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Tag: Simon Clarke

  • Simon Clarke – 2022 Levelling Up Secretary’s Op-ed for The Telegraph

    Simon Clarke – 2022 Levelling Up Secretary’s Op-ed for The Telegraph

    The article written by Simon Clarke, the Secretary of State for Levelling Up, Housing and Communities on 22 September 2022. The article was released as a press release by the department (mis-spelling the Secretary of State’s name).

    We have a new and reinvigorated government in Westminster.

    A government ready to roll up its sleeves and put in the hard graft so that the future of this country is bright and prosperous.

    We must ensure that everyone in our society – irrespective of where they’re from, what they do, or how much money they earn – lives somewhere warm, decent and safe.

    We’ve already acted on energy bills, so a typical household will pay no more than £2,500, while providing hundreds of pounds in relief for struggling families this winter.

    And we’re acting with that same urgency on building safety.

    What happened at Grenfell Tower was nothing short of a national tragedy. It should not have taken the death of 72 people for us to have woken up to just how ineffective the building safety regime was. It is our duty as a government to fix this, and ensure that it never happens again.

    Just a few weeks into the job I am hearing from leaseholders who are still waiting for remediation works to be carried out, who are unable to sell, and face sky-high building insurance premiums.

    I’m determined to finish the job my predecessors started, fixing the system for good, ensuring that industry rectifies the problems it created, and making sure that the leaseholders who have been so unfairly caught up in this scandal get the relief and protection they deserve.

    In recent months, we’ve already taken some big steps in the right direction.

    The Building Safety Act came into force over the summer.

    It represents the greatest set of reforms in a generation with a tough new regulator and an even tougher regulatory regime to ensure that people’s homes are made safe.

    The Act means that every block of flats must now have someone who is responsible for a building’s safety and the residents who live in it.

    It also provides far-reaching legal protections to leaseholders so that they’re no longer hit with unfair bills to fix cladding issues.

    For the first time government will have powers to force owners to fix dangerous buildings for which they’re responsible and ensure remediation works are both fast and proportionate.

    Forty-nine of the largest housebuilders have now risen to the challenge set by government and signed a public pledge to fix unsafe buildings that they developed or refurbished. Responsible housebuilders are wasting no time in getting on with fixing those buildings and I look forward to working with this group on our ambitious housing agenda to deliver the homes and growth this country deserves. We will shortly turn those pledges into legally binding contracts, which will give residents confidence that their homes will be made safe and that leaseholders will not have to pay.

    Any housebuilders that fail to act responsibly may be blocked from commencing developments and from being granted building control sign-off for their buildings. This month we have taken steps to set up a scheme in law to show which housebuilders are doing the right thing, and which are failing to do so.

    Our Recovery Strategy Unit will expose and pursue firms and individuals involved in the most egregious cases of building safety neglect. Where freeholders are not coming forward and accepting government money to make buildings safe, this unit will be launching legal action. I expect the first cases to be brought very soon. This government is determined to hold the worst actors to account, deliver for leaseholders, and restore confidence in the housing market.

    But this was never about heaping blame on one part of the sector. It’s about making the whole industry, including construction product manufacturers, play its part in fixing the wrongs of the past.

    That’s one of the reasons why my department is also working hand in hand with the Financial Conduct Authority to ensure that appalling practices within the insurance industry, like the sharing of commissions between brokers and managing agents, which can drive up prices for consumers, are brought to a swift end. I wrote to the British Insurers Brokers Association myself this week and I expect this immoral behaviour to stop immediately.

    It is also why we will continue to work relentlessly with the lending industry to ensure leaseholders are no longer trapped by over the top risk aversion and unnecessary paperwork, freeing them to take their next step on the housing ladder. I welcome their commitments so far but now is the time to see tangible changes to unlock the market.

    We will make homes safer. We will protect leaseholders from crippling costs. And we will work to restore the right of everyone in this country to feel safe in the place where they and their loved ones sleep at night.

  • Simon Clarke – 2022 Comments on the New Public Sector Fraud Authority

    Simon Clarke – 2022 Comments on the New Public Sector Fraud Authority

    The comments made by Simon Clarke, the Chief Secretary to the Treasury, on 3 August 2022.

    The launch of the new body will put a laser-like focus on fraud and renew our efforts to combat people taking advantage of our public services and support.

    It will reinforce wider investment in government to crack down on fraud and mis-claiming, including £210 million for HMRC to further tackle fraud, and £510 million for DWP to target welfare fraud in 2021.

    Tackling fraud will drive efficiency, saving taxpayers’ hard-earned money which is even more important as we know people are struggling with the rising cost of living.

  • Simon Clarke – 2022 Statement on the Customs Undervaluation Case

    Simon Clarke – 2022 Statement on the Customs Undervaluation Case

    The statement made by Simon Clarke, the Chief Secretary to the Treasury, in the House of Commons on 30 June 2022.

    In March 2018, the European Commission launched infringement proceedings against the UK, alleging that between 2011 and 2017 the UK had failed to prevent undervaluation fraud involving importations of Chinese textiles and footwear, leading to approximately €2.7 billion of customs duty going uncollected. Since leaving the EU, the UK has continued to engage with these infringement proceedings as per the legal obligations set out in the withdrawal agreement. Throughout the case, the UK argued that we took appropriate steps to tackle the fraud in question and that the size and severity of the alleged fraud had been overstated. The UK has since taken proportionate and increased steps to combat this fraud without impacting legitimate trade, liquidating suspect traders through enforcement action, and substantially eliminating the illegitimate trade with significant investments in new inland customs infrastructure that opened in October 2017.

    On 8 March 2022, the CJEU published its judgment, finding against the UK on most liability points. Importantly however, the Court found that the European Commission overstated the size of its losses, by expanding its claim for losses prior to 2014 beyond those originally claimed and by ignoring action taken by the UK in raising assessments for the period from 2015 onwards. The judgment did not endorse the €2.7 billion claim, instead limiting the Commission’s claim for imports from 2011 to 2014 to the amount of certain customs assessments issued and cancelled in error and, for imports in the period January 2015 to 11 October 2017, instructing the European Commission to recalculate the figure. We understand this exercise to be under way and we have not yet received the Commission’s revised estimate of the liability. These calculations are likely to be complex.

    Following the judgment, the UK is liable for both outstanding customs duties and interest. This could potentially be 16% plus Bank of England base rate and accrues in the absence of any payment. With this in mind, and in order to protect UK taxpayers from significant continued interest accrual, the UK made a payment on 10 June 2022 to the European Commission of €678,372,885.63. This paid in full the amount due regarding cancelled customs assessments to the end of 2014 and, in respect of the subsequent period, represents the amount the UK considers due at this time, in light of the CJEU judgment, thereby stopping interest accruing on this amount. When the UK receives the Commission’s recalculation for the period 2015 to October 2017, we will examine their methodology closely and will not hesitate to reject any claim should we believe it to not be accurate or in line with the CJEU’s judgment, to ensure we protect UK taxpayers’ interests.

  • Simon Clarke – 2022 Speech on Achieving Economic Growth

    Simon Clarke – 2022 Speech on Achieving Economic Growth

    The speech made by Simon Clarke, the Chief Secretary to the Treasury, in the House of Commons on 18 May 2022.

    It is a privilege to respond to this debate on behalf of the Government. I have to say that I thought that was an uncharacteristically poor speech by the shadow Chancellor, and one that failed to rise to the magnitude of the moment. In the shadow of the pandemic and with war on our continent, everyone understands that these are challenging times and that people are anxious about the future. The measure of a Government of any colour is the determination and imagination with which they respond to the challenges of the day. We responded quickly and comprehensively to the greatest challenge of our generation at the outset of the pandemic. Looking forward, we are helping to create the conditions for economic growth by investing in skills, helping businesses to grow and building the infrastructure that provides the backbone of every economy around the world. The crucial thing—the reason that today’s debate is so important—is that we focus on that growth, and this Queen’s Speech does just that.

    Let me begin by noting that overall our economy has proved very resilient. Last year the UK was the fastest-growing economy in the G7. Growth in the first quarter—[Interruption.] If Opposition Members listened, they might learn something. Growth in the first quarter was stronger than in the US, Germany and Italy, and pushed output to 0.7% above its pre-pandemic level at the end of 2019. The IMF forecasts that the UK will be the second-fastest growing G7 economy this year, and that, after other economies have caught up as they recover more slowly from the pandemic, we will have the fastest growth in 2025 and 2026.

    Far from the dire forecasts about unemployment in 2020 being realised, we see that unemployment has fallen back to just 3.7%, which is below pre-pandemic levels and the lowest since 1974. The fact that 12 million jobs and incomes were protected during the pandemic, that unemployment is now lower than before the pandemic and that we were the fastest-growing economy in the G7 last year is all thanks to the careful economic stewardship of my right hon. Friend the Chancellor and this Conservative Government.

    Mike Amesbury (Weaver Vale) (Lab)

    Given that inflation is now at 9%—I think that that is a 40-year high—does the Minister regret abandoning the triple lock and putting so many pensioners into poverty?

    Mr Clarke

    As I will set out during my remarks, we have to be very careful, in setting our tax and welfare policies, that we do not worsen the very problems we are trying to manage. That is an important dynamic that we have to hold in balance as we seek to set fair offers on all these subjects.

    It is still little more than two years since the onset of the pandemic and, as the Prime Minister told the House this week, its impact has been enormous, with the largest recession on record requiring a Government response amounting to nearly £400 billion. As the House well knows, the Government moved heaven and earth to support our economy, doing things that only weeks earlier no one could ever have expected us to even need to do, and those efforts worked. Human nature being human nature, it is easy to take it for granted when disaster is avoided, but there was nothing inevitable about this. The House and this country owe my right hon. Friend the Chancellor our thanks for steering us through the situation in such strong condition. The challenges we face now are global in origin and impact. We are seeing inflation as a consequence of the unsteady and tentative unlocking of the global economy post-pandemic. One need only look at cities such as Shanghai to see how disrupted the global supply chains currently are. This is particularly concentrated in fields such as energy and food.

    Mr Tanmanjeet Singh Dhesi (Slough) (Lab)

    I am glad that the right hon. Gentleman is saying that the Chancellor and his Ministers are moving heaven and earth to help the good British people, but would he agree that certain individuals also moved heaven and earth to give out billions of pounds’-worth of crony covid contracts to companies connected to Tory donors and friends? Who could forget, for example, that 11 PPE contracts were dished out to a pest control company, and that £252 million ended up going not to a PPE specialist but to a company specialising in offshore and foreign currency trading? Does he agree that, had those individuals not moved heaven and earth for those particular companies, the good, hard-working British people would not be in such a predicament now?

    Mr Clarke

    It is important to set out a number of facts about this situation, because it is the subject of repeated misrepresentation. The first thing to say is that 97% of all PPE that was purchased by the Government was fit for use. Secondly, we obviously had to proceed at enormous speed, given the exigencies of the pandemic, to procure that PPE. Those on the Opposition Benches were leading the charge on that. To the hon. Gentleman’s point about some of the sources that were being advocated, I would remind him that the shadow Chancellor herself recommended that we sought PPE from a historical re-enactment clothing company as part of the proposed solution. The point I would make is that there was a desperate situation and we responded to it at pace. Where there has been fraud against the Exchequer, I am as clear as any Minister and any Member of this House that we should pursue it, and we are funding a dedicated taxpayer protection taskforce from HMRC with £100 million to do exactly that.

    Chris Bryant (Rhondda) (Lab)

    I understand that lots of countries in the world have been through similar problems and also have a cost of living crisis, but can the Minister explain why the British Government are being so miserly when Greece, which has a similar set of issues and has been through much more difficult economic times in the past 12 years, is managing to meet 80% of the additional costs of fuel bills this year for the poorest households?

    Mr Clarke

    One has to set in context the action that each Government take against their particular situation and the particular economic options open to them, including the impact on taxes, of which we are acutely aware. This Government have consistently shown that we will rise to the challenge. Anyone who says that £22 billion is miserly is simply misreading the economic reality in a way that speaks volumes about the Labour party’s wider approach to budgeting responsibly and managing our public finances to protect the most vulnerable in society and the services on which they rely.

    To return to the situation as it stands today, the Bank of England has said that it expects inflation to peak at just over 10% in the fourth quarter of this year, before returning to target over the following year. The reality is that high global energy prices and supply chain pressures are pushing up prices in economies across the world, including in the United Kingdom, and that has been significantly worsened by Russia’s invasion of Ukraine, which has injected so much uncertainty into the economic outlook.

    We are monitoring the data very closely. I do not dispute that these challenges are a setback to our recovery and are having a significant impact on the cost of living, which was the subject of yesterday’s debate led by the Chancellor. However, last year’s strong rebound in growth put us in a good underlying economic position, with half a million more people on the payroll now than before the pandemic, and with GDP above pre-pandemic levels.

    As we heard yesterday, the Chancellor understands the effect of inflation on households and is providing support worth £22 billion this year to ease those pressures. He will keep all those issues under close review and we will bring forward a programme of measures at such time as they will make the right difference in a targeted way, but we must be careful not to fuel the very challenges that we are working to overcome, be that inflation or the size of our public debt.

    We will spend £83 billion on debt interest this year. We must, and we will, manage the public finances responsibly because we must not saddle future generations with our debt and because we want to reduce the burden of personal taxation.

    Sir Bernard Jenkin (Harwich and North Essex) (Con)

    Will the Chief Secretary to the Treasury confirm the nature of that £83 billion figure? Is it a cash demand on the Government, or is a substantial part of it rolled over so that we do not need to pay and it is merely attached to index-linked bonds?

    Mr Clarke

    Some of it falls due as cash payments and some of it is rolled over. The reality is that, when we are running an £83 billion interest payment on an annualised basis, we will not be in a position to maintain market confidence unless we set out a sustainable trajectory to address it. A sustainable solution cannot be to borrow our way out of the situation; it must be to grow our economy and to create high-skilled, high-waged jobs, and we have a comprehensive plan to do so. That is the choice we have made as a Government and it is absolutely the right one.

    Geraint Davies

    The Chief Secretary to the Treasury mentioned that there are 500,000 more people on payrolls, but he neglected to say that that does not include self-employed people. Will he confirm that, according to the Office for National Statistics, there are, in fact, 444,000 fewer people in work than before the pandemic, not, as he implied, half a million more?

    Mr Clarke

    There are half a million more people on payrolls, and I was very clear about that. The headline unemployment rate is 3.7%, which we should celebrate. It is a genuine public policy success and contrasts starkly with the situation we inherited in 2010. I, certainly, am determined to continue supporting it by making sure our economic policy is the right one.

    The Labour party has only one answer to every problem: spending more. It has made, by our calculations, £418 billion-worth of spending commitments, while setting out precisely how £8 billion would be funded. The scale of spending that Labour would undertake is vast, but what concerns me, and should concern us all, is the lack of seriousness with which Labour considers how to fund its commitments. That is the luxury of being in opposition, whereas in government there is no ducking away from the big challenges with which we are grappling.

    Achieving economic growth is not as simple as putting one’s foot down on the accelerator. It is a far subtler and more balanced enterprise that includes multiple carefully weighed decisions that are designed to mutually reinforce each other over time.

    Mark Pawsey (Rugby) (Con)

    Does the Chief Secretary to the Treasury agree that the private sector is our economy’s engine of growth? Businesses are getting up, working hard and developing the growth, jobs and prosperity this country needs. We cannot rely on the state to do everything. Private businesses must be supported.

    Mr Clarke

    My hon. Friend is exactly right. He is always a fantastic advocate for the car industry in his part of the midlands. We need to make sure that the engine of growth is able to fire, and our plan for growth, published last year, sets out how we will increase investment in the three pillars of growth: infrastructure, skills and innovation.

    Martin Docherty-Hughes

    On business opportunities, specifically for small and medium-sized business, the National Institute of Economic and Social Research basically is pouring cold water on the Government’s bunkum on the benefits of Brexit for the economy, so I wonder whether the Chief Secretary to the Treasury agrees or disagrees, when it comes to small and medium-sized businesses that need people in the country now, not trained 10 years down the line, that links with the EU through trade and potential labour market mobility have benefited Northern Ireland. Does he agree or disagree?

    Mr Clarke

    I am clear that we were right to implement the majority decision of the people of this country to leave the European Union. The Procurement Bill is designed precisely to make sure that small and medium-sized businesses can access the benefits of public procurement in a way that works to their considerable benefit.

    We have made excellent progress against our plan for growth: a landmark capital uplift in the spending review I chaired last autumn; the creation of the UK Infrastructure Bank led by my hon. Friend the Economic Secretary; more funding for apprenticeships and skills training; a big injection of public investment in R&D; and the launch of the UK-wide Help to Grow scheme.

    I want to see us go further by looking at innovative supply-side solutions to problems, particularly in delivering the homes people need, in ensuring people have access to the services they need and in carefully managing the risk of inflationary spirals. As my hon. Friend the Member for Rugby (Mark Pawsey) alluded to, this is all about creating the conditions for private sector growth. In his Mais lecture earlier this year, the Chancellor set out his plans to create the conditions for that growth by supporting a culture of enterprise through a focus on capital, people and ideas, and the Government have already taken steps to encourage business investment, including through the super-deduction.

    On expenditure incurred between 1 April 2021 and the end of March 2023, companies have the right to claim 130% capital allowances on qualifying plant and machinery investments, allowing them to cut their tax bill by up to 25p in every £1 they invest, making our capital allowances regime one of the most competitive anywhere in the world.

    The power of our private sector is also seen in our tech industry, in which there was more than £27 billion of investment in 2021. The UK sits alongside the United States and China as one of only three countries in the world to have produced more than 100 tech unicorns. The UK boasts a thriving start-up scene, with a new tech business launching every half an hour throughout 2020.

    Kevin Hollinrake

    I declare my interest on this point.

    The Chief Secretary to the Treasury talks about investment in private sector businesses. Equity investment is vital. The enterprise investment scheme and the seed enterprise investment scheme are fundamental to private sector investment in businesses, and they are due to expire in 2025. Will he announce from the Dispatch Box today that the schemes will be extended?

    Mr Clarke

    My hon. Friend tempts me. In all seriousness, we are acutely aware of this issue. Indeed, I have had meetings on it this week, and the Economic Secretary is looking at it very closely. We want to make sure we have the right investment climate to support the kind of activity to which my hon. Friend the Member for Thirsk and Malton (Kevin Hollinrake) alludes.

    As the Prime Minister told the House last week, we need the legislative firepower to fix the underlying problems in our energy supply, housing, infrastructure and skills, which are driving up costs for families across the country. The Queen’s Speech will help us to grow the economy, which is the sustainable way to deal with our cost of living challenges, and will ensure that we deliver on the people’s priorities. The Bills it outlined will do so in many different ways.

    Every corner of the country can contribute to, and enjoy, economic growth, which is why we created the UK Infrastructure Bank, the establishment of which will be completed by the UK Infrastructure Bank Bill. The bank will be explicitly tasked with supporting regional and local economic growth and helping to tackle climate change as it goes. With £22 billion of capacity, it will be able to support infrastructure investment and level up the whole United Kingdom, in turn boosting private sector confidence and unlocking a further £18 billion of private investment.

    The energy security Bill will build on the success of the COP26 summit in Glasgow, reduce our exposure to volatile global gas markets, and deliver a managed transition to cheaper, cleaner and more secure energy, all while we continue to help with energy costs right now, through a £9 billion package, an increase to the warm home discount and the £1 billion household support fund.

    I have already alluded to the importance of skills. We have achieved plenty on that already, but we are far from done. Everyone, everywhere should be encouraged to fulfil their potential. The higher education Bill will help to ensure that our post-18 education system promotes real social mobility, putting students on to pathways along which they can excel. It will give them the skills they need to meet their aspirations, in turn helping to grow the economy.

    Meanwhile, a bonanza of Brexit Bills, led by my right hon. Friend the Minister for Brexit Opportunities and Government Efficiency, mean that we will continue to seize the benefits of our departure from the European Union, and create a regulatory environment that encourages prosperity, business innovation and entrepreneurship. Regulations on businesses will be repealed and reformed and it will be made easier to amend law inherited from the European Union.

    I alluded earlier to the Procurement Bill, which will make public sector procurement simpler, providing opportunities to small businesses that for too long have been out of their reach. New procedures will improve transparency and accountability and allow new suppliers to the market to bid for future contracts.

    Another benefit to Brexit is the freedom with which we can now negotiate entirely new trade arrangements with partners around the world. The Trade (Australia and New Zealand) Bill will enable the implementation of the United Kingdom’s first new free trade agreements since leaving the European Union, spurring economic growth through our trading relationships, creating and securing jobs across this country. Well may Opposition Front Benchers snipe, having spent years trying to prevent our exit from the EU. Conservative Members know that we have honoured our contract with the British people, which is ultimately why we are in government to deliver on those opportunities and they are in opposition.

    Part of having a growing economy is of course about investors knowing that we are one of the safest and most reliable places in the world to do business. The economic crime and corporate transparency Bill will send that message out loud and clear, cracking down on illicit finance that costs the economy and the taxpayer an estimated £8.4 billion a year, and strengthening our reputation as a place where legitimate businesses can create and grow jobs.

    The final Bill to which I will draw the House’s attention today is the financial services and markets Bill. The UK now has a unique opportunity to assess whether it wants to do things differently, to ensure that the financial services sector has the right rules and regulations for UK markets and to further enhance a system that is already the envy of the world. The Chancellor and the Economic Secretary have been outspoken in expressing an ambitious vision for a sector that can contribute so much to this country: more open, more innovative and more competitive. The financial services and markets Bill represents further progress towards making that vision a reality, establishing a coherent, agile and internationally respected approach to financial services regulation that is specifically designed for the UK, removing red tape, promoting investment and giving our financial services regulators new objectives to ensure a greater focus on growth and international competitiveness.

    That is a full and ambitious agenda, supporting and encouraging economic growth in many mutually reinforcing ways across the entire country. We continue to keep the wider situation under review, including the impact of Russia’s illegal invasion of Ukraine. But, crucially, our focus is on the best solution of all: a growing economy supporting high-wage, high-skilled jobs.

    The Prime Minister told the House last week that our ambition is to

    “build the foundations for decades of prosperity, uniting and levelling up across the country”.—[Official Report, 10 May 2022; Vol. 714, c. 17.]

    That is what the public rightly expect and that is where our collective efforts will be focused in this parliamentary Session.

  • Simon Clarke – 2021 Statement on Tax Credits, Child Benefit and Guardian’s Allowance Update

    Simon Clarke – 2021 Statement on Tax Credits, Child Benefit and Guardian’s Allowance Update

    The statement made by Simon Clarke, the Chief Secretary to the Treasury, in the House of Commons on 25 November 2021.

    The Government will bring forward regulations that will increase most tax credits rates, and thresholds, and will increase the child benefit and guardian’s allowance rates in line with the general rise in prices as measured by the September 2021 consumer prices index (CPI). CPI has been the default inflation measure for the Government’s statutory annual review of benefits since 2011.

    The annual uprating of benefits will take place for tax credits from the start of the new tax year and for child benefit and guardian’s allowance in the first full week of the 2021-22 tax year. In 2022, this will be 6 April for tax credits and 11 April for child benefit and guardian’s allowance.

    The annual uprating process includes the following measures:

    The majority of elements and thresholds in working tax credit and child tax credit will be increased by September’s CPI figure (3.1%) from April 2022. In line with established practice and the Office for Budget Responsibility’s expectations in their welfare forecast, the maximum rate of the childcare element, the family element, the withdrawal rate and the income disregards will remain unchanged.

    The 3.1% increase will be applied to the rate of the working tax credit basic element announced by written ministerial statement on 4 November 2020 (£2,005).

    Child benefit will be increased in line with September CPI (3.1%) from April 2021.

    As set out in section 49(3) of the Tax Credits Act 2002 (TCA), guardian’s allowance will be uprated in line with prices, measured by September CPI (3.1%).

    The full list of proposed benefit and credit rates will be placed in the Libraries of both Houses in due course.

  • Simon Clarke – 2021 Speech on Council Tax Increases

    Simon Clarke – 2021 Speech on Council Tax Increases

    The speech made by Simon Clarke, the Conservative MP for Middlesbrough South and East Cleveland, in the House of Commons on 25 January 2021.

    It was my great privilege to serve as the Local Government Minister for the first six months of our response to covid-19, and am I am grateful to have this opportunity to commend the whole sector for its response. I witnessed three things in my time at the Department that are particularly relevant to today’s debate. First, I witnessed the absolute sincerity of my right hon. Friend the Secretary of State, and all in the Department, in respect of the Government’s commitment to provide all the support that the sector needs throughout the pandemic.

    As we heard my right hon. Friend say in his speech, the gap between what many leaders say and what the sector then self-reports to the Department is often profound. Throughout the spring, we faced real concerns about the number of councils that might need to issue section 114 notices to declare themselves effectively bankrupt; as we have seen, that has not transpired. It has not transpired for a reason: namely, the effective and highly tailored support schemes that have been put in place alongside direct grant support. We should not underestimate the complexity of the local government landscape and the need to respond to the different challenges that face different types of council in different parts of the country. That response has been accomplished, and councils have worked admirably and been able to get on with delivering their important work.

    Secondly, I saw the exceptional knowledge and dedication of the local government finance team in the Department. The team’s staff live and breathe the work and the recommendations of Ministers reflect the hard work that they put in in direct conversation with council finance officers. We have struck a fair balance, apportioning the costs of our response to covid-19 between central and local government. Most reasonable people would accept that that is the only realistic route through the current situation.

    Thirdly, we need to recognise that local authorities clearly have important responsibilities, too. Some authorities have been hit hard over the past year by factors that are legitimately outside their control. Some, such as Bath and North East Somerset Council, have been affected by factors relating to covid; others have been affected by issues such as cyber-attacks—I know that Ministers are working hard to resolve the situation at my local authority, Redcar and Cleveland, at pace. Such authorities must, and will, be supported.

    However, other authorities have made seriously poor decisions for which they simply cannot attempt to blame central Government. The Secretary of State has already referred to the situation in Croydon and the reverse Robin Hood scenario that has played out in Nottingham. The sheer brass neck of the shadow Secretary of State in tabling today’s motion is genuinely astonishing, given that it is overwhelmingly Labour councils that have failed. I could go on: Bristol, Southampton and Brent, and the situation presided over by the Mayor of London, that master of evasion, which deserves to be punished by the electorate in May. It is of course the Labour group on the Local Government Association that is so keen to abolish the referendum lock, which is the only thing that in practice stands between ratepayers and exorbitant tax rises, so for the Opposition to initiate today’s debate is, I am afraid, pretty rich.

    The Government have put in place an unprecedented package of support. What councils do beyond that is, rightly, a matter for them. This Government and Conservative-led councils will focus on getting the basics right: prudent financial management, driving down costs and waste, delivering high collection rates and supporting the truly vulnerable. I would note in this regard the extra £670 million next year that the Government have allocated to address the council tax hardship, which follows the £500 million for the same purpose this year. We have local democracy in place for a good reason. Councils control important aspects of our lives and should be accountable for that. Central and local government together have to meet the costs of responding to the pandemic, and for that reason, the quality of local decision making matters enormously.

  • Simon Clarke – 2020 Speech on Private Car Parks

    Simon Clarke – 2020 Speech on Private Car Parks

    Below is the text of the speech made by Simon Clarke, the Minister of State at the Ministry of Housing, Communities and Local Government, in the House of Commons on 2 June 2020.

    I thank my right hon. Friend the Member for Romsey and Southampton North (Caroline Nokes) for raising this issue and I congratulate her on securing this much-delayed debate. I also want to thank her and indeed, hon. Members across the House because this is an issue that I receive a lot of representations about on a daily basis. It is something that I am keenly aware needs resolving, and Members across the House are firm in their view that action is necessary on the regulation of the private parking industry.

    Too often, our constituents are treated poorly at the hands of parking firms, and I know that many of my constituents in Middlesbrough South and East Cleveland feel the same. The clear cross-party support for the Parking (Code Of Practice) Act 2019 was therefore hugely encouraging, and I am pleased that, through the Act the Government are giving motorists greater protection against bogus parking fines and clamping down on rogue operators.

    Self-regulation in the private parking sector has led to some undesirable practices, including misleading or confusing signage, aggressive debt collection, spiralling fees and opaque appeals services, and we heard some of that in the case of my right hon. Friend’s constituent, Mr Hindle. Members see in our postbags the effect that these poor practices have on people in our communities. They include the motorist who made a genuine and minor error entering their vehicle registration number into a machine and received £100 fine in the post; the driver who entered a car park on a busy day and could not park due to lack of spaces but got a ticket regardless because the camera assumed they had parked; the car park with signs that are impossible to read, subject to terms and conditions which are difficult to understand or which change without proper notice. Letters from motorists and even from MPs have gone unanswered by parking companies, although it does sound as though the hon. Lady has a staffer who will not be defeated by such tactics.

    These practices are unfair and not good enough. The private parking industry plays a crucial role in our transport infrastructure, from facilitating commutes every ​morning to making our high streets accessible for shoppers and those accessing vital services. It employs thousands of people and serves millions of customers every day in normal times. We understand its importance, and that is why this Government are taking action to crack down on rogue firms, protect motorists and raise standards across the sector. With that in mind, I am pleased to update Members on the progress of our action after the passing of the Parking (Code Of Practice) Act, which was introduced thanks to the hard work of my right hon. Friend the Member for East Yorkshire (Sir Greg Knight), and we are actively delivering on our 2017 manifesto commitment to tackle rogue parking operators.

    The Act provided for the creation of an independent code of practice for private parking companies and a one-stop shop for parking appeals, and our new code will ensure that enforcement and appeal processes are fair and proportionate. It will bring consistency, creating a level playing field across the industry, and it will benefit motorists, operators and landowners alike. If a parking company were to repeatedly break the code, its access to DVLA data could be blocked, and this data includes information on the vehicle keeper, so a company blocked from accessing it would be effectively unable to pursue parking charges. Blocking rogue operators in this manner will grant motorists greater protection against companies not delivering the standards that the Government and the public would expect.

    We have taken steps to ensure that the code is not only reflective of the issues that we want to address but is informed by outside experts. On 3 November last year, the Government announced that the British Standards Institution would write the code in consultation with consumer and industry groups and carry out a full consultation once the draft was ready. The BSI is widely regarded as expert in regulatory delivery and has a proven track record of working with Government. Developing the code of practice as a British standard is thus a guarantee that the new regulation will be robust and of the highest quality, and the Government’s choice of BSI also delivers on our promise to listen to industry and consumers and involve them in the design of the new regulation. BSI’s process for developing new British standards involves reaching a consensus for a range of key stakeholders and seeking a wide array of views through a full public consultation. That will help to ensure that the code is entirely comprehensive.

    I assure my right hon. Friend that, working in conjunction with the BSI, it is a priority to ensure that this code addresses the most significant and recurring issues that consumers deal with.

    Jim Shannon

    I welcome what the Minister has outlined for the right hon. Lady. I think it is exactly what we want to hear in this House, but when it comes to monitoring and checking, will the changes in the pipeline be enforced by locals councils, the police or another independent body?

    Mr Clarke

    It would not be an Adjournment debate without an intervention from the hon. Gentleman. In this case, he raises a really significant point. We need to make sure that these regulations have teeth. The deterrent lies in the fact that repeat offenders will find themselves unable to access the DVLA database and so it will in effect be self-policing.​
    In November, we announced that the Government would propose that the code considers a mandatory requirement to give all drivers the 10 minute grace period, which my right hon. Friend referred to, after their tickets expire. This will be a common-sense measure to ensure that drivers are not unfairly penalised for trying to do the right thing.

    Caroline Nokes

    I thank my hon. Friend for giving way. He was very specific then about a 10-minute grace period after a ticket had expired. Will it also include a 10-minute grace period in the circumstance that he himself identified where somebody perhaps drives into a car park and finds that there are no spaces, or that it is too expensive?

    Mr Clarke

    I confess that, given the code is in draft, I do not know the answer to that question, but I will write to my right hon. Friend, as she would expect, to clarify. I suspect that it will make good sense for it to do so in practice, but I will not presume to prejudge what the independent regulation may eventually come up with.

    I also want to address issues raised about debt collection, because it cannot be fair that a hard-working family is prevented from obtaining a mortgage because a small breach of a car park’s terms and conditions led to a county court judgment that, as my right hon. Friend refers to, can have such serious consequences, especially if it is sent to an old address. I have seen constituency cases of that nature. We are proposing that the code considers new protections for consumers, and looks at extra measures to crack down on intimidating and aggressive debt collection practices. We will also look at the appeals system, because this is a particularly significant issue. There are two appeals services in the private parking sector. Both have their own processes and procedures and different rates at which parking charges are overturned at appeal. Which appeals service a motorist has access to depends not on their choice or the nature of the alleged breach of contract, but simply on which trade association the operator happens to belong to. That cannot be fair and is at odds with natural justice, which is why it is the Government’s stated position that we intend to appoint a single appeals service for the entire industry, giving motorists the ability to challenge unfair charges.

    Finally, we are actively exploring ways to combat unfairly issued tickets from automatic number plate recognition technology. There is a widespread sense from motorists that this technology does not function as it should. I have heard of motorists entering and leaving a car park yet still having a ticket issued, and that is obviously a real concern. We want a private parking sector that works fairly in that regard.

    Turning to the substantive issue of timing, I am pleased to update the House that work with the BSI commenced in December, and it has now convened a group of key stakeholders to write the code. This group comprises representatives from the parking industry, consumer groups, standards bodies and, recognising the key role that parking plays in supporting our high streets, the retail sector.

    I can also update the House that we have appointed Steve Gooding, the director of the RAC Foundation, as our technical author, and he has now produced the first draft of the code. The RAC Foundation is a well-respected ​transport policy and research organisation and Mr Gooding is a former director-general of the Roads Traffic and Local Group at the Department for Transport, so he will bring real knowledge, experience and expertise to bear on his work. This is only a first draft and, as I have said, the final draft will be worked up in close consultation with key stakeholders, and there will be plenty of opportunity for everyone to have their voice heard in this process.

    In the context of this debate, I would like to put it on record that the Government are doing all they can to utilise our parking infrastructure to best serve our collective response to the coronavirus. I am sure that the measures that we have announced to support frontline workers and volunteers have been welcomed by both the House and the British public. We are offering free parking for NHS workers, volunteers and social care workers in council-owned on-street spaces and car parks. In conjunction with NHS England, the parking sector and local government, we have produced a free parking pass to allow those workers to park in council spaces, worry free. We have pledged to cover the costs of providing free car parking to NHS staff working in hospitals during this unprecedented time. Our aim is to alleviate any unnecessary pressures on those workers by removing any fears that they may have about fees or fines while they carry out what is by common consent truly heroic work.

    As we take the first steps towards recovery, we want to offer alternatives to public transport, but we are of course wary of an increase in the numbers of people taking end-to-end car journeys. To ease parking capacity, my right hon. Friend the Secretary of State for Transport has announced that the Government will seek to repurpose underused parking facilities outside town centres, made possible by close collaboration with local authorities and private operators. Those who live too far from town centres to cycle or walk can therefore park on the outskirts and finish their journeys on foot, bike or even—excitingly—an e-scooter.

    Individual businesses are also playing a hugely positive role. Many private operators have been offering parking spaces to NHS workers during the coronavirus crisis. I commend such efforts and reiterate the Government’s appreciation for them.

    I recognise the need to progress the new code at pace, and across Government we recognise the urgency of this issue. It is crucial to get the regulations right and, as my right hon. Friend said, the coronavirus situation has had an impact, but we have committed to developing the final code this year. Prior to that, a public consultation will take place to give the parking industry, the public and other interested parties the opportunity to have their say.

    The 2019 Act builds on action that the Government have already taken to tackle rogue private parking firms, including the banning of wheel clamping and towing and the stopping of over-zealous parking enforcement by councils and parking wardens. Beyond our work on the private car parking sector, the Government are taking decisive action to improve public and private car parking throughout the country.

    The Government are taking determined steps to protect motorists across the country. The Act will tackle an issue that our figures show affects literally millions of motorists every year. We will ensure that the private parking industry works to the high standards that motorists ​can reasonably expect, and we will tackle the rogue operators and their unfair practices. It will be an industry that will deliver for everybody.

    I thank my right hon. Friend again for raising the issue of Mr Hindle, and I put on record my own tribute to Mr Hindle for his persistence in showing a certain British doggedness in refusing to accept a fundamentally ​unfair situation. I thank my right hon. Friend for the opportunity to update the House on the work that we are doing to improve the sector. I of course look forward to returning to the Dispatch Box to give further updates when the final code is ready.

  • Simon Clarke – 2019 Speech at Charging Investment Conference

    Below is the text of the speech made by Simon Clarke, the Exchequer Secretary to the Treasury, on 7 October 2019.

    It’s wonderful to be here in such august surrounds.

    And it feels fitting that this house of historic international accord is the stage for another – and another of immense importance to us all.

    Net-zero emissions

    In November of last year, I was one of 50 Tory MPs who wrote to the Prime Minister and urged her to set a target of net-zero emissions by 2050.

    We felt then as we do now – that that we could decarbonise through science, not economic sacrifice…

    …That our method would not be hair-shirted self-denial, but innovation and investment driven by the right incentives.

    Our past should give us confidence.

    This country’s ingenuity has kept the UK at the forefront of science and engineering for hundreds of years.

    And, provided we keep our ambitions high, we will lead the world for hundreds more.

    And the goal of net zero emissions will inspire us all to great heights of achievement.

    Entrepreneurs will see opportunities in new industries, and create jobs all around the UK.

    And the new technologies they create will clean the air we breathe, and cut the bills in our homes.

    In June this year, the government became the first major economy in the world to adopt the Net Zero 2050 target, which is fantastic news.

    I was made a minister a month later and – while this is possibly slightly less momentous – I can assure you all I will do everything I can to make sure the government keeps its promise.

    Why we’re here today

    The danger, as ever, with targets that lie 30 years in the future is that they are pushed to the bottom of the pile by the concerns of today.

    The trick, then, is to make constant, incremental progress – and celebrate it when it happens.

    To make sure that we keep chipping away at our long-term ambitions.

    That’s why today is so important.

    CIIF

    The Charging Infrastructure Investment Fund is in many ways emblematic of our approach to Net Zero.

    Our philosophy isn’t that government can solve everything.

    Of course, we have an important role to play – but we have to do it in partnership with the energy and expertise of the private sector.

    Our approach is therefore to set up the right incentives and conditions, and then allow a powerful green market to flourish.

    In this case, we wanted to encourage more people to buy and use electric vehicles, or EVs, which are far less polluting than traditional cars.

    We set up grants for cars, taxis, vans and motorcycles.

    But we realised that people looking at buying EVs were wary of getting marooned, without any battery in their car left and miles away from home or the nearest charging point.

    And handouts wouldn’t cut it – we needed to unleash the power of the market.

    So, with Zouk Capital, we set up the Charging Infrastructure Investment Fund as a catalyst, with government money matching any private capital that comes in to maximise impact.

    And we were delighted that Masdar chose to invest £35 million in the fund – which the government topped up to £70 million – for the installation of 3,000 rapid chargers across the country.

    This more than doubles the UK’s number of rapid chargers, producing a dense network of stopping points where family cars can be charged in 20 minutes flat – the time it takes for a sandwich and a coffee on the way to the seaside.

    And, further, it shows Masdar’s continued participation in the UK’s clean energy commitments.

    Masdar has invested more than £3 billion in the UK in the past ten years, predominantly in offshore wind.

    It’s a pleasure to welcome Mohamed Al Ramahi here today for the signing ceremony and to talk more about how we can work together.

    I hope you continue to discuss with my colleagues at the DIT to find strategic partnerships that work for both our countries.

    Together, we’re showing that change is possible. And providing leadership to governments and private companies around the world that by working together, we can effect real change.

    Thank you.

  • Simon Clarke – 2019 Speech on the Economics of Biodiversity

    Below is the text of the speech made by Simon Clarke, the Exchequer Secretary to the Treasury, on 14 August 2019.

    In May, the UN released a report on the state of biodiversity on Earth showing that species of all kinds – mammals, birds, insects, plants, fish – are disappearing at an alarming rate.

    One million species are at risk of extinction, including 40 percent of all amphibian species, 33 percent of reef-forming corals, and around 10 percent of insects.

    Unfortunately, it’s our species that is to blame:

    we’ve cleared 100 million hectares of tropical forest between 1980 and 2000

    we’ve brought a third of fish stocks to biologically unsustainable levels

    and every year, we dump 3—400 million tons of heavy metals, solvents, toxic sludge and other wastes from industrial facilities into the world’s waters

    The death of any one species is a special tragedy, and a haunting loss.

    But the loss of a million would be a threat to our entire existence.

    Because, as you all know, biodiversity is not mere window dressing. Nature truly provides:

    it gives us the basics of food, fibres and clean water

    forests and wetlands capture carbon and retain rain water

    what’s more, approximately half of synthetic drugs have a natural origin, including many of our cancer drugs, and ten of the 25 highest selling drugs in the USA

    The need for an economic framework

    So we can see the scale of the problem in front of us.

    We have scraped and scoured our environment to the bone.

    But, like the state of climate science before the Stern review, we don’t yet have the economic tools to shape the polices required to heal it.

    We might know that the UK’s 1,500 species of pollinators deliver an estimated £680 million annual value to the UK economy.

    But that’s just one part of the picture. We need to be able to quantify what is at stake, and we need to be able to do so on the broadest possible canvas.

    There’s an urgent need to better understand the intricate relationship between human wealth and welfare, and the environment’s biodiversity and ecosystems.

    At the moment, not all that is very useful commands high value.

    And not everything that has high value is very useful – as Adam Smith once observed, water is a fair bit cheaper than diamonds.

    The situation demands we think more deeply.

    We need to get to grips with the nature of value, and the value of nature.

    Above all, we need to understand that you cannot manage what you do not measure.

    And that to forge a sustainable economy in harmony with nature – to keep it clean, use it wisely and share it fairly…

    …we have to better understand the links between ecosystems, biodiversity and human well-being…

    …And to come up with creative and transformative solutions to help secure it all.

    This is an ambitious goal which can only be achieved through the concerted efforts and combined strength of all sections of society.

    We need national and international alliances between policy makers, science, the public and the business community.

    And that’s why I’m proud that Britain is playing a leading role.

    Earlier this year, the previous Chancellor announced an independent global review on the Economics of Biodiversity – the first on the topic to be led by an Economics and Finance Ministry.

    We were all thrilled when Professor Dasgupta agreed to lead the review. With his global intellectual standing, I can think of no one better.

    I am also delighted that leading lights from academia, public policy and the private sector have agreed to take part in an Advisory Panel to provide expert advice to Professor Dasgupta and his team with their work.

    As a humble politician, seeking sensible options for change, I would warmly welcome your thoughts not just on how we establish the economic framework… but also on the policy choices that may flow from this.

    It’s great to see so many of you here today, with an opportunity to contribute your ideas and engage on this critical issue.

    I look forward to hearing all about your day and will retain a keen interest throughout the year ahead.

    Thank you.