Tag: Westminster

Action needed to help renters

UK government urged to strengthen social security system.

Scotland’s Housing Minister Kevin Stewart has written to the UK Government calling for urgent action to support housing tenants affected by the coronavirus (COVID-19) pandemic.

In a letter to the Secretary of State for Work and Pensions, Mr Stewart identifies five key areas in which the benefits system and support for people who rent their home should be urgently strengthened.

The Housing Minister urges the UK government to:

• lift Local Housing Allowance rates further to make more homes affordable to renters
• suspend the removal of the spare room subsidy
• suspend the benefit cap
• suspend the shared accommodation rate for under-35s
• extend the backdating of benefits for those who might not have realised they were eligible and relax the criteria under which backdating is allowable

The Scottish Government took action in the first emergency COVID-19 legislation to protect tenants from eviction for at least six months. Recently it made an additional £5 million available in discretionary housing payments to support those renting, increasing this fund to £16 million – this is further to that made available to fully mitigate the bedroom tax.

FULL TEXT OF LETTER

The Rt Hon Dr Thérèse Coffey
Secretary of State for Work and Pensions
Caxton House
Tothill Street
London
SW1H 9AJ

Dear Ms Coffey

I am writing to urge further consideration of the need to strengthen the social security system for renters affected by COVID-19.

In this unprecedented crisis, the Scottish Government and local authorities swiftly took a range of steps to protect renters from eviction through extended notice periods and extension of mandatory grounds. We have also moved to provide additional financial support within our devolved powers and budgets.

In order to support tenants during the crisis, we have increased the amount available for other discretionary housing payments (DHPs) by £5 million to almost £16 million. This takes our overall investment in DHPs in 2020/21 to more than £76 million. We took these steps to support those for whom the UK welfare state is not providing the safety net it should.

We are also supporting private landlords by offering loans and encouraging them to take mortgage breaks where available, although we know this is limited for some. We continue to engage with landlords across the rented sector to ensure that they are coming to agreements with tenants on rent arrears and signposting tenants to the range of financial support available.

The Scottish Government remains committed to working collaboratively with the UK Government to ensure that the social and economic effects of COVID-19 are mitigated effectively and efficiently so that people do not face hardship or homelessness. We have set out the steps we would like you to take in various pieces of correspondence during the pandemic.

The benefits system is an essential lifeline for many people facing or experiencing homelessness throughout the UK. Housing elements of social security remain a crucial part of the support required by tenants facing financial difficulty or homelessness as a result of the pandemic and remain reserved to you.

The changes you have made to local housing allowance (LHA) rates are welcome, but fall short of what is needed to provide comprehensive support to people living in rented accommodation.

In addition to our previous calls to lift the benefit cap; to scrap or relax the restrictions around the removal of the spare room subsidy; to provide more information to local authorities to help signpost available support to tenants; and to support quicker payments for discretionary housing payments, I urge you to consider further action to support people who rent their homes.

This is an area where urgent intervention is required in light of emerging evidence of the inequity of support available between those who rent and those who hold a mortgage.

Recent research by the Resolution Foundation demonstrates this in stark terms, finding that mortgage holders entered the crisis with lower average housing costs relative to income and a bigger financial buffer than renters, a disparity reflected in the fact that renters were far more likely to be facing difficulty in meeting their housing costs than those with a mortgage.

This same research also found that the level of mortgage holders seeking and successfully securing a mortgage holiday is far higher (12%) than the number of private renters seeking and successfully securing rent reductions from their landlords (5%).

We know that many people will find themselves in financial difficulty for the first time from job loss or substantial income reductions. Given the scale at which this is occurring for households across the country, it is vital that the safety net of social security is accessible and sufficient to support people through this national crisis and a new approach to the housing element of social security is now needed.

• We know that low-income families will have no savings to cushion them from the financial impact of the pandemic. We urge you to suspend the removal of the spare room subsidy, particularly as a spare room becomes essential when larger families need space to isolate.

• To support those with high rents who are currently unable to source lower cost accommodation, we would ask you to suspend the benefit cap. This will help to reduce the risk of immediate and short term hardship for families who are unable to meet housing costs, and will help to ensure that the support you have made available through investment in LHA rates and the increase in the standard allowance rate of universal credit is not undermined.

• We have seen the benefit of restored LHA rates in Edinburgh, with several hundred properties now affordable to renters, but the majority of renters will still struggle to source affordable accommodation and people must be able to maintain tenancies beyond the immediate crisis. We urge you to lift LHA rates further, bearing in mind that the 30th percentile still represents a cut when compared to the 50th percentile that applied before UK Government welfare changes.

• The high number of individuals under the age of 35 who have moved in with their parents during this crisis highlights the need for better housing support for young people. Like many stakeholders in the Scottish housing sector, we believe there is a strong case for suspending the shared accommodation rate for under 35s, especially as many who have lost jobs during the crisis are likely to be younger people.

• Finally, we ask you to extend the backdating of benefits for those who might not have realised they were eligible and relax the criteria under which backdating is allowable.

The Resolution Foundation figures are concerning and the risk to households who rent their homes is immediate and pressing. We must work collectively to act now to support a group of people facing mounting rent arrears and financial difficulty they would not have if they were mortgage holders. You will be aware of similar calls from leading homelessness organisations who are hearing concerns from their clients.

I am happy to discuss any of the points raised in this letter and wish to further reaffirm the offers from Scottish ministers to work with you on any other actions you are considering in response to COVID-19. I hope that by working together our governments can provide the most effective form of support during this crisis and afterwards.

Kind regards

KEVIN STEWART
MINISTER FOR LOCAL GOVERNMENT, HOUSING AND PLANNING

‘A National Disgrace’: British Airways lambasted in Westminster report

British Airways’ treatment of staff ‘a national disgrace’, say MPs

UK-based airlines and other aviation employers should not proceed hastily with large scale redundancies and restructuring to employees’ terms and conditions until the Job Retention Scheme ends in October 2020 and they have had the opportunity to consider the Government’s plans to help the sector restart and recover, say MPs.

In a report exploring the gravity of the crisis facing the UK’s aviation sector, the Transport Committee says fundamental decisions about people’s livelihoods should not be made prematurely.

Several aviation companies have announced redundancies, despite accessing the Government’s Job Retention Scheme designed to help businesses severely affected by the pandemic to retain employees and protect the economy.

The actions of British Airways and parent company, International Airlines Group, draw particular criticism. The committee’s view is that BA’s current consultation on staffing changes is a calculated attempt to take advantage of the pandemic to cut 12,000 jobs and to downgrade the terms and conditions of approximately 35,000 employees. The consultation is due to end on June 15th.

Chair of the Transport Committee, Huw Merriman MP, said: “The impact of coronavirus may sadly mean that the loss of some jobs in the aviation sector is justified. The behaviour of British Airways and its parent company, IAG, is not.

“It falls well below the standards expected from any employer, especially in light of the scale of taxpayer subsidy, at this time of national crisis. It is unacceptable that a company would seek to drive this level of change under the cover of a pandemic.

“We looked closely at BA’s plans to consult on at least 12000 redundancies and change the terms and conditions of the bulk of its employees. Many submitted written evidence to our inquiry and we thank them.

“As a committee, we have sought to examine this further and drive change using the means open to us through the House, asking Urgent Questions, seeking debates, introducing legislation and putting questions directly to the Prime Minister.

“We will continue to bring pressure where we can, including the airport slot allocation process. This wanton destruction of a loyal work force cannot appear to go without sanction – by Government, parliamentarians or paying passengers who may choose differently in future. We view it is as a national disgrace.”

The introduction of a 14 day blanket quarantine for travellers to the UK from other countries will damage the recovery of the sector and the wider economy, says the report.

Should the conditions allow in late June, the Committee calls for the quarantine policy to be abandoned when it is next reviewed and urges Government to introduce a more flexible and risk-based approach to border control, using alternatives such as targeted quarantines, ‘air bridges’ and temperature screening. In defending its decision, the Government should clearly set out the evidence it used to reach its decision.

Thousands of passengers who booked holidays and flights are still waiting on refunds from airlines and travel operators in accordance with their legal obligations, causing them additional stress and hardship.

The Government should consider whether protections for passengers can be built into the planned Airline Insolvency Bill.

MPs also recommend that the Department for Transport and the Civil Aviation Authority, responsible for enforcing current rules, conduct a speedy review of its powers to ensure it can enforce the rights of passengers in an effective and timely way.

Acknowledging the extraordinary pressures on providers, the Committee asks the Department for Transport to clarify why an extension to the legal deadlines for issuing refunds was not implemented in the UK.

Four months into the crisis, today’s report says the Government’s strategy should be more developed.

The Government’s Aviation Restart, Recovery and Engagement Unit is a welcome first step but the Government should bring forward a strategy for the aviation sector as soon as possible. To stimulate demand and protect businesses, the Committee recommended a temporary six month suspension of Air Passenger Duty payments and 12 month business rates relief for airlines and airports across the UK, as is currently the case in Scotland.

Chair of the Committee, Huw Merriman MP, added: “Few industries have been affected more by the coronavirus pandemic than aviation. Thousands of planes, and thousands of passengers, have been grounded, resulting in a 97% reduction in passenger flights compared to the previous year.

“This vital sector of the UK economy could lose more than £20 billion in revenue. Government must press on with a collaborative strategy for recovery.

“It is imperative that the UK Government finds a way to get aviation back on its feet. We don’t believe this fits with a blanket 14 day quarantine period for travellers to the UK.

“In today’s report, we recommend a more agile response. We also outline our support for a temporary suspension of Air Passenger Duty payments and support with business rates.

“Passenger confidence in airlines and travel operators, dented by unnecessarily difficult refund processes, must be rebuilt. We recommend the Government considers whether new protections for passengers should be introduced ahead of future pandemics or other extraordinary circumstances.”

The Committee’s inquiry is part of a wider look at the impact of coronavirus on UK transport. This first look at aviation did not examine the longer-term implications for air travel and MPs intend to return to this once the immediate crisis has subsided.

Rory Boland, Editor of Which? Travel, said: “The travel industry’s handling of cancellations and refunds has left consumers out of pocket and trust in the sector at a record low – so the committee is right to call for the government to introduce measures to improve protections for travellers.

“Which? has been calling for airlines and holiday firms to comply with the law on customer refunds and for clarity around Refund Credit Notes since the sector was thrown into chaos earlier this year, so action is long overdue.

“The government must urgently set out how it will take these recommendations forward, to restore trust in the industry before it is permanently damaged and ensure customers receive the billions of pounds they are collectively owed in refunds.”

Should our politicians return to Westminster? Speaker responds to MPs

Speaker of the House Sir Lindsay Hoyle has responded to the Centenary Action Group, a cross-party group of MPs who had written to express concerns about plans to return to the traditional ways of working at Westminster.

Dear colleague, 

Many thanks for your letter dated 20 May. I am well-aware of the strength of feeling from Members concerned about plans to return to physical proceedings in the House of Commons, but it is always useful to have the issues set out on paper.

Like many, I have been impressed with the way in which the House Authorities were able to facilitate hybrid proceedings in the Chamber, and then remote voting, within such a short space of time. While these proceedings have had their limitations, they have undoubtedly allowed more scrutiny and participation to take place than would have occurred without them.

Since the House has delivered these innovations to ensure that individuals could adhere to Government guidelines in order to keep safe, the Government has now taken the view that the House should return to the Chamber in a fully physical form.

It is a long-established constitutional principle – and one embodied in Standing Orders – that the Government controls the distribution of time available to the House, and that Government business has precedence. It is for the House itself to determine its procedures, as it did when it facilitated the move to allow virtual participation in select committees (which remains in force), and the move towards hybrid proceedings in the Chamber and remote voting (no longer in force).

As Speaker I cannot and should not stand in the way of the will of the House.

However, I would like to say that, in my view, all Members entitled to sit in the House of Commons should be able to have their voices heard in representing their constituents to as great an extent as is possible.

I am personally sympathetic to those who need to stay at home because they are vulnerable, shielding or have caring responsibilities. I have continued to express my view to the Leader of the House that the possibility to participate in the business of the House via hybrid proceedings should remain for these colleagues. I very much hope that the Government and Opposition, through the usual channels, can work together to ensure that this happens.

I believe, that just as I have a duty of care to staff of the House in my role as Chair of the House of Commons Commission, the individual political parties have a duty of care to their MPs to ensure that they are not put at risk and protection is available for those who need it.

As an extension of that, they also have a responsibility to ensure that their constituents are not disenfranchised, especially if there is an alternative method available enabling their MP to participate in business and vote on it.

For those who do come onto the parliamentary estate, I am confident that the appropriate social distancing measures will be in place. The House authorities are working together with Public Health England to ensure the parliamentary estate is a COVID-19 secure workplace by the time we return from the Whitsun recess on 2 June.

As you are probably aware, I have been insistent that we do not allow more than 50 MPs in the Chamber, while PHE guidelines on social distancing remain at two metres. Indeed, I will suspend the sitting if we exceed that number, or it is clear that social distancing is not being maintained.

I have also been very clear that Members’ staff, and House staff, who can work remotely should continue to do so – they should not be returning to the estate, or their constituency offices.

My priority, throughout this pandemic, is that all in the Parliamentary community can work safely if they are on the Estate, and I am grateful to all those working hard on our risk assessments and taking steps to make our workplace as safe as possible.

My pledge to you is that I will continue to be guided by PHE advice and will take whatever action is advised and I will continue to represent the range of views on this matter in my interactions with the Government.

Warm wishes

Sir Lindsay Hoyle 

Speaker of the House of Commons 

Coronavirus: Time for transparency, committee tells Prime Minister

Westminster’s Science and Technology Committee has today shared a series of findings in a letter written to Prime Minister Boris Johnson.

The 19 page letter, which sets out a number of recommendations to the Government, is based on evidence heard as part of the Committee’s inquiry into UK science, research and technology capability and influence in global disease outbreaks.

Backed by a cross-party group of MPs, the publication details ten key lessons the UK Government should learn from its experience of handling the first months of the pandemic.

Drawing on the evidence of scientists and other relevant experts from the UK and around the world who have thus far provided the Committee with a wide range of insights, the recommendations include:

  • The call for publication of the evidence basis and rationale informing Public Health England’s decision to concentrate testing in a limited number of its own laboratories and expand testing capacity gradually, rather than surging capacity through a large number of available public sector, research institute, university and private sector laboratories. The letter states that the decision, which led to the discontinuation of community testing, is ‘one of the most consequential made during [the] crisis’ and urges the Government to learn from its experience in anticipation of possible vaccine manufacture.
  • That the Government ‘urgently’ build up capacity for contact tracing, underlining the importance of contact tracing in managing the easing of lockdown measures in the UK and minimising the risk of a second peak of infections.
  • That the Government set out a clear approach for managing the risks around asymptomatic transmission of the disease,
  • That further transparency is needed regarding the provision of scientific advice, providing clear distinction between scientific advice and policy decisions. This includes:
    o- a call for the now public list of members of the Scientific Advisory Group for Emergencies (SAGE) to be updated regularly, including with the number of meetings the named participants attended;
    o- a request for the disciplines of SAGE participants who are not publicly named to be disclosed; and
    o- recommendations that papers on which SAGE draws for its advice to be published promptly after each relevant meeting, as well as for a summary of the scientific advice which has informed Government decisions to be published.

The Committee also makes a recommendation relating to the systematic recording of the ethnicity of those dying of COVID-19, stating that such data may help progress understanding of the disproportionate number of deaths of those from BAME backgrounds.

The letter has reached these conclusions as a result of the inquiry’s first six public evidence sessions. The inquiry, which captures contemporary evidence on decisions and assessments made by Government during the pandemic, continues.

Chair of the Committee, Rt Hon Greg Clark MP, said: “The Government has drawn extensively on scientific advice during the pandemic and should continue to do so.

“The Government should follow the best traditions of science in being transparent about the evidence and advice on which it makes decisions, and by being willing to continually learn from evidence and experience and not being afraid to adjust its approach in response.

“Greater transparency around scientific advice; putting capacity in place in advance of need, such as in testing and vaccines; collecting more data earlier and learning from other countries’ approaches are some of the early lessons of this pandemic that are relevant to further decisions that will need to be taken during the weeks and months ahead.

“We hope the Government will act on these recommendations which are offered in a constructive spirit based on the evidence we have taken so far.”

200518-Letter – Chair-to-Prime-Minister-re-COVID-19-pandemic-some-lessons-learned-so-far

DWP and changes in the world of work: have your say

DWP is currently experiencing unprecedented demand for its services due to coronavirus, which has had a substantial, immediate impact on the services it is able to provide and the way that it deploys its staff.

But alongside this, DWP faces much longer-term challenges.

In particular, the Government has described the “Fourth industrial revolution” as “New technology […] creating new industries, changing existing ones and transforming the way things are made.”

These changes may have a more fundamental impact on the services that DWP needs to provide.

Some analysis suggests that the types of jobs available will change substantially.

The number of jobs available may be reduced as more services are automated, with low and medium skilled jobs—those that Jobcentre Plus has traditionally concentrated on—most at risk.

As work changes, it may also be necessary to review the legal framework that underpins employment, to make sure that workers continue to have appropriate status and protections in law.

More options

Some commentary has suggested that these changes may require the Government to consider more radical options to ensure that people have enough money to live on: for example, experimenting with a Universal Basic Income (UBI).

Westminster’s Work and Pensions Committee wants to take a broad look at the implications of the Fourth Industrial Revolution for DWP.

Chair’s comments

Chair of the Work and Pensions Committee, Rt Hon Stephen Timms MP said: “DWP is focused on getting unprecedented numbers of Universal Credit claims processed and in payment.

“That is the right focus during the current crisis, but DWP also faces much longer-term pressures.

“The Committee wants to look at the implications of innovation in technology for the future of employment, and to understand what more DWP needs to do to ensure that the people it serves are properly supported to find, keep and progress in work.”

Call for written submissions

The Committee would like to hear your views on the following questions. You do not have to answer all of the questions.

  1. What are the main challenges that DWP faces as a result of the “Fourth Industrial Revolution”?
  2. What do we know about the possible likely impact on the labour market? For example:
    Are some sectors or types of jobs more likely to be affected than others?
    Are some groups of people more likely to be affected than others?
    What new types of jobs and opportunities could become available?
    s it likely that there will be a reduction in the number of jobs available?
  3. Is there a need to consider new, long-term approaches to addressing change in the labour market: for example, introducing a Universal Basic Income (UBI)?
    Is UBI an appropriate short-term response to shocks in the labour market?
    What can the Government learn from the international evidence on UBI?
  4. Are DWP Work Coaches well equipped to advise people who are looking for work on new and emerging sectors and jobs?
    How could DWP improve the training and advice it offers to jobseekers?
  5. What support, advice and training should DWP offer to people who are looking to progress in work, or take up more hours?
  6. What is DWP’s role in ensuring that young people have the skills they need to get into and progress in work?
  7. How could DWP work more closely with employers to ensure that claimants have the skills they need to find work in the future labour market?
  8. As the workplace changes, will it be necessary to change the legal definition of employment to ensure that people continue to have the appropriate legal status and protections? Might any other legal changes be needed?

The closing date for submissions is Monday 29th June.

We Must Defeat This Threat Together: PM statement in the House of Commons

Mr Speaker, with permission, I will make a statement about the next steps in our battle against coronavirus, and how we can, with the utmost caution, gradually begin to rebuild our economy and reopen our society.

For the last two months, the British people have faced a grave threat with common sense, compassion and unflinching resolve.

We have together observed the toughest restrictions on our freedoms in memory, changing our way of life on a scale unimaginable only months ago.

All our efforts have been directed towards protecting our NHS and saving lives.

Tragically, many families have lost loved ones before their time and we share their grief. Yet our shared effort has averted a still worse catastrophe, one that could have overwhelmed the NHS and claimed half a million lives.

Every day, dedicated doctors, nurses, and social care workers, army medics and more have risked their own lives in the service of others, they have helped to cut the Reproduction rate from between 2.6 and 2.8 in April to between 0.5 and 0.9 today.

The number of covid patients in hospital has fallen by over a third since Easter Sunday.

Our armed forces joined our NHS to build new hospitals on timetables that were telescoped from years to weeks, almost doubling the number of critical care beds, and ensuring that since the end of March, at least a third have always been available.

Our challenge now is to find a way forward that preserves our hard won gains, while easing the burden of the lockdown.

And I will be candid with the House: this is a supremely difficult balance to strike.

There could be no greater mistake than to jeopardise everything we have striven to achieve by proceeding too far and too fast.

We will be driven not by hope or economic revival as an end in itself, but by data, and science and public health.

And so the Government is submitting to the House today a plan which is conditional and dependent as always on the common sense and observance of the British people, and on continual re-assessment of the data.

That picture varies across the regions and Home Nations of the United Kingdom, requiring a flexible response. Different parts of the UK may need to stay in full lockdown longer but any divergence should only be short-term because as Prime Minister of the UK, I am in no doubt that we must defeat this threat and face the challenge of recovery together.

Our progress will depend on meeting five essential tests: protecting the NHS, reducing both the daily death toll and the infection rate in a sustained way,ensuring that testing and PPE can meet future demand – a global problem, but one that we must fix, and avoiding a second peak that would overwhelm the NHS.

A new UK-wide Joint Biosecurity Centre will measure our progress with a five-stage Covid Alert System, and the combined effect of our measures so far has been to prevent us from reaching Level Five, a situation that would have seen the NHS overwhelmed, and to hold us at Level Four.

Thanks to the hard work and sacrifice of the British people by following the social distancing rules, we are now in a position where we can move in stages to where I hope the scientific advice will tell us that we are down to Level Three.

But this will only happen if everyone continues to play their part, to stay alert and to follow the rules.

We must also deal with the epidemic in care homes, where a tragic number of the elderly and vulnerable have been lost and while the situation is thankfully improving, there is a vast amount more to be done.

And of course we need a world-leading system for testing and tracking and tracing victims and their contacts so I’m delighted that Baroness Harding, the chair of NHS Improvement, has agreed to take charge of a programme that will ultimately enable us to test hundreds of thousands of people every day.

All this means we have begun our descent from the peak of the epidemic, but our journey has reached the most perilous moment where a wrong move could be disastrous.

So at this stage, we can go no further than to announce the first careful modifications of our measures, Step 1 in moving towards Covid Alert Level 3, a shift in emphasis that we can begin this week.

Anyone who cannot work from home should be actively encouraged to go to work.

And sectors that are allowed to be open should indeed be open, but subject to social distancing.

These include food production, construction, manufacturing, logistics, distribution, scientific research.

And to support this, to explain this again, we are publishing guidance for businesses on how to make these workplaces safe. Covid secure.

People who are able to work from home, as we’ve continually said, should continue to do so, and people who cannot work from home should talk to their employers about returning this week and the difficulties they may or may not have.

Anyone with covid symptoms obviously – or in a household where someone else has symptoms – should self-isolate.

We want everyone travelling to work to be safe, so people should continue to avoid public transport wherever possible because we must maintain social distancing which will inevitably limit capacity.

Instead people should drive or better still walk or cycle.

With more activity outside our homes, we would now advise people to wear a cloth face covering in enclosed spaces where social distancing is not always possible, and you are more likely to come in contact with people you do not normally meet.

The reason is face coverings can help to protect each other and reduce the spread of the disease, particularly if you have coronavirus like symptoms.

But this does not mean – and I must stress this – this does not mean wearing medical face masks, 2R or FFP3, which must be reserved for people who need them.

We have all lived so far with onerous restrictions Mr Speaker on outdoor spaces and exercise, and this is where my honourable friend interjects as I know he’s a keen swimmer and unfortunately we can’t do anything for swimming pools but we can do something for lakes and the sea. and this is where we can go significantly further because there is a lower risk from outdoors than indoors.

So from Wednesday there will be no limits on the frequency of outdoor exercise people can take.

You can now walk, sit and rest in parks, you can play sports and exercise, and you can do all these things with members of your own household, or with one other person from another household, provided you observe social distancing and remain 2 metres apart from them.

And I do hope that’s clear Mr Speaker. I’m conscious people want to come back and ask questions in more detail and I’d be very happy to answer.

We shall increase the fines for the small minority who break the rules, starting at £100 but doubling with each infringement up to £3,600.

You can drive as far as you like to reach an outdoor space, subject to the same rules and the laws and guidance of the Devolved Administrations.

I am sorry to say however, Mr Speaker, that we shall continue to ask those who are clinically vulnerable – including pregnant women and people over 70, or those with pre-existing chronic conditions – to take particular care to minimise contact with those outside their households.

And we must continue to shield people who are extremely vulnerable. They should, I am afraid, remain at home and avoid any direct contact with others.

I know that easing restrictions for the many will only increase the anguish of those who must remain shielded, so the Government will look at every possible way of supporting the most vulnerable.

Mr Speaker, all of our precautions will count for little if our country is re-infected from overseas, so I give notice that we shall introduce new restrictions at the UK border, requiring 14 days of self-isolation for international arrivals, while respecting our common travel area with Ireland.

Every day, we shall monitor our progress, and if we stay on the downward slope, and the R remains below 1, then – and only then – will it become safe to go further, and move to the second step.

This will not happen until 1st June at the earliest, but we may then be in a position to start the phased reopening of shops; to return children to early years’ settings, including nurseries and childminders; to return primary schools in stages, giving priority to the youngest children in reception and year 1, and those in year 6 preparing for secondary school; and to enable secondary school pupils facing exams next year to get at least some time with their teachers.

Our ambition – and I stress this is conditional Mr Speaker –is for all primary school pupils to return to the classroom for a month before the summer break.

To those ends, we are publishing guidance on how schools might reopen safely.

Step two could also include allowing cultural and sporting events behind closed doors for broadcast, which I think would provide a much needed boost to national morale.

But nothing can substitute for human contact and so the Government has asked SAGE when and how we could safely allow people to expand their household group to include one other household, on a strictly reciprocal basis.

Finally, and no earlier than July, we may be able to move to step three – if and only if supported by the data, and the best scientific advice.

We would then aim to reopen some remaining businesses, including potentially hospitality, cinemas and hairdressers as well as places of worship and leisure facilities.

And this will depend on maintaining social distancing and new ways of providing services, so we will phase and pilot any re-openings to ensure public safety.

And I must be clear again: if the data goes the wrong way, if the Alert Level begins to rise, we will have no hesitation in putting on the brakes, delaying or reintroducing measures – locally, regionally or nationally.

Mr Speaker, our struggle against this virus has placed our country under the kind of strain that will be remembered for generations.

But so too has the response of the British people, from dedicated shopworkers keeping our supermarkets open, and ingenious teachers finding new ways of inspiring their pupils, to the kindness of millions who have checked on their neighbours, delivered food for the elderly, or raised astonishing amounts for charity.

In these and in so many other ways, we are seeing the indomitable spirit of Britain

And Mr speaker let me summarise by saying that people should Stay Alert by working from home if you possibly can, by limiting contact with other people, by keeping your distance 2 metres apart where possible – by washing your hands regularly, and if you or anyone in your household has symptoms, you all need to self-isolate.

Because if everyone stays alert and follows the rules, we can control the virus, keep the rate of infection down and the keep number of infections down.

And this Mr Speaker is how we can continue to save lives, and livelihoods, as we begin to recover from coronavirus, and I commend this statement to the House.

NOTE: The Prime Minister’s statement applies to England only

MPs want to hear experiences of people claiming benefits

Westminster’s Work and Pensions Committee wants to hear about how coronavirus is affecting people who rely on the benefits system as part of its new inquiry into the DWP’s response to the virus outbreak. 

The Committee is interested in finding out about the experiences of people who are having to claim benefits for the first time, the experiences of people who were already claiming benefits, and the experiences of people who need support but find they can’t claim any benefits.

The Committee has also published a letter from the Permanent Secretary at the DWP responding to several questions about the Universal Credit application process and how the Department is dealing with the unprecedented increase in applications. The letter reveals that nearly a million new claims were made between 16 March and 3 April this year.

Rt Hon Stephen Timms MP, Chair of the Work and Pensions Committee, said: “The DWP’s front line staff are making a herculean effort to deal with the unprecedented numbers of new claims for Universal Credit, and we thank them for everything they’re doing at such a difficult time.

“I know they will be focused on making sure that people who need money urgently get their payments as quickly as possible. But it is disappointing that the Permanent Secretary can’t tell us what proportion of people who’ve asked for an Advance payment have had one, or tell us anything about the delays that people are facing on DWP’s phonelines.

“So we can better understand the issues faced by people who rely on the benefits system, we’d like to hear from people about their experiences getting the support they need. We are keen to hear about any specific problems claiming benefits and also more generally about whether people are getting enough money to support themselves and their families during these immensely difficult days.”

Some of the questions the Committee is interested in are:  
  • How well is the Universal Credit system working for the unprecedented numbers of new claimants?
  • Has there been any improvement in the significant delays that new UC claimants were experiencing in the second half of March?
  • How quickly are people who ask for Advance payments of Universal Credit receiving their payments?
  • What lessons can be learned from the changes that have been made to the processes for verifying the identity of UC claimants? Are there any particular changes that should stay in place after the outbreak ends?
  • How effective have DWP’s communications with the public been during this period?
  • How do the needs of people claiming UC for the first time now differ from the needs of groups who’ve claimed UC in the past? How well is Universal Credit working for these new groups of people?
  • Are there any indications of how well the UC system will work for these claimants as they move into work in the short- to medium-term?
  • How well is the benefits system working for self-employed people who aren’t able to access the Government’s Self-employment Income Support Scheme? Is there a case for temporarily suspending the capital limits in UC during this period?
  • How easy is it for people to understand what they’re entitled to claim? For example:
  1. Is it clear enough how the benefits system interacts with other forms of Government support during this period, such as the Coronavirus Job Retention Scheme?
  2. Is it clear enough how public health guidance interacts with the benefits system?
  • How is the assessment process for Employment Support Allowance working? Have there been any difficulties with obtaining medical evidence to support claims?
  • What impact has the outbreak had on people who were waiting for a Mandatory Reconsideration of a decision, or who were going through the appeals process?
  • Have people who were already claiming benefits when the outbreak began seen any changes to the support they receive from DWP?
  • Are people who are claiming benefits receiving enough money to cover their basic living costs during this period?
  • Are there groups of people who need support but aren’t able to access it through the benefits system? What should DWP be doing to support those people?
  • Are support organisations and charities able to access the resources they need from DWP to support vulnerable people? What more could DWP be doing to facilitate that support?

GET INVOLVED

If you’re someone with personal experience of the benefits system, you might prefer to complete our short survey. The deadline is Wednesday 15 April.

If you’re responding on behalf of an organisation, or you’re an individual who wants to send us a longer written submission, you can send us your evidence here.

You don’t need to answer all of the questions below, and you can tell us anything relevant, even if it isn’t covered by these questions. The deadline for sending your views is 11am on Thursday 16 April.

Scotland to receive £780 million for coronavirus response

The UK Government will provide at least £1.5 billion to the devolved administrations for their COVID-19 response, it was announced yesterday.

  • this means £780 million for the Scottish Government, £475 million for the Welsh Government and £260 million for the Northern Ireland Executive
  • this adds to the support people across the country will receive through UK-wide measures tackling the impact of COVID-19 including extending Statutory Sick Pay

The Devolved Administrations will receive at least £1.5 billion from the UK Government to make sure they have the resources they need to support people and businesses through COVID-19. This will mean they can increase funding for the NHS and provide grants to businesses.

Through the £1.5 billion package, the Scottish Government will receive £780 million, the Welsh Government £475 million and the Northern Ireland Executive £260 million – worked out through the Barnett formula.

This funding is in addition to the UK-wide support that people in all four corners of the country will receive from the UK Government. This includes extending Statutory Sick Pay, making it easier and quicker to access benefits, and providing a Business Interruption Loan Scheme, among other measures.

Chancellor of the Exchequer, Rishi Sunak, said: “We will do what is right to help businesses and individuals in every part of the UK. That is why we announced a special funding package at the Budget last week to support those affected by COVID19.

“Today I am confirming this additional funding that will ensure the devolved administrations can support vulnerable people, businesses and vital public services, including the NHS, in Scotland, Wales and Northern Ireland.

Scottish Secretary, Alister Jack, said: “The UK and Scottish Governments are working closely together in the fight against COVID – 19 as we do all we can to delay the spread and alleviate pressure on our public services, people and businesses.

“The £780 million for the Scottish Government announced today is in addition to the £1.9 billion spending increase for 2020-21 confirmed at the Budget last week. This will help ensure the Scottish Government has the resources it needs to support those affected by COVID-19.”

This £1.5 billion announcement is part of the £12 billion response plan announced last week to support public services, people and businesses through the disruption caused by COVID-19.

This included a £5 billion COVID-19 Response Fund for the NHS and public services, a £500 million local authority hardship fund, business rates reliefs and £3,000 grants for the smallest businesses – all of which cover devolved policy areas meaning additional funding is being made available for the devolved administrations.

The UK government will continue to work closely with the devolved administrations as the situation develops to ensure they have the funding needed to tackle the impacts of COVID-19.

 

Chancellor delivers Coronavirus Budget

The Chancellor yesterday set out a £12 billion action plan in response to the economic impact of the coronavirus (COVID-19) outbreak, as part of a Budget that ‘delivers historic levels of public investment, levels up the country and lays the foundations for a decade of growth’.

Chancellor of the Exchequer Rishi Sunak said Britain will rise to the challenge of COVID-19, with a package of measures to support public services, individuals and businesses that may be affected by the outbreak.

In addition to responding to the immediate impact of COVID-19, the Chancellor pledged to put hardworking people first, put more money in their pocket, invest a record amount in infrastructure, boost public services, back business and set out a vision for a greener future.

A record half a trillion pounds (£640 billion) will be invested in Britain’s roads, railways and digital networks to give us the infrastructure that will support economic growth.

The Budget also provides billions of pounds to support our world-class public services; with funding for 50,000 more nurses and 50 million more GP surgery appointments a year.

Millions of families will have more cash to spend thanks to tax cuts through an increase in National Insurance thresholds and a cash boost to the National Living Wage (NLW). The Budget also takes action to support businesses of all sizes and accelerates the UK’s progress towards a greener economy. The Comprehensive Spending Review, which will set out the government’s detailed spending plans for this Parliament, was also launched today and will conclude in July.

Delivering the budget in Parliament Chancellor of the Exchequer Rishi Sunak said: “This Budget responds, at scale, to the immediate threat of Coronavirus and it reports on an economy whose foundations are strong. It is a Budget that provides for security today.

“This is a Budget that will deliver on our promises to the British people and it is the budget of a government that gets things done.

“We’re at the beginning of a new era in this country. We have the freedom and the resource to decide our own future.”

COVID-19

The Chancellor pledged to do ‘whatever it takes’ to support the economy through the disruption caused by COVID-19 with a £12 billion package of targeted measures. It included a £5 billion emergency response fund to support the NHS and other public services, £40 million of new funding for rapid research into COVID-19 and a commitment of up to £150 million to the International Monetary Fund’s Catastrophe Containment and Relief Trust.

To support people affected, the Chancellor announced the government would be extending Statutory Sick Pay (SSP) for all those who are advised to self-isolate and their carers – even if they haven’t yet presented with symptoms. Statutory Sick Pay costs for businesses with fewer than 250 employees will be met by the government in full for up to 14 days.

Rishi Sunak also set out plans to support the self-employed, those earning below the Lower Earnings Limit of £118 per week and a new £500 million Hardship Fund to directly support vulnerable people. The government will also increase the Business Rates retail discount to 100% for one year and expand it to the leisure and hospitality sectors.

Public services

By the end of the Parliament, day to day spending on public services will be £100 billion higher in cash terms than it is today. This Budget commits more than £6 billion of new funding in this Parliament to support the NHS, including to create 50m more GP surgery appointments, ensure there are 50,000 more nurses. The NHS Settlement provided the largest cash increase in public services since the Second World War – an additional £33.9 billion per year by 2024.

Levelling up and getting Britain Building

Billions of investment will be provided across the length and breadth of the country to support communities poorly served by old roads, communications and housing:

  • more than £27 billion will be spent on upgrading strategic roads and £2.5 billion will be spent on fixing potholes
  • £5 billion will go towards the rollout of gigabit-capable broadband in the hardest to reach areas
  • following the recent floods, which devastated parts of the UK, the Chancellor has pledged a record £5.2 billion over six years for flood defences

Cost of living

The Chancellor also put more money into the pockets of 31 million working people thanks to National Insurance Contribution thresholds increasing to £9,500, saving the typical employee around £104 a year from April, while the National Living Wage will increase to £8.72. This is on top a freeze in Fuel Duty, for the tenth consecutive year, and a freeze in duty rates for beer, cider and spirits, while the ‘Tampon Tax’ will be scrapped.

Backing Business

From April, small businesses will benefit from an increase to the Employment Allowance, reducing their employer National Insurance bills by £850 on average and there will be fundamental review of business rates.

Greener economy

To accelerate the UK’s progress towards net zero carbon emissions by 2050 and protect the environment for future generations, the Chancellor announced £500 million for electric car charging infrastructure, to ensure drivers are never further than 30 miles away from a rapid charger. Tree planting in England will increase by 600% and to tackle the scourge of single-use plastics, a consultation will be launched on introducing a Plastic Packaging Tax.

Support for the regions and nations

The Chancellor has also pledged to level up all parts of the UK, with measures to spread opportunity and ensuring everyone benefits from growth. He announced the West Yorkshire Devolution Deal, which will help the region boom through the creation of a Mayoral Combined Authority, while a government economic decision-making hub will be created in the North of England.

As a result of the budget:

  • the Scottish Government will benefit from a £640 million funding boost
  • the Welsh Government a £360 million funding boost
  • the Northern Ireland Executive a £210m funding boost

Scottish Secretary Alister Jack said: “This is a great budget for Scotland. Decisions taken by the UK Government over the last year will deliver an almost £2 billion funding boost for the Scottish Government.

“People and businesses right across Scotland will see the benefits – more than £5 billion for broadband and 4G connectivity, an increase in the national living wage, £22 billion for research and development across the UK, and a freeze in fuel duty.

“The Scotch whisky industry gets a welcome boost, with a freeze on spirits and a review of alcohol duty, and £10 million help to develop green technology. We will also invest £1 million in promoting Scottish produce to overseas markets.

“We will continue our extensive investment in growth deals across Scotland, now at almost £1.5 billion, with confirmation of £25 million UK Government funding for Argyll and Bute. Every part of Scotland will be covered by growth deals, with investment to be announced soon for Falkirk and the Scottish islands.”

Following decisions taken at this Budget, notably on funding for health business rates relief and roads, the Scottish Government’s resource and capital budgets in 2020-2021 will increase by over £220m and £410m respectively with a total increase of more than £640m.

The additional funding, when combined with the £1.3bn funding in 2020-21 provided at the Spending Round 2019, results in the largest year-on-year real-terms funding increase for the Scottish Government in a decade.

Further measures announced by the Chancellor can be found in this factsheet.

BUDGET REACTION

Rapid joint engagement is needed on funding for the COVID-19 response in Scotland following the UK Government’s Budget, Holyrood Finance Secretary Kate Forbes said.

Responding to the UK Budget, Ms Forbes said: “While I’m pleased to see the UK Government’s economic response to coronavirus following my calls for this at the UK Treasury yesterday, we need confirmation on what this will mean for Scotland.

“We require urgent clarification on what funding Scotland will receive from the announcements made by the UK Government, at a time when the prospects for the economy and public finances remain very uncertain as the short term impacts of COVID-19 unfold.

“It is vital that our businesses, employees, health service and the most economically vulnerable in our society are all protected through this time, and this additional funding will help us in our response.

“I will ensure that businesses in Scotland are supported and will work with the business community to identify the most effective measures available to us, when we have more clarity on the funding available.

“We expect full consequentials from this additional funding and need urgent clarification to provide clarity for Scottish businesses and NHS Scotland to ensure we can respond effectively.

“The Barnett consequentials announced today are in line with the assumptions that underpinned the Scottish Budget and Budget Bill passed by the Scottish Parliament last week. While this funding is welcome, our resource budget is still lower in real terms than it was in 2010/11.”

Rebecca Long-Bailey, Labour’s Shadow Business Secretary, commenting on the failure to tackle the climate crisis in the Budget, said: “By ducking the bold measures needed to tackle the climate emergency, the Chancellor has blown the biggest opportunity for national renewal since the post-war era, betraying current and future generations.

“This Budget piles investment into new motorways without bringing down the cost of public transport, and offers only derisory support for electric vehicles. There is no sign of the Tory manifesto commitment to invest £9.2 billion to lower energy bills, and the proposal to load the costs of carbon capture and storage onto consumer bills is particularly concerning.

“Elsewhere the Budget sets out a series of measures that seem designed to let our biggest emitters off the hook.

“The Chancellor says people in this country voted for change, but nobody voted for catastrophic climate change.”

Dame Carolyn Fairbairn, CBI Director-General, said: “In deeply challenging times the Chancellor has worked against the clock to deliver two budgets in one: a first for national resilience today and a second for economic ambition tomorrow. It’s a bold Budget at scale, coordinated with the Bank of England, which will help people and business through tough times.

“As the UK responds to the immediate challenge, people are the first priority. So the measures to expand and ease access to sick pay and benefits are vital to protect people’s health and livelihoods.

“The Chancellor’s actions on business rates, emergency funds and loans will help ensure firms can weather the storm, especially smaller firms. Larger firms may also need support as the situation develops.

“Covid19 will bring new challenges daily which will need to be resolved, at speed. “Today’s impressive economic response should now evolve with business insight to become as agile as our approach to public health.

“While the response to Covid19 is urgent, it is very good to see this Budget’s focus on innovation and infrastructure. The Chancellor has listened to many calls from CBI members, with decisive action on vital long-term issues.

“The significant uplift in R&D funding, creation of a UK version of ARPA, a fundamental review of business rates and spending promises on infrastructure will all bring real benefits to people, business and communities.

“The Chancellor has set out some powerful incentives to get businesses investing, increasing the R&D tax credit and the Structures and Buildings Allowance. The £5bn of new export loans will encourage the best of UK business to look to new global markets.

“The next few months will bring opportunities for the Government to make major decisions that they have understandably had to put to one side today. Some gaps still need to be filled in around skills, energy efficiency and powering the UK’s low carbon future.

“Overall, today’s budget is a powerful signal to firms at home and abroad that the UK can and will manage the immediate challenges and long-term opportunities in parallel.”

TUC General Secretary Frances O’Grady said: “The government’s coronavirus plans will leave millions of workers behind. Without urgent action, too many will be plunged into poverty and debt.

“Today’s announcements won’t help the nearly 2 million people who miss out on sick pay because they don’t earn enough. Telling them to turn to the broken benefits system isn’t good enough. We need decent sick pay for all.

“Ministers must now urgently bring together unions and employers to talk about how to support jobs, including through wage subsidies for short time working schemes, and further help for public services – especially social care.”

On investment announcements, she added: “This spending u-turn is badly overdue. The priority now must be to repair the damage of ten years of Tory devastation.

“Helping working families and rebuilding public services must come first. And we need to see concrete action on the challenges of the future.

“This means banning zero hours contracts, sorting social care, ending the UK’s dire regional inequalities, setting out a credible plan to achieve net zero, and getting an EU trade deal that supports jobs and workers across the UK.”

Fraser Sime, regional director for Scotland at Bank of Scotland, said: “The announcement of £1m support towards Scottish food and drink exports is extremely encouraging.

“We have a team of relationship managers that work specifically with this industry across Scotland to support growth, both at home and overseas, and today’s development will further help local firms capitalise on new opportunities.

“With 120 active distilleries in Scotland, the investment of £10m into the research and development of more sustainable practices will assist the industry in reducing the environmental impact of our national tipple. To support this, our Clean Growth Financing Initiative also offers discounted lending to introduce measures to create more renewable energy sources for businesses.”

Jonathan Carr-West, Chief Executive of LGiU, said: “Understandably, this budget was dominated by the Government’s response to coronavirus. No one could argue with that, but for councils across Scotland it provides more questions than answers.

“Social care has been all but absent in the response to Covid-19. Hospitals will not be able to cope if large numbers of older sufferers cannot be discharged because of a lack of social care provision and social care providers will not be able to cope if a fifth of their already stretched workforce is off sick. This could create a dangerous and vicious circle. Mr Sunak promised “whatever it takes” for the NHS, but once again, risks forgetting the symbiotic relationship between health and social care.

“The Growth Deal in Argyll and Bute, help for whisky distillers and support for a campaign to promote Scottish food and drink will be welcomed by local government across Scotland, but many will be concerned that these are only small steps being taken to reverse the decade of funding cuts experienced in Scotland.

“Elsewhere in the budget, announcements on infrastructure, science, further education and research and innovation all look to a longer term future. Local government must have a role to play in making these happen but there remain questions about its capacity to do so after a decade of contraction.

“So, we had a budget designed to cope with an immediate crisis whilst also setting out significant spending and a vision for a long term economic transformation. Councils will be at the front line of our response to coronavirus and will be a crucial player in this transformation. However, local government may feel that it has dropped through the middle somewhat as the Government attempts to get so many other things done.”

Commenting on the UK Government’s Budget yesterday, Scotland Director for CAMRA Sarah Crawford said: “CAMRA welcomes the freeze in beer duty – which is a UK-wide tax – but we want to make sure brewers and pub companies pass on any savings on to pub-goers. 

“In the upcoming review of alcohol taxation we will be arguing for a cut in beer duty for beer served on tap, which would be the best way to support community pubs.

“Yesterday’s Budget also sees cuts and reliefs to the burden of Business Rates for pubs in England. CAMRA is calling on the Scottish Government to introduce further support and pub-specific rate relief schemes here to help our pubs cope not only with the short-term impacts of coronavirus, but also with the year-round effect that business rates have on the ability of our locals to stay open and thrive. We’d also like to see fundamental changes to the Business Rates system to make sure it is fairer to pubs.

“Cutting duty for draught beer in pubs and changing the Business Rates system are both vital steps to saving community pubs across Scotland from closure.”

Nimesh Shah is a Partner at leading accounting and tax advisory firm Blick Rothenberg. He summed the Budget:

“Today marked the first Budget for the new Government, the first for a new Chancellor who has only been in the job a few weeks and the first for almost 18 months. It could, however, be the first of several budgets in 2020.

“In a Budget overshadowed by COVID-19, the Chancellor started by announcing a package of measures aimed at easing the burden for individuals and businesses, including extending Statutory Sick Pay, offering a reduction to Business Rates for small businesses and allowing more time to pay taxes.

“The Chancellor’s hands seemed to be slightly tied, and the only notable change for workers was an increase to the National Insurance threshold to £9,500 providing a £100 annual saving.

“For the first time in 10 years, there was no increase to the personal allowance, which remained at £12,500. In fact, there were no changes to the majority of the personal tax thresholds with the basic rate band, inheritance tax nil rate band and the high-income child benefit threshold all untouched.

“In a measure aimed at appeasing NHS doctors and consultants, the pensions annual allowance will only begin to reduce for individuals with income above £240,000 (currently £150,000). However, at the other end of the spectrum, the minimum pensions annual allowance will be reduced to £4,000 (currently £10,000), affecting individuals with income above £300,000.

“The Chancellor wielded an axe on Entrepreneurs’ Relief without going as far as abolishing it completely. In an overnight move (which has its own complexities), the Entrepreneurs’ Relief lifetime allowance was slashed from £10 million to £1 million, reducing the tax saving to £100,000. Apparently, the reduced limit should only affect 20% of entrepreneurs while raising £6.3 billion for the Treasury in the process over the next five years.

“Entrepreneurs’ Relief has gone full circle, as the limit was £1 million when first introduced in 2008 and worth £80,000. At a time when all UK businesses are facing hugely uncertain futures, it was disappointing that the Chancellor, only a few weeks into the job, decided to make the move without any review or consultation.

“For the first time in many years, there were few changes to property taxes, with the Government moving ahead with a 2% SDLT surcharge for overseas buyers, which will take effect from April 2021 (presumably to encourage overseas buyers to transact before a higher SDLT cost applies).

“However, it’s worth noting that several property tax changes are due to take effect from 6 April 2020, including a reduction to main residence relief, the mortgage interest relief restriction taking full effect and reducing the timeframe in which capital gains tax should be paid to 30-days when selling a residential property.

“The only giveaway for savers was an increase to the Junior ISA limit to £9,000. At a time when the stock markets have tumbled and interest rates cut, pensioners and savers may have been looking to the Government for some help.”

This year’s winners and losers: who will be better off?

George Parker and Harriet James are Assistant Managers at leading accounting and tax advisory firm Blick Rothenberg

Winners

All earners

An increase in National Insurance Contribution (NIC) thresholds is a welcome move for all employees and the self-employed. The threshold will increase from £8,628 to £9,500, resulting in an annual NIC saving of £104 for employees and £78 for the self-employed.

Saving for retirement

From 2020-21, the thresholds used to calculate the tapering of the annual allowance will be increased so that workers with ‘adjusted net income’ of below £240,000 are not affected by the reduced limits.

The annual allowance is the total amount an individual and employer can contribute into their pension fund without incurring a tax charge.

Children under 18 years old

Junior ISA and Child Trust Fund annual subscription limits will increase by £4,632 from £4,368 to £9,000 – a massive uplift.

Losers

Entrepreneurs

Entrepreneurs Relief (ER) Lifetime Allowance will be reduced from £10m to £1m affecting an estimated 20% of business owners. Going forward, only the first £1m of capital gains arising on the sale of an individual’s business will be taxed at 10%, with the remaining gain being taxed at 20%. Harsh anti-avoidance rules have also been introduced, backdated from April 2019.

Top earners

Currently individuals with an ‘adjusted net income’ in excess of £210,000 have their annual allowance tapered to £10,000. From April 2020, the allowance will be tapered to £4,000 for individuals with total income above £300,000. Any excess contributions over the new tapered annual allowance will be subject to tax at 45%.

Companies investment in plant and machinery

The favourable – yet temporary – Annual Investment Allowance (AIA) of £1million will come to an end on 31 December 2020, reducing by 80% to £200,000 per year.

Pensioners

The forgotten in this Budget are pensioners. With no reforms or simplification to Inheritance Tax announced, with the personal allowance and income tax thresholds remaining unchanged, and as they do not pay NIC, inflation will drag more pensioners into higher taxes. Based on forecasted inflation at 2%, many pensioners will be worse off in real terms.

Disgraced David Steel to quit House of Lords following Child Abuse report

HOUSE OF SHAME

The Independent Inquiry into Child Sexual Abuse has published it’s Westminster report, which finds political institutions have SIGNIFICANTLY FAILED in their responses to allegations of child sexual abuse for decades.

This includes failing to recognise abuse, turning a blind eye to it, covering up allegations and actively protecting high-profile offenders, including politicians.

On the publication of the damning report former Liberal leader David Steel  announced he would quit the House of Lords – something he should have considered a long, long, time ago. Indeed, it’s a damning indictment of the ‘jobs for the boys’ mentality of the Palace of Westminster that he ever sat in the Upper House at all.

Steel was condemned by the inquiry for failing to alert authorities to the brutal crimes of paedophile MP Cyril Smith.

During three weeks of public hearings last year, the Inquiry heard from survivors, whistleblowers, cabinet ministers, MPs and police officers among others.

There has clearly been a significant problem with deference towards people of public prominence, from the Whips’ offices to the police and prosecutors, although the investigation found no evidence of an organised paedophile network at the heart of government.

For example, in the 1970s and 1980s, MPs including Sir Cyril Smith and Sir Peter Morrison were known to be active in their sexual interest in children, but were protected from prosecution.

Giving evidence, former Liberal Party leader Lord Steel said that because allegations against Smith had arisen before he joined the party, he saw “no reason, or no locus to go back to [it]”. This failure to recognise the risks was an abdication of responsibility, and the fact the offences were non-recent was irrelevant.

Incredibly, despite knowing that Smith was guilty of serial child sex abuse, Steel nominated deviant Smith for a knighthood – and later went on to receive high honours himself.

‘Sir’ Cyril Smith died in 2010 and never faced justice for his crimes.

Steel was appointed a Knight Commander of the Order of the British Empire (KBE) in 1990 and was later ‘ennobled’,becoming a life peer with the grand title of Baron Steel of Aikwood. Steel also enjoyed the trappings of office as the Scottish Parliament’s first Presiding Officer. Now, given Steel’s role in this murkiest of affairs, it can only be hoped that his high-falutin titles will swiftly be withdrawn.

Steel may be the most high profile, but he is not the only politician to be exposed by the report.

Senior officials within the Conservative party knew about allegations concerning Peter Morrison for years but did not pass them on to police. Instead, he became Margaret Thatcher’s Parliamentary Private Secretary in 1990 and was knighted a year later.

Victor Montagu, the former MP for South Dorset and 10th Earl of Sandwich, was let off with a caution after a 10-year-old boy alleged he had indecently assaulted him. Montagu’s son Robert, who he also sexually abused for over five years, said the decision not to prosecute was “entirely wrong and very indicative of the attitude towards people in public positions”.

The report concludes that these are examples of a political culture which values its reputation far higher than the fate of the children involved.

All in the past? Surely Westminster has cleaned up it’s act? Sadly not.

As recently as 2017, Green Party election candidate Aimee Challenor was able to appoint her father as election agent, despite the fact that he had been charged with sexually assaulting a child and was later convicted.

The Inquiry also investigated the Paedophile Information Exchange (PIE), which campaigned in the 1970s to lower the age of consent, as well as public acceptance of paedophilia.

A number of its members sexually abused children, including Sir Peter Hayman, a former High Commissioner to Canada.

The report concludes that PIE was given foolish and misguided support for several years by organisations who should have known better, such as the National Council for Civil Liberties and the Albany Trust.

The report makes five recommendations, including ensuring all political parties have comprehensive safeguarding policies and procedures. It also calls on the Cabinet Office to re-examine its policy on the posthumous forfeiture of honours.

https://youtu.be/riS9449z_SQ

Chair of the Inquiry, Professor Alexis Jay OBE, said: “It is clear to see that Westminster institutions have repeatedly failed to deal with allegations of child sexual abuse, from turning a blind eye to actively shielding abusers.

“A consistent pattern emerged of failures to put the welfare of children above political status although we found no evidence of an organised network of paedophiles within government.

“We hope this report and its recommendations will lead political institutions to prioritise the needs and safety of vulnerable children.”

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