The baseline budget for the Criminal Injuries Compensation Scheme in 2010-11 was £209 Mr Djanogly: Information on the number of children million. Ministry of Justice provided £72 million additional involved in contact orders issued in the county courts funding during 2010-11 which allowed the Criminal and High Court from 2008 to 2010 by whether or not Injuries Compensation Authority (CICA) to settle further they were contested is provided in the following table. ‘tariff’ cases and increased their expenditure to £281 Please note that the person contesting the order may million. not necessarily be a ’parent’. In addition, this information is not available for contact orders issued in the Family This overall expenditure figure of £281 million covered Proceedings Courts prior to 2011. compensation payments only and includes £25 million spent on Scottish cases for which the authority receives Number of children involved in contact orders made in private law separate funding from the Scottish Parliament as part cases in the county courts and High Court of England and Wales, from 2008 to 2010, by whether or not they were contested of its baseline budget. Contested Yes No Unknown Total Debt Collection

2008 35,980 28,530 * 64,510 Robert Flello: To ask the Secretary of State for 2009 40,790 29,100 10 69,900 Justice how many complaints about bailiffs his 2010 46,980 31,620 60 78,660 Department has received in each month since May Notes: 2010. [87456] 1. Figures relate to the number of children subject to each order. 2. Figures have been rounded to the nearest 10. Figures under five are marked with an asterisk ‘*’. Totals may not sum due to rounding. Mr Djanogly: HM Courts and Tribunals Service does 3. Please note that contact orders made in private law cases in family not hold a central record of the number of complaints proceedings courts (FPCs) have been excluded as, during this period, received about county court bailiffs and civilian enforcement not all FPCs were using FamilyMan. Those that were not using officers. Complaints are made directly to individual FamilyMan provided summary returns which held information on contested contact cases but were not complete during this whole time county courts and magistrates courts. period. A record of the number of complaints received about 4. Please note that where an order is contested the person contesting High Court enforcement officers is held by the Senior the order may not necessarily be a ’parent’. It may be, for example, a grandparent who has been given parental responsibility for the child. Master on behalf of the Lord Chancellor. These records Source: show that since May 2010, there have been no complaints HMCTS FamilyMan system received. 81W Written Answers23 JANUARY 2012 Written Answers 82W

Central records are also held on the number of The following table shows the average time taken complaints received against certificated bailiffs. The from submission of an appeal to the DWP until the following table shows the number of complaints received date of the first appeal hearing at HMCTS for DLA since May 2010. appeals nationally and in London. The information covers 1 April 2011 to 31 October Number 2011, the latest period for which published data are 2010 available. May 1 Average waiting times—disability living allowance June 2 National London July 2 Average time in weeks from 6.8 7.7 August 1 submission to DWP to receipt at September 0 HMCTS October 1 Average time in weeks from 25.6 25.9 November 1 receipt at HMCTS to first hearing December 0 Notes: 1. For the purposes of these data London has been taken as those HMCTS venues within the M25 area. 2011 2. The data regarding the time from when an appeal is submitted to January 0 the DWP until it is received by HMCTS is taken from HMCTS’ database and relies on the date of submission recorded by DWP. February 1 March 0 (2) It is not possible to provide the number of DLA April 1 appeals that are over 12 months old at this time because May 2 the data does not form part of the published statistics June 4 and so was not extracted the last time the statistics were July 0 produced. To ensure the consistency and integrity of August 0 data, HMCTS only provides data based upon published September 0 statistics. I will therefore arrange for the number of October 1 appeals over 12 months old nationally and in London November 0 to be supplied to the hon. Member when the next Social December (to date) 0 Security and Child Support data are published for the Note: quarter to March 2012. The figures given above for certificated bailiffs has been extracted from the central Certificated Bailiff Register that is maintained purely for administrative purposes. It is important to note the limitations of Driving Under Influence manual data collection processes and that while details are updated, the register does not provide an accurate record of the names, dates and the number of complaints made or heard against certificated bailiffs. Jeremy Lefroy: To ask the Secretary of State for Justice (1) how many people were convicted of causing Mr Thomas: To ask the Secretary of State for Justice death by careless driving under the influence of drink how many times his Department has used the services or drugs in (a) 2010 and (b) 2011; [90528] of debt recovery companies since May 2010; which (2) how many people were convicted of causing companies were used; and if he will make a statement. death by careless driving and who failed to supply a [88363] specimen for analysis in (a) 2010 and (b) 2011; [90529] Mr Djanogly: This Ministry of Justice has not used any debt recovery companies since May 2010. (3) what the average length of custodial sentence given for a conviction for causing death by careless Disability Living Allowance: Appeals driving under the influence of alcohol or drugs was in (a) 2010 and (b) 2011. [90530] Stella Creasy: To ask the Secretary of State for Justice (1) what the average waiting time for a disability Mr Blunt: The number of persons found guilty at all living allowance appeal to be heard was (a) in London courts in England and Wales for causing death by and (b) nationally in the latest period for which figures careless driving when under the influence of drink or are available; and if he will make a statement; [90765] drugs, by average length of custodial sentence, in 2010 (2) how many disability living allowance appeals for (latest available) can be viewed in the following table. claimants in (a) London and (b) the UK have been unresolved for over 12 months; and if he will make a The number of persons found guilty at all courts in statement. [90766] England and Wales for causing death by careless or inconsiderate driving in 2010 is 238. From information Mr Djanogly: The information is as follows. held centrally on the Ministry of Justice Court Proceedings Database it is not possible to identify how many of (1) Her Majesty’s Courts and Tribunals Service these persons failed to supply a specimen for analysis. (HMCTS) hears appeals against Department for Work and Pensions (DWP) decisions on entitlement to disability Annual court proceedings data for 2011 are planned living allowance (DLA). for publication in the spring, 2012. 83W Written Answers23 JANUARY 2012 Written Answers 84W

Number of persons found guilty at all courts, by sentence imposed, for offences of causing death by careless driving when under the influence of drink or drugs1, England and Wales, 20102,3 of which: Average sentence length4 Offence Found guilty Immediate custody (months) Suspended sentence

Causing death by careless 41 40 45.5 1 driving when under the influence of drink or drugs 1 Road Traffic Act 1988, S.3A as added by Road Traffic Act 1991, S.3 and amended by Criminal Justice Act 1993. S.67. 2 The figures given in the table relate to persons for whom these offences were the principal offences for which they were dealt with. When a defendant has been found guilty of two or more offences it is the offence for which the heaviest penalty is imposed. Where the same disposal is imposed for two or more offences, the offence selected is the offence for which the statutory maximum penalty is the most severe. 3 Every effort is made to ensure that the figures presented are accurate and complete. However, it is important to note that these data have been extracted from large administrative data systems generated by the courts and police forces. As a consequence, care should be taken to ensure data collection processes and their inevitable limitations are taken into account when those data are used. 4 Excludes life and indeterminate sentences. Source: Justice Statistics Analytical Services—Ministry of Justice.

Employment Tribunals Service : Fees and Charges of Children and authorising certain member states to make a declaration on the application of the relevant internal rules of Community law. David Morris: To ask the Secretary of State for Directive 2010/64/EU of the European Parliament and of the Justice whether he has any plans to alter fees and Council of 20 October 2010 on the right to interpretation and charges for lodging cases with employment tribunals. translation in criminal proceedings. [90978] Council Decision 2011/432/EU of 9 June 2011 on the approval, on behalf of the European Union, of the Hague Convention of Mr Djanogly: The Ministry of Justice published a 23 November 2007 on the International Recovery of Child Support consultation paper ‘Charging Fees in Employment Tribunals and Other Forms of Family Maintenance. and the Employment Appeal Tribunal’ on 14 December Directive 2011/92/EU of the European Parliament and of the 2011. The consultation puts forward two sets of proposals Council of 13 December 2011 on combating the sexual abuse and that protect access to justice for those with low incomes sexual exploitation of children and child pornography, and replacing or limited means, but which also ensure that those who Council Framework Decision 2004/68/JHA. use the system, and can afford to do so, make a financial Directive 2011/99/EU of the European Parliament and of the contribution. The consultation will end on 6 March Council of 13 December 2011 on the European protection order. 2012. There is also a body of EU legislation in the area of police and judicial co-operation in criminal matters, EU Law adopted prior to the entry into force of the Lisbon Treaty, against which the Government are currently assessing our outstanding transposition obligations. This Mr Thomas: To ask the Secretary of State for Justice will inform the decision we must take no later than May whether his Department holds information on the EU 2014 on whether to accept European Court of Justice regulations in its policy area which have not been jurisdiction for these measures. implemented in (a) France and (b) Germany and the dates on which those regulations became EU law; and European Court of Human Rights if he will make a statement. [90700]

Mr Kenneth Clarke: The information requested is not Priti Patel: To ask the Secretary of State for Justice held by Her Majesty’s Government. EU regulations what response he has made to the European Court of have direct legal effect and the same date of application Human Rights Grand Chamber Judgement in the in the member states to which they apply and do not Hanif and Khan v United Kingdom case; whether he require any implementation. For other types of EU has any subsequent plans to amend legislation; and legislation the national measures each member state has what his policy is on police officers serving on juries. used to implement a specific instrument and the [89739] implementation dates can be found on the EUR-Lex website at: Mr Kenneth Clarke: The Government are currently http://eur-lex.europa.eu considering the judgment. However, the European Court of Human Rights was very clear that it was not deciding Mr Thomas: To ask the Secretary of State for Justice whether it is, in general, compatible with Article 6 which EU regulations his Department has not ECHR for a police officer to serve on a jury. We implemented; on what date the regulations became EU therefore do not envisage bringing forward legislative proposals in this area. law; and if he will make a statement. [90715] Lord Justice Auld carefully considered this issue in Mr Kenneth Clarke: The following EU legislation has his Review of the Criminal Courts of England and been agreed which is awaiting transposition into law in Wales (2001). He concluded that no-one should be England and Wales: automatically ineligible for jury service simply because of their job. He did not consider it likely that people Council Decision 2008/431/EC of 5 June 2008 authorising certain member states to ratify, or accede to, in the interest of the who worked in the criminal justice system would unduly European Community, the 1996 Hague Convention on Jurisdiction, influence fellow jurors or bring to bear any special Applicable Law, Recognition, Enforcement and Co-operation in degree of prejudice. His recommendations were respect of Parental Responsibility and Measures for the Protection implemented by the Criminal Justice Act 2003, and 85W Written Answers23 JANUARY 2012 Written Answers 86W additional safeguards were introduced following the Mr Djanogly: The Judicial Appointments Commission’s House of Lords judgment in “R v. Abdroikof and business plan demonstrates that they are expecting to others” (2007) UKHL37. deliver savings in both pay and non-pay costs. This will be delivered through a new staffing structure with reduced Fixed Penalties numbers of people, particularly at more senior levels, along with more efficient operating processes. Mr Slaughter: To ask the Secretary of State for I am confident that the Judicial Appointments Justice how many fixed penalty notices were issued in Commission will demonstrate that it has made savings while handling more applications and making more each of the last five years. [91238] recommendations than previous years and continue to make progress towards a more diverse judiciary. Mr Blunt: The number of Penalty Notices for Disorder (PNDs) issued from 2006 to 2010 (latest available) in Kidnapping: Children England and Wales can be viewed in the table. Calendar year information for 2011 is planned for Robert Flello: To ask the Secretary of State for publication in May, 2012. Justice how many cases of child abduction came before Penalty notices for disorder issued to persons aged 16 and above, the courts where the abductor was a parent of the child England and Wales, 2006-101 concerned in each of the last three years. [90728] 2006 2007 2008 2009 2010 Mr Blunt: The number of defendants who were Penalty Notices for 201,197 207,544 176,164 170,393 140,769 proceeded against for the offence abduction of a child Disorder by parent under in each year from 2008 to 2010 (latest 1 Every effort is made to ensure that the figures presented are currently available), is shown in the following table. accurate and complete. However, it is important to note that these data have been extracted from large administrative data systems Court proceedings data for 2011 are planned for generated by police forces. As a consequence, care should be taken publication in the spring of 2012. to ensure data collection processes and their inevitable limitations Defendants1 proceeded against at all magistrates courts for the are taken into account when those data are used. abduction of child by parent under the Child Abduction Act 19842, Source: England and Wales, 2008-10 Ministry of Justice Defendants HM Courts and Tribunals Service 20083 2009 2010 Total proceeded 16 8 12 Robert Flello: To ask the Secretary of State for against Justice what costs under each heading of expenditure 1 The figures given in the table on court proceedings relate to persons for whom these offences were the principal offences for which they his Department incurred in (a) abolishing HM Courts were dealt with. When a defendant has been found guilty of two or Service and (b) establishing HM Courts and Tribunals more offences it is the offence for which the heaviest penalty is Service. [87465] imposed. Where the same disposal Is imposed for two or more offences, the offence selected is the offence for which the statutory maximum penalty is the most severe. Mr Djanogly: The costs associated with the creation 2 The offence data are given for ‘abduction of a child by parent’ under of Her Majesty’s Courts and Tribunals Service (HMCTS) s.1(1) of the Child Abduction Act 1984, Here child is defined as being were not recorded separately for abolishing Her Majesty’s a child under 16 years of age. Courts Service and establishing HMCTS and it is not 3 Excludes data for Cardiff magistrates court for April, July and possible to disaggregate them. The total costs are shown August 2008. in the following table. Note: Every effort is made to ensure that the figures presented are accurate and complete. However, it is important to note that these data have £ million been extracted from large administrative data systems generated by the courts and police forces. As a consequence, care should be taken Project management staff salaries 1.6 to ensure data collection processes and their inevitable limitations are IT costs 0.9 taken into account when those data are used. Other office costs 0.2 Source: Justice Statistics Analytical Services within the Ministry of Justice. Total costs 2.7 Legal Aid Scheme: Reform Significant benefits are being delivered through the creation of HMCTS. The public consultation document Mr Slaughter: To ask the Secretary of State for set these out in detail. These savings enable HMCTS to Justice if he will place in the Library a copy of the deliver a reduced budget and we believe that these will response of the Employment Appeal Tribunal to his be around £34 million annually from April 2013. consultation on the Reform of Legal Aid. [91314] Mr Djanogly: The response requested has been placed Judicial Appointments Commission for England and in the House Library. Wales Legal Services Commission Robert Flello: To ask the Secretary of State for Justice under what categories of expenditure he expects Mr Chope: To ask the Secretary of State for Justice if the Judicial Appointments Commission to make he will make it his policy to ensure that inadvertent savings; and what assessment he has made of the effect errors in completing Legal Services Commission forms of such savings on the Commission’s services and can be corrected without the need for a formal appeals functions. [87463] process. [91424] 87W Written Answers23 JANUARY 2012 Written Answers 88W

Mr Djanogly: Decisions made to award new contracts Due to the weekly payment run process the LSC uses as part of a tender exercise are a matter for the Legal it then takes four to nine working days from authorisation Services Commission (LSC) which has responsibility to payment actually being received into the barrister’s for administering the legal aid scheme. account for all types of work. The LSC’s tendering processes are governed by the Public Contract Regulations 2006 (as amended). Members: Correspondence Accordingly, the LSC must operate openly, fairly and transparently in exercising its duties. To allow organisations Sir Gerald Kaufman: To ask the Secretary of State to correct mistakes (inadvertently made or otherwise) for Justice when he plans to reply to the letter of or make other changes after the deadline would ordinarily 28 November 2011 from the right hon. Member for be in clear breach of this. Rights of internal appeal were Manchester, Gorton with regard to Mr Tariq Nadeem clearly set out in the tender documentation and limited and Mrs Salma Tariq. [90266] to where the LSC had made an error in assessing an applicant’s tender. Tender applicants must always use care when completing their tender responses and are Mr Kenneth Clarke: A reply has now been sent. asked to confirm that the response they submit is true and accurate, as this is the basis of contract awards. Offences Against Children

Mr Chope: To ask the Secretary of State for Justice Philip Davies: To ask the Secretary of State for what his estimate is of the total amount of time spent Justice what the highest number was of previous in a month by judges on endorsing claims by Counsel convictions for taking indecent photographs of seeking payment for their work from the Legal Services children held by a person convicted of that offence Commission. [91425] without being sent to prison in each of the last three years; and how many previous offences each such Mr Djanogly: Judges do not record the amount of person had committed in total at the point of sentence. time they take each month considering claims by counsel, [91116] therefore it is not possible to provide the information requested. Mr Blunt: The table shows the highest number of previous convictions for taking, permitting to be taken, Mr Chope: To ask the Secretary of State for Justice distributing or publishing indecent photographs of children, for what reason a one-page Family Advocacy Scheme for individuals convicted of this offence in the years Attendance form has to be signed or initialled by a 2008 to 2010 who received a sentence other than immediate judge in up to six different places before a barrister can custody. It also shows their total number of previous claim payment for work undertaken for the Legal cautions and convictions, and previous immediate custodial Services Commission. [91426] sentences. In each case the previous convictions for this offence were all dealt with at a single court hearing. Mr Djanogly: A judge’s signature is required on the These figures have been drawn from the police’s Family Advocacy form to authorise the standard fee for administrative IT system, the police national computer, work undertaken. If an advocate has claimed additional which, as with any large scale recording system, is fees, then an additional signature or initial is required subject to possible errors with data entry and processing. by either by a judge, magistrate, legal adviser or other The figures are provisional and subject to change as court official to provide independent confirmation that more information is recorded by the police. the additional fees are justified. Highest number of previous convictions for taking, permitting to be taken, distributing or publishing indecent photographs of children, Mr Chope: To ask the Secretary of State for Justice when convicted of this offence in England and Wales in the years 2008 what the average time taken by the Legal Services to 2010, and not going to prison Commission was to process fee payment applications Number of previous on behalf of barristers undertaking work funded from offences the public purse in the latest period for which figures 2008 2009 2010 are available. [91427] Previous convictions for taking, 27 22 29 permitting to be taken, distributing Mr Djanogly: The Legal Services Commission (LSC) or publishing indecent photographs makes legal aid payments for criminal work to barristers of children via the Advocates Graduated Fee Scheme. The latest Previous cautions and convictions for figures show that the majority of payment applications any offence at time of for criminal work, where no further information was Conviction 33 22 30 required, were processed and passed for payment within Previous immediate custodial 6— — sentences for any offence at time of 39 days, against a target processing time of 40 days. The conviction LSC is working to further reduce this processing time. Payment for family work is made through the Family Graduated Fee Scheme and Family Advocacy Fee Scheme. Family is the only area of civil work which has introduced Offenders: Dyslexia fee payment applications for barristers. The latest figures show that the average time taken for applications to be Hazel Blears: To ask the Secretary of State for processed and passed for payment is 25 days, against a Justice what steps he is taking to measure the target processing time of 30 days. proportion of offenders diagnosed as dyslexic. [90673] 89W Written Answers23 JANUARY 2012 Written Answers 90W

Mr Blunt: The YouthJustice Board (YJB), Department 1 Compendium of reoffending statistics and analysis. of Health (DoH) and National Offender Management http://www.justice.gov.uk/publications/docs/compendium-of- Service (NOMS) do not hold collated data about the reoffending-statistics-and-analysis.pdf number of offenders with dyslexia or similar speech, language and communication needs (SLCN). Prisoners: Repatriation Offender Learning and Skills Service providers undertake detailed assessments of those prisoners who engage in Sadiq Khan: To ask the Secretary of State for Justice education. That assessment will identify learners with (1) with which countries his officials are negotiating dyslexia and other learning difficulties, and the provider treaties for the repatriation of foreign national is required to provide additional learner support to prisoners; [81360] assist those prisoners in achieving their learning aims. (2) with which countries the UK has signed a treaty A health needs assessment is undertaken when individuals for the repatriation of foreign national prisoners since enter prison to assist in identifying speech, language May 2010. [81390] and communications needs. Working jointly with the Department of Health NOMS Mr Blunt: The United Kingdom is actively negotiating are looking to introduce a Learning Disability Screening prisoner transfer agreements with Nigeria, Saudi Arabia, Questionnaire (LDSQ) for use by all prison staff to and the United Arab Emirates. Discussions are taking identify those with a learning difficulty or disability and place with other countries about the possibility of entering refer them to specialist support and services. The LDSQ into negotiations on prisoner transfer arrangements. can also be used in the community by probation trusts. No new prisoner transfer agreements have been signed with other Governments since May 2010. Prisoners’ Release Sadiq Khan: To ask the Secretary of State for Justice Kate Green: To ask the Secretary of State for Justice with which non-EU countries the UK has a treaty for how many people were recalled to prison in (a) 2009, the repatriation of foreign national prisoners; and on (b) 2010 and (c) 2011. [90973] what date each treaty was signed. [81391]

Mr Blunt: Offenders serving a sentence of 12 months Mr Blunt: The United Kingdom is party to both and over are released from prison, in most cases bilateral and multilateral prisoner transfer agreements. automatically at the half way point of their sentence, The United Kingdom ratified the Council of Europe under licensed supervision to the Probation Service. convention on the transfer of sentenced persons on Offenders released on licence are recalled to custody if 1 August 1985. The following list gives those non-EU their behaviour gives cause for concern. countries which have also ratified the convention together The following table provides data for 2009, 2010 and with their dates of ratification: the first two quarters of 2011 (latest available). Albania, 4 April 2000. Andorra, 13 July 2000. Year of recall Recalled Armenia, 11 May 2001. 2009 14,715 Australia, 5 September 2002. 2010 15,424 Azerbaijan, 25 January 2001. 2011 (January to June) 7,857 Bahamas, 12 November 1991. These figures have been drawn from administrative Bermuda, 10 September 2002. IT systems, which, as with any large scale recording Bolivia, 2 March 2004. system, are subject to possible errors with data entry Bosnia and Herzegovina, 30 April 2004. and processing. Canada, 13 May 1985. Chile, 30 July 1998. Prisoners: Qualifications Costa Rica, 14 April 1998. Croatia, 25 January 1995. Hazel Blears: To ask the Secretary of State for Ecuador, 12 July 2005. Justice (1) what proportion of (a) male and (b) female Georgia, 21 October 1997. prisoners have no educational qualifications; [90662] Honduras, 9 March 2009. (2) what proportion of (a) male and (b) female Iceland, 6 August 1993. prisoners were excluded from school. [90663] Israel, 24 September 1997. Mr Blunt: The ’Compendium of reoffending statistics Japan, 17 February 2003, and analysis’ published by my Department in November South Korea, 20 July 2005. 20101 reported that 42% of prisoners had previously Liechtenstein, 14 January 1998. been excluded from school. The report also indicates Former Yugoslav Republic of Macedonia, 28 July 1999. that 53% of prisoners had qualifications and 47% did Mauritius, 18 June 2004. not. Mexico, 13 July 2007. Data distinguishing between male and female prisoners Moldova, 12 May 2004. are not currently available but is expected to be published, subject to quality assurance, in forthcoming Surveying Montenegro, 11 April 2004. Prisoner Crime Reduction publications on the childhood Norway, 9 December 1992. and educational background of prisoners. Panama, 5 July 1999. 91W Written Answers23 JANUARY 2012 Written Answers 92W

Russia, 28 August 2007. The United Kingdom has been a participant to the San Marino, 25 June 2004. Scheme for the Transfer of Convicted Offenders within Serbia, 11 April 2002. the Commonwealth since 27 June 1991. The following Switzerland, 15 January 1998. countries are also participants to the Commonwealth scheme. We do not have the dates of accession for these Tonga, 3 July 2000. countries. Where a participant to the Commonwealth Trinidad and Tobago, 22 March 1994. scheme is also a signatory to the convention on the Turkey, 3 September 1997. transfer of sentenced persons transfer will normally Ukraine, 28 September 1987. take place under the convention. United States of America, 11 March 1985. Australia. Venezuela, 11 June 2003. Bahamas. In addition to state signatories to the convention, the Canada. convention has been extended to the following territories: Cook Islands. Ascension and Tristan de Cunha, 23 January 1987. Grenada. Anguilla,23 January 1987. Malawi. Aruba, 1 June 1996. Nigeria. Bermuda, 10 September 2002. Samoa. Bouvet Island, 1 April 1993. Sri Lanka. British Indian Ocean Territory, 23 January 1987. Trinidad and Tobago. British Virgin Islands, 2 September 1988 1 Prisoner transfer agreements have been signed but await ratification. Cayman Islands, 23 January 1987. Falkland Islands, 23 January 1987. Prisons: Voluntary Organisations Faroe Islands, 1 May 1987. Gibraltar, 23 January 1987. Priti Patel: To ask the Secretary of State for Justice Henderson, Ducie and Oeno Islands, 23 January 1987. how much funding was allocated to (a) prisoner support and (b) offender support third sector Montserrat, 23 January 1987. organisations in each of the last five years; and if he Netherlands Antilles, 1 June 1996. will provide details of each provider receiving funds Peter I’s Island, 1 April 1993. from the public purse. [90792] Pitcairn, 23 January 1987. Queen Maud Land, 1 April 1993. Mr Blunt: National Offender Management Service St Helena, 23 January 1987. does not record separately funding allocated to prisoner Sovereign Base Areas of Akrotiri and Dhekelia, 23 January or offender support third sector organisations. To identify 1987. such costs would involve surveying each third sector The United Kingdom has signed prisoner transfer contracts for the last five years which could be done agreements on a bilateral basis with the following states: only at disproportionate cost. Antigua and Barbuda, 23 June 2003. Social Entitlement Chamber Barbados, 3 April 2002. Brazil, 20 August 1998. Mr Slaughter: To ask the Secretary of State Cuba, 13 June 2002. for Justice what the average cost is of a hearing at Dominica, 2 May 20061. the Social Entitlement Chamber of the First Tier Dominican Republic, 18 February 20031. Tribunals. [90721] Egypt, 29 November 1993. Ghana, 17 July 2008. Mr Djanogly: The Social Entitlement Chamber of 1 the First-tier Tribunal contains three jurisdictions which Guyana, 5 April 2002 . each have differing types of work load, panel composition Hong Kong, 17 July 2008. and lengths of tribunal hearing. Therefore, HMCTS India, 18 February 2005. does not currently utilise or calculate financial information Laos, 7 May 2009. for planning or reporting at Chamber level and an Lesotho, 6 June 2007. overall average cost of a hearing of the Social Entitlement Chamber is not available. However, the average cost in Libya, 17 November 2008. 2010-11 of an appeal in each of the jurisdictions within Morocco, 21 February 2002. the Social Entitlement Chamber is shown in the following Nicaragua, 6 September 20051. table. Pakistan, 24 August 2007. Peru, 7 March 2003. £ Rwanda, 11 February 2010. Social Security and Child Support 239 St. Lucia, 27 April 2006. Asylum Support 389 Sri Lanka, 6 February 2004. Criminal Injuries Compensation 1,077 Suriname, 29 June 20021. The average cost of a criminal injuries compensation Thailand, 22 January 1990. (CIC) appeal is significantly higher than in the other Uganda, 12 September 20081. jurisdictions because the panel in this jurisdiction always Vietnam, 12 September 2008. consists of three members whereas in other jurisdictions, 93W Written Answers23 JANUARY 2012 Written Answers 94W the number of members can vary between one and Number of restrictive physical interventions (RPIs), injuries recorded three depending on the type of appeal being heard. The following incidents of RPIs, and how many of these were recorded as hearings in CIC can also last longer than in other serious, 2007-08 to 2009-10 jurisdictions, partly due to there being witnesses in most Under 18 Secure cases. Training RPI injuries These costs are averages and any individual case Centres Number of recorded as could therefore cost significantly more or less than the (STCs) RPIs RPI injuries serious injuries figures quoted. 2007-08 Hassockfield 519 100 0 Medway 869 331 0 Victims Support Oakhill 1012 27 0 Rainsbrook 373 96 0 Priti Patel: To ask the Secretary of State for Justice how much funding his Department allocated to 2008-09 organisations providing support to victims of crime in each of the last five years. [90793] Hassockfield 543 134 0 Medway 447 151 0 Mr Blunt: The following table shows the funding Oakhill 459 18 0 provided by the Ministry of Justice to organisations Rainsbrook 374 84 0 providing support to victims of crime in the past five years: 2009-10 Hassockfield 595 195 0 Funding amount (£) Medway 506 137 0 2007-08 138,978,496 Oakhill 227 2 0 2008-09 140,968,289 Rainsbrook 341 69 0 2009-10 142,645,763 Notes: 1. This data comes from monthly returns from the secure estate to the 1 2010-11 48,527,855 YJB. Due to the way these data are collected it is not possible to tell if 2011-12 248,216,614 the same young people are involved in multiple incidents throughout 1 Includes contributions from other Government Departments. the year. 2 In 2011-12 the charity Victim Support will receive, in addition to its 2. These figures have been drawn from administrative IT systems, grant funding, a sum yet to be determined raised under the Prisoners’ which, as with any large scale recording system, are subject to possible Earnings Act. Over the 12 month period from 26 September 2011 to errors with data entry and processing and can be subject to change 30 September 2012 Victim Support will receive up to £l million from over time. this source. Youth Custody: Enfield Young Offender Institutions: Injuries Mr Love: To ask the Secretary of State for Justice Mrs Moon: To ask the Secretary of State for Justice how many juvenile offenders from the London pursuant to the answer of 19 December 2011, Official borough of Enfield have been held in a (a) secure Report, columns 1068-72W, how many times a children’s home, (b) secure training centre and restrictive physical intervention was used; how many (c) young offender institution in each month since injuries arose from the use of restrictive physical May 2005. [85261] interventions; how many such injuries were recorded as serious injuries in each Secure Training Centre in each year since 2007-08; and if he will make a statement. Mr Blunt: The following table shows the number of [90904] young people (aged 10 to 17) either sentenced or remanded in custody attached to the Enfield youth offending Mr Blunt: The following table shows the number of team. restrictive physical interventions (RPIs), injuries recorded These data are from the Youth Justice Board (YJB) following incidents of RPIs, and how many of these and refer to secure training centres (STCs), secure children’s injuries were recorded as serious for each Secure Training homes (SCHs), and young offender institutions (YOIs). Centre in each year from 2007-08 to 2009-10. This The figures from April 2010 onwards are provisional. information has been provided by the Youth Justice Board (YJB). The final figures for April 2010 to March 2011 will be finalised in the 2010-11 Annual Youth Justice Statistics These data come from monthly returns from secure publication on 26 January 2012. establishments to the YJB. Due to the way these data are collected it is not possible to tell if the same young Data from April 2011 onwards will be finalised when people are involved in multiple incidents throughout the 2011-12 Annual YouthJustice Statistics are published the year. These figures have been drawn from administrative in 2013. IT systems, which, as with any large scale recording The data comes from the Youth Justice Board’s Secure system, are subject to possible errors with data entry Accommodation Clearing House System (SACHS). These and processing and can be subject to change over time. figures have been drawn from administrative IT systems, Data for 2010-11 will be published on 26 January which, as with any large scale recording system, are 2012 in the 2010-11 Youth Justice Statistics publication, subject to possible errors with data entry and processing which will be available on the Ministry of Justice website. and may be subject to change over time. 95W Written Answers23 JANUARY 2012 Written Answers 96W

Young people in custody attached to Enfield Youth Offending Team Young people in custody attached to Enfield Youth Offending Team by establishment type by establishment type Secure Secure Young Secure Secure Young children’s training offender children’s training offender homes centres institutions homes centres institutions

May 2005 0 1 23 April 2010 0 2 11 June 2005 0 1 16 May 2010 1 2 11 July 2005 0 1 15 June 2010 0 2 17 August 2005 1 3 15 July 2010 0 3 15 September 2005 1 5 13 August 2010 0 2 15 October 2005 0 1 18 September 2010 0 3 13 November 2005 0 1 20 October 2010 0 4 13 December 2005 0 2 21 November 2010 0 2 14 January 2006 0 2 20 December 2010 0 3 10 February 2006 0 2 23 January 2011 0 3 11 March 2006 0 2 23 February 2011 0 1 18 April 2006 2 2 21 March 2011 0 2 20 May 2006 1 1 26 April 2011 1 2 17 June 2006 1 0 22 May 2011 0 1 14 July 2006 1 0 27 June 2011 0 1 20 August 2006 1 2 28 July 2011 0 4 16 September 2006 0 3 28 August 2011 0 3 17 October 2006 0 1 25 September 2011 1 4 22 November 2006 0 3 25 December 2006 1 2 26 January 2007 0 3 28 February 2007 0 3 29 WOMEN AND EQUALITIES March 2007 0 3 24 April 2007 0 2 27 Christmas May 2007 0 2 26 June 2007 0 2 25 Mr Thomas: To ask the Minister for Women and July 2007 0 2 20 Equalities how much her Department spent on (a) Christmas August 2007 1 2 16 trees and (b) other Christmas decorations in 2011; and September 2007 1 3 22 if she will make a statement. [91112] October 2007 0 3 22 November 2007 0 2 22 Lynne Featherstone: From 1 April 2011, the Government December 2007 0 1 23 Equalities Office became part of the Home Office. January 2008 0 2 16 Information relating to the Government Equalities Office February 2008 0 3 17 will be included in the reply of the Minister for Immigration, the hon. Member for Ashford (Damian Green). March 2008 0 2 17 April 2008 0 0 20 Departmental Manpower May 2008 0 0 20 June 2008 0 2 20 Mr Thomas: To ask the Minister for Women and July 2008 0 1 22 Equalities how many and what proportion of full- August 2008 0 2 19 time equivalent staff in the Government Equalities September 2008 0 2 16 Office are engaged in delivering (a) frontline and October 208 0 1 17 (b) corporate or back office services; and if she will November 2008 0 1 18 make a statement. [91111] December 2008 0 1 14 January 2009 0 0 16 Lynne Featherstone: From 1 April 2011, the Government February 2009 1 0 19 Equalities Office became part of the Home Office. March 2009 1 0 16 Information relating to the Government Equalities Office April 2009 1 1 18 will be included in the reply of the Minister for Immigration, May 2009 1 3 17 the hon. Member for Ashford (Damian Green). June 2009 0 3 15 July 2009 0 1 15 August 2009 0 0 16 September 2009 0 2 16 WORK AND PENSIONS October 2009 0 1 16 November 2009 0 2 11 StartHere December 2009 0 0 9 January 2010 0 0 7 20. Alun Michael: To ask the Secretary of State for February 2010 0 1 12 Work and Pensions whether his Department is working March 2010 0 0 9 with the Department of Health on the deployment of applications produced by StartHere. [90858] 97W Written Answers23 JANUARY 2012 Written Answers 98W

Steve Webb: The Department is not currently working Charities with StartHere. However, the Department is committed to increasing Dr Whiteford: To ask the Secretary of State for Work the availability of its services online, and continues to and Pensions what grants his Department made to work with partners including the BBC and Digital charitable organisations in each of the last five years. Unite to enable people to access digital services. [79083] Female Unemployment Chris Grayling: The only grant payments made to a 21. Mark Tami: To ask the Secretary of State for charitable organisation by the Department for Work Work and Pensions what plans he has to reduce the rate and Pensions are those made to Motability. It is largely of female unemployment; and if he will make a self-financed and the only funding the Department for statement. [90860] Work and Pensions gives the scheme relates to the Specialised Vehicles Fund, which Motability administers 22. Mr Sheerman: To ask the Secretary of State for on our behalf. More information about Motability can Work and Pensions what plans he has to reduce the rate be found at: of female unemployment; and if he will make a statement. [90861] www.motability.co.uk Information on the amount of funding allocated to Chris Grayling: The Government’s aim is to achieve Motability in respect of the Specialised Vehicles Fund lasting growth in employment by tackling the deficit, and its administration in each of the last five years is improving competitiveness and encouraging the growth contained in the following table. of new businesses. To ensure those without work—including women—are £000 well placed to take up the new jobs that are created, Specialised through the Work programme and universal credit we vehicle fund Administration costs are reforming the welfare system to offer people the support they need to achieve their full potential and 2007-08 12,700 2,960 ensure they keep more of what they earn once back in 2008-09 17,036 2,960 work. 2009-10 17,036 2,208 2010-11 17,036 1,208 Work Capability Assessments 2011-12 117,036 1,000 1 The budget for the full year 2011-12 is £17,036,000 and we expect Anas Sarwar: To ask the Secretary of State for Work Motability to fully utilise this, although only £13,600,000 of grants and Pensions what steps his Department is taking in have been made to date. conjunction with disability groups to update the handbook and guidance used by Atos in the Children: Maintenance administration of work capability assessments. [90856] Chris Grayling: Following a recommendation from John Stevenson: To ask the Secretary of State for Professor Harrington in his second independent review Work and Pensions how many child support cases the of the work capability assessment the Department and Child Support Agency held for Carlisle in (a) 2008-09, Atos are putting in place a formal procedure for disability (b) 2009-10 and (c) 2010-11. [89165] groups and their clinical advisers to quality assure the evidence based protocols, condition specific training and the WCA handbook used by Atos. Maria Miller: The Child Maintenance and Enforcement Commission is responsible for the child maintenance Carer’s Allowance system. I have asked the Child Maintenance Commissioner to write to my hon. Friend with the information requested Andrea Leadsom: To ask the Secretary of State for and I have seen the response. Work and Pensions if he will estimate the cost to his Department of continuing to pay carer’s allowance to Letter from Noel Shanahan: those carers in receipt of a state pension. [90951] In reply to your recent Parliamentary Question about the Child Support Agency, the Secretary of State promised a substantive Steve Webb [holding answer 20 January 2012]: The reply from the Child Maintenance Commissioner as the Child overlapping benefits rule means that a person cannot be Support Agency is now the responsibility of the Child Maintenance paid carer’s allowance while receiving the same amount and Enforcement Commission. or more from an income maintenance benefit such as You asked the Secretary of State for Work and Pensions, how state pension. many child support cases the Child Support Agency held for The estimated cost of removing this rule, after adjusting Carlisle in (a) 2008-09, (b) 2009-10 and (c) 2010-11. [89165] for the offset in pension credit would be around £800 The table shows the number of cases where a parent with care million1. This estimate does not include additional costs or non-resident parent resides in Carlisle parliamentary constituency. from carers over pension age who would choose to apply for carer’s allowance if the overlapping benefits Caseload by parent Caseload by non- As at March each with care in Carlisle resident parent rule did not apply. These additional costs are likely to year: constituency Carlisle constituency be significant but cannot be quantified. 1 Source: 2009 2,160 2,040 DWP Information Directorate: Work and Pensions Longitudinal 2010 2,000 .1,870 Study, May 2011. 2011 1,990 1,910 99W Written Answers23 JANUARY 2012 Written Answers 100W

Maria Miller: We are unable to provide a response on Notes: 1. Both the parent with care and the non-resident parent in the same the average backdated claim awarded in disability living case may reside in Carlisle constituency therefore the figures in the allowance appeals because the information requested is two columns should be viewed separately. not routinely reported and could be obtained only at 2. Figures are rounded to the nearest 10. disproportionate cost to the Department. 3. Areas are provided by matching the residential postcode of the parent with care or non-resident parent to the Office for National EU Law Statistics Postcode Directory. 4. Caseload refers to the live and assessed caseload which includes open cases with an ongoing child maintenance liability, cases which Mr Thomas: To ask the Secretary of State for Work have been assessed as nil liability and cases where arrears of and Pensions whether his Department holds maintenance have been requested. information on the EU regulations in its policy area 5. Caseload is reported at a point in time, these figures show the which have not been implemented in (a) France and caseload as at the end of March each year. (b) Germany and the dates on which those regulations Christmas became EU law; and if he will make a statement. [90703]

Mr Thomas: To ask the Secretary of State for Work Chris Grayling: The information requested is not held and Pensions how much his Department spent on (a) by Her Majesty’s Government. Providing an answer Christmas trees and (b) other Christmas decorations would impose a disproportionate cost. in 2011; and if he will make a statement. [91084] Mr Thomas: To ask the Secretary of State for Work Chris Grayling: Since 1998, the Department for Work and Pensions which EU regulations his Department and Pensions (DWP) occupies the majority of its has not implemented; on what date the regulations accommodation under a private finance initiative (PFI) became EU law; and if he will make a statement. known as the PRIME contract. Under the terms of this [90718] PFI, the Department leases back fully serviced accommodation from its private sector partner Telereal Chris Grayling: The EU directives yet to be implemented Trillium, for which it pays an all-inclusive unitary charge. by the Department for Work and Pensions are as follows: While this unitary charge does not cover Christmas Directive 2010/41/EU of 7 July 2010 on the application of the trees and decorations, Telereal Trillium does provide a principle of equal treatment between men and women engaged in decorated tree at some headquarters sites such as Caxton an activity in a self employed capacity. This repeals council house and Quarry house at their expense as a goodwill directive 86/613/EEC. It came into force on 4 August 2010. We are gesture. Therefore, the Department did not spend money considering the date for implementation. on Christmas trees or other Christmas decorations in Council Directive 2010/32/EU of 10 May 2010 implementing 2011. the Framework Agreement on prevention from sharp injuries in the hospital and health care sector concluded by HOSPEEM and EPSU. This directive came into force on 21 June 2010 and will be Co-operatives implemented by the transposition deadline of May 2013. Future Jobs Fund Mr Thomas: To ask the Secretary of State for Work and Pensions what steps (a) his Department and (b) Jim Dobbin: To ask the Secretary of State for Work those bodies for which his Department is responsible and Pensions what discussions he has had on the effects are taking to mark UN Year of the Co-operative 2012; on unemployment of closure of the future jobs fund. and if he will make a statement. [88602] [90847]

Chris Grayling: Departments will work closely with Chris Grayling: The future jobs fund was a very Cabinet Office, the Mutuals Taskforce and with expensive programme which did not lead to enough Co-operatives UK to develop and take full advantage young people entering sustained employment. of opportunities to celebrate the achievements of We believe the support we are offering through the co-operative organisations during the United Nations Work programme, an expanded work experience scheme International Year of Co-operatives. and the youth contract will deliver better sustained At present neither the Department nor its non- outcome for young people. departmental public bodies have any plans to mark the UN Year of the Co-operative 2012. Pensions The Mutuals Taskforce has recently indicated it will play a co-ordinating role for Departments to support Alun Cairns: To ask the Secretary of State for Work the International Year of Co-operatives, with Co-operatives and Pensions what steps he is taking to protect the UK leading the Taskforce’s work in this area. interests of people with small pension pots. [90844] Steve Webb: The problem associated with small pension Disability Living Allowance: Appeals pots can include higher charges, losing track of a pension or facing barriers to moving a pension and getting a Stella Creasy: To ask the Secretary of State for Work decent annuity. and Pensions what the average backdated claim was That is why we published a paper in December that which was awarded in disability living allowance sets out some radical options for some form of automated appeals in the latest period for which figures are transfer system to make it easy for people to build up available; and if he will make a statement. [90767] one large pension pot. 101W Written Answers23 JANUARY 2012 Written Answers 102W

Social Security Benefits: Disability Vacancies

Bill Esterson: To ask the Secretary of State for Work Simon Hart: To ask the Secretary of State for Work and Pensions what assessment he has made of the and Pensions on what sources of information his effect on living standards of people (a) with disabilities Department bases its calculations of the number of job and (b) diagnosed with cancer of his proposals in the vacancies that are available to people seeking Welfare Reform Bill. [91320] employment. [91246]

Chris Grayling: The Government have published both Mr Hurd: I have been asked to reply on behalf of the impact and equality impact assessments on the Welfare Cabinet Office. Reform Bill, including employment and support allowance The information requested falls within the responsibility and disability living allowance reform. of the UK Statistics Authority. I have asked the authority These can be found on the DWP website at the to reply. following link: Letter from Stephen Penneck, dated January 2012: http://www.dwp.gov.uk/policy/welfare-reform/legislation-and- key-documents/welfare-reform-bill-2011/ As Director General for the Office for National Statistics, I have been asked to reply to your Parliamentary Question asking what sources of information are used to produce estimates of job Unemployment: Older People vacancies (91246). The Office for National Statistics (ONS) produces estimates of John Pugh: To ask the Secretary of State for Work vacancies for the whole economy excluding agriculture, forestry and Pensions whether his Department’s recent and fishing (due to the practical difficulties of producing estimates for this sector). The estimates are sourced from the ONS Vacancy unemployment figures include those people aged over Survey, a survey of employers. ONS surveys around 6,000 60 but under 65 who no longer need to make further organisations per month and they are asked to record the number national insurance contributions to qualify for a state of vacancies for which they are actively seeking to recruit staff pension. [91410] from outside their own organisation. These estimates are only available for the UK as a whole; there is no regional data available Mr Hurd: I have been asked to reply on behalf of the from this survey. Cabinet Office. The Department for Work & Pensions produces estimates of JobCentre Plus vacancies sourced from JobCentre Plus administrative The information requested falls within the responsibility systems. These estimates measure those vacancies notified by of the UK Statistics Authority. I have asked the authority employers to JobCentre Plus, and are available at regional and to reply. local area level as well as at UK level. Letter from Stephen Penneck, dated January 2012: As Director General for the Office for National Statistics, I have been asked to reply to your Parliamentary Question asking Welfare State: Reform whether unemployment estimates include those people aged between 60 and 65 who no longer need to make further national insurance Bill Esterson: To ask the Secretary of State for Work contributions to qualify for a state pension (91410). and Pensions how much he expects to save from the The Office for National Statistics (ONS) produces estimates of reform of the welfare system in each of the next three unemployment in accordance with international guidelines specified by the International Labour Organisation. The definition of years; and what assessment he has made of the cost of unemployment is contained in a resolution adopted by the Thirteenth reforming the welfare system in each of the next three International Conference of Labour Statisticians in October 1982. years. [91375] In accordance with this resolution, people in the UK aged 16 or over are recorded as being unemployed if: Chris Grayling: The Spending Review 2010 announced they are without a job, have actively sought work in the last fundamental reforms to simplify the welfare system, four weeks and are available to start work in the next two weeks which were estimated to deliver net welfare savings of or; £7 billion per year by 2014-15. are out of work, have found a job and are waiting to start it in The detailed underlying costings for policies announced the next two weeks. at Spending Review 2010 are published in the document There is no upper age limit on unemployment and whether or Spending Review 2010 policy costings: not a person needs to make further national insurance contributions to qualify for a state pension is not a relevant factor in determining http://cdn.hm-treasury.gov.uk/sr2010_policycostings.pdf whether a person is unemployed or not. and the estimated fiscal impact of these policies is The ONS also produces estimates for the claimant count which updated in Table 2.2 of the Budget 2011 report: measures the number of people claiming Jobseeker’s Allowance http://www.hm-treasury.gov.uk/ukgwacnf.html?url=http:// (JSA). www.hm-treasury.gov.uk/d/2011budget_complete.pdf DWP funding to implement the welfare reforms Universal Credit announced in the June 2010 Budget and the Spending Review 2010 for which DWP has responsibility is included Stephen Timms: To ask the Secretary of State for within the overall departmental expenditure limit (DEL). Work and Pensions on what date he expects to publish This includes £2 billion over 2011-12 to 2014-15 for the programme plans for universal credit. [91306] introduction of universal credit. The DWP funding settlement from 2010-11 to 2014-15 is published in Chris Grayling: There is presently no intention to Spending Review 2010: publish universal credit programme plans. http://cdn.hm-treasury.gov.uk/sr2010_completereport.pdf 103W Written Answers23 JANUARY 2012 Written Answers 104W

The DWP Business Plan 2011-15 sets out the detailed implement the Government’s early conciliation proposals; actions to reform the welfare system. This is an annual and what additional resources his Department will provide publication last updated in May 2011. Indicative figures to ACAS in each of the next three years. [91325] of planned expenditure for 2011-12 were published alongside the Business Plan: Mr Davey: Officials in the Department are working http://www.dwp.gov.uk/docs/indicative-data-2011-12.xls closely with ACAS colleagues to develop the detail of the early conciliation process. Once this has been Work Programme determined, we will be able to determine the additional resourcing requirements needed to ensure that ACAS can deliver the new service. Any additional funding will Stephen Timms: To ask the Secretary of State for be provided through the normal grant in aid process. Work and Pensions how many off-benefit checks his Early conciliation will require primary legislation and Department has performed in relation to the Work implementation is subject to the parliamentary process. programme since its inception. [91239] ACAS: Finance Chris Grayling: The Department will begin conducting off-benefit checks in relation to the Work programme in Ian Murray: To ask the Secretary of State for April 2012. Business, Innovation and Skills how much funding his Department provided to ACAS in each year between Stephen Timms: To ask the Secretary of State for 2008 and 2011; and how much his Department plans to Work and Pensions by what means he will assess the provide in the next three years. [91323] extent to which Work Programme Prime Providers’ funding arrangements meet the Merlin Standard for Mr Davey: The information is as follows: equitable transfer of financial and other risks for small, In 2011-12 ACAS’ total budget allocation is £47,839,000.00. specialist and third sector providers. [91311] In 2010-11 ACAS’ total budget allocation was £51,874,000.00. Chris Grayling: The Department has appointed an In 2009-10 ACAS’ total budget allocation was £55,787,000.00. independent organisation to undertake the assessment In 2008-09 ACAS’ total budget allocation was £51,212,600.00. of prime contractors against the Merlin Standard. ACAS’ budget allocations for the next three years Supporting products and guidance will be available in have yet to be confirmed. due course on the Merlin web portal: Bankruptcy http://www.merlinstandard.co.uk

Heidi Alexander: To ask the Secretary of State for Nic Dakin: To ask the Secretary of State for Work and Pensions pursuant to the answer of 8 Business, Innovation and Skills what estimate he has November 2011, Official Report, column 217W, on the made of the average debt of those entering bankruptcy Work programme, whether claimant starts for the in each year since 2001; and what the average debt was, period June to November 2011 were in line with excluding mortgages and secured loans, of those who estimated volumes in each Work programme contract entered bankruptcy in each year since 2011. [89033] package area. [91369] Mr Davey: The Insolvency Service (″The Service″)is Chris Grayling: The Department intends to publish able to provide details of the average debt of those official statistics on referrals and attachments to the entering bankruptcy in each year since 2001. The Service Work programme from spring 2012. This is in line with does not collate a total figure for the average debt guidelines set by the UK Statistics Authority to ensure excluding mortgages and secured loans. published statistics meet the required high quality standards. The following figures include those entering bankruptcy by both debtor and creditor petitions. The mean average can be skewed by a small number of large values in the total amount, so both the mean BUSINESS, INNOVATION AND SKILLS average and median average figures are provided for comparison purposes. ACAS £ Median average Average amount Ian Murray: To ask the Secretary of State for amount of debt of debt Business, Innovation and Skills what discussions he has had with ACAS on changes to early conciliation and April 2001 to March 2002 36,900 54,512 the resources to support such changes. [91324] April 2002 to March 2003 35,200 97,909 April 2003 to March 2004 32,400 46,498 Mr Davey: Officials in the Department are having April 2004 to March 2005 33,200 121,636 regular discussions with ACAS colleagues to develop April 2005 to March 2006 33,900 59,478 the detail of the early conciliation process and to establish April 2006 to March 2007 28,600 73,661 what additional resourcing requirements are needed to April 2007 to March 2008 33,900 104,883 support it. April 2008 to March 2009 37,000 153,084 April 2009 to March 2010 42,300 130,248 Ian Murray: To ask the Secretary of State for April 2010 to March 2011 39,500 191,626 Business, Innovation and Skills what assessment he has April 2011 to December 2011 50,000 235,827 made of the additional resources required by ACAS to 105W Written Answers23 JANUARY 2012 Written Answers 106W

Business: Investment List of EU directives that the Department for Business, Innovation and Skills have yet to implement in the UK1 Directive Title Date came into force

Mr Iain Wright: To ask the Secretary of State for 2008/122 Directive 2008/122/EC of 23 February 2011 Business, Innovation and Skills what assessment he has the European Parliament made of average levels of cash on companies’ balance and of the Council of 14 sheets; and what discussions he has had with January 2009 on the companies on the use of such cash levels to invest in protection of consumers in respect of certain aspects (a) enhancing UK competitiveness, (b) improving of timeshare, long-term UK economic productivity and (c) increasing access holiday product, resale and to alternative sources of funding for UK businesses. exchange contracts [90760] 2009/38 Directive 2009/38/EC of 1 October 2011 the European Parliament and of the Council of 6 Mr Davey: Total cash and short-term deposits held May 2009 on the establishment of a by UK private, non-financial corporations amounted European Works Council 1 to £681 billion in 2010. or a procedure in Community-scale The Secretary of State for Business, Innovation and undertakings and Skills, my right hon. Friend the Member for Twickenham Community-scale groups of (Vince Cable) regularly meets businesses of all sizes to undertakings for the discuss a wide range of issues. Cash is retained for a purposes of informing and variety of reasons and investment decisions are commercial consulting employees choices for businesses themselves. Government, however, (Recast) has a vital role in creating the right incentives and 2009/109 Directive 2009/109/EC of 1 August 2011 the European Parliament framework for business investment by, for example, and of the Council of 16 reducing the rate of corporation tax from 26% to 23% September 2009 amending by 2014, reforming the planning regime, and improving Council directives 77/91/ R&D tax credits. EEC, 78/855/EEC and 82/891/EEC, and directive Cash surpluses are not evenly distributed, and many 2005/56/EC as regards businesses who want to invest have to rely on external reporting and sources of finance. We want to boost the finance options documentation requirements in the case of for business to include a wider range of non-bank mergers and divisions sources. That is why my right hon. Friend the Secretary 2008/104 Directive 2008/104/EC of 1 October 2011 of State for Business, Innovation and Skills has announced the European Parliament the establishment of an industry-led taskforce headed and of the Council of 19 by Tim Breedon. The taskforce is working with businesses, November 2008 on investors and others to establish what steps need to be temporary agency work taken to remove structural and behavioural barriers to 2011/37 Commission directive 2011/ 1 July 2010 raising non-bank finance. Part of the work will include 37/EU of 30 March 2011 amending annex II to a look at ways to help businesses provide financing directive 2000/53/EC of the support to their supply chains. European Parliament and

1 of the Council on end-of- Source: ONS Blue Book 2011. life vehicles 1 The UK means England, Scotland, Northern Ireland, Wales and Gibraltar. Mr Thomas: To ask the Secretary of State for Business, Innovation and Skills which EU regulations his Department has not implemented; on what date the regulations became EU law; and if he will make a statement. [90761] Business: Third Sector

Mr Thomas: To ask the Secretary of State for Mr Davey: At present, this Department has six EU Business, Innovation and Skills what assessment he has regulations that have not as yet been fully implemented. made of the opportunity to develop and increase The following table shows a list of these regulations Business in the Community’s Business Connector which includes the date of which these became EU law. programme; and if he will make a statement. [91421] List of EU directives that the Department for Business, Innovation and Skills have yet to implement in the UK1 Mr Davey: Business in the Community’s Business Directive Title Date came into force Connector programme is a good example of a business-led 2008/06 Directive 2008/6/EC of the 1 October 2011 initiative to support community empowerment using European Parliament and the expertise of business. The Office of Civil Society of the Council of 20 is contributing to the funding of a pilot of the first February 2008 amending 20 Business Connectors in which leading businesses directive 97/67/EC with including BT, Greggs, Fujitsu and Sainsbury’s have regard to the full accomplishment of the seconded senior staff to build business expertise and internal market of delivery capacity in local community organisations. Fujitsu Community postal services has also developed a supporting online resource network. 107W Written Answers23 JANUARY 2012 Written Answers 108W

The Department for Business, Innovation and Skills future of the consumer credit regime, including future is pleased to promote the Business Connectors programme resourcing, and will make an announcement in due as a good example of business working with civil society course. to the benefit of their communities under Every Business Commits. Dementia: Research Mr Thomas: To ask the Secretary of State for Dr Huppert: To ask the Secretary of State for Business, Innovation and Skills (1) what steps he is Business, Innovation and Skills how much the (a) Medical taking to encourage companies to offer opportunities Research Council and (b) Engineering and Physical and assistance to help their staff volunteer; and if he Sciences Research Council spent on dementia research will make a statement; [91428] in 2010-11. [91373] (2) what steps he is taking to encourage companies to establish a (a) volunteering and (b) giving scheme; Mr Willetts: The Medical Research Council (MRC) and if he will make a statement. [91429] spent £15.6 million in 2009/10. Precise figures for MRC expenditure in 2010/11 are not yet available. The Engineering Mr Davey: Under Every Business Commits we have and Physical Sciences Research Council estimate that challenged businesses to take action in five priority they spent £3.5 million in 2010/11. areas: investing in skills and jobs; promoting employee well-being; supporting enterprise; engaging with Departmental Manpower communities; and reducing carbon emissions. And Government have committed to remove barriers to business engagement in these areas. Mr Thomas: To ask the Secretary of State for Business, Innovation and Skills what estimate he has Working with business representatives on the Every made of the number and proportion of full-time Business Commits Forum, we are promoting and sharing equivalent staff in his Department engaged in examples of good practice, including payroll giving delivering (a) frontline and (b) corporate or back schemes and staff volunteering. A new business-led office services; and if he will make a statement. [91099] digital service—Trading for Good—is in development and will offer good practice sharing to small enterprises Mr Davey: The following table shows the number/ as well as toolkits offering guidance on how to take up headcount and proportion of full-time equivalent staff these activities. currently employed in the Department for Business, Innovation and Skills (BIS), engaged in delivering (a) Consumers: Credit frontline and (b) corporate or back office services. To note these figures are based on staff on payroll and do Stella Creasy: To ask the Secretary of State for not include UK Trade and Investment (UKTI). Business, Innovation and Skills with reference to the EU Consumer Credit Sweep (1) what steps he plans to Number/headcount Full-time equivalent take to ensure that UK regulatory and enforcement bodies have sufficient resources to monitor the compliance Frontline 1,799 1,740.8 of consumer credit providers with legislative requirements; Corporate/back office 661 630.9 [90768] The figure for corporate/back office services includes (2) what steps he plans to take to ensure providers of staff in legal, human resources (HR), communications, consumer credit comply with legislative requirements. finance, shared services, internal audit, information and [90769] communications technology (ICT) services and commercial. Some of these areas also provide corporate support to Mr Davey: The Office of Fair Trading (OFT) participated BIS agencies. in a sweep of websites that advertise consumer credit as part of an EU-wide investigation to check whether Departmental Regulation consumers are given the information to which they are entitled under EU consumer law. Conor Burns: To ask the Secretary of State for The OFT will use the findings from the sweep to Business, Innovation and Skills if he will publish a list target those companies that do not meet their legal of (a) all new regulations introduced and (b) all obligations. It will inform the European Commission of regulations abolished under his Department’s one-in the actions it has taken by autumn 2012 and the one-out policy since May 2010. [91121] Commission will report on the results from across the EC thereafter. Mr Prisk: The “One-in, One-out: Statement of New The OFT will also be launching a comprehensive Regulation” (published April 2011) and the departmental compliance review of its Irresponsible Lending Guidance statements accompanying the “One-in, One-out: Second shortly. The review will focus on identifying those practices Statement of New Regulation” (published September that are the cause of most harm to consumers and the 2011) list new measures, including deregulatory measures, findings will be used to take further enforcement action introduced under one-in, one-out between January 2011 and drive up standards. (the effective date of the policy) and December 2011. The Government’s aim are to ensure a proportionate Copies of all of these publications were placed in the approach to regulation and enforcement whereby consumers Libraries of the House and can be found at: are protected without placing unnecessary burdens on http://www.bis.gov.uk/policies/bre/better-regulation- business. The Government are currently considering the framework/one-in-one-out/statement 109W Written Answers23 JANUARY 2012 Written Answers 110W

EU Law In March 2000, the Government launched the Work-Life Balance Campaign to raise awareness of the benefits of work-life balance policies. The campaign targeted employers, encouraging Mr Thomas: To ask the Secretary of State for them to develop policies that would enable employees to effectively Business, Innovation and Skills whether his Department balance their work with their life outside of work. holds information on the EU regulations in its policy In April 2003, the Government introduced the right to request areas of responsibility which have not been implemented flexible working for employed parents of young and disabled in (a) France and (b) Germany; on which dates those children via regulations under the Employment Act 2002. regulations became EU law; and if he will make a The Work and Families Bill 2006 widened the scope of the statement. [90689] existing law on flexible working to enable more people (carers of adults and parents of children under 18) with caring responsibilities Mr Davey: The information requested is not held by to request to work flexibly. Her Majesty’s Government. Providing an answer would The Flexible Working (Eligibility, Complaints and Remedies) pose a disproportionate cost. (Amendment) Regulations 2006 widen the scope of the right to request flexible working to carers of certain adults from April Exports 2007 In 2008 all flexible working guidance was converged onto Laura Sandys: To ask the Secretary of State for Businesslink.gov.uk and direct.gov.uk as part of Employment Law Guidance Programme. This programme aimed to support Business, Innovation and Skills what discussions his businesses in complying with their employment obligations. (a) (b) Department has had with the CBI, Institute of In May 2008 the Government published the independent Walsh Directors and (c) Federation of Small Businesses on Review ″How to Extend the Right to Request Flexible Working steps to support small and medium-sized businesses to to Parents of Older Children″. export to international markets. [90180] The Flexible Working (Eligibility, Complaints and Remedies) (Amendment) Regulations 2009 extended the scope of flexible Mr Prisk: As a Department, we engage regularly with working law to Parents to children under 17 from April 2009. key business multipliers to include the Confederation of In the run up to the April 2009 extension of the right to request British Industry (CBI), Institute of Directors (IoD) and to parents of children under 17, the Government: the Federation of Small Businesses (FSB) on steps to Contacted over 890,000 small and medium sized enterprises to support small and medium-sized enterprises (SMEs) to highlight the change in the law and to publicise the guidance export to international markets. Regular meetings take available at businesslink.gov.uk to ensure businesses knew where place with these organisations at both ministerial and to find the free help available; working level to discuss key issues regarding international Ran a campaign via Directgov encompassing magazine advertorials, trade and how we can boost the number of SMEs who radio slots and television advertising, and highlighting the guidance export. and advice available on www.direct.gov.uk We have developed partnership relationships with all Engaged with key stakeholders to promote the flexible working three organisations, and work with them to promote the messages to employees; benefits of trade to their SME audience via their existing Launched a series of activities spread over 12 months encompassing channels. For example in the last 12 months we have media opportunities, ministerial events and using publication s to delivered a series of breakfast round table discussions reach the various target audiences. on export opportunities for SMEs in Russia, China and In September 2009 Government stepped up their action to India and have an additional programme planned with raise awareness of flexible working rights for carers with the them in the coming six months. Similarly we recently publication of a new survey showing that millions were unaware led FSB’s export seminars as part of their extensive of flexible working rights for parents and carers. programme at the Business Start-Up Show. The Department worked with the Family Friendly Working Most recently, the CBI, IoD and FSB have been Hours Taskforce to help develop their recommendations, the taskforce was established by the Department of Work and Pensions. involved in the national ’Export for Growth’ initiative The taskforce published the Flexible Working: working for families, which was launched by the Prime Minister on 10 November working for business report in 2009 setting out recommendations last year. The initiative offers a series of programmes for what more can be done to both encourage and support and coordinated help from professional advisers to employers to realise the benefits of flexible working in their business, to include banks, accountants, lawyers and organisation. trade associations to boost SME awareness of overseas On 18 February 2010 Government launched a month long opportunities. All three organisations helped to shape ″Dads at Work campaign—raising awareness of paternity rights″ the programme for the national event and have been and raising awareness among dads of their rights at work to help involved in the 12 regional events which are taking them care for their child. place over the next three months. In response to the Government’s coalition commitment to extend the right to flexible working to all employees, we are Flexible Working currently reviewing the flexible working regulations with the aim of introducing an extension of the right to request flexible working to all employees by 2014. Chris Ruane: To ask the Secretary of State for Business, Innovation and Skills what steps his High Street Support Scheme Department and its predecessors have taken to promote flexible working in the last 30 years. [90931] Joan Walley: To ask the Secretary of State for Business, Innovation and Skills pursuant to the answer Mr Davey: The Department for Business, Innovation of 14 September 2011, Official Report, column 1211W, and Skills was formed on 5 June 2009. Our predecessors on the High Street Support scheme, what the have promoted flexible working over a number of years, underspend was which was diverted to fund the High (records do not go back further than March 2000). Street Support scheme relating to the West Midlands. Since 2000 activities include: [87793] 111W Written Answers23 JANUARY 2012 Written Answers 112W

Mr Prisk: The underspend from the regional Mr Davey: The Insolvency Service does not publish development agencies, including Advantage West Midlands, personal insolvency statistics by parliamentary constituency. is subject to the remaining months de-commissioning Regional statistics are published by Government office so a precise figure is not available. However, current region, county, unitary authority and county district, forecasts across all of the regional development agencies and can be downloaded here: indicate that it is adequate to fund the £7 million http://www.insolvencydirect.bis.gov.uk/otherinformation/ contribution towards the High Street Support scheme. statistics/regionalstatisticsmenu.htm Local Enterprise Partnerships Higher Education: Finance Laura Sandys: To ask the Secretary of State for Robert Halfon: To ask the Secretary of State for Business, Innovation and Skills what role local Business, Innovation and Skills whether he plans to economic partnerships will play in delivering services issue guidance to universities on donations from previously provided by UK Trade and Investment. countries with a poor record on human rights. [89541] [90231]

Mr Willetts: It is important that universities diversify Mr Prisk: Local enterprise partnerships (LEPs) will their income sources and philanthropic donations are not be delivering any services previously provided by important in this context. It is a central principle of our UK Trade & Investment (UKTI). However, LEPs will successful higher education system that universities are be key partners for UKTI in supporting foreign direct autonomous institutions. It is for university governing investment and international trade at the local level. bodies to assess the appropriateness of those donations they choose to accept, including the potential impact of Overseas Trade those donations on their reputation. However, the Financial Memorandum between the Laura Sandys: To ask the Secretary of State for Higher Education Funding Council for England (HEFCE) Business, Innovation and Skills what steps the Strategic and the institutions that they fund advises that to fulfil Relations Unit has taken to ensure there is a coherent their duty to be accountable to all their stakeholders, trade policy across all Government Departments. higher education institutions (HEIs) should operate in [90232] an open and transparent way. This memorandum is available on the HEFCE website at: Mr Prisk: The Strategic Relations team is focused on ensuring effective relationship management of major http://www.hefce.ac.uk/pubs/hefce/2010/10_19/ investors in the UK, many of whom are also exporters. Those HEIs that are registered charities are regulated Building the necessary relationship management structures by the Charities Commission who offer advice on donations across Government will result in the improved in their Compliance Toolkit which can be accessed communication of trade related issues from the relationship online at: managed sectors to the rest of Government. However, http://www.charitycommission.gov.uk/ any engagement or communication will be within the Our_regulatory_activity/Compliance_work/default.aspx Government’s existing strategy for trade policy. Any feedback or suggestions for improving the UK’s Higher Education: Yorkshire and the Humber trade policy from the Strategic Relations team will be passed to the Europe and International Trade Directorate Paul Blomfield: To ask the Secretary of State for in the Department for Business Innovation and Skills Business, Innovation and Skills pursuant to the answer who are responsible for developing the overarching of 21 November 2011, Official Report, column 145W,on strategy for UK trade policy. higher education: admissions, following the 15 January deadline how many UCAS applications were submitted Laura Sandys: To ask the Secretary of State for by residents of (a) Sheffield Central constituency, Business, Innovation and Skills pursuant to the Third (b) Sheffield, (c) South Yorkshire and (d) Yorkshire Special Report from the Business, Innovation and and the Humber in the 2011-12 admissions cycle; and Skills Committee, HC 1545, paragraph 14, if he will how many such applications had been submitted at the publish the stock-take of international market access January deadline in the 2010-11 admissions cycle. undertaken jointly by his Department, the Foreign and [90947] Commonwealth Office and UK Trade and Investment. [90246] Mr Willetts [holding answer 20 January 2012]: The information is not available. UCAS will release figures Mr Prisk: Officials from the Foreign and Commonwealth showing the number of applicants who applied by 15 January Office (FCO), the Department for Business, Innovation on 30 January. and Skills (BIS), the Department for Environment Food and Rural Affairs (DEFRA), and UK Trade & Investment (UKTI), officials met on 13 September for a stock take Insolvency of how market access issues are handled across Government, with the aim of ensuring an integrated Nic Dakin: To ask the Secretary of State for Whitehall-wide approach to addressing market access Business, Innovation and Skills when the Insolvency barriers. Service intends to release information on personal The Departments are keen to ensure any overhaul insolvencies in each parliamentary constituency for of the current mechanisms does not add a layer of 2010. [89032] bureaucracy; any changes must result in direct benefits 113W Written Answers23 JANUARY 2012 Written Answers 114W for business or improve Government efficiency. A light (a) Exports touch approach has been agreed to include the identification UK of areas where Departments need to work together and Sector Data available1 ranking Year Source ensure information is shared appropriately. Accordingly, Marine 3511: Building and 12th 2004 OECD a stock-take report was not produced. repairing of ships (G) out of 30 Good progress has been made in delivering the UKTI 793: Export of ships, 11th 2010 UN strategy and implementing the FCO Charter for Business. boats, floats (C) out of HMG recognises the importance of fully utilising the 123 UK’s diplomatic network overseas and ministerial visits Security Not available — — — to assist in delivering value to UK business. Ministerial Aerospace 353: Manufacture of 4th out 2004 OECD visits briefings have a strong focus on UK’s top commercial and airport aircraft and spacecraft of 30 priorities including key market access issues, ensuring (G) Ministers, and our diplomatic network overseas, are 792: Export of aircraft 64th 2010 UN lobbying host Governments on the commercial and and associated out of equipment (C) 121 trade issues of most importance to British business Automotive 34: Manufacture of 9th out 2008 OECD interests. motor vehicles, trailers of 39 and semi-trailers (G) Further close working across Government, and in 78: Export of road 11th 2010 UN consultation with business, is also being taken forward vehicles (C) out of on a number of other fronts. For instance, we have 131 consulted with business on our top market access issues Business 74: Other business 5th out 2008 OECD in regards to China, building our joint understanding of support activities (G) of 39 the issues with a view to addressing these through a services combination of our commercial diplomacy work and in 268: Other business 2nd 2007 OECD influencing the European Commission to address UK services (S) out of priorities in bilateral trade discussions. 30 Education Not available — — — In addition, DEFRA, as part of a joint Government/ and training industry agri-food export action plan to be published Environment Not available — — — later this month, will be working with industry experts Food and 15: Manufacture of 10th 2008 OECD and colleagues in BIS, UKTI and FCO to build up the drink food products and out of beverages (G) 39 HMG assessment of barriers to trade facing UK agri-food 0: Export of food and 16th 2010 UN companies in key markets. This will raise cross-Government live animals (C) out of awareness of the obstacles facing this sector, and help 137 build a co-ordinated lobbying effort. Health care 2423: Manufacture of 5th out 2004 OECD and pharmaceuticals, of 30 bioscience medicinal chemicals and botanical products Laura Sandys: To ask the Secretary of State for (G) Business, Innovation and Skills what the UK’s global 331: Manufacture of 4th out 2004 OECD ranking is for (a) exports and (b) inward investment in medical appliances and of 30 the (i) marine, (ii) security, (iii) aerospace and airport, instruments and (iv) automotive, (v) business support services, (vi) education appliances for other and training, (vii) environment, (viii) food and drink, purposes (G) (ix) health care and bioscience and (x) information and 54: Export of 6th out 2010 UN medicinal, of 128 communication technologies sector. [90253] pharmaceutical products (C) Information 30: Manufacture of 7th out 2008 OECD and office, accounting and of 39 Mr Prisk: Overall, the UK is ranked 10th for goods communication computing machinery exports by value, and 3rd for (non-government) service technologies (G) exports by value in 2010, according to the World Trade 32: Manufacture of 10th 2008 OECD Organisation. The UK is also ranked 3rd for inward radio, TV, out of investment stock by value in 2010, according to UNCTAD. communications 39 equipment (G) Data on an industry sector level are limited due to the 245: Communication 2nd 2007 OECD need for international comparability, and export data is services (S) out of more readily available for goods (commodities) and 30 services rather than by industry sectors. Available rankings 262: Computer and 2nd 2007 OECD for the value of goods and services exports (plus some information services out of related commodities) and inward investment stock value (S) 28 1 are shown in the following tables. Some data used here G=goods exports by industry, S=services exports, C=commodity data are collated by the Organisation for Economic Co-operation (b) Inward investment and Development (OECD) and therefore do not cover UK all countries but cover where available, all 34 OECD Sector Data available ranking Year Source member countries, plus the Brazil, Russia, India and China (BRICs), South Africa and Indonesia. Marine 6100: Water transport 6th out 2009 OECD of 20 115W Written Answers23 JANUARY 2012 Written Answers 116W

(b) Inward investment Mr Willetts: The October 2011 National Statistics UK Public Expenditure Outturn provided details of regional Sector Data available ranking Year Source expenditure. Security Not available — — — According to the Chapter 3 CRA database, which Aerospace 6200: Air transport 1st out 2009 OECD analyses expenditure by Department, region and function, and airport of 21 the expenditure on science and technology by BIS was Automotive 3400: Motor vehicles 3rd out 2009 OECD as follows: of 20 5000: Sale, 2nd out 2009 OECD £ million maintenance and of 22 2006-07 2007-08 2008-09 2009-10 2010-11 repair of motor vehicles and motor England cycles; retail sale of automotive fuel East 243.8 257.1 294.6 335.8 320.9 6000: Land transport 1st out 2009 OECD East 120.7 151.2 141.9 173.2 157.4 of 18 Midlands Business 7300: Research and 4th out 2009 OECD London 321.4 393.1 401.1 474.4 412.9 support development of 22 North East 76.0 93.7 85.4 109.9 93.7 services North West 184.2 224.3 216.3 251.4 227.4 7400: Other business 6th out 2009 OECD South East 303.3 374.5 363.7 398.1 371.1 services of 23 South West 131.8 185.6 206.1 165.9 163.5 Education Not available — — — West 116.6 153.6 139.9 164.9 146.5 and training Midlands Environment Not available — — — Yorkshire 154.3 191.6 177.6 202.9 177.0 Food and 1605: Food products 10th 2009 OECD and the drink out of Humber 25 Northern 18.2 29.1 25.9 37.5 36.1 Health care Not available — — — Ireland and Not 469.9 363.3 352.2 368.9 378.1 bioscience Identifiable Information 3000: Office 2nd out 2009 OECD Outside UK 182.2 161.5 254.2 242.4 245.0 and machinery and of 20 communication computers Scotland 171.6 205.3 229.8 270.5 266.1 technologies Wales 58.3 71.1 67.2 79.3 81.8 3200: Radio, TV, 6th out 2009 OECD 2,552.3 2,855.1 2,955.9 3,275.2 3,077.5 communication of 23 equipment 6400: Post and 1st out 2009 OECD Science and Research spending follows the Haldane telecommunications of 22 Principle which means that decisions on individual research 7200: Computer 6th out 2009 OECD proposals are best taken by researchers themselves through activities of 23 peer review and not Ministers. The coalition Government support this principle as vital for the protection of Overseas Trade: India academic independence and excellence. Research Council funding is dedicated to supporting excellent research, Laura Sandys: To ask the Secretary of State for irrespective of its geographical location. That approach Business, Innovation and Skills what estimate he has maintains the UK’s position against international made of changes in the levels of (a) exports and competition. (b) inward investment arising from UK Trade and The overall profile of expenditure shows a sharp Investment’s work in Mumbai, India, in each year increase in expenditure for 2009-10 and a reduction in between 1997 and 2011. [90250] 2010-11. This was caused primarily by the previous Government’s policy to accelerate capital expenditure, Mr Prisk: It is not possible to quantify the impact while maintaining the planned budget envelope. specifically of UK Trade & Investment’s Mumbai office For the new spending review period which started in on overall bilateral trade and investment levels for the 2011 -12 funding for science and research programmes period in question. Between 1997 and 2010 (the last has been protected in cash terms demonstrating the year for which full statistics are available), the value of Government’s commitment to rebalancing the economy trade in goods and services rose from £4.19 billion to and promoting economic growth. £14.23 billion. No records for inward investment from India were published in 1997 and the last year for which complete figures are available is 2009. During this (1998- 2009) period inward investment flows increased from £94 million to £1.84 billion. Trade Promotion

Science: Finance Laura Sandys: To ask the Secretary of State for Business, Innovation and Skills what steps his Chris Ruane: To ask the Secretary of State for Department plans to take to ensure that (a) small and Business, Innovation and Skills how much his medium-sized businesses, (b) the creative industries Department spent from its funding for science and and (c) the food and drink industry are adequately research programmes in each region in each year for represented on the British Business Ambassador’s which figures are available. [88097] Network. [90230] 117W Written Answers23 JANUARY 2012 Written Answers 118W

Mr Prisk: Business ambassadors act as powerful engineering, environment, marine and defence, chemicals, advocates of the UK—they are some of our top business sustainable development, oil and gas, mining, agri-tech people and academics, many of whom have built successful and power. global businesses from small company beginnings. Their UKTI currently recruits Catalyst members on the responsibilities go far beyond representing their current basis that their details will be held confidentially. We are business roles or interests and they are expected to considering the development of a public listing. represent the sector in which they have built their expertise and knowledge. They have a very clear remit, which UK Trade and Investment includes: promoting the UK economy and the UK business environment; Laura Sandys: To ask the Secretary of State for lobbying to remove barriers to market access; Business, Innovation and Skills what strategy UK Trade and Investment has put in place to increase its leading events for small and medium-sized enterprises (SMEs); work with small and medium-sized businesses. [90235] and helping UK SMEs to access overseas business opportunities. Mr Prisk: UKTI’s strategy, “Britain Open for Business”, The Business Ambassador Network not only includes recognises the need to encourage many more small and a wide range of expertise and experience, but also a new medium-sized enterprises (SMEs) to export as central generation of entrepreneurs and business leaders. In the to the Government’s drive for growth through international case of the creative industries and food and drink trade. The Government’s autumn statement allocated sectors, we have experts in the form of Sir John Sorrell increased funding for UK Trade and Investment (UKTI), (chairman, London Design Festival) and Sir David to help it double its client base to 50,000 SMEs per Reid (former chairman, Tesco). year by 2015. This will include a new focus on helping 1,500 more mid-sized businesses (MSBs) to export each Although it is not possible to cover every individual year and bringing the annual number of MSBs supported sub-sector, we regularly review the network with the to 3,000 each year by 2015. aim of expanding its overall sectoral coverage. UKTI will not work in isolation to deliver this ambition. We are developing new delivery partnerships with Laura Sandys: To ask the Secretary of State for professional and intermediary organisations such as Business, Innovation and Skills what mechanism his banks, accountants and lawyers to raise awareness of Department has put in place to assess the effectiveness the benefits of exporting to SME businesses. The Prime of The British Business Ambassadors Network. [90243] Minister launched a national export challenge at a conference in London on 10 November 2011, entitled Mr Prisk: Given the nature of the business ambassadors’ “Exporting for Growth”, which brought together around role, it is difficult to measure the specific impact of their 400 intermediaries. At that event the Minister of State involvement in a particular campaign. However in trying for Trade and Investment my noble Friend the Lord to measure their impact, we have chosen to assess the Green, launched a national campaign to highlight the network’s effectiveness in communicating core messages valuable role professionals and organisations closest to about the UK, and promoting UK excellence to as UK firms can have in encouraging them to pursue many potential customers and inward investors as possible. growth through exports. Similar events are now being This includes where appropriate media coverage and held throughout the UK. Separately, successful partnership feedback from UKTI trade teams overseas on events; marketing agreements, or memorandum of understandings and from discussion with the business ambassadors (MOUs), are in place with Alibaba, Entrepreneur Country, themselves to ensure we learn from each event and Telegraph and Companies House, which are already tailor activities to the strengths and interests of each delivering client marketing opportunities. business ambassador. In addition to the increased outreach, the additional A summary list of activities undertaken by the Business resources will allow us to increase the level of support Ambassadors Network throughout 2011 will be placed for UK companies in the regions and in high growth in the Libraries of the House. A copy will also be markets. This will enable us to reach more businesses, published at: providing access to the range of services we have to offer, including: access to a local International Trade http://www.ukti.gov.uk/uktihome/aboutukti/keypeople/ businessambassadors.html Advisor; specialist help with tackling cultural and language issues; advice on how to go about market research; and ongoing support to help businesses continue to develop Laura Sandys: To ask the Secretary of State for their export potential and enter new and more sophisticated Business, Innovation and Skills what the (a) name, markets. Once the initial research has been done, UKTI (b) country of origin and (c) sector expertise is of can assist businesses with information, contacts, practical each member of the Catalyst UK network. [90244] assistance, advice, mentoring and ongoing help before they go overseas and while they are there. Mr Prisk: There are currently 128 Catalyst members, Finally, encouraging more SMEs to trade in high of which 76 are UK based and 52 overseas. We have growth markets is central to our strategy. To aid this we members of many nationalities including British (80), are planning high impact events across the UK to raise Indian (12), US (eight), Chinese (seven), South African awareness about high growth and emerging markets. (four) and French (three). These events will be delivered in partnership with the Principal sectors that members represent are ICT Asian Task Force, Latin America and Partner Middle (38), health care (21), creative industries (21) and financial East initiatives. While the UK Indian Business Council services (18). The remaining 30 cover sectors which and the China Britain Business Council will also be include aerospace, professional and business services, undertaking a programme of outreach events. 119W Written Answers23 JANUARY 2012 Written Answers 120W

Laura Sandys: To ask the Secretary of State for within their sectors; scoping new export opportunities; Business, Innovation and Skills what steps his hosting inward VIP visitors; and contributing towards Department is taking to attract business leaders into government-to-government dialogue. roles in UK Trade and Investment. [90247] This is distinct from the role of Minister-led geographical task forces, which are focused on a particular area of Mr Prisk: UK Trade and Investment’s (UKTI) May the world, such as Asia or the middle east. Both the 2011 Strategy, ’Britain Open for Business’, set out how sector advisory groups and geographical task forces are UKTI will develop a more entrepreneurial culture which UK bodies, as distinct from the many joint bodies makes better use of private sector expertise and talent. UKTI organises with partner countries around the Over the last year, UKTI has recruited senior figures world, such as the Joint Economic and Trade Committees with extensive business experience to the posts of head with China, India and Brazil. of UKTI’s new Strategic Relations Team; CEO of Tech City Investment Organisation; heading up UKTI’s UK Trade and Investment: Manpower operation in the United States; and to lead UKTI’s efforts to help 50,000 small and medium-sized enterprises Laura Sandys: To ask the Secretary of State for into export markets each year. Further senior vacancies Business, Innovation and Skills how many staff UK will be advertised in due course. Trade and Investment employs in each country in which it has a presence. [90252] Laura Sandys: To ask the Secretary of State for Business, Innovation and Skills what criteria UK Trade Mr Prisk: UKTI is not an employer in its own right; and Investment uses to calculate its budgets for for the majority of its human resource requirements it different international markets. [90248] draws on civil service staff employed by one or other of its two parent Departments—the Department for Business, Mr Prisk: UK Trade and Investment (UKTI) uses Innovation and Skills (BIS), the Foreign and various criteria to plan the deployment of resources in Commonwealth Office (FCO), and staff from its private international markets. UKTI adopts a two stage approach, sector contractors. which is set out as follows. The latest figures available for the number of full-time (i) The identification of international markets using an equivalent (FTE) people working to UKTI objectives in assessment of: each market are set out in the following table: the size and potential for growth, the Government’s assessment of their strategic political and Market Total FTEs economic importance, Algeria 4.1 the security situation, Angola 3.2 the strength of scientific, technical and research base, Argentina 8.1 the performance of UK businesses relative to competitors, Australia 30.08 the market match with UK capability, and Austria 6.2 the presence of active local partners keen to strengthen trading Azerbaijan 2.07 links with the UK. Bahrain 4.2 (ii) The allocation of budgets based on: Bangladesh 3.9 Barbados 3.2 the resources available, Belgium 16.58 the relative importance of market and potential for growth, Bosnia and Herzegovina 2.05 the need for the Government to help British business interests, Brazil 38.43 the demand for our services from UK businesses, Brunei 1.55 an evaluation of the productivity of our teams, Bulgaria 5.1 how we can deliver more through private sector partners, and Canada 31.05 the network shift of FCO resources to emerging powers announced Chile 5 on 11 May 2011, Official Report, column 1166, by the Secretary China 92.48 of State for Foreign and Commonwealth Affairs, my right hon. Colombia 5.1 Friend the Member for Richmond (Yorks) (Mr Hague). Costa Rica 2 Croatia 3.1 Laura Sandys: To ask the Secretary of State for Cuba 2.1 Business, Innovation and Skills what role sector group Cyprus 3.05 task forces have within UK Trade and Investment. Czech Republic 9.45 [90249] Denmark 10.32 Dominican Republic 2.05 Mr Prisk: UK Trade & Investment (UKTI) has Ecuador 1.7 established 18 sector advisory groups consisting of around Egypt 11.1 200 business representatives from some of the UK’s Estonia 5.6 major companies as well as small and medium-sized Ethiopia 2.1 enterprises with a strong international focus. These Finland 7.81 groups form an important link to their industries, providing France 37.3 business input, validation and challenge to UKTI’s Germany 39.53 activities. Members give a great deal of their time and Ghana 4.1 energy on a pro-bono basis, advising on UKTI’s priorities 121W Written Answers23 JANUARY 2012 Written Answers 122W

Market Total FTEs Market Total FTEs

Greece 7.2 Venezuela 3.9 Hong Kong (SAR) 23.85 Vietnam 14.2 Hungary 7.2 Total FTEs 1,249.19 Iceland 2.07 India 86.75 Indonesia 10.1 UK Trade and Investment: PA Consulting Group Iraq 5.15 Ireland 8.5 Laura Sandys: To ask the Secretary of State for Israel 7.58 Business, Innovation and Skills what services PA Italy 22.55 Consulting provides through its contract with UK Jamaica 2.08 Trade and Investment. [90181] Japan 47.15 Jordan 5.05 Mr Prisk: UK Trade & Investment (UKTI) contract Kazakhstan 5.12 with PA Consulting for the provision of business specialists Kenya 4.1 to support UK small and medium-sized enterprises to Korea (South) 20.35 understand and access international trade opportunities. Kuwait 6.9 In addition, UKTI contract with PA Consulting to Latvia 3.1 deploy investment advisers across England (with the Lebanon 3.1 exception of London who have their own arrangements) Libya 1 to deliver inward investment support services to business. Lithuania 3.15 This delivery contract replaced the inward investment Luxembourg 1 services previously delivered by the network of regional development agencies. Malaysia 17.4 Mexico 30.6 Morocco 4.9 UK Trade and Investment: Work Experience Netherlands 8.9 New Zealand 6.38 Luciana Berger: To ask the Secretary of State for Nigeria 13.1 Business, Innovation and Skills how many unpaid or Norway 10.27 expenses-only interns have been employed by UK Oman 9.2 Trade and Investment since May 2010. [91372] Pakistan 5.57 Palestinian Territories 1.05 Mr Davey: UK Trade and Investment (UKTI) is not Panama 2.15 an employer in its own right; for the majority of its human resource requirements it draws on civil service Peru 4.1 staff employed by one or other of its two parent Philippines 7.37 Departments—the Department for Business, Innovation Poland 16.28 and Skills and the Foreign and Commonwealth Office. Portugal 10.2 Qatar 9 Any interns working for UKTI do so under the Romania 9.48 graduate intern scheme and are fully paid. Our records indicate that we do not have any interns working in Russia 31.31 UKTI who are either unpaid or paid expenses only. Saudi Arabia 24.1 Serbia 3.45 Singapore 18.47 Slovakia 4.1 INTERNATIONAL DEVELOPMENT Slovenia 2.05 South Africa 21.35 Spain 28.2 Departmental Apprentices Sri Lanka 2.7 Sudan 1.1 Mr Umunna: To ask the Secretary of State for Sweden 12.81 International Development how many apprentices Switzerland 10.5 were employed by each public body for which his Syria 5.1 Department is responsible between (a) April 2010 and Taiwan 17.5 March 2011 and (b) April and December 2011; and Tanzania 2.1 how many apprenticeships he expects each public body Thailand 12.67 to sponsor between (i) January and March 2012 and (ii) Trinidad and Tobago 2.98 April and March 2013. [88721] Tunisia 2.7 Mr Duncan: The public bodies for which the Department Turkey 19.9 for International Development is responsible did not Uganda 2.1 employ any apprentices between April 2010 and December Ukraine 3.4 2011. United Arab Emirates 24.3 United States 125.5 The Department does not expect these public bodies to sponsor apprenticeships in the future. 123W Written Answers23 JANUARY 2012 Written Answers 124W

Mr Umunna: To ask the Secretary of State for Developing Countries: Famine International Development how much funding his Department allocated to sponsor apprenticeships in his Dr Alasdair McDonnell: To ask the Secretary of State Department in (a) 2010-11 and (b) 2011-12; and how for International Development what assessment he has much such funding he plans to allocate in 2012-13. made of the Save the Children Charter to End Extreme [89142] Hunger. [90594]

Mr Duncan: The following funding was allocated to Mr Duncan: The Government support the aim of sponsor apprenticeships in the Department for International the Charter to End Extreme Hunger, which is to Development: reduce the likelihood of crises such as that currently affecting the Horn of Africa taking place in the future. Funding for apprenticeships An assessment conducted by the Department for April to March each year (£) International Development concluded that of the charter’s (a) 2010-11 20,000 13 recommendations, the Government are already carrying (b) 2011-12 10,000 out seven and considering another two. The four remaining — 2012-13 1— recommendations we deem to be unworkable. The 1 Not yet allocated. International Development Secretary wrote in November to the non-governmental organisations behind the charter Mr Umunna: To ask the Secretary of State for to let them know that therefore the Government would International Development how many apprentices not formally endorse the charter. were employed by his Department between (a) April In at-risk areas such as the Horn, the Government 2010 and March 2011 and (b) April and December are already supporting the strengthened warning systems, 2011; and how many apprenticeships his Department resilience to disasters and stability that the charter calls will sponsor between (i) January and March 2012 and for. In Ethiopia, for example, we are helping 7.8 million (ii) April and March 2013. [89211] people to break their need for emergency aid by providing support before food insecurity reaches famine levels. Mr Duncan: The Department for International The Secretary of State for International Development, Development did not recruit any apprentices between my right hon. Friend the Member for Sutton Coldfield April 2010 and December 2011. However, it did sponsor (Mr Mitchell), has also mobilised a group of high level an apprenticeship for a current member of staff. political champions to make sure that much greater The Department has confirmed sponsorship of two attention is given to disaster resilience in order to reduce in-service apprenticeships between January and March the likelihood of similar crises taking place in the 2012. Plans for April 2012 to March 2013 will be future—both in the Horn of Africa and elsewhere. finalised following end of year personal development reviews. Ms Ritchie: To ask the Secretary of State for International Development (1) what his policy is on the Departmental Visits Abroad Save the Children Charter to End Extreme Hunger; [90610] Tony Cunningham: To ask the Secretary of State for (2) if he plans to hold discussions with International Development what the names are of representatives of Save the Children on its Charter to people other than officials and political advisers who End Extreme Hunger; [90611] have accompanied him and his Ministers on official (3) what representations he has received on the Save visits overseas since May 2010. [90392] the Children Charter to End Extreme Hunger. [90612] Mr Andrew Mitchell: The Department for International Development Ministers are accompanied on official Mr Duncan: The Government support the aim of the overseas visits by Government officials and special advisers Charter to End Extreme Hunger, which is to reduce the only. This information is published every quarter, in likelihood of crises such as that currently affecting the accordance with Cabinet Office guidelines. As is standard horn of Africa taking place in the future. This aim was practice for overseas visits, journalist may sometimes reflected in the commitments made in the Government’s travel with the Minister at their own expense. Humanitarian Policy, published in September 2011. Analysis conducted by the Department for International Developing Countries: Agriculture Development concluded that the Government are carrying out the substantive points of the charter already but Heidi Alexander: To ask the Secretary of State for that some of the recommendations are unworkable. The International Development what discussions officials Secretary of State for International Development, my from his Department have had on the development of right hon. Friend the Member for Sutton Coldfield (Mr new agreement mechanisms for (a) food insecurity and Mitchell), wrote in November to the non-governmental (b) agricultural development in the developing world organisations (NGOs) behind the charter, including when the L’Aquila agreement expires in 2013. [90607] Save the Children, to let them know that the Government support their aims but would not formally endorse the Mr O’Brien: UK officials will hold discussions with charter. their Aquila Food Security Initiative and other G20 This letter was in response to an invitation from the country counterparts on how best to maintain support NGOs behind the charter inviting the Government to for efforts to address food insecurity and promote study their recommendations. As well as this, the Secretary agriculture sector growth in the run up to the US G8 of State for International Development has received summit in Chicago in May this year. correspondence about the charter from Members of 125W Written Answers23 JANUARY 2012 Written Answers 126W

Parliament and members of the public. The issue was have died due to drought-related causes, over half of also discussed at the Department for International whom were children under five. The full extent of death Development’s quarterly meeting with the British Overseas caused by the drought may never be known. Aid Group, of which, Save the Children is a member. British support has already helped triple the number of people receiving food each month and had a major East Africa: Droughts role in reducing cases of measles by almost half. So far, British aid has: Jonathan Ashworth: To ask the Secretary of State for fed 2.4 million people, including nearly 500,000 children and International Development what recent assessment he pregnant or breastfeeding mothers who are receiving supplementary has made of the famine in Somalia; and if he will make nutritional packages; a statement. [90583] vaccinated 1.3 million people against measles and 680,000 against polio; Mr Andrew Mitchell: There has been a fragile provided 400,000 doses of anti-malarial medication in Somalia; improvement in the situation over the last few months. provided 1.2 million people with clean water and sanitation The number of people affected by the famine and at equipment such as latrines; and risk of imminent death has reduced from 750,000 to given 200,000 people seeds and fertilizer to enable them to 250,000—in part thanks to the dramatic scale-up of plant crops now conditions are improving. relief assistance led by the UK and others. However, In addition over the past month, a further 9,000 tonnes tens of thousands of people have died, four million of British-funded food supplies and lifesaving medicines people remain in need of emergency assistance, and the have arrived, enough to feed 800,000 people and provide current challenges to humanitarian access mean that a medical treatment for 75,000. further deterioration is possible. The Department for International Development is finalising planned early UK contributions towards the EU Law United Nations’ led 2012 Somalia humanitarian Consolidated Appeal, to support further assistance efforts where possible. John Mann: To ask the Secretary of State for International Development how many of the regulations his Department brought into force through Heidi Alexander: To ask the Secretary of State for (a) primary legislation, (b) secondary legislation and International Development what discussions his (c) other means originated from proposals by the Department has had on the UK’s contribution to the European Commission in (i) 2010 and (ii) 2011. [88973] 2012 Consolidated Appeals for Somalia, Kenya and Djibouti. [90603] Mr O’Brien: The Department for International Mr Andrew Mitchell: The Department for International Development has not brought into force any legislation Development’s support to the consolidated appeals this that has originated from proposals by the European year will build on that provided in 2011. Since July, Commission in 2010 or 2011. British aid in Somalia has contributed to lifting 500,000 people out of famine and has directly reached 130,000 Priti Patel: To ask the Secretary of State for people with food, treated 15,000 starving children, International Development which EU (a) directives, vaccinated over a million children against measles and (b) regulations and (c) other legislation affecting his provided seeds, fertiliser and vaccinations for livestock Department require transposition into UK law; and benefiting over 75,000 farmers and herders. In Kenya, what estimate he has made of the cost to (i) the public since July British aid has supported the distribution of purse and (ii) the private sector of such measures. food to prevent malnutrition to 260,000 children and [89699] pregnant or breastfeeding mothers in drought affected areas; and in the Dadaab refugee camps provided access Mr O’Brien: The Department for International to clean water for 90,000 people and sanitation for Development does not have any EU directives, regulations 66,000. or other legislation that require transposition into UK My Department is currently finalising planned early law. contributions towards the 2012 Somalia Consolidated Appeal, which I expect to announce shortly. We are also Mr Thomas: To ask the Secretary of State for designing new multi-year nutrition and refugee programmes International Development whether his Department in Kenya, which are in line with the Kenya Consolidated holds information on the EU regulations in its Appeal. policy areas of responsibility which have not been implemented in (a) France and (b) Germany; on Angus Robertson: To ask the Secretary of State for which dates those regulations became EU law; and if International Development what recent assessment he he will make a statement. [90699] has made of the effects of the recent famine in the Horn of Africa; and if he will make a statement. Mr O’Brien: My Department does not hold information [90615] about the implementation of regulations in other member states. In the area of International Development policy Mr Andrew Mitchell: Based on data collected by the there are no EU regulations which national authorities UN, latest UK estimates show that, from April to in EU member states have responsibility for applying August 2011, between 50,000 and 100,000 people may directly in their country. 127W Written Answers23 JANUARY 2012 Written Answers 128W

Mr Thomas: To ask the Secretary of State for Migration: Climate Change International Development which EU regulations his Department has not implemented; on what date the Jack Dromey: To ask the Secretary of State for regulations became EU law; and if he will make a International Development whether his Department statement. [90714] has any plans to respond to the Government Office for Science’s Foresight report entitled Migration and Mr O’Brien: In the area of International Development Global Environmental Change. [89091] policy there are no EU regulations that require implementation in the UK. Mr O’Brien: The Department for International Development (DFID) welcomes the publication of the Food Aid: East Africa Foresight report on Migration and Global Environmental Change. The report has important implications for Fabian Hamilton: To ask the Secretary of State for DFID’s work in three areas. First, internal migration is International Development how much Government aid a normal part of the livelihoods strategies of poor was given to East African countries to alleviate the people in developing countries to enable them to adapt food shortages in the last financial year for which to environmental change. Second, much of this movement will be to low-lying coastal cities which increases the figures are available. [90007] strain on resources and the vulnerability of poor people to catastrophic events. Third, many poor people will Mr O’Brien: The Department for International remain trapped in areas subject to the effects of Development (DFID) provided a total of £48.35 million environmental changes and unable to adapt through in aid to East African countries to alleviate food shortages internal migration, who will require additional support in the financial year 2010-11. to enable them to become resilient to these changes. A copy of a table showing the breakdown of aid given to East African countries will be submitted to the Nigeria: Police House Library. Ian Lucas: To ask the Secretary of State for Fabian Hamilton: To ask the Secretary of State for International Development what support the Government International Development whether he is taking steps have provided for the training of police in Nigeria. to avert a food crisis in West Africa. [90008] [90557]

Mr O’Brien: The EC Humanitarian Office (ECHO) Mr Andrew Mitchell: Through the Justice for All estimates that 6.8 million people are currently food programme, the Department for International Development insecure across the Sahel. This is due to a decline in the provides training to the Nigerian police force. The 2011 harvest, combined with unseasonably high cereal programme assists the Nigerian police on community prices across West Africa. policing, better management and improved oversight. In response to early warning signals, the UN released The Justice for All programme started in November the sum of £7.8 million from the Central Emergency 2010 and runs to 2015. The programme has a strong Response Fund (CERF) to address needs in Niger and focus on security aspects affecting women and girls. Chad. The UK is the largest donor to the CERF, and the UK’s share of this is £1.9 million. Sahel: Agriculture The Department for International Development (DFID) has been monitoring the food security situation in a number of countries in West Africa over the past few Heidi Alexander: To ask the Secretary of State for months. DFID officials have also been closely liaising International Development what recent assessment his with their opposite numbers in other governments, and Department has made of the risk of a food crisis with officials from the Red Cross, the United Nations developing in the Sahel; and what steps his Department and leading non-governmental organisations. is taking to counter any such risk. [90604] DFID officials will be visiting the region later this Mr O’Brien: The EC Humanitarian Office (ECHO) month to assess the current situation. estimates that 6.8 million men, women and children across the Sahel region of west Africa are at risk of Global Agriculture and Food Security Programme severe food shortages in the coming months. This is due to a decline in the 2011 harvest, combined with Heidi Alexander: To ask the Secretary of State for unseasonably high cereal prices across west Africa. International Development whether the UK will make In direct response to these early warning signals, my a contribution to the Global Agriculture and Food Department has announced an urgent package of support Security Programme. [90606] to help mitigate the crisis. British aid will help treat 68,000 severely malnourished children in Niger, Chad Mr O’Brien: Ministers are considering whether providing and Mali and provide animal feed and vaccinations to funds for the Global Agriculture and Food Security 30,000 families to keep their livestock alive. Programme would represent value for money and make In addition, British aid is already reaching those in a significant, additional contribution to our support for need through the release of £7.8 million from the United agriculture and food and nutrition security in developing Nation’s Central Emergency Response Fund (CERF)—to countries. which Britain is a major contributor. 129W Written Answers23 JANUARY 2012 Written Answers 130W

DFID officials will continue to monitor the situation Niger as one the priority countries. PPCR is supporting closely and will liaise closely with their opposite numbers a $63 million programme in Niger to improve the in other governments, and with officials from the Red resilience of the populations and production systems to Cross, the United Nations and leading non-governmental climate change and variability, in order to increase organisations. national food security. DFID officials will be visiting the region later this In addition to the aforementioned work on resilience, month to further assess the current situation. and in direct response to early warning signals of a looming food crisis in the region, my Department has Heidi Alexander: To ask the Secretary of State for announced an urgent package of support to help mitigate International Development what steps his Department the crisis. is taking to increase the livelihood resilience of (a) rural British aid will help treat 68,000 severely malnourished populations and (b) smallholders in the Sahel. [90605] children in Niger, Chad and Mali and provide animal feed and vaccinations to 30,000 families to keep their Mr O’Brien: My Department is currently preparing a livestock alive. Sahel Resilience Strategy. This was part of a commitment DFID officials will continue to monitor the situation made in response to the Humanitarian Emergency closely and will be visiting the region later this month to Response Review (HERR) last year to champion the further assess the situation. development of regional resilience plans where appropriate and with those best placed to do so (particularly in the Trade Promotion multilateral system), starting with the Sahel and the Caribbean. The Department for International Development Tony Cunningham: To ask the Secretary of State for (DFID) does not have bilateral development programmes International Development what meetings (a) he and in the Sahel, but works through a regional and multilateral (b) Ministers in his Department have had with mechanism. representatives of foreign governments including the In terms of support for livelihoods resilience in the promotion of the business interests of particular Sahel, the UK is already funding the Comprehensive companies since May 2010. [90393] Africa Agriculture Development Programme (CAADP), which is promoting agricultural-led economic growth Mr Andrew Mitchell: Details of all Ministers external to reduce poverty. A number of Sahelian countries have meetings are available on the Department for International prepared investment plans for CAADP and the programme Development website: has an important role to play building the resilience of http://www.dfid.gov.uk/About-DFID/Our-organisation1/ smallholders. DFID is also a major funder of the Pilot Ministers/ Programme for Climate Resilience (PPCR), which includes and are published every quarter in the normal way.

1MC Ministerial Corrections23 JANUARY 2012 Ministerial Corrections 2MC

IEP Programme Ministerial Correction £ million Cost incurred Costs June 2010 to October 2011 Monday 23 January 2012 incurred to September to March May 2010 2011 2012 forecast

Clifford Chance 0.002 0 0 TRANSPORT Congress 0.012 0 0 Centre Departmental Consultants Ernst and 0.2 0 0 Young Jonathan Ashworth: To ask the Secretary of State for First Class 0.006 0 0 Transport which consultants and advisers her Department Partnership has employed in respect of the (a) Thameslink programme, Freshfields 5.6 1.0 1.1 (b) Thameslink rolling stock procurement and (c) Intercity Jim Standen 0.01 0 0 Express programme; how much she has budgeted in Associates respect of each such contractor; and how much each Manpower 0 0.13 0.25 contractor has invoiced to date. [76031] Mott 11.8 0.48 0.70 MacDonald [Official Report, 23 November 2011, Vol. 536, c. 411-12W.] MWB Business 0.002 0 0 Letter of correction from Mrs Theresa Villiers: Exchange An error has been identified in the written answer Nichols 3.1 0.09 0.02 given to the hon. Member for Leicester South (Jonathan PWC 2.5 0.16 0.8 Ashworth) on 23 November 2011. The full answer given QCs 0 0.01 0.01 was as follows: Reed 0.06 0.03 0 Employment Mrs Villiers [holding answer 21 October 2011]: The SDG 1.2 0.13 0 information requested can be found as follows. Willis 0.01 0.005 0.009 Total 24.81 2.04 2.88 Thameslink Rolling Stock Project £ million Cost incurred Detailed spending plans for years beyond the financial Costs June 2010 to October 2011 year 2011-12 have not yet been agreed. incurred to September to March May 2010 2011 2012 forecast The correct answer should have been: Arup 4.0 1.7 0.5 Freshfields 6.6 1.9 1.3 Mrs Villiers [holding answer 21 October 2011]: The PWC 2.5 0.9 0.6 information requested can be found as follows. Interfleet 1.5 0.1 0 Thameslink Rolling Stock Project Booz 0.5 0.3 0.1 £ million Total 15.1 4.9 2.5 Cost incurred Costs June 2010 to October 2011 Thameslink Programme incurred to September to March £ million May 2010 2011 2012 forecast Cost incurred Costs June 2010 to October 2011 Arup 4.0 1.7 0.5 incurred to September to March Freshfields 6.6 1.9 1.3 May 2010 2011 2012 forecast PWC 2.5 0.9 0.6 Atkins 0.5 0.1 0.1 Interfleet 1.5 0.1 0 EC Harris 0.2 0.1 0.25 Booz 0.5 0.3 0.1 SDG 0 0.1 0.03 Total 15.1 4.9 2.5 Nichols 1.4 0.3 0.04 Thameslink Programme Bovis Lend Lease 0.7 0.4 0.09 £ million Consulting Cost incurred Eversheds 0.07 0.01 0 Costs June 2010 to October 2011 Willis 0.036 0.004 0.01 incurred to September to March Total 2.906 1.014 0.52 May 2010 2011 2012 forecast

IEP Programme Atkins 0.5 0.1 0.1 £ million EC Harris 0.2 0.1 0.25 Cost incurred SDG 0 0.1 0.03 Costs June 2010 to October 2011 Nichols 1.4 0.3 0.04 incurred to September to March Bovis Lend 0.7 0.4 0.09 May 2010 2011 2012 forecast Lease Consulting Barkers HR 0.016 0 0 Advertising Eversheds 0.07 0.01 0 Capita 0.3 0.008 0 Willis 0.036 0.004 0.01 Resourcing Total 2.906 1.014 0.52 3MC Ministerial Corrections23 JANUARY 2012 Ministerial Corrections 4MC

IEP Programme IEP Programme £ million £ million Cost incurred Cost incurred Costs June 2010 to October 2011 Costs June 2010 to October 2011 incurred to September to March incurred to September to March May 2010 2011 2012 forecast May 2010 2011 2012 forecast

Barkers HR 0.016 0 0 Mott 11.8 0.48 0.70 Advertising MacDonald Capita 0.4 0.008 0 MWB Business 0.002 0 0 Resourcing Exchange Clifford Chance 0.002 0 0 Nichols 3.1 0.09 0.02 Congress 0.012 0 0 PWC 2.5 0.16 0.8 Centre QCs 0 0.01 0.01 Ernst and 0.2 0 0 Reed 0.06 0.03 0 Young Employment First Class 0.006 0 0 SDG 1.2 0.13 0 Partnership Willis 0.01 0.005 0.009 Freshfields 5.6 1.0 1.1 Total 24.91 2.04 2.88 Jim Standen 0.01 0 0 Associates Manpower 0 0.13 0.25 Detailed spending plans for years beyond the financial year 2011-12 have not yet been agreed. ORAL ANSWERS

Monday 23 January 2012

Col. No. Col. No. WORK AND PENSIONS ...... 1 WORK AND PENSIONS—continued Child Poverty ...... 13 Topical Questions ...... 18 Disabled People (Residential Training) ...... 7 Troubled Families (Employment)...... 17 Health and Safety Regulation ...... 5 Universal Credit...... 10 Pension Funds (Charges) ...... 16 Universal Credit (Costs to Small Businesses) ...... 11 Pensions...... 14 Universal Credit (IT Systems)...... 8 Personal Independence Payment...... 4 Work Programme (Performance Data)...... 1 Sickness Benefit (UK Citizens Abroad) ...... 9 Workfare Scheme ...... 12 Social Fund (Closure) ...... 15 Youth Contract ...... 16 WRITTEN MINISTERIAL STATEMENTS

Monday 23 January 2012

Col. No. Col. No. EDUCATION...... 3WS JUSTICE...... 4WS School Travel Pathfinder Schemes...... 3WS EU Treaties ...... 4WS TRANSPORT ...... 5WS Maritime Training Scheme...... 5WS HEALTH...... 3WS Healthy Lives, Healthy People: Improving TREASURY ...... 1WS Outcomes and Supporting Transparency ...... 3WS ECOFIN...... 1WS WRITTEN ANSWERS

Monday 23 January 2012

Col. No. Col. No. BUSINESS, INNOVATION AND SKILLS...... 103W CABINET OFFICE—continued ACAS ...... 103W Voluntary Work: Conditions of Employment ...... 46W ACAS: Finance...... 104W Working Hours ...... 46W Bankruptcy ...... 104W Business: Investment ...... 105W COMMUNITIES AND LOCAL GOVERNMENT.. 49W Business: Third Sector...... 106W Christmas...... 49W Consumers: Credit ...... 107W Council Housing: Repairs and Maintenance...... 49W Dementia: Research ...... 108W Council Tax: Sefton ...... 49W Departmental Manpower...... 108W Electoral Register: Finance ...... 50W Departmental Regulation...... 108W EU Grants and Loans...... 50W EU Law...... 109W EU Law...... 52W Exports ...... 109W European Regional Development Fund...... 54W Flexible Working...... 109W Fire Services: East of England ...... 54W High Street Support Scheme ...... 110W First Time Buyers ...... 55W Higher Education: Finance ...... 111W Housing: Wiltshire ...... 56W Higher Education: Yorkshire and the Humber...... 111W Local Government Finance: Kent...... 56W Insolvency...... 111W Local Government: Pensions ...... 57W Local Enterprise Partnerships...... 112W Mobile Homes ...... 57W Overseas Trade...... 112W Non-domestic Rates: Sefton...... 58W Overseas Trade: India ...... 115W Science: Finance...... 115W CULTURE, MEDIA AND SPORT ...... 1W Trade Promotion...... 116W Advertising: Finance...... 1W UK Trade and Investment...... 118W Broadband: EU Grants and Loans ...... 1W UK Trade and Investment: Manpower ...... 120W Diamond Jubilee 2012...... 1W UK Trade and Investment: PA Consulting Group . 122W HMS Ark Royal...... 2W UK Trade and Investment: Work Experience...... 122W Listed Places of Worship Grant Scheme ...... 2W Sports ...... 2W CABINET OFFICE...... 41W Television: Advertising...... 2W Big Society Capital...... 41W Third Sector...... 3W Charitable Donations...... 42W EU Law...... 42W DEFENCE...... 3W Families ...... 42W Armed Forces: Education ...... 3W Shift Work...... 44W Arms Trade...... 4W Social Impact Bonds ...... 45W Entertainers: Afghanistan ...... 4W Third Sector...... 46W Ex-servicemen...... 4W Col. No. Col. No. DEFENCE—continued HEALTH...... 64W HMS Victory ...... 5W Air Ambulance Services...... 64W Military Afloat Reach and Sustainability Air Ambulance Services: Finance ...... 64W Programme: Tankers...... 5W Benzodiazepines...... 64W Rescue Services ...... 5W Christmas...... 65W Departmental Air Travel ...... 65W DEPUTY PRIME MINISTER ...... 6W Diabetes: Screening...... 66W Electoral Register...... 6W Drugs: Imports ...... 66W Dystonia: Health Services ...... 66W EU Law...... 67W EDUCATION...... 6W Genito-urinary Medicine ...... 67W Academies Act 2010...... 6W Health Professions ...... 67W Academies: Faith Schools ...... 7W Health Professions: Finance...... 68W Academies: Primary Education...... 8W Health Services ...... 68W Education: Children...... 8W Health Services: Lancashire ...... 68W Education: Young People...... 8W Liposonal Dioxorubicin...... 69W Financial Services: Education ...... 9W Mental Health: Employment ...... 70W Free School Meals...... 9W Mental Health Services ...... 69W History: GCSE...... 10W Mental Health Services: Ex-servicemen ...... 69W Primary Education: Teachers ...... 10W Neurology ...... 71W Pupils: Disadvantaged...... 10W NHS Foundation Trusts: Advertising...... 71W Schools: Liverpool ...... 11W NHS: Parking ...... 72W Secondary Education: Gifted Children ...... 12W Pancreatic Cancer ...... 72W Sixth Form Colleges: Safety ...... 12W Paroxetine ...... 73W Skerton Community Primary School ...... 12W Schizophrenia ...... 74W Social Services: Kent...... 74W ENERGY AND CLIMATE CHANGE ...... 13W Suicide ...... 75W Carbon Sequestration: EU Grants and Loans ...... 13W University Hospitals of Morecambe Bay NHS Christmas...... 13W Foundation Trust...... 75W Environment Protection: Employment...... 13W EU Law...... 14W HOME DEPARTMENT...... 75W European Investment Bank...... 15W Christmas...... 75W Homesun Holdings ...... 15W EU Law...... 76W Immigration: Appeals ...... 76W ENVIRONMENT, FOOD AND RURAL Riot (Damages) Act 1886...... 76W AFFAIRS...... 15W Security: London 2012 Olympics ...... 76W Agriculture: Subsidies ...... 15W INTERNATIONAL DEVELOPMENT...... 122W Animal Welfare: Circuses...... 16W Departmental Apprentices ...... 122W Animal Welfare: Exports...... 17W Departmental Visits Abroad ...... 123W Dangerous Dogs ...... 17W Developing Countries: Agriculture ...... 123W Departmental Procurement...... 18W Developing Countries: Famine...... 124W Departmental Recruitment ...... 18W East Africa: Droughts...... 125W Dogs: Tagging...... 18W EU Law...... 126W Fisheries...... 18W Food Aid: East Africa...... 127W Fishing Catches...... 19W Global Agriculture and Food Security Forestry Commission...... 19W Programme ...... 127W Habitats Regulations...... 20W Migration: Climate Change...... 128W Hydroelectric Power...... 20W Nigeria: Police...... 128W Lakes and Reservoirs ...... 20W Sahel: Agriculture ...... 128W Natural Capital Committee...... 21W Trade Promotion...... 130W Nature Conservation...... 21W Rivers: Surrey ...... 22W JUSTICE...... 77W Water: Climate Change ...... 22W Bronzefield Prison: Visits ...... 77W Chief Coroner...... 77W FOREIGN AND COMMONWEALTH OFFICE..... 58W Civil Disorder ...... 77W Antarctic Treaty ...... 58W Civil Proceedings: Finance ...... 78W Australia: Eagles ...... 59W Community Orders ...... 78W Belarus: Freedom of Expression ...... 59W Contact Orders ...... 79W British Overseas Territories: Biodiversity ...... 59W Crimes Outside National Territories ...... 80W Burma: Political Prisoners...... 60W Criminal Injuries Compensation ...... 80W Crown Dependencies ...... 60W Debt Collection...... 80W Departmental Manpower...... 60W Disability Living Allowance: Appeals ...... 81W Diplomatic Service: Work Experience ...... 61W Driving Under Influence...... 82W EU Law...... 61W Employment Tribunals Service : Fees and European Court of Human Rights ...... 62W Charges...... 83W Ilois: Resettlement...... 62W EU Law...... 83W Libya: Politics and Government...... 63W European Court of Human Rights ...... 84W Nigeria: Politics and Government ...... 63W Fixed Penalties...... 85W President of the European Council ...... 63W HM Courts and Tribunals Service...... 85W Somalia: Piracy ...... 63W Judicial Appointments Commission for England USA: Scotland...... 64W and Wales ...... 85W Col. No. Col. No. JUSTICE—continued TREASURY—continued Kidnapping: Children ...... 86W Community Development Tax Relief ...... 33W Legal Aid Scheme: Reform ...... 86W Cooperatives ...... 33W Legal Services Commission...... 86W Credit Reference Agencies: Scotland...... 34W Members: Correspondence ...... 88W EU Law...... 34W Offences Against Children ...... 88W Excise Duties: Gaming Machines...... 34W Offenders: Dyslexia...... 88W Financial Services ...... 35W Prisoners: Qualifications ...... 89W Gift Aid ...... 35W Prisoners: Repatriation ...... 90W Income Tax ...... 36W Prisoners’ Release...... 89W Insurance: Floods ...... 37W Prisons: Voluntary Organisations...... 92W Listed Places of Worship Grant Scheme ...... 37W Social Entitlement Chamber ...... 92W Loans...... 37W Victims Support ...... 93W Manufacturing Industries ...... 38W Young Offender Institutions: Injuries...... 93W Mortgages...... 38W Youth Custody: Enfield...... 94W Revenue and Customs: Industrial Disputes...... 39W Revenue and Customs: Standards ...... 39W NORTHERN IRELAND ...... 23W Tax Evasion ...... 39W Equality Commission for Northern Ireland: Universal Credit: Self-employed...... 39W Public Appointments ...... 23W Unpaid Taxes...... 40W VAT ...... 40W TRANSPORT ...... 23W VAT: Fraud ...... 40W Dartford-Thurrock Crossing: Tolls ...... 23W VAT: Repayments...... 40W Departmental Public Expenditure...... 24W Working Tax Credit: Shrewsbury ...... 41W East Coast Railway Line ...... 25W Heathrow Airport: Railways ...... 25W WOMEN AND EQUALITIES...... 96W Highways Agency: Motor Vehicles...... 26W Christmas...... 96W Japan Tobacco International: Ministerial Policy Departmental Manpower...... 96W Advisers ...... 26W Pearson VUE ...... 26W WORK AND PENSIONS ...... 96W Pedestrian Crossings: Accidents...... 27W Carer’s Allowance...... 97W Pedicabs ...... 27W Charities ...... 98W Port Security Regulations 2009 ...... 28W Children: Maintenance ...... 98W Railways: Disability ...... 29W Christmas...... 99W Railways: Exchange Rates...... 29W Co-operatives...... 99W Railways: Theft ...... 29W Disability Living Allowance: Appeals ...... 99W Roads: Repairs and Maintenance...... 29W EU Law...... 100W Roads: Snow and Ice...... 30W Female Unemployment...... 97W Travel Information ...... 30W Future Jobs Fund...... 100W Unmanned Air Vehicles ...... 31W Pensions...... 100W Social Security Benefits: Disability...... 101W TREASURY ...... 31W StartHere ...... 96W Air Passenger Duty ...... 31W Unemployment: Older People ...... 101W Banks: Pay ...... 32W Universal Credit...... 101W Banks: Unfair Practices ...... 32W Vacancies ...... 102W Business: Taxation ...... 32W Welfare State: Reform ...... 102W Child Benefit...... 32W Work Capability Assessments ...... 97W Climate Change Levy...... 33W Work Programme...... 103W MINISTERIAL CORRECTION

Monday 23 January 2012

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not later than Monday 30 January 2012

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CONTENTS

Monday 23 January 2012

List of Government and Principal Officers of the House

Oral Answers to Questions [Col. 1] [see index inside back page] Secretary of State for Work and Pensions

Executive Pay [Col. 23] Answer to urgent question—(Vince Cable)

Opposition Day [Un-allotted day] Food Prices and Food Poverty [Col. 38] Motion—(Mary Creagh)—on a Division, negatived Youth Unemployment and Bank Bonuses [Col. 86] Motion—(Rachel Reeves)—on a Division, negatived

Petition [Col. 138]

Gender Balance in Broadcasting [Col. 139] Debate on motion for Adjournment

Written Ministerial Statements [Col. 1WS]

Written Answers to Questions [Col. 1W] [see index inside back page]

Ministerial Correction [Col. 1MC]