27 Mar 2013 : Column WA235

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Written Answers

Wednesday 27 March 2013

Armed Forces: Cyprus

Question

Asked by Lord Kilclooney

To ask Her Majesty’s Government what is the legal currency in the two United Kingdom sovereign bases in the island of Cyprus.[HL6421]

The Parliamentary Under-Secretary of State, Ministry of Defence (Lord Astor of Hever): The legal currency in the United Kingdom sovereign base areas in Cyprus is the euro.

Armed Forces: Medals

Question

Asked by Lord Rogan

To ask Her Majesty’s Government why British survivors of the Arctic convoys are still not able to accept the Medal of Ushakov; and what account they have taken of the decision of the governments of the United States, Canada and Australia and New Zealand to allow the medal to be presented to their citizens.[HL6338]

The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi): I am very pleased that my right honourable friend the Prime Minister was able to announce a British medal for Arctic Convoy veterans in December last year and indeed presented the first medals on 19 March.

The position regarding the acceptance of the Ushakov Medal has not changed. The original decision not to give permission for the Ushakov Medal to be accepted was made in accordance with the current British rules on the acceptance of foreign awards. These rules remain in place and there are therefore currently no grounds on which to reverse this decision.

However, as part of the Military Medals Review commissioned by the Prime Minister, Sir John Holmes is currently reviewing these rules.

The Government's position on the Ushakov Medal took no account of the decision of other governments. Each Government apply their own rules on honours and medals to their own citizens.

Bank of England

Questions

Asked by Lord Barnett

To ask Her Majesty’s Government what discussions they have had with the Bank of England’s Asset Purchase Facility Fund Limited over their purchase of gilts, since 2009.[HL6374]

To ask Her Majesty’s Government what discussions they have had with the Bank of England’s Asset Purchase Facility Fund Limited over the purchase of private sector assets.[HL6375]

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To ask Her Majesty’s Government what discussions they have had with the Bank of England’s Asset Purchase Facility Fund Limited over the composition of their portfolio.[HL6376]

To ask Her Majesty’s Government what discussions they have had with the Bank of England’s Asset Purchase Facility Fund Limited over the possible purchase of assets other than gilts.[HL6377]

To ask Her Majesty’s Government what discussions they have had with the Bank of England’s Asset Purchase Facility Fund Limited over the timing of transfers of surpluses to the Treasury.[HL6378]

To ask Her Majesty’s Government what consideration has been given to advising the Bank of England on the purchase by the Asset Purchase Facility Fund Limited of assets other than gilts. [HL6379]

The Commercial Secretary to the Treasury (Lord Deighton): Purchases by the Asset Purchase Facility (APF) using central bank reserves are intended to implement the independent Monetary Policy Committee’s (MPC) decisions on quantitative easing and are a matter for the MPC. The APF is also authorised to purchase a range of private sector assets, as set out in the then Chancellor’s letters of 29 January 2009 and 29 November 2011.

The transfers from the APF to the Exchequer were agreed in the exchange of letters between the governor and the Chancellor on 9 November 2012. The Treasury discusses a range of policy matters with the Bank regularly. A non-voting Treasury representative is present at all MPC policy meetings.

Asked by Lord Barnett

To ask Her Majesty’s Government whether the Bank of England shares information it collects through surveys with HM Treasury.[HL6407]

Lord Deighton: The Bank of England conducts regular surveys, including, for example, the Agents’ Summary of Business Conditions; the Credit Conditions Survey; and the Bank of England/NOP Inflation Attitudes Survey. The results of these surveys are published on the Bank’s website1.

The Bank of England publishes a pre-release access list for related documents, in their final form, on its website2.

1

http://www.bankofengland.co.uk/publications/Pages/other/default.aspx

2

http://www.bankofengland.co.uk/publications/Pages/other/monetary/TrendsinLending/default.aspx

Banking

Question

Asked by Lord Myners

To ask Her Majesty’s Government whether they have taken legal advice on the ability of the European Union to impose restrictions on the pay of bank executives and traders.[HL6347]

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The Commercial Secretary to the Treasury (Lord Deighton): The Capital Requirements Directive is a complex piece of legislation and is still being finalised. The issue of legal challenge has been raised by law firms acting on behalf of banks. The Government continue to assess the legal implications of the proposed cap on bonuses.

Banks: Cyprus

Question

Asked by Lord Kilclooney

To ask Her Majesty’s Government which banks have branches in either of the two United Kingdom sovereign territories on the island of Cyprus. [HL6344]

The Parliamentary Under-Secretary of State, Ministry of Defence (Lord Astor of Hever): The Hellenic Bank Public Company Limited has a sub branch at both Akrotiri Station and Dhekelia Station. The Cyprus Popular Bank has a sub-branch at Episkopi Station. Service personnel also have access to British Forces Post Office facilities which also provide banking services.

Banks: Funding for Lending Scheme

Question

Asked by Lord Myners

To ask Her Majesty’s Government what percentage by value of Funding for Lending loans have been made to support mortgages of more than £1 million.[HL6351]

The Commercial Secretary to the Treasury (Lord Deighton): The Funding for Lending Scheme (FLS) offers funding to banks and building societies for an extended period. There is no mechanical link between FLS funds and particular loans made by a participating bank or building society. It is, therefore, not possible to identify specific loans funded by the FLS. Moreover, mortgage lending data are not disaggregated by the size of loan.

Climate Change

Question

Asked by Lord Donoughue

To ask Her Majesty’s Government, further to the Written Answer by Baroness Verma on 5 February (WA 31–2), which stated that a driftless third-order autoregressive integrated model was incapable of producing a trend estimate, what assessment they have made of the usefulness of such a model in predicting global temperatures in comparison to a linear trend with first-order autoregressive noise. [HL6346]

The Parliamentary Under-Secretary of State, Department of Energy and Climate Change (Baroness Verma): I refer the noble Lord to the series of Written Answers I have provided over recent months on the topic of statistical models for assessing observed near-surface global temperatures 14 January (Official Report, col. WA 110); 5 February

27 Mar 2013 : Column WA238

(

Official Report

, col.

WA 31-2

); 13 February (

Official Report

, col.

WA 158

); 21 March (

Official Report

, col.

WA 170

).

In developing policy, my department considers all the available evidence on climate change. The analysis of annual global average temperature series is only one aspect. We take into account decades of scientific research, reported in the peer-reviewed literature, as well as the several detailed reviews of this evidence published in recent years by national and international bodies which also analyse other observations, investigate climate processes and model the behaviour of the climate system.

As I have explained previously, we understand that the Met Office and other august scientific bodies have undertaken analyses of global temperatures as reflected in, for example, the IPCC's Fourth Assessment Report. Linear trends from 1st order regression have been applied to describe observed change in global temperatures. For projecting long-term temperature over a period of a decade or more, the Met Office recommends that physical models of the climate system are used.

I would like again to reaffirm my offer in the Written Answer I gave on 21 March (Official Report col. WA 170) for you to meet my officials to discuss this subject in more detail.

Convention on International Trade in Endangered Species: Conferences

Questions

Asked by Lord Jones of Cheltenham

To ask Her Majesty’s Government what proposals backed by the United Kingdom were accepted at the recent CITES conference in Bangkok.[HL6408]

The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord De Mauley): The UK fully supported proposals agreed and submitted on behalf of the 27 member states of the EU. These included measures to improve transparency of voting and address potential conflicts of interest in the Animals and Plants Committees. In addition we supported specific species proposals to: down-list the Abruzzo chamois from appendix I to appendix II; list three species of hammerhead shark on appendix II; list the porbeagle shark on appendix II; and transfer the Corsican swallowtail butterfly from appendix I to appendix II.

More generally, UK priorities for the conference were to support measures and proposals that would maintain the ban on sales of raw ivory; tackle the escalating poaching crisis in ivory and rhino horn; help safeguard the long-term survival of the polar bear; and demonstrate that CITES should be used to protect marine species at risk through commercial exploitation.

The UK was highly successful in achieving its goals with the ban on raw ivory sales maintained; measures to address ivory and rhino horn poaching agreed; the marine listing proposals supported by the UK approved; conflicts of interest addressed and the transfer from appendix I to appendix II of the Abruzzo Chamois and Corsican Swallowtail butterfly also approved.

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Asked by Lord Jones of Cheltenham

To ask Her Majesty’s Government why the European Union votes as a bloc at CITES conferences; why it abstains if unanimity cannot be achieved within European Union delegations; and whether they will press for each European Union country to vote independently at future CITES conferences. [HL6411]

Lord De Mauley: As an environmental matter, the Convention on International Trade in Endangered Species of Fauna and Flora (CITES) falls within the shared competence of the EU and its member states. That competence has been exercised by the EU through the introduction of EU-level implementing legislation, which has been in place since 1984. Decisions taken by the CITES conferences of the parties will in many cases affect the EU implementing legislation. The EU and the member states therefore co-ordinate on the position that will be expressed on matters related to CITES and at a CITES conference of the parties. Each member state votes individually in a manner that is consistent with the agreed position.

In rare cases the EU and its member states will determine to abstain from a vote as best reflecting the collective position of the 27 member states. As demonstrated by CoP16 the EU and its member states acting together are a very powerful voice within CITES and the UK fully recognises the advantages this brings.

Asked by Lord Jones of Cheltenham

To ask Her Majesty’s Government what is their assessment of the Gaborone Amendment and how it applies to ballots at CITES conferences.[HL6412]

Lord De Mauley: The Gaborone Amendment is an amendment to the text of the Convention on International Trade in Endangered Species of Fauna and Flora (CITES) that permits accession to the convention by regional economic integration organisations. In matters within their competence it would allow such regional economic integration organisations to exercise the rights and fulfil the obligations that the convention attributes to their member states, which are parties to the convention. In such cases the member states of the organisations shall not be entitled to exercise such rights individually.

The amendment is not currently in effect so does not apply to ballots at CITES conferences.

Employment: Pensioners

Question

Asked by Lord Oakeshott of Seagrove Bay

To ask Her Majesty’s government, further to the Written Answers by Lord Deighton on 11 March (WA 13) and Lord Sassoon on 11 August 2011 (WA 436), how many people above state pension age were in (1) part-time, and (2) full-time, employment on the date on which their estimate that £500 million could be raised by abolishing the national insurance exemption for people of pensionable age was originally

27 Mar 2013 : Column WA240

made; and whether they will update that estimate in the light of any change in the number of individuals above state pension age in employment since the original estimate was made.[HL6230]

The Commercial Secretary to the Treasury (Lord Deighton): Estimates of the number of people above state pension age in employment are available from the Office for National Statistics as part of their Labour Force Survey statistics. However, these estimates are not used as the basis of the £500 million estimate.

HM Revenue and Customs (HMRC) estimate that abolishing the national insurance exemption for people of pensionable age in 2012-13 would raise around £550 million. This is based on the latest available 2010-11 Survey of Personal Incomes projected using economic assumptions consistent with the Office for Budget Responsibility's March 2013 Economic and Fiscal Outlook.

As with the previous estimate, the Survey of Personal Incomes is used as it provides more comprehensive information on taxable incomes to enable the Exchequer impact of such a change to be estimated. Both estimates include a behavioural adjustment to reflect assumed changes in labour supply for this age group which is subject to potentially large uncertainties.

Energy: Nuclear Waste

Question

Asked by Lord Judd

To ask Her Majesty’s Government what action they plan to take following the decision by Cumbria County Council not to proceed further with the construction of a nuclear waste facility with a view to establishing a transparent expert review of the most suitable sites for such a facility within the United Kingdom, taking into account environment, security and safety considerations.[HL6433]

The Parliamentary Under-Secretary of State, Department of Energy and Climate Change (Baroness Verma): The decision taken on 30 January by Cumbria County Council was on whether to proceed to the next stage of the managing radioactive waste safely (MRWS) programme, which would have involved desk-based studies to identify and assess potential sites for a geological disposal facility. It was not a decision on whether to proceed with construction of the facility. The existing site selection process in west Cumbria has ended, despite the decisions by Copeland and Allerdale Borough Councils to vote in favour of proceeding to the next stage.

The MRWS programme continues nationally, and the invitation remains open for communities to join the programme. Meanwhile, the Government are undertaking a lessons-learnt exercise in the light of the Cumbrian experience. Any changes to the site selection process of the MRWS programme will only be made following public consultation.

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Energy: Shale Gas

Question

Asked by Lord Lawson of Blaby

To ask Her Majesty’s Government whether they are aware of any scientific studies that claim shale gas development is responsible for killing birds; and whether they have had discussions with Lancashire County Council and Natural England as to what evidence they used to delay the start of shale gas exploration in the Bowland Shale on the grounds of disturbance to birds.[HL6405]

The Parliamentary Under-Secretary of State, Department of Energy and Climate Change (Baroness Verma): Conditions imposed by the Minerals Planning Authority on certain planning permissions, to minimise disturbance to overwintering bird populations in the area, are a matter for the authority.

Energy: Wind Farms

Question

Asked by Lord Lawson of Blaby

To ask Her Majesty’s Government whether wind farm development in the United Kingdom has been restricted in order to protect bird life, in a similar manner to shale gas development.[HL6406]

The Parliamentary Under-Secretary of State, Department of Energy and Climate Change (Baroness Verma): The National Planning Policy Framework provides strong protection for biodiversity, and is clear that an application for renewable energy development should only be approved if the impact is, or can be made, acceptable.

We are encouraging local planning authorities to use their local plans to help shape where development should, and should not, take place.

European Banking Authority

Question

Asked by Lord Myners

To ask Her Majesty’s Government whether non-eurozone countries have a blocking minority over the supervisory reach of the European Banking Authority; and if so, in what circumstance any such requirement could cease, and whether they have plans to safeguard United Kingdom financial services in that circumstance.[HL6287]

The Commercial Secretary to the Treasury (Lord Deighton): The double majority voting system agreed by the council in December 2012 aims to ensure that member states participating in banking union and those who are not participating have an effective voice in decision making at the European Banking Authority when the single supervisory mechanism comes into force. The December agreement envisages a review of voting modalities when there are four or fewer non-participating member states.

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Finance: Credit Rating Agencies

Question

Asked by Lord Myners

To ask Her Majesty’s Government what assessment they have made of the methods and judgments of credit rating agencies in respect of regulatory risk-management and the setting of collateral requirements based on credit and sovereign risk; and whether they make use of those methods for those activities. [HL6290]

The Commercial Secretary to the Treasury (Lord Deighton): Following the financial crisis, the European Parliament and the Council of the European Union laid down specific rules for credit rating agencies operating in the EU. The regulation was adopted in 2009 and was amended in 2011. The regulation introduced a common regulatory approach in order to ensure that credit ratings are conducted in accordance with a set of principles. This includes requirements for credit rating agencies to ensure their methodologies are rigorous, systemic, continuous and subject to validation. It also requires credit rating agencies to disclose publicly the methodologies they use. The European Securities and Markets Authority (ESMA) has exclusive responsibility for supervising credit rating agencies in the European Union. The Government are supportive of these measures.

A further set of amendments to the regulation was agreed on 27 November 2012 and is expected to come into force later this year. These amendments aim to encourage market participants and the European Central Bank (ECB) to move away from relying solely and mechanistically on credit ratings, including in assessing the financial instruments accepted by the ECB in collateral and as outright money purchases.

Ratings assigned by credit rating agencies, where used in the Bank of England's private sector collateral eligibility criteria, only play a role by publicly indicating the broad standards of credit quality expected in the securities accepted. The Bank of England forms its own independent view of the risk in the collateral taken and only accepts collateral that it can value and risk manage effectively.

Finance: Investors

Question

Asked by Lord Lucas

To ask Her Majesty’s Government what assessment they have made of the True and Fair campaign on transparency for investors; and whether they have plans to ensure that investors are made aware of the full costs associated with their investments.[HL6390]

The Commercial Secretary to the Treasury (Lord Deighton): This matter falls under the responsibility of the Financial Services Authority (FSA), whose day-to-day operations are independent from government control and influence. The FSA will respond directly and a copy of the reply will be placed in the Library of the House.

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Financial Services Authority

Question

Asked by Lord Myners

To ask Her Majesty’s Government whether the Financial Services Authority is obliged to respond to recent guidance from the European Insurance and Occupational Pensions Authority on capital adequacy in an environment of low interest rates. [HL6289]

The Commercial Secretary to the Treasury (Lord Deighton): Opinions issued by the European Insurance and Occupational Pensions Authority (EIOPA) under Article 29(1)(a) of the EIOPA Regulation are not binding. The Financial Services Authority (FSA) nevertheless recognises their use in fostering a common supervisory culture.

Food: Horsemeat and Food Fraud

Question

Asked by Lord Palmer

To ask Her Majesty’s Government, following the recall of meat products tainted with horsemeat, what information they have as to what has physically happened to the products recalled by retailers. [HL6385]

The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord De Mauley): It would be preferable to avoid wasting the products if at all possible. The decision to relabel, redistribute or dispose of a mislabelled product lies with the business concerned. If relabelling or otherwise redistributing back into the human food chain, then the business would need to be satisfied that the product continued to be fit for human consumption in food safety terms and complied with labelling and other relevant rules.

Alternatively food business operators could dispose of the mislabelled product in accordance with animal by-products rules. We would of course encourage them to consider any environmental impact when making these decisions.

Gaza

Question

Asked by Baroness Tonge

To ask Her Majesty’s Government what assessment they have made of reconstruction in Gaza following investment from Qatar.[HL6220]

Baroness Northover: We welcome the pledge made by Qatar in October 2012 to commit approximately $450 million for infrastructure, development and education in Gaza.

In November 2012 the UK provided additional funding to help at least 85,000 people who were affected by the conflict in Gaza. This included temporary shelter and medical assistance, as well as helping with rebuilding homes.

The UK remains deeply concerned by the humanitarian situation in Gaza, which is unacceptable and unsustainable. As a result of the blockade, the UN and international organisations constantly confront difficulties in gaining

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access and importing the materials required for humanitarian and reconstruction projects. We have consistently called upon Israel to improve movement and access. We welcome the partial easing in recent months, but it is clear that there is more that needs to be dune, and we are working with our EU colleagues to press for real changes on the ground.

Gibraltar

Question

Asked by Lord Kilclooney

To ask Her Majesty’s Government whether the European Commission has proposed an amendment to the 2004 European Union regulations which would exclude air passengers at Gibraltar Airport from the benefits of compensation arising from delayed flights; and whether they have made any representations about any such amendment. [HL6423]

The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi): The original Air Passenger Rights (APR) Regulation (261/2004) was adopted prior to the 2006 Cordoba Agreement, and as such contains a clause suspending Gibraltar's Airport. On 12 March, the European Commission published a proposal for a set of amendments to the APR regulation. At present the proposal does not contain an amendment which would remove the Gibraltar suspension clause from the original regulation. If adopted in its current form, the Commission's proposal would continue the suspension of Gibraltar's Airport from the APR regulation.

Passengers flying to Gibraltar would continue to have recourse to compensation in the event of delayed flights as per current practice. However the suspension of Gibraltar's Airport from this regulation would set a damaging precedent and the UK is disappointed that the Commission has overlooked the post-Cordoba arrangement of removing the suspension language to allow for Gibraltar’s inclusion in the amended measure. We are considering what action we might take to address this issue.

To date the Commission has not made any official representation to the UK on this issue.

Government Departments: Communications

Question

Asked by Lord Sharkey

To ask Her Majesty’s Government what representations they have received about the outcome of the Cabinet Office’s process in appointing companies to its Communications Roster.[HL6225]

Lord Wallace of Saltaire: The Cabinet Office has announced details of a centralised approach to government communications. The new Creative Solutions Framework will streamline communications, strengthening government dialogue with citizens by delivering more effective, value-for-money campaigns. Our strong controls on marketing spend have already helped save

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£390 million in 2011-12 and £400 million in 2010-11, and using our buying power to reorganise our approach to communications means we will save around £3 million a year.

This centralised model for government communications will encourage more meaningful and productive relationships with suppliers. Previously there were nine government creative communications frameworks, or rosters. There were 415 agencies on those frameworks. On average only 20% of those 415 suppliers across legacy frameworks received any government business in the past two years, This new framework will reduce that total to 30, and 14 of those suppliers are SMEs, providing real opportunities for SMEs to secure government business.

We received clarification requests from 24 suppliers out of the 231 who bid for the new framework. Some requests came from successful bidders.

Higher Education: Loans

Question

Asked by Baroness Sharp of Guildford

To ask Her Majesty’s Government whether they are intending to limit the number of students eligible for loans who attend institutions run by private providers of higher education; if so, when they propose to announce such limits; and what assessment they have made of the impact of such proposals upon access to sectors such as music where the amount of independent provision is relatively high. [HL6245]

Baroness Garden of Frognal: All higher education providers are private bodies, independent of Government. Some receive direct public funding through grants awarded by the Higher Education Funding Council for England (HEFCE). The number of full-time home and EU undergraduate students recruited by these institutions is regulated by HEFCE, although we have begun relaxing those controls so that popular, high quality institutions can expand in response to student choice. There are alternative providers that do not receive HEFCE grant but can be designated for student support purposes, giving their students access to loans and grants from the Student Loans Company. There is currently no limit on the number of students these providers can recruit but we have recently concluded a consultation on bringing alternative providers into the student number control system. We will announce our response to the consultation in due course. In terms of the impact on types of provider the aim of our reforms is that students should be empowered to choose the most appropriate provider for the course of their choice whether they are directly publicly funded or not.

Higher Education: Part-time Students

Question

Asked by Lord Storey

To ask Her Majesty’s Government how they plan to reverse the declining trend in the number of part-time entrants at both undergraduate and postgraduate level, in the light of the implications for the diversity of the student population.[HL6354]

27 Mar 2013 : Column WA246

Baroness Garden of Frognal: The Government’s reforms have made the university system fairer and more progressive. This Government have, from 2012, for the first time made tuition fee loans available to new part-time undergraduate students. This has significantly increased the number of part-time students who are eligible for government support with 75% of students studying for the first time eligible for loans. This reinforces our belief that finance should not be a harrier to participation in higher education.

We are aware of the drop in part-time student numbers in recent years and continue to work closely with HEFCE to monitor changes to this market, looking at both supply and demand for part-time higher education and considering what the underlying causes may be for this decline. We are actively engaging with the sector on a number of projects including a Universities UK-led review of part-time study and our communications to prospective students.

Higher Education: Student Enrolment

Question

Asked by Baroness Sharp of Guildford

To ask Her Majesty’s Government whether the student number control measures proposed for independent institutions of higher education will come into effect from the 2013-14 academic year; and, if so, what assessment has been made of how those measures will affect students who have made UCAS applications and accepted places for courses which begin in that academic year.[HL6326]

Baroness Garden of Frognal: We recently concluded a consultation on applying student number controls to higher education providers designated for student support purposes. We will respond to that consultation in due course. Our decision on when the new system of controls will come into effect will take into account the position within the admissions cycle.

HMS “Victory”

Question

Asked by Lord Renfrew of Kaimsthorn

To ask Her Majesty’s Government, further to the undertaking by Viscount Younger of Leckie on 28 November 2012 (Official Report, col. GC124), when they will reach the decision on the proposals brought forward by the Maritime Heritage Foundation for the recovery and potential sale of artefacts from the wreck of HMS “Victory”.[HL6194]

The Parliamentary Under-Secretary of State, Ministry of Defence (Lord Astor of Hever): The Maritime Heritage Foundation is considering its response to a set of key management principles agreed by the advisory group that was established as part of the deed of gift; the advisory group was supported by an expert panel of marine archaeologists and other specialists.

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The response, once received, may require further consideration by the advisory group and expert panel before a final decision is reached and an announcement can be made.

Homelessness

Question

Asked by Baroness King of Bow

To ask Her Majesty’s Government, further to the Written Answer by Baroness Hanham on 13 February (WA 165), whether any official of the Department for Communities and Local Government contacted the London Borough of Newham requesting that authority to host Andy Gale before the award of the grant.[HL6294]

The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Hanham): As the previous Answer explained, departmental officials had discussions last year with Newham about how the grant provided for tackling homelessness could be spent. This included asking Newham to consider using Andy Gale’s services as part of the support provided to other local authorities. Ministers have no involvement with local authorities on commissioning such services.

Having recently reviewed these arrangements, Ministers have decided from April 2013 to support local authorities to improve homelessness services in a different way.

Support will now be available from Homeless Link and the National Homelessness Advice Service—both of which are receiving significant investment from government.

House of Lords: Grand Committee

Question

Asked by Lord Stoddart of Swindon

To ask the Leader of the House whether he will put proposals before the Procedure Committee for relaxing the rules of debate for business in Grand Committee other than Bills to remove the need for speakers lists and to allow Members to speak more than once in debate.[HL6401]

The Chancellor of the Duchy of Lancaster (Lord Hill of Oareford): I do not plan to put proposals in this area to the Procedure Committee.

Speakers lists are necessary for time-limited debates so that the time available can be allocated among the number of Members planning to speak. Speakers lists are also useful in debates without a time-limit to assist in estimating how long a particular debate might last, and therefore when subsequent items of business are likely to start.

In so far as speaking more than once is concerned, the Companion to the Standing Orders is clear that no Member may speak more than once to a Motion, save under certain conditions (Para. 4.32). If a Member (other than the mover) were to make more than one speech in a time-limited debate, this would have the effect of reducing the time available to other Members for their speeches.

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Hungary

Question

Asked by Lord Hylton

To ask Her Majesty’s Government what communications they are having with the Government of Hungary, the European Commission and the Council of Europe concerning (1) Klubradio, (2) amendments to the Hungarian constitution, and (3) the independence of the Hungarian Central Bank; and whether they expect positive results in conformity with the key values of the European Union.[HL6417]

The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi): Membership of the EU places obligations on member states to ensure the highest standards of democracy and fundamental freedoms and we welcome the Hungarian Prime Minister's and the Hungarian Government's recently expressed commitment to EU law and values, and their offer to work constructively with both the European Commission and the Venice Commission to address all outstanding concerns. We continue to watch developments closely, and to maintain open and frank discussions with the Hungarian Government at all levels on a range of issues.

Israel

Question

Asked by Baroness Tonge

To ask Her Majesty’s Government what discussions they have held with the Government of Israel concerning water supply in the West Bank and Gaza, in the light of the World Health Organisation’s recommended minimum supply of 100 litres of water per capita per day.[HL6360]

Baroness Northover: Our embassy regularly raises the need for fair and effective distribution of shared water resources with the Israeli authorities, calling on Israel to fulfil its obligations under international humanitarian law.

Israel and Palestine: West Bank

Questions

Asked by Baroness Tonge

To ask Her Majesty’s Government what discussions they have held with the Government of Israel concerning the replacement and rebuilding of the water, sanitation and hygiene structures in the West Bank.[HL6361]

To ask Her Majesty’s Government what representations they have made to the Government of Israel concerning the confiscation of water pumps and portable water tanks in the West Bank.[HL6362]

Baroness Northover: DfID along with our EU partners has consistently called on Israel to halt the demolition of Palestinian infrastructure in Area C of the West Bank and streamline the procedure for Palestinians to gain planning permission.

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Lebanon

Question

Asked by Baroness Tonge

To ask Her Majesty’s Government whether they have made any contribution to the rebuilding of accommodation in Nahr El Bared refugee camp in north Lebanon.[HL6357]

Baroness Northover: The UK Government provide support to Palestinian refugees in Lebanon through core support to the UN Relief and Works Agency (UNRWA). Approximately 12% of UNRWA’s general budget is spent in Lebanon.

In 2010-11, the UK provided a further £1.5 million to UNRWA specifically to help prevent further deterioration in the basic living standards of 5,670 families displaced from Nahr el Bared camp in Lebanon. This funding paid the rental subsidies for 3,436 families for two months (January and February 2011), and hospitalisation and medical cover for 1,172 families (for December 2010). UNRWA is raising additional funding for the reconstruction of Nahr el Bared through an emergency appeal.

Local Authorities: Regulatory Services

Question

Asked by Baroness Crawley

To ask Her Majesty’s Government what plans they have to ensure that local regulatory services, including trading standards and environmental health, are fit for purpose, in the light of recent cuts to those services.[HL6416]

The Parliamentary Under-Secretary of State, Department for Communities and Local Government (Baroness Hanham): In common with other parts of the public sector, local authorities have to play their part in tackling the inherited budget deficit by making sensible savings.

However, they must also ensure that the services they provide are of a high standard and that they protect front-line services.

Local authorities are already demonstrating that they can find innovative ways to make savings, as we highlighted in our recent publication 50 Ways to Save: Examples of sensible savings in local government.

Money Laundering

Question

Asked by Lord Harris of Haringey

To ask Her Majesty’s Government, further to the Written Answer by Lord Deighton on 26 February (WA 303), what assessment they have made of the proposed fourth European Union money-laundering directive.[HL6515]

The Commercial Secretary to the Treasury (Lord Deighton): The UK is broadly supportive of the proposal for a revised European money-laundering directive. The proposal is based on the international standards for anti-money-laundering, counterterrorist financing and counterproliferation financing, as set by the Financial

27 Mar 2013 : Column WA250

Action Task Force, which the UK Government fully support. Robust anti-money laundering and counterterrorist financing regimes are important for the integrity and stability of financial systems, to encourage investment and, therefore, facilitate growth.

The Government are currently in dialogue with businesses, law enforcement, supervisors and other stakeholders to ensure the development and negotiation of the proposal is properly informed and that the agreed directive will be effective and proportionate.

Music Companies: Finance

Question

Asked by Lord Cotter

To ask Her Majesty’s Government how many music companies have accessed finance under (1) the Regional Growth Fund, and (2) the Growing Places Fund.[HL6404]

The Parliamentary Under-Secretary of State, Department for Business, Innovation and Skills (Viscount Younger of Leckie): There are currently no music companies being directly funded by the Regional Growth Fund, or the Growing Places Fund.

Overseas Aid

Question

Asked by Lord Stoddart of Swindon

To ask Her Majesty’s government, further to the Written Answer by Baroness Northover on 27 February (WA 337) concerning overseas aid, what is their forecast expenditure on aid between 2012 and 2015 inclusive, including that part of it administered by the European Union.[HL6333]

Baroness Northover: Total forecast expenditure on official development assistance (ODA) is:

2012—£8,651 million;2013—£11,164 million; and2014—£11,609 million.

Budgets for 2015-16 will be set in the first half of 2013.

Pensions

Question

Asked by Lord Myners

To ask Her Majesty’s Government whether they will review the impact of collateral transformation on (1) systemic financial risk, (2) the security and solvency of pension funds, and (3) the competency of pension trustees to authorise transactions. [HL6349]

The Commercial Secretary to the Treasury (Lord Deighton): The Bank of England has considered possible areas of risk relating to an increase in demand of collateral in Financial Stability Paper No. 18—OTC derivatives reform and collateral demand impact1, published in 2012, and in Issue No. 31 of its Financial Stability Report dated June 20122.

27 Mar 2013 : Column WA251

Any assessment of the impact of collateral transformation would need to take account of the effect of directly relevant regulation, notably the regulation on over-the-counter (OTC) derivatives, central counterparties and trade repositories, which has not yet fully come into force.

1

http://www.bankofengland.co.uk/publications/Pages/fsr/fs_paper 18.aspx

2

http://www.bankofengland.co.uk/publications/Documents/fsrfull 1206.pdf

Pitcairn

Question

Asked by Lord Ashcroft

To ask Her Majesty’s Government whether any issues are negatively affecting the relationship of the United Kingdom with the Government of Pitcairn; and, if so, what are those issues.[HL6319]

The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi): The British Government work closely with the locally elected Government of Pitcairn through the Governor, the Deputy Governor, and the Governor's representative (who is resident on the Island). Pitcairn is facing serious demographic, economic and social issues. Supporting an ageing population of around 50 people in so remote a location poses many challenges. Sometimes there are differences of opinion between the British Government and the locally elected government. But there is a full and frank relationship between the two parties and neither is under any illusion as to the scale of the challenges ahead.

Public Sector: Women

Question

Asked by Lord Tebbit

To ask Her Majesty’s Government, further to the Written Answer by Lord Wallace of Saltaire on 4 February (WA 23) concerning the proportions of men and women in public sector workforces, whether their policies allow for some sectors to be composed of a majority of women where they are required for a relevant function or where there is difficulty in recruiting men.[HL6370]

Lord Wallace of Saltaire: There is no single body responsible for diversity across the whole of the public sector. The Civil Service remains committed to fair and open recruitment and promotes staff on merit, so it has the best people to provide the best public services, regardless of gender.

The Public Sector Equality Duty, created by the Equality Act 2010, requires departments to publish relevant, proportionate information showing compliance with the duty and to set equality objectives on how they deliver their services. Each department publishes their own relevant information online and data for the Senior Civil Service is published online here http://www.civilservice.gov.uk/about/resources/monitoring-diversity.

27 Mar 2013 : Column WA252

Qatar

Question

Asked by Baroness Tonge

To ask Her Majesty’s Government what discussions they have had with the Government of Qatar concerning the Gazan water supply and sewage disposal installations.[HL6359]

Baroness Northover: The Minister of State for International Development, right honourable Alan Duncan, met the Government of Qatar in October 2012 to discuss their development support to the Occupied Palestinian Territories. They discussed a range of issues regarding key development and humanitarian priorities in the West Bank and Gaza.

Sergei Magnitsky

Question

Asked by Lord Hylton

To ask Her Majesty’s Government what assessment they have made of the posthumous trial in Russia of Mr Sergei L Magnitsky, following his unresolved death in custody.[HL6418]

The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi): Posthumous trials are rare, and are only usually expected to be carried out to exonerate a wrongfully convicted person or to provide justice for family members of victims, so the decision to try Mr Magnitsky posthumously, against the wishes of his family, is of utmost concern to the Government. In addition, the closure of the investigation into Mr Magnitsky's death due to an apparent “lack of evidence of a crime” is particularly disappointing given that the Russian Presidential Committee on Human Rights concluded in 2011 that his death was likely the result of being severely beaten and denied medical treatment. The Secretary of State for Foreign and Commonwealth Affairs, my right honourable friend the Member for Richmond (Yorks) (Mr Hague) raised this case when he met Foreign Minister Lavrov for talks in London on 13 March. In our annual human rights dialogue in May we will reiterate to the Russian authorities the importance of bringing this case to a thorough and transparent conclusion.

Small and Medium-sized Enterprises

Question

Asked by Lord Myners

To ask Her Majesty’s Government whether they have plans to increase the provision of credit by United Kingdom banks to small and medium-sized enterprises.[HL6350]

The Commercial Secretary to the Treasury (Lord Deighton): The Government are taking action to boost lending to small and medium-sized enterprises through both banking and non-bank channels. The Funding

27 Mar 2013 : Column WA253

for Lending Scheme (FLS) incentivises banks to boost their lending while the Business Bank and Business Finance Partnership is developing the sources of non-bank finance available to smaller businesses.

As set out by the Chancellor at the Budget, the Bank of England and HM Treasury are actively considering whether there are potential extensions to the FLS that will boost lending further.

Somalia: Piracy

Question

Asked by Lord Jopling

To ask Her Majesty’s Government what were the circumstances of the Somali pirates recently given an amnesty by the President of Somalia; how many of those pirates had been convicted; and where those who were imprisoned were held.[HL6268]

The Senior Minister of State, Department for Communities and Local Government & Foreign and Commonwealth Office (Baroness Warsi): President Hassan Sheikh Mohamed of Somalia confirmed his intention to launch an amnesty for young boys lured into piracy in a bid to end attacks on shipping off the Horn of Africa on 28 February.

We understand the amnesty is intended to cover the foot soldiers only and not kingpins, though negotiations are still at an early stage. It is not known whether amnesties have been granted to any pirates.

The Government have made clear that all those who are criminally responsible for involvement in piracy should be brought to justice.

Syria

Question

Asked by Lord Naseby

To ask Her Majesty’s Government whether the cost of their assistance to refugees from the conflict in Syria, and the cost of the non-lethal equipment they are supplying to opposition forces in Syria, are being met from the Department for International Development budget; and if not, from which budget they are being met.[HL6271]

Baroness Northover: DfID has committed £139.5 million to provide humanitarian assistance in response to the Syria crisis.

In addition, the UK has committed £22.1 million in non-lethal equipment and practical support for the Syrian opposition and civil society. This money is met from the Conflict Pool budget and has already funded power generators, communications equipment and training for Syrian journalists. This is directly funded from the Treasury with shared responsibility across the MoD, FCO and DfID.

27 Mar 2013 : Column WA254

Taxation

Questions

Asked by Lord Taylor of Warwick

To ask Her Majesty’s Government whether they intend to reduce taxes for the purpose of stimulating confidence in the United Kingdom economy. [HL6249]

The Commercial Secretary to the Treasury (Lord Deighton): The Government are committed to reducing the deficit and promoting the sustainability of public finances, while ensuring that taxation is designed to support growth and enhance work incentives. By 2015-16, the Government will have reduced the corporate tax burden by £6 billion a year and spent £10 billion a year on the personal allowance. The cumulative increases in the personal allowance introduced by this Government will lift 2.2 million people out of income tax by April 2013.

Asked by Baroness Miller of Hendon

To ask Her Majesty’s Government what was the (1) forecast, and (2) actual, tax yield at the 50% rate band for fiscal year 2011-12, and what is the forecast tax yield at the 50% rate band for 2012-13.[HL6257]

Lord Deighton: Estimates of tax liabilities at the additional rate of income tax are published in Table 2.6 “Income tax liabilities, by income source and tax band, from 2010-11 to 2012-13” on HM Revenue and Customs’ (HMRC) websitel, set out at the end of this answer.

Statistics are based on the 2010-11 Survey of Personal Incomes (SPI) projected in-line with the Office for Budget Responsibility’s (OBR) Autumn 2012 Economic and fiscal outlook for future years. Statistics based on 2011-12 outturn data and the OBR's March 2013 projections are not yet available.

It is not possible to infer the additional yield from the imposition of the 50% rate from these statistics. However, HMRC’s report “The Exchequer effect of the 50% additional rate of income tax” provides an estimate of this. This showed that the rate raised far less revenue than originally expected. The report is available on HMRC's website2.

Current and previous estimates of additional revenue from the 50% income tax rate can be found in the Office for Budget Responsibility's March 2012 Economic and Fiscal Outlook report, “Box 4.2: The additional rate of income tax”3.

This has been recreated in the following table.

£ billion
OutturnForecast
Liabilities Basis2009-102010-112011-122012-132013-142014-152015-16

Underlying Impact of 50p rate: Original Estimate, OBR estimate June 2010 (TIE=0.35)

0.0

2.5

2.5

2.7

2.9

3.2

3.5

Current Costing1

0.0

0.7

0.6

0.6

0.7

0.7

0.8

27 Mar 2013 : Column WA255

27 Mar 2013 : Column WA256

Difference

0.0

-1.8

-1.9

-2.1

-2.2

-2.5

-2.7

1 Based on the current estimated cost of a reduction in the rate from 50 per to 40%.

Income tax liabilities, by income source and tax band, from 2010-11 to 2012-13
2.6 Income tax liabilities, by income source and tax band. 2010-11 to 2012-13
continued
2012-13 (7)
Amounts, £ million
Starting rate (1) taxpayers“Savers” rate (2) taxpayersBasic rate (3) taxpayersHigher rate (4) taxpayersAdditional rate (5) taxpayersAll taxpayers

Tax liability after allowances given as income tax reductions (6)

Tax on Earnings

Basic rate

.

.

59,600

24,100

1,760

65,400

Higher rate

.

.

.

27,300

11,300

38,500

Additional rate

.

.

.

.

24,500

24,500

Tax on Savings

Starting rate

18

28

32

5

-

64

Basic rate

.

109

638

210

13

971

Higher rate

.

.

.

757

159

916

Additional rate

.

.

.

.

572

572

Tax on Dividends

Ordinary rate

24

579

552

1,120

19

2.290

Higher rate

.

.

.

3,290

736

4.020

Additional rate

.

.

.

.

1,680

1,680

Allowances given as tax reductions

1

21

299

246

857

1,420

Tax liability after allowances given as income tax reduction

42

716

60 800

56,700

40,700

159,900

Average Rate of Tax %

16

58

114

223

406

17.7

Average amount of tax £

183

1,180

2,440

14,700

152,000

5,310

Key

- negligible

. not applicable

Footnotes for table 2.6

(1) Taxpayers with no taxable earnings and total taxable income from savings below the starting rate limit.

(2) Taxpayers with no taxable earnings and total taxable income from savings between the starting rate limit and the basic rate limit and/or dividends at the 10p ordinary rate.

(3) Taxpayers with total taxable income below the basic rate limit.

(4) For 2009-10 taxpayers with total taxable income above the basic rate limit. From 2010-11onwards taxpayers with total taxable income between the basic rate limit and the higher rate limit.

(5) Taxpayers with total taxable income above the higher rate limit.

(6) In this context tax reductions refer to allowances given at a fixed rate, for example the Married Couples Allowance.

(7) Projected estimates based upon the 2010-11 Survey of Personal Incomes using economic assumptions consistent with the OBR’s December 2012 economic and fiscal outlook. These projections fall outside the scope of National Statistics.

1

http://www.hmrc.gov.uk/statistics/tax-statistics/table2-6.pdf

2

http://www.hmrc.gov.uk/budget2012/excheq-income-tax-2042.pdf

3

http://budgetresponsibility.independent.gov.uk/wordpress/docs/March-2012-EFO1.pdf

Wildlife: Illegal Trade

Question

Asked by Lord Jones of Cheltenham

To ask Her Majesty’s Government whether they will review the derogation in regard to hunting trophies which allows personal and household effects to be exempted from trade considerations; what is their estimate of the amount of trade in lion products; and what assessment they have made of the impact that trade is having on the viability of the worldwide lion population.[HL6413]

The Parliamentary Under-Secretary of State, Department for Environment, Food and Rural Affairs (Lord De Mauley): Under the Convention on International Trade in Endangered Species (CITES) the importation ofhunting trophies is allowed for personal, non-commercial purposes, subject

27 Mar 2013 : Column WA257

to certain conditions. This issue was considered at the recent CITES conference of parties held in Bangkok. The EU proposed removal of the derogation for all appendix II species, including lions, but the parties to the convention decided to do so only for the export and re-export of elephant ivory and rhino horn.

The UK has not undertaken any specific exercise to estimate the amount of trade in lion products but is concerned about the conservation of lions in the wild. We funded a conference in March 2012 in Johannesburg

27 Mar 2013 : Column WA258

at which a number of lion range states discussed the conservation needs and status of the African lion. The level of protection afforded to lions under CITES is currently under review by Kenya and Namibia, on behalf of the CITES Animals Committee, in liaison with other lion range states. We are waiting for the results of that review with interest. We are keen to continue working with other CITES parties and relevant non-governmental organisations to ensure the long-term survival of this important species.