Oral Answers to Questions

Debate between Grant Shapps and Peter Grant

Thursday 24th October 2019 Commons Chamber

[Peter Grant (Glenrothes) (SNP)]

16. What assessment he has made of the implications for his policies of the collapse of Thomas Cook.

[The Secretary of State for Transport (Grant Shapps)]

Now that the repatriation of those Thomas Cook passengers is complete, my focus is on the next steps, including the announcement in the Queen’s Speech that the airline insolvency review will be turned into an Act of Parliament.

[Peter Grant]

May I first pay tribute to the staff of Thomas Cook in Glenrothes, who for a great many years have provided my constituents, and indeed myself, with a very professional and courteous service? Last week, the Government finally admitted that no Minister had spoken to Thomas Cook directly before the company collapsed. The Secretary of State claimed that the company could not be saved, but then some parts of the company in other countries were indeed saved. Will he now accept that if the Government had engaged sooner with Thomas Cook, they could have mitigated the impact of this failure, fewer people would have lost their jobs, the cost to the taxpayer would have been less and fewer people would have seen their holidays ruined?

[Grant Shapps]

That is simply not correct. I met the chief executive of the company on 9 September, and I have checked my closing words to him at that meeting, which were—[Interruption.] The hon. Gentleman might want to listen. My closing words to that company and to the chief executive were: “If there is anything that Her Majesty’s Government could do then please get in touch.” The response was: “There is nothing that can be done at this time.” Later, on 18 September, he wrote to the Government asking for not the £200 million that has been reported, but up to £250 million. That decision would have required accounting officer sign-off for a company with debt of perhaps £1.7 billion or, we now hear, perhaps even £3 billion. It simply would not have stacked up. We would have spent all the money that has been spent on repatriation in any case, as well as money to bail out a company that had enormous debts.