Maolíosa McHugh
West Tyrone · Sinn Féin · Northern Ireland
“At present, they are largely dependent on borrowing through the Department's capital arrangements, which can limit their flexibility and their capacity to compete with ports elsewhere across these islands. The Bill represents an opportunity to address those issues.”
“Importantly, there will continue to be accountability and oversight through board structures, including representation from locally elected council members, as is already the case at Belfast harbour. That public connection and democratic input is an important safeguard, and one that should provide reassurance.”
“Tá céimeanna beaga ann is féidir linn uilig a ghlacadh lenár sláinte a fheabhsú: scrúdú sláinte a chur in áirithe leis an dochtúir; bheith ag labhairt go hoscailte faoin mheabhairshláinte; páirt a ghlacadh i mbothán na bhfear nó i ngrúpa siúlóide; nó bheith páirteach in aclaíocht eile. Cuireann siad uilig feabhas ar an tsláinte.”
“I welcome the introduction of the Harbours Bill, and I commend Minister Liz Kimmins for introducing legislation that seeks to modernise the framework within which ports operate. <BR /> <BR />Our ports are critical pieces of economic infrastructure.”
“Tháinig deireadh le Seachtain Shláinte na bhFear ag deireadh na seachtaine seo a chuaigh thart, ar Lá na nAithreacha. Is cuí gur le linn Sheachtain Shláinte na bhFear a thit Lá na nAithreacha, nó is minic a shíleann na fir nach bhfuil an dara rogha acu ach saighdiúireacht a dhéanamh.”
“They support employment, facilitate trade, enhance connectivity and contribute significantly to our local and regional economies. My party therefore welcomes the introduction of the Harbours Bill and looks forward to engaging constructively as it is progressed through the Assembly to ensure that it delivers for our ports, our economy and…”
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“Businesses have benefited from a freeze in the regional rate; generous rates holidays, support schemes that have been available from March 2020 and, most recently, the omicron hospitality payment. The draft Budget contains a rate relief package that is worth £50 million and will provide a one-month rates holiday to all sectors and a three-month holiday to the hardest-hit sectors. In addition, the Department of Finance has ordered a new revaluation exercise that will take into account the economic consequences of the pandemic in the next NAV list, which is due in 2023. <BR /> <BR />Councils are particularly anxious about the threat to the tax base. Many of us, as ex-councillors, will totally understand the fear that exists among councils. They rely heavily on the revenue collected via district rates.”
“That could have serious consequences for the tax base, as it is predicted that up to £250 million of rates revenue would be lost to the Executive and the councils over a three-year period. <BR /> <BR />I have sympathy with the many businesses in our community that have faced huge difficulties as a result of the pandemic and feel that the rates that they are being asked to pay do not adequately reflect the struggles that they are experiencing. However, we must seek to provide the appropriate support without risking our public finances. The Executive have provided much financial support to struggling businesses and continue to support those that have not recovered from the pandemic.”
“Gabhaim buíochas leis an Aire fosta. I thank the Minister. I will keep my remarks brief, as we will return to the issue at Final Stage in a short time. <BR /> <BR />There is no doubt that the Bill is needed to deal with the consequences of the pandemic for the rating system. The legal advice is clear: restrictions on businesses that have been in place since March 2020 and were designed to mitigate the spread of COVID-19 would constitute grounds for appeal of NAVs under article 39A of the Rates Order 1977. As nearly all businesses have been subject to some restrictions since the onset of the pandemic, most would be within their rights to appeal the NAV that came into force on 1 April 2020.”
“Minister, some Departments have already commented on the difficulties that they will face, especially if Health is prioritised. Whilst there are obvious pressures, can you confirm that this is the most difficult Budget that Departments other than Health have faced?”
“<BR /> <BR />While the Assembly has the authority to legislate for public-service pensions and could diverge from implementing the policy, we must be mindful of the impact on the block grant that any divergence would have. Given the Executive's current limited financial resources and the acceptance that more generous public-service pensions would divert funding from priority services such as health and education, we have no choice other than to allow the LCM to pass.”
“They accepted in good faith the cost cap as part of the overall reforms after the British Government promised that there would be no change to public-service pensions for at least 25 years. The 2016 valuations initially showed that the costs of providing public-service pensions were well below what had been anticipated and that there were widespread floor breaches, leading to increased benefits for scheme members. The proposed changes are an attempt by the British Government to move the goalposts, because they have discovered that having the cost cap mechanism work as originally intended did not suit their policy objectives, namely that more of the burden of providing public-service pensions should fall on scheme members and not on government.”
“Importantly, if the costs of providing public-service pensions are not as high as expected and are more than 2% below the cost cap, that would result in a floor breach, where scheme members would see increased benefits. Now, however, the British Government are seeking to change how the mechanism works by removing the legacy scheme from the calculations of the cost cap and adding an economic check that links the calculation of cost cap breaches to the UK's long-term GDP. In practice, that means that, when any cost cap breaches are calculated, corrective measures would be taken only if the breach would still have occurred had the long-term economic assumptions been considered. <BR /> <BR />Public-service trade unions expressed mixed views on reformed-scheme-only design but were broadly against the introduction of an economic check.”
“That is an important protection, as it would be unacceptable to ask scheme members to pay to remedy a discrimination that affected them but that they did not create. However, since the Assembly voted in favour of the first LCM, the British Treasury has tabled amendments to the Bill that, if passed, will radically alter the cost cap mechanism of public-service pensions. <BR /> <BR />The cost cap mechanism is designed to bring a fair balance of risk to scheme members and their employers. It ensures that any increases in pension costs are met by both parties at a set rate, rather than solely by the employer, which had been the case.”
“Ar dtús, ba mhaith liom buíochas a ghabháil leis an Aire as ucht a ráitis. At the outset, I thank the Minister for his statement. I welcome the opportunity to speak on the issue. <BR /> <BR />It is the second LCM that the Assembly has debated in relation to the Public Service Pensions and Judicial Offices Bill, which is progressing through Westminster. The initial intention of the Bill was to provide a remedy to the discrimination that was highlighted in the McCloud judgement. Prior to the first debate, the Treasury was able to provide assurances that the cost of implementing the remedy would not fall on scheme members. That was to be achieved by ensuring that any breaches of the ceiling of the cost cap mechanism would not result in increased members' contributions.”
“I thank the Minister and his officials for bringing this important legislation to the Assembly.”
“Other NDPBs, such as Northern Ireland Water and Translink, will not be brought within the scope of the Bill at this stage, but I welcome the confirmation that work will continue to ensure that those bodies can be added to the schedule of public bodies at a later stage. <BR /> <BR />We must ensure that we have full sight of all public spending and that all bodies that receive public funding abide by the highest levels of transparency and accountability when it comes to spending that money. The Bill will achieve that by allowing the Department of Finance to issue instructions to Departments and their NDPBs on how they must prepare their estimates and accounts. That is a small but significant step. The passage of the Bill today will pave the way for future reforms in the next mandate. <BR /> <BR />I am happy to add my support to the Bill.”
“During Committee scrutiny of the Bill, officials set out their vision of what the new budgetary process will look like. That assured us that substantial changes are being implemented to the Estimates documents to make them more presentable and easier to understand and so that they align fully with the Budget documents and accounts. Part of that reform is to bring non-departmental public bodies within the accounting boundaries of Departments so that their spending can be presented in the Budget and Estimates documents. Some of our NDPBs, such as the Education Authority and the health trusts, are substantial and are involved in spending huge amounts.”
“We can all agree that we have a bit of work to complete if we want to abide fully by that principle, particularly when it comes to accessibility. A recent Audit Office report highlighted that area as a particular weakness of our budgetary framework:”
“The OECD has a set of 10 principles of budgetary governance that set out best practice across the full spectrum of budgetary activity and aim to give practical guidance for designing, implementing and improving budget systems to make a positive impact on citizens' lives. Principle 4 of the OECD's 10 principles talks about ensuring that:”
“Gabhaim buíochas leis an Aire. I thank the Minister. I welcome the opportunity to comment on the Final Stage of the Bill. Although it is technical in nature, it must be seen in the overall context of the review of the financial process. There is a shared view across the House that the process by which we scrutinise our Budget and the presentation of our Budget and Supply Estimates documents could be much improved. <BR /> <BR />As we know, Budget Bills and their associated Supply Estimates are essential legislative steps that allow the Executive to access the funding available to them and ensures that that it is spent in a way that is transparent and cost-effective.”
“I thank the Minister for his answer. The cost of living has increased as well. The severe financial pressures that now bear on students in relation to increased rents and so on are forcing them towards the hardship fund. What steps has the Department taken, given that it handed back unspent money from student maintenance grants and bursaries, rather than relocating it to support students?”
“Ar dtús, gabhaim buíochas leis an Aire as a ráiteas. At the outset, I thank the Minister for his statement. Minister, the £40 million that has been allocated to those who have been affected by the omicron variant is to be greatly welcomed by all, and those living in border areas in towns like Strabane, Castlederg, Newtownstewart will especially appreciate that support. Is it likely that businesses that are newly established or those that have previously not made an application for support will also be able to access that funding?”
“Those who make up the membership must seriously question their motives. They must look into their conscience and ask themselves to what extent they have contributed to the deaths of many of the individuals in the accidents that have happened on that road.”
“Go raibh maith agat. I was finished, but go on ahead.”
“We know that there will be another consultation shortly, but, if those t's are crossed and i's dotted, there is a higher probability that we will have success. People are crying out for it. People who travel from Derry, or to Dungannon, or from Derry to Belfast, are crying out to us as elected representatives and saying, "How come this project has not been delivered?". They are absolutely confused about that. It is time to get our act together in every respect and ensure that we get it delivered, primarily for the safety of all the people. The whole of the island will benefit from it.”
“<BR /> <BR />At the outset, when the project was launched, it was, primarily, seen as something that would benefit the economy of not only the north-west — Tyrone, Donegal, Fermanagh and Derry — but the North of Ireland and the Republic. However, that benefit has been surpassed entirely by the fact that it is now a safety issue. We know now that too many lives have been lost on the A5. It is time to call a halt to that and to ensure that the project — a flagship project for this institution, and one that is supported by all parties — is seen to be delivered. In that respect, we have the total support of the Minister. I want the Minister to make sure that, within her Department, all the t's are crossed and i's dotted, in every respect, to ensure that the project can be brought to fruition.”
“The stretch from Ballygawley to Dungannon was notorious, in every respect, for the number of deaths that had happened on it as a result of it being totally and absolutely inadequate to cope with the traffic that was using it. Since the dual carriageway was built, we never hear about the road from Ballygawley to Dungannon. Therein lies the answer, and we all know that that is the answer. However, people are lining up already to attempt to undermine that as a solution to the work that is needed on the A5. As my fellow MLA Mr McCrossan has done, I focus on the Alternative A5 Alliance. I seriously question its motives.”
“<BR /> <BR />Reflect for a minute, too, on the other part of the road that may not come under the umbrella of the A5 but, at one stage, was continuous with the part of the A5 that goes to Ballygawley: the road from Ballygawley to Dungannon.”
“His community has suffered greatly over the years from not just recent events but many others concerning the A5. We have already heard that 42 people have died on that road since 2006. Perhaps we can reflect on this as well: 16 of those deaths were on the part of the road from Ballygawley to Omagh. There were a further 17 deaths on the part of the road from Omagh to Strabane. I do not have the number of deaths that happened on the part of the road that I travelled on daily to Derry, but I assure the House that, on many occasions when I travelled on that road, I came on an accident. There were accidents constantly. Some involved serious injury. Unfortunately, in many cases, people had lost their lives.”
“I will reiterate much of what has already been said. Speaking on this Adjournment topic gives me no satisfaction whatever, because I can only reflect on the fact that so many accidents have happened on that road. Most recently, in December, Aaron Harkin, Peter Finnegan, Nathan Corrigan and Petey McNamee all lost their lives. They were young people who would have been looking forward to the future in every respect, but they lost their lives on that road. Father O'Dwyer, commenting at the funeral of one of those young people, said:”
“Minister, do you agree that the use of certificates is critical and that they should be accessible and as simple as possible to use? Will the roll-out of the programme be subject to review to ensure that improvements are identified and applied?”
“The first death in Britain from the new variant was announced only today. Will you agree with me that the Executive should be united around the critical health messaging and that the vocal opposition of the DUP to key Executive decisions is seriously undermining the health message and the work of our front-line health staff?”
“Go raibh maith agat, a Aire. Minister, thank you for your response and that unequivocal rejection of the British Government's self-serving legacy plan. Will you join me in commending the family of Francis Rowntree, an innocent 11-year-old boy killed by a British Army rubber bullet, after they succeeded in their civil action against the Ministry of Defence? That measure of truth and justice simply would not be possible under British Government plans.”
“Gabhaim buíochas leis an Aire as ucht a ráitis go dtí seo. Minister, too many lives have been lost on the A5 in my constituency of West Tyrone. Last week, we had another tragic accident on the A5. I offer my deepest sympathies to the immediate and wider Harkin family. What provision does the draft Budget contain for major works on the A5, which are badly needed?”
“I am sure that, for all Members of the House, there has not been a week or a day that has gone past when they have not contacted Land and Property Services. Minister, will you join me in acknowledging the incredible job that Land and Property Services has done since the start of the pandemic, given that its role has been very different from that of collecting moneys and that, in this case, it has provided support to businesses throughout the country?”
“<BR /> <BR />The Bill is a small but significant step in the reform of our budgetary process, and I look forward to a time in the near future when we have a more open and transparent process that is accessible to all. I am sure that all Members will welcome that.”
“<BR /> <BR />During Committee Stage, the Committee considered amendments that mostly sought to legislate for changes to the way in which the Estimates are produced and to increase the level of information provided in the Estimates. The reform of the Estimates is an ongoing process that is part of the review of the financial process. The Bill is a significant part of that reform, but further work needs to be done. <BR /> <BR />I thank the Minister for his commitment to look at some of the issues raised and the suggestions about how to improve the Estimates; because of that, the Committee was satisfied that no other amendments were necessary at this time. The Fiscal Council can play a vital role in the reform of the budgetary process, and I welcome its input on the matter.”
“It stipulates, however, that the Department of Finance may issue directions to that body with regard to the preparation of accounts. The amendments that the Minister has tabled are technical amendments to the Public Services Ombudsman Act 2016, which states that the Department of Finance will have the authority to issue instructions on the preparation of accounts and Supply Estimates. The amendments will therefore effectively bring NIPSO within the scope of the Financial Reporting (Departments and Public Bodies) Bill. The independence of NIPSO will not be affected in any way, and the ombudsman has agreed to the changes.”
“Ba mhaith liom buíochas a ghabháil fosta leis an Aire as a ráiteas. I thank the Minister for his statement. I welcome the opportunity to contribute to the debate, and I thank the Minister for tabling the amendments. The amendments do not change the objectives of the Bill in any way: they are purely technical. As the Minister outlined, if the Bill is passed, it will give his Department the authority to issue directions to Departments and their associated public bodies as to how they should prepare their Supply Estimates. <BR /> <BR />The provisions of the Bill will extend to other non-departmental public bodies, such as the Assembly Commission and NIPSO. The Public Services Ombudsman Act 2016 enshrines NIPSO's independence in statute.”
“Minister, have you had any engagement with Ministers in the Republic of Ireland, given the possible impact that the removal of the red diesel rebate will have on businesses operating in border regions? I think of my region in particular, in which people will potentially be faced with two different sets of regulations.”
“Gabhaim buíochas leis an Aire fosta as ucht a freagraí go dtí seo. Minister, the problem of caravan owners feeling exploited by site owners and being forced into choosing between buying expensive upgrades or being expelled from the site is a growing problem in many areas. It is not confined to the North of Ireland; it happens in the Republic as well to residents from the North of Ireland. Following the review of the Caravans Act, will you commit to raising the issue with the Economy Minister to reduce the exploitation of caravan owners by a small number of unscrupulous site owners?”
“It is time that we called a halt to that and that we made that kind of provision in our own areas, including west Tyrone, for our own people. Let it not be the case that, when it comes to providing for the most vulnerable, particularly those who are autistic and who have very special multiple needs, we once again look to export the problem rather than to address it. I call on the Health and Education Ministers and the Western Trust to look at that problem immediately.”
“A group of parents have identified very strongly what they require for those who are autistic and those with very complex needs, and they submitted an action plan to the Western Trust asking it to be involved in the negotiations of that plan to help meet those needs. The glaring omission in the western area is the greater provision of not only respite care but specialised units or facilities that will accommodate independent living for those with complex needs. <BR /> <BR />In the past, it has often been the case that, when it comes to a social problem, we have exported it to England or somewhere else or, as was the case in this instance, implied that it could be dealt with in Navan in County Meath or in Scotland.”
“<BR /> <BR />I am happy to report that, as a result of a meeting that we had with his family and the Western Trust on Friday, we have a resolution to coping with Ben's situation in the short term. However, Ben's situation has highlighted that, rather than an exception, it is more or less the rule that, in the Western Trust area, there is a lack of provision for many people who have special and complex needs. In 2013, it was estimated that one child in every 100 is autistic. It is now three in every 100, but we have not had the same threefold increase in provision or services in our area.”
“I welcome the opportunity to raise this issue because not only was the case of Ben O'Neill, whom I have represented over the last number of months, mentioned here last week but his circumstances and the plight that his family finds itself in are now public knowledge. The local press and local radio and television stations have picked up on the story of the teenager with extremely complex needs who has been offered a place in a facility in Navan in County Meath or in Scotland. The family knew that such provision was totally unacceptable. It was devastating news to the family. They knew that Ben's most immediate need was familiarity with his surroundings, his providers, his school and, in particular, his family.”
“The revaluation will take into account the economic impact of the pandemic, and the businesses that suffered worst can expect their new NAV to reflect that. We therefore have a clear choice. We can allow the Bill to pass and prevent £250 million being lost to councils and our public services while providing further rates relief and implementing Reval2023, which will support our businesses after the impact of the pandemic. Alternatively, we can do nothing and bring on ourselves a situation where we will inevitably see cuts to our councils and other public services. There is only one feasible option before us. That is why we must support the Bill.”
“If the Bill does not pass, businesses will appeal their NAVs, and up to £250 million will have to be found from our already stretched block grant or from an increase in rates for businesses and families. As I said, councils will be very hard hit by that. Some 75% of all revenue available to them is provided by rates, so, clearly, they will not be able to provide anywhere near the same level of services without a huge increase in business rates. The rates that we pay also provide public services such as health and education. Given the consensus in the House that health needs to be the priority, are we prepared to slash the health budget in order to pay for this? <BR /> <BR />The Department of Finance has already started the next revaluation, which will take effect from 2023.”
“<BR /> <BR />Although businesses would, of course, welcome any outcome that would reduce their rates burden, we must ask ourselves whether that is the best way in which to support businesses. Over the past 18 months, over £550 million has been spent in providing rates relief to businesses. That came in the form of a four-month rates holiday last year for all businesses and a two-year rates holiday for those sectors most affected by the pandemic, such as retail and hospitality. In addition, thousands of businesses benefited from LRSS and support grants during the lockdown. <BR /> <BR />We know that the pandemic is still with us. While many businesses have bounced back strongly, others have struggled and still require support. The British Government have pledged another £50 million to provide relief to those who need it.”
“They must show, however, that an event has had a direct or indirect impact on their business or on other businesses in the local area that has had an effect on the overall value of their property. <BR /> <BR />The Department sought extensive legal advice, from which it is clear that COVID-19 constitutes such an event. The problem is that COVID-19 affected almost every business to some degree. We are therefore in a situation in which almost every business will have grounds to appeal their current NAV, which came into effect last April. The result will be that LPS will be required to refund a portion of the rates paid by thousands of businesses, which could add up to a total of £250 million over a three-year period.”
“Ar dtús, ba mhaith liom buíochas a ghabháil leis an Aire as a ráitis. I thank the Minister for his statement. This is, indeed, a complex and technical policy area. It is clear, however, that there will be huge financial implications for our councils in particular if we do not proceed expediently with the Bill. <BR /> <BR />The Finance Committee was glad to receive evidence on the Bill from Land and Property Services (LPS); its presentation was clear about why the Bill is needed. The Bill intends to deal with the unintended consequences of COVID-19 restrictions on the rating system. Currently, business owners may appeal their rates if they think that their net annual value is unfair.”
“Instead, we need engagement with councils and businesses to explain what the Bill will mean for them. Businesses may rightly feel that they will need all the support that they can get after the pandemic, but we must seek solutions that will support businesses in a sustainable way, such as further rates relief and a new revaluation, which also minimise the cost to our block grant. <BR /> <BR />Finally, I remind the House that the Executive have backed the accelerated passage of the Bill. As we are still in the middle of a pandemic and attempting to get to grips with the crisis in our health system, we need to ensure that public finances remain on a sustainable footing. The plan that the Minister laid out is the only way that we can hope to support businesses and protect our public services at the same time.”
“With only a few months until the end of the mandate and an already heavy legislative workload to contend with, there would be little hope of passing the Bill before dissolution without accelerated passage. <BR /> <BR />Councils rely very heavily on rates. It is estimated that 75% of the funding available to councils comes directly from rates. If the issue remains unsolved well into the next mandate, councils may see the need to protect their funding by raising the district rate on businesses. Sorting this issue out quickly will provide certainty to councils and, in turn, businesses, which will be keen to avoid any increase in their rates at this time. <BR /> <BR />Much has been made about the lack of consultation on the Bill. Consultation should only be undertaken if it will be meaningful.”
“That means that almost every business would be within its rights to appeal its NAV and to seek a refund from LPS. As the Minister said, it is calculated that that would cost up to £255 million, which would directly affect public services, particularly those delivered by our local councils throughout the North of Ireland. <BR /> <BR />It is important to make two points. First, the British Government and other devolved regions are all dealing with exactly the same issue and are bringing forward their own versions of the Bill. It is disingenuous for some media commentary to suggest that we could have avoided the issue, given the absolute need to bring in restrictions at the time when they were brought in. Secondly, time is fast running out to deal with the issue in this mandate.”
“The current Rates Order provides criteria by which a business owner may appeal their NAV, and extensive legal opinion has advised that COVID-19 would fall within the criteria for a successful appeal.”
“In his opening remarks, the Minister outlined the urgent nature of the legislation and why he has sought to forgo the usual scrutiny process to ensure that it passes in this mandate. I agree entirely that accelerated passage is not an ideal way to pass legislation, but this is an emergency Bill that deals with an unintended consequence of the COVID-19 restrictions. <BR /> <BR />I will deal with the Bill when we come to the Second Stage later today, but it is important to remind the House of the extraordinary circumstances that preceded the Bill. The COVID-19 restrictions came into effect just three days before the current net annual value — NAV — list came into effect on 1 April 2020. We can all agree that, while the restrictions announced at that time were necessary to save lives, they were also hugely damaging to businesses.”