Tag: John Major

  • Sir John Major – 2021 Statement Following Death of HRH The Duke of Edinburgh

    Sir John Major – 2021 Statement Following Death of HRH The Duke of Edinburgh

    The statement made by Sir John Major on 9 April 2021.

    It is impossible to exaggerate the role that HRH The Duke of Edinburgh has played in his lifetime of service to the Monarchy and to the United Kingdom.

    A distinguished naval officer, he was – for over seventy years – the ballast to our Ship of State.

    Modest to the core, and hating any kind of fuss or bother, he epitomised the British spirit and remained true to himself right up to the very end.

    The outpouring of affection and sadness that will follow his loss would both surprise and embarrass him, but it will be real and heartfelt.

    Our hearts go out to HM The Queen – and all members of the Royal Family – who have lost a much beloved husband, father, grandfather and great-grandfather.

  • John Major – 2020 Speech at Middle Temple

    John Major – 2020 Speech at Middle Temple

    The speech made by Sir John Major on 9 November 2020.

    THE STATE WE’RE IN

    It is a privilege to be invited to deliver this lecture and my only regret is that it is remote – with no live audience ….. nor the delights of a Middle Temple dinner.

    Given the date, my subject is appropriate. On this day in 1923, Hitler failed to seize power in Germany; in 1938, it marked Kristallnacht and the Nazi assault on Jews; and, in 1989, the Berlin Wall fell.

    Each of these events impacted on the wider world – and that wider world will now impact on “The State We’re In”.

    The future of that State requires plain speaking if we are to be honest with our nation.

    And, of course, with ourselves. The great powers of our age are the United States, China, and the European Union.

    The world they straddle is fractious. The values of liberal society are stalled, if not in retreat. America and China are in a Trade War and an embryonic Cold War. Europe and America are far apart on many issues, but both deplore China’s authoritarian direction under President Xi.

    Lesser powers like Russia – the Great Disrupter – and Turkey continue to subvert and to meddle.

    Free trade and globalisation are now widely questioned.

    Migration and radical Islam are an ever present problem.

    Populism continues to promote prejudice and racial intolerance.

    And, in many nation states, autocracy has grown – and democracy has fallen back.

    Our world seems ill at ease, at a moment when harmony and collective decision making seem more and more essential for our security and well-being.

    The post-War settlement is out of date.

    The United Nations is hamstrung by the rules of its own Security Council.

    The World Trade Organisation is paralysed, with no functioning resolution dispute procedure.

    The World Health Organisation is under-funded, under-powered and under attack.

    Despite all this, no nation seems prepared to lead the case for reform.

    The financial crash of 2007 weakened many countries and the lives of billions of people; and, in the year of Covid, trillions of dollars have been diverted from growth as the virus has increased hardship on every Continent.

    This is the wider context in which the United Kingdom must prepare for our future, whilst facing the added challenges of Covid-19 – and Brexit.

    Our country has many virtues but, if we are to be successful in this challenging environment, we need to be cruelly honest with ourselves about what needs to be done to ensure our political and economic wellbeing.

    If we’re complacent, we betray our own interests. If we see ourselves through rose-tinted spectacles, then we will deceive ourselves.

    Complacency and nostalgia are the route to national decline. So I favour reality and optimism – but with the warning that false optimism is deceit by another name.

    We are no longer a great power. We will never be so again. In a world of nearly 8 billion people, well under 1% are British.

    We are a top second-rank power but, over the next half century – however well we perform – our small size and population makes it likely we will be passed by the growth of other, far larger, countries.

    In recent decades, we have consoled ourselves that we “punch above our weight” in international affairs. I think that was true: but that was then, and this is now.

    Our hefty international influence rested on our history and reputation, buttressed by our membership of the European Union and our close alliance with the United States.

    Suddenly, we are no longer an irreplaceable bridge between Europe and America. We are now less relevant to them both.

    COVID

    At home, we must face Covid.

    Covid has already left many families bereaved and bereft. It has changed lives and work patterns, cost billions, increased national debt and annual deficits.

    It has destroyed public tolerance of austerity, and made tax rises inevitable – although not, if we are sensible, until the economy is more healthy.

    The virus also presents a formidable obstacle to one of the Government’s better instincts. Their intention is to level up the regions and help individuals “left behind”. The pernicious effect of Covid will be to level down.

    The problem is not so much the gap between rich and poor, but that the poor may become so indebted and destitute they are unable to maintain themselves – or their families.

    The classic response to tide people over – until the private sector returns to full capacity – is for social subsidy out of taxation.

    But billions upon billions have already been spent, and friction between the extent of need and the capacity to help is inevitable.

    And there are many in need of help – businesses forced to shut down, the unemployed, the self-employed, the care sector, health, the arts, sport: the demands on the Exchequer are beyond anything we have known in peacetime.

    The Government deserves credit for what has been spent so far, to set against criticism for unmet needs.

    But I do find it surprising that – in the midst of the Covid crisis – the Government appears to be fostering disputes with the Judiciary, where all Governments should tread carefully; the Civil Service, upon whose help the Government depends; and the BBC, still the most respected broadcaster on the planet.

    These are unmerited distractions from the issues the country needs them to focus on.

    BREXIT

    The core change in the New Britain being forged is – Brexit. It has been hidden behind Covid for a few months. It has not gone away. You have to be wilfully in denial not to see the damage already done, and not to be concerned at what it might mean.

    Brexit divided England and Wales from Scotland and Northern Ireland. It divided political parties and families; the young and their elders; business and trade unions; and friend from friend. As its full impact becomes apparent in the New Year, old wounds may re-open.

    There is no consensus on Brexit, and never has been. It was a bitterly divisive policy, and uncorked a populism that may be difficult to quell.

    The Referendum debate was unlike any I have known before. Emotion overcame reality. And, in the search for hearts and minds and votes, fiction defeated fact and fostered a belief in a past that never was – whilst boosting enthusiasm for a future that may never be.

    If that mode of politics takes root, it will kill all respect in our system of government.

    In the Referendum, Britons voted to leave the European Union. I have never hidden my view, nor have I changed it. To my mind – and I am no starry-eyed European – Brexit is the worst foreign policy decision in my lifetime.

    I have seen the EU from the inside and know its frustrations. But have no doubt we were better off in than we will be out.

    The decision to leave will damage our future in many ways, and the reassurances we are given are unconvincing.

    Brexit was sold to our electors on false premises.

    Promises made will not – indeed, cannot – be kept. To leave the EU – to separate ourselves from our neighbours – was sold as “regaining sovereignty”, but it is, and will prove to be, a long and painful ball and chain on our national wellbeing.

    After the Referendum, Brexiteers did not even bother to argue the merits of their case – why should they? – it was “the will of the people”.

    And once “the will of the people” was asserted as a repeated mantra – and the Brexit leaders claimed to speak for all “the people” – any opposition to Brexit became illegitimate, and any contrary view was howled down.

    Free speech for those who supported remaining in the EU came at a price. They were pilloried as “Remoaners”: sticking to long-held principles and policies, and warning of clear dangers ahead was depicted as “sour grapes by sore losers”.

    Even Judges were denounced as “Enemies of the People” for ruling on a Point of Law. Opponents of Brexit were cowed, and free speech was curtailed. It was shameful. No democracy should find itself in such a position.

    Overseas, the outcome of the Referendum delighted our enemies and dismayed our friends. As our nation voted against its history and its self-interest, a bemused world looked on, wondering why we had chosen to become poorer and less influential.

    Brexit was sold to the nation as a win-win situation. It is not. We were promised we would stay in the Single Market. We have not. We were told trade with the EU would be frictionless. It will not be.

    We were promised we would save billions in payments to the European Union: a bus was driven around the country telling us so. Not so: Brexit is costing billions – not saving them.

    We were told that our “liberated country” could cut back on bureaucracy and regulations. We now know they will increase – and dramatically.

    We were promised we would strike lucrative trade deals with America, India, China and others in quick time. Japan apart – we have not.

    More recently – and for the first time in our long history – Ministers have proposed legislation giving them powers to break the law. This is a slippery slope down which no democratic Government should ever travel.

    And, it was claimed, Brexit wouldn’t increase support for Scottish independence or a united Ireland. It has.

    It defies logic that intelligent men and women making such extravagant promises did not know they were undeliverable – and yet they continued to make them.

    It was politics. It was campaigning. It was for a cause.

    It was also unforgiveable.

    If that is how we are going to conduct our public affairs, then not only will our politics truly fall into a bad place, but our word as a nation will no longer be trusted.

    POST-BREXIT TRADE

    Trade has always been the life-blood of our prosperity.

    We were promised a comprehensive trade deal with the EU. We were told this would be “the easiest deal in history” because “we hold all the cards”. Apparently not.

    As the politics changed, the promises were ditched.

    We can now look forward to a flimsy, barebones deal – or no deal at all. This is a wretched betrayal of what our electors were led to believe.

    It now seems that on 1 January next year, Brexit may be even more brutal than anyone expected.

    Brexit is no friend of free trade with Europe. It may set up new tariff barriers. And it certainly will:

    set up non-tariff barriers;
    damage supply chains;
    add to regulations;
    demand new customs and security declarations;
    require Rules of Origin to prove where spare parts came from; – require tens of thousands of customs agents to process new bureaucracy; – create huge stockpiling dilemmas; and
    require new massive storehouses to hold supplies.

    These costs and complexities are the certain legacy of Brexit. This is as a result of our negotiating failure – and it is a failure.

    Because of our bombast, our blustering, our threats and our inflexibility – our trade will be less profitable, our Treasury poorer, our jobs fewer, and our future less prosperous.

    This is not hindsight wisdom: this outcome was not only foreseeable, it was foreseen. Unfortunately, in a brilliant mis-direction, all warnings were scorned as “Project Fear” and ignored. And, to add tragedy to farce, it was the people who were misled who will now lose out.

    The Government has not been frank about our negotiations with Europe.

    They say we are merely asking for a Canada deal, but that’s not so. We are asking for a deal without tariffs or quotas and for more on haulage, on energy, on aviation – and we are a bigger trading rival than Canada and nearer to the EU.

    The Canada comparison is – to put it kindly – disingenuous. And to refer to an Australian deal is absurd.

    There is no Australia deal. It is a fantasy: a euphemism for no deal at all – and the Government should say so.

    Its reputation will suffer if it is not honest with the British people about this.

    It is time to stop putting Ministers on the media who speak to a pre-prepared script and parrot misleading or pointless slogans.

    There are hopes of trade deals with America, China and India. They would be welcome but, once again, the promises are overdone.

    One day, I am sure, we will get the much-heralded trade deal with America, originally promised for last Spring, then Summer – now, who knows?

    When it does come, it will benefit America far more than us. It may be symbolically important, but it won’t be an economic game-changer.

    The promised trade deal with China is highly unlikely in any near timescale. Our ice-cold diplomatic relations with Russia rule out a trade deal with her, too.

    And, if we wish to have a trade deal with India, the Government must realise that we cannot seek it on a Monday, and restrict immigration from India on Tuesday – it is a poor optic and a worse negotiating strategy.

    The macro arguments against Brexit: the economic and social damage, our weaker position in the world, and the loss of trade advantages, may seem remote. They won’t prove to be.

    WIDER IMPACT OF BREXIT

    And lesser issues will impact directly:

    the loss of freedom of movement in Europe;
    higher food prices;
    more expensive holidays;
    the withdrawal of EU driving licences;
    the cost of health insurance without the free cover of the European Health Card;
    the loss of the Pet Passport Scheme and the expensive – and time consuming – effort to get approval for pets to travel;
    higher roaming charges for mobile phones;
    slower entry and more delays at European airports; and
    the loss of the automatic right to work, live or study in the EU.

    Small irritations, some may say, but – collectively – a significant loss of freedom that will be an unwelcome surprise to many as Europe itself begins to “take back control”.

    When the present phase of Brexit is over, it is important we negotiate a more comprehensive relationship with the EU than is likely to emerge from the present negotiations.

    We should seek bilateral agreements in areas of trade and policy which have not been agreed in these rushed negotiations.

    We should work with the EU to address global problems.

    And we should recognise that the nations of the EU are bound with ourselves in ties of common interest, history and future destiny.

    To ignore this would be a dereliction of our national interests.

    SCOTTISH INDEPENDENCE

    One deeply troubling effect of Brexit is the risk of breaking up the UK by increased support for Scotland to leave the Union, and Northern Ireland to unite with the South.

    Neither will do so immediately, but the combination of Brexit – and the unpopularity of our present Westminster Government in Scotland – has increased the likelihood of a breach.

    I remain a convinced Unionist. Every part of the UK is richer – and of more weight in the world – if they stay together.

    The most likely to leave is Scotland. If she does, it will not only weaken Scotland, but also undermine the rump of the UK.

    It will be a step into the unknown for us both.

    The problem is politics.

    The raison d’être of the SNP is an independent Scotland while – for many Conservatives – Unionism is at the heart of their philosophy. It is a challenge to see whether that chasm can be bridged.

    To keep the Union together will require consensus, consideration and consultation. The Government must engage, coax, encourage, and examine every possible route to find an arrangement that will obtain a majority for union.

    It will be difficult – and is made even more so by the posturing of English and Scottish nationalists.

    In law, the Scots require the approval of the Westminster Government before they can legally hold a new independence referendum.

    But refusing one might help the separatist case, by adding to the list of grievances the Scottish National Party exploit with such skill.

    The choice for the UK Government is either to agree the referendum can take place – or to refuse to permit it. Both options come with great risk. But the lessons of Brexit may offer a way ahead.

    The Westminster Government could agree for an Independence Referendum to take place, on the basis of two referenda. The first to vote upon the principle of negotiations, and the second upon the outcome of them.

    The purpose of the second referendum would be that Scottish electors would know what they were voting for, and be able to compare it to what they now have. This did not happen with Brexit: had it done so, there may have been no Brexit.

    Many Scottish voices – and especially business – may support the logic of this: it may focus minds away from a short-term reflex opposition to a perceived English Government, and back to the mutual and long-term virtues of the Union.

    NORTHERN IRELAND

    Brexiteers affected not to notice that Northern Ireland’s support for the European Union pulled the Six Counties more into the orbit of the Republic of Ireland.

    This was exacerbated when the Prime Minister’s renegotiation of Theresa May’s Withdrawal Deal left Northern Ireland more integrated with the Republic than the rest of the United Kingdom.

    It was sold as a triumph, but it was a surrender.

    These developments accompanied a third reality: the Nationalist population in Northern Ireland is growing faster than the Unionists, and is close to a majority.

    The conjunction of these events is to increase the future possibility of a border poll – already sought by Sinn Fein – to vote upon a united Ireland.

    I doubt that such a poll would be won at present. Not all Nationalists will vote for unity. The Republic would find it hard to absorb the weak economic structure of the North.

    The time for a poll is not yet come. But it will. And if – when it does – the Northern Irish vote for unification, then those who ignored the warnings that Brexit posed will have to answer for the dismantling of a further part of the United Kingdom.

    And, here in Middle Temple, one issue cannot be ignored. The Rule of Law.

    Earlier I referred – in passing – to the provisions in the Internal Markets Bill that empower a Minister to disregard aspects of the Treaty the Prime Minister agreed earlier this year.

    This action is unprecedented in all our history – and for good reason. It has damaged our reputation around the world.

    Lawyers everywhere are incredulous that the UK – often seen as the very cradle of the Rule of Law – could give themselves the power to break the law.

    Moreover, at a moment when we need to maximise our commercial activities, this Bill has had a corrosive impact on the reputation of English and Welsh jurisdiction.

    This may have a practical cost.

    International dispute resolution can be conducted anywhere overseas and the Bill could erode the present pre-eminent position of the UK and, perhaps, especially London.

    Was this considered when the Bill was drafted? Was there consultation with the legal profession? If not, why not? And if there was consultation – why was it ignored?

    Similar concerns apply to the clause that seeks to exclude Judicial Review in delegated legislation.

    I cannot believe it is compatible with the Rule of Law to protect executive Acts from judicial scrutiny: put simply, Ministers must be subject to legal restraints. They cannot be above the law.

    And all individuals must have access to the law. Our delivery of justice must be seen to be fair and impartial – access to the law must not depend upon the size of your bank account.

    Magna Carta promised:

    “To no one will we sell, to no one deny or delay right or justice”.

    And yet, an individual – if denied legal aid – may not have the resources to right an injustice. That can deny justice: it cannot be right.

    Nor can it be right to denigrate our Judiciary. They are not the “Enemies of the People”: they are the guarantors of our liberties under the law.

    It is the responsibility of Parliament to uphold these liberties if they are threatened by any source: not to do so would be to curtail an essential freedom.

    I have set out some concerns about the present state of our country. But I wouldn’t wish to be misunderstood.

    SUMMATION

    Throughout my life I have travelled widely and – in the last 20 years – almost incessantly.

    In all my travels I have found nowhere I would wish to live, other than here in the UK.

    That said, I believe we have a duty to make life better for this – and future generations – to whom we will be passing a difficult legacy.

    In hard times, there is often an inflection point that changes minds, and compels policy that otherwise could not be easily implemented.

    The combination of hazards before us may be such a moment.

    To make it so, policy should be set to pave the way to a fairer, better, safer, and – in time – more prosperous future.

    We will all have to bear burdens for such aspirations to become a reality, but that is both our privilege and our responsibility.

    The very core of well-being is an expanding economy, efficient health provision and quality education.

    The Government’s “levelling up” strategy is essential. So is – sooner rather than later – a credible system of social care for the elderly.

    For future employment, we will have to focus increasingly on vocational education, and give such skills the respect they deserve.

    It is essential we remain a United Kingdom – and reinforce the values that have built our reputation. If we cannot again be a great power, we can be a great example.

    If we cannot compel, we can influence.

    We can build up our soft power to sustain our profile.

    We can use our diplomacy to raise issues that need multi-nation action.

    We can be “Global Britain” in more ways than trade. But, to be so, we must reject the narrow nationalism that some have imported into our politics.

    We must put aside the notion of “British exceptionalism”: it is a fantasy baked into the minds of those who do not know how the world has changed.

    But – we can be exceptional.

    All this – and more – can be achieved.

    We like to think of ourselves as the land of hope and glory. “Hope” is essential – most especially during the darkest of times.

    But I am ambivalent about the “glory”.

    I will settle for a land that is united and prosperous; which rises above challenges – as it has done so often in the past; whose word is trusted both near and far; and whose people are seen to be decent, fair and compassionate to all.

    In every corner of our United Kingdom that remains the instinctive heartbeat. And it is one which I hope will always prevail.

  • John Major – 2020 Comments on Death of John Hume

    John Major – 2020 Comments on Death of John Hume

    The comments made by John Major, the Prime Minister between 1990 and 1997, on 3 August 2020.

    John Hume was an advocate for peace in Northern Ireland for the greater part of his life.

    Few others invested such time and energy to this search, and few sought to change entrenched attitudes with such fierce determination.

    Those whose communities have been transformed into peaceful neighbourhoods may wish to pay tribute to one of the most fervent warriors for peace.

    He has earned himself an honoured place in Irish history.

  • John Major – 2019 Statement on Supreme Court Ruling

    Below is the text of the statement made by Sir John Major on 24 September 2019.

    I am enormously grateful to my legal team, led by The Rt Hon The Lord Garnier QC, and Andrew Lidbetter (Herbert Smith Freehills LLP), on whose counsel and professionalism I have depended these past few weeks. I am also most grateful to the Supreme Court for their calm and detailed examination of this Appeal.

    I am delighted that the Court has ruled the Prime Minister’s lengthy and contentious prorogation of Parliament to be unlawful. This was a case that should never have had to be considered, and it gave me no pleasure to be pitted against a Government and Prime Minister of my own Party.

    Parliament must now be recalled immediately to recommence its work, and to receive the Prime Minister’s unreserved apology.

    I hope this ruling from the Supreme Court will deter any future Prime Minister from attempting to shut down Parliament, with the effect of stifling proper scrutiny and debate, when its sitting is so plainly in the national interest.

    No Prime Minister must ever treat the Monarch or Parliament in this way again.

  • John Major – 1986 Speech on Elderly Persons in Rest Homes

    Below is the text of the speech made by John Major, the then Parliamentary Under-Secretary of State for Health and Social Security, in the House of Commons on 12 March 1986.

    I have listened with care and interest to the wide-ranging speech of my hon. Friend the Member for Southampton, Itchen (Mr. Chope). In the time available I shall respond to as many of his points as possible. I welcome the opportunity ​ to debate this important issue, and understand and sympathise with many of the concerns that he has expressed. It is characteristic of his assiduity on behalf of his constituents that he has pursued this matter extremely vigorously over recent months. I have no objection to that, although I have frequently been on the sharp end of his activities, because few topics are more pressing to those concerned with social welfare than the provision of care for our growing numbers of elderly, especially very elderly, people. There will be an increasing number of them in society year upon year for as far ahead as we can see.

    First, I wish to look at the background to the present circumstances since it is important that it is properly understood. There have been radical changes in the past few years, which have transformed the whole character and scale of the provision of help for the elderly. Historically, many people who could no longer cope on their own have gone into local authority homes, or local authorities have sponsored them in private or voluntary homes. Many others have been cared for in the long-stay geriatric wards of our National Health Service hospitals.

    The new and welcome feature of the 1980s has been the substantial opening up of the private and voluntary sectors to many more people, who have been able to exercise choices previously open only to those with substantial private resources. That has occurred because of the substantial availability of high rates of supplementary benefit, which has become a major source of funding, enabling many people to be cared for in the private sector. The figures show beyond dispute the rapidity of this change. In 1978 supplementary benefit helped 7,000 people to pay their fees in residential care and nursing homes.

    By 1984 the estimated figure was not 7,000 but 42,000, a sixfold increase in as many years. Expenditure too has risen sharply. The figures have been often quoted but they bear repeating. In 1978 expenditure in this area was £6 million. By 1983 it had soared to just over £100 million and the estimated figure for 1984 was £190 million. It will undoubtedly be higher in 1985.
    In most ways, that growth has been beneficial. But the system was open to exploitation and abuse; and it had other features which have caused widespread concern. In the longer term, we would very much like to find a way of restoring a greater measure of responsiveness to individual need. My hon. Friend dealt particularly with that point.

    More immediately, I must reiterate what I have said. We simply could not have allowed the growth that was continuing prior to April 1985 to continue uncontrolled, in the interests both of the taxpayer and of the elderly residents themselves. My hon. Friend will know that the numbers of elderly in the population are increasing, and they must be cared for. We entirely accept that and are anxious to seek the best ways of caring for them in their interests and those of the taxpayer. Therefore, it is right that we should make a comprehensive attempt to address this issue, not simply fudge it by paying ever-increasing amounts of benefits, as some people have urged on us. We need to take a comprehensive look at residential care and that is what we are seeking to do in a number of surveys that we have undertaken.

    As a first step, in April last year we introduced a new structure for the payment of supplementary benefit to people in homes. Our aim was to regain control of expenditure and to relate benefit levels to the type of care ​ and the cost of care provided. The system of limits that we introduced was intended to allow reasonable charges to be met on the basis of the registration categories set out in the 1984 Act. The limits were set by reference to the best information that was available to us and for residential care homes they initially ranged from £110 to £170. I should mention that the limit for Southampton before April 1985 was £110, the same amount as the limit we set for the elderly under the new structure that we introduced in April.

    My hon. Friend asked about the position of people who were already in residential care homes when the changes were made. We have provided, as he acknowledged, extensive protection arrangements for people in homes who were in receipt of benefit when the changes were made and who would otherwise have been adversely affected. Those over pension age will continue to get their existing benefit for life or until payment under the new rules becomes more favourable for them. The new limits will normally apply to those who were in homes but not claiming benefit before April 1985. However, as my hon. Friend acknowledged, in cases of exceptional hardship the Secretary of State has discretionary power to treat certain long-standing residents in a similar way to transitionally protected claimants.

    My hon. Friend asked particularly about the vexed question of topping up payments, which he believes is being misunderstood, and I believe that he is correct. He asked me to spell out the position. I assume that he was referring to payments made by relatives or charities to meet the difference between the supplementary benefit payable and the homes’ charges. Such payments are not —I repeat not — taken into account when benefit is assessed. The guidance in the S manual advises local offices to

    “disregard payments from charities, friends or relatives specifically intended to meet the balance of the charge to the extent that they are used for that purpose”.

    That is entirely clear, and I hope that none of our local offices will misunderstand it.

    But we recognised that this was the first step. When the measures were introduced, we promised a full programme of monitoring and research. We did so partly because we had an early sense of some of the difficulties to which my hon. Friend drew our attention this evening. One result of the initial feedback was an increase in the limits in November 1985. The residential care home limits were increased by £10, giving a range from £120 to £180. The limits for nursing homes, which are higher because of the more intensive care provided, were also increased by just more than £30 a week. Those substantial increases show our willingness to listen and to take action when we believe it to be necessary.

    As my hon. Friend may know, we are in the process of reviewing all the residential care and nursing home limits. I listened with special care to what he said about the difficulties and problems faced by residential care home owners and residents in his constituency. We shall consider carefully the comments that he and other hon. Members have made during the review.

    As an integral part of the review, we have commissioned a firm of independent management consultants, Ernst and Whinney, to undertake a wide-ranging inquiry into the costs incurred by homes of all sorts. The review will also draw on our monitoring of the arrangements since they were introduced last year, ​ information from our local offices and representations from interested organisations and individuals. Any changes shown to be necessary following that review will be introduced in July this year at the time of the general benefit uprating. Although there is a tendency to think of £120 as the limit for the elderly, assuming that a home is registered to care for them., a range of higher limits is available to residents in residential care homes that stretches between £120 a week and £180 a week.

    As to the longer-term future, most people would agree that there are inherent difficulties in the present system of public funding in this area. The present duality, with local authorities and supplementary benefit as major purchasers and providers of care, has caused problems administratively and, in some cases, for the people whom the system is supposed to help. Our aim is to draw together the two disparate strands so that when someone needs care, it can be provided simply and at a reasonable cost to public funds.

    The first step towards that was made with the joint central and local government working party, which was set up in late 1984 by my right hon. Friends the Secretaries of State for Social Services, for Scotland and for Wales. The working party examined the scope for improving collaboration between the Department and local authorities over financial support for residents of private and voluntary residential care homes.

    In its report, issued last year, the working party made two major recommendations. The first deals with an issue which I know worries my hon. Friend—the assessment of supplementary benefit claimants’ need for care. I recall clearly the remarks of Mrs. Armstrong and the consultant geriatrician when we met in Southampton about a month ago. The working party recommended that we should explore the feasibility of extending local authorities’ existing multi-disciplinary assessments to anyone in residential care claiming benefit and of local authorities advising DHSS offices on appropriate payments. We have agreed with the local authority associations that we should carry out pilot studies to test the proposals. They will take the form of a dry run and will not affect anyone’s benefit. The pilot studies will be conducted by the social policy research unit at York university. The aim will be to explore how the arrangements would work in practice and to identify any new problems and, I trust, their solutions.

    The second recommendation was that we should seek long-term solutions to the problems created by the existing parallel systems of support. We have also accepted this recommendation. We and the local authority associations have agreed to set up a further joint working party to consider ways of harmonising financial support for people in residential care homes. The first meeting of this working party will be held at the end of this month and it is expected to complete its work within a year.

    As I hope my hon. Friend will agree, we therefore have a substantial programme in hand for reviewing the financial arrangements for people in residential care homes and the problems that he mentioned. In the short term, we are reviewing the current supplementary benefit limits, and in the longer term we have the pilot studies on the assessment of supplementary benefit claimants’ care needs and the joint central/local government working party.

    A related issue is the dual registration of homes. A home registered with the local authority as a residential care home may also be registered as a nursing home with ​ the district health authority. We call this dual registration. Indeed, the home has to be so registered if it is providing nursing care of the kind proper to a nursing home. Residential care homes themselves are classified for registration purposes according to the main categories of dependent people, such as physically disabled or mentally disordered people, or elderly people, without attendant, exceptional disability. As I mentioned earlier, different rates of supplementary benefit apply to people in those categories, providing that they are registered in homes that are properly registered to care for them.

    I hope that from all this my hon. Friend will see that we are very carefully considering the financial arrangements for residents in registered rest homes for the ​ elderly. I emphasise that a home can be registered for more than one category, and this is being made clear to local authorities, as the registration authorities, in a circular that is about to be issued, a copy of which I shall put in the Library. A home may therefore be classified to take physically disabled as well as elderly people. I hope that what I have been able to say in the few minutes at my disposal this evening will be of some assurance to my hon. Friend, to the many people who are running residential care homes and, above all, to the many residents of such homes, who may have had some uncertainty about the present arrangements.

  • John Major – 1986 Speech on Poverty in Barnsley

    Below is the text of the speech made by John Major, the then Parliamentary Under-Secretary of State for Health and Social Security, in the House of Commons on 30 January 1986.

    It is never a hardship to listen to the right hon. Member for Barnsley, Central (Mr. Mason) representing his constituency. Yet again, he has spoken movingly about the problems that he sees in Barnsley, and I am pleased to be able to respond. I will try to pick up as many of the issues that he raised as possible in the time remaining to me. I am pleased to see that the hon. Members for Pontefract and Castleford (Mr. Lofthouse) and for Barnsley, West and Penistone (Mr. McKay) are in their places.

    I am aware that social security provision is an emotive matter, which arouses considerable controversy. I also understand that the present Bill, which I strongly support, which proposes fundamental changes in the social security structure, is a matter of high political dispute. I hope that the right hon. Gentleman and his hon. Friends accept that, whatever might be the political disagreement between us, the Government share their deep concern for the effects of poverty. We believe that many of the proposals in our Bill, as with many of our other policy proposals, are geared to alleviate precisely the problems that the right hon. Gentleman has outlined.

    The right hon. Gentleman mentioned some of the problems that apply to Barnsley at the moment. I appreciate, and would not deny, the special difficulties that have been caused to that area by pit closures and the resultant high unemployment. The latest unemployment figures for Barnsley are depressing and dispiriting. I cannot deny that and would not wish to.

    I share with Opposition Members the hope that unemployment will soon begin to fall, but I can understand their frustration at the fact that the present high levels appear to be remaining for so long. Despite the difficult circumstances, people in Barnsley are finding jobs. Between April 1985 and January this year, the employment service placed more than 2,300 people in ​ permanent employment in Barnsley—an increase of 23 per cent. on the same period in the previous year. I am sure that we all hope that that trend will continue.

    It is not true that the Government are unconcerned and harsh about the problems in Barnsley and elsewhere. I might draw attention to the substantial funds that are made available to Barnsley in the urban programme. In recognition of its economic problems, the need to help the area and the need to broaden its industrial base, Barnsley qualifies for help under the Inner Urban Areas Act 1978. The council, to which the right hon. Gentleman paid tribute, has responded by establishing industrial and commercial improvement areas in Barnsley and in the outlying mining town of Goldthorpe. There is also a conservation workshop at Hoyle Mill, which is funded in conjunction with the Manpower Services Commission. It places 80 trainees, who are engaged in restoring sites of historic interest in and around Barnsley. There are other interesting and innovative projects in the area.

    The right hon. Gentleman talked about housing and some of the related problems. To help Barnsley overcome its difficulties, some £6·7 million has been allocated under the housing investment programme, and there is a further allocation of up to £1 million to meet obligations under the Housing Defects Act 1984. Despite those and other initiatives with which I shall not bore the House, Barnsley faces great problems, many of which spill over into social security requirements.

    The right hon. Gentleman spoke of current board and lodging regulations. We have monitored their effect carefully. On the basis of preliminary information, there is no evidence that they are causing nomadism on the scale that many people feared. The time limits to which the right hon. Gentleman referred are subject to many exemptions. For one reason or another, large numbers of young people will find that they are exempt from the time limits, even if they are in circumstances in which they would otherwise be applied. The right hon. Gentleman will know that the limits do not apply to people who were in their accommodation some time ago.

    I am not familiar with the cases that the right hon. Gentleman has mentioned this evening, but I strongly suspect, although I cannot guarantee it, that those young people may have been entitled to some form of exemption. If the right hon. Gentleman cares to let me have the details of the cases, I shall carefully consider them and respond to them.

    In his remarks the right hon. Gentleman spoke of social security provision. At present. spending on social security is running at more than £40 billion a year. That is a pretty substantial amount by any standards. It is the Government’s responsibility to ensure that that money is well spent, and primarily that is what we seek to do through the proposed changes in the Social Security Bill, which will go into Committee early next week. In many quarters, the review that preceded the Bill has been represented as a cost-cutting exercise. That is simply not so. I understand that that is the type of representation that often occurs in political debate. We believe that the proposals that underpin the Bill are principled and worthwhile. They are a part of the reform that we believe will simplify a social security system that is far too complex. They will direct resources far more effectively than at present to the people of whom the right hon. Gentleman spoke, who are in the greatest need.

    The right hon. Gentleman is clearly worried about the living standards of those families in his constituency on low incomes. We, too, are worried about people on low incomes. Under the Bill those families are likely to be eligible for income support, if unemployed, or family credit if in work. The right hon. Gentleman said that many of his constituents would be worse off if the White Paper proposals were enacted. On the basis of the illustrative figures published with the White Paper we shall be spending £200 million a year more on family credit than we spend at present on family income supplement. The income support scheme is likely to cost more than we spend now on the main structure of the supplementary benefit scheme.

    One aim of the social security reforms is to ensure that help goes to the people who need it most. Our reforms will direct that help to families with children. That applies to low-income working families and to those where the parents are unemployed. Today, those families are often in the greatest need, in Barnsley and sadly, in other areas too.

    Our proposals will substantially reduce the unemployment trap, in which people are better off out of work than they are in work. They will eliminate the worse effects of the poverty trap, where a rise in earnings can be more or less wiped out as benefits are withdrawn.

    The new family credit scheme will cost substantially more than family income supplement—about twice as much. It should reach more than 400,000 families—double the present number on family income supplement. Almost all those families will be better off than they are with family income supplement.

    On the basis of the illustrative rates in the technical annex to the White Paper, a couple with two children on gross earnings of £100 could receive £27·40 in family credit compared with £5·50 on family income supplement.

    The right hon. Gentleman is rightly concerned about people who are not in work. Our proposals will get more help to families who are not working. Income support will replace supplementary benefit and in our judgment that will be a significant improvement. A noticeable feature will be its simplicity. At present, to determine the amount of weekly benefit, staff may need to make intrusive and detailed inquiries, such as the number of baths taken by a claimant or what his special laundry needs are if someone in the family is incontinent. However tactfully those inquiries are handled, they are plainly embarrassing and often insulting to the people to whom the inquiries are directed. Yorkshire men and women especially would find those inquiries deeply offensive.

    We must find a better way of getting help to people who are in need, and with the system that we propose—one of premia based on easily identifiable criteria—it will be entirely possible to remove many of those intrusive inquiries. That simplicity—that certainty of entitlement —will be a great improvement, and will be generally welcomed in the House when the proposals are more fully understood.

    I would have wished to have been able to say much more this evening, but only a short time remains. On the transitional protection for claimants, no one receiving supplementary benefit at the point of change to income support will have his weekly income reduced by the change. Anyone on family income supplement whose FIS award is higher than his family credit will keep the FIS award—the higher award—for the remainder of the ​ 12-month award period. We made that clear in the illustrative figures published with the White Paper, and I emphasise it again this evening.

    The right hon. Gentleman mentioned single payments. I deeply regret the fact that time does not permit me to deal in detail with the points that he raised, but if he wishes to discuss that matter later, I shall be happy to meet him and his hon. Friends at any time, when we can discuss the anxieties that he expressed this evening.

    The reforms that we shall make will be seen in due course as a positive advantage to people on low incomes, whether in or out of work. That is part of the intention of ​ the reforms, and we shall seek to persuade the House and the country that they are compelling and worthwhile reforms. In the meantime, may I conclude by telling the right hon. Gentleman that I understand the difficulties which he faces in Barnsley and which he has expressed this evening in such compelling fashion. I hope that he will accept from me that our reforms are aimed at helping people in special difficulty, wherever they live. We believe that they will, and we hope that they will generally be seen to do so when they are more fully understood.

  • Sir John Major – 2019 Statement on the Conservative Leadership

    Below is the text of the statement made by Sir John Major, the former Prime Minister from 1990 until 1997, on 22 July 2019.

    I read Gordon Brown’s speech this morning with interest and agreement.

    It is a timely moment to note that whoever becomes our Prime Minister this week, he will be far more than Leader of the Conservative Party.

    As for every Prime Minister, he must act for our nation as a whole – not just one part of it. He must also remember that no-one born this century voted for Brexit – let alone a “no deal” Brexit.

    Words and actions have consequences, and never more so than when they are those of the Prime Minister. As the evidence mounts of the probable economic and social damage of a “no deal” Brexit – and of the rising opposition to it – the new Prime Minister must choose whether to be the spokesman for an ultra-Brexit faction, or the servant of the nation he leads. He cannot be both, and the choice he makes will define his Premiership from the moment of its birth.

    As the most powerful politician in the four nations of our United Kingdom, any Prime Minister has the right to expect support but – if he acts as the spokesman for one hard-line faction only – he cannot complain if he faces uncompromising opposition from those who believe they have had their views ignored.

    I hope our new leader understands this, and is fully prepared for the enormity of the task before him.

  • John Major – 1986 Speech on Statutory Sick Pay

    Below is the text of the speech made by John Major, the then Parliamentary Under-Secretary of State for Health and Social Security, in the House of Commons on 15 January 1986.

    I beg to move,

    That the draft Statutory Sick Pay Up-rating Order 1985, which was laid before this House on 17th December, be approved.

    The purpose of the order is to increase the rates of statutory sick pay and the bands of earnings which determine the rate payable. My right hon. Friend the Secretary of State has carried out his annual review of those amounts as he is required to do by the Social Security and Housing Benefits Acts 1982. The uprating of the bands, and consequently the rates, is reviewed in relation to changes in the general level of prices which, in the 12 months to October 1985, rose by 5–4 per cent. as measured by the index of retail prices. The draft order accordingly provides for an equivalent increase in the SSP rates and earnings levels to apply from 6 April 1986.

    As hon. Members will know, there are three rates of SSP. As usual, in working out the new rates we have followed established practice and rounded them to the nearest 5p. The new upper and middle thresholds have been rounded down to the next 50p. Rounding down in that fashion is beneficial to employees as it enables more to qualify for the higher and middle rates of SSP than would otherwise be the case. The lower earnings threshold—below which no SSP is payable—is not subject to uprating by the order. That is set automatically by the Act at the lower earnings limit for class 1 contributions, which will be £38 from 6 April 1986.

    The result of these calculations is that from next April employees with average earnings of £74·50 or more per week will qualify for SSP at the new standard weekly rate of £46·75. Those who earn between £55·50 and £74·49 will be entitled to the new middle rate of £39·20. And those who earn between £38 and £55·49 will receive the new lower rate of £31·60. These new rates represent increases of £2·40, £2 and £1·60 per week respectively.

    The draft order makes the usual transitional provision for those employees who have current entitlement to SSP at the time the uprating takes effect. Whichever level of SSP an employee is receiving at the time the uprating takes place, whether standard, middle or lower, he will, from 6 April receive the new amount of SSP relevant to that level for as long as his period of entitlement lasts. This is so even if his average earnings—which are, of course, calculated at the start of his sickness—would put him in a different earnings band. Without this beneficial provision some employees could face a significant reduction in the SSP payable to them at the uprating date and I am sure hon. Members will welcome the fact that this will not occur. [HON. MEMBERS: “Hear, hear.”] I acknowledge support from whatever quarter it comes.

    April 1986, will, of course, see other changes in SSP that lie outside the main provisions of the order. The House will recall that under legislation passed in the Social Security Act 1985, an employer’s maximum liability for paying his employees SSP when sick will increase from eight weeks to 28 weeks. Full reimbursement of the costs of this extended period will continue to be available with employers deducting their costs from their national ​ insurance liability. Some other changes in the present rules and procedures will also take place consequent on the increased maximum duration. These were developed following consultation and discussion with employers and others earlier last year. I am pleased to say that a completely revised employer’s guide to statutory sick pay, incorporating these changes, was issued to all employers last October to enable them to make the necessary preparation for these changes. The new rates covered in the order before us will thus be the first ones to apply to the extended scheme.

    It remains the Government’s intention to review SSP rates and earnings bands annually, with increases taking effect from the following April. By 1987 social security benefits will also have moved to an April uprating date, We intend, therefore, that in future the Secretary of State will review SSP rates at the same time as other social security benefit rates.

    Details of the new SSP rates and earnings bands will be notified to employers shortly in a leaflet issued with the new national insurance contribution rate tables, which will also come into operation in April. The new SSP rates will also be publicised in leaflets available generally from the Department of Health and Social Security.

    Finally, I should perhaps remind the House that the rates of SSP are statutory minima. Many employees—in fact, the great majority—receive occupational sick pay from their employers and a number continue to get full pay when sick. We have no evidence to suggest that the current rates of SSP have resulted in hardship or difficulties for employees. Indeed there are clear indications that most employees prefer SSP to the sickness benefit it replaces because it is so much simpler for them to receive their money when sick from the same source as when working. Neither is there evidence to suggest that the rates have affected employers’ and employees’ flexibility for negotiating levels of occupational sick pay.

    The draft order provides for the SSP rates to keep pace with the rise in the general level of prices. I commend it to the House.

  • John Major – 1985 Speech on Fuel Poverty

    Below is the text of the speech made by John Major, the then Parliamentary Under-Secretary of State for Health and Social Security, in the House of Commons on 16 December 1985.

    I listened with interest to the hon. Members for Ceredigion and ​ Pembroke, North (Mr. Howells) and for Gordon (Mr. Bruce). I understand and share many of the concerns which they have expressed and congratulate them on the way in which they have expressed them.

    The issues raised by the hon. Member for Ceredigion and Pembroke, North ranged wide and covered both fuel policy and the alleviation of poverty. He spread the net even wider by referring to draught proofing, housing and a variety of allied matters. I propose to refer briefly to energy prices, although strictly speaking they are for my right hon. Friend the Secretary of State for Energy. I propose to devote most of my remarks to the help given to the less well-off through the social security system, but I shall attempt to touch upon the specific issues raised by the hon. Members for Ceredigion and Pembroke, North and for Gordon.

    Both hon. Members mentioned the projects that have been undertaken by various neighbourhood energy action groups. There is not a great deal that I can say about them this evening, save that I recognise the good work that has been done by the groups. Decisions have yet to be taken on how they will be funded in future. That is a matter that we are considering. I hope that it will be understood that I can go no further than that this evening.

    The hon. Member for Gordon referred to some of the absurdities of the exceptionally severe weather payments and the disapproval last year which that method of making payments received in Scotland. The hon. Gentleman will know that the chief adjudicating officer issued fresh guidance about the payments only recently. We are considering the guidance and the future of that form of assistance with heating bills. The hon. Gentleman will know that last year the payments amounted to only £1·7 million, while administrative costs were £1 million. I mention those figures, not to denigrate the help that was given, but to put them in the context of the £400 million worth of heating addition payments to which the hon. Gentleman referred.

    The hon. Member for Ceredigion and Pembroke, North illustrated the extent to which the cost of fuel is relevant to those on low incomes. I accept that view. It is an important view, and I accept what he had to say on that score. Fuel is clearly a basic necessity, especially for the elderly and the sick. I recognise the concern that is felt by many on low incomes when it comes to paying for fuel. I shall come to what has been done, what is being done and what will be done under our new proposals to try to alleviate that concern.

    Reluctant though I am to do so, I must take issue with the hon. Member for Ceredigion and Pembroke, North about the term “fuel poverty”. It is a phrase which is often used these days, and upon examination it is a rather curious concept. The general idea of poverty itself is far from straightforward. We can recognise it, but it is not always easy to define it. The hon. Gentleman will know that the standard rate of supplementary benefit for adults has more than doubled in real terms since 1948 and that this benefit is the primary means of alleviating poverty, and has been so under successive Governments for some years. Yet the hon. Gentleman talks of fuel poverty. We do not hear a great deal about clothes poverty, or food poverty, but fuel poverty appears in a rather curious fashion to have developed a life of its own. Fuel, like clothes, food and all the other necessities for rich or poor alike is paid for out of people’s normal income.

    I recognise that individual need for expenditure on fuel can vary, but that is true of other necessities. I do not wish to make too much of what may seem to be a matter of semantics, but it is often misleading to talk about fuel poverty as if it were some special breed of poverty that necessarily requires different measures from those that are generally used to support the less well-off. An effective attack on poverty, which we all wish to see, comes in many guises—for example, benefit rates, control of price increases, economic stability and economic growth. Energy prices are a part of that tapestry, but only a part.

    Although the general financial framework within which the gas and electricity industries operate is agreed with the Government, price increases remain a matter for the industries themselves. The Government do not set prices and do not have the power to so. Tariffs must reflect the industries’ costs and provide a proper return on the substantial capital resources that they employ.

    They are not a means of indirect taxation. I call in evidence to support my proposition the relatively low level of price rises in recent years, which the hon. Member for Ceredigion and Pembroke, North acknowledged. They have been below the rate of inflation in the past two years and charges have therefore fallen in real terms. After allowing for inflation, the price of gas to the home is roughly what it was in 1970.

    The hon. Member for Gordon addressed himself to standing charges. I know that these charges have been a cause of deep concern to many for many years, especially to the elderly. The charges reflect the necessary cost of keeping a supply available to the consumer in his own home for 24 hours a day. They cover the maintenance of the connection, meter reading, accounting, billing and emergency services. The costs arise no matter how much or how little gas or electricity is consumed by the individual householder.

    The abolition of standing charges, although self-evidently attractive in some ways, is not an easy option. It would cost the gas and electricity industries more than £1·1 billion a year in lost revenue. Abolition for pensioners alone—if we could determine which pensioners should have abolition, whether it should affect people living on their own and all the other details that must be decided—would cost about £300 million. That lost revenue would have to be recovered by substantial increases in unit prices, which would penalise many of those who, through age, sickness, infirmity or some other reason, need more heat, even though they may be among the least well off.

    That raises the question, which may have flashed through the mind of the hon. Member for Ceredigion and Pembroke, North, whether there should be special tariffs or free allowances for people on low incomes. That has been considered in the past, but successive Governments have concluded that it would be an expensive, ill-directed and probably ineffective means of helping those most in need. In 1976, the Labour Government announced that they had reviewed possible help through concessionary or restricted tariffs or free allowances of gas and electricity. Their conclusion—I quote from the report’s foreword which was written by the right hon. Member for Chesterfield (Mr. Benn)—was that these did not offer

    “a satisfactory way of helping poor consumers with their fuel bills”.

    I am sure that the right hon. Member was right, and I suspect that the Liberal party thought so too, because, as far as I am aware, it expressed no contrary view at the time. Successive Governments have therefore taken the view that help is best given through the social security system. That help is considerable.

    More than £40 billion is spent on social security—about a third of all Government spending. We have kept the major benefit rates ahead of the rise in prices during the lifetime of the Government and, because of the increases in benefit last month in line with inflation, we increased our spending by a further £2 billion a year. The main help for the less well off with their day-to-day living expenses, including fuel costs, is through the standard weekly rates of supplementary benefit. Those rates increased by 6 per cent. in real terms between November 1978 and November 1984 and were increased again last month in line with inflation. They have doubled in real terms since 1948, and I think that every hon. Member welcomes that.

    On top of those benefit rates, we provide extra weekly help for those with special needs. The hon. Member for Ceredigion and Pembroke, North mentioned people with special needs—the elderly, the very young, the sick and the disabled. Each is entitled to heating additions. Last year we spent more than £400 million on those heating additions, which is £140 million more in real terms than any previous Government have spent at any time. Since 1979, we have extended the help available. In November 1979 we introduced a basic rate of heating addition for pensioner householders over 75. Over the years, we have extended the age range so that this now takes in pensioner householder over 65. We have introduced a similar addition for the under-fives. Last November, we introduced a new higher rate of heating addition, worth well over £200 a year—a considerable sum—payable automatically to householders over 85. We have also assisted disabled people. Since 1980, we have paid a higher rate of heating addition automatically to severely disabled people people on supplementary benefit who receive attendance or mobility allowance or its equivalent. Last month, we introduced a further measure—automatic entitlement to a basic rate heating addition for sick and disabled householder claimants on the long-term rate of supplementary benefit. As a result of these changes, we estimate that 60 per cent. of all people on supplementary benefit and 90 per cent. of supplementary benefit pensioners now receive a heating addition. That is a dramatic improvement on the position before 1979 and represents a considerable attack on what the hon. Member for Ceredigion and Pembroke, North referred to as “fuel poverty”.

    The hon. Member for Ceredigion and Pembroke, North referred to the White Paper proposals. I should like to explain why we felt it right to move forward and reform these arrangements, as announced in the White Paper which was published today. The answer is that heating additions are merely a means of giving more help to certain groups of claimants who may have extra heating needs. The additions are better, in our view, than tariff adjustments and certainly better than nothing, but they are not the only, or necessarily the best, form of assistance.

    Heating additions are a rather curious mixture. Many are paid automatically on grounds such as age, but others involve detailed questioning on matters such as the claimant’s health. There is a complex array of rates, rules ​ and regulations. I am sorry that the hon. Member for Ceredigion and Pembroke, North did not feel that the White Paper would be an improvement on the present rather muddled situation. He asked me whether I was conscious of the need to modify policy to match reality. That is what we believe the White Paper is doing. I hope that, upon reflection, it will be shown that we are right, although I acknowledge that it is a controversial issue at present. In the White Paper we are proposing an income support scheme to replace the current weekly supplementary benefit. Income support will continue to provide set allowances for normal living expenses, including fuel costs. There will also be premium payments for families, pensioners, sick and disabled people and lone parents to help with the extra expenses that those groups tend to have—including extra heating costs. That will mean a system that is simpler than the present one. It will be easier for the public and staff to understand. It will cut out much of the intrusive questioning that now takes place—I think that everyone will welcome that—and it will also effectively direct extra help to groups of people who are likely to face extra expenses.

    As I said in the House only a couple of weeks ago, the fact that we shall not call the premiums “heating additions” does not mean that they do not exist, that the cash is not in the claimant’s pocket and that it cannot be used towards fuel costs. We believe that income support will, in future, be a better means of delivering that help and we intend that the money spent on heating additions will be included in the resources available for the new scheme. Nor are we alone in that view. The Social Security Advisory ​ Committee commented similarly on the Green Paper in June. The committee welcomed the idea of premium payments in income support for different groups. Moreover, the Select Committee on Social Services said that it

    “broadly accepted the principle of premiums reflecting the additional needs of individual client groups”.

    Therefore, I think that a substantial amount has been done, is being done and will continue to be done to meet the needs of people who face difficulties with fuel poverty through poor or low incomes. I hope that the hon. Member for Ceredigion and Pembroke, North will accept that we are sincere in our intention to help those people meet the difficulties that they face.

    I also hope that on reflection the hon. Gentleman will see the wisdom of the approach that we set before the House in the White Paper today and that we shall seek to carry through in a Bill early in the new year. I am confident that when the House debates the Bill, it will take that view. I hope that it will carry the hon. Gentleman and his colleagues with it at that time.

    I appreciate the hon. Gentleman’s concern that people should be able to afford adequate heating. We share that concern and we shall continue to offer substantial assistance to that end, but we shall do so in a way that we regard as simpler and more effective than the current system. We believe that our proposals will meet those criteria and I hope that in due course they will be endorsed by the House and the hon. Member for Ceredigion and Pembroke, North who raised the subject.

  • John Major – 1985 Speech on Heating Bills

    Below is the text of the speech made by John Major, the then Parliamentary Under-Secretary of State for Health and Social Security, in the House of Commons on 4 December 1985.

    The hon. Member for Dundee, East (Mr. Wilson) has pursued the issue of heating in all its aspects for some time, and I congratulate him on his persistence. I hope that he will understand if I cannot congratulate him wholeheartedly on everything that he said. It is not so much what the hon. Gentleman said as what he did not say.

    An acknowledgement of what the Government have done to help with heating bills would have been welcome. By any yardstick, the Government’s contribution has been substantial, whether in terms of summer or winter bills. It is appropriate to put that on the record.

    The hon. Gentleman did not mention that the Government have committed many billions of pounds to social security and have kept major benefit rates ahead of rising prices since 1979. This includes considerable help to the least well off for day-to-day expenses, including ​ heating, through substantial increases in supplementary benefit rates. These rates rose by 6 per cent. over and above the rise in prices between 1979 and 1984, and they were raised again a few days ago. More specifically, there was no acknowledgement of the substantial sum of £400 million spent last year on heating additions. The money was directed primarily to pensioners on supplementary benefit, to the sick, to the disabled and to some other special groups. That is a substantial record. The hon. Gentleman did not acknowledge that that substantial amount was £140 million more in real terms than had been spent by any previous Government on heating additions. This substantial Government record is not inclusive of all that has been achieved. I am sorry that the hon. Gentleman, when presenting his case, was not able to make specific acknowledgement of this record.

    Mr. Wilson

    I do not wish to deter the hon. Gentleman from answering the principal case, but does he think that the Government have done enough, considering the rising trend of deaths from hypothermia and the misery that many elderly people face in their homes?

    Mr. Major

    I shall deal with that issue in the course of my speech.

    The principle of weekly help with all living expenses, plus extra weekly help for those with special needs, is one that we plan to retain under the proposed reforms that will see the light of day in the White Paper shortly. I stress this because the hon. Gentleman clearly feels that, by changing the present complex system of heating additions, we are ending assistance with heating costs. That is not the position.

    The income support scheme which we propose in our Green Paper in June will provide a better basis for regular weekly help for claimants. There will be basic personal allowances for normal living expenses, including fuel costs. There will be weekly premium payments for families, pensioners, the sick, the disabled and for lone parents. The premiums will be given in recognition of the fact that these groups face special pressures, not least with the cost of extra heating.

    The fact that we shall not call the premiums “heating additions” does not mean that they do not exist, that the cash is not in the claimants’ pockets and that it cannot be used towards fuel costs. We expect that these resources will be used to go towards fuel costs and that income support, for a variety of reasons, will be a simpler and more effective means of help than the present complex system which has many defects, some of which the hon. Gentleman honestly outlined.

    I do not disparage the substantial help given through heating additions, though their structure results in an uneasy alliance between automatic entitlement for pensioners on supplementary benefit and others and the complex rules about details of claimants’ health problems. The present regulations are quite mind-boggling in their complexity. The advantages which we believe will accrue from the income support scheme include the fact that we will avoid complexity and most important, the intrusive questioning that takes place before an entitlement can be determined. I believe that the hon. Gentleman will concede that that will be a substantial improvement on the ​ present position. I emphasise strongly that help will continue to be given to these groups through the special premia that we propose.

    The hon. Gentleman spoke about high summer fuel bills, and I recognise that there are particular difficulties when bills are higher than usual. However, the problem must be put in context. Social security collectively costs many billions of pounds. It helps millions with their living expenses, and our aim is to ensure that that happens as effectively and simply as possible. Surely no one can dispute that over the years the system has become far too complicated and that that is not in the interests of claimants who receive assistance or those who run the system. It is clear that it is of no help to anyone. However, we shall make no progress in producing the right sort of rational, modern and helpful system that directs and targets help to where it is most needed if we try to tailor the weekly income that is provided for millions by introducing variations that are based on weather conditions, time of year or locality, for example.

    Most people plan on the basis that they will spend less one week and more the next, and we should give social security claimants the credit of recognising that they do likewise. We shall continue to provide a level of weekly income that takes account of the recurring extra pressures that are faced by groups such as pensioners. That must be a more sensible and efficient way of providing help than increasing heating additions in the winter, decreasing them in the summer and increasing them again in the summer if the weather proves to be especially bad, as the hon. Gentleman has said it was during this summer.

    The hon. Gentleman referred to the length of the heating season, and I understand the arguments that he has advanced. I have already explained that the help that we provide is geared to people’s needs year in and year out and not to providing higher levels of help at certain times of year. He implied that the heating season is generally longer in the colder parts of Great Britain than elsewhere. That followed on to a matter which he has raised before and on which he has some depth of knowledge, which is his idea of a cold climate allowance. That means, effectively, variable rates of weekly benefit depending on which part of the country someone lives.

    I recognise the hon. Gentleman’s interest in this subject, and he knows that my colleagues have discussed it with him in the past. There are real difficulties. Ministers in previous Governments have seen strong arguments against any deviation from the principle of national benefit levels and I am bound to say that we can see the same arguments against them. Apart from heating, there are many regional price variations. It would be possible to make a similar case based on variations in transport or food costs, for example. There is a variety of other variable prices in different parts of the country and I have no doubt that others could point to variations that have an acute effect on the persons with whom they are concerned.

    If we were in the business of trying to take a detailed and comprehensive account of all the variations, the task of setting and changing all the benefit rates each year would become impossibly complicated. I am sure that the hon. Gentleman will acknowledge that that is so when he has time for reflection. There is evidence that there is little variation between the amount spent on average on fuel by those who live in different parts of Britain. That remains true at all income levels throughout the United Kingdom.

    I share the hon. Gentleman’s concern about hypothermia. Each winter we hear distressing accounts of old people —perhaps proud and independent people who are entitled to help but who for various reasons do not seek it, or who face difficulties in obtaining it —who suffer from the cold. I understand the problems and care about it as much as the hon. Gentleman. However, it is not reasonable to portray the Government —I think that the hon. Gentleman began to move in this direction when he remarked about help for farmers and not for those in need of heating additions —as uncaring and aloof from the problem of hypothermia.

    Mr. Wilson

    They are.

    Mr. Donald Stewart (Western Isles)

    That is right.

    Mr. Major

    I reject that charge absolutely. They would do well to recall, before they make it, that it was a Conservative Administration in 1979 that introduced automatic heating additions for the first time for older supplementary pensioner householders.

    Mr. Wilson

    It is not enough.

    Mr. Major

    If he thinks that that initial move was not enough, the hon. Gentleman may recall that subsequently we extended the number automatically entitled to heating additions so that as of today about 1·5 million supplementary pensioners over 65 get extra help with their heating of between £2·20 and £1–45 per week. When he makes remarks about help for cattle and not for people, he overlooks that substantial amount of assistance that was introduced, and is being given, by this Government. He might also bear in mind that nine out of every 10 supplementary pensioners now get heating additions, compared with only six or seven out of every 10 in 1978.

    The hon. Gentleman also dealt with the exceptionally severe weather payments and some of the difficulties they cause. That payment is often confused with the cold climate allowance, but there is an important difference which may be understood in the House but not outside. Those payments are one-off payments to claimants in any part of the country if they have used more fuel than planned because of a period of exceptionally severe weather. The payments have always been a tiny part of the overall help with heating costs for the least well off.

    The winter before last the chief adjudication officer, who advises local adjudication officers on the interpretation of the law, introduced a new system for determining when the regulation was satisfied. That system was based on temperature data provided by the Meteorological Office, collected from 17 weather stations throughout the country. The system was first fully tested earlier this year. As the hon. Gentleman will recall, there were some criticisms of the way in which it worked. I put that in the mildest form that is appropriate.

    In the first place there were complaints from Scotland and from some parts of England and Wales where payments were not made. Secondly, the system was very complicated to understand. I recall that my hon. Friend the Minister for Social Security himself described it as a pretty weird and wonderful construction. Thirdly, the amount of help delivered under the system was relatively modest, about £10 on average. We now know that the administrative cost of the scheme was very high indeed in proportion to the help given. We estimate that last winter it cost over £1 million administratively to pay out £1·7 ​ million in benefit. Clearly that was not satisfactory. In view of the difficulties we undertook to review the provision.

    In the meantime, the chief adjudication officer arranged for a test case to be heard by the social security commissioners to clarify whether his guidance properly reflected existing law. Their decision, which was issued recently, was that the system used last winter was not a satisfactory method for deciding claims. They held in effect that local adjudication officers should use their own judgement in deciding, on the facts of each individual case presented to them, whether there had been a period of exceptionally severe weather and how much extra the claimant had spent as a result.

    The chief adjudication officer is now issuing new guidance to local adjudication officers in the light of the commissioners’ decision, so we shall no longer have the system of trigger points and degree day percentages which caused so much bewilderment last winter. None the less, local adjudication officers may still have to face substantial difficulty in determining whether exceptionally severe weather payments should be made. For example, they will have to decide whether the weather is exceptionally or abnormally severe. Interpretation of those terms is difficult. They will have to decide whether there has been a period of exceptionally severe weather, although there is no set definition of “period” and it may in theory be as little as a single day.
    The local adjudication officers will also have to establish both what the claimants’ normal fuel expenditure is and how much extra is spent as a result.

    Mr. Wilson

    Is the Minister saying that in departing from the previous system of trigger points and so forth the temperature to be used as a criterion in each area will be a local one rather than a national one? In other words, will it still be possible for people in the south to get benefits under the severe weather scheme while people further north will not get them if their average temperature is much colder?

    Mr. Major

    I was about to make that point, though we shall have to wait for the guidance of the chief adjudication officer, which we shall have very shortly. There is a substantial probability that payments may still ‘vary between different parts of Britain in an unacceptable fashion. I stress that point because some hon. Members may have overlooked it. The commissioners, in their recent decision, held that the weather must be exceptional for the place in question.

    A number of other factors will need to be considered, one of which is the commissioners’ ruling that “exceptionally severe” also means exceptional for the time of year. I have no wish to belittle the difficulties outlined by the hon. Member for Dundee, East, that high summer heating bills can cause. The issue is whether ad hoc, finely calculated payments towards specific bills are the best ‘way to help. I wonder if the social security budget and social security staff are best employed making adjustment for exceptionally rainy summers, exceptionally chilly springs, exceptionally misty autumns, and so on. Surely it is better to concentrate on delivering the correct level of weekly income efficiently to those in need.

    We are therefore continuing to consider this provision very carefully in the light of the commissioners’ decision and the chief adjudication officer’s impending guidance. ​ We shall be looking at the effects of that guidance, both in terms of the way in which it seeks to provide extra help with fuel bills and its practical implications. In the meantime, the guidance is being issued so that staff will be able to handle any claims being made.

    I hope —though my expectations are not high —that I may have persuaded the hon. Member for Dundee, East that the Government are anxious to help the least well off ​with their heating problems. The Government are genuinely concerned about the matter and, regardless of whether I have convinced the hon. Gentleman, we shall continue to offer substantial assistance, although it may not be in the ways that the hon. Gentleman suggested in his remarks today.