Education and Adoption Bill

Baroness Laing of Elderslie Excerpts

Monday 22nd June 2015 Commons Chamber

[Several hon. Members]

rose—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. Before I call the next speaker, I thank the hon. Gentleman for his perfect timing. For the avoidance of doubt, I should make it clear that I was rather more lenient than usual with the hon. Member for Kingston and Surbiton (James Berry), because I was aware not only of it being his maiden speech but of the very particular nature of the matter he was addressing. However, even people making a maiden speech are required to stick very strictly to the six-minute time limit. The time limit also applies to the next hon. Member, although it is certainly not his maiden speech.

Recruitment and Retention of Teachers

Baroness Laing of Elderslie Excerpts

Thursday 18th June 2015 Commons Chamber

[Rachael Maskell (York Central) (Lab/Co-op)]

One of the reasons people are leaving the profession is work-related stress—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. I appreciate that hon. Members are new to the House, but the hon. Lady must address the Chair. You cannot turn your back on the Chair; you are not addressing the hon. Lady.

[Rachael Maskell]

I apologise, Madam Deputy Speaker.

Does my hon. Friend recognise that people are leaving the profession due to the high levels of work-related stress? We know that 83% of teachers are experiencing work-related stress and 67% are experiencing mental and physical health problems due to excessive workloads, the target-driven culture, and over-burdening inspection regimes.

--- Later in debate ---

[Mr Gibb]

I give way to the hon. Lady.

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. The Minister cannot give way and the hon. Lady cannot intervene, because it is half an hour after the debate began. I was hoping that the Minister was going to get his last word in, but the hon. Lady intervened, and I am afraid that we have to go straight to the conclusion of proceedings.

Skills and Growth

Baroness Laing of Elderslie Excerpts

Wednesday 17th June 2015 Commons Chamber

[Nick Boles]

I will not give way, as the right hon. Member for Birmingham, Hodge Hill has had his go.

We heard barely a word from Labour Members about qualifications reform or about our apprenticeship reforms, which are putting employers in charge of developing standards and controlling Government investment in apprenticeships. [Interruption.]

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. If the hon. Gentleman wishes to give way, he will do so. It is not for others to tell him to give way—he is not giving way.

Small Business, Enterprise and Employment Bill

Baroness Laing of Elderslie Excerpts

Tuesday 24th March 2015 Commons Chamber

Consideration of Lords amendments

[Madam Deputy Speaker (Mrs Eleanor Laing)]

I must draw the House’s attention to the fact that financial privilege is involved in Lords amendments 85, 123 and 133. If the House agrees to any of these amendments, Mr Speaker will cause an appropriate entry to be made in the Journal.

Clause 41

The Pubs Code

[The Parliamentary Under-Secretary of State for Business, Innovation and Skills (Jo Swinson)]

I beg to move, That this House agrees with Lords amendment 34.

[Madam Deputy Speaker]

With this it will be convenient to discuss Lords amendments 35 to 62, 86, 132 and 136 to 141.

[Jo Swinson]

Part 4 of the Bill will introduce a statutory code and an independent adjudicator to regulate the relationship between large pub companies and their tied tenants. It will address problems about which many hon. Members and the Select Committee on Business, Innovation and Skills have been concerned for a number of years.

The House will remember that, on Report in this House in November, a market rent only option for tied pub tenants was added by way of a vote. In the other place, my noble Friend Baroness Neville-Rolfe confirmed the Government’s acceptance of the will of this House, so we have before us a Bill that honours that commitment and remains true to the spirit and intention of the amendment introduced by this House on Report. For example, MRO must be provided for by the code, it must set out reasonable time scales for the process, and it must include certain MRO triggers. Government amendments 39, 40 and 41 amend the original clause 42, which was introduced by my hon. Friend the Member for Leeds North West (Greg Mulholland). I take this opportunity to pay tribute to his dedication to this cause, his relentless campaigning for the rights of tied tenants, and his willingness to move forward. The way he has worked and championed the measure with MPs from both sides of the House, with the all-party group and with campaigners up and down the country is a real testament to what can be achieved by someone with vision and determination.

The amendments ensure that MRO is workable within the approach taken in part 4, is legally robust, and avoids unintended consequences. They are split into three clauses for clarity, one setting out a clear framework for the MRO option, one making provision for the procedures needed to deliver it, and one providing for the adjudicator to resolve disputes.

Amendment 39 provides tied tenants with the right to a market rent only agreement at a number of trigger points: at a rent review, at lease renewal, when there is a significant and unexpected price increase, or if an event occurs that is outside the tenant’s control and has a significant impact on the tenant’s trade. Although prospective tenants will not have the right to the market rent only option, they will have the protection of the parallel rent assessment, so that they can judge if the tied deal they are being offered is fair. PRA will also be available to existing tenants and, through secondary legislation, will be streamlined with the MRO process.

Amendment 40 sets out the procedure for the market rent only option and provides that the pubs code must specify a reasonable period for the two stages of the process. The first stage is where a tenant and their pub company try to agree a rent, and the second involves the determination of a market rent by an independent assessor. Amendment 41 provides the powers to enable the adjudicator to resolve disputes over matters such as the proposed MRO agreement, the independent assessor’s determination of the market rent, and whether the MRO procedures have been followed.

The original MRO clause included triggers for MRO upon the sale of a pub or the administration of a pub-owning company. In discussions with stakeholders, it became clear that it was not the fact of sale or administration itself that was a concern; rather, it was the potential for a pub sale, whether as part of an administration or in the normal course of business, to result in adverse consequences for the tenant. After extensive consultation and discussion with stakeholders and debate in the other place, amendment 47 extends the protections of the code—apart from the market rent only option—to tenants whose pub is sold by a code company to a company outside the statutory code.

To deter avoidance and ensure fairness we are also continuing code protections—excluding the market rent only option—until the next rent review for the tied tenants of pubs owned by a code company which, by selling a number of their other pubs, falls below the threshold of 500 tied pubs. Those tenants too would have continuing rights and expectations regarding their existing lease and the protections they should have under the statutory code, and they should not lose their protections because of events beyond their control.

We believe that this is a proportionate and targeted protection. It will last until the next rent assessment or the end of the tenancy, whichever comes first. MRO will not be extended, and nor will the investigation powers of the adjudicator. Investigation powers are not continued because they are designed to uncover systemic breaches of the code. It would not be right to include in that power companies that are obliged to follow the code only because some of the pubs they own used to belong to a code company, and that are covered by the code only in respect of those pubs. However, the arbitration powers of the adjudicator do remain, so those tenants will be able to refer any allegations of a code breach during the extension period to the adjudicator.

International Women’s Day

Baroness Laing of Elderslie Excerpts

Thursday 5th March 2015 Commons Chamber

[Maria Miller]

I thank all right hon. and hon. Members who have supported and contributed to today’s wide-ranging debate. I particularly thank the Leader of the House, who earlier gave his personal support for the idea of establishing a women and equalities Select Committee, and Mr Speaker, for agreeing to consider the need to put women front and centre in this place through the portraiture that is on display. Those are practical changes, but the improved scrutiny can make a real difference. I also thank the Backbench Business Committee for its support and its understanding of the importance of holding today’s debate in this Chamber. As the hon. Member for Slough (Fiona Mactaggart) said, it is our responsibility through debates such as this to shift culture, forge alliances and achieve policy changes. This debate, in some small way, will have contributed to the objectives she set, particularly in highlighting the issues that still need to be addressed. The debate has also demonstrated that women are here at the table participating, not observing, and determining the future of our country.

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Rarely have I found it as difficult to sit in this Chair and say nothing as it has been this afternoon. I have achieved that, but I think I can preserve my impartiality while congratulating all those who have taken part in an excellent and essential debate—it is essential that it should take place in this Chamber.

Question put and agreed to.

Resolved,

That this House has considered International Women’s Day.

Apprenticeships

Baroness Laing of Elderslie Excerpts

Wednesday 4th February 2015 Commons Chamber

[Several hon. Members]

rose—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. It will be obvious to Members that there is little time left in the debate and that many people wish to speak. We will therefore have a five-minute time limit on Back-Bench speeches.

--- Later in debate ---

[Several hon. Members]

rose—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. I am afraid I was rather optimistic with the five-minute time limit, because five minutes plus interventions becomes seven minutes. I must now reduce the time limit to three minutes, although I will be kind to the hon. Member for Liverpool, Walton (Steve Rotheram) as he had no warning about that.

--- Later in debate ---

[Jake Berry]

Very briefly, because I know we are pushed for time. On the point of MPs having apprentices—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. The hon. Gentleman has already made many interventions. I am sorry, but we are at the end of this debate.

[Richard Graham]

I think my hon. Friend was going to make the point that it is important that we lead by example and employ our own apprentices wherever possible.

The shadow Business Secretary went on to talk, with an element of derision, about the number of apprentices over 60 who have started since this Government came into power. I hope that my older constituents, Age UK and others will have noted that point carefully. In fact, he offended almost everybody I can imagine, including all the businesses, training colleges, councils and the NHS in Gloucester that have taken on apprenticeships in the past five years and have done so much to give the opportunities to young people that all of us across this House surely agree is incredibly important. In a sense, his final words rather summed up his speech. He finished by saying that he will be voting Labour. Well, I am delighted for the Leader of the Opposition that he has the vote of his shadow Business Secretary, but if that is the summary of his party’s strategy, it is pretty disappointing. We heard nothing about the opportunities to widen apprenticeships into more sectors, including nursing; the opportunities from the pilot scheme the Government have run to let employers take control of their training funds; and the ways in which the guilds can offer apprenticeships. There were many things that could and should have been covered today, and it is a great disappointment that they were not. I will certainly not be voting for this motion, but I do agree wholeheartedly with all the Members of this House who support apprenticeships and want to see more of them.

--- Later in debate ---

[Mr Byrne]

rose—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. The Minister is not giving way, and neither did the right hon. Member for Birmingham, Hodge Hill (Mr Byrne) when he was at the Dispatch Box. I must point out that the Front-Bench speakers in this debate have spoken for well over an hour, which is why Back Benchers have had very little time to speak. The right hon. Gentleman has had his chance. I call the Minister.

[Nick Boles]

Thank you, Madam Deputy Speaker. The Opposition motion refers to an aspiration that there should be as many people starting apprenticeships as there are going to university. Treasury officials—not Ministers—have costed this policy and advised that it would cost £710 million in 2015-16. But when challenged about how they would pay for this, what tax they would put up, what other spending programme they would cut, answer came there none.

The Opposition motion also promotes the fantastically deluded idea that all apprenticeships should be level 3 and should last a minimum of two years. Treasury officials—again, not Ministers—costed this policy too. They advise that it would cost £680 million in 2015-16. Can the shadow Front-Bench team explain how they would pay for that, who would pay more tax, whose services would be cut? Of course not.

It is especially disappointing to see this policy soufflé survive the exacting inquiries of the Opposition’s very own Masterchef, the shadow Minister. He has a razor-sharp mind and a real zeal for reform, but I am afraid it is clear that he has been relegated to the sidelines, allowed out only on high days and holidays and, as we have just heard, forced to read from the Leader of the Opposition’s lazily profligate script. The flimsiness of the Labour party’s proposals for apprenticeships might be harmless enough in the early years of opposition. That, of course, is where the shadow Secretary of State has learned his trade. But in government, it would create chaos.

Employers, training providers and young people are making big decisions when they decide to invest in creating apprenticeships and in creating the training programmes to support apprenticeships and, as young people, deciding to commit to an apprenticeship. They need certainty and clarity if they are to have the confidence to make a long-term commitment to apprenticeships. They need a competent Government with a clear plan and a clear understanding of how much their plan will cost and how they will pay for it.

If there is a Conservative Government after 7 May, we will invest in apprenticeships, which will be jobs and will last more than 12 months. Every apprentice will have an employer. There will be 3 million of them between 2015 and 2020 and we will pay for them by reducing other areas of Government spending so that, as we have in this Parliament, we can increase our investment in the apprenticeships programme. I urge Members to support those parties that really understand how to grow apprenticeships, and to oppose the motion.

Question put.

Economy and City Link: Coventry

Baroness Laing of Elderslie Excerpts

Friday 23rd January 2015 Commons Chamber

[Mr Geoffrey Robinson (Coventry North West) (Lab)]

Thank you, Madam Deputy Speaker—[Interruption.]

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. I hesitate to interrupt the hon. Gentleman, but I ask the Serjeant at Arms to investigate the fact that a bell is ringing somewhere.

[Mr Jim Cunningham]

I apologise, Madam Deputy Speaker—I did not realise that my phone was not switched off.

[Madam Deputy Speaker]

I take back that request to the Serjeant at Arms and accept the hon. Gentleman’s apology. The mystery has been solved.

[Mr Robinson]

Thank you, Madam Deputy Speaker, for allowing me to take part in this debate. The Minister also agreed to my taking part, as did my hon. Friend the Member for Coventry South (Mr Cunningham), whom I congratulate on his initiative. I also thank Mr Speaker for granting this important debate.

The only mystery that remains to be solved is why exactly Jon Moulton made this acquisition in the way he did in an industry that was already in difficulty. One feared very much what the outcome would be for a company that had already experienced many years of extreme difficulty. The situation will no doubt be unfolded once the Department finishes its report and we have read its conclusions. Perhaps a further investigation will be necessary; indeed, my hon. Friend has called for one.

In the few minutes available to me, I want to address four aspects of concern. My hon. Friend has already said that we cannot be complacent in Coventry, but perhaps he will agree that the new leadership in Coventry has sent a very loud message that Coventry is open for business and to the new businesses of the 21st century. The internet and internet shopping are clearly going to generate a lot of such businesses. Indeed, we thought that that was what Mr Moulton was investing in and that there was a reasonable prospect for City Link’s future, although there was never any guarantee. It is a pity that the early venture has come to such a tragic and sad halt.

It is tremendous to see the approach being taken by Coventry’s leadership. After years of not making the progress we should have been making, the new leader, supported by her deputy, has made it plain that things have changed in Coventry’s approach to openness. We are looking to do things differently and are encouraging others to join us in a way that we might not have done in the past. It is in that spirit that we went down the City Link and other routes.

Consumer Rights Bill

Baroness Laing of Elderslie Excerpts

Monday 12th January 2015 Commons Chamber

Consideration of Lords amendments

[Madam Deputy Speaker (Mrs Eleanor Laing)]

I must draw the House’s attention to the fact that financial privilege is involved in Lords amendments 24, 38, 39 and 77. If the House agrees to any of these amendments, I shall ensure that an appropriate entry is made in the Journal.

New Clause

Secondary Ticketing Platforms

[Mrs Sharon Hodgson (Washington and Sunderland West) (Lab)]

I beg to move amendment (a) to Lords amendment 12.

[Madam Deputy Speaker]

With this it will be convenient to consider the Government motion to disagree with the Lords amendment.

[Mrs Hodgson]

Amendment (a) was tabled by the hon. Member for Hove (Mike Weatherley) and me. It gives me great pleasure to speak in support of the new clause as inserted in the other place; it follows on from new clauses 18 to 21, which I, the hon. Member for Hove and others tried to add to the Bill on Report. Those new clauses were based on the report produced by the all-party group on ticket abuse after our inquiry into the secondary market and what needs to change within it.

It is worth pointing out that all these interventions—the all-party group’s report, the new clauses in the Commons and, latterly, the new clause passed in the other place—have been completely cross-party. I would like to place on the record my thanks not only to Opposition Members, but to other hon. Members—in particular the right hon. Member for Bath (Mr Foster) and the hon. Members for Hove, for Selby and Ainsty (Nigel Adams), for North West Leicestershire (Andrew Bridgen) and for North East Cambridgeshire (Stephen Barclay). They have been big supporters in the all-party group and in working on the Bill during its passage through the House.

In the other place, the push was very ably led by former sports Minister Lord Moynihan and by Baroness Heyhoe Flint, both Conservative Members, as well as by Lord Clement-Jones, the Minister’s party colleague, who has been one of Parliament’s foremost campaigners for our live music sector. It was also strongly supported by my noble Friend Lord Stevenson and by many others from all parties and none, including Baroness Grey-Thompson. It is safe to say that the Minister’s counterpart in the Lords had a pretty rough time in those debates. If the Government had any doubt in their mind that they were on the wrong side of the argument when they rejected these amendments in the Commons last summer, their defeat in the Lords should have confirmed that for them.

--- Later in debate ---

[Philip Davies]

I fear that by using the RFU as an example my hon. Friend is rather leading with his chin. The RFU makes very few, if any, tickets available to genuine fans for rugby internationals. The tickets go all round the houses to rugby clubs and so on, but a genuine fan who wants to go and watch rugby finds it difficult to get their hands on one. The secondary market is one of the prime reasons why—[Interruption.] I will not give way again. My hon. Friend has made his point—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. Just because we are talking about rugby does not mean we have to behave as if we are on a rugby field.

[Philip Davies]

Thank you, Madam Deputy Speaker. For a genuine fan who does not belong to a rugby union club but wants to watch a rugby international, the secondary ticketing market is one of the best ways of indulging their interest.

The hon. Member for Washington and Sunderland West and my hon. Friend the Member for Hove (Mike Weatherley) found that every report on the secondary ticketing market went against them, so they decided in the all-party group on ticket abuse to produce their own report, because they knew that it could come to a conclusion with which they agreed. It was a sort of desperate measure—no one else would agree with them, so they produced their own report. As I understand it, in their report they argued against capping prices, yet the amendment is in effect a price cap. The amendment states that tickets can be resold, as long as they are not resold above their face value, and that is a price cap—[Interruption.] Of course it is. If someone can resell a ticket but that resale is limited to its price value, there is a price cap on that ticket. We have the extraordinary situation where the hon. Lady and my hon. Friend have come up with their own report, and now they have tabled an amendment that argues against that report. They argued against price caps, but the amendment would introduce one.

There are many arguments against a price cap. First, we do not have price caps on other things. If I buy a ticket to an event, as far as I am concerned that is my ticket and if I want to sell it on to somebody else—for whatever price I can command—that should be my choice. Similarly, if I buy a house and want to sell it on at a later date to somebody at a much higher price, and someone is prepared to pay that price, why should the Government interfere in that legitimate transaction between a willing seller and a willing buyer?

People say that the market in tickets does not work properly because there is a dearth of supply and a lot of demand, and it is the same with houses. There are currently few houses for sale and a lot of people want to buy one, and the price of houses has rocketed as a consequence. Exactly the same arguments apply to housing as to tickets, yet who argues that we should have a price cap on houses and that someone cannot sell their house for more than they paid for it? It would be ridiculous for anybody to argue that, but it is exactly the same principle.

Small Business, Enterprise and Employment Bill

Baroness Laing of Elderslie Excerpts

Wednesday 19th November 2014 Commons Chamber

[Bill Esterson]

Will my hon. Friend give way?

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. Before the hon. Member for Chesterfield (Toby Perkins) considers giving way, I must point out to him that this is an extremely short debate, that he has had plenty of time to speak over the past two days, that many Members in the Chamber have not spoken on the Bill at all in those two days, and that he has spoken for longer than the Minister. However, I leave it up to the hon. Gentleman; he has the floor.

[Toby Perkins]

Of course I take your guidance, Madam Deputy Speaker, and I shall attempt to crack on but, as we said yesterday, the programme order gives us a pathetically short period of time to debate the Bill.

--- Later in debate ---

[Toby Perkins]

I can see you, but I am saying something at the moment. The hon. Member for Huntingdon wished to move an amendment—

[Madam Deputy Speaker]

Order. This is not the moment for discussing the programme order. We have very little time left in which to consider this important Bill, and the hon. Gentleman must stick to his Third Reading points—briefly.

[Toby Perkins]

I think that that rather makes my point, Madam Deputy Speaker.

At the start of the Bill’s passage, our objectives were clear—[Interruption.] The Minister for Business and Enterprise is getting angry now. I appreciate that he has had a pretty difficult couple of days, but he should have been apologising last night not to the Prime Minister, but to all the publicans he was trying to get in the way of and all the people he has let down. He turned up late to the start of the Bill’s proceedings in Committee and its passage has been a shambles. If this is his Churchillian way of taking measures through Parliament, he should have spent a little more time at the knee of the Chancellor of the Exchequer, as he might have learned a little more.

--- Later in debate ---

[Tom Blenkinsop]

On a slightly different note, I wanted to raise one factor that was highlighted to me. There has not been one speech or one single contribution from a Scottish nationalist during the entire—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. That is not a point for Third Reading. I asked the hon. Member for Chesterfield (Toby Perkins) to be brief because there are people who have had no chance to speak in this debate. I trust that what the Chair says will be listened to.

[Toby Perkins]

My hon. Friend the Member for Middlesbrough South and East Cleveland (Tom Blenkinsop) was making an important point, but I accept your guidance, Madam Deputy Speaker.

We have come to the end of the Bill. We look forward to it coming back here. It has been strengthened in respect of prompt payment and includes the market rent only option and a pubs code that the industry has demanded for many years, but we have not seen serious action on zero hours. We have seen a Government at the fag-end of their time in power doing the least they could on the question of zero hours, which shows their lack of commitment to dealing with the issue. None the less, the Bill leaves Report stronger than it arrived, and the House should be very proud of that.

--- Later in debate ---

[Bill Esterson]

The Bill has the words “Small Business” firmly in the title, but the measures it introduces also cover employment. We did not discuss what the hon. Member for Huntingdon (Mr Djanogly) talked about at all, but a strong theme running through much of what we did talk about was the insecurity that is endemic in our society today, whether for small businesses or in employment. The question that I do not think has been answered in Committee, on Report and on Third Reading is whether the measures in the Bill will address that insecurity.

We had some very good debates on pub companies, and an amendment that will help family brewers was made in Committee. That will go a long way towards helping that sector. Then we had yesterday’s fantastic decision by the House to support the market rent only option, which Members across the House and many outside have long campaigned for. I know that Elaine Lynch of the Weld Blundell in Lydiate will be one of many publicans in my constituency who will welcome that decision.

Another issue we debated long and hard, including on Report, was late payment. As my hon. Friend the Member for Coventry South (Mr Cunningham) said, we will have to wait and see whether the Bill makes a difference in practice. One in five business failures are the result of late payment. Some £39.4 billion in late payments, or £38,000 on average, is overdue to small businesses. The Government have missed an opportunity by not supporting our amendment on an automatic 8% charge on late payments. As the Forum of Private Business has stated, that would have made a significant difference and gone a long way towards reducing the time and cost that small firms spend chasing late payments, allowing them to concentrate on growing their business and creating jobs.

I think that opportunities have been missed with regard to employment, zero-hours contracts, the exploitation of workers and abuse of the national minimum wage. The Government have promised to do things without actually putting measures in the Bill. We will have to wait and see whether they make a difference or not. In my constituency, 40% of workers are paid less than the living wage. Across the country that is a huge problem for many people and their families, whether as the result of the growth in part-time work, zero-hours contracts or bogus forms of self-employment. The reality is that the change in the nature of employment and the growth in low pay are fundamental reasons why the deficit has gone up, despite the Government’s claim that they would get it down, because tax receipts are not being collected. That is the reality of what life is like—

[Madam Deputy Speaker (Mrs Eleanor Laing)]

Order. I asked the hon. Gentleman to be brief. I trust that he will listen to the Chair.

[Bill Esterson]

Thank you, Madam Deputy Speaker. I made that point because the Bill was an opportunity to tackle some of the problems at the heart of our economy, to build an economy that works for small businesses and for ordinary people, and I do not think that the Government have come anywhere near that. That is why we need a Labour Government to support small business and people on low pay. This Bill is a missed opportunity. I hope that the Government can deliver on some of the things they said in Committee and on Report, but we will have to wait and see.

Small Business, Enterprise and Employment Bill

Baroness Laing of Elderslie Excerpts

Tuesday 18th November 2014 Commons Chamber

[Debbie Abrahams (Oldham East and Saddleworth) (Lab)]

I beg to move, That the clause be read a Second time.

[Madam Deputy Speaker (Mrs Eleanor Laing)]

With this it will be convenient to discuss the following:

New clause 3—Prompt Payment Code, duties of the Secretary of State—

‘(1) The Secretary of State shall—

(a) ensure that any business with payment terms of more than 60 days cannot sign up to the Prompt Payment Code, and that any existing signatory with payment terms of more than 60 days is removed from the list;

(b) at the end of each financial year, the Secretary of State shall write to all businesses in the FTSE 350 who are not signatories of the Prompt Payment Code asking them to become so;

(c) the Secretary of State shall publish a list of those businesses written to prominently on the Government’s website.”

New clause 4—Late payment review—

‘(1) The Secretary of State shall—

(a) conduct a review into how the Government can use the payment publishing regime to ensure that small businesses who are paid late by a larger supplier are automatically paid compensation, and into how the onus of reporting late payment can be shifted away from the smallest businesses who cannot afford to lose significant customers; and

(b) report back to both Houses of Parliament on the conclusions of the review.”

Amendment 6, in clause 3, page 4, line 33, at end insert—

“(g) about the circumstances and process for amending payment terms of the company.”

This is for companies to include details of the circumstances and processes (including who will be involved) by which payment terms would be amended, preventing unilateral and ad hoc changes.

Amendment 91, in clause 11, page 12, line 19, at end insert—

“(5) The Secretary of State may by order establish a Prohibited List of certain classes of exports that cannot receive UKEF/ECGD support.

(6) An order establishing , or thereafter amending a list for the purposes mentioned in subsection (5) shall be subject to the affirmative resolution procedure.”

This amendment would grant the Secretary of State the power to prohibit specified types of exports from receiving government support, thereby enabling UK export finance provision to reflect government policies and priorities, such as preventing arms sales to certain regimes. The content of, or changes to, any such list would need to be approved by Parliament.

Government new clause 5—Independent Complaints Commissioner: reporting duty.

Amendment 92, page 20, line 5, leave out clauses 20 to 26.

This amendment removes the obligation on future governments to set a deregulation “business impact” target for each Parliament.

Government amendments 27 and 28.

Amendment 7, in clause 37, page 35, line 9, at end insert—

“() duties to establish the past payment performance of potential parties to a contract, before contracts are entered into;

() duties to ensure contracts entered into include the contractor’s requirements for prompt payment of their suppliers.”

These are to ensure that the payment performance of potential contractors are known before contracts are entered into and that contracts entered into require contractors to pay their suppliers promptly.

Amendment 1, page 35, line 16 , at end insert—

“() duties relating to the provision of apprenticeships and training opportunities as a result of procurement;

() duties to publish reports about the amount of expenditure undertaken by the relevant procurement function in relation to—

(i) amount and proportion of expenditure undertaken by small and medium-sized enterprises,

(ii) amount and proportion of expenditure undertaken in the local area.”

Amendment 2, page 35, line 22, at end add—

‘(5A) A person making regulations under this section may also specify the reasons why firms may be excluded from entering into contracts.”

Amendment 3, page 35, line 28, at end add—

‘(8A) Regulations under this section are subject to the provisions of the Freedom of Information Act 2000”

Amendment 4, page 35, line 30, leave out subsection (10).

[Debbie Abrahams]

This group of amendments is seeking to address the very significant issue of businesses paying their suppliers late. Recent data show that the late payment debt burden for UK businesses is more than £46 billion, with SMEs shouldering most of this. They are owed nearly £40 billion in late payments and 60% of small businesses are affected, with the average small business owed over £38,000 in late payments.

It is getting worse: £36 billion was owed in 2012, so the increase over recent weeks and months can be seen. In other debates we have heard about the implications of late payments for these small businesses, from productivity to access to finance and credit terms—all these are affected. For these businesses, there is not just the inconvenience of spending an extra 158 million hours chasing payment: vital cash flow that is stemmed often affects their very survival, their jobs and their livelihoods. In 2012 it was estimated that 124,000 small businesses were put out of business directly as a result of late payments.

For me, it has been about the personal stories. My interest in late payments started when a constituent came to me and said that their business was going under directly as a result of this issue. This opened a can of worms, not just in my constituency but across the country. The issue of late payments is endemic. When someone describes how their life’s work has been destroyed by what can only be described as corporate bullying—large companies paying their bills late just because they can, because they have the power—it is clear that it is one of the most raw forms of injustice.

From the late payment inquiry held last year, it was clear to us that it is not just a micro-economic issue. With approximately half the work force and half the UK’s income in the private sector coming from small businesses—a massive £1,558 billion—it is inconceivable that late payment is not affecting the wider economy and, of course, a sustainable recovery. I am glad that the Government are tackling the issue; it has been a long time coming. I started my Be Fair—Pay On Time campaign in 2011 and now the Government are finally getting to grips with the issue, but I am afraid that the measures in the Bill do not go far enough. It is regrettable that in Committee the Government failed to support measures that would have seen small businesses automatically compensated for late payment by their suppliers. I hope that the Minister will reconsider and have a look at new clause 1 and the amendments.

New clause 1 seeks to address the issue of retention of moneys in the construction industry. You may be aware, Madam Deputy Speaker, that at any one time over £3 billion is outstanding in the construction industry by way of cash retentions. This is an aggregate sum of moneys provided for by small businesses in the event that they fail to remedy defects. I have several examples, including that of a company that wrote to me to say that £60,000 of retention moneys was withheld—5% of the overall contract—for eight months. There was nothing in the contract about that. They had to go through adjudication and it ended up with them losing £22,000. These are small businesses, and this is their livelihood.