Commons briefing: Business statement

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ePolitix.com reports on Thursday's business statement by Commons leader Harriet Harman.

Shadow Commons leader Alan Duncan today claimed that further education colleges are being "bankrupted" by alleged mismanagement of funds by the Learning and Skills Council.

Duncan suggested the government should accept some responsibility, referring to the minister for further education as "the minister requiring further education".

But leader of Commons Harriet Harman attacked the Tories, stating that the capital budget under the Conservatives was "nought pounds".

"Since then we have invested massively in further education and rightly so," she told MPs in the chamber for the business statement.

She confirmed that capital investment in 261 colleges will go ahead as planned.

And an inquiry under Sir Andrew Foster was looking into the issue of further education construction funding.

Turning to finance issues, Duncan quoted the public administration committee's report into Equitable Life policyholders which claimed that "the government has denied them justice".

Duncan stated that the government response to the parliamentary ombudsman was a "truly scandalous state of affairs" and called on the government to take action.

Harman replied that chief secretary to the Treasury Yvette Cooper has stated that the failings are "rooted in original mismanagement and compounded by regulatory failure which she has apologised for".

The minister said that although there was no legal obligation to do so, the government was willing to consider payments.

Duncan also blasted NHS chief executives for not responding personally to MPs letters.

He said when MPs write to a CEO of a NHS trust, it should be expected that they will respond to the politician personally.

Harman responded that the health minister was looking into ensuring letters from MPs would require a personal attention and personal response.

She stated that she did not expect letters from MPs to be dealt with the same way as letters from the public.

Duncan also attacked the solicitor general for stating that there would soon be "green shoots" of recovery.

He stated: "It was the most crass statement that any politician could have made."

But Harman said the government was concerned for every single person who loses their job, "whether they be in the banking industry, the car industry or a part-time worker".

And Duncan also called on the prime minister to make a statement on his visit to the US, saying that the "DVDs given by Obama, much like the PM, do not work in the UK".

On other issues, he described the protestors outside Parliament as a "rotting encampment" and criticised the creation of "dysfunctional" regional select committees.

But Harman maintained that regional select committees are important for examining agencies working at regional level investing millions of pounds.

Conservative members "should be bothered to hold them to account", she said, praising Labour members for "getting on with the job".

Mark Lazarowicz (Lab, Edinburgh North and Leith) said that ex-Royal Bank of Scotland chairman Sir Fred Goodwin wanted to join the board of BP. He criticised the "magic circle" of directors of companies that allowed them to move between big business' boards.

But Harman said that remuneration and corporate governance was part of the Turner review.

She added it would be the subject of national government action, while the G20 summit would seek "good national regulation reinforced in good international regulation".

For the Liberal Democrats, David Heath (Lib Dem, Somerton and Frome) accused the prime minister of not being in the real world about his economic recovery plan.

He told the Commons: "We must bring the prime minister into the real world loop. He is giving orders and they are not being carried out."

Heath also commented on further education colleges, saying, "Colleges up and down the country are having the capital schemes closing."

And he confirmed that if the government decided to raise tuition fees for universities, the Liberal Democrats would "oppose that bitterly".

Rob Marris (Lab, Wolverhampton South West) said that it was not good enough to just have health questions on the Stafford General Hospital care failures. He described the preliminary reports on the hospital as "shocking" and urged a debate in government time.

Harman said Marris could direct further questions to the health secretary.

Clive Efford (Lab, Eltham) called for a regional committee for London. "London MPs want a voice on London issues and an opportunity to scrutinise the mayor," he said.

Harman agreed to look into it, but warned that the different constitutional arrangement for London meant the proposals had to be studied carefully.

But Sir Patrick Cormack (Con, South Staffordshire) branded the regional select committees a "total travesty". He called for them to be abandoned and suggested the re-instatement of regional grand committees.

Harman said the House had voted for them, and they would be reviewed at end of the Parliamentary session.

Evan Harris (Lib Dem, Oxford West and Abingdon) expressed his pleasure that the Coroners and Justice Bill would have two days of debate. But he said there should be adequate consultation so that the days are used effectively to scrutinise all parts of the Bill.

Harman said that justice secretary Jack Straw had insisted on two days of debate.