Afternoon summary
Michelle Mone has condemned Rishi Sunak after he expressed concern at her admission she lied about involvement in a company that won lucrative deals during Covid, saying the government “knew about my involvement from the very beginning”. But Lord Bethell, a health minister at the time, has claimed she was not honest with him about her links to PPE Medpro. (See 5.04pm.)
Council leaders have warned that well-managed local authorities will start to go bust because today’s settlement for councils in England will not alleviate the crisis they are facing. (See 4.40pm and 5.24pm.) In a statement, Solace, which represents local authority chief executives, said:
Local authorities right across England are facing unprecedented financial pressures – and all the independent analysis makes clear that the problems are systemic, in particular due to rising demand for adults and children’s social care, special educational needs provision and housing services, all accentuated by inflation. The ever-growing number of councils issuing or warning of forthcoming s114 notices underlines the peril we face. Without a genuinely sustainable financial settlement for the sector, it won’t be long before a stream of well-managed authorities start to tip over the edge.
The bare fact is there are very few savings options left. And the cuts that councils are now making to their services in order to remain financially sustainable are only storing up trouble for years ahead – reducing quality of life for our residents in the here and now, but also leading to increasingly complex social problems that cost the public purse much more in the long run. Even worse, the chronic underfunding of our services and our areas will negatively impact our national economic prospects at a time when an upswing in productivity and growth is much needed.
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Minister tells MPs government 'not yet in position' to give details of compensation for victims of infected blood scandal
John Glen, the Cabinet Office minister, has told MPs the government is “not yet in a position” to share any final decisions on compensation for victims of the infected blood scandal.
Two weeks ago the government was defeated on a vote on an amendment to the victims and prisoners bill, saying it must set up a body to administer compensation within three months of the bill becoming law. The government has accepted the moral case for paying compensation, but had wanted to wait until the inquiry into the scandal produced its final report before setting up a scheme.
There are a number of technical issues that must be considered that would have a significant impact on public finances.
It is important any decisions on compensation funding are taken carefully and the house should expect the government to work through the associated costs to the public sector whilst at all times considering the needs of the community and the far-reaching impacts this scandal has had on their lives.
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