Category: Speeches

Tom Hunt – 2022 Parliamentary Question on Funding for Education

The parliamentary question asked by Tom Hunt, the Conservative MP for Ipswich, in the House of Commons on 20 December 2022.

Tom Hunt (Ipswich) (Con)

What steps he is taking to increase funding for the education sector.

The Chief Secretary to the Treasury (John Glen)

At spending review 2021, the Department for Education was allocated a total of £87 billion, providing a cash increase to our education system of about £18 billion by 2024-25. Young people and adults benefited from the biggest long-term settlement for post-16 education in England since 2015. Of course, at the recent autumn statement, an additional cash increase of £2 billion was provided for both 2023-24 and 2024-25.

Tom Hunt

There have been significant improvements in special educational needs and disabilities provision in Ipswich in the last few years. Just last week, the Under-Secretary of State for Education, my hon. Friend the Member for East Surrey (Claire Coutinho), was at the Sir Bobby Robson School, which has 66 new places. Suffolk has had 1,000 new SEND places since 2019, and all of that is because of the investment that my right hon. Friend just mentioned. However, it is ever so slightly frustrating that Suffolk is still unfairly funded compared with other areas, including not just London but Norfolk, where a SEND pupil will get £99 more per head than those in Suffolk. I want young people with SEND in Norfolk to have every chance, but there is no reason why young and vulnerable people in Suffolk and Ipswich should get any less funding and investment. Will he commit to reviewing the bizarre quirk that means that Suffolk SEND kids get less than kids elsewhere?

John Glen

My hon. Friend is somewhat of an expert in the subject. I agree that it is critical that we get it right. Decisions on the distribution of high-needs funding are a matter for the Department for Education, but I reassure him that, as a result of the additional funding announced at the autumn statement, Suffolk’s high-needs funding is increasing by 11% per pupil in 2023-24 compared with this year. The Under-Secretary of State for Education, my hon. Friend the Member for East Surrey (Claire Coutinho), who has responsibility for children, families and wellbeing, will be happy to meet my hon. Friend to describe and discuss the different mechanisms of allocation and, indeed, how the high-needs formula works across different local authorities.

Dr Lisa Cameron (East Kilbride, Strathaven and Lesmahagow) (SNP)

A merry Christmas to everybody when it comes. What steps is the Minister taking to review further education funding for people with disabilities? It is very important that people have equal opportunities across the United Kingdom and that our education system has inclusion at its core.

John Glen

I completely agree with the hon. Lady, and I am working with colleagues in different Departments looking at the challenges to help people back into the workplace. It is particularly difficult when people need support for such a range of needs and conditions. We must treat everyone as an individual and be ever more creative in the solutions that we bring forward. I look forward to working with her and colleagues in Government to try to assist in improving the situation.

21/12/2022
Neale Hanvey – 2022 Parliamentary Question on Energy Costs

The parliamentary question asked by Neale Hanvey, the Alba MP for Kirkcaldy and Cowdenbeath, in the House of Commons on 20 December 2022.

Neale Hanvey (Kirkcaldy and Cowdenbeath) (Alba)

Whether his Department plans to take further fiscal steps to support (a) households, (b) local authorities, (c) charities and (d) businesses with energy costs.

The Chancellor of the Exchequer (Jeremy Hunt)

Merry Christmas to you and your staff, Mr Speaker; as your fourth Chancellor of the year, I sincerely hope that I am here this time next year to wish you merry Christmas as well.

The Government are very conscious that these are tough times for businesses as well as families. That is why in the autumn statement I announced, among many other measures, a package of business rates support worth £13.6 billion over the next five years, including a 75% relief for retail, hospitality and leisure properties. That will help thousands of businesses in Scotland.

Neale Hanvey

A very merry Christmas to you and yours, Mr Speaker, and a happy new year to boot.

My constituency of Kirkcaldy and Cowdenbeath plays host to energy giants Shell and ExxonMobil; Seagreen and Berwick Bank wind farms, which supply 2.8 million homes in England with energy, are just off our coastline. In such a land of energy plenty, it is perverse that so many people live in poverty and that businesses struggle to survive. Kirkcaldy ice arena is the oldest rink in the United Kingdom and home to the Fife Flyers ice hockey team. It survived world war two, fire, the financial crash and covid, but in energy-rich Scotland it is struggling to pay its unavoidable energy costs. What targeted support is the Chancellor going to make available for energy-dependent companies such as the rink? Will he meet me to discuss how best to tackle the problem?

Jeremy Hunt

We have announced a package of support for businesses this winter worth nearly £20 billion; it will help businesses throughout the United Kingdom, including in Scotland. It includes special measures for energy-intensive industries. We will shortly announce plans that will take effect from next April.

21/12/2022
Virendra Sharma – 2022 Parliamentary Question on Fairness in the Tax System

The parliamentary question asked by Virendra Sharma, the Labour MP for Ealing Southall, in the House of Commons on 20 December 2022.

Mr Virendra Sharma (Ealing, Southall) (Lab)

What recent steps he has taken to ensure fairness in the application of the tax system.

The Financial Secretary to the Treasury (Victoria Atkins)

Merry Christmas to you, Mr Speaker, to all the House staff, to the Members in the Chamber, and to our parliamentary staff, who do such a good job for us all year round—[Interruption.] And to the Doorkeepers—thank you very much.

It is right that everyone contributes to sustainable public finances in a fair way. The autumn statement tax reforms mean that those with the broadest shoulders contribute the most. We are also implementing the OECD pillar two reforms so that multinational corporations pay their fair share of tax, and we are introducing measures to address tax avoidance and evasion to ensure that people pay the right amount at the right time.

Mr Sharma

Does the Minister think it is fair that landlords and those on high incomes earned through trading stocks and shares pay less tax than those paid a salary?

Victoria Atkins

I do hope that the hon. Gentleman noted the announcements by my right hon. Friend the Chancellor in the autumn statement in relation to dividends and corporation tax allowances. We want to ensure, where we can, that unearned income is roughly comparable to earned income. That is precisely why the principle running through the autumn statement was that those with the broadest shoulders should bear the greatest burden.

Alan Mak (Havant) (Con)

I welcome the Edinburgh reforms, which help to make our financial services sector more competitive. I urge my hon. Friend to adopt the same approach to R&D tax reliefs and capital allowances, so that our world-class entrepreneurs, start-ups and small and medium-sized enterprises can benefit from the same advantages.

Victoria Atkins

We all have campaigns to which we devote a great deal of time and for which we build a reputation. My hon. Friend has had a reputation for campaigning on and highlighting the fourth industrial revolution since he was elected in 2015, so I am not surprised that he asked that question. I am delighted to say that we very much support innovation and the critical work of our entrepreneurs, start-ups and SMEs, which is why we are setting the annual investment allowance permanently at £1 million from 1 April, and reviewing the research and development tax reliefs to ensure that, while we are rebalancing the rates of relief out of fairness to the taxpayer, we are also targeting that relief at the knowledge-intensive and innovation-intensive businesses that we all care so much about.

Andrew Gwynne (Denton and Reddish) (Lab)

For a bit of Christmas cheer, I agree with the Minister for once as she says that she wants those with the broadest shoulders to pay the most in the tax system. Why, then, did the Chancellor pick the pockets of hard-working people in the autumn statement through stealth taxes, such as freezing tax allowances, rather than tackling non-doms, which could have brought in £3.2 billion to the Exchequer?

Victoria Atkins

I feel a little slighted, because the hon. Gentleman and I agree on an awful lot behind the scenes—I wish him a very merry Christmas. On non-doms, we know that they paid £7.9 billion in UK taxes last year, which is a significant sum of money. The Chancellor has been clear that when we look at those rules, we have to bear in mind that they pay a significant sum of money in their UK taxes that obviously contributes towards the public services that we all care so much about.

Rachel Maclean (Redditch) (Con)

The success of our fantastic town deal in Redditch, which is thanks to record-breaking investment from the Government, relies on our amazing SMEs, who tell me that they need to compete against the online giants. What more can the Minister do to ensure that our businesses play a full part in our vision for the future, so that we can continue to unlock Redditch?

Victoria Atkins

My hon. Friend has done so much for her constituency through her campaigns, including by securing the investment that her local hospital needs. In relation to her high streets and small businesses, she is right that we are the Government of small business. That is why, although we had to make some difficult decisions in the autumn statement, we were determined to protect our precious high streets and small businesses, particularly in the retail, hospitality and leisure sectors, through the business rates support package, which totalled £13.6 billion.

Mr Speaker

We come to the shadow Minister.

James Murray (Ealing North) (Lab/Co-op)

I echo the consensus about the importance of a merry Christmas. In the last month, I have asked Treasury Ministers three simple questions: whether the Chancellor has considered abolishing non-dom status; whether the Prime Minister was consulted about doing so; and whether, when the current Prime Minister was Chancellor, he recused himself from discussions on the matter. I have asked those questions four separate times, but four times Treasury Ministers have refused to answer or even acknowledge them. Once might be an oversight and twice might be careless, but three times seems deliberate and four times feels like stonewalling. Will the Minister finally show that they have nothing to hide by answering my questions today?

Victoria Atkins

I am pleased that the hon. Gentleman is entering into the spirit of pantomime season with his questions. We have been clear that non-doms paid £7.9 billion in UK taxes last year—a number that he does not seem able to accept—which is a significant sum of money. Although we keep the scheme under review, as I have said many times—perhaps he is choosing not to hear it—we must recognise their contribution in UK taxes, because that £7.9 billion helps to pay for the services that we all care so much about.

James Murray

Well, that was the fifth time; I wonder what people will make of that.

We believe that to be trusted and effective, the tax system must be fair, yet while millions of working people and businesses across Britain are paying the highest tax burden in decades, those who use tax havens are playing by different rules. Those who benefit from tax havens are undercutting responsible businesses, undermining our public services and breaking the basic principle that we must all play by the same rules. Will the Minister agree that creating a fair tax system must involve challenging tax havens and those who avoid paying their fair share?

Victoria Atkins

I ought to declare an interest at this point: I used to prosecute tax fraudsters for HMRC before I came to this place. I very much agree with the hon. Gentleman and put my money where my mouth is when it comes to tackling those fraudsters.

On the income tax take, the top 10% by way of income paid 36% of all tax in 2020-21. We are proud of the fact that our distributional analysis for the autumn statement shows that decisions made at that fiscal event are progressive: the lowest income households will receive the largest benefit in cash terms and as a percentage of income, and will on average be net beneficiaries of decisions made on tax, welfare and amendments to the energy price guarantee.

21/12/2022
Steve McCabe – 2022 Parliamentary Question on Student Maintenance Loan Increases

The parliamentary question asked by Steve McCabe, the Labour MP for Birmingham Selly Oak, in the House of Commons on 20 December 2022.

Steve McCabe (Birmingham, Selly Oak) (Lab)

Whether he has had recent discussions with the Secretary of State for Education on the potential merits of increasing student maintenance loans in line with actual rather than forecast levels of inflation.

The Chief Secretary to the Treasury (John Glen)

Treasury Ministers meet regularly with Ministers at the Department for Education to discuss matters of shared interest, including student finance. The Government are considering options for changes to loans and grants for 2023-24, and an announcement will follow in due course.

Steve McCabe

The Institute for Fiscal Studies reports that the real value of maintenance loans is the lowest for seven years. Rents, which account for 45% of bills, are rising; food costs are rising; one in 10 students are using a food bank; and 80% say they cannot make ends meet. Why does the Minister not make his Christmas present a proper increase in the level of maintenance loans? Because it is a loan, he would not even have to pay for it.

John Glen

I thank the hon. Gentleman for his question. I have a lot of respect for him and I recognise the issue that he refers to. Of course, many higher education providers have hardship funds that students can apply to, and there is £261 million—a quarter of a billion pounds—of student premium funding available this year to support disadvantaged students. On the specific issue of the uprating, of course there needs to be a delay to operationalise those additional sums. That is at the core of the issue. However, as I said, the Department for Education will report on the matter in due course.

21/12/2022
Mark Eastwood – 2022 Parliamentary Question on Fiscal Steps on Levelling Up Communities

The parliamentary question asked by Mark Eastwood, the Conservative MP for Dewsbury, in the House of Commons on 20 December 2022.

Mark Eastwood (Dewsbury) (Con)

What fiscal steps his Department is taking to level up communities.

The Chief Secretary to the Treasury (John Glen)

The Treasury is making significant investments to level up communities across the UK—101 towns, including Dewsbury, will benefit from more than £3.2 billion from the towns fund, supporting long-term economic and social regeneration. Of course, communities will also benefit from the £4.8 billion levelling-up fund, the £2.6 billion shared prosperity fund and the £250 million community ownership fund.

Mark Eastwood

The decision on the £47 million Penistone line levelling-up fund bid is due to be announced shortly. Can my right hon. Friend assure me that this important round 2 category 1 bid will be subject to the same financial considerations and eligibility as bids submitted in round 1?

John Glen

I can absolutely reassure my hon. Friend that all round 2 bids are undergoing a robust and thorough assessment through that decision-making process. That is consistent with the approach taken in round 1. Of course, the individual decisions will be made in due course in the very near future.

Catherine McKinnell (Newcastle upon Tyne North) (Lab)

One way the Government could level up low-income families with young children is through healthy start vouchers. This year, I have tabled four written questions asking what the take-up rate of that scheme has been since digitisation in April, but the Government have been unable to give me an answer, despite the fact that we are eight months on and in the middle of a cost of living crisis. How do the Government know what the take-up rate of the scheme is and whether it is working in balancing out inequalities?

John Glen

I obviously cannot answer that specifically, but I can say that the Government have, over recent weeks, shown the commitment to helping the most vulnerable across the United Kingdom. But I take the hon. Lady’s question seriously, and I am very happy to look into that and to work with colleagues across Government to find an answer.

Kevin Foster (Torbay) (Con)

As the Minister will know, fiscal steps in investment zones can help to boost and level up communities—I am thinking in particular of Paignton in South Devon, where South Devon College and the photonics industry exist side by side. Will he meet me to discuss how that initiative could help to support growth in Paignton?

John Glen

I am very happy to meet my hon. Friend, who is, as ever, fighting strongly for his constituents. As he knows, the investment zones are designed to be a meaningful mechanism to catalyse growth, sometimes, although not exclusively, through university, looking at where we can find clusters across the United Kingdom to drive the economy forward.

Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)

Clearly, we need to level up on housing. In my constituency, many people just cannot afford a private rented home or to own their own home, and we need more social housing, but that is not possible without Government subsidy. What is the Treasury considering to make sure that people who desperately need a permanent roof over their head can get it?

John Glen

We are working very closely with the Department for Levelling Up, Housing and Communities to look at specific interventions. We have just released an extra amount of capital money to work alongside the Ukraine support scheme. But I totally recognise that this is a critical issue, and we will make further announcements about it in due course at the next fiscal event.

Jason McCartney (Colne Valley) (Con)

I fully support my hon. Friend the Member for Dewsbury (Mark Eastwood) in his levelling-up bid for the Penistone line, as it goes through my constituency, with stations in Brockholes and Honley. I also have my own levelling-up bid to regenerate a disused mill in Marsden for commercial space. These bids are good not only for connectivity and regeneration, but for the economy, because they create jobs and growth. Does the Minister agree that this allocation of funding therefore makes sense?

John Glen

I absolutely agree with my hon. Friend—perhaps unsurprisingly. The Government have developed a bespoke and objective index of priority places. We are very keen for this investment to work effectively, wherever it is. I very much respect the representations he has made this morning for the bid in his own constituency.

David Linden (Glasgow East) (SNP)

An important part of levelling-up communities is to invest in the community transport network. Last week, I visited Shettleston-based Community Transport Glasgow alongside Councillor Laura Doherty. They were telling me that they were having real difficulty attracting volunteers because of HMRC rules around mileage rates. Is that something that the Government are willing to look at? Will the Minister be willing to meet me and Community Transport Glasgow to discuss that issue?

John Glen

We keep these matters under review, but I am sure my colleague the Financial Secretary, who takes a close interest in these matters, will follow up in the appropriate way.

21/12/2022
Peter Grant – 2022 Parliamentary Question on Poverty Levels in Scotland

The parliamentary question asked by Peter Grant, the SNP MP for Glenrothes, in the House of Commons on 20 December 2022.

Peter Grant (Glenrothes) (SNP)

What recent assessment he has made of the potential impact of his policies on levels of poverty in Scotland.

The Exchequer Secretary to the Treasury (James Cartlidge)

The Chancellor published the “Impact on households” document alongside the autumn statement 2022, containing analysis of how policy announcements affect household incomes. The results show that the autumn statement decisions on tax, welfare and changes to the energy price guarantee in 2023-24 benefit low-income households across the UK, including Scottish households, the most. The autumn statement announced further support targeted at 8 million of the most vulnerable households across the UK, who will benefit from additional cost of living payments in 2023-24.

Peter Grant

The Joseph Rowntree Foundation found that, by October this year, one in five households in Scotland had already had to go without food or without heat because they could not afford both—and that was before the recent severe cold snap. The JRF also described the Scottish child payment, introduced by an SNP Government, as

“a watershed moment in tackling poverty”.

Does the Minister have any plans to speak to the Scottish Government to find out how the Scottish child payment works so it can be introduced here? Who knows—they might give him some tips on how to avoid a nurse’s strike at the same time.

James Cartlidge

I am, as ever, grateful to the hon. Gentleman for his advice. Of course, we engage closely with the Scottish Government. The latest official statistics from the Department for Work and Pensions, based on data up to 2019-20, show that, compared with 2009-10, there were 55,000 fewer people in absolute poverty after housing costs in Scotland. But I think the key point is that we are supporting everyone in every single part of the UK with their energy bills this winter. It is a challenging time, but our extraordinary help is making a real difference.

21/12/2022
John Penrose – 2022 Parliamentary Question on Loyalty Penalties in Insurance Market

The parliamentary question asked by John Penrose, the Conservative MP for Weston-super-Mare, in the House of Commons on 20 December 2022.

John Penrose (Weston-super-Mare) (Con)

What recent assessment he has made of the effectiveness of the Financial Conduct Authority in protecting customers from loyalty penalties in the insurance market.

The Chief Secretary to the Treasury (John Glen)

The Government welcome the Financial Conduct Authority’s pricing rules, introduced in January this year, which require insurers to offer a renewal price no greater than the price the firm would offer to a new customer for the same policy. The Financial Conduct Authority has confirmed there is no evidence of widespread non-compliance with those rules.

John Penrose

The FCA’s cheap and, we hope, effective measures to stop insurance company customers being ripped off is in stark contrast to the energy price cap, which was introduced for exactly the same reason, but has not held down the price of energy and has larded hundreds of pounds of extra hedging costs on to every household’s energy bills to boot. Since the Treasury is spending vast amounts of taxpayers’ cash on energy subsidies at the moment, will my right hon. Friend speak to the Secretary of State for Business, Energy and Industrial Strategy about replacing the failed energy cap with a version of the FCA’s much cheaper and more effective approach as soon as energy prices return to normal?

John Glen

I am very happy to look at that question further. The Government previously considered, but rejected, asking Ofgem to implement a relative rather than an absolute price cap in energy markets, which would have similarly prevented energy suppliers from charging those large differentials, because it was judged that it was more likely to distort competition in the fixed-term tariff market. As ever, I am happy to continue the conversation with my hon. Friend and I know he will take the matter up further with the regulator.

Mr Speaker

We now come to the SNP spokesperson.

Stewart Hosie (Dundee East) (SNP)

Subsequent to the changes to the insurance market to protect people from the loyalty payment, the Chancellor announced his Edinburgh reforms to wider financial services regulation and a great many consultations. At a quick glance, many of them closed very quickly—on 5 February, 17 February, 3 March, 5 March and 17 March. Given that the Treasury Select Committee warned over a decade ago that the Government

“needs to take the time required to get its reform of financial regulation right”,

how can we be convinced that the rather painful lessons of the financial crash have not been forgotten?

John Glen

For four and a half years, I was the Economic Secretary to the Treasury, and many of those reforms were baked up over a lot of consultation with industry over many months. The Edinburgh reforms represent an incremental advance on those reforms and have high prudential regulatory standards very much at their core.

Stewart Hosie

I will come to that, because the Minister is absolutely right. I did quote from a 2010 report. But in June this year, the Treasury Committee, in its report on the future of financial services regulation, warned:

“Weakening standards could reduce the financial resilience of the UK’s financial system and undermine international confidence in that system and the firms within it.”

Given the intention to review capital requirements, and the new remit letters and secondary objectives for the Prudential Regulation Authority and the FCA, how will the Chancellor and the Minister ensure the regulatory focus on stability is maintained?

John Glen

I gave evidence to that inquiry and I heartily agree with its conclusions. Stability is at the core of the regulators’ objectives, but so is the need to look at the competitive landscape across the globe and ensure that the UK, with the city of London as a global hub for financial services, evolves and remains competitive, taking account of the risks but also developing frameworks in line with expectations, so that we can remain that world-leading global hub.

21/12/2022
Wendy Chamberlain – 2022 Parliamentary Question on Energy Producer Profit Trends

The parliamentary question asked by Wendy Chamberlain, the Liberal Democrat MP for North East Fife, in the House of Commons on 20 December 2022.

Wendy Chamberlain (North East Fife) (LD)

What assessment he has made of the implications for his policies of trends in the level of energy producer profits in the last 12 months.

The Exchequer Secretary to the Treasury (James Cartlidge)

The structure of the electricity market means that the price of electricity is tied to the wholesale gas price. Russia’s invasion of Ukraine triggered an unprecedented increase in gas prices, driving energy prices to eight times their historic levels. As a result, many energy generators’ profits are well above pre-crisis levels. As announced at the autumn statement, the Government are introducing a temporary 45% tax on extraordinary returns made by some UK electricity generators from 1 January.

Mr Speaker

I call Wendy Chamberlain, whose birthday it is today. Happy birthday.

Wendy Chamberlain

Thank you, Mr Speaker.

Shell announced worldwide profits of £8.2 billion and £9 billion for the three-month period between July and September and the three months to June. BP announced more than double its profits for the same period. They have increased their dividend payments and spent billions buying back their own shares from the market. Shell says that it does not expect to pay any windfall tax at all this year and BP said that it would pay £678 million. Does the Minister agree that, if the Government had implemented a proper windfall tax that captured these things, we could be supporting offshore customers such as my own in North East Fife?

James Cartlidge

Obviously, the hon. Lady knows that we do not comment on the commercial decisions of individual companies. What I can confirm is that the specific levy to which she refers—the energy profits levy—will contribute £40 billion to the Exchequer. We must remember that that £40 billion will play a key part in enabling us to afford the support that we are giving to constituents throughout the United Kingdom this winter and next year, which will total, for businesses and households, more than £100 billion, and the Office for Budget Responsibility has already found that that will help to reduce inflation overall.

Mr Speaker

I call the shadow Minister.

Abena Oppong-Asare (Erith and Thamesmead) (Lab)

May I begin, Mr Speaker, by wishing you, the Minister and the whole House a jolly Christmas?

If the Government had implemented Labour’s windfall tax, they would have raised an additional £16.8 billion. Why have the Government chosen to leave this windfall of war on the table and not put it to use to support families and businesses in the tough winter ahead?

James Cartlidge

I do not entirely accept that. I would be interested to know the detail behind that figure. What we can confirm is that we have two specific levies: one on oil and gas, and one on certain electricity generators. We think that these are being applied in a very fair way. The levy to which the hon. Member refers does include an allowance for investment but this is the point. That level of support cannot continue for ever. The long-term answer is energy security—investment in new energy sources and, indeed, investment in the North sea, supporting UK jobs and the transition to net zero.

21/12/2022
Dan Jarvis – 2022 Parliamentary Question on Funding for Northern Powerhouse Rail

The parliamentary question asked by Dan Jarvis, the Labour MP for Barnsley Central, in the House of Commons on 20 December 2022.

Dan Jarvis (Barnsley Central) (Lab)

What recent estimate he has made with Cabinet colleagues of the level of public funding that will be required to build core Northern Powerhouse Rail.

The Exchequer Secretary to the Treasury (James Cartlidge)

May I begin, Mr Speaker, by wishing you and all of your brilliant House of Commons staff a very merry Christmas?

The integrated rail plan, published last November, set out an estimate of £17.2 billion at 2019 prices for the core Northern Powerhouse Rail network, with a further £5.4 billion for the TransPennine route upgrade. That includes building 40 miles of new, high-speed line between Warrington, Manchester and Yorkshire, as well as upgrading and electrifying the rest of the route between Liverpool and York, and the existing line between Leeds and Bradford.

Dan Jarvis

I am grateful to the Minister for that response. The Chancellor has rightly spoken about the importance of capital investment to the long-term growth of the economy but, at the same time, he has downgraded the £40 billion vision of Northern Powerhouse Rail, which was agreed on a cross-party basis with northern leaders, to the much-reduced £17 billion core scheme. Decisions on Northern Powerhouse Rail will shape the future of the railways in the north of England for generations to come and unlock massive economic benefits. Will the Minister look at refocusing Treasury appraisal of NPR on its long-term transformative benefits and whole-life value, rather than on short-term factors? Otherwise, a massive opportunity, not just for the north, but for the whole of the country, will be missed.

James Cartlidge

I commend the hon. Gentleman, who speaks with great passion on these issues. He is right that the Chancellor is absolutely committed to the long-term benefit to the economy of capital investment and infrastructure schemes like these. Just to be clear, the IRP set out the Government’s view that the core NPR network is the most effective way to deliver rail connectivity benefiting the north. Our plans would deliver substantial journey-time saving and capacity benefits all the way from Liverpool to York. It will do so far more quickly and cost-effectively than alternatives.

21/12/2022
Gordon Brown – 1999 Speech to the Foyer Federation Conference

Extracts from the speech made by Gordon Brown, the then Chancellor of the Exchequer, on 11 May 1999.

The welfare to work programme helps young people after 18 find jobs and find the skills for jobs.

At sixteen the challenge is different – it is to persuade young people to stay on at school or at college, to recognise the need for even the most basic qualifications if they are to secure a job. and to secure the best careers advice about how to get both jobs and skills for jobs.

It is this, the sixteen plus problem, that is the most powerful motivating force behind our proposed educational maintenance allowances.

Too many young people leave school early leave school without qualifications and leave school never to reappear in education to obtain the skills they need.

We want more and more teenagers from lower income families staying on at school and going to college and then university and want to use resources we have to break the cycle which leaves children from poorer families without the qualifications they need.

As David Blunkett and his department have shown One in five of our 16 to 18 year olds live in relative poverty.

The current system is out of date, confusing and often perverse and counterproductive . it is indefensible.

A young person on a national traineeship can receive more than a 16-18 year old studying for higher level qualifications.

A young person who lives at home and is in full time education receives no payment for themselves but parents in income support or JSA receive £30 a week.

Too many fall through the net and receive no help with the education that is vital to themselves and the country.

Clearly the incentives are working the wrong way.

So in 12 pilot areas of Britain from September Educational Maintenance Allowances will be paid in the following pilot areas: Bolton, Nottingham, Cornwall, Doncaster, Gateshead, Leeds, Middlesborough, Oldham, Southampton, Stoke-on-Trent, Walsall, and the four London boroughs of Lambeth, Lewisham, Southwark and Greenwich.

All these areas have more young people leaving school early than the national norm.

We will pay up to £40 a week for young people in families where household income is below £13,000 in the pilot areas.

What they have to do is sign a learning agreement with the school and college and stick to it.

And young people who are regarded as estranged from their parents will be assessed separately.

This offers a real scope to make a difference to the lives of many young people who are in danger of losing out.

And we will work in partnership with educational authorities, schools, colleges and foyer and housing agencies to put in place not openly effective delivery arrangements for maintenance allowances but effective monitoring of the programme.

If successful the programme will go nationwide.

Because opportunity is the key not just to social justice but future economic success, we will ensure that there will be second chances too and if necessary third chances.

So you can see that I want a Britain where what matters is not your background or the school you went to, but the ambitions and aspirations you have.

A Britain where the opportunity is available to everyone and where everyone has a contribution to make.

20/12/2022