My hon. Friend raises an important point, and I know that he speaks from experience as a former housing Minister. I will certainly take a fresh look at that.
I welcome the Secretary of State to his new post. May I politely say to him that not every area has the same ability to raise income from business rates or council tax, and it is often the poorest areas that are disadvantaged as a result of lower income generation from both sources? Will he look at the example of Tameside Metropolitan Borough, which would need an additional 16 Ikea stores just to break even on its business rate retention? Will he ensure that, when he looks at redistribution, he ends up with a fair settlement for areas such as Tameside?
The hon. Gentleman makes a valid point. The needs of each area are different, which is why at the same time as launching the consultation we launched a fair funding review to look at the issues that the hon. Gentleman raises.
(8 years, 5 months ago)
Commons ChamberI absolutely agree with my hon. Friend. The reporting requirements that I mentioned will give small businesses the information that they need to make more informed decisions, to negotiate fairer terms and to encourage other companies to improve payment practices. We take this very seriously in the Department and we are determined to change this kind of bad practice.
But one of the worst performers regarding late payments to small and medium-sized enterprises is the public sector. What is the Secretary of State doing to ensure that Government Departments, agencies and local government promptly pay the small businesses that they use?
The hon. Gentleman will be pleased to hear that while that was the case back in 2010, when payment practices throughout the public sector were appalling, there has been a significant improvement throughout central Government and beyond since then. At my Department, for example, we take great pride in paying almost all invoices within seven days.
(8 years, 6 months ago)
Commons ChamberMy hon. Friend is absolutely right to raise the issue of cutting business regulation, but I do not recognise the £22 billion a year figure for EU regulation. I am sure that he will agree that as well as looking at the costs of regulation, we should consider the benefits of the single market. With 500 million consumers, it is the world’s largest economic zone, and there is no doubt that it helps to generate jobs throughout Britain, including in Greater Manchester.
The Secretary of State will be aware that many small businesses often apply to only one lender for finance—usually their bank—and that two in five of those turned down do not go on to apply for finance anywhere else. What more are the Government doing to ensure that small businesses have access to as good a range of financial products as possible to keep the economy moving in the right direction?
First, the hon. Gentleman may know that one of the changes brought in during the coalition Government was that if a small business’s application for credit is refused, that application can be passed on, with the business’s permission, to other potential lenders. That has certainly helped to change the landscape. We can also help to increase competition, on which the Treasury has been leading. If the hon. Gentleman looks at the number of providers of SME finance, he will see that there has been a dramatic change there, too.
My right hon. Friend the Secretary of State for Wales has had some recent discussions on this issue. I think the hon. Lady is aware of that. She is right to raise the issue of productivity more generally. I do not think it is an issue of productivity in our steel industry. If we look at the output of our workers in the British steel industry, we will see that they are second to none in terms of their productivity. We should take this opportunity to commend the hard work of those men and women. Productivity more generally in the UK economy has been a long-running issue. The supply chain is one of the ways to deal with that, especially with regard to import substitution. I think that is where steel has a big role to play, because there are still too many steel imports and I think that a lot of that steel can be purchased here at home.
Given the issue’s importance to the UK economy, the Government ought to have recalled Parliament in the same way that the Welsh Assembly was recalled to debate this very important topic. Given that the Chinese have the capacity to destroy British steel through a double whammy of dumping cheap steel from China and placing exorbitant tariffs on British steel in China, will the Government think again about their approach to the European Union’s lesser duty rule? Will they also have a serious think about granting market economy status to China, which would be unacceptable, given the current situation with British steel?
When it comes to tariffs, what I am interested in is what actually works. I encourage the hon. Gentleman to study the results—to look at the action the EU has taken and then to look at the result of that action. He will find that, in almost every case, there has been a reduction in imports of more than 80% and sometimes, as I mentioned earlier with regard to rebar, some 99%. As I have said, and I will say it again, if the hon. Gentleman has a particular idea that is focused on steel—because that is the real issue in British industry right now, and that is what I and he want to focus on— I am willing to listen to him.
(8 years, 9 months ago)
Commons ChamberT9. Has the Secretary of State read the report from the Centre for Cities, which shows that a large number of Britain’s towns and cities are low-skill, low-wage economies? What is he doing to ensure that there is joined-up thinking across Government to ensure that we tackle not just education and skills but the transport links to access those new jobs?
I have not seen that particular report, but now that the hon. Gentleman mentions it I will be pleased to take a look. He is right to identify skills as a key issue in helping to create jobs and increase productivity. That is why, for example, we have introduced the apprenticeship levy and are putting forward plans for that. It will make just the kind of difference that he is looking for.
(8 years, 11 months ago)
Commons ChamberI welcome my hon. Friend’s question. We have seen an increase in that, especially in FE colleges that offer higher education courses, which is exactly the kind of diversity and growth we want.
But as ever, it is smoke and mirrors with this Secretary of State. He knows that the Chancellor has announced an extra £360 million of savings from the adult skills budget, so will he come clean and tell us where those cuts will be made?
The Department will shortly issue a skills funding letter answering some of the hon. Gentleman’s questions, but perhaps he missed the point that I just made: the adult education budget is protected in cash terms, we will double spending on apprenticeships by 2020 and the FE budget will be up by the end of the Parliament in real terms.
(9 years, 4 months ago)
Commons ChamberThe Government’s universal credit plans are set to burden 600,000 self-employed people with additional red tape requiring them to provide a new set of monthly accounts. Given that the Secretary of State is responsible for cutting red tape, what is he doing about that? What is he doing to put self-employed people first?
The hon. Gentleman will know that the universal credit plans are essential to make sure that work pays, and I would have thought he would support that. On the issues that it might raise for small businesses and the self-employed, it is important that we look at the net burden of regulation on businesses and keep reducing it.
(9 years, 5 months ago)
Commons ChamberGiven that the interim Greater Manchester mayor is an equal partner on the Greater Manchester combined authority, will the Secretary of State outline what will be in his cities and devolution Bill, and whether that will place the newly elected mayor of Greater Manchester above the combined authority? What powers will the mayor have that the combined authority currently has as its own?
The mayor will become the chair of the combined authority. I hope that helps to answer the hon. Gentleman’s question.