Leaving the EU: Workers’ Rights

Drew Hendry Excerpts

Tuesday 29th October 2019 Commons Chamber

[Andrea Leadsom]

My right hon. Friend is absolutely right. He has done so much to promote social justice in the United Kingdom and he deserves respect from right across this place. What I would say to my right hon. Friend is that one of the EU’s own agencies, Eurofound—Opposition Members obviously do not want to hear this, because they are all chatting—ranks the United Kingdom as the second-best country in the EU for workplace wellbeing, second only to Sweden, and the best for work- place performance. That is something to be proud of.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Despite the Secretary of State’s energetic assertions, make no mistake: the Prime Minister’s deal is disastrous for workers’ rights. Scottish workers and industry now face the spectre of Tory trade deals to lower environmental and other vital standards. The Tories can never be trusted with workers’ rights; their record speaks for itself, and anyone who believes otherwise is sorely deluded. The Prime Minister bought off Labour votes for his awful deal by pledging “the highest possible standards”. Days later, that promise, like so many others, lay in tatters.

EU law and courts provide their own backstop against UK workers’ rights being weakened. We know that this Government are planning to diverge on the key regulations post Brexit. Is not it the case that the only way to guarantee workers’ rights and avoid them being watered down is to stay in the EU? As the Scottish Council for Voluntary Organisations has pointed out:

“Loss of oversight from, and recourse to, the European Court of Justice will remove…protection from UK citizens”.

As a minimum, will the Secretary of State agree to undertake an equality impact assessment of the UK Government’s plans for workers’ rights post Brexit? If not, why not?

[Andrea Leadsom]

The hon. Gentleman describes my defence of our ambitions on workers’ rights as energetic. It also happens to be true, which is extremely helpful to workers in the United Kingdom. Let us look at the facts. He asserts that somehow the EU is the only thing that lies between us and the poor house, but in reality there is no minimum wage in the EU, whereas this Government are raising the national minimum wage to £10.50 an hour. UK annual holiday entitlement is 28 days, including our public holidays; in the EU it is 20 days. Our maternity entitlements are nearly three times greater than those in the EU. We have given fathers and partners statutory rights to leave and pay. We have given adoption leave. We have given employees the right to request flexible working. In every single area, the UK far exceeds the European Union. It is absolute and total rubbish to say that the EU is the only protector of UK workers’ rights.

Oral Answers to Questions

Drew Hendry Excerpts

Tuesday 22nd October 2019 Commons Chamber

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Any VAT increase would be yet another hammer blow to solar. The Minister’s predecessors took solar power to the brink, blocked onshore wind, cut support for offshore wind and failed to capitalise on Scotland’s lead in marine and tidal power. Has he compared the detail in the Scottish Government’s new green deal with the lack of detail in the Queen’s Speech? When will his Government wake up to the climate emergency?

[Kwasi Kwarteng]

As I have said a number of times, the VAT increase was a consequence of EU membership, so on that basis I recommend that the hon. Gentleman support the European Union (Withdrawal Agreement) Bill this evening.

[Drew Hendry]

Last month’s energy auction revealed that offshore wind is a third cheaper than gas and half the price of the energy from Hinkley C nuclear plant, yet Tory dogma is holding climate change mitigation back. Does the Minister agree that VAT on solar is yet another barrier to much needed change, and will he ask the Chancellor to rule that out in the Budget?

[Kwasi Kwarteng]

I very much appreciate the hon. Gentleman’s prepared remarks, but he does not seem to be living in the real world. We have delivered on offshore wind, which he mentioned. The price has fallen by two thirds—that is a Government success and we are going to pursue that sort of success to meet the net zero carbon target.

Government Plan for Net Zero Emissions

Drew Hendry Excerpts

Tuesday 8th October 2019 Westminster Hall

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

I congratulate the hon. Member for Truro and Falmouth (Sarah Newton). She said that everyone in this room is committed to net zero; she is correct about that. She also said that things must go further and faster, and that we must see a strategy and concrete policies from the UK Government. I agree with her on the need for targets, tests and scrutiny, as well as on her points about retrofitting energy efficiency. However, I will be a critical friend during the short time I have to speak and point out areas where things could be done much better by the UK Government.

Spending per head on energy efficiency in Scotland is four times that in England. If it were more, we could do even more in Scotland. The UK Government are falling short on home and business energy efficiency, and they are way behind on carbon capture, utilisation and storage. They need to get on with decarbonisation of the gas grid, which must be accelerated to enable low carbon heating for homes and businesses. They must flatten the pedal on vehicle and tax incentives to promote low carbon choices. VAT must be reduced on energy efficiency improvements. This Government must drop their ideological opposition to renewable onshore wind and stop holding solar power back.

The hon. Member for Plymouth, Sutton and Devonport (Luke Pollard) said that more of the same will not do. The budget needs to cut through to every aspect of climate change, and big, bold investments are required. James Richardson from the National Infrastructure Commission said:

“You need to really push ahead with renewables in the 2020s.”

Chris Stark from the Committee on Climate Change said that the choice is between nuclear and CCS; I firmly believe that CCUS is the way forward. Evidence abounds that poor air quality affects productivity. The National Infrastructure Commission has said that the money we need to spend on air quality should not be seen as a cost, but as a benefit to us.

I agree with what the hon. Member for Stirling (Stephen Kerr) said about young people. I will focus on what he said about CCUS. He is correct that we on the Select Committee on Business, Energy and Industrial Strategy were unanimous in expressing huge disappointment about the UK Government’s response to CCUS. Scotland has enormous potential in this area. Storage and readiness at St Fergus has the infrastructure, expertise and transferable skills to move with a fast first-mover advantage. It has capacity to store at least 5.7 gigatonnes of carbon dioxide. To put that into perspective, that is 150 times the emissions from Scotland in 2016. That is a massive storage capacity. The UK Government need to get on with doing that. Existing oil and gas infrastructure must be plugged and transferred, or it will be lost.

My hon. Friend the Member for Paisley and Renfrewshire North (Gavin Newlands) talked about the UK’s obsession with nuclear power. He outlined the many actions of the Scottish Government and talked about the cross-party support in the Scottish Parliament. He said clearly that we could do more if we had the powers to do so. The UK Government need to step up and allow us to go even further and faster with what we need to do.

The cost of the Hinkley Point C nuclear power plant, already the most expensive single development on the planet, is set to rise by nearly £3 billion. The Government should not be pouring money down the bottomless pit of new nuclear when offshore wind, for example, is much less than half the price for consumers and does not blight the planet with further nuclear legacies. It is important that this Government strip out their nuclear obsession.

The hon. Member for Kingston upon Hull West and Hessle (Emma Hardy) talked about the fantastic opportunity for butterflies and, more important, for trees. Forestry is a critical area where this Government need to up their game dramatically. In 2019, the new Scottish Government forestry strategy and tree planting scheme across Scotland took enormous strides. The industry employs 25,000 people and the trees planted in Scotland make up 84% of all trees planted across the UK. Some 22 million trees were planted in Scotland, while England fell 7 million short of its target. The Government need to get that fixed.

[Stephen Kerr]

Will the hon. Gentleman give way?

[Drew Hendry]

I will not take any interventions, because I want the Minister to have time to respond.

The Scottish National party Scottish Government are leading by example, redoubling efforts to end Scotland’s contribution to climate change by 2045. The Secretary-General of the United Nations described Scotland’s holistic approach to tackling climate change as “a qualified success,” and called on the UK Government to follow. The UK Government should use their reserved powers to help Scotland to achieve its climate change ambitions, not hinder us with opposition to renewables and inaction on energy efficiency.

We welcome the UK’s joint bid with Italy to host the UN framework convention on climate change COP 26 in Glasgow. That should be a progressive and inclusive event, and the Minister here today should absolutely disagree with the Prime Minister, who said at the Tory conference that the First Minister of Scotland should be banned from attending. That comment was puerile, ignorant and has been roundly condemned across Scotland; I hope the Minister will do the same today.

--- Later in debate ---

[The Minister for Business, Energy and Clean Growth (Kwasi Kwarteng)]

Thank you very much, Mr Gray. I have to say that this has been an excellent debate, and I sincerely commend my hon. Friend the Member for Truro and Falmouth (Sarah Newton) for securing it. I hope that we can have more time in the House of Commons to discuss these important issues.

One thing that struck me in the debate was the level of consensus. There were one or two examples of political point scoring here and there, and we can accept that, but I was delighted to see so many MPs sing the praises of their local councils and of the fact that local communities are making great strides. In one of the few agreements I have ever had with the hon. Member for Kingston upon Hull West and Hessle (Emma Hardy), I completely agree that the Government have to be involved in this. No one in this House has praised the free market as extensively as I have over the years, but even I, as an energy Minister, realise that, as she clearly said, private enterprise and the free market economy will not deliver this target on their own. That is very clear. As a Government Minister, I am absolutely committed to the target.

We can argue about how quickly we are reaching the target, and I happen to think that we have done a great deal as a country. The hon. Member for Southampton, Test (Dr Whitehead) said, “Oh well, you’ve done okay in the power sector”, but the power sector is huge. Looking at the history of this country, at what the industrial revolution meant and at industrialisation across the world, power is absolutely at the heart of it. For a country that for 300 years was powered by coal burning and fossil fuels, taking coal off the system entirely in 2025, in terms of power generation, is an achievement.

I do not want to rest on my laurels. I do not want to be accused of complacency—there is still a hell of a lot to do. However, to face the future, we have to recognise where we have come from. I pay tribute to the last Labour Government for passing the Climate Change Act 2008. I do not think we need to play childish, point-scoring games on that. It was a significant piece of legislation, and I am happy to say that. I think that what we did in amending that Act in 2019 was also significant and bold and showed leadership.

As the new Minister—I have been in post for two months—I have seen a number of my counterparts across the world, and all have said that the United Kingdom is a leader in this area. That does not mean that we have solved everything. I think it is impressive that we have reduced our carbon emissions by 42% since 1990 while growing our economy by two thirds, but I fully recognise that we need to do more on energy efficiency and insulating homes, which is why we are spending a large amount of money dealing with fuel poverty. We have put in bids for the Budget; it would be inappropriate for me to say exactly what those bids are, but we are looking at this. Our officials and Ministers are very focused on the idea that fuel poverty is a real problem.

We have also committed ourselves to offshore wind. Ten years ago, many people thought that offshore wind was a crackers and slightly bizarre idea. An energy specialist was telling me that the reduction in the costs of offshore wind is the biggest story of the decade. We were looking at costs of £150 per megawatt-hour at the beginning of the decade. The first auction came in at £119. Only two weeks ago, the price was £39 per megawatt-hour. That is a significant achievement. Nobody was saying that these targets were in any way achievable, and while I fully appreciate that Opposition Members say that we should move further and faster, and I fully understand that we are not exactly where we should be, we have to recognise that there have been big achievements in this.

On the forward view, we can dwell on the past and say that we got the right legislation, but my right hon. Friend the Member for East Hampshire (Damian Hinds) and my hon. Friend the Member for Truro and Falmouth are absolutely right that we can all say a date. It can trip off the tongue—net zero by 2050 or 2030—but how do we actually get there? That is exactly what the Government are trying to set out. My team is looking at pathways to net zero, and it is clear to me that the best way, in terms of energy security and also cost, is to have a balanced approach. The question of an entirely renewable economy was raised, but the problem with that is that we would need huge amounts of capacity because of the intermittent nature of that power.

[Drew Hendry]

On that balanced economy, the CBI, while acknowledging the offshore wind success story, said that investment in onshore wind and solar has stalled for political reasons, and urges this UK Tory Government to take politics off the table for onshore wind. Will they do that?

[Kwasi Kwarteng]

The hon. Gentleman will recognise that the target has changed. The Climate Change Act 2008 set an 80% reduction, but this year we have set a net zero carbon target. There is absolutely a wider debate about how we move on—[Interruption.] The hon. Gentleman is trying to put words into my mouth, but I am just saying that there is a broader debate.

International Climate Action

Drew Hendry Excerpts

Thursday 26th September 2019 Commons Chamber

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

I also thank the Secretary of State for advance sight of her statement and welcome her to her position.

The statement focuses on the international situation, but we are in a climate emergency. Although what we do abroad matters, what we do here is even more important. In Scotland, the landmark legislation passed its final stage in the Scottish Parliament yesterday. The Scottish Government have responded and now have the toughest statutory target of any country in the world to reduce emissions by 75% by 2030.

Scotland will soon generate 100% of its power from renewable sources. Scotland will be planting 85% of the trees in the UK, and it is pushing ahead on insulation. Scotland has committed to becoming net zero by 2045, five years before the rest of the UK and in line with the advice of the UK Committee on Climate Change, the recommendations of which are contingent on the UK becoming net zero by 2050.

To hit the same target, UK policies will therefore need to be ramped up significantly. The UK falls short on home and business energy efficiency and it is way behind on carbon capture, utilisation and storage. Decarbonisation of the gas grid must be accelerated, and it must flatten the pedal on vehicle and tax incentives to promote low-carbon choices. VAT must be reduced on energy-efficiency improvements.

The UK Government must remove their ideological opposition to renewable onshore wind and stop holding back solar power. The Secretary of State is new in post, so will she therefore commit to presenting a clear plan and target to address these issues?

Finally, buried among other news yesterday was the revelation that the cost of the Hinkley Point C nuclear power plant, already the most expensive development on this planet, will rise by nearly £3 billion. The UK Government should not be pouring money down this bottomless pit of new nuclear when onshore wind, for example, is now less than half as expensive for consumers—

[Mr Speaker]

Order. I am deeply grateful to the hon. Gentleman.

Oral Answers to Questions

Drew Hendry Excerpts

Tuesday 16th July 2019 Commons Chamber

[Chris Skidmore]

I entirely agree with my hon. Friend the Member for St Ives (Derek Thomas) that when it comes to looking at how we should be creating new schemes, this is the direction in which we need to go. We will do more and I am happy to discuss with him the opportunity to involve small businesses. This will be part of the energy White Paper, and we recognise that we need to make significant strides to ensure that small businesses are able to retrofit their properties.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

The Business, Energy and Industrial Strategy Committee has shown that, as if being hostile to onshore wind and destructive to solar were not enough, the Department will not achieve its climate ambitions due to its ambivalence over carbon capture and its failure to emulate Scotland on energy efficiency measures. The net zero 2050 target was imposed by the Prime Minister above Ministers’ heads. As they prepare to leave their posts, will the Minister admit that his Department lacks the policies to achieve that target, and that his legacy will be one of abject failure?

[Chris Skidmore]

No. If anything, I think that my legacy will be as the Minister who signed the legislation ensuring that we were the first country to achieve net zero by 2050.

I also hope that our legacy will be a successful partnership bid with the Italians for COP26. The Italian ambassador came to meet Members of Parliament here yesterday. I did not see the hon. Gentleman there, but never mind about that—[Interruption.] He might not recognise that we had the Italian ambassador here to cover our COP26 bid, but he would have been welcome. An email was sent to him, inviting him to attend, but unfortunately he did not turn up. Our commitment must be UK-wide and we are making UK-wide schemes available, including recently ensuring that we can subsidise energy supplies for the north of Scotland, which demonstrates the benefits of the Union in delivering net zero.

[Mr Speaker]

The key is not to speak more quickly but to use fewer words.

[Drew Hendry]

With bizarre and rubbish answers like that, it is no wonder that the polls in Scotland are showing greater support for the Scottish National party and for independence than ever before. Will the Minister do just one thing? Will he rule out serving under the right hon. Member for Uxbridge and South Ruislip (Boris Johnson) and vote against a no-deal Brexit to prevent further harm?

[Chris Skidmore]

This is what it always comes down to. Here we are in BEIS questions talking about clean growth and, yes, about how the Government need to make more progress on net zero, but what is the hon. Gentleman’s No. 1 priority? Independence for Scotland. He wants to divide and rule as usual—[Interruption.]

Climate Change, the Environment and Global Development

Drew Hendry Excerpts

Wednesday 10th July 2019 Commons Chamber

[The Minister of State, Department for International Development (Harriett Baldwin)]

It is great privilege to reply to this debate. In this Parliament over the last few months, a 93-year-old man, Sir David Attenborough, has spoken powerfully of the need for us to act, and a 16-year-old girl, Greta Thunberg, has come here and told us of the need to act. In the last week, many of our constituents have come to say that the time is now for all of us to act. I am proud to be speaking at the Dispatch Box representing the greenest Government ever of the country that has gone faster than any other major industrialised country to decarbonise, and which is indeed decarbonising faster than any other country in the G20.

Millions of women will have got up this morning in Africa and walked for miles to cut down a tree, turn it into charcoal and cook using it in their own home in a way that poisons them and their family. This is one of the biggest killers in our world today. What came through loud and clear in today’s debate is that this is a global challenge and a global problem. Yes, we have to do our bit here in the UK, but we must also keep at the front and centre of our work the very poorest, who are likely to be the most affected by climate change.

I welcome the spirit of today’s debate. There has been a huge amount of cross-party support. That is important because passing the legislation to go to net zero without a vote in this Chamber, as we did last week, sends out the most powerful signal that we can send to the UK private sector that, whatever happens in our politics, everyone is on the same page on this agenda. Of course, there may be differences about what we do and how fast we go, and a range of different points of view were expressed on that today, but what was most powerful overall was that everyone agreed, cross-party, that this is something we need to tackle.

We should also welcome the fact that, although I am responding to this debate as an International Development Minister, my hon. Friend the Member for Pendle (Andrew Stephenson) opened it as a Minister in the Department for Business, Energy and Industrial Strategy. That also sends a very strong signal about how we are working on this across Government.

We are all agreed that climate change remains one of the biggest global threats to sustained development and, indeed, to our own way of life. No country on this planet is projected to be spared from further temperature increases, and the world is already facing serious challenges to the natural environment, food production and water resources. The challenges posed by change to our climate are systemic. Much more needs to be done and greater global ambition is needed. That is why the UK is jointly bidding with Italy to host next year’s COP 26.

We have had an excellent debate, full of a range of very strong contributions. Although the hon. Member for Liverpool, Walton (Dan Carden) objected to a Business Minister opening the debate, he will be interested to know that 34% of all our climate finance is spent by the Department for Business, Energy and Industrial Strategy. He will also be interested to know that the multilateral development banks agreed at last year’s COP to align their $200 billion of climate finance with the Paris agreement—that is a point he specifically requested.

As we send out these strong cross-party messages, we need to think carefully about the attacks I heard from Opposition Members against the oil and gas sector. I am sure that Labour voters in Scotland would be alarmed if they felt that the hon. Gentleman would be as harsh on the oil and gas sector in Scotland as he appears to be on the sector elsewhere in the world.

This is the only political point I will make from the Dispatch Box today, but we need to think about actions that will lead the world and about actions that will lead to businesses moving from this country to other parts of the world. I would put in that second category the shadow Chancellor’s aspiration to remove the UK listings of many perfectly good, British companies, which will simply move their listings elsewhere.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

The Minister is talking about future investment. Will she commit her Government to taking real action on carbon capture, utilisation and storage? The project in Peterhead was shamefully abandoned by George Osborne a few years ago, and we need to get projects such as St Fergus up and running. If we could do that by 2023, it would do an awful lot to help this issue. Can the Minister get behind that?

[Harriett Baldwin]

The hon. Gentleman will be aware that we are spending £45 million on supporting this technology, and we published an action plan last November, but of course we need to do more.

In a strong speech, my right hon. and learned Friend the Member for North East Hertfordshire (Sir Oliver Heald) talked about transport and the importance of changing behaviour in the sector, which is such a big emitter of carbon. I highlight the £1.5 billion that goes with the “Road to Zero” strategy, which was published last year, and the private sector is rapidly responding to the signals sent out from this place.

All the UK car companies have now developed electric models, including today’s welcome news about the Mini in Oxford and the wonderful news about Jaguar Land Rover in the midlands. Even in my constituency, Morgan Motor Company, known for its traditional cars, will have an electric model. My right hon. and learned Friend will be interested to know that 1,000 charging points a month are now being installed across the UK, which exceeds our expectations. The sector is rapidly responding to the signals we have sent out from this place.

The hon. Member for Dundee West (Chris Law) made an excellent speech about what Scotland is doing, and he made the valid point that the minority SNP Government may have examples of best practice from which England and other parts of the UK can learn.

My hon. Friend the Member for Chichester (Gillian Keegan) made an amazing speech, and I salute her work as co-chair of the all-party parliamentary group on the United Nations global goals for sustainable development. With her experience of the car industry, she made some powerful points about how we are bringing people with us.

The hon. Member for Leeds West (Rachel Reeves), who is Chair of the Business, Energy and Industrial Strategy Committee, made a powerful speech about how this is an opportunity for the UK to lead the next industrial revolution, and she highlighted some of the Committee’s excellent work in this area.

My hon. Friend the Member for Stirling (Stephen Kerr) spoke at some length—I am now looking at the time to make sure I am not also going over—and he highlighted the importance of our moving beyond single-use plastics. As a member of the Select Committee, he spoke with great knowledge of trees, electric vehicles and a range of other important areas. He also spoke of the importance of cross-party work in Scotland.

I am glad that the hearing aid of the hon. Member for Falkirk (John Mc Nally) did not cause any faltering in his excellent speech as a member of the Environmental Audit Committee. The hon. Member for Bath (Wera Hobhouse) highlighted that this is not a new issue. I am old enough to remember the slogan “Plant a tree in ‘73”. I will not embarrass the House by asking other hon. Members to acknowledge that they remember that, but it is something that we have been doing for a while. We need to act faster and go further. I diverged from her only on her feeling that we would be helped in doing that by being a member of the European Union. We are going further and faster than the European Union which was not able to reach consensus on the issue recently.

The shadow Minister talked about the importance of climate finance. The UK has led the world in green finance. We published a further green finance strategy last week, and the leadership of Mark Carney at the Bank of England has been strong in this area, including on disclosure in annual reports. The City of London has shown itself able to attract a lot of listings, and we have more than $25 billion of funding going into green developments, which has happened as a result of the UK’s leadership in this area. We need to carry on with that because such investments can often be very capital intensive.

Looking to the future, I am confident that the UK can lead from the front in helping the world to drive the change necessary. That is why debates like today’s are important, timely and effective. I thank everyone who has generated the strong amount of consensus in this important debate today.

Question put and agreed to.

Resolved,

That this House has considered tackling climate change, protecting the environment and securing global development.

Retail Strategy

Drew Hendry Excerpts

Wednesday 10th July 2019 Westminster Hall

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

It is a pleasure to serve under your chairmanship, Sir David. I congratulate the hon. Member for Blaydon (Liz Twist) on securing this important debate on a matter that is not raised often enough in this place. As a former retailer, I have seen many of these issues over the years, and I am delighted that she has been able to bring the debate to Westminster Hall. As we will get into online retail, I bring the attention of hon. Members to my entry in the Register of Members’ Financial Interests.

The hon. Lady talked about the effects on people, communities and indeed companies. She brought up the spectre of the BHS closures, which was deeply hurtful to many people involved. She also talked about the work of local authorities and the possibility of them getting involved, and correctly called for a longer-term strategy and vision from the UK Government.

The hon. Lady talked about the business rate system in England, which is a key issue. I will come on to the Scottish context. She also mentioned the requirement for proper pay for people working in retail. She will be glad to know that in Scotland the real living wage—not the pretendy one—is being promoted by the Scottish Government, which indeed is a real living wage employer. Almost just at this moment, the 1,500th private real living wage employer in Scotland has been unveiled: Johnstons of Elgin, the menswear retailer. It was congratulated by the fair work Minister, Jamie Hepburn MSP. Congratulations to Johnstons; it is a really good example.

The hon. Member for Henley (John Howell) talked about changes to banking and rural communities. I disagree about everyone being able to go on to online banking. Many people with disabilities and people in rural areas need banking facilities in the heart of their communities. In particular, those who are vulnerable need access to cash in a way that cannot be done online. The hon. Gentleman did, however, make an interesting point about town planning, which people should consider carefully.

The right hon. Member for Delyn (David Hanson) discussed retail’s important contribution to the UK economy and employment. Indeed, in Scotland, retail is the largest private sector employer, accounting for 250,300 jobs. Retailers are kind-hearted, having donated £10 million to good causes in Scotland, and retail accounted for 13% of all new businesses formed in Scotland in 2016. It also accounts for a fifth of all business rates in Scotland.

The right hon. Gentleman talked about out-of-town versus city centre. There is much debate about how we marry the two so that everyone can benefit, because they are realities. That is one for greater consideration. He also mentioned the loss of UK Government offices, which I have seen in the highlands, with the tax offices, Department for Work and Pensions offices, local passport offices and Driver and Vehicle Licensing Agency offices all coming out of communities and affecting people and local businesses, particularly retail.

The right hon. Gentleman brought up another subject close to my heart: support for post offices. These people desperately need a better deal so they can secure a living wage. As the Minister will acknowledge, there are people in post offices struggling to make a living. The right hon. Gentleman also made many suggestions to the Minister in a very good speech.

The hon. Member for Ayr, Carrick and Cumnock (Bill Grant) talked about regenerating town centres, accepting the online issue. I still get a bit of a shiver when thinking about this future of deliveries by drones, with all these drones whizzing about. The temptation to bat them out of the way might be too strong, but we should be aware that that may come in the future. He talked, quite rightly, about the danger of isolation for the elderly and those who are not internet-savvy—I think he included himself—with different ways to shop. He said that people deserved better, and he talked about the real living wage, so I am sure he will join me in congratulating Johnstons of Elgin.

The hon. Gentleman quite rightly said that local authorities and the Scottish Government should work together. He will be glad to welcome the work that the Scottish Government are doing with the Convention of Scottish Local Authorities on town centres. As well as providing the best business rates in the UK, the SNP Scottish Government have put together a business rates relief package worth more than £75 million. Ninety per cent. of businesses in Scotland will pay a lower poundage than they would anywhere else in the UK. The Scottish Government have launched a £50 million town centres fund in partnership with COSLA, with local authorities allocating the funds. That goes a long way in promoting the work between Government and the local authorities.

[Bill Grant]

To put that in context, when I look at my inbox I see a number of businesses have experienced a significant rates hike. Rural businesses in particular are hurting terribly, so a system had to be introduced to compensate for that. There are anomalies.

[Drew Hendry]

Unfortunately, the hon. Gentleman is trying to punt a line that is not the fact. Through the small business bonus, 100,000 businesses in Scotland pay no rates at all, and those are mainly businesses in rural areas that do not come up to the level for being taxed.

The hon. Member for Batley and Spen (Tracy Brabin) correctly talked about public transport and its impact on retail. She gave the example of the fall in revenue for one of her constituents due to a change in bus routes. That brings us back to town planning. People must plan for the unintended outcomes as well as those they want in the future. She also mentioned banks and building societies, the importance of business rates and the need to tax big online retailers.

The hon. Member for Strangford (Jim Shannon), as ever, did a great job of promoting his own constituency. He talked about the chamber of trade and, importantly, the need for a shopping experience. Green areas, coffee culture and all those things need to be thought out in planning for the future. He talked about the mix of online and physical, which is what we used to call—

[Sir David Crausby (in the Chair)]

Order. Will the hon. Gentleman bring his remarks to a close? I added a few minutes for earlier speakers, so I will have to take a minute off each of the Front Benchers.

[Drew Hendry]

I will try, but there is a lot to say.

Unfortunately I cannot discuss the speech of the hon. Member for Ellesmere Port and Neston (Justin Madders), who made a number of important points. I will finish with something that is important to me and my constituents: the unfair situation on delivery charges. As we move to a culture of more online deliveries, consumers in Scotland are having to pay a disproportionate amount more because of a postcode system used by retailers to charge them extra for deliveries. That is unfair, and the Scottish Government have done a lot of work on that issue. My colleague, Richard Lochhead MSP, and I have worked very hard over the years to make changes, and have made significant breakthroughs with individual retailers. However, it is time for this UK Government to step up to the mark and do something to ensure fair delivery charges for people across Scotland, particularly in rural areas of the highlands and elsewhere.

Businesses: Late Payments

Drew Hendry Excerpts

Wednesday 19th June 2019 Commons Chamber

[Kelly Tolhurst]

Primary legislation would be required to give further powers to the small business commissioner, so we will seek views and consult. We do want to give the small business commissioner further powers—for example, the ability to apply sanctions to businesses that do not comply with requests for information, court orders or financial penalties. Such sanctions could include binding payment plans.

My hon. Friend asked whether we would consider making it mandatory to apply interest to overdue accounts. There is currently low take-up of the application of interest to invoices, so there needs to be an education piece for small businesses, which we very much hope to achieve through the small business commissioner. With all these elements coming under one roof, he can launch an ambitious PR strategy to enable small businesses to understand what powers already exist for them.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

I thank the Minister for advance sight of her statement, which in our case arrived in plenty of time for us to look at. We welcome initiatives to curb late payments, but let us be frank: this does not go nearly far enough. For anyone tuning in to last night’s Tory hard Brexit hustings, it will come as no surprise that the UK Government remain opposed to taking the steps required to protect Scottish business. Does the Minister have the good grace to agree that it is now beyond a joke that, in place of serious policy steps, her statement merely proposes some minor technological measures and platitudes on best practice? And she did not fully answer this question, so can she confirm that she has looked at the Scottish Government’s project bank account scheme? Has she learned any lessons about how that is protecting smaller contractors and subcontractors on public procurement projects?

With the Federation of Small Businesses stating,

“If all payments were made on time 50,000 more businesses could be kept open each year”,

it is clear that small business needs legal protection, so does the Minister now regret her Government’s failure to support the Construction Industry (Protection of Cash Retentions) Bill, with which my hon. Friend the Member for Kilmarnock and Loudoun (Alan Brown) aimed to stop late payments in that sector? Indeed, does she regret her Government’s failure to extend that sort of protection across the economy to all small and medium-sized enterprises?

[Kelly Tolhurst]

I stand here today and make announcements, but we also need to recognise that this is about culture. We want to use all the tools in the box to legislate and take action where possible, but we also want to work with the industry and businesses to change the culture. It is not right that large firms take advantage of smaller businesses through late payments, so today we bring forward our response to the call for evidence, to stem the scourge of late payments.

The hon. Gentleman mentions project bank accounts. As I briefly outlined in my response to the previous question, project bank accounts and the use of retention is obviously a concern for many people. It is part of the whole late payment arena. That is why, as I have said, we have worked with the industry and heard the views of both sides. A consensus has yet to be found in the industry. The challenge that we have set is that the industry must come to a way forward or we will take action.

To answer the hon. Gentleman’s question, I have indeed looked at some of the work that has gone on in Scotland and at what has happened in Northern Ireland. I highlight what the Federation of Small Businesses said today:

“Small businesses will be delighted with today’s announcement. FSB has worked very hard with government to create a whole-board approach to late payment within the UK’s large companies, and empower Audit Committees to look after the supply chain. Together with measures to strengthen the Small Business Commissioner’s powers and reform the Prompt Payment Code, the measures today could finally see an end to poor payment practice.”

Net Zero Emissions Target

Drew Hendry Excerpts

Wednesday 12th June 2019 Commons Chamber

[Greg Clark]

My hon. Friend makes an excellent point. One of our requirements, which has been recognised by the Committee on Climate Change, is our need to invest in the energy-intensive industries in particular, to improve their energy efficiency so that they can compete effectively and also to enable us to capture, store and, in some cases, use the carbon they generate. The commitment to carbon capture, use and storage is one of the steps we must take to meet those ambitions.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

I thank the Secretary of State for advance sight of his statement. I also welcome the Minister for Energy and Clean Growth, the right hon. Member for Devizes (Claire Perry), back to the Chamber—although she is no longer present—and echo others in thanking the Committee on Climate Change for its work.

We welcome the statement. It is important that we all work together to address this challenge. We especially welcome the intention to follow the Scottish Government by including aviation and shipping in the targets, but why not have the ambition to match the Scottish Government’s emissions plan? In Scotland, the target date for zero net emissions is 2045 rather than 2050, and the carbon-neutral target date is 2040. So let us see if we can step up that ambition.

Even before the actions contained in Scotland’s climate change plan, actual emissions were down 3.3% between 2016 and 2017 and down to nearly half of the emissions levels of 1990. The Secretary of State’s Government must be more ambitious. The Committee on Climate Change said that this is “feasible and deliverable”, as was mentioned in the Secretary of State’s statement. Will he also accept the committee’s recommendation which agrees with the CBI on the National Infrastructure Commission’s call that in the 2020s we really need to push ahead with renewables to meet the 2050 target?

The Secretary of State said that he is taking these actions to

“tackle one of the greatest threats to humanity”,

yet the Committee on Climate Change, the National Infrastructure Commission and the CBI all say that investment in onshore wind and solar has stalled for political reasons. The CBI has said we should take the politics off the table for onshore wind, so will the Secretary of State drop the Tory ideological opposition to onshore wind?

Finally, there is another choice other than nuclear: carbon capture and storage utilisation. St Fergus near Aberdeen could be operational quickly, by 2023 with the right investment and commitment. At minimum it could capture 5.7 gigatons, equivalent to 150 years-worth of all of Scotland’s 2016 gas emissions, so will the Secretary of State reverse the betrayal over Peterhead and that carbon capture programme being withdrawn and commit to investing in St Fergus, to deliver these benefits, not only for Scotland but for the UK and the rest of the planet?

[Greg Clark]

I am grateful to the hon. Gentleman. He seemed to be welcoming the committee’s report but criticising the Government for not agreeing with its recommendation to set a date of 2045 for Scotland and 2050 for the United Kingdom. That was its clear advice and we are following it. There were particular reasons, such as the greater potential for afforestation in Scotland, why it regarded a 2045 target as appropriate. I hope the hon. Gentleman will not take it amiss when I agree with the first part of what he said—that we should follow the committee’s advice—rather than the second part, which is that we should then disagree with it.

On the points about carbon capture and storage, part of the opportunity and requirement for net zero is that it is possible to take carbon out of the atmosphere, especially from industrial processes, and of course Scotland and its industrial clusters will have an important part to play in that.

The hon. Gentleman mentions the National Infrastructure Commission, and again I welcome his respect for its expert analysis. We support what it says about increasing renewables. I hope that in the same spirit he will support its recommendation that we should have more new nuclear power—something he opposed. I do not want to be excessively partisan on an issue that I know from my discussions with the Scottish Government is a common commitment that we make to maintain and increase our ambition and at the same time create jobs in every part of the UK including Scotland.

Oral Answers to Questions

Drew Hendry Excerpts

Tuesday 11th June 2019 Commons Chamber

[Jake Berry]

I would not question the authority, even-handedness and open-mindedness of House of Commons Library. I would direct my right hon. Friend to the debate that took place in Westminster Hall on 14 May, led by the hon. Member for Barnsley Central (Dan Jarvis), in which colleagues and the Government set out in considerable detail our ambition to drive jobs, growth and prosperity in all parts of our United Kingdom through this fund.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Research from the independent Conference of Peripheral Maritime Regions has shown that Scotland stands to lose nearly €1 billion of funding if the UK Government do not match EU funding after 2020. Given what the Minister has said about his responsibilities, will he tell us which of the 10 candidates for Prime Minister have given guarantees to replace every penny of this funding and retain Holyrood’s role in disbursing it?

[Jake Berry]

It is welcome that the hon. Gentleman wants to play such an active and full part in the Conservative leadership election, but he knows, as I do, that decisions about the UK shared prosperity fund, on quantum and all other matters, will be taken during the comprehensive spending review and the consultation. I would say to him that the Scottish Government must absolutely play their part in being an advocate for the areas of Scotland that share this Government’s ambition to create jobs, wealth and growth through the UK shared prosperity fund, mirroring in many ways what is being achieved through European funds.

[Drew Hendry]

The public will have heard that answer, which is clearly insufficient and not good enough. The highlands and islands alone stand to lose €180 million, and the Secretary of State for Environment, Food and Rural Affairs has said that he is willing to grab control of devolved spending. Is it any wonder that the Scottish public are now looking to Scotland being an independent nation state in Europe with an equal seat at the table, rather than this shambles?

[Jake Berry]

Well, Mr Speaker, if you want a strong demonstration that this country is better together, you need look no further than the highlands and islands growth deal, a partnership between the UK Government and the Scottish Government that is changing lives for people across the highlands and islands. That is a demonstration in one Government policy of why this Union should stay together.