UK Internal Market: White Paper

Debate between Lord Sharma and Andrew Griffith

Thursday 16th July 2020 Commons Chamber

[Alok Sharma]

Let me address the point that the hon. Gentleman raises about chicken. He refers to chlorine-washed chicken: as he knows, it is illegal in the United Kingdom, and as a Government—as I have said earlier—we have been very clear that we will not sign up to trade deals that would compromise our high environmental protection, animal welfare and food safety standards. We are a world leader in those areas, and that is not going to change.

[Andrew Griffith (Arundel and South Downs) (Con)]

Does the Secretary of State agree that uncertainty is the enemy of investment, of employment and of consumer confidence? He should like to know that the businesswomen and men that I have been speaking to today have welcomed today’s certainty that goods and services from one part of the kingdom can continue to be sold in another and that employers in one part can continue to provide jobs to residents in another.

[Alok Sharma]

My hon. Friend has had a glittering career in business, and more than some Opposition Members, he understands what uncertainty means for businesses. It means that they do not employ people and they do not invest, and at the end of the day that impacts on the growth of our economy. What these proposals give is that certainty and clarity that businesses want.

Budget Resolutions

Debate between Lord Sharma and Andrew Griffith

Thursday 12th March 2020 Commons Chamber

[Alok Sharma]

I will talk about the discussions I have had with business groups and business representatives, including those from the aviation sector. The Chancellor was very clear yesterday that this is a start. We will keep the situation under constant review and where support is required, we will look to see what we are able to provide.

Returning to the business interruption loan scheme, this is a temporary scheme that will help small businesses to access much needed finance. Yesterday, the Chancellor also announced £2.2 billion of support for about 700,000 businesses which are in receipt of small business rate relief or rural business rate relief. We want to ensure that every single eligible business gets their £3,000 at the earliest opportunity. We will work with local authorities to make sure that that happens. We will also refund businesses with fewer than 250 employees which pay qualifying statutory sick pay to people who are absent from work due to self-isolating for up to two weeks. We are providing vital tax relief, temporarily abolishing business rates for retailers whose premises have a rateable value of less than £51,000 and expanding the discount to include leisure and hospitality businesses. From creating jobs to supporting communities, small businesses are absolutely the backbone of our economy and this Government will always stand by them.

Yesterday, my Ministry colleagues and I heard from the Bank of England’s chief economist, who stressed the vital action that the Bank is taking to help banks to provide additional credit to businesses. Banks must absolutely be part of the solution and we are already seeing signs of that. Earlier this week, NatWest and Lloyds launched funds of £5 billion and £2 billion respectively for small and medium-sized enterprises directly affected by the impact of covid-19. NatWest also pledged to defer customers’ mortgage and loan repayments for three months. I want to see more lenders stepping forward and supporting our businesses through these challenging times.

As Business Secretary, I regularly speak to the business community, and in the light of covid-19, I have ramped up that engagement. Last night, I spoke with business groups and trade associations, including those from the aviation sector, to discuss the measures in the Budget and to reassure them of the Government’s commitment to support them. As I said, we will keep our response under review as the situation develops, but let me be very clear: this Government will always be on the side of business, entrepreneurs and innovators, because they pay the taxes that fund our brilliant public services.

Although I started my remarks by discussing our short-term measures to fight covid-19, it is worth reflecting what Conservatives in Government have achieved with the economy since 2010—I know that the shadow Chancellor will want to hear this. Employment is at a record high. The unemployment rate is at its lowest since the 1970s. A record number of women and a record number of people from ethnic minority backgrounds are in work. Over 1 million more people with health conditions and disabilities are in work now than five years ago, and youth unemployment has almost halved since 2010. Employment is higher in every nation and region of the United Kingdom than in 2010.

[Andrew Griffith (Arundel and South Downs) (Con)]

Does my right hon. Friend agree that the acid test of how productive an economy is and how well it is doing is its ability to attract investment from global investors who could deploy capital anywhere in the world? In that context, does he agree that it is a sign of success that the United Kingdom attracts more direct investment than France and Germany combined?

[Alok Sharma]

My hon. Friend makes an incredibly important point. He has had a very successful business career and knows all about attracting inward investment, and he is absolutely right: the UK has been, and will continue to be, a beacon under this Government for foreign inward investment.