Before I invite the Secretary of State to move the Second Reading, I must announce the Speaker’s decision on certification for the purposes of Standing Order No. 83J (Certification of bills etc. as relating exclusively to England or England and Wales and being within devolved legislative competence). On the basis of material put before the Speaker, the Speaker certified that in his opinion the Bill does not meet the criteria required for certification under that Standing Order.
I beg to move, That the Bill be now read a Second time.
As the House well knows, Northern Ireland has now been without a functioning Executive for almost three years. Since May, the Northern Ireland parties have engaged in a series of cross-party talks focused on getting Stormont back up and running. It remains my assessment that the issues preventing the restoration of Stormont are few in number and soluble in substance, and I stand ready to facilitate further talks if and when political parties are willing to move forward. However, until such time as they are able to reach an agreement, the UK Government and this Parliament have a duty to ensure good and functional governance in Northern Ireland. We have a duty to ensure that public services can continue to be provided for all citizens of Northern Ireland. This Bill upholds that duty by placing the budget published in February 2019 by my predecessor on to a legal footing and enabling the Northern Ireland civil service to access the full funding for this financial year.
I am grateful to the Secretary of State for allowing me to intervene so early in his speech, on the issues of public finance and the ability of our services to respond appropriately. I do so because I am mindful of the comments you have made, Madam Deputy Speaker, about the ability to table amendments. The Secretary of State knows that I have a keen interest in pursuing a legislative fix that would allow our Co-Ownership housing association in Northern Ireland to be able to avail financial transactions capital. The organisation would then be redefined so that it would not burden the public finances. Billions of pounds in housing association loans would not be on the public balance sheet. What commitments and assurances can the Secretary of State give that would assuage me from my desire to amend this Bill?
The hon. Gentleman has been precipitous in his intervention, as he often is. I will address that point shortly.
Since January 2017, Parliament has legislated four times to secure the public finances of Northern Ireland. These were not interventions that the UK Government wanted to make, but they were necessary to ensure the continued provision of public services in the absence of an Executive.
I am extremely grateful to the Secretary of State for giving way again. I had a stab at making this point earlier today during Northern Ireland questions, and I wonder whether he will indulge me just one more time.
I assume that the part of the budget that is covered by schedule 1, relating to the Department for Communities, covers welfare mitigation payments in Northern Ireland up until March 2020. In the September 2019 joint report of the Select Committee on Northern Ireland Affairs and the Select Committee on Work and Pensions, entitled “Welfare policy in Northern Ireland”, the Committees point out that ending the mitigation payments after March 2020 could make some 35,000 households in Northern Ireland worse off by hundreds of pounds a month. Is the Secretary of State aware of that?
The Department for Communities cannot extend these payments because, in the absence of the Assembly, that requires ministerial action. This is urgent because the Department is saying that it will need to start advising claimants by this autumn of significant cuts to their welfare payments next year, unless the Government act.
May I have just one second more? I am very grateful, Madam Deputy Speaker. I am sure the Secretary of State does not want an unintended consequence in Northern Ireland, so will he look at this issue and act now?
The hon. Gentleman tackled me on this issue in the Tea Room earlier. I will refer to it, and my right hon. Friend the Minister of State, Northern Ireland Office, will also refer to it in Committee. We are aware of this welfare challenge. It is indeed a responsibility of the Northern Ireland civil service; civil servants do have a power that they can use with regard to the discretionary housing payments. However, I assure the hon. Gentleman that I will spend time on this issue over the coming days and weeks, because it is an important one.
This is an immensely important issue for some of the very poorest people in Northern Ireland. Might the Secretary of State go back to the Department and ask his permanent secretary what powers he can draw the Secretary of State’s attention to that will allow him, before the week is out, to take action to prevent people from falling off the cliff into greater poverty?
I am in the process of working through how we can move forward with this. It is a devolved matter, but I will be speaking to the Northern Ireland civil service over the coming days and weeks. As has been alluded to, these are funds and mitigations that help the most vulnerable citizens in Northern Ireland. I take these matters seriously, and I will come back to the hon. Gentleman and the right hon. Gentleman in due course.
Given that we do not have devolved government in Northern Ireland, surely there are powers somewhere that will allow the Secretary of State to act while we are waiting for ever and a day for devolved government.
Indeed, the Northern Ireland civil service has a power, but if I can leave it there, I will come back to this House and come back to the hon. Gentlemen about this matter.
Does the Secretary of State accept, however, that even with the powers that civil servants have, the cost of these mitigation measures is such that budgets will have to be rejigged—quite substantially rejigged—and that that can be done only if a Minister makes a decision? Is this not yet another example of the Secretary of State burying his head in the sand and pretending that the Executive will come back when he knows that they are not going to come back? This can be dealt with only if civil servants bring forward a report saying, “This is the money that is required and this is how we see it being reallocated.” Someone has to make a decision, and it will probably be a Minister here.
The right hon. Gentleman makes an important point. However, I go back to the fact that it is, I think we all agree, in Northern Ireland’s best interests that the Executive are reformed and the Assembly gets back up and running. Any idea that it is a better solution to take powers here at Westminster is false, and we have to focus on that.
I would like to pay tribute to the Northern Ireland civil service. It has the most dedicated civil servants who are continuing to deliver public services in the absence of political leadership and political decision making. Hon. Members from across the House have approached me today raising legitimate concerns about the future of public services. While today’s debate is not the place to tackle these issues—this Bill simply makes the necessary authorisations for expenditure for this year—those Members are right that they need to continue to be monitored carefully, and that is what we will be doing. However, we are up against a lack of a local decision making.