Options for an English Parliament: policy powers and financial arrangements

Ongoing Constitution Unit research is exploring options for an English Parliament. Two of the most fundamental questions concern what policy powers such a body would have and financial arrangements. Jack Sheldon suggests that an English Parliament would be likely to have policy and fiscal powers resembling those of the Scottish Parliament, and that a new funding formula would be required to cover the costs of devolved services. These developments would have major implications not only for England but also for the other parts of the UK.

Since last autumn Professor Meg Russell and I have been working on a research project exploring the options for an English Parliament. Although there have been various calls over the last 20 years to establish such a body, how might it actually work in practice? Two of the most fundamental questions, which have major implications for other aspects of institutional design, concern what policy powers an English Parliament would have and what kind of financial arrangements would be possible. This blog post focuses on these questions.

What English Parliament supporters have said

English Parliament supporters emphasise restoring equality among the UK’s nations, in light of what they see as the unfairness of present devolution arrangements. It is thus unsurprising that they have often set the powers of the Scottish Parliament as a benchmark. The Campaign for an English Parliament (CEP) state prominently on their website that they campaign for an institution ‘with powers at least as great as those of Scotland’. This demand has been echoed by MPs who are in favour, including David Davis, Frank Field and John Redwood. In the aftermath of the Scottish independence referendum Redwood wrote that ‘As we seek to put into legislation what Gordon Brown called Home Rule for Scotland we must do the same for England’.

To the extent that they have addressed finance, advocates of an English Parliament have focused on criticism of the Barnett Formula, which provides more generous per capita government spending in Scotland than in England. Eddie Bone of the CEP has linked the continued use of the formula to ‘closures of A&E departments and council services across England’. Frank Field has likewise been highly critical of the formula, saying that ‘it is totally unacceptable that the poor in [his] constituency should be less well supported than the poor in Scottish constituencies’. Proponents have said less about what sort of financial arrangements they envisage following an English Parliament’s establishment.

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A new approach to deadlock in Northern Ireland

After Northern Ireland’s political parties missed the latest deadline for reaching an agreement to restore devolved government, the current Assembly crisis is now the longest for over a decade. In this post Brian Walker suggests a new approach that might help to break the deadlock.

Standing back, it’s easy enough to see why the latest Assembly crisis is the longest and most intractable for over a decade. Unusually in recent times and in sharp contrast to the heady days of the Good Friday Agreement (GFA), this breakdown is set against a background of momentous upheaval which, typically, the local politicians have rushed to exploit for their own causes. For the DUP, Brexit revives the prospect of a physical border which in whatever final form confirms the fact of the Union. For Sinn Féin the prospect of Northern Ireland remaining in the EU as part of a united Ireland opens up a new route to the elusive old destination. Both parties now enjoy uncertain leverage in the two parliaments of their allegiance where minority governments uncertainly rule.

If Sinn Féin’s narrative of a people’s surge of rebellion against DUP intransigence is not entirely convincing, it cannot be denied that events outside have given fresh impetus to the struggle for Northern Ireland’s constitutional future. Internally, the frustrations of power sharing by which the winning parties are always denied the fruits of clear victory might otherwise have been contained, had it not been for a remarkable coincidence of the green energy fiasco and the fatal illness of Martin McGuinness. For Sinn Féin the chance of exploring whether Assembly elections could become one more useful stage in an unending series of mini-referendums to create momentum for a border poll was too good to miss. In the short run the tactic has not delivered, but the contest may become all the keener with the impending emergence of a Catholic voting majority. All election victories look like becoming marginal from now on and the prospect of a well functioning Assembly all the more uncertain. Or so it appears at the moment. As recently as May last year it all looked rather different.

The shortcomings of the UK government

Faced with the collapse of the Assembly, the British government’s attitude  was curiously passive until almost the last minute, compared to the close engagement of earlier years when in a high pressure environment prime ministers presided, ears were constantly bent and many draft proposals circulated. Even after making due allowance for mediation fatigue, this looks like a fundamental error, though whether out of calculation or incompetence is unclear. It is not enough to claim – rightly – that the government have bigger things to worry about: they usually do. For under the guise of respecting devolution (interestingly also the reason given for denying Northern Irish women abortions on the NHS in England and now overthrown), a Conservative pattern of relative disengagement since 2010 has weakened the British government’s authority and exposed a loss of touch. Secretary of State James Brokenshire’s impartiality was compromised from the moment he complained about legal action against ex-soldiers in January. He appeared to care more about the Tory cause of shielding them from possible prosecution than his essential role as a minister.

As an organising principle for the talks, the split between devolved and non- devolved matters, with the former chaired by the apolitical figure of the head of the civil service, was a pointless distinction.  While insisting on the sovereign power’s prerogatives, Brokenshire exercised them very little. The present government’s line on Brexit already placed them on the opposite side from nationalists in Scotland and Northern Ireland whose ultimate aim is to dismantle ‘the precious, precious Union’ they are pledged to defend. Might that have been a reason for letting the locals get on with it? The Secretary of State’s role as the judge of a majority in favour of a border poll is  therefore unlikely to survive unchallenged.

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Following Monday’s deadline, the future of devolved government in Northern Ireland remains uncertain

The legal deadline for forming a new Northern Ireland Executive has passed without agreement between the parties. This could have important political and legal consequences, including the return of ‘direct rule’. For the time being, however, the Secretary of State for Northern Ireland has decided to give the negotiations more time. In this addendum to his earlier blog post, published on Monday before the UK government’s statement, Alan Whysall discusses what might happen over the coming weeks.

Monday’s deadline for forming a new Executive in Northern Ireland passed without an agreement. The Secretary of State for Northern Ireland spoke afterwards, and again in parliament on Tuesday. As predicted, he decided to give the negotiation process more time, until after the Easter recess (the Commons returns on 18 April). He will then ‘as a minimum’ bring forward a Westminster bill to regularise finances (see below). The bill would also allow an Executive to be formed, if political agreement emerges. But otherwise, the government would have to ‘consider all options’. Since he made it clear further elections were unappealing, this appears to mean direct rule, though he deplored the prospect.

In most such political deadlocks worldwide, there is at least a caretaker government of some sort: but not in Northern Ireland. No–one is at present empowered to give direction to the Northern Ireland civil service. The Head of the Service set out the nature of that uncomfortable position in a letter to staff. There would be business as usual, but no new initiatives, whose legal legitimacy must be doubtful. Such an arrangement clearly cannot go on for long, and unexpected events could cause real difficulty.

And there will be great budgetary prudence. In the absence of a budget voted by the Assembly, the Finance Permanent Secretary has powers to release certain limited funds, but no more than 95 per cent in cash terms of last year’s budget; moreover, there is no authority at present to raise the principal local tax, the rates (a property tax analogous to Council Tax).

Where do the talks now go? The process to date, and the British government’s role in it, has been criticised for incoherence and lack of inclusivity; for the absence of the Prime Minister; and for lack of full partnership between the two governments. And various participants (not just nationalist) have suggested the British government cannot be an impartial chair, especially in the light of Brexit. Continue reading

Following the break down of talks in Northern Ireland, what now?

Northern Ireland’s political parties have failed to reach an agreement that would allow a new power-sharing Executive to be formed by today’s deadline. This will have important legal and political consequences, possibly including the re-introduction of ‘direct rule’ from Westminster. These issues are looked at here by Alan Whysall.

Political negotiations have been going on since the election of 2 March, which was brought about by the decision in January of Martin McGuinness of Sinn Féin (who has since died) to resign as deputy First Minister. Yesterday, however, Sinn Féin said that the talks process had ‘run its course‘, and they would not be making nominations to Executive offices today. They did not say where the political process might go from here, but professed commitment to the devolved institutions returning.

Sinn Féin have significant grievances that they say must be resolved before a new Executive is formed. They have an effective veto on that happening since, as the largest nationalist party, they must nominate the deputy First Minister. Among their demands has been that the leader of the DUP, Arlene Foster, should not become First Minister until the report of an inquiry into the Renewable Heat Incentive affair that was the ostensible trigger for the election, potentially a year away. That condition would be very hard for the DUP to meet. Latterly, though, they have given precedence to their demands of the British government in relation to what they assert are ‘existing commitments’ as to ‘rights’ of various sorts.

Some may question whether Sinn Féin want to be in devolved government at all at the moment. There is a range of grievances that their base genuinely feel. But in large measure, this may be on account of Brexit. Brexit is the first development since 1998 with a significant effect on the operation of the Good Friday Agreement which was not agreed by both sides of the community in Northern Ireland. It would be extremely uncomfortable for Sinn Féin to be in government, carrying out British rule in Ireland, as hard-line Republicans would put it, while Brexit was being implemented, potentially including barriers of whatever sort (and anything will be an irritant politically) being introduced at the land border within the island.

Northern Ireland views on Brexit appear to have had no impact on the approach in London. A political stand-off against the British government might gain more traction. It may also play well for Sinn Féin politically north and south of the border. But renouncing a role in government in Northern Ireland in favour of British ministers, for an uncertain but perhaps protracted period, is not attractive for them either.

At all events, by today, the main parties in the Assembly elected on 2 March ought by law to have nominated a First and deputy First Minister. They are also scheduled to fill the other ministerial posts in the Executive, and the Assembly Speakership. The Assembly was due to meet at 12 noon for the purpose, and the legal shutters are deemed to come down at 4pm. If the parties do not appoint the FM and DFM by that time their powers disappear and the Secretary of State comes under an obligation to set a date for another Assembly election. There is legal authority that he does not have to do so immediately however, and there is speculation that he might hold off for a while, seeking to reinstate negotiations. He appears likely to make a statement in the Commons tomorrow.

Like his predecessors in similar situations, the Secretary of State has been playing up the prospect of a further election as a threat. In fact that might rather appeal to both of the two big parties, who might hope to pick up seats from smaller ones. But there is no sign that an election would do anything to facilitate political agreement. The arithmetic would not change radically. The campaign would probably intensify the reversion of the political debate in Northern Ireland to the old unionist-nationalist, them and us, stand-off, and away from the era of working together which Martin McGuinness personified.

If there are no Executive appointments, and no elections, some Westminster primary legislation will be needed after today. That might be to permit the selection of an FM and DFM, if there is a late breakthrough; or give more time for negotiation if the prospects radically change. And in those contexts there might be powers to fix aspects of Executive business in the short term, since there are no ministers at present, nor any budget for the new financial year.

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A watershed is reached in Northern Ireland

Last week’s snap election in Northern Ireland saw the DUP’s lead over Sinn Féin reduced to a single seat and an Assembly without a unionist majority returned for the first time in the institution’s history. Brian Walker digests the result and considers what might happen next.

Gerry Adams was justified in declaring that the perpetual unionist majority since 1921 was ‘demolished’ in Northern Ireland’s snap election on 2 March. Only 40 seats in an Assembly of 90 members went to the two unionist-designated parties, with Sinn Féin’s 27 seats coming within a whisker of the DUP’s 28. The long-term demographic trend towards a nationalist majority in the province was at last translated into Assembly seats. Turnout, at 65 per cent, was 10 per cent up on May last year, the crucial differential turnout favouring nationalists in particular – the Sinn Féin vote was up by 57,000 compared with 23,000 for the DUP. Fairly small increases in percentage share of the vote – four per cent for nationalists, two per cent for unionists – made crucial differences accentuated by the reduction of seat numbers in the Assembly from 108 to 90. Of 16 lost in an Assembly of ten fewer seats, ten were unionists. Undoubtedly, nationalism has recovered momentum. A chance transfer of only a handful of votes could result in a Sinn Féin First Minister next time and seal the transformation.

Sinn Féin’s success should not be exaggerated. All nationalism’s 40 per cent share is well short of what is necessary for calling the border poll which is likely in time to become a Sinn Féin demand. Nationalist voters may have been keener to punish Arlene Foster and the DUP for arrogance than advance the cause of Irish unity. In any hypothetical straight vote in the Assembly  to test support for Irish unity, the pro-union side could muster around 50 votes to nationalism’s 40. There were other successes. The non- sectarian Alliance party held its 8 seats. The first call for cross community voting, controversially made by the Ulster Unionist leader Mike Nesbitt, ironically helped  save all 12 seats for the minority nationalist SDLP, although  at the cost of losing six of their own 16 seats and Nesbitt’s resignation. Nevertheless the score for centre parties could count in simple majority votes in an Assembly so finely balanced between the DUP and Sinn Féin.

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Northern Ireland: where now?

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The Secretary of State for Northern Ireland has called a fresh Assembly election for March 2, following the spectacular and unexpected collapse of the devolved Executive. The campaign seems likely to be divisive. Reviving devolved partnership government at the end, in a sustainable form, will be difficult, argues Alan Whysall, but is still the only way forward.

The deputy First Minister of Northern Ireland Martin McGuinness resigned last Monday, following the refusal of the First Minister, Arlene Foster, to step down pending investigation of her role several years ago, when Minister for Enterprise, in establishing the Renewable Heat Incentive scheme. The scheme (described in detail in Foster’s statement to the Assembly) was based on one in Great Britain with similar objectives, of encouraging burning of renewable fuels over traditional ones. But unlike that scheme, it provided for a subsidy that turned out to be greater than the market price of the fuel – so the more you burned, the more you earned – and did not taper with increasing use, nor reduce in rate if overall demand increased. The Northern Ireland system is left committed to making payments above its budget that may amount to £500 million over 20 years.

Everyone acknowledges that there have been, as the Audit Office concluded, ‘serious systemic failings’. But this is the latest of a string of affairs, involving DUP ministers as well as others, where rumours abound, though with no real evidence so far, of more serious malpractice. Foster’s DUP successor as Enterprise Minister fanned the flames in a TV interview: following prayers for divine support in telling the truth, offered on camera and with the assistance of a clergyman, he alleged that when the extent of the problems with the scheme emerged advisers to Foster, then Finance Minister, and to Peter Robinson, then First Minister, had sought to delay its closure.

Parts of the media have pursued this story energetically. The parties that had chosen to go into opposition in this Assembly following the May 2016 elections called loudly for Foster’s ejection from office, at least pending an enquiry. Sinn Féin, elected with the DUP on the Fresh Start agenda and pursuing a tacit non-aggression pact, were at first more measured. But as the clamour grew and the story developed, amid suggestions that they were DUP patsies, they asked that she should step aside pending inquiry. She declined.

The DFM’s resignation letter, however, lays out many other grievances bottled up in private by Sinn Féin over the preceding months. They have made clear that resumed devolved government depends on resolving them.

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Things flying apart? Analysing the results of the devolved elections

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On 25 May the Constitution Unit invited three electoral experts to give their analysis on the results of the recent devolved elections in Scotland, Wales and Northern Ireland. In this post Artur Foguet Gonzalez summarises their key insights.

 The fifth round of elections to the devolved parliaments and assemblies in Scotland, Wales and Northern Ireland took place on 5 May. On 25 May the Constitution Unit hosted three electoral experts ­– Professors Ailsa Henderson, Roger Scully and Cathy Gormley-Heenan – to digest the results. This post summarises the key points that were raised by the speakers.

Scotland: Professor Ailsa Henderson, University of Glasgow

Scotland awoke the morning after the election to two significant results: the Scottish National Party (SNP) was still the largest party in Holyrood but no longer held a majority, whilst Labour’s decline continued as it fell behind the Conservatives to become the third largest party in Scotland. Ailsa Henderson used her data from the Scottish Election Study (SES) to explain these results.

For the SNP three factors explain their continued popularity: the constitution, valence and leadership. Though the data shows that the constitution is not top of voters’ agenda, it also shows that voters are very unlikely to back a party that does not share their view on independence, so whilst the constitution may not be driving voter choice, it is a constraining factor. The SNP was the only party likely to collect votes from those who had supported independence in the 2014 referendum, whilst No voters were split between multiple parties. On valence, when voters were asked which party they trusted most on particular issues the SNP came top, not only on ‘standing up for Scotland’ but on every single issue. Nicola Sturgeon, meanwhile, remains an extremely popular figure.

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