Spending Review: Northern Ireland Executive

I regularly meet the Northern Ireland Finance Minister to discuss funding. The Government will provide Northern Ireland with a record settlement of £19.3 billion per year on average—the largest in the history of devolution—and the Executive will also continue to receive over 24% more per person, in line with their independently assessed level of need.

Does the Secretary of State agree that record funding for Northern Ireland through the spending review reflects this Government’s broader commitment to fairer funding across the UK, including in areas like Cornwall, where rurality, seasonal pressures and historical underfunding are finally being recognised, and that many in Cornwall would welcome the opportunity to further shape our own future through a level of devolution closer to that enjoyed in Northern Ireland?

The spending review settlement does indeed reflect the Government’s commitment to providing resources right across the United Kingdom. A year ago, people were saying there was going to be a fiscal cliff edge, but the money being made available for Northern Ireland means that no one is saying that now.

Thank you for calling me, Mr Speaker—[Interruption.]

Order. There is no need to run through the Chamber, Mr Morgan—that is in very bad taste.

I apologise, Mr Speaker.

Local growth funding has provided vital investment for many communities across Northern Ireland in recent years. Will the Secretary of State confirm that the new local growth fund will give sectors across Northern Ireland the long-awaited security they need?

My hon. Friend will have noticed the funding made available for local growth. As part of the spending review, discussions on the fiscal framework will be taken forward by the Chief Secretary to the Treasury and the Department of Finance, to talk about things like the Holtham review and capital borrowing by the Northern Ireland Housing Executive.

Whether it is Stoke-on-Trent in the west midlands or the proud communities in Northern Ireland, the spending review anticipates helping to create good jobs and industrial improvement. Will the Secretary of State set out how the spending review will help to improve the industrial base in Northern Ireland?

The spending review gives the Northern Ireland Executive more funds to disperse as they see fit. It comes alongside the publication of the industrial strategy, the funds that the Government are making available and the £30 million that will come to Northern Ireland through UK Research and Innovation. There is funding available and there is great wealth, talent and potential in Northern Ireland to make the best use of it.

What assessment has the Minister made of the impact of Barnett funding on health in Northern Ireland, given that the Northern Ireland Department of Health’s financial bid falls below requested and required levels each year? It is important that we have funding for health, so will the Secretary of State outline what that will be?

The Government make funding available to the Northern Ireland Executive through the block grant. As the hon. Gentleman will know, it is for the Northern Ireland Executive to decide how they distribute the money between all the needs in Northern Ireland, including health, where of course there are significant pressures. The public services transformation funding that the last Government made available is now beginning to be used to reform some of the ways in which the health service works.

I call the shadow Secretary of State.

The spending review settlement for the Northern Ireland Office explicitly covers the Finucane inquiry, but so far the Government have refused to say how much money has been set aside for that inquiry. Will the Secretary of State please tell the House how much do the Government expect the inquiry to cost?

The Finucane inquiry is beginning its work. It will publish, as is normal, statements of the expenditure that it engages in. It depends how long the inquiry lasts and how much evidence is taken, but the hon. Gentleman can rest assured that he will receive an answer in due course, as that process unfolds.

The Government have just had a spending review, so they must know how much they intend to spend. There will be a line in the Treasury accounts set aside for the Finucane inquiry. I do not understand why the Secretary of State finds it so hard to tell the House how much we expect to spend. Similarly, the Government must know how much compensation they expect to pay Gerry Adams, following their inexplicable decision to drop the appeal that we lodged in that case. We have repeatedly pressed the Government to legislate to prevent that compensation from being paid and the Government have dragged their heels. This morning, Policy Exchange has published an excellent new report, “Legislating about Gerry Adams and Carltona”, which sets out a clear legal solution. The Government have nowhere further to hide, so will they finally do the right thing?

The hon. Gentleman needs to keep up. I answered a parliamentary question yesterday in which I made it clear that we will deal with this issue, which arises because of the application of the Carltona principle in the Supreme Court judgment of 2020, which the last Government could not sort out in two and a half years. We will deal with it in our forthcoming legislation, and I will keep the House updated.

I commend the Secretary of State for at least answering a question yesterday. Despite it being a day when the Labour Government were prepared to take money out of the pockets of the most vulnerable, they at least had the courage to stand forward and say that Gerry Adams would get none, so I thank the Secretary of State for that. I also advise him not to ignore the warnings of the Federation of Small Businesses, which in its report was explicit that the Windsor framework is fracturing the United Kingdom’s internal market. That is a cause for concern. When we were talking of the spending review two weeks ago, he was asked whether the financial transactions capital being made available to Casement Park was additional; he knows that the blue book has a flat line for the next five years, so what is the answer?

The answer to the right hon. Gentleman is that it is additional.

The Secretary of State knows that the blue book has a flat line for the next five years. Talking of economic growth, let me say he also knows that there is a commitment to an enhanced investment zone in Northern Ireland. When does he believe the businesses of Northern Ireland will benefit from that?

If the right hon. Gentleman just bears with us, I hope we can see progress on that in the not-too-distant future.

Before we come to Prime Minister’s questions, I welcome to the Gallery His Excellency Ahmad Safadi, the Speaker of the House of Representatives in Jordan, and his delegation.