Mervyn Storey
North Antrim · Democratic Unionist Party · Northern Ireland
“I thank the Minister for his statement. It will be noted that there are those who cry much about the environment and purport to be the champions of the environment who did not have the courtesy to come to the House and be present when the statement was being made.”
“I thank the Minister for his statement. Clearly, there are some in the House who want to continue with the same old, same old and get the same outcomes at a huge cost to the public purse and to farms in Northern Ireland. The Minister is absolutely right: it is a scourge.”
“I am sure that the Minister will be aware, having listened to the Member who spoke before me, that the farmers of North Antrim will make an informed choice about who best supported farmers during this mandate of the Assembly.”
“A pilot scheme has been operating with the Education Authority, the PSNI and the South Eastern Health and Social Care Trust across 60 schools in the south Down area since September 2021 and was extended to a further 77 schools in the Newry and south Armagh areas at the start of February 2022.”
“As Chair of the Justice Committee, I am pleased to welcome the motion. It implements the provisions taken forward by the Committee in the Domestic Abuse and Civil Proceedings Act (Northern Ireland) 2021 to establish an Operation Encompass model in Northern Ireland, which is, as the Minister has outlined, a police and early intervention pa…”
“We had our final meeting of that Committee this morning, and I want to place on the public record our appreciation and thanks to our Committee staff of for all the work that they have done.”
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“That is one in four of all jobs in the economy. We have £9·9 billion total GVA contribution to GDP, which is around 30% of the economy. Productivity is at £55,700, which is 38% higher than the Northern Ireland average with an advanced manufacturing contribution of 27% more. Those are the figures from Manufacturing Northern Ireland. Yet, when we come to the House, we find it is all about what more we need to do. Not one Member who has spoken today has paid tribute to the manufacturing base that we have or to the 214,000 direct and supported jobs for how they have contributed to the well-being of Northern Ireland. <BR /> <BR />It is not perfect; there is a huge amount of work still to be done. Coming from North Antrim, I know all too well the impact of job losses.”
“Regrettably, I cannot stand here today and say that this is my maiden speech, as I have been here since 2003. However, after all those years, we still have in Northern Ireland much that we need to be proud of. It disappoints me that, when I come to the House — I have said this repeatedly in previous debates — it seems as though we always want to concentrate on the negatives. Of course, we now have a new Opposition; well, one of four, five, six or seven. I am not sure how many leaders of the Opposition there are now. <BR /> <BR />It is time that the Assembly — I advise, if they would be so kind to take the advice, the official Opposition or whoever is in that corner to do this — actually talked up Northern Ireland. Let us remember that, in our manufacturing, we have 214,000 direct and supported jobs.”
“Will the Minister give an assurance that, when she is looking at that radical change and reform, local hospitals such as the Causeway, which has been under some pressure in the past but clearly has a very good track record on delivery, will play a crucial and central role in the elective care plan, so that an invaluable facility in my constituency will be utilised to the maximum in the delivery of health as we ensure improving health for all our constituents? I believe that Professor Bengoa was very impressed when he recently visited the hospital.”
“I, too, welcome the Minister's statement on what is a very pressing issue at the moment for many of our constituents. Her statement refers to bringing about:”
“The Member says "snowmen". He has a short memory.”
“I look forward to the wishes of the electorate, whatever they are, being fulfilled and mandated in the new Assembly. I thank everyone for their help during my time as Minister of Finance and Personnel.”
“This is probably the last time that I will be before the House in this mandate. We look forward to the election campaign getting under way. I thank the Chair, the Committee and my staff in DFP. Even though I have been there for a very short time, I have thoroughly enjoyed the opportunity to see how our public finances are managed. I thank Members for the courtesy that they have shown me during that time. <BR /> <BR />As we face an election campaign, we face challenges. That is the nature of the political process, whether it is here or any other jurisdiction. Those in the Republic of Ireland know all too well to their own cost the challenges that the political process can bring. However, in Northern Ireland, I am confident that we will continue to make progress.”
“I trust that that gives some clarity on both the question raised by my colleague and friend Mr Lunn and the correspondence from NIPSA. <BR /> <BR />It is important that the Assembly agrees today to make this Public Service Pensions Revaluation (Prices) Order to ensure that active public service members' pension accruals can be revalued in line with the agreed principles of the 2014 Act and the processes set out in the regulations for each scheme. The position in the rest of the United Kingdom is exactly the same as it is in Northern Ireland.”
“In the long term, that would pose much greater risks for scheme sustainability. We need to underscore that sustainability is an important issue for us all. <BR /> <BR />This question is asked: will the Public Service Pensions Revaluation (Prices) Order 2016 have any impact on pensions in payment, and are those pensions being increased this year? The answer is no. The Public Service Pensions Revaluation (Prices) Order (Northern Ireland) 2016 will have no impact on the pensions in payment. Public service pensions in payment are indexed annually under different legislation that requires them to be increased by the same percentage as the additional state earnings-related pension. Both the additional state earnings-related pension and the public service pensions in payment will also not be increased this year.”
“Those pension pots are still increasing. This order maintains their buying power in line with revaluation processes in scheme regulations and within the broader context of the requirement to manage future costs and ensure sustainability, which the 2014 Act is designed to address. <BR /> <BR />It is important, therefore, that devaluation is managed effectively from the outset. If negative growth were overlooked, scheme costs would rise and these additional costs would be loaded onto schemes and taxpayers. I think that this is the point that the Member was trying to get to in asking why we are doing this. It is important that devaluation is managed effectively. To disregard the reality of negative revaluation on even one occasion would set a precedent for an arbitrary approach to how benefits are revalued across the schemes.”
“<BR /> <BR />The other issue that was raised in the correspondence is in regard to the scheme's sustainability. I share the concerns that have been expressed about the sustainability of our public service pension schemes. The point is that the provisions of the Public Service Pensions Act (Northern Ireland) 2014 already agreed by the Assembly, which include the revaluation provisions and can track both positive and negative growth, are purposely designed to increase that sustainability. That is an important line to underscore in this regard. <BR /> <BR />Although it appears that some workers with flat CPI will lose less than 50 pence from their accrued pension, in many cases, those public servants will have earned more pension in total this year due to the faster in-year accrual of those pension schemes.”
“When use of CPI has been challenged in the past, both the High Court and the Court of Appeal have ruled that it is appropriate for benefits and pensions uprating. <BR /> <BR />Negative growth is rare. However, RPI is not immune to its effects when it does occur. It has also historically experienced periods of negative year-on-year change, as was the case in 2009. It can be noted also that, at the policy development stage for the reformed pension schemes, the coalition Government's original scheme design proposal was for scheme revaluation with reference to earnings, which for 2015-16 provides +2%. Therefore, CPI-linked revaluation is a scheme design feature that, at that time, was favoured by employee representatives in return for faster pension accruals in the schemes. It is important that that is underscored.”
“CPI is an established measure that has been used to track changes in prices for the indexation of public service pensions and most benefits since 2011.”
“I will just make a few comments. I thank the Committee for its scrutiny of this on two separate occasions. As the Chair rightly said, since that took place, we have been in receipt of correspondence from NIPSA. It is right and proper that we have a record in the House of the issues raised. Obviously, we note the lateness of the correspondence that was received and which Members are in possession of. I will try to deal with the main points in relation to that correspondence. <BR /> <BR />First, in regards to CPI versus RPI, the scope to use RPI has been raised. The 2014 Act does not prohibit the use of RPI in a prices revaluation order, but it requires the index used to be that which the Department considers to be appropriate.”
“Equality screening of individual scheme regulations was completed by responsible Departments during the policy development for each scheme. <BR /> <BR />In conclusion, the Public Service Pensions Revaluation (Prices) Order (Northern Ireland) 2016 fulfils the obligation set out in the Public Service Pensions Act (Northern Ireland) 2014, requiring the Department of Finance and Personnel to make an annual order that specifies the annual change in prices where this is relevant to the revaluation process contained in regulations for a public service pension scheme. I, therefore, commend the order to the House.”
“These pensions remain a good deal for members and a valuable component of the public service remuneration package. <BR /> <BR />I thank the Committee for Finance and Personnel for its consideration of the proposed order. I note that the Committee is content and has not raised any issues in relation to the order. The Examiner of Statutory Rules has raised no issues on the technical competence of the order. There is no direct equality impact associated with the making of the order. As I have stated already, it is a statutory requirement of the Public Service Pensions Act (Northern Ireland) 2014 that the order is made each year to specify the annual change in prices relevant to those schemes whose regulations require a revaluation with reference to prices.”
“If the reality of negative growth were overlooked, scheme costs would rise and these additional costs would be loaded onto schemes and taxpayers. <BR /> <BR />Revaluation is just one element which determines how a public service pension increases each year. The other key element is the accrual rate — the percentage by which pension pots build up on an annual basis. Accrual factors also vary with each scheme, and where a scheme design includes a CPI-only linked revaluation this may be offset by a faster accrual rate in the scheme, depending on the scheme design put in place by the individual responsible Departments at the policy development stage of that scheme. The indexation factor combined with the accrual rate factor means that pension pots are still continuing to grow.”
“In all other cases where the schemes themselves have undertaken to augment the revaluation factor in scheme regulations by an additional percentage amount, the overall revaluation will be a positive figure. For example, a health service worker on a salary of £21,000 will see their accrued pension revalued by around £5·44 and a health service worker on a salary of £36,000 will see their accrued pension revalued by £9·33. <BR /> <BR />The level of revaluation is predicated on the prevailing economic conditions. The overarching provisions for revaluation contained in the Public Service Pensions Act (Northern Ireland) 2014 are necessarily and purposely designed to track changes in prices or earnings, whether positive or negative.”
“As I pointed out, the order will be used by schemes in line with the individual revaluation process put in place in their regulations at the inception of the new CARE schemes, and the effects will vary accordingly. Where scheme regulations specify a revaluation with reference to a flat rate of CPI only — for the Civil Service, local government and the devolved judiciary — scheme members will see a slight negative revaluation in their 2015-16 CARE annual pension earned. For example, revaluation for local government and Civil Service workers on a salary of £21,000 will see a negative revaluation of their accrued pension by less than 50p. Those who are on a salary of £36,000 will see a negative revaluation of their accrued pension by less than £1.”
“The current measure used to track changes in prices is the CPI. The order specifies the published CPI figure that is relevant for 2015-16, which is minimis of 0·1%.”
“<BR /> <BR />In Northern Ireland, as is the case for the equivalent schemes in Great Britain, a reference to the change in prices is used for the purpose of revaluation by each of the main public service pension schemes for the following: Civil Service; local government; teachers; health service; police; and the devolved judiciary. <BR /> <BR />The prices revaluation order will be used by these main public service pension schemes as part of the scheme’s process for annually revaluing pension benefits accrued by active members for the scheme year from 1 April 2015 to 31 March 2016.”
“In a CARE scheme, each member builds up a fraction of their average annual earnings as pension for each year of membership of the scheme. This fraction is known as the accrual rate. At the end of each year, the pension built up by each member is also revalued. <BR /> <BR />Different schemes revalue members’ benefits in different ways, as specified in each scheme’s regulations. These regulations have been subject to consultation between Departments with responsibility for the main schemes and their employee representatives, during policy development and consultation for each CARE scheme. In all cases, the revaluation process will include reference to a cost of living index, which tracks annual changes in the level of prices or earnings.”
“Section 9 of the Public Service Pensions Act (Northern Ireland) 2014 requires that this revaluation order is made. It specifies the annual change in the level of prices as tracked by the consumer price index (CPI). A similar order has been laid in Westminster that will apply for the equivalent pension schemes in Great Britain, which will be revalued in an identical manner. <BR /> <BR />In background to this order, Members will be aware that the Public Service Pensions Act (Northern Ireland) 2014 sets out requirements for new and reformed pension schemes for public service employees with effect from 1 April 2015. Under the Act, the default design for these new schemes is a career average revalued earnings (CARE) model.”
“I thank the Chair and members of the Committee for their work. I ask that Members approve the order, which should come into operation on 4 April 2016.”
“As I indicated, the General Register Office is required to recover the cost of chargeable services, including services provided by local register offices based in each council. The cost of each fee has been calculated individually using work study analysis to reflect the work involved in each area and includes the full range of costs involved, including staff, rent, rates and computer maintenance in the GRO and the district registration offices. A similar cost recovery system also operates in Scotland, England and Wales. Passage of the order will ensure, as has been the case here and in GB, that the cost of providing services is borne by the parties requiring such services and not by the public purse. <BR /> <BR />The order has been considered by the Finance and Personnel Committee, and no objections have been raised.”
“Over the last few years, there has been a continued improvement in the processes and systems for the registration of life events and the production of certificates for the public. This efficiency of the GRO services has improved further with the introduction of the GRO's new computer system, the Northern Ireland registration office system, which went live on 22 February 2016. <BR /> <BR />The family history website provides access to historical indexes and images of civil registration records. Births over 100 years old, deaths over 75 years old and marriages over 50 years old are made available online, with access available to all index records and images in the public search room in the General Register Office. It is in connection with the provision of those services that fees are required to be set.”
“Fees are chargeable, however, for the provision of other certificates and for further certified copies of registration events including, when necessary, the searching of indexes and the retrieval of the record involved. There are also chargeable fees for carrying out procedures such as recording a name change or, for marriage and civil partnership services, including the giving of notice, the solemnisation of a marriage, the registration of civil partnerships and access to records maintained on the family history website. Under government accounting rules, the cost of such chargeable services is recovered by means of a fees order, as provided for in the relevant legislation. <BR /> <BR />It is in this context of revised fees that this order comes before the Assembly.”
“I trust that the House will be as lenient with me as it has been with my colleague Lord Morrow. <BR /> <BR />The order that comes under Members' consideration today is intended to provide revised fees for the searching of indexes of civil registration records retained by the General Register Office (GRO). All other fees that have been in place since 2012 do not require an increase at this stage. The proposed date for commencement of the new fees is 4 April 2016. The last fees order was made in March 2014. <BR /> <BR />By way of general background, Members will wish to note that, under the current law, fees are not charged for the statutory requirement of registering births and deaths or for providing one copy of a birth entry at the time of registration.”
“What others do and have done is for the process and the system and for everybody to find out how that was either not done correctly or not done in a way that gave confidence to the community and the people of Northern Ireland.”
“Yes — we would maybe then be in a better position to know who we are going to have those discussions with. <BR /> <BR />It is a sensitive issue that needs to be dealt with in a proper way. I have ensured that, as far as we are concerned, everything is done in a way that is proper and right. That is my responsibility as Finance Minister, and I am quite happy to ensure that, whether it is me or any other subsequent Finance Minister, we are there for one purpose and one purpose only, and that is to manage the finances of Northern Ireland in the best possible way and to ensure that we maximise the best opportunities for Northern Ireland.”
“I think my colleague said if only we knew who the next Finance Minister was going to be.”
“<BR /> <BR />However, I go back to the point that we need to ask whether, for example, the money for the small business rate relief scheme would not be better spent in a different way. We need to find answers to those questions. Over the time that I am here, I am committed to endeavouring to ensure that, whatever the end result, it is fair and in no way hinders progress in town and city centres but adds to it, encourages more investment and brings vibrancy to town and city centres, which I believe we all want to see.”
“I think that there is no doubt. When I was Minister for Social Development, I, along with the Enterprise, Trade and Investment Minister, met the then Finance Minister, and collectively we had a discussion. I think that those discussions need to continue because we are facing a challenge on the high street. We have seen some good news about what has been happening with occupancy in our capital city. Some of that is a positive sign. However, I am well aware from my constituency of the challenges that a town such as Ballymoney faces when the owner of a family business decides to retire and may, for a variety of reasons, be unable to find someone to take on their business. The closure of any retail property on the high street is to be regretted.”
“I would be unfaithful to some of the comments that were made in the consultation if I did not say that some local businesses — some in my constituency — raised the issue and asked why those organisations, even though they carry out an immense job and do a very good job for their charities, should be exempt when the local businesses have to pay either, in most cases, full rates or rates under some of the rate relief schemes that have been mentioned. It is on the radar. I have already spoken to a number of them on the issue. I had a meeting with NICVA and representatives from the charity organisations just last week. I am well aware of the issue. It will be dealt with with the sensitivity that I believe it deserves.”
“I thank the Member for his question. Obviously, as he is aware and as I have mentioned, the review of the non-domestic rating system is now complete. We are looking at and going through the consultation responses. The treatment of charity shops was an issue that various business organisations, district councils and many others commented on during the rating consultation. In fact, I have had a couple of meetings about it. I am well aware of the sensitivities on the issue. What I have said is that there will be no change to the current situation in this mandate. It will be for a new Executive to determine the outcome of that issue as well as the issue that was raised by the previous Member who spoke, to which I have referred. <BR /> <BR />I want to emphasise that it is a sensitive issue.”
“It is a point well made. The issue will be given consideration now that we have completed the formal consultation process. I trust that in that work of looking at the responses, that issue and many others will be given serious thought and consideration.”
“The Member raises a valid point. My challenge in having overall responsibility for rate collection is ensuring that whatever we do is fair and balanced. Pigeon clubs and all sorts of things have been raised during the debates in the Chamber. Everybody wants to have an exemption; depending on the nature of their business, everybody wants to have some relief. I can well understand that. The difficulty and challenge that face us with exemptions is where you then collect the resources from, because we want to be able to improve our public services, and we want to be able to improve the way in which we spend money on our health service and infrastructure.”
“However, every effort is made to ensure that work between the contractor and the local businesses is done in such a way that minimises disruption until we, ultimately, get to the endgame, which is the enhancement of our town and city centres.”
“Obviously, the Member will know that we have just concluded a review of the rates process. I think that a very good exchange has been held across the piece. I know of public meetings that were held, and I have seen engagements. At the moment, we are working our way through the responses to those. I am conscious of the difficulties that arise, particularly when schemes come into town centres. <BR /> <BR />In my previous role as Minister for Social Development, I was keenly aware that traders raised concerns about public realm works. All of this has to be given consideration. Currently, there is no compensation process for businesses when there is a process like that in their area.”
“Yes. When we look across Northern Ireland, we can see many examples of projects that have made an immense contribution to the lives of our citizens. All too often, we focus upon the negatives, but, when you look at the greenways, you see how communities and families have been able to get out and exercise. Those are clear examples of capital projects delivered in conjunction with community organisations and such organisations as Sustrans. I believe that they should play an important role as we develop the Programme for Government and as the new Departments, such as the Department for Communities and the Department for Infrastructure, come into existence alongside my Department, the Department of Finance.”
“I thank the Member. I am almost tempted to ask him whether he is saying that we should all get on our bikes. <BR /> <BR />The greenways have been developed in ways that are to the credit of all who have been involved. Recently, I had the opportunity to meet Sustrans about some of those issues, because I value the greenways and believe that they have brought not only huge economic benefits but huge health benefits to those who have used them. I believe that their extension and continuation are things that need to be given serious thought. There has been financial assistance for some of them. I think that that needs to be given further thought so that we can extend them in a way that benefits the communities that use them.”
“Yes, and it is a pleasure for me to have had the opportunity to fulfil the role of Minister of Finance in this mandate. I will repeat this, so that there is no equivocation on it: we have no intention of removing industrial derating. During 2015-16, a total of 4,443 properties benefited from industrial derating and, as of 31 January 2016, a total of £59,803,965 had been allocated for 2015-16. I think that that, along with the small business rate relief, the empty property relief scheme and the extension of the ATM scheme all indicate that we have been business-focused, business-centred and about ensuring that we deliver for our constituents.”
“I thank the Member for his question. In a sense, it follows on from what the previous Member was trying to ask — are we better off with our own devolved administration? I think the answer to that is yes. In this House, we talk about how we deliver for our constituents, but when you look at the comparators — and this is for real households in Northern Ireland — the average household bill in Scotland is £1,337; it is £1,465 in England; it is £1,550 in Wales; and it is £840 in Northern Ireland. That is because of decisions taken by this Executive; it is because my party is a party of low taxation, and we believe that that reflects the way that we have endeavoured to protect households from a burdensome rate process.”
“It is a matter of urgency and importance, and I share the fears and concerns that people have, but we have to ensure that the debate is based on the facts and figures, not fear.”
“I hear Members who are always asking for more information, but all of the information necessary to make a judgement is out there, irrespective of the Government of the day, whether it is Conservative, or the Member's colleagues in the Labour Party, which we know spent money so well that it almost bust the Treasury. I think that the Member would do better to have a conversation with his colleagues in the Labour Party, who got us into a financial mess that the Conservative Party had to try and resolve. However, the issue that still needs to be resolved is for the Treasury, because it will have more money; money that will not go to Brussels but will come to Belfast, Ballymoney and other parts of the United Kingdom. Now that I have started that, I will have to go round every Member's constituency to keep them all happy.”
“Whatever the debate will be — I have repeated this, and I will say it again — it has to be based on facts and figures.”
“Now that we have the call open for the new Peace funding — INTERREG Va has been open for almost a year — I want to see organisations right across the piece making applications that can stand scrutiny and pass the test so that we can build upon the good successful projects and, as I said, maximise the money that has come, albeit that we might like to have more money in the future. That is a debate, I believe, for when we know the outcome of the referendum.”
“Obviously, Peace IV is an important element of the existing arrangements that we have. Let us be very clear about this: we will take whatever money we possibly can to maximise it for the benefit of Northern Ireland. Whatever the outcome of the referendum, we will still ensure that we do the best for Northern Ireland. We have only to look at some of the projects that benefited as a result of previous Peace money: the Skainos Centre in east Belfast; the Peace Bridge in Londonderry; and the shared process and community engagement (SPACE) project, including the people's park, in Portadown. We could go down a list of other projects. <BR /> <BR />The current round of funding for Peace IV has a total value of £206 million and has match funding. So we have a programme with somewhere in the region of £400 million.”
“The European Union is an organisation that has a bloated bureaucracy; an organisation that cannot secure our borders; and an organisation that cannot resist meddling in our courts' decisions. I think that, for those and many other reasons, let alone the financial reasons, a case is being made to ensure that our money is best spent in Northern Ireland for the benefit of our fisheries, for the benefit of our farmers and for the benefit of our communities.”
“Obviously, that would be from the Treasury, given that we are a net beneficiary as part of the United Kingdom. As the Finance Minister in Northern Ireland, I would not have the finances were it not for the way in which, as part of the United Kingdom, we are a region that receives a substantial amount of funding from Her Majesty's Treasury. <BR /> <BR />However, the Member wants to draw us into the debate on what will happen post the referendum. I have made it very clear that the debate that leads us up to and during the referendum needs to be on the basis of facts. It has to be on the basis of figures. One figure that those parties suggesting that we stay within the European Union have to deal with is the £20 billion that goes every year to its coffers.”