Carillion and Public Sector Outsourcing

Alex Chalk Excerpts

Wednesday 24th January 2018 Commons Chamber

[Alex Chalk (Cheltenham) (Con)]

In the time available to me, I want to say a few words about a business in my constituency—a subcontractor that has been dealt a hammer blow by Carillion’s collapse—and to make three points. First, I will identify the human impact, which is perhaps taken as read but bears repetition. Secondly, I want to shine a light on the fact that the collapse has exposed market abuse by the big players against small businesses, which we need to look at. Thirdly, there is the potential to recover the situation, so I want this to be a constructive contribution.

My constituent Josh Lee is the director of Larc Construction and his business partner is James Crisp. Both of them are former soldiers and saw action in Afghanistan—in the Parachute Regiment and the Royal Anglian Regiment respectively. One of them was blown up for his troubles but, happily, he recovered. Larc Construction, which is a small contractor, won a contract with Carillion in July 2017 to provide service trenching and ducting at the Midland Metropolitan hospital in Birmingham. As one of the smallest contractors—here is the rub—making its way in the construction world and seeking to establish its reputation with a new client, it did everything that could reasonably be expected of it. It completed its work on time and to a high standard and helped out with additional jobs on site and so on. What is more, to establish its credentials further, it agreed to Carillion’s request to delay the drawdown of its monthly invoice payments for 120 days, because Carillion wanted it to do that to prove that it was creditworthy. The irony is overwhelming.

The upshot is that Larc Construction has been paid for its work to the end of October, but is now owed £200,000. That is not profit; it needs that money to settle its own invoices. If it does not receive a significant proportion of the money by the end of the month, there is every chance it will have to fold, putting colleagues, some of whom are former comrades, out of work. To make matters worse, Larc is in a Kafkaesque situation whereby its plant and machinery, which is costing £1,500 a week to rent, is currently impounded on the site. It cannot get it back so is unable to return it to the hirer to at least defray some of the ongoing costs.

If Mr Lee and Mr Crisp can somehow get through this month and pay their bills, they will survive. It may be that they will have to forgo every last penny of profit from the first half of their contract, but if they can get into a position to be able to continue with the second half—I am delighted that the Government have indicated that they want people to be able to do that—they will at least remain in business. They may end up doing the whole project at cost, but at least they will be able leave the site this year in charge of a going concern and with an enhanced reputation as a contractor that has completed a professional job in difficult circumstances.

Mr Lee and Mr Crisp are not the moaning type, and they are not interested in retribution. They just want a bit of help to be able to carry on trading. I will be grateful if the Minister indicates what support could be provided, and I am grateful to those Ministers who have taken calls on Saturdays to help me with this problem.

European Council

Alex Chalk Excerpts

Monday 18th December 2017 Commons Chamber

[The Prime Minister]

There are many occasions in this House when Members on the hon. Lady’s Benches, and indeed sometimes on my Benches, stand up and promote the primacy of this House and of Parliament. As Members of Parliament, obviously, we have a responsibility to be here in this House, although my hon. Friend the Minister balanced the requirements of being able both to represent the United Kingdom and to be present in this House.

[Alex Chalk (Cheltenham) (Con)]

This weekend, I met representatives of the Romanian community in Cheltenham. On their behalf, may I thank the Prime Minister for her determination to secure an agreement on the rights of EU and British nationals, which has provided enormous reassurance? Does she agree that this shows, first, what can be done and, secondly, that whatever deal is struck, our values of respect and tolerance for foreign nationals in our country will endure?

[The Prime Minister]

I am very happy to agree with my hon. Friend, particularly on that final point. What we have seen over the phase 1 negotiations is that, with commitment and perseverance on both sides, we can achieve agreement. That should give reassurance to EU citizens living here and indeed to UK citizens in the EU 27. As we move forward, we will indeed continue to abide by our values, particularly our values of tolerance and respect.

Oral Answers to Questions

Alex Chalk Excerpts

Wednesday 6th December 2017 Commons Chamber

[Mr Speaker]

Order. I just politely observe that the Front-Bench exchanges have absorbed a disproportionately large share of the time, but I am determined to accommodate Back Benchers who are waiting to ask their questions.

[Alex Chalk (Cheltenham) (Con)]

Q9. The bottle- neck on the A417 continues to cause dreadful accidents, as well as traffic misery in Gloucestershire. Following the leadership of my right hon. Friend the Secretary of State for Transport and with the support of Members from Gloucestershire, the vital consultation stage on the shortlisted improvement proposals will begin shortly. Does my right hon. Friend the Prime Minister back the scheme, and does she agree that by committing hundreds of millions of pounds to this crucial project, the Government are backing the Gloucestershire economy?

[The Prime Minister]

I know that my hon. Friend has been working tirelessly on this issue. I understand the concerns and frustrations of drivers in his constituency and elsewhere about this vital strategic road, which is vital for not only Gloucestershire but the wider region. I am happy to assure him that we are backing the development of the multimillion-pound Air Balloon roundabout scheme, which was announced in 2014. A consultation will begin shortly, so that we can develop the right solution to tackle this pinch-point and continue our support, which, as my hon. Friend said, is good for the whole of Gloucestershire’s economy.

Oral Answers to Questions

Alex Chalk Excerpts

Wednesday 29th November 2017 Commons Chamber

[Damian Green]

I see the right hon. Lady has recovered her voice. I will tell her what we are doing. Last year we delivered more homes than were delivered in all but one of the last 30 years—217,000, which takes us to 1.1 million since 2010. Over the next five years we will invest £44 billion in home building, boosting the funding for council, social and low-cost housing to over £9 billion. We are building more social housing than the Labour Government did in their 13 years in office. We will build even more in the future. This is a Government who are addressing the problems of the constituents of the hon. Member for Ilford North (Wes Streeting); previous Labour Governments signally failed to do so.

[Alex Chalk (Cheltenham) (Con)]

At the recent extremely successful Cheltenham literature festival, Hillary Clinton talked about the importance of ensuring that the Russians are not allowed to meddle in British or, indeed, American elections. Does my right hon. Friend agree that we should be building an offensive cyber capability so that our opponents know we have the will and the wherewithal to strike back?

[Damian Green]

My hon. Friend is exactly right, as we would expect, given that he is the Member of Parliament who represents GCHQ; he is absolutely right about the offensive capacity we may well need in the cyber area, and I am happy to assure him and the House that we are indeed developing that.

UK Plans for Leaving the EU

Alex Chalk Excerpts

Monday 9th October 2017 Commons Chamber

[The Prime Minister]

It is right that people will be able to come to live and work in the United Kingdom, but those coming from the European Union after the point at which we have left the European Union will be required to register. This is part of the building block to the new immigration rules that will be in place at the end of the implementation period.

[Alex Chalk (Cheltenham) (Con)]

Constituents of mine at GCHQ play an expert and invaluable role in the defence of this nation and the continent of Europe. Does the Prime Minister agree that the unconditional guarantee of ongoing intelligence co-operation is a constructive step that should help to pave the way to early trade talks?

[The Prime Minister]

I would hope that the European Union would recognise the benefit of our security relationship and the relationship we have on matters of counter-terrorism, as well as on law enforcement and criminal justice more widely. That relationship is in both our interests, and I hope the EU recognises its importance.

Grenfell Tower Fire Inquiry

Alex Chalk Excerpts

Wednesday 12th July 2017 Commons Chamber

[Alex Chalk (Cheltenham) (Con)]

May I begin by congratulating the hon. Member for Lewisham West and Penge (Ellie Reeves) on such a powerful and articulate maiden speech? It is clear that she will be a forceful and effective advocate for her constituents. Her sister, the hon. Member for Leeds West (Rachel Reeves), who is sitting behind her, her parents, who are sitting in the Public Gallery, and her constituents, who are watching on TV, can all be proud.

I will say a few words about the public inquiry into this dreadful tragedy. At the risk of stating the obvious, it is of course vital that the inquiry is carried out with absolute impartiality and without fear or favour, and is motivated by a dogged determination to get to the truth, wherever it may lie and however convenient or inconvenient it may be. It is precisely because of those fundamental principles that I think Sir Martin Moore-Bick is the right man for the job, notwithstanding comments that have been made.

Let me be clear: I do not know Sir Martin from Adam. I have never met him, but I know the Court of Appeal, where he served with great distinction, and I have appeared there as an advocate on more occasions than I care to remember, and I can say with my hand on my heart that it is a jewel of the British constitution. In that body reside some of the most brilliant brains to be found anywhere in our country, and perhaps more importantly, that academic distinction is allied with absolute and ferocious independence. I am sorry to say that I have lost there far more times than I have won, but the most powerful tribute that I can pay to the Court of Appeal is that I have always left it understanding the judges’ reasons and acknowledging the consummate fairness and integrity that they have brought to the process.

That is why I want to address a troubling insinuation that may be being made: that as an educated man with a title, Sir Martin is somehow ineligible for this job. Let me be clear that in our system of law, no one gets to his position by being nice to the Government. They get to it, more often than not, by being a nuisance—by holding the Government back when they overreach themselves, and by holding them fiercely to account—because the legal culture in this country is that the greatest accolade that can be paid to a judge is that he or she is fair. The Court of Appeal has that in spades; Sir Martin has that in spades. We owe it to the victims to let him get on with the job.

Grenfell Tower

Alex Chalk Excerpts

Thursday 22nd June 2017 Commons Chamber

[Alex Chalk (Cheltenham) (Con)]

The families of the victims are entitled to the truth—not speculation or conjecture, but the truth, based on evidence—so my right hon. Friend was absolutely right to set up the public inquiry, but can we ensure that an early date is agreed for publication of an interim report? In this case, perhaps more than any other, justice delayed is justice denied.

[The Prime Minister]

I would hope and expect that the judge, when appointed—obviously, that individual will be independent—will indicate publicly when they expect to be able to publish an interim report, so that people can have that confidence.

Debate on the Address

Alex Chalk Excerpts

Wednesday 21st June 2017 Commons Chamber

[Nigel Dodds]

That is a very important point. One thing that has been very welcome in recent years is the strong security and working relationship between the Garda Síochána in the Irish Republic and the Police Service of Northern Ireland. That co-operation is very strong, and it will continue. Indeed, the PSNI Chief Constable recently made some remarks about how it would continue once we had left the European Union. Again, a pragmatic, sensible solution will be found to allow jurisdictional and other issues to proceed.

In meeting the challenge of Brexit, how much stronger Northern Ireland would be if we were able to get the Northern Ireland Executive up and running as quickly as possible. If we cannot restore the Executive, we will ensure in the House of Commons, working closely with Ministers, that Northern Ireland’s voice is heard and our interests are protected. What we want is the return of an inclusive Government with everyone involved in drawing up what should happen, together. That makes sense. That is the positive, sensible way forward. It makes no sense for people to say, “We are not going to take our seats at Westminster; we have brought down the Executive, and we are not going to get it up and running again”, and then to complain about what is happening. That is simply not logical.

At a time of unprecedented change and challenge, it is vital for Northern Ireland to have an Assembly and Executive that work properly. We did not collapse the Executive, and we did not walk out of the Assembly. We could have done so last year, when Sinn Féin and the IRA were associated with the murder of a man in the Markets area in Belfast. The Ulster Unionists walked out, but we did not. We stuck in there. We worked together to try to continue to make the devolved institutions work.

We want to make sure that the Assembly is up and running, and we have set no red lines or preconditions. We believe that the challenges of Brexit—the issues of health, education, the delivery of public services and the economy—are far more important than the issues that divide us. They are the people’s priorities, and they should be the politicians’ priorities as well.

The economic outlook for Northern Ireland would, of course, be much easier to predict if there were stable government in Belfast, and that doubtless applies here as well. The electorate sent politicians a very clear message about austerity, and since the election it has become clear that they must listen to what the people have said. I must say that I was very taken with the election slogan adopted by the right hon. Member for Wokingham: “Prosperity, not austerity”, and I was glad to hear from the Chancellor at the weekend that he was not deaf to what had been said. For our part, we will again work with the Government over this Parliament to ensure that we deliver prosperity, that we deliver greater spending on health and education, and that we see an end to the dark tunnel of austerity.

[Alex Chalk (Cheltenham) (Con)]

Will the right hon. Gentleman give way?

[Nigel Dodds]

I am about to end my speech, and I know that others want to speak.

We are about strengthening the Union, delivering Brexit, defending our country from threats of terrorism at home and abroad, creating prosperity, and ensuring that Northern Ireland continues to move forward. It is in the furtherance of those objectives that we will act and vote in this Parliament over the next five years.

--- Later in debate ---

[Alex Chalk]

Has my right hon. Friend had the experience I have had in my constituency of speaking to doctors and other medical professionals and hearing that they are crying out for a cross-party approach that will take the political heat out of these matters, which affect their lives and their patients’ lives? They want to see the politics taken out of something that is so very important for our society.

[Mr Mitchell]

My hon. Friend is making, with great eloquence, the point I am trying to make: we need to have a national debate. We cannot continue with this sticking plaster approach on all these matters.

Let me conclude my remarks, so that others can get in, by ending on a consensual note. It would be churlish of this House not to recognise the effective election campaign waged by the Leader of the Opposition, with whom I have had many dealings during our long period together in this House. The whole House will want to pay a special tribute to him in this respect: we salute his extraordinary qualities of mercy and forgiveness as those in his party who have bad-mouthed him in public and in private over the two years since he became leader now flock back to his standard and slink back into his shadow Administration.

This is a good Queen’s Speech and I look forward to supporting it in the Lobby.

--- Later in debate ---

[Heidi Alexander]

I agree with my right hon. Friend. The fact that some people will not sleep easily in their beds tonight is proof that the Government have failed.

[Alex Chalk]

I commend the hon. Lady on rightly pointing out the enormity of the tragedy, but does she agree that it does no service to the victims or their families to seek to politicise this before we even know the cause of this dreadful fire? We have to take the process in stages: find out the cause and then take the necessary action. To politicise this in advance serves no one and does not serve justice.

[Heidi Alexander]

I do not believe that I am politicising this. I am expressing the views of a significant number of my constituents and people who live in London.

On the day on which the election was called, I was stopped by a constituent at Lewisham station. He simply said to me, “We have to stop the damage Theresa May is doing to our country.” I put that statement on every one of my election leaflets. His concern was about Brexit, about his job in central London, and about his ability in the future to pay for his home and look after his kids. The repeal Bill that was formally announced in the Queen’s Speech will not make him feel better, although it is lauded by some as a positive thing. It will incorporate EU law into our domestic law so that we can decide at a later date which bits we keep and which we do not. That is okay as far as it goes, but there could be a massive sting in the tail.

The process might, for example, include repealing the European Economic Area Act 1993, which underpins our place in the single market. I see no circumstances in which I could vote for us to leave the single market. The Prime Minister might want us to think that the EU and the single market are the same thing, but they are not—the lie has to be nailed. I want to stay in the EU, but if Parliament is engaged in a damage limitation exercise, we must stay in the single market and in the customs union. I am not prepared to risk the queue of lorries at Dover and the queue of people outside Lewisham job centre that is associated with the alternatives.

The UK should be a country in which businesses want to invest, not a country that businesses want to leave. We need to maintain the ease with which British businesses trade with their European counterparts and sell to European consumers. We have seen the list of companies setting up operations overseas and considering their next move. In London, firms such as Deutsche Bank, Goldman Sachs and Lloyds of London are moving jobs to France and Germany. Yes, those are City firms, but we should also think of all the other jobs linked to our capital’s status as one of the world’s financial centres: in retail, hospitality and events management; and those of the couriers, cleaners and caterers who are up at the crack of dawn and sit on buses running through my constituency to keep this incredible city running.

Services account for nearly 80% of our economy. The single market is essential if we are to continue to trade freely and easily. If we do not put the economy first in Brexit talks, we will crucify our public finances, and we can then kiss goodbye to the extra investment needed in our schools, hospitals and elderly care. These are political choices. Do we prioritise the economy or controls on immigration in the Brexit negotiations? I choose the economy. We will have an immigration Bill at some point in the next two years, but we have no idea what will be in it. We have a two-year Session because the Government cannot draft an immigration Bill, a customs Bill or a trade Bill until negotiations have advanced and they know what to put in them.

In the meantime we tread water. As a country, we control immigration from countries that represent 90% of the world’s population. We have the more relaxed system of freedom of movement for the 10% who live in the countries closest to us, which by and large enjoy a standard of living that is either comparable to or approaching our own, but even within that more relaxed system, we could have had—and could still have—greater controls within the overall framework: the need to have a job, for example, or to be self-sustaining after three months of being here. We have the laxest approach to freedom of movement. We have chosen not to place conditions on people coming here, but then blamed the EU for our own failure to enforce conditions that could be part of the system.

We now have a revolt against that and all that it entails. The truth is that we already see people not wanting to come here. They do not feel welcome and the value of their earnings has dropped because of the devalued pound. Our hospital wards, care homes, building sites, farms and restaurants will be left scrabbling around for staff while the Government work out what on earth to do. We need immigration in this country. In 1949, the year my mother was born, more than 730,000 babies were born. Average life expectancy stood at 68. Fast forward to 1975, the year of my birth, and the number of babies born was down to just over 600,000. Nearly 30% of births today are to non-UK-born mothers and average life expectancy stands at 81. Our workforce of tomorrow—the people who will start businesses, work in public services and pay taxes—is partly dependent on immigration. We should be honest about that.

When we talk in Parliament about the causes of and solutions to our housing shortage, and about the pressures on our national health service, we should spend as much time focusing on our ageing population as we do on immigration. It is not a queue of migrants that I see at the doors of A&E; it is a queue of frail, disorientated older people. When I go door to door, even in a relatively young part of the country such as Lewisham, I am amazed by the number of older people living alone, barely moving out of one room. A failure to have an honest debate about that, and a failure to look at the evidence and come up with real solutions, will mean we spend the next few years focusing on completely the wrong priorities. That is my fear with the Queen’s Speech. It is my fear about how the Brexit debate dominates everything else, and it is the responsibility of our politics, irrespective of party lines, to find some answers.