(11 years ago)
Commons ChamberFirst, I apologise to you, Mr Speaker, and to other hon. Members, for arriving late. I was in a Select Committee interviewing the Home Secretary and the Justice Secretary so I could not be here earlier, but I wanted to speak in the debate and I am glad to have the opportunity to do so. I will not speak for too long, because others wish to speak.
I am particularly concerned about numeracy. I used to teach economics and statistics and am familiar with numeracy problems. Lord Moser, who is a splendid member of the other place, wrote a report some 15 years ago that I have talked about in the Chamber many times. He found that more than 50% of the population were innumerate. He illustrated that by saying that 50% of the population did not understand what 50% means. When I write articles for newspapers I do not just write 10% but “one in 10”, to make sure that people get the message, because not everyone understands percentages.
I have encountered many adults with numeracy problems. When I taught economics, the first question I would ask my students was: what is the difference between 1 million and 1 billion? Many of them did not know, so I said that a million is not very much and a billion is quite a lot. I used to ask, “How many houses can be bought for £1 million and how many houses can be bought for £1 billion?” In Luton, one might be able to buy five for £1 million and 5,000 for £1 billion.
Was my hon. Friend teaching in the US or the UK? The answer would be different if he taught in the US.
I was teaching in Britain, where of course 1,000 million makes 1 billion—let us get that straight from the beginning.
I met Lord Moser recently at a reception in the House of Lords. He is an elderly man now, but he still despairs of the problem of adult innumeracy. Adults are bamboozled by politicians because we throw numbers about all the time—all parties do it. A Front Bench spokesperson can say, “We are going to spend £20 million extra on the national health service.” Twenty million pounds is absolutely nothing in the scheme of things in public expenditure, but £20 billion is a significant amount. Politicians constantly bamboozle the electorate, knowing that they can be not very sophisticated at handling such numbers.
I used to teach elementary statistics to A-level students studying sociology. I used to do simple sums with square numbers to find the square root. For example, the square root of 100 is 10—that is quite easy. When one of my students said that nine times nine was 89 and 10 times 10 was 110, I realised there was a problem. I have another anecdote. The daughter of a good friend of mine wanted to be a nurse. She had various O-levels, so I said, “Why can’t you be a nurse?” She said, “I can’t pass O-level maths.” I asked her why not. She said that she could not do multiplication because she had never been taught it—imagine that.
We have to go back to a philosophy of education and teaching that was utterly misguided. My wife and my brother are both primary school teachers. In the 1960s, 1970s and, to a certain extent, the 1980s, rote learning of tables was regarded as anathema—absolutely forbidden. Complete and total nonsense. Of course, I angered many of my good friends on the left who thought I was some sort of authoritarian, because I thought that learning tables was a good idea so that people knew that 12 times 12 was 144—elementary stuff.
When I first entered the House in 1997, I raised this issue with the then Schools Minister, Stephen Byers. I said that we had to look at teaching methods and the interface between teachers and pupils, particularly in primary schools so that pupils learn numeracy properly at the beginning. He said, “Oh no, that would be too prescriptive.” Sometimes we have to be prescriptive. We have to say that some things work and some things do not work. Let us look at other countries where numeracy is better.
The international comparison table published in The Independent yesterday showed that we are slipping down the table, and that 16 to 24-year-olds are actually worse than the previous generation. We are now quite low down the table, which is very worrying. If we are to produce the engineers and the skills we need for the future, we have to address numeracy problems. Governments have to look at what works and try to ensure that that is what is applied in schools. It is not enough to reorganise institutions—creating academies and free schools and so on. We have to look at what is happening in the classroom at every state school, because we have a problem.
I am grateful to the hon. Gentleman, who I will refer to as my hon. Friend, because he is a friend. I am delighted that he is speaking so passionately from such an informed background—it is very helpful. I wonder whether we have enough of a joined-up approach to adult illiteracy and innumeracy. I also wonder whether we use our libraries enough, and whether the Minister ought to be thinking about using such facilities and giving them a new lease of life.
I thank the hon. Gentleman for his helpful intervention.
We should try to have one-to-one teaching for adults with numeracy problems. I have done some coaching and have found that it is often the simple things that fox people. Not everybody is gifted at mathematics, but sometimes people are puzzled because they do not realise that a division sum can be expressed in different ways: by having one number over another, or by having two dots on either side of a line. People get confused, but it all means the same thing. How many times does 10 go into 100? Whichever way we write it down, it will always be 10. We have to have one-to-one tuition. During my coaching and teaching I have seen the light that appears in people’s eyes when they understand something that has mystified them all their lives.
We have to look at what happens in the classroom between the teacher and the pupil. We have to ensure that teachers in primary schools are comfortable with mathematics, can handle numbers and feel at ease with them. A deeply worrying statistic from 40 or 50 years ago was that 60% of primary school teachers had failed O-level maths. I am not saying that O-level maths is the acme of success, but it showed that they were uncomfortable with the subject. If teachers are uncomfortable with the subject, having them introduce children to mathematics is not a sensible way to proceed.
It is clear from the statistics published yesterday, and from the Moser report some time ago, that we still have a problem. We are slipping down the league table and Lord Moser still has concerns. I hope that the Government, whoever is in office, address this problem by looking at teaching methods and finding out what works. We need to ensure that the next generation of children do not become innumerate like so many adults today.
I congratulate the hon. Member for Gosport (Caroline Dinenage) on securing an excellent debate about an issue on which she has fought and campaigned for some time. Her speech reflected her expertise and passion. I also congratulate the other Members who have contributed to this valuable and serious discussion of an issue that continues to be significant.
The warnings issued by the OECD in its report make it clear that Britain faces a considerable challenge in aiming to raise the literacy and numeracy levels of, in particular, the most deprived people in the country. The report is unequivocal in identifying the need for England and Northern Ireland to address social inequalities, especially among the young, as a key reason for the fact that we are falling behind in that regard. It emphasises that although we in Britain make good use of our highly skilled talent pool, there is a stronger association between higher levels of literacy and good social outcomes here than in most other countries.
Although the motion provides some guidance in regard to the aspects that we should be considering, it is somewhat limited, in that it proposes an academic solution to what is largely a social problem. I entirely support its call for literacy and numeracy programmes to be made more accessible to the people who are hardest to reach, and its call for imaginative support for illiterate adults, but, to a degree, it seeks to address the symptoms rather than the causes of the current problem.
The hon. Member for Gosport provided us with an impressive list of statistics relating to the social and economic costs of illiteracy and the extent to which it disadvantages Britain in the global race. She also suggested giving jobcentres a mandatory role in dealing with illiteracy and innumeracy. I believe that, if jobcentres are to play such a role, they will need to change their relationship with the people whom they see as customers. Many people come to see me after visiting jobcentres, and it is clear to me that the current relationship is not likely to enable them to feel positive about jobcentres’ sending them in the direction of literacy. However, the National Institute of Adult Continuing Education has said that there is a potential role for jobcentres, and I think that the idea could be considered if the culture within them were to change.
My hon. Friend the Member for Huddersfield (Mr Sheerman) made an excellent speech. His passion for Caitlin Moran was clear for all to see, and I am sure that it will gratify her. He reflected, importantly, on the changing face of our economy, and on the fact that our economic and educational needs have, in some respects, become aligned with each other. As our economic needs change, it is vital for our educational needs to change as well. He made another important point about the huge potential for business people to serve as mentors in our schools. The Labour party is considering that proposal in detail. Business people have been serving as school governors in Labour-controlled Waltham Forest, and I should like to see more of them reflecting the needs of business in our education establishments.
The hon. Member for Ribble Valley (Mr Evans) made such a brilliant speech that I wrote down four of his observations so that I could reflect on them. He pointed out that the issue of literacy and numeracy had dogged the country for many years, and that successive Governments had wrestled with it. Like other Members, he mentioned libraries. He also referred to the important issue of immigration.
Immigration has produced numerous economic and cultural benefits, but there is no point in pretending that it has been a one-way street. It has also posed significant challenges. As the OECD report made clear, in many cases there is a higher level of illiteracy among members of specific ethnic groups who come to this country, quite apart from the fact that English might not be their first language.
My hon. Friend the Member for Sunderland Central (Julie Elliott) was passionate about a project in her constituency, and about the excellent work that is being done there. Indeed, throughout the debate we heard about positive projects that are taking place in individual areas. It seems to me that if those projects could be joined up, they would work better as a result.
The hon. Member for North Swindon (Justin Tomlinson) made a plea for financial education. He too focused on the importance of libraries, as did the hon. Member for Northampton South (Mr Binley)—who, I understand, could be backed at 16/1 with Paddy Power yesterday to win the deputy speakership, but is now at 5/2. While I entirely endorse what he said about the role that libraries could play, the massive level of local authority cuts is causing them to close throughout the country. We cannot say that libraries should be doing more while at the same time ordering authorities to make the cuts that are leading to the closures.
I would make a similar point to the hon. Member for Worcester (Mr Walker), who referred to Sure Start. There have been huge cuts in Sure Start, 400 of whose centres have closed. It is estimated that a third of its funding has disappeared since the Government came to power. Although I think that the hon. Gentleman is right to ask about Sure Start’s role in relation to literacy and numeracy, I do not think that it can be taken out of context.
The hon. Member for Tamworth (Christopher Pincher) asked when we will deal with this. When will we see this done? Will this be the Government who really make a difference? I am keen to investigate that question now.
The OECD report made it clear that Britain is above average in the achievement of level 3 and level 4 literacy in comparison with our European neighbours—ahead of Germany, the USA, France, Italy and Spain—but we have many more people than our competitors do who fail to reach level 1, which is people who are functionally illiterate. Adults at level 1 have a reading age of 11. I read today that The Guardian has a reading age of 16 and The Sun has a reading age of 11, and I share the concern of the hon. Member for Gosport that many of the one in six adults to whom she referred will be able to read The Sun but not The Guardian. That could explain a lot.
We face a significant challenge and we need to focus on the steps we are going to take to do something about this. We need to realise that social inequality is a key determinant of academic inequality.
I am tempted to give way, as I am always very keen to hear from my hon. Friend, and his attempt to intervene reminds me that I failed to mention his contribution on the importance of numeracy, particularly in rebalancing the economy. I was surprised and encouraged to hear that he has been annoying his friends on the left. That is not something I have always accused him of, but it is always good to have things revealed in the House.
We need to look at what is actually happening. There has recently been a big increase in child poverty. The Institute for Fiscal Studies estimates that 3.1 million children will be living in absolute poverty by 2013. Much of the progress that was made on child poverty between 1997 and 2010 is being eradicated and that is not going to reduce the social inequalities that this report tells us we need to address.
There have been cuts to local authorities and Sure Start centres, and further education funding has been cut by £260 million. The number of working poor is increasing. Countries at the top of the education table are countries that have a social democratic model of government. We need to learn the lessons from this report.
What would our approach be? First, we need to identify those groups in society who are most vulnerable to being illiterate or innumerate and put in place a series of guarantees to ensure they are not simply thrown into the job market and expected to sink or swim without the skills they need in numeracy and literacy. Any step that would see more children educated by unqualified teachers would be retrograde. We need to see steps to support people who are at greatest risk applying to all school leavers. Those who are not achieving the standards of literacy and numeracy that they should by the age of 16 will be given a chance to catch up with a guarantee of further study in those areas until the age of 18.
We also need to support Army leavers more. About 39% of Army recruits join with literacy and numeracy skills at level 1. The Army’s extensive apprenticeship programme has already done a fantastic job in improving the literacy and numeracy of many of those people, and one nation Labour would strongly support the Ministry of Defence as a leading Department in tackling that problem.
We also need to focus on our prisons. Some 48% of the prison population have a reading age of 11 or lower, so there needs to be a real focus on supporting people in our prison population to ensure they get the skills they need.
The answers to the problems are not purely pedagogical, however; they are very much social. When we still live in a society where people can be in work and in poverty and where the cost of child care can mean it still does not pay to be in work and where children can arrive in school at the age of five unable to speak, we should not be entirely surprised that we face this problem.
To address it, a one nation Labour Government will ensure that working parents of three and four-year-olds will get 25 hours of free child care a week, paid for by a banking levy worth £800 million a year. We will also legislate for a primary school guarantee that every school is an 8 am to 6 pm school. I agree with what has been said about making better use of our schools. We need to rescue Sure Start from the huge cuts it has had, and we need to work with experts to develop the best solution to overcome these stigmas and barriers.
I congratulate the hon. Member for Gosport on the excellent debate she has instigated and her contribution to it. She is right that this is a vital issue. A tremendous partnership approach is needed in order to improve it and to ensure we have greater opportunities for all, and to make better use of all of our people so we can start to fulfil the promise of Britain.
Absolutely. We are third from the bottom in the developed world, as surveyed by the OECD. We are 22nd out of 24 in numeracy and 21st out of 24 in literacy and however we want to cut those figures, they are bad.
I pay tribute to all those who have worked so hard in this area, especially the National Institute of Adult Continuing Education and its chief executive, David Hughes, whose lifelong work has been spent trying to drive up adult literacy and numeracy. So much of the solution is about high expectations and standards and, as a country, we have tried over the last decade and more to find one merely by throwing money at the problem. It is clear that while money is part of the answer, it is only part of the answer, and a lot of it is to do with making sure we get the right teaching to the right expectations with the right level of rigour.
This problem must be solved first in our primary and secondary schools. We can then try to solve it, for those who do not succeed at school, in colleges and further education, and then, of course, for those for whom that still does not work, throughout life. This problem must be tackled at all levels, therefore.
Let me set out some of the actions the Government have taken. The focus on numeracy and literacy in primary schools is crucial, but, as well as time spent on these issues, we have to make sure we have high expectations of children at a young age. We need to make sure that grammar is taught properly and that mental arithmetic matters—that we do not rely only on calculators, and instead the understanding of basic maths is inculcated deep in pupils. Then we must reform GCSEs and have a more stretching curriculum for teenagers, and then, for those who do not get the crucial C or above in GCSE, make sure they continue to learn English and maths. The introduction of the tech level and the tech bac will drive that among those who do not go down the A-level route. As announced this week, we are introducing a core maths paper that is somewhere between a GCSE and an A-level so that for the 40% who get a C at GCSE but do not continue to study maths there is a qualification that is not as big as a full A-level but allows them to continue studying maths.
I wonder whether the Minister is going to touch on teaching methods in primary schools and some of the points I made. Some of his ministerial colleagues and former ministerial colleagues were keen on examining teaching methods, particularly in primary schools, to make sure that we have got that right. If we do not get that right, we will not make much progress.
I could not agree more with almost everything the hon. Gentleman has said in this debate. He made a remarkable contribution and I was coming on to respond in more detail to it. I entirely agree that getting teaching methods that work matters, but what also matters is that the teachers believe in the methods they are using—that is what the evidence shows—and move away from what he called an “utterly misguided” philosophy of learning. I like him more the more I listen; thank goodness there are people on both sides of this House who think that it is utterly misguided not to stretch pupils and not to have rigorous and evidence-based methods of teaching.
We are also tackling levels of illiteracy among benefit claimants, introducing new conditionality to require the learning of English and looking towards introducing a concept for younger benefit claimants of “earn or learn”, so that we incentivise people into training rather than pay them so long as they do not train for more than 16 hours a week.
Apprenticeships and traineeships are, of course, close to my heart, and they increasingly require English and maths. Some people say, “If you go into an apprenticeship, you should not have to do English and maths because apprenticeships are for people who are going into jobs that do not require those things.” But there is almost no job that does not require a basic standard of English and maths. In this modern workplace—by that I mean around the country, not necessarily in this building, as it is not the most modern of workplaces—the level of English and maths required is vital.
Absolutely; I believe somebody once called them the forgotten 50% and they were indeed forgotten. That is no longer the case. Educational reform has to be about making sure that everybody can reach their potential. I was going to say that an intellectual error has been made in the past and we have to put it right. I am talking about the argument that because someone has a low level of education or they are undertaking a low-level qualification—level 1 or level 2—what they are doing does not have to be rigorous, stretching and high-quality. At every level of education we have to make sure that we get as much improvement in pupils as possible. We are trying to put right that mistaking of a low level with the “need” for low-quality and sloppiness.
It is fantastic and an honour to be answering the first speech that my hon. Friend the Member for Ribble Valley (Mr Evans) has made from the Back Benches for several years. He rightly argued that this is about the fulfilment of lives as well as about jobs and the economy. He, like my hon. Friend the Member for Tamworth (Christopher Pincher), mentioned the importance of tackling the issues faced by those who have dyslexia, and I could not agree more. It comes back to the previous point: just because someone has dyslexia does not mean they cannot have decent English and maths. It makes those things harder to teach and we need different techniques for teaching them, but we should not have low expectations just because people find something difficult. He also mentioned the importance of the context for learning and, as the Minister responsible for apprenticeships, I often find that people who failed in English and maths in a formal setting thrive in them as soon as they encounter them in a job. That is because suddenly it matters whether or not they can do their maths. If they can, they can do their job.
The hon. Member for Sunderland Central (Julie Elliott) mentioned Unionlearn, and I am grateful to her for highlighting it. The Government support it and fund it—it would be great to get some acknowledgement for that. My hon. Friend the Member for North Swindon (Justin Tomlinson) talked, as he often does, about financial literacy, and it was great to be able to put that into the curriculum. I hope that it works and that we do not think that the job is done just because we have put it in the curriculum. We have to keep an eye on it and make sure that it really works. He also talked a lot about school reform, which is the heart of the long-term solution to the problem.
My admiration grows for the hon. Member for Luton North. I did not know that he was an economic historian until now.
It was going so well. Never mind, I will forgive the hon. Gentleman. I am a former economist, but I have repented my sins.
My hon. Friend the Member for Worcester (Mr Walker) talked about employer concern and the problems highlighted by the CBI, the FSB, the BCC and the EEF. I want to put the Government’s position on the record on one point. He said that there is sometimes an impression that people are not mathematically minded and went on to say that they should still be able to learn maths. The concept of people who are not mathematically minded does not exist anywhere else in the world. It is a peculiarly British cultural concept and we must eradicate it, because everybody can do maths. It is just a matter of how they are taught. I absolutely hope we can turn that around, although changing cultural perceptions takes time.
Many Members talked about probation and prisons and we are working hard to drive up English and maths in prisons. We are paying by results and outcomes rather than simply the number of classes taught to try to improve that.
The challenge is historic and is set next to an historic publication. The shock from the OECD’s report has brought up an objective fact, which needs to be answered. I hope that it has finally settled the debate between those who say that a constant increase in qualifications passed represents a constant increase in quality of education. Increasing numbers of qualifications matters only when those qualifications are of constant value and we know that they have not been. The evidence shows that we have a serious problem that has got worse in the past 10 years.
We have learned that, above all else, alone in the developed world, our 16 to 24-year olds are not better educated in English and maths than those aged 55 to 65. Yes, money is important in solving the problem, but money alone is not the answer. Expectations, rigour and challenge matter too. The solution will not happen quickly. It takes years to turn around schools, but then it takes years for those turned around schools to educate the next generation. It is a vital task and I hope that all parties and Members of this House can get behind it so that everybody in this country can reach their potential.
(11 years, 1 month ago)
Commons Chamber5. What his policy is on the use of unqualified teachers in schools.
Head teachers are best placed to make staffing judgments in individual schools.
Under Government changes, more than half of all secondary schools can now employ unqualified teachers on a permanent basis, yet the Tory manifesto of 2010 stated:
“The single most important thing for a good education is for every child to have access to a good teacher. We will take steps to enhance the status of the teaching profession”.
Is it not now clear that the Government are going in precisely the opposite direction?
I am grateful to the hon. Gentleman for giving me the opportunity to point out that the proportion of postgraduate trainees in every subject, including non-target subjects, who have a 2:1 or higher degree, or a comparable overseas degree, has risen in each of the last three years. Teachers in our state schools are better qualified than ever.
(11 years, 4 months ago)
Commons ChamberOn Saturday, I had the pleasure of visiting a high-tech engineering company in Luton, and it was drawn to my attention, yet again, that we are having to recruit thousands of graduate engineers from abroad every year because we cannot train enough of them ourselves. When are the Government going to take real steps to encourage more youngsters to look for careers in engineering?
Our ministerial team, and, indeed, the superb team at the Department for Business, Innovation and Skills, take every opportunity to encourage young people to consider engineering as a career, but one of the problems we face is that the quality of the teaching of literacy and, in particular, numeracy and mathematics in science qualifications is often not good enough to give ambitious young people the chance to become engineers. That is why we are improving the quality of English, mathematics and science teaching, and reforming GCSEs.
(11 years, 6 months ago)
Commons Chamber7. What recent assessment he has made of the school priority building programme; and if he will make a statement.
17. What recent assessment he has made of the school priority building programme; and if he will make a statement.
We are making good progress in delivering the first schools in the priority school building programme. Unlike previous programmes, we are tackling schools with the greatest needs first—those in the very worst condition and special schools. The first contracts for these schools have been let and building work is to start in the next few weeks.
I note that Harrow council has welcomed the fact that eight of its schools are within the priority school building programme, but I can only apologise to the hon. Gentleman that the local council has not had a response from the EFA after such a long period. That is clearly not acceptable. I believe, though, that the council has met EFA officials on a couple of occasions. I can tell the hon. Gentleman that a letter will be going out this week from the EFA, and I am delighted to meet him if he would like to do so, after he has seen the contents of that letter.
The Minister may be aware that Luton has one of the highest proportions of school-age children in the whole country. Indeed, at one time a few years ago my constituency had the highest number of school-age children as a proportion. Will the Government continue to give serious consideration to Luton as a priority area, given that several of our schools are still bursting at the seams?
Yes, Luton is a priority area. Some of the first batches of the privately financed priority schools will be in the hon. Gentleman’s area and we expect those, after proper approval, to be released this spring. We are currently carrying out a survey of the entire school estate and later this year, when we have that evidence, we will be able to prioritise in a sensible way future allocations of capital.
(11 years, 8 months ago)
Commons ChamberThe changes will be brought in by 2015. We have put in place transitional arrangements to ensure that institutions have time to adjust. Especially in sixth-form colleges such as Farnborough, which has an excellent track record—it is truly inspirational—it is important that we move to per-pupil funding in a considered way.
Sixteen to 18-year-olds from disadvantaged backgrounds studying at further education sixth-form colleges do not receive free meals at lunchtime, whereas their counterparts in school sixth forms do. Is not that another injustice that needs to be addressed?
Schools do not receive any extra funding for provision of that duty, so when looking at that question we need to be extremely careful not to add new duties without extra funding to go with it.
(11 years, 9 months ago)
Commons ChamberI suggest that the hon. Lady speaks to her boss, who has advocated Danish and Swedish child care systems, both of which have higher ratios than we currently have in England. They also have higher salaries and higher levels of qualification.
We are looking at best practice in Germany, France, Denmark and the Netherlands to make sure that we end up with a system in which we pay child care workers more than the £6.60 an hour that they are getting at the moment. That is a legacy of the previous Government. We are paying those who should be highly paid professionals £6.60 an hour—barely more than the minimum wage.
13. What recent assessment he has made of the success of sixth-form colleges; and if he will make a statement.
Sixth-form colleges make an important contribution to the education of 16 to 19 year-olds. The latest data show that the sector is performing well in both student attainment and a range of valued-added measures. Nearly four fifths of sixth-form colleges are rated “good” or “outstanding” by Ofsted.
As the Minister has just said, sixth-form colleges are our most successful educational institutions, in terms of both quality of education and value for money. I suggest that the Government would do well by our young people and taxpayers if they sought to establish many more sixth-form colleges and ensured that those that we have are treated fairly and supported.
We will certainly go on strongly supporting sixth-form colleges. I believe that an all-party sixth-form college group will be formed in the near future with the hon. Gentleman as its chairman. I will be more than happy to meet him in his capacity as chair of that group.
(11 years, 10 months ago)
Commons ChamberThere was rather a lot in that question. I certainly agree with Lord Sainsbury. The Gatsby Foundation does excellent work in producing more occupational qualifications that have the standing of the industries they support. More occupational qualifications in this country would be a very good thing, because we have serious skills shortages, not least, as the hon. Gentleman has said, in the STEM subjects—science, technology, engineering and maths—particularly engineering. We are doing everything we can, including working with Lord Sainsbury, to turn that situation around.
7. What assessment he has made of the latest construction output figures; and if he will make a statement.
The latest Office for National Statistics figures show that the seasonally adjusted volume of construction output fell by 2.5% in the third quarter of 2012. The volume of new construction orders, however, rose by 5.4% in the third quarter of 2012.
I thank the Secretary of State for his answer, but the fact is that construction is in deep recession, with output falling by 10% between the fourth quarter of 2011 and the third quarter of this year. Industry is, indeed, in crisis. Is it not time for the Government to boost construction, including a programme of local authority house building to house the almost 2 million households on waiting lists?
Certainly, the construction industry has had a torrid time ever since the collapse of the bubble in residential and commercial property. I know that there is a lot of distress in the sector, but there is some indication of orders improving. As the hon. Gentleman knows, the Government have taken action in the past few months. In September, we launched the programme of guarantees for social housing bodies to proceed with construction and raise capital for that purpose, and the autumn statement announced £5.5 billion-worth of new commitments, mainly through guarantees, for infrastructure projects.
(11 years, 11 months ago)
Commons ChamberAt present, the evidence suggests that 10-year-olds in England are more likely to use calculators than those in virtually any other country in the world, and we are 28th in the world league tables for maths. It is important that children understand and are fluent in multiplication, division, addition and subtraction before they use calculators. That is why we are removing calculators from the primary tests, in line with high-performing countries such as Hong Kong and jurisdictions such as Massachusetts.
A dozen or so years ago, Lord Moser concluded in his report that more than 50% of people in Britain were innumerate and illustrated that by saying that 50% of the population do not understand what 50% means. Recently I attended a National Numeracy reception and spoke to Lord Moser again, and others, and the problem still exists. Are the Government able to put their finger on precisely what has gone wrong and is the Minister doing enough to put it right?
One of the issues we have identified is too early a reliance on calculators in some classrooms. There is also an over-focus on data in the primary curriculum at the expense of arithmetic and number, which are the basis of a strong mathematical understanding later in life. We are readjusting the balance to make sure that those core basics are secure first.
(11 years, 11 months ago)
Commons Chamber All I will say is that energy and how we deliver on an energy strategy must be part of any industrial policy.
One of the most pressing concerns for manufacturing is access to finance. At meetings of the all-party group and with constituents, bank lending is a theme we return to time and time again. We must consider closely how we will reform our banking system for the benefit of our manufacturers, which must be a key part of our industrial policy.
Skills are another area that the Government must consider and I welcome the work that has already been done, particularly on apprenticeships. They are giving more young people the chance to learn skills in some of our excellent educational facilities—not least Warwickshire college in my constituency. We need to do more to strengthen the whole curriculum, however, so that it supports our economy, particularly by supporting science, technology, engineering and maths—the STEM subjects —at primary and secondary schools. We also need to look at apprenticeships so that we have more of the higher level apprenticeships our country needs to compete with other rapidly upskilling economies.
The hon. Gentleman is talking about the importance of education and training. Is he not concerned that every year we have to import tens of thousands of qualified engineers from abroad because we cannot produce enough through our own educational system even for our diminished manufacturing sector?
Yes, I share that concern. It is incumbent on the House and on partners with an interest in manufacturing and industry to spread the news and create a greater awareness of jobs in industry. It is a matter of attracting people to those jobs, and our education system has a great part to play in that. That brings us back to the question asked by my hon. Friend the Member for Burnley (Gordon Birtwistle).
The Government have also rightly focused on infrastructure, on which the UK needs to improve, and a comprehensive industrial policy would seek to address that problem. A modern industrial policy must work to increase investment, by providing the right incentives and ensuring that the allowances and tax breaks make the UK one of the most attractive places in the world to do business.
Of course, an industrial policy should also consider other areas such as research and development, energy, procurement and export support, but I believe that the most crucial thing is that we should act swiftly to work on building a new industrial policy. Sector strategies are useful, but the main obstacles to UK manufacturing are at a national level.
If I may, I will continue.
A strong manufacturing ecosystem cannot depend on a few favoured industries but must see the whole of industry succeed. We have an historic opportunity over the next few years to develop consensus on a policy that our country desperately needs, working across political boundaries with business, trade unions and policy experts. I hope the Government will take the opportunity to do that, enabling manufacturing to be the engine of the UK economy once again and putting our country back on the path of sustainable and balanced long-term growth.
May I first congratulate my new hon. Friend the Member for Corby (Andrew Sawford) on his absolutely splendid maiden speech? I have some connection with him in a sense, because I come from the east midlands, my grandfather worked in the boot and shoe industry, and at this moment I am wearing a pair of English leather shoes that were probably made in his constituency—and splendid shoes they are, too. It really was an excellent speech, and I am pleased that my hon. Friend’s father is here to hear it, because he was a very good personal friend and comrade in this place. I am delighted that my hon. Friend is following in his father’s footsteps and I welcome him to the House of Commons.
I want to mention Bedford trucks as well, because the hon. Member for Lancaster and Fleetwood (Eric Ollerenshaw) mentioned them. They were made just outside my constituency in Dunstable and are all over Pakistan—thousands of them can be seen there today. Many people think it was a great mistake to stop manufacturing the basic truck, which is so rugged and can work in any conditions—and no doubt is infinitely superior to the Chinese competition.
I want to talk about Britain’s experience of manufacturing. Britain has suffered from savage deindustrialisation, brought about by utterly misguided economic policies enacted over a long period. We have had many figures quoted to us today. We have only to look at, say, the comparable 2006 figures for Germany and Britain, to see that manufacturing comprised 12.4% of our economy in Britain and 23.2% of Germany’s economy—almost twice as much. Germany is indeed the economic powerhouse of Europe, and one can see why. During the period 2000 to 2010, the UK share of world trade fell by 28%, whereas Germany’s fell by a mere 3%. Why are our countries so different? Governments in Britain have made persistent attempts to sustain an overvalued exchange rate. This goes right back even to the 1931 crisis, which sadly destroyed the Labour Government, because they did not realise that they could come off the gold standard and devalue, which is what they should have done and what happened immediately after they lost office.
Then we had the 1949 devaluation—very sensible—and in 1967, again after resisting devaluation for a long time, we eventually devalued, following which the economy of course bounced a bit. But then in 1979 we had the Thatcher Government, who immediately introduced policies that saw a massive appreciation of the pound. In two years we saw a fifth of manufacturing industry disappear and unemployment rise to 3 million, simply because of the massive appreciation of the pound and the collapse in demand for manufacturing. Between ’82 and ’88, in the Nigel Lawson period, we saw a pretty savage depreciation of the pound—by some 35% from peak to trough—and a great recovery because of that depreciation.
One of the industries hardest hit has been ceramics. One of the things that we have wanted for years in the ceramics industry is accurate country-of-origin marking and an end to bogus back-stamping. If something says “Made in England”, it should be made in England. Other countries in Europe want that in the ceramics industry, but the UK has always stood in the way. Does my hon. Friend agree that it is time we had a more open mind to such measures to ensure accurate consumer information, to counter counterfeiting and to give our industries a fighting chance?
I absolutely agree with my hon. Friend. Indeed, I have a wonderful set of Wedgwood china, which we use on special occasions, that no doubt comes from his constituency.
Then we had the 1990 to 1992 exchange rate mechanism disaster—again, an attempt to pinion our currency, in essence against the Deutschmark. We recovered from that after we devalued substantially—golden Wednesday—and the economy started to strengthen again. Indeed, if that economic strengthening had continued for three or four years longer, Labour might not have won the 1997 election, because we won on the basis of the terrible mistake made by the Conservative Government by going into the ERM. Those are key factors—the key factor, I think—in our economic weakness. But Germany kept its Deutschmark at a low parity for a prolonged period, and was allowed to do so because West Germany had to be, inevitably, the showcase for western capitalism against the east, and everything was done to ensure that Germany succeeded. It was permitted; it was allowed by the rest of the western world to keep its currency low as a necessary condition for economic success. Other factors, of course, were used to ensure that the Germans were successful, including a very strong interventionist industrial policy, which we forgot and left behind when we abandoned, for example, the National Economic Development Council, abolished by the Tory Government.
I am very interested in the hon. Gentleman’s remarks about Germany. Would he join me in congratulating the Germans on the important supply side reforms that they have made in recent years, to liberalise their economy and to make it the exporting success that it clearly is? Is that not a lesson for the United Kingdom?
If the hon. Gentleman thinks that we can recover by taking supply side measures, he is gravely mistaken. It is the macro-economic measures that the Germans took that were the basis for their success. Supply side measures can no doubt help, but having a low parity for the currency and then ensuring that investment goes into manufacturing above all was the key to German success. The euro, of course, is an invention, essentially to pinion the Deutschmark within the euro at a relatively low parity compared with the countries that Germany exports to. If those countries outside Germany but inside the eurozone were permitted to recreate their own currencies and devalue, they would not be able to buy quite so many BMWs and Mercedes as they do at the moment, and that would affect Germany. One of the reasons Germany is so keen to keep the eurozone going is simply that Germans know very well that if the eurozone was disaggregated, or collapsed, depending on how one chooses to describe it, the Deutschmark would immediately appreciate and Germany would have much more serious difficulties.
We have had that constant problem with our exchange rate. Ours has always been high, and Governments have tried to keep it high. Germany’s has always been low and German Governments have made sure it stayed low. I have had a number of experiences, about which I have written in the past, and spoken on many occasions. In 1988 I went to a meeting of the Anglo-German Foundation and raised the question of the “balance of trade problem” with Germany. I was immediately told to shut up by a very angry representative of the then German Government. I thought I was just raising something that was obvious to everyone, but he was very upset that I even raised the issue. In 1988 the Institute for Public Policy Research produced a pamphlet, “The German Surplus,” which raised that issue. That too was suppressed. I tried to get extra copies; I was told there was none. I asked who wrote it; no one would tell me. Clearly, the Europhiles inside the organisation were suppressing that document because it would damage our relationships with the European Union, which we were moving towards.
Macro-economics is the core problem. We could do lots of other things as well, but the macro-economics must be right. We must ensure that our exchange rate is right, and the only way we are going to start to recover industrially—in manufacturing terms—is first to have a substantial depreciation and then to do other things to ensure we recover. If we do not do that, we are in for a very bleak time.
I have with me the fine document produced by the Library every month, “The Economic Indicators,” which I read avidly. Let us look at the trade balances—visible trade. In 2010, Germany had a trade surplus—converted by the Library into dollars, for comparison’s sake—of $204 billion, when the UK had a deficit of $151 billion. That is the difference between countries. They should be, in many other ways, very similar. They have got it right; we have got it wrong. The UK trade deficit with the EU27—essentially with Germany—in August, the last month recorded, was £4.9 billion in one month, up from £4.4 billion in July. So it is getting worse. Most of that is, of course, with the Germans. The UK trade deficit for 2011 tipped over the £100 billion mark—a staggering figure. No other country would be able to sustain that, and we must do something about it in time.
Only a much lower exchange rate will make it possible to increase exports and drive an economic, and specifically industrial, revival in the UK. Only then will we see unemployment come down and living standards start to rise again. We must do this; it is a necessary, vital condition for success, and if we do not do it, we have a bleak future before us.
Debates in this House are often described by those who speak in them as important, but there is something important about today’s debate: on this subject, cross-party unity matters. There has been clear unity across all three parties that have been represented in this debate. Almost everybody stuck to that tone, until a brief period at the end. I will not push the point about who got us into this mess and I will not ask under which Government the number of private sector jobs in the west midlands fell, because it is important, for substantive reasons, that there is a cross-party approach to industrial strategy. This debate has shown the passion of Members and of the Associate Parliamentary Manufacturing Group.
I agree with the Minister that there should be cross-party consensus, provided that that consensus is on the right side. If everybody is wrong, we will drive ourselves further into difficulty.
That is a profound point about the need to avoid groupthink, with which I profoundly agree.
My hon. Friend the Member for Lancaster and Fleetwood (Eric Ollerenshaw) argued that we need to identify the best. He was passionate about enterprise and I heard his message. He will know that I am a huge supporter of enterprise zones.
I enjoyed listening to the historical debate between the hon. Members for Luton North (Kelvin Hopkins) and for Coventry North West (Mr Robinson), who are continuing their debate as I speak.
My hon. Friend the Member for Aldershot (Sir Gerald Howarth) asked a series of questions and brought his huge experience to bear, especially in relation to defence. The defence growth partnership is a BIS-led cross-Government partnership, which the Minister of State, Department for Business, Innovation and Skills, my right hon. Friend the Member for Sevenoaks (Michael Fallon), leads. On the specific point about R and D tax credits moving to above the line, the Treasury has consulted on that and is deciding on the detail. I am also grateful to my hon. Friend for helping me with the answer on the joint strike fighter, which I will come to in a moment.
Everybody in the House was struck by the fluent and impressive speech by the new hon. Member for Corby (Andrew Sawford). He described passionately his membership of the Co-operative party as well as the Labour party. My grandfather was part of the co-operative movement. The hon. Gentleman will no doubt want to contact my hon. Friend the Member for Hereford and South Herefordshire (Jesse Norman), who takes a lead on such issues among Government Members.
The hon. Member for Corby advanced the argument for the living wage powerfully. He spoke of the need to ensure that domestic British people have the skills to take the jobs that are available. Although more than 1 million private sector jobs have been created under this Government, we still have a huge amount of work to do. As Under-Secretary of State for Skills, my prime motivation is to ensure that British people have the skills and ability to do whatever it takes to get the growing number of jobs available. The hon. Member for Corby spoke with great passion, and all those present in the debate will have clocked that—well, let me put it like this: the attitude he showed to the Chief Whip on the Opposition Front Bench, and his ability to ingratiate himself with her, shows that he may not be on the Back Benches for long.
An industrial policy is central to achieving the goal of growth and enterprise, and there is broad consensus on that from the CBI to the TUC, as well as across the House. The reason for that is simple. Any Government in a mature economy has an industrial policy—as the hon. Member for West Bromwich West (Mr Bailey) and my hon. Friend the Member for Stafford (Jeremy Lefroy) argued, a Government cannot choose not to have one. We have an industrial strategy but the question is whether we have it by default or design.
My hon. Friend the Member for Stafford praised the Dutch system, from which we have much to learn. In my few weeks in this job I have recognised and warmly welcomed the constructive approach taken by the hon. Member for West Bromwich West to chairing the Business, Innovation and Skills Committee. He argued for a cross-departmental approach, and the growth committee on which I sit is an important part of that. He also argued for a cross-party approach, and not only do I agree with that, but I think hon. Members have demonstrated such an approach today. In particular, I pay tribute to the hon. Gentleman’s realism and ability to accept failures on the part of all past Governments. As he said, manufacturing halved as a percentage of GDP, and the passionate argument about that and the history around it was also put forward by the right hon. Member for Oldham West and Royton (Mr Meacher).
Crucially, an industrial strategy looks both at and across sectors, and we must ensure that we allow for the challenge of sectors that are yet to be dreamed of. Let me touch on four cross-cutting themes, as well as on sectors such as the automotive industry, life sciences and aerospace, in which we are pushing rapidly ahead with the publication of individual papers.
(11 years, 11 months ago)
Commons ChamberI shall speak very briefly; I am a late interloper into the debate, but I wanted to raise two points. Actually, my hon. Friend the Member for Plymouth, Moor View (Alison Seabeck) has touched on them already. I recently attended a demonstration of CPR. The instructor was at pains to say that mouth-to-mouth was not essential but CPR was, and that some people are put off volunteering for such courses because they are fearful of engaging in mouth-to-mouth resuscitation. That is what my hon. Friend said, so she emphasised, “Do not press the mouth-to-mouth resuscitation.”
I congratulate the hon. Member for Newton Abbot (Anne Marie Morris) on launching this superb debate, and all those who spoke so excellently. My hon. Friend the Member for Plymouth, Moor View deserves a medal because she has saved several lives.
I want to speak specifically about water life-saving, because 55 years ago I acquired an intermediate life-saver’s certificate. I have never had to use it, but I think even now I could do the basics and get someone out of the water without drowning myself, and get them breathing again—free their tongue, and all the things that I remembered when I was 14 or 15. That is a subset of life-saving, but it is very important and I hope that the Government bear in mind the encouragement for people to take up life-saving in water as well as dealing with cardiac arrests.
Those were the two points that I wanted to raise. I promised to speak for two minutes, and I hope I was not too long.