Category: Speeches

  • Kirsty Blackman – 2022 Commons Speech on the Economy

    Kirsty Blackman – 2022 Commons Speech on the Economy

    The speech made by Kirsty Blackman, the SNP MP for Aberdeen North, in the House of Commons on 26 May 2022.

    It is quite amusing to hear the Chancellor talk about this announcement being timely. I mean, it is timely: it just happens to have happened in the week of the Sue Gray report. It just happens that that report came out yesterday and the Chancellor has suddenly realised today that people are really struggling. He has suddenly realised that he needs to announce something.

    At the spring statement, when the Chancellor announced the energy loan, he stood up and said, “Look at these amazing things that I am announcing.” He genuinely seemed to believe at that time that that was the best this Government could do. Now, he has changed his mind. He has listened to the calls of the Opposition and of the people up and down these islands who are struggling, in many cases more than they have ever struggled before.

    I do not understand why the Chancellor has announced only a £15 billion package. He has £28 billion of fiscal headroom in public sector net debt and £32 billion of fiscal headroom in balancing the current budget—those are the Office for Budget Responsibility’s figures from March—yet he is refusing to spend that money now in the timely and targeted way that is needed for people now.

    I am glad that the Chancellor announced money for the poorest households and that it has been targeted in that way, but it is not enough. What he has announced fails to uprate benefits; fails to account for the fact that the energy price cap that is coming in October will still be in place next year; and fails to ensure that benefits keep pace with inflation.

    I have to laugh at the Chancellor’s comments about inflation. Brexit has increased food prices by 6%. Brexit has done that. People who are struggling to meet the most basic costs—the majority of their costs are for energy and food—have been hit incredibly hard by Brexit. The poorest 10% of households are seeing a massive inflationary increase in comparison to the richest 10% of households, because of the percentage of their budget that is spent on energy and food. The Chancellor needs to uplift benefits as well as making payments.

    It was pretty cheeky of the Chancellor to choose to include the £150 council tax payment in all the figures he read out. That went only to people who live in homes in bands A to D. It certainly did not go to all pensioners and certainly cannot be included in the money that is going to all pensioners. It cannot be included in the money that is going to all universal credit claimants, and it cannot be included in the money that is going to all disabled people. It cannot be included in the cost of this support package because it is absolutely not universal. On that point, the payment that we made in Scotland went to a higher percentage of households than the payment made in England.

    This package does not go far enough. We are going to see an energy price increase of more than £1,000 for all households because of the increase in the energy price cap, yet the Chancellor is providing only £300 extra for pensioners. That will not even touch that £1,000 increase. He is only including these things. The uplift should have been 9%, to match inflation, and there should have been a further £25 uplift to universal credit and a further £25 uplift to legacy benefits. Lastly, he has failed in the uplift for disabled people, who face the very highest cost because of the increase in energy costs and in the cost of, for example, their diets.

    I am glad that the Chancellor has put in place the windfall tax. I am very disappointed that it covers only oil and gas companies. It should have gone much wider. We have been calling for this since 2020, with Kate Forbes and Ben Macpherson. [Interruption.] The Labour party failed to support our amendment on this last week, so Labour Members are a bit cheeky as well in suggesting that we have not moved on this.

    I would like the Chancellor to go further, to make a difference and to actually care about the poorest people in our society.

  • Rachel Reeves – 2022 Commons Speech on the Economy

    Rachel Reeves – 2022 Commons Speech on the Economy

    The speech made by Rachel Reeves, the Shadow Chancellor of the Exchequer, in the House of Commons on 26 May 2022.

    After today’s announcement, let there be no doubt about who is winning the battle of ideas in Britain—it is the Labour party. Today, it feels as though the Chancellor has finally realised the problems the country is facing. We first called for a windfall tax on oil and gas producers nearly five months ago, to help struggling families and pensioners. Today, he has announced that policy but he dare not say the words; it is a policy that dare not speak its name for this Chancellor. It was also Labour that first highlighted the unfairness of this Government’s buy now, pay later compulsory loan scheme. It should not have taken a rocket scientist to work out that this would not cut it, and we pointed that out at the time, but that is the mark of this Klarna Chancellor: announce now, ditch later. Here he is, once again, the Treasury’s one-man rebuttal unit, the Chancellor himself.

    For months, it has been clear that more was necessary to help people bring their bills down, so what took this Government so long? Every day that they have refused to act, we have had £53 million added to Britain’s household bills during this cost of living crisis. This Government’s dither and delay has cost our country dearly. Labour welcomes the fact that the Government are finally acting on our calls to introduce a windfall tax, and it is good to see the SNP U-turning today and saying that they, too, are in favour of a windfall tax on oil and gas profits—well done to the SNP.

    It was a painful journey to get the Government to this point. First, Conservative Ministers said that oil and gas producers were “struggling”—that was the Education Secretary, I think—but then the BP chief executive said that the energy crisis was a “cash machine” for his business, so the Government moved to the second defence. Ministers claimed that a windfall tax would put off vital investments, but the industry said that it would not even change its plans. Then the Government said that a windfall tax would be “un-Conservative”. It is so un-Conservative that Margaret Thatcher, George Osborne and now this Government are doing exactly that. Finally, the Chancellor said that it would be “silly” to offer help now, given that he did not know the full scale of the challenge. What nonsense! It should not take half a million pounds of publicly funded focus groups for the Chancellor to realise that helping families and pensioners is exactly the right thing to do.

    Every day for five months, the Prime Minister sent Conservative MPs out to attack the windfall tax and yet defend an increase in taxes on working people. He has made them vote against the windfall tax not once, not twice, but three times. For months, he has sent his MPs to defend the litany of rule-breaking in No. 10 Downing Street that was set out in the Sue Gray report yesterday. There is a lesson here for Conservative MPs: you cannot believe a word this Prime Minister says, and as long as he is in office, he will continue making fools out of each and every one of you. If they keep him there, that is their choice. The problem is that you cannot fake fairness—you either believe in it or you don’t.

    Labour called for a windfall tax because it is the right thing to do. The Conservatives are bringing it in because they needed a new headline. We see that, too, from all the other things that the Chancellor did not address today: the non-doms keeping their tax privileges while the Government increase taxes on working people; young working people paying more, but those who earn money buying and selling stocks and shares not paying a penny more; contracts handed out to Conservative friends and donors while British businesses miss out; global tech giants making billions in profits while smaller businesses and the energy-intensive industries struggle with higher bills and higher taxes from the Conservative party; and £11.8 billion lost in fraud because of a total lack of respect for taxpayers’ money. That is why we should have had an emergency Budget today that spikes the hike in national insurance, cuts business rates for high-street and small businesses, provides help for energy-intensive firms and ensures that every pound of taxpayers’ money is spent wisely.

    We will look closely at the detail of today’s announcements. Of course, most of them seem to be written by us, but so far we have seen nothing to suggest that this Conservative Government have the ideas or the energy to tackle the challenges we face as a country. A Labour Government would have addressed the underlying weaknesses in our economy, so that we can stop this spiral of inflation, lift wages and provide greater security for families and for our country. The truth is that the Conservatives are running our economy, and people’s living standards, into the ground. We are forecast to have the slowest growth and the highest inflation in the G7. This Government have weakened the foundations of our economy, leaving us exposed to shocks as we lurch from crisis to crisis, and still they refuse to come forward with a real plan to fix our broken system and provide the security we need to face the future with confidence. That means boosting our energy security too. We need to do much more to reduce our reliance on imported oil and gas. That is why Labour’s energy security plan includes a programme of home insulation, to reduce bills not just for one year, but for years to come and to get us all the way to net zero. It is why we have urged the Government to double onshore wind capacity and to end the delay on nuclear power. [Interruption.] And while we are at it, why did this Tory Government get rid of our gas storage—[Interruption.]

    Madam Deputy Speaker

    Order. It is important that we also hear the shadow Chancellor.

    Rachel Reeves

    While we are at it, why did this Tory Government get rid of our gas storage, which would have left us better protected from wild fluctuations in prices? When will this Government provide the strong leadership that this country needs?

    There are a number of questions for the Chancellor about his announcement today. How many people are still waiting for the support they were promised in March? A third of his constituents are still waiting for their council tax discounts. Are households still being asked to pay the supplier of last resort costs for those energy suppliers that have gone bust as a result of a decade of failed energy market regulation? How is this package being funded, outside of the proceeds of a windfall tax? If someone has more than one home, do they get multiple discounts on their energy bills? I know that the Chancellor has adopted two of our ideas today, but may I ask why he has not adopted a third: a cut in VAT on energy bills? It was once touted as the big Brexit bonus, but he has ditched that too. This is a discredited, chaotic and rudderless Conservative Government, whose policies rarely last more than a few months. We pushed for a windfall tax and they adopted it. We said the buy now, pay later scheme was wrong and now they have ditched it. This Government are out of ideas, out of touch and out of time. When it comes to the big issues facing this country, the position is now clear: we lead, they follow. [Hon. Members: “More!”]

  • Rishi Sunak – 2022 Commons Statement on the Economy

    Rishi Sunak – 2022 Commons Statement on the Economy

    The statement made by Rishi Sunak, the Chancellor of the Exchequer, in the House of Commons on 26 May 2022.

    The high inflation that we are experiencing now is causing acute distress to the people of this country. I know that they are worried. I know that people are struggling. I want to explain what is happening, why it is happening, and what we propose to do about it.

    I trust the British people, and I know they understand that no Government can solve every problem, particularly the complex and global challenge of inflation, but this Government will never stop trying to help people, to fix problems where we can and to do what is right, as we did throughout the pandemic. We need to make sure that those for whom the struggle is too hard, and for whom the risks are too great, are supported. This Government will not sit idly by while there is a risk that some in our country might be set so far back that they might never recover. That is simply unacceptable, and we will never allow it to happen.

    I want to reassure everybody that we will get through this. We have the tools and the determination we need to combat and reduce inflation. We will make sure that the most vulnerable and least well off get the support they need at this time of difficulty, and we will also turn this moment of difficulty into a springboard for economic renewal and growth, with more jobs, higher skills and greater investment: our plan for a stronger economy.

    Before I turn to the details of our plan, let me put into context for the House the challenge we face. This country is now experiencing the highest rate of inflation we have seen for 40 years. The Bank of England expects inflation to average around 9% this year. Our exposure to global shocks continues to explain most of the inflation above the 2% target. Supply chain disruption as the world reopened from covid, combined with Russia’s invasion of Ukraine and potentially exacerbated by recent lockdowns in China, are all contributing to significant price increases for goods and energy.

    However, over the course of the year, the situation has evolved and become more serious. There are areas of particular concern. Even excluding energy and food, core inflation has become broader-based and elevated. Of the basket of goods and services we use to measure inflation, a record proportion is seeing above-average price increases. Also, we are acutely exposed to the European energy price shock and, like the US, we have a tight labour market. Make no mistake, the lowest unemployment in almost 50 years, just months after averting a jobs crisis during the pandemic, is good news, but combined with the shock to European energy prices, it does contribute to the UK’s relatively high rate of inflation.

    Lastly, as the Bank has noted, longer-term inflation expectations have risen above their historical averages by more than they are doing in the US and Europe. We cannot and must not allow short-term inflationary pressures to lead people to expect that high inflation will continue over the long term. We can get inflation under control. It is not some abstract force outside our grasp. It may take time, but we have the tools we need and the resolve it will take to reduce inflation. We have three specific tools available to combat and reduce inflation, and we are using them all: independent monetary policy, fiscal responsibility and supply-side activism.

    First, our primary tool is a strong independent monetary policy. Since control of monetary policy was taken out of the hands of politicians 25 years ago, inflation has averaged precisely 2%. It is right that the Bank of England is independent, and I know that the Governor and his team will take decisive action to get inflation back on target and ensure that inflation expectations remain firmly anchored.

    Secondly, we need responsible fiscal policy. That means providing fiscal support where required but not making the situation unnecessarily worse, causing inflation, interest and mortgage rates to go up further than they otherwise would. Excessively adding fiscal stimulus into a supply-constrained economy, especially one in which households and businesses have built up over £300 billion of excess savings, risks being counterproductive and increasing inflationary pressures. In other words, fiscal support should be timely, temporary and targeted. Timely because we need to help people when the shock is at its worst, targeted because unconstrained stimulus will make the problem worse, and temporary because if we do not meet our fiscal rules and ensure the public finances are resilient in the longer run, we create even greater risks on inflation, interest rates and the trend rate of economic growth.

    Thirdly, we are taking an activist approach to supply-side reforms. This will increase our productive capacity, ease inflationary pressures and raise our long-term growth potential. The Prime Minister’s energy security strategy will reduce bills over time by increasing energy supply and improving energy efficiency. The Work and Pensions Secretary is moving half a million jobseekers off welfare and into work and doing more to support older people back into the jobs market. The Home Secretary is making our visa regime for high-skilled migrants one of the most competitive in the world, and in the autumn we will bring forward tax cuts and reforms to encourage businesses to invest more, train more and innovate more—the path to higher growth. Independent monetary policy, fiscal response ability and supply-side reform—the country should have confidence that using these three tools, we will combat inflation and reduce it over time.

    But of course, we know that households are being hit hard right now, so today we will provide significant support to the British people. As I have said, a critical part of how we are dealing with inflation is responsible fiscal policy. What this means in practical terms is that as we support people more, we need to think about the fairest way to fund as much of that cost as possible. The oil and gas sector is making extraordinary profits, not as the result of recent changes to risk taking or innovation or efficiency, but as the result of surging global commodity prices, driven in part by Russia’s war. For that reason, I am sympathetic to the argument to tax those profits fairly, but—[Interruption.]

    Madam Deputy Speaker (Dame Eleanor Laing)

    Order. A bit of gentle banter is fine, but when it gets to the stage that nobody can hear what the Chancellor is saying, it is counterproductive. Quieter banter, please.

    Rishi Sunak

    But, as ever, there is a sensible middle ground. We should not be ideological about this; we should be pragmatic. It is possible to both tax extraordinary profits fairly and incentivise investment. So, like previous Governments, including Conservative ones, we will introduce a temporary targeted energy profits levy— [Interruption.] But we have built into the new levy— [Interruption.] We have built into the new levy a new investment allowance similar to the super deduction, which means that companies will have a new and significant incentive to reinvest their profits.

    The new levy will be charged on the profits of oil and gas companies at a rate of 25%. It will be temporary, and when oil and gas prices return to historically more normal levels, the levy will be phased out, with a sunset clause written into the legislation. And crucially, with our new investment allowance, we are nearly doubling the overall investment relief for oil and gas companies. That means that for every pound a company invests, it will get back 90% in tax relief. So the more a company invests, the less tax it will pay.

    We understand that certain parts of the electricity generation sector are also making extraordinary profits. The reason for this is the way our market works. The price our electricity generators are paid is linked not to the costs they incur in providing that electricity but rather to the price of natural gas, which is extraordinarily high right now. Other countries such as France, Italy, Spain and Greece have already taken measures to correct this. As set out in the energy security strategy, we are consulting with the power generation sector and investors to drive forward energy market reforms and ensure that the price paid for electricity is more reflective of the costs of production.

    These reforms will take time to implement, so in the meantime, we are urgently evaluating the scale of these extraordinary profits and the appropriate steps to take. So our energy profits levy will encourage investment, not deter it. It will raise around £5 billion of revenue over the next year so that we can help families with the cost of living, and it avoids having to increase our debt burden further. There is nothing noble in burdening future generations with ever more debt today because the politicians of the day were too weak to make the tough decisions.

    I know the whole House will agree that we have a responsibility to help those who, through no fault of their own, are paying the highest price for the inflation we face. To help with the cost of living, we are going to provide significant targeted support to millions of the most vulnerable people in our society: those on the lowest incomes, pensioners and disabled people.

    First, on people on the lowest incomes, over 8 million households already have incomes low enough for the state to be supporting their cost of living through the welfare system. They could be temporarily unemployed and looking for work; they could be unable to work because of long-term sickness or disability; or they could be on low pay and using benefits to top up their wages. Right now, they face incredibly difficult choices. I can announce today that we will send directly to around 8 million of the lowest-income households a one-off cost of living payment of £650. That support is worth over £5 billion and will give vulnerable people certainty that we are standing by them at this challenging time. The Department for Work and Pensions will make the payment in two lump sums, the first from July and the second in the autumn, with payments from Her Majesty’s Revenue and Customs for those on tax credits following shortly after. There is no need for people to fill out complicated forms or bureaucracy, as we will send the payments straight to their bank account.

    Our policy will benefit over 8 million households in receipt of means-tested benefits from July. Uprating in that timeframe could only be done for those on universal credit, and our policy will provide a larger average payment this year of £650, whereas uprating the same benefits by 9% would be worth only £530 on average.

    There are two further groups who will need extra targeted support. Many pensioners are disproportionately impacted by higher energy costs. They cannot always increase their income through work and, because they spend more time at home and are more vulnerable, they often need to keep the heating on for longer. We estimate that many people who are eligible for pension credit are not currently claiming it, which means many vulnerable pensioners will not be receiving means-tested benefits. I can announce today that, from the autumn, we will send over 8 million pensioner households that receive the winter fuel payment an extra one-off pensioner cost of living payment of £300.

    Disabled people also face extra costs in their day-to-day lives; for example, they may have energy-intensive equipment around their home or workplace. To help the 6 million people who receive non-means-tested disability benefits, we will send them, from September, an extra one-off disability cost of living payment worth £150. Many disabled people will also receive the payment of £650 I have already announced, taking their total cost of living payment to £800.

    I can reassure the House that next year, subject to the review by the Secretary of State for Work and Pensions, benefits will be uprated by this September’s consumer prices index, which on the current forecast is likely to be significantly higher than the forecast inflation rate for next year. Similarly, the triple lock will apply to the state pension.

    Of course we recognise the risk that, with any policy, there may be small numbers of people who fall between the cracks. For example, it is not possible right now for the DWP or HMRC to identify people on housing benefit who are not also claiming other benefits. To support them and others, we will extend the household support fund delivered by local authorities by £0.5 billion from October.

    This is a significant set of interventions to support the most vulnerable in our country. We will legislate to deliver this support on the same terms in every part of the United Kingdom, including Northern Ireland. Taken together, our direct cash payments will help one third of all UK households with cost of living support worth £9 billion.

    We are meeting our responsibility to provide the most help to those on the lowest incomes. I believe that is fair, and I am confident that the House will agree, but many other families who do not require state support in normal times are also facing challenging times. Is it fair to leave them unsupported? The answer must surely be no.

    Although it is impossible for the Government to solve every problem, we can and will ease the burden as we help the entire country through the worst of this crisis. We will provide more support with the rising cost of energy, and that support will be universal. Earlier this year, we announced £9 billion to help with the cost of energy, including a council tax rebate of £150 for tens of millions of households.

    We planned to provide all households with £200 off their energy bills from October, with the cost repaid over the following five years. Since then, the outlook for energy prices has changed. I have heard people’s concerns about the impact of these repayments on future bills, so I have decided that the repayments will be cancelled. For the avoidance of doubt, this support is now unambiguously a grant. Furthermore, we have decided that the £200 of support for household energy bills will be doubled to £400 for everyone. We are on the side of hard-working families with £6 billion of financial support.

    To summarise, our strategy is to combat and reduce inflation over time through independent monetary policy, fiscal responsibility and supply-side activism. We are raising emergency funds to help millions of the most vulnerable families who are struggling right now, and all households will benefit from £400 of universal support for energy bills, with not a penny to repay.

    In total, the measures I have announced today provide support worth £15 billion. Combined with the plans we have already announced, we are supporting families with the cost of living through £37 billion or 1.5% of GDP. That is more than or similar to the support in countries such as France, Germany, Japan and Italy. I am proud to say that around three quarters of that total support will go to vulnerable households.

    As a result of the measures announced today and the action we have already taken this year, the vast majority of households will receive £550, pensioners will receive £850 and almost all of the 8 million most vulnerable households in the country will, in total, receive support of £1,200.

    Let me put that in context. The House will have noted the news from Ofgem earlier this week that it expects the energy price cap to rise to £2,800 in October. That implies an average increase in people’s bills this year of just under £1,200, which is the same amount as our policies will provide for the most vulnerable people this year.

    I know there are other pressures. I am not trying to claim that we have solved the entire problem for everyone—no Government could—but I hope that when people hear of the significant steps we are taking, and the millions we are helping, they will feel some of the burden eased and some of the pressures lifted. They will know that this Government are standing by them.

    Supporting people with the cost of living is only one part of our plan for a stronger economy—a plan that is: creating more jobs; cutting taxes on working people; reducing our borrowing and debt; driving businesses to invest and innovate more; unleashing a skills revolution; seizing the benefits of Brexit; and levelling-up growth in all parts of the United Kingdom. The British people can trust this Government because we have a plan for a stronger economy, and I commend it to this House.

  • John Baron – 2022 Speech on Evacuations from Afghanistan

    John Baron – 2022 Speech on Evacuations from Afghanistan

    The speech made by John Baron, the Conservative MP for Basildon and Billericay, in the House of Commons on 26 May 2022.

    Last summer, Operation Pitting brought over 15,000 people to the UK from Afghanistan. We all commend those who were directly involved on the ground in that operation. However, the recent report by the Foreign Affairs Committee—whose Chair, my hon. Friend the Member for Tonbridge and Malling (Tom Tugendhat), is sitting behind me—sets out that there was no comprehensive plan detailing who should come, how many should come and in what order. Many people who should be in this country in safety are still in Afghanistan in fear for their lives.

    A key example is British Council contractors. They did not work directly for the Government, or indeed for the British Council, but they still did their bit promoting the English language, British culture and British values; the Taliban do not see or recognise the difference. We have about 170 British Council contractors and their families in Afghanistan, of whom about half are deemed to be at very high risk, according to our own definition, and a further 93 or so are deemed to be at high risk. Many of them live in constant fear for their lives, moving from house to house as they are actively hunted by the Taliban.

    I had a positive meeting with the Minister for Refugees last week, but we are coming up against constant FCDO red tape and bureaucracy, which is preventing the FCDO from immediately helping those who are in the greatest danger through the ACRS. It is bureaucracy at our end; we have identified the individuals who are in danger in Afghanistan.

    As somebody who opposed the morphing of the mission into nation building in Afghanistan—I think I was the only Conservative to vote against it when we had the opportunity—I feel that the Government owe these people a debt of honour. There is an obligation to help them. I appreciated the Prime Minister’s answer to my question yesterday, in which he said he would do something about the issue, but I have been raising it since November and they have been in danger since the fall of Kabul. What undertakings can the Government give that they will finally break the bureaucratic deadlock? Time is running out.

  • James Cleverly – 2022 Statement on Evacuations from Afghanistan

    James Cleverly – 2022 Statement on Evacuations from Afghanistan

    The statement made by James Cleverly, the Minister for Europe and North America, in the House of Commons on 26 May 2022.

    The Government are grateful to the Select Committee on Foreign Affairs for its inquiry and its detailed report. We will consider the report carefully and provide a written response within the timeline that the Committee has requested.

    The scale of the crisis in Afghanistan last year is unprecedented in recent times. The report recognises that the Taliban took over the country at a pace that surprised the Taliban themselves, the international community and the former Government of Afghanistan. Many months of planning for an evacuation, and the enormous efforts of staff to deliver it, enabled us to evacuate more than 15,000 people within a fortnight, under exceptionally difficult circumstances. The Government could not have delivered an evacuation at that scale without planning, grip and leadership.

    The evacuation involved the processing of details of thousands of individuals by Ministry of Defence, Foreign, Commonwealth and Development Office and Home Office staff in the UK and teams on the ground in Kabul. In anticipation of the situation, the FCDO had reserved the Baron hotel, so the UK was the only country apart from the United States to have a dedicated emergency handling centre for receiving and processing people in Kabul International airport. RAF flights airlifted people to a dedicated terminal in Dubai, reserved in advance by the FCDO, where evacuees were assessed by other cross-Government teams; they were then flown on FCDO-chartered flights to the UK, where they were received by staff of the Home Office and other Departments, who ensured that they were catered for and quarantined. The evacuation was carefully planned and tightly co-ordinated throughout its delivery.

    As it does following all crises, the FCDO has conducted a thorough lessons learned exercise. We have written to the FAC with the main findings of that exercise. Changes have already been implemented by the FCDO, for example in response to the situation in Ukraine.

    We all regret that we were not able to help more people who worked with us or for us to get out of Afghanistan during the military evacuation. Since the end of the formal evacuation last summer, we have helped a further 4,600 people to leave Afghanistan. We will continue to work to deliver on our commitment to those eligible for resettlement in the UK through the Afghan relocations and assistance policy and the Afghan citizens resettlement scheme.

  • Jeremy Quin – 2022 Comments on Innovation Fund to Support Ukrainian Military

    Jeremy Quin – 2022 Comments on Innovation Fund to Support Ukrainian Military

    The comments made by Jeremy Quin, the Defence Procurement Minister, on 30 May 2022.

    Since Russia’s brutal invasion UK defence suppliers with active support from MOD and DE&S have taken equipment from desktop ideas to the front line. This £25m plus fund is designed to capture ongoing work and support innovative ideas to meet Ukrainian defence requirements.

    Recent months have shown the ingenuity and innovation of the UK defence sector. We want to ensure ongoing creativity is harnessed and directed at key requirements and all companies with a capability that can help are aware of the challenge.

  • Dominic Raab – 2022 Comments on Clink Kitchens Expansion

    Dominic Raab – 2022 Comments on Clink Kitchens Expansion

    The comments made by Dominic Raab, the Lord Chancellor, on 31 May 2022.

    Schemes like The Clink are training thousands of prisoners in catering and hospitality – to give them the skills to find work, and turn their back on crime. I’ve quadrupled the number of Clink kitchens operating out of our prisons – which is helping offenders stay on the straight and narrow, and keeping our streets safer.

  • G7 – 2022 Joint Statement on North Korea’s Intercontinental Ballistic Missile Test

    G7 – 2022 Joint Statement on North Korea’s Intercontinental Ballistic Missile Test

    The joint statement made by the G7 on 30 May 2022.

    We, the G7 Foreign Ministers of Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States of America, and the High Representative of the European Union, condemn in the strongest terms the test of yet another Intercontinental Ballistic Missile (ICBM) conducted on May 25, 2022, by the Democratic People’s Republic of Korea (DPRK). Like a number of ballistic missile launches the DPRK has conducted since the beginning of 2022, this act constitutes a further blatant violation of relevant UN Security Council resolutions and undermines international peace and security as well as the global non-proliferation regime.

    We are very concerned by the unprecedented series of ballistic missile tests with increasingly versatile systems across all ranges, building on ballistic missile tests conducted in 2021. Together with the evidence of ongoing nuclear activities, these acts underscore the DPRK’s determination to advance and diversify its nuclear capabilities. These reckless actions flagrantly breach the DPRK’s obligations under relevant UN Security Council resolutions, which the Security Council most recently reaffirmed in resolution 2397 (2017). They also pose a danger and unpredictable risk to international civil aviation and maritime navigation in the region.

    We, the G7 Foreign Ministers and the High Representative of the European Union, reiterate our urgent call on the DPRK to abandon its weapons of mass destruction and ballistic missile programs in a complete, verifiable and irreversible manner and to fully comply with all legal obligations arising from the relevant Security Council resolutions.

    We deeply regret that the Security Council has failed to adopt the draft resolution aimed at condemning the series of recent ballistic missile launches by the DPRK and strengthening measures against it despite support from 13 members. We urge all UN Member States, especially Security Council members, to join us in condemning the DPRK´s behaviour and reaffirm its obligation to abandon its weapons of mass destruction and ballistic missile programs. These acts demand a united response by the international community, including a united stance and further significant measures by the UN Security Council.

    We reiterate our call on the DPRK to engage in diplomacy toward denuclearization and accept the repeated offers of dialogue put forward by the United States, the Republic of Korea and Japan. By diverting its resources into weapons of mass destruction and ballistic missile programs the DPRK further aggravates the already dire humanitarian situation in the DPRK. We urge the DPRK to facilitate access for international humanitarian organizations and for independent assessment of humanitarian needs such as food and medicines as soon as possible.

    We also call on all States to fully and effectively implement all relevant Security Council resolutions, and to address the risk of weapons of mass destruction proliferation from the DPRK as an urgent priority.

    The G7 remain committed to working with all relevant partners towards the goal of peace and stability on the Korean Peninsula and to upholding the rules-based international order.

  • Jo Churchill – 2022 Speech on the Deposit Return Scheme

    Jo Churchill – 2022 Speech on the Deposit Return Scheme

    The speech made by Jo Churchill, the Parliamentary Under-Secretary of State for Environment, Food and Rural Affairs, in the House of Commons on 26 May 2022.

    If you will indulge me, Mr Deputy Speaker, on the day of the Humble Address to Her Majesty, I wish to add my voice and those of the constituents of Bury St Edmunds to the voices of others in this place who have expressed their deep appreciation of and thanks for Her Majesty’s dedication, kindness, good humour and service to our nation. She has visited our great county on many occasions and I know that we will celebrate, as the rest of the country will, with bunting and fanfare over the coming week. I am looking forward to judging a fancy dress competition in one of my lovely villages.

    As a long-term advocate for our natural environment, Her Majesty, I am sure, would be extremely interested in the important subject that we are discussing today. On that note, I thank my hon. Friend the Member for Kettering (Mr Hollobone) for securing this debate and for the opportunity to discuss the Government’s plans for introducing a deposit return scheme for drinks containers.

    As I am sure my hon. Friend is aware, there is an awful lot going on in this space, driven by our resources and waste strategy and the powers that we took in the Environment Act 2021, which was passed last November. With that in mind, we are proud to be driving forward work across the collection and packaging reforms, which is made up of the deposit return scheme, the extended producer responsibility for packaging and the increased consistency in recycling collections in England to which he referred.

    The DRS is pivotal to this Government’s commitment to increasing recycling rates. However, we should not overlook that it will provide other benefits. In particular, it will deliver high-quality recyclate for recycling; enable the drinks industry to close the loop on its packaging; help move the UK towards the circular economy, where resources are kept in use longer and waste is minimised, taking us away from that linear throwaway society; deter the littering of in-scope containers; reduce the associated damage to wildlife and habitats; and therefore promote pro-environmental consumer behaviours, with potential knock-on effects on other positive environmental activities.

    My hon. Friend has raised some important concerns on behalf of the industry. I want to be clear that our ambition is to introduce a deposit return scheme that works for everyone—for the consumer and across the industries. I know that, in many of our households, across the UK, drinks packaged in metal cans are drunk regularly. For that reason, we all recognise that those cans—light, sturdy, and convenient for storage and transport—have intrinsic qualities that will always make them desirable to consumers and the product of choice. We are of course mindful that any cost to people’s purses, or businesses is particularly tough in the current environment, but we do want to introduce policies that encourage recycling and reduce the amount of litter that blights our environment.

    Although DRS is a complex policy to introduce, requiring the efforts of multiple industries, in one way, we are lucky. As my hon. Friend said, there are 40 other deposit return schemes out there, in other nations, from which we can learn. Not only are we drawing on the experiences of the roll-out of DRS in Scotland to inform implementation and planning, but I had the pleasure of meeting the Environment Minister from Lithuania, where a scheme was also recently introduced. I have plans to visit Norway shortly to find out more about its deposit return scheme. Norway has not included glass in its scheme, and nor have the Netherlands or Sweden. I note that the hon. Member for Strangford (Jim Shannon) is no longer in his place, but I understand that southern Ireland, in its plans for a scheme, is contemplating excluding glass. There is, therefore, a mixture of schemes out there.

    I recognise that there are deposit return schemes with different scope across the United Kingdom, given that glass is excluded in England and Northern Ireland, but we remain totally committed to working with the devolved Administrations to ensure that there is a completely coherent, interoperable system across the UK.

    Excluding glass offers us an opportunity to look at how we incentivise reusable schemes for glass. Those containers that are not within the deposit return scheme are within the extended producer responsibility scheme, so exclusion does not in any way mean that we are not making policy to improve the reuse, recycling and resource efficiency of those things. On the question of VAT, as my hon. Friend would expect, we are in discussion with Her Majesty’s Treasury. I have met the Financial Secretary on this matter in the recent past, as has the Secretary of State.

    Ultimately, DEFRA’s ambitious collections and packaging reform agenda cannot be delivered by Government alone. The deposit return scheme will be an industry-led scheme. For that reason we, alongside colleagues in the devolved Administrations, continue to work closely with all relevant sectors to implement a scheme that is as coherent and aligned as we can make it.

    I take this opportunity to thank all those who have fed into the consultations, and those who continue to be generous with their insights and expertise into what is positive about schemes they run and where they think we can improve. That will ensure that we deliver a successful deposit return scheme in England.

  • Philip Hollobone – 2022 Speech on the Deposit Return Scheme

    Philip Hollobone – 2022 Speech on the Deposit Return Scheme

    The speech made by Philip Hollobone, the Conservative MP for Kettering, in the House of Commons on 26 May 2022.

    Thank you very much indeed, Mr Deputy Speaker. What a pleasure it is to see you in the Chair. I should also like to thank Mr Speaker for granting me permission for this debate, and to welcome the Under-Secretary of State for Environment, Food and Rural Affairs, my hon. Friend the Member for Bury St Edmunds (Jo Churchill), to her place on the Front Bench.

    The issue before us today is Her Majesty’s Government’s proposed deposit return scheme for drinks containers, whereby consumers will pay a small levy upon purchasing a drink, which is then refunded once the container is returned to a collection point. Specifically, I wish to raise my serious concern that glass bottles are to be excluded from the scheme. The omission of glass represents a real and serious threat to the effectiveness with which a deposit return scheme in England and Northern Ireland can realistically be delivered. Quite simply, its exclusion would be a catastrophe for our natural spaces as we all look to stem the tide of drink container pollution. It also represents the direct betrayal of a promise made by the Conservative party to voters at the last general election, when we said in the manifesto that we would introduce a deposit return scheme for both plastic and glass drinks containers. I wish to use this debate today to urge Her Majesty’s Government to rectify this as a matter of urgency and to immediately revisit the scheme’s design so as to include drinks containers made from glass.

    In 2019, the Conservative party laid out its ambitions for the future of our country in its election-winning manifesto, which attracted 60% support in the Kettering constituency. Central to our aspirations was positioning Britain as a world leader in rising to the environmental challenges that are facing our planet today. One of the challenges identified was how we manage and process waste, and in particular, combating the growing problem of discarded waste, of which drinks containers are a large part. In that manifesto, the Conservative party outlined plans for a world-class deposit return scheme for drinks containers in a bid to minimise their impact on the environment. The manifesto said:

    “We will crack down on the waste and carelessness that destroys our natural environment and kills marine life. We will introduce a deposit return scheme to incentivise people to recycle plastic and glass.”

    Jim Shannon (Strangford) (DUP)

    Will the hon. Gentleman give way?

    Mr Hollobone

    I would be honoured and delighted.

    Jim Shannon

    I congratulate the hon. Gentleman on bringing forward this debate. In my council area of Ards and North Down, the council has a strategy and a plan of action for recycling. It includes many kinds of recycling and it tries not to leave anyone out of any part of it. The hon. Gentleman is saying that glass needs to be part of that programme, and that that needs to be a commitment. In my council area, each household has a glass return system and a plastic basin to put the glass into. They can also go to recycling centres, which are probably no further than three miles from any person. Those are examples of what we are doing in Northern Ireland, where there is a clear commitment, a strategy and a plan through the council, and across the Northern Ireland Assembly as well. Would he like to see more of those kinds of strategies?

    Mr Hollobone

    I thank the hon. Gentleman for his helpful and interesting intervention, and I commend his local council for its recycling efforts. There are similar schemes across the four nations, but as I will come on to later in my remarks, the problem with leaving glass out of the deposit return scheme is that it will be a missed opportunity to increase overall glass recycling rates to the best international standards. At the moment, my understanding is that the Government’s proposal for the deposit return scheme in England and Northern Ireland will be different from the deposit return schemes in Scotland and Wales, which will include glass. One of the difficulties is that there will be different deposit return schemes in different parts of the United Kingdom.

    Jim Shannon

    Again, to illustrate the point and support what the hon. Gentleman is saying, the recycling schemes in our council area have, in a way, reached their peak. That is a problem. I think he is referring to something that I would fully support—I know the Minister will give her comments on the matter later—which is some way of raising awareness of the fact that there would be a reimbursement advantage for people who are prepared to recycle their glass. In anticipation of what the Minister will say, I will take a copy of the Hansard report of this debate and make sure that I show it to the relevant Minister at the Northern Ireland Assembly so that they can do the very same.

    Mr Hollobone

    As usual across so many issues, the hon. Gentleman and I are on the same page. My contention is that the United Kingdom will not be able to achieve the best international glass recycling levels unless glass is included in the deposit return scheme.

    As Conservatives, we made a vow to voters to introduce a scheme that serves the public and Britain’s precious natural habitats. However, Her Majesty’s Government have so far committed to introducing, by 2024, a deposit return scheme across England and Northern Ireland inclusive of only plastic bottles and aluminium cans. Glass is a glaring omission.

    A huge 86% of respondents to the Government’s first consultation on the deposit return scheme said they want glass to be included but, despite this overwhelming majority support from technical experts, charities, scientists and the great British public, calls for glass to be included have been ignored.

    The scheme’s current design falls well short of what was promised and will see it fail to achieve what is required. A deposit return scheme that excludes glass runs the risk of being a global embarrassment for a country that seeks to position itself as leading from the front on environmental issues. In its current form, the scheme’s design will fail to crack down on glass waste and will miss a wonderful opportunity to protect our natural environments from glass pollution.

    The case has been made that including glass is problematic. However, this case has been made by glass industry lobbyists who have a vested interest in ensuring glass containers are not included in such a scheme. One such argument is that glass, once collected, can be hazardous and dangerous for those charged with sorting it for recycling when it becomes broken. This works both ways, as it can also be argued that glass poses a greater risk to the public and pet owners when it breaks down in nature rather than in the controlled environment of recycling plants.

    The lack of a deposit return scheme for glass containers poses a very real risk that such containers will continue to end up on our pavements and in our parks and outdoor spaces, where they will be a health and safety risk to UK residents. This public safety danger is unmatched by other containers. In that regard, the scheme’s current proposal fails to protect both the environment and the British public.

    Additionally, glass industry lobbyists have suggested that the inclusion of glass will drive consumers towards purchasing highly polluting plastic bottles. However, with the public already widely aware of the prevalence and environmental impact of plastic pollution, I contend that these claims are speculative at best. If we are to tackle the waste crisis, we must trust consumers to do the right thing, but it is vital that we arm them with the tools to do so.

    British Glass responded to the Government’s consultation, which closed on 4 June 2021, citing various concerns that have little foundation, one of which is that the inclusion of glass would have a detrimental impact on closed-loop glass recycling, despite the industry’s present inability to increase glass recycling rates. Indeed, British Glass explained in its response how the industry is committed to a 90% collected for recycling rate, and to an 80% remelt target by 2030 that would see 80% of all glass recycled back into new bottles and jars, but the stark reality is that this goal will almost certainly never be realised.

    By global standards, the UK lags well behind its international counterparts in the collection and recycling of glass bottles, sitting behind countries such as Ireland, France, Spain, Italy, Belgium and Bulgaria. In 2020, the UK’s glass collection rate for recycling stood at just 76%, well below Italy, which boasts a recycling rate for glass bottles of 87%. Meanwhile, across the UK, it is estimated that 5 billion glass bottles are used each year. Under current recycling rates, this means some 1.2 billion glass bottles each and every year are destined to litter our environment or to languish in landfill.

    Current systems to raise our collection and recycling rates are lacking. Much of the glass collected across the UK is not suitable for closed-loop recycling, where discarded bottles are turned back into new ones. That is due to the current collection process, which often sees the mixing of different colours and crushing during transportation. However, a well-thought-out, properly prepared deposit return scheme can address these issues with separated collection methods, which will make closed-loop recycling far more viable. That should be considered as a point of urgency, as it is estimated that a well-designed scheme for the UK could improve recycling rates for bottles and cans to more than 90%. At the same time as the Government are also presently consulting on the consistency of kerbside collections in England, with the laudable aim of reducing confusion, through their DRS plans they are paving the way for potentially four different deposit systems to be in place in the UK. Potential confusion among consumers caused by the current design is likely to undermine the effectiveness of England and Northern Ireland’s scheme. Both Scotland and Wales are set to see glass included in their schemes, but a lack of consistency across the UK as a whole, where consumers cross borders routinely, could see us fail to raise glass recycling rates to the levels they need to be, because consumers will not know when and where glass containers can be disposed of. The DRS for drinks containers should be designed with a view to avoiding this confusion and instead empowering the public to do the right thing.

    British consumers are overwhelmingly in favour of a scheme that includes all beverage materials and are opposed to the exclusion of glass bottles. A Populus poll commissioned in 2020 by environmental organisation Nature 2030 found some 84% of Britons want all beverage containers to be included in the Government’s proposed scheme. That polling was welcomed by campaigners and academics, who outlined how a comprehensive deposit return scheme will give us the best chance to combat litter. What is vital, and something the Government must not ignore, is that the UK is not walking into unproven territory as it looks to deliver its own scheme; a host of countries have already implemented successful and highly efficient deposit return schemes inclusive of all materials. Those have been proven to dramatically increase collection and recycling rates, and can be used as a powerful template for Britain to follow in implementing its own scheme. Crucially, due to their success, those other international schemes prove that the issues raised by the glass industry lobbyists here are unfounded. Indeed, all-inclusive schemes are common across the world. From more than 40 such schemes globally, only three do not include glass bottles and they exclude glass because they already have in place a returnable system specifically for glass bottles, something that the UK currently lacks. Australia implements a deposit return scheme that also covers beverage cartons, while Canada’s scheme includes cartons, bags in boxes, and plastic pouches. Finland and Denmark, which are considered to implement world-class return schemes, enjoy incredibly high return rates of 94% and 92% respectively. These successes are widely regarded as being due to their systems being inclusive of all materials, with the simplicity of the system being crucial to achieving the public support needed for these schemes to be a success.

    In my view, it makes little sense to deviate from such successful schemes, and even less sense when Scotland and Wales are looking to mirror the international successes. For example, Scotland is set to introduce a scheme that includes glass bottles by August 2023, while Wales is set to introduce a scheme that includes glass by 2024. It is vital to ensure interoperability among the schemes and to help consumers to adopt consistent and responsible behaviour across the four nations of the UK. Not only is the Government’s derisory decision to omit glass seeing us fail to be a world leader on the waste crisis on a global scale, but we are falling well behind Scotland and Wales.

    In an open letter, some 25 experts in the field recently urged the Government to introduce a deposit return scheme for drinks containers that mirrors Denmark’s system. Cross-party politicians, non-governmental organisations and academics are calling for the Government’s scheme to include all materials, including glass, plastic and aluminium. Denmark has a track record of fine-tuning its own scheme to be as effective as possible. It is a ready-made road map that the UK could follow and would help us to avoid the potential pitfalls that we may encounter along the way if we follow our own bespoke path.

    I also wish to raise the issue of VAT. The Government currently plan to apply VAT to deposit return scheme deposits on top of the VAT already charged on the drink. The current expectation is that, if there were a 20p charge, it will be gross of VAT—that is, 17p plus 3p—which means that, if the customer does not return the drinks container that they buy, the producer will receive only 17p back instead of the full 20p. The Government will take the remaining 3p in VAT. If we factor in the estimated 28 billion containers on the UK market, that could mean as much as £185 million lost from the scheme through unredeemed deposits—assuming an 80% return rate—in the first year alone. That would create a situation in which the Government in effect end up profiting from the failure of their own deposit return scheme. What is more, adding VAT to the deposit fee effectively imposes a stealth tax on drinks producers, backing the industry into a corner and creating the real scenario of price rises for the products in question.

    If the Government are serious about introducing a scheme, they need to avoid the noise from glass-industry lobbyists and deliver a scheme that works for the environment. Pandering to industry calls makes little sense in the face of overwhelming public support for glass to be included. Furthermore, there is a health and safety risk. Glass is a high-carbon, highly polluting material that presents a real hazard to the public once it is discarded in public places. We should look to create a scheme that drives up the collection and processing of such material, rather than one that makes closed-loop glass recycling more unattainable.

    In conclusion, the omission of glass from the Government’s deposit return scheme represents a real and serious threat to the effectiveness with which a deposit return scheme in England and Northern Ireland can realistically be delivered. Quite simply, its exclusion would be a potential catastrophe for our natural spaces as we all look to stem the tide of drink-container pollution. It also represents a direct betrayal of a promise made by the Conservative party to voters at the most recent general election, when we said in our manifesto that we would introduce a deposit return scheme for both plastic and glass drink containers. I urge Her Majesty’s Government to rectify the situation as a matter of urgency and immediately revisit the design of their scheme so as to include drinks containers made from glass.