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20 Apr 2009 : Column WA299
Written Answers
Monday 20 April 2009
Agriculture: Electronic Identification
Question
To ask Her Majesty's Government further to the Written Answer by Lord Hunt of Kings Heath on 17 March (WA 16), whether they have considered offsetting any infraction penalties incurred by non-compliance with European Community legislation concerning electronic identification of sheep and goats against the United Kingdom's contribution to the European Union's budget. [HL2557]
The Minister of State, Department of Energy and Climate Change & Department for Environment, Food and Rural Affairs (Lord Hunt of Kings Heath): To date no lump sum or penalty payments have been imposed on the UK under Article 228 of the Treaty Establishing the European Community. If they were to be imposed in theory, the UK would still be obliged to make its contributions to the EC budget under obligations imposed by the treaties. There is no mechanism by which to offset penalties against budget contributions. The European Communities Act, and Section 2 in particular, gives effect within the UK to Community law.
Agriculture: Foot and Mouth Disease
Question
To ask Her Majesty's Government what has been the total cost of the legal defence for all the cases in which costs incurred by independent contractors during the 2001 foot and mouth disease epidemic were disputed by the Department for Environment, Food and Rural Affairs; in how many cases the defence was successful; how many cases were lost; and what was the total cost of reimbursement, including interest, in the lost cases. [HL2267]
The Minister of State, Department of Energy and Climate Change & Department for Environment, Food and Rural Affairs (Lord Hunt of Kings Heath): Her Majesty's Government have incurred total legal costs of £14,078,665 in prosecuting or defending all the cases in which costs incurred by independent contractors during the foot and mouth disease outbreak in 2001 were disputed.
Further information could be provided only at disproportionate cost as some cases did not proceed to judgment; some cases were resolved through alternative dispute resolution techniques; some cases were not trials but an agreed determination of preliminary issues by the court, a procedure agreed between Defra and
20 Apr 2009 : Column WA300
Aquatic Animal Health (England and Wales) Regulations
Question
Asked by Lord Taylor of Holbeach
To ask Her Majesty's Government with reference to Schedule 2 to the Aquatic Animal Health (England and Wales) Regulations (SI 2009/463), by what legislative authority an Act of Parliament may be repealed by a negative instrument. [HL2734]
The Minister of State, Department of Energy and Climate Change & Department for Environment, Food and Rural Affairs (Lord Hunt of Kings Heath): The relevant legislative authority is contained in Section 2(4) of the European Communities Act 1972.
Armed Forces: Accommodation
Question
Asked by Lord Selkirk of Douglas
To ask Her Majesty's Government whether, following publication of the Service Family Accommodation Condition Survey for England and Wales, a comparable survey is being carried out in Scotland; and, if not, whether they will commission one. [HL2725]
The Parliamentary Under-Secretary of State, Ministry of Defence (Baroness Taylor of Bolton): An Asset Condition Survey of the Service Family Accommodation in Scotland is expected to be completed by spring 2011.
Armed Forces: Aircraft
Question
To ask Her Majesty's Government what trials have been carried out using 100 per cent synthetic fuels for Royal Air Force aircraft; what trials are planned; what obstacles there are to carrying out trials; and what supplies of synthetic fuels for flying purposes are available. [HL2344]
The Parliamentary Under-Secretary of State, Ministry of Defence (Baroness Taylor of Bolton): No trials have so far been carried out using 100 per cent synthetic fuel for Royal Air Force aircraft. A recent attempt to conduct such a trial on an opportunity basis had to be cancelled as it did not prove possible to obtain authorisation from an aircraft design authority for use of the synthetic fuel. Aircraft design authorities will need to be satisfied that alternative fuels are safe and will not adversely affect fuel system life or integrity
20 Apr 2009 : Column WA301
Banking
Questions
To ask Her Majesty's Government at what level of seniority banking appointments must be reported to the Financial Services Authority for clearance; and to which banks this applies. [HL2398]
The Financial Services Secretary to the Treasury (Lord Myners): The information requested falls within the responsibility of the Financial Services Authority (FSA), which is independent from government. The noble Lord's inquiry has been passed to the FSA who will write directly to the noble Lord on this subject.
To ask Her Majesty's Government further to the Written Answer by Lord Myners on 19 March (WA 72), whether the figures of £19.97 billion to the Royal Bank of Scotland and £11.48 billion to HBOS represent all the public money invested in the two banks over the last year. [HL2458]
To ask Her Majesty's Government further to the Written Answer by Lord Myners on 19 March (WA 72), how much public money has been provided in the past year to support HBOS and the Royal Bank of Scotland measured per resident of Scotland. [HL2459]
To ask Her Majesty's Government further to the Written Answer by Lord Myners on 19 March (WA 72), how the amount of public money per head of the Scottish population provided for HBOS and the Royal Bank of Scotland compares to a similar figure for Iceland-based banks in terms of the population of Iceland. [HL2460]
Lord Myners: In relation to the public money provided to HBOS and the Royal Bank of Scotland (RBS), I have nothing to add to my Answer of 19 March. In relation to the Government's support for UK depositors with Iceland-based banks, I refer the noble Lord to the Statement made by the Chancellor of the Exchequer on 13 October 2008 Official Report, cols. 23WS- 25WS, and on 6 November 2008 Official Report, col. 26WS. The provision of public money in Iceland is a matter for the Icelandic Government.
Banking: Bank of England
Questions
To ask Her Majesty's Government whether they have sent a response to the Governor of the Bank of England concerning his remarks on future fiscal expansion; and, if so, what were their principal points. [HL2537]
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The Financial Services Secretary to the Treasury (Lord Myners): Her Majesty's Treasury and the Bank of England have a regular dialogue on a range of financial and economic issues.
Banking: Bank of Scotland (Ireland)
Questions
To ask Her Majesty's Government on what basis approval was given for Hugh Donnelly, Paul McEvoy and Phil Flynn to be employed by the Bank of Scotland (Ireland), which trades in the United Kingdom; who gave the approval; and when. [HL2654]
To ask Her Majesty's Government whether the Financial Services Authority consulted any of the security services about the appointment of former Sinn Fein vice president Phil Flynn as chairman of the Bank of Scotland (Ireland). [HL2733]
To ask Her Majesty's Government further to the Written Answer by Lord Myners on 30 March (WA 177) concerning the regulation and control of bank branches of the Bank of Scotland (Ireland) in the United Kingdom, what is meant by "are regulated chiefly by the Irish Financial Regulator". [HL2768]
The Financial Services Secretary to the Treasury (Lord Myners): The information requested falls within the responsibility of the Financial Services Authority (FSA), which is independent from government. The noble Lord's inquiry has been passed to the FSA, which will write directly to him on this subject.
To ask Her Majesty's Government whether, following the conviction of Ted Cunningham in the Republic of Ireland of activity connected with the robbery of Northern Bank in 2004, they will request from the Government of the Republic of Ireland transcripts of Mr Cunningham's police interviews, particularly where they contain references to the former Bank of Scotland (Ireland) chairman, Phil Flynn. [HL2732]
Baroness Royall of Blaisdon: This is an operational matter for the chief constable. I have asked him to reply to the noble Lord directly, and I will arrange for a copy of the letter to be placed in the Library of the House.
To ask Her Majesty's Government who over the past 10 years has monitored the operations and correctness of the Bank of Scotland (Ireland) when it operates in the United Kingdom. [HL2655]
The Financial Services Secretary to the Treasury (Lord Myners): The Bank of Scotland (Ireland), which is part of Lloyds Banking Group, is an Irish business regulated primarily by the Irish financial regulator. It has operations in the UK within Northern Ireland
20 Apr 2009 : Column WA303
Banking: Bonuses
Question
To ask Her Majesty's Government in all banking organisations in which they have a controlling stake, how much was paid to staff in bonuses during 2008. [HL2318]
The Financial Services Secretary to the Treasury (Lord Myners): The Government's policy is that the approach to disclosure taken by the banks in which they hold a stake should follow the requirements for companies listed on the Stock Exchange, including the Combined Code on Corporate Governance and Directors' Remuneration Report Regulations.
All the banks' annual reports contain a directors' remuneration report providing information on board directors' remuneration. Individual employee salaries and bonus payments are the responsibility of the banks in question.
Banking: Forecasts
Question
To ask Her Majesty's Government further to the Answer by Lord Myners on 11 March (Official Report, House of Lords, col. 1165), how the banks' forecasts compare with the forecasts in the Pre-Budget Report 2008. [HL2159]
The Financial Services Secretary to the Treasury (Lord Myners): RBS and Lloyds Banking Groups’ lending agreements were negotiated on an individual basis, taking account of their specific circumstances and access to Government schemes and the wider economic context. The Government will report annually on delivery against agreements.
The forecasts in the 2008 Pre-Budget Report may be found in Annex A of that document, available at: http://www.hm-treasury.gov.uk/d/pbr08_annexa_339.pdf
Banking: Lloyds
Question
Asked by Lord Oakeshott of Seagrove Bay
To ask Her Majesty's Government what is the total amount of bonuses paid and due for payment in 2009 by Lloyds Banking Group plc; and to how many employees. [HL2045]
The Financial Services Secretary to the Treasury (Lord Myners): Lloyds Banking Group has announced that no discretionary bonuses will be paid in 2009
20 Apr 2009 : Column WA304
Beyond this there are some guaranteed bonuses, and Lloyds has agreed that only legally binding, unavoidable payments will be made, and that it will exercise any discretion it has to defer payments.
Banking: Royal Bank of Scotland
Question
Asked by Lord Morris of Aberavon
To ask Her Majesty's Government what assessment they have made of (a) taking legal action against former board members of the Royal Bank of Scotland for negligence, and (b) referring their conduct to the Financial Services Authority. [HL2365]
The Financial Services Secretary to the Treasury (Lord Myners): With the agreement of UK Financial Investments Ltd, Sir Philip Hampton, the new chairman of the Royal Bank of Scotland, has appointed a senior independent QC to carry out a full legal investigation of the issues relating to Sir Fred Goodwin's pension. This investigation is ongoing.
The Government work closely with the Financial Services Authority (FSA) on financial stability matters. Regulation of banks which have received government support, including RBS, remains a matter for the FSA.
Banking: UK Financial Investments Ltd
Question
To ask Her Majesty's Government further to the Written Answer by Lord Myners on 30 March (WA 175—76) concerning banks in which UK Financial Investments Ltd (UKFI) has a majority share, what instructions UKFI has given to the banks concerning the future operation of charges, accounts and accessibility through branches. [HL2769]
The Financial Services Secretary to the Treasury (Lord Myners): UK Financial Investments Limited (UKFI) has been set up to manage the Government's investments in financial institutions as an active and engaged shareholder, operating on a commercial basis and at arm’s-length from government.
monitoring performance through maintaining an active and regular dialogue with investee companies' boards to satisfy UKFI that the boards are operating effectively, and that companies' strategies protect and enhance shareholder value;voting the Government's shares wherever practicable —and disclosing how UKFI has voted;intervening with the board when necessary, should UKFI have concerns about strategy, operational performance, acquisitions or disposals; and20 Apr 2009 : Column WA305
The framework document between HM Treasury and UKFI sets a requirement that UKFI will not intervene in the day-to-day management decisions of investee companies. The companies will retain their own independent boards, which will manage the banks and determine their strategy.
In this context, HM Treasury and UK Financial Investments does not have a role in advising on the personal or corporate financial arrangements with its investee companies, and does not comment on individual products offered by or commercial decisions taken by its investee companies.
Banks
Question
To ask Her Majesty's Government whether banks with branches in the United Kingdom are monitored to the same degree as banks with headquarters in the United Kingdom; and, if so, what are the arrangements for this monitoring. [HL2476]
The Financial Services Secretary to the Treasury (Lord Myners): The information requested falls within the responsibility of the Financial Services Authority (FSA), which is independent from government. The noble Lord's inquiry has been passed to the FSA, who will write directly to him on this subject.
Belfast Agreement
Question
To ask Her Majesty's Government further to the Written Answer by Baroness Royall of Blaisdon on 19 March (WA 64) regarding the Belfast agreement, how is the chapter in the agreement entitled rights, safeguards and equality of opportunity monitored in the Republic of Ireland; and by whom. [HL2451]
Baroness Royall of Blaisdon: The British-Irish Intergovernmental Conference monitors the progress of each Government under the Belfast Agreement. Issues covered in the Rights, Safeguards and Equality of Opportunity chapter of the agreement have been discussed within this forum, both at ministerial and official level.
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