Northern Ireland Budget Bill

[Sir Lindsay Hoyle in the Chair]

I can inform the Committee that one amendment to the Bill has been tabled. Copies are available in the Vote Office. I have not selected the amendment for debate.

Clause 1

Issue of sum out of the Consolidated Fund for the year ending 31 March 2020 and appropriation of that sum

Question proposed, That the clause stand part of the Bill.

With this it will be convenient to consider clauses 2 to 7 and schedules 1 and 2 stand part.

In speaking to clause 1 stand part, I will also try to address very briefly the issue of housing associations, which I did not have time to do in my closing speech on Second Reading.

Clause 1 authorises the issue out of the Consolidated Fund of Northern Ireland the sum of just over £5.3 billion. The allocation levels for each Northern Ireland Department and the other bodies in receipt of these funds are set out in schedule 1, which also states the purpose for which the funds are to be used. The authorisations and appropriations in this clause are a balance to complete in addition to the vote on account previously authorised in section 4 and in column 2 of schedule 3 of the Northern Ireland Budget (Anticipation and Adjustments) Act 2019.

I will now address the issue of housing associations out of respect to previous comments made. The Government, to be very clear, recognise the absolute importance of housing associations as the main mechanism for delivery of social and affordable homes. We agree 100% that classification as public sector has serious implications for their funding stream, for the reasons cited in the debate. We completely agree, therefore, that action must be taken, and the Government are committed to taking forward legislation to facilitate reclassification as soon as parliamentary time allows. I hope that the hon. Member for Belfast East (Gavin Robinson) will realise that standing here today on the brink of an election I do not feel I can give a guarantee of a specific time, but I can say that this will be a priority for this Government, if re-elected, and that officials are continuing to work closely with officials in Northern Ireland to facilitate it.

Perhaps the Minister could give us some clarity. In the past, we have been told that the reason why the legislation could not come forward is that it had not been properly prepared by either the Department for Communities or the Department of Finance in Northern Ireland. Then we were told that it had to come through the Northern Ireland Office. Has the legislation been prepared by the appropriate Department in Northern Ireland? Has it been approved to come forward to the Treasury here in Westminster? If it has reached that stage, when did it reach that stage? If it has not, what are the impediments?

I thank the right hon. Gentleman for his question. I am informed that officials have been making preparations to facilitate its introduction. I can confirm that a draft Bill exists and has been translated into the Westminster format, and NIO officials continue to work closely with officials in the Department for Communities and the Cabinet Office to make further progress towards introduction. I have spoken to the permanent secretary in the Department of Finance in Northern Ireland, and I know that she is extremely enthusiastic to see this through, as we are. I regret that I cannot give an absolute guarantee of an exact time when this will happen. The hon. Member for Belfast East will know why that is the case, but I am clear that the good will and the commitment are there, because we recognise the fundamental importance of the issue raised and the ramifications of the existing classifications.

I want to repeat something I raised earlier. I do not necessarily expect the Minister to give a response in this debate, but perhaps we could get some kind of response today. Once again, this relates to the situation of the victims of institutional abuse. If we are not going to see the Historical Institutional Abuse (Northern Ireland) Bill brought through the House of Commons, is there any capacity in the Consolidated Fund to make some form of payment, to at least acknowledge the fact that those victims of institutional abuse exist and that they suffered? It would be, we could say, a down payment. Is there legal capacity for the Secretary of State, the NIO or the Northern Ireland civil service to authorise that kind of payment?

I thank the shadow Secretary of State for his question. He asked about that on Second Reading, and I apologise for not having the time to respond directly. On his broader question, I can confirm that this budget is putting on a sound legal basis the draft budget debated earlier for this financial year. The short answer to his question is that it does not include provisions for the implementation of the Stormont House agreement institutions, and it does not include consideration of the consequences of implementing the Historical Institutional Abuse (Northern Ireland) Bill. I wholly agree, as I know the Secretary of State would, that that Bill must be a priority for Governments of any colour. The hon. Gentleman asked for some creativity or flexibility in terms of a down payment. I am not authorised to put something definitive on the record, but I know that the Secretary of State and the team have heard that and will look to discuss it with the Northern Ireland civil service. I do not have a black and white answer to that question, but it is certainly noted.

I want to acknowledge the point made about the Police Service of Northern Ireland. The right hon. Member for Lagan Valley is right: the PSNI is a success story, and we cannot afford for it to go backwards. As a former Minister for police in England and Wales and a former Minister for the fire service, I found myself largely in agreement with the sentiments he expressed about the need to ensure that the police service has the resources it needs and about the challenges of the recruitment process in the modern age.

I want to come back to the point about housing association classification, because the Minister was not clear in his answer. The legislation has been prepared—I got that bit—but is it still being held by the Northern Ireland Office and therefore not transferred to the relevant Department that has to take it through here at Westminster, or has it been transferred to the relevant Department at Westminster and there simply has not been parliamentary time? That is important.

With respect to the right hon. Gentleman, if I was not clear enough before, I am not going to get any clearer now. The language in the document in front of me tells me that this is an extremely co-operative process. I do not think that the legislation is stuck in the NIO or the NICS, which is his concern. Everything here tells me that officials are working closely with the Department for Communities, the NIO and the Cabinet Office to make further progress towards introduction. I will go away and take further advice on that, but there is nothing here that tells me there is a hard impediment; it is just that I cannot, with any good faith, stand here and give a firm timetable under the circumstances we are in.

The Minister will be aware, because we had Northern Ireland questions before Prime Minister’s questions earlier today, that the right hon. Member for Belfast North (Nigel Dodds) asked the Prime Minister directly for a commitment about the legislation to compensate the victims of appalling historical institutional abuse in Northern Ireland. We have a moral responsibility to compensate those victims, and we cannot allow the five weeks of a general election to prevent them receiving the compensation that is long overdue to them. I am alarmed at the response the Minister gave to the shadow Secretary of State for Northern Ireland because he seemed to be ambivalent about that legislation coming through before the general election. I want the Minister to give a clear, unequivocal commitment to the victims of historical institutional abuse that that legislation will—will—come through this House before this House is dissolved next week.

I do not think I can give that hard guarantee to the hon. Lady. I know exactly why she is pressing me for it, and I have huge sympathy with what she is saying—and I know sympathy does not cut it—but she will know that parliamentary time is now extremely limited. It may well be, as I think Lord Ashton has indicated in the Lords today, that there is not time for the Bill to pass through both Houses. However, the hon. Lady certainly has my assurance—and I believe I speak on behalf of the Secretary of State; the hon. Lady knows how passionately he feels about this—that this will be tested very hard by us.

The hon. Lady will also know, given the importance and the sensitivity of the Bill, that we must obviously make sure it is properly considered so that victims of institutional abuse in Northern Ireland get the redress they deserve as quickly as possible. That is not a light consideration; it does require some proper scrutiny. I do not think anyone in the House is happy either that we are in the situation we are in with this Bill or about the absence of the HIA Bill, but we are where we are with the parliamentary time being extremely limited.

Will the Minister just clarify this for us if he can? If the HIA legislation is not brought forward and this Parliament finishes on Tuesday, as it probably will, does that mean all that legislation falls, and are we just to start again next time around? If so, that is appalling.

I agree that it would be extremely regrettable, but if that is the situation, it is for the new Government, of whatever colour, to establish their priorities. What I can say, having spoken to the Secretary of State about it, is that we have a deep commitment to doing this. It is a priority for all the reasons that we have stated. The hon. Member for North Down (Lady Hermon) talked about a moral responsibility, and of course she is absolutely right.

Given what the Minister has said, may I urge him to do two things? First, will he try to get clarification about this issue as quickly as possible? Right now, the many survivors of terrible abuse will be deeply upset and worried, and they need to have clarity. If we can get that tonight, that would be good. Secondly, we have heard reference to an interim payment, and if it is not possible to put forward the detailed legislation, would it be possible to take through a much simpler piece of legislation with an accelerated passage, as is being done with this Bill today? That would at least give the Secretary of State or somebody the ability to make payments—simple payments —and then, after the election, the detailed process could kick in, because many of these victims are in desperate need.

I understand completely the points being made from various people in the Committee and the underlying reasons and motivation. I have a huge amount of sympathy, and I give an undertaking to try to establish some clarity this evening or first thing tomorrow morning, so that everyone knows where they stand, and we will do that through the normal channels.