Oral Answers to Questions

Mike Wood Excerpts

Tuesday 2nd July 2019 Commons Chamber

[Robert Jenrick]

As I have already said, we intend to consult later this year. I strongly encourage my hon. Friend’s constituents to take part in that consultation; he and I have already spoken about this. I have met representatives from Cornwall Council, for example, to talk about the issue and some of the projects that they care strongly about—including, of course, the stadium in Cornwall, of which my hon. Friend has been a strong proponent.

[Mike Wood (Dudley South) (Con)]

Rebalancing the economy is not just about north and south or the different nations of the United Kingdom. Will the Minister ensure that the shared prosperity fund is distributed using a range of indicators, such as gross value added, the regional human poverty index and disposable income, so that areas in the west midlands in need receive their fair share?

[Robert Jenrick]

Absolutely—those are exactly the kinds of questions that we dealt with in the consultation.

Oral Answers to Questions

Mike Wood Excerpts

Tuesday 21st May 2019 Commons Chamber

[Mr Hammond]

I am afraid I do not agree with the hon. Lady about the national living wage. We have set out an ambition for it to reach 60% of median earnings by next year, which we will achieve. As I said in the spring statement, we now need to give a new mandate to the Low Pay Commission for the future trajectory of the national living wage, and I want us to be ambitious in doing that, but I do not want us to price low-skilled people out of work. That is why I have started a series of roundtables, the first of which was the week before last, with representatives from industry and the trade unions to decide what our strategy will be to increase the national living wage in this country.

[Mike Wood (Dudley South) (Con)]

How many people in the west midlands are benefiting from recent increases to the personal allowance and the higher-rate threshold?

[Mr Hammond]

The answer is lots. Had I known my hon. Friend was going to ask me that, I would have been able to give him a precise answer. I will write to him.

National Insurance Contributions (Termination Awards and Sporting Testimonials) Bill (Second sitting)

Mike Wood Excerpts

Tuesday 14th May 2019 Public Bill Committees

[Robert Jenrick]

That is absolutely right. As I have just said, we have no intention of changing the threshold. If a future Government wished to do so, that would need to be done through an affirmative statutory instrument and the House would have the opportunity to debate it and take issue with it in the usual way, if it wanted to. We have no plans to do so; my hon. Friend is right to seek that clarification.

[Mike Wood (Dudley South) (Con)]

Understandably, several concerns have been expressed about the impact that any changes might have, particularly on people on lower incomes who might have served in a job for many years before being made redundant. Can the Minister explain how the £30,000 threshold compares with the maximum available from statutory redundancy pay, and who might be captured by the measure?

[Robert Jenrick]

My hon. Friend makes an important point. Statutory redundancy pay is £15,000, so for these purposes, £30,000 appears generous. I have already made the international comparisons. It is also important to point out that there are a number of exemptions altogether, for discrimination, physical harm, disability and so on, set out in other areas of legislation to ensure that those who are particularly vulnerable and deserving are protected when it comes to the payment they receive for their injuries.

I will briefly discuss the amendments that would be made to the Bill if new clauses 1 and 4 were accepted. New clause 1, tabled by the hon. Member for Aberdeen North, seeks to require the Government to produce a report on the impact of class 1A NICs on termination awards. Furthermore, it specifies that the report must contain

“an assessment of the expected impact”

of the changes in certain respects, which I will not list here but which are available in the Bill documents. New clause 4, tabled by the right hon. Member for Hayes and Harlington (John McDonnell) and the hon. Members for Bootle, for Oxford East, for Stalybridge and Hyde (Jonathan Reynolds) and for Manchester, Withington from the official Opposition, also asks the Government to report on several similar issues to those covered in new clause 1.

The new clauses are unnecessary because they seek to force the Government to report on a narrowly prescribed set of issues, most of which have been considered during the detailed consultation that has already been completed and that I have outlined, ahead of new information becoming available. The Government are already committed to reviewing the measures and being transparent about the impact that they are expected to have.

It is worth giving Committee members a little more detail on these issues. First, the Government do not deem it appropriate to conduct reports that have been very narrowly constructed. A report focused exclusively on one aspect of the Government’s reforms to termination payments—the distribution analysis, for example—would miss other important aspects such as the impact on the levels of tax avoidance or the funding of public services.

--- Later in debate ---

[Peter Dowd (Bootle) (Lab)]

It is a delight to see you in the Chair, Sir Henry. I thank the people who gave evidence today to the Committee; it was very helpful. I had something like 50 questions to ask. I was unable to ask them all, but I will relieve Members by saying that I will not ask them all now—possibly 45, but not the 50 that I had planned to ask.

Contrary to what the Minister says, we do not, through new clause 1, want to “force” the Government to do this, that or the other; we do, however, want them to come to Parliament and accept parliamentary scrutiny. There have been no amendments to any of the Finance Bill Committees that I have sat on; I think it is four in total. In the mother of Parliaments, we were unable to scrutinise those Bills properly and appropriately—my colleagues will remember several of them—because the Government have tried, and continue to try, to close down any scrutiny. It is very important to get that on the record.

As for the implication that if we do not agree to the proposals, it will somehow have an impact on job creation—that old chestnut—as I said recently on the radio and in other media, the same was said about giving the minimum wage to miners in 1913, and to agricultural workers in 1924. It was said when people started to get holiday pay in 1938. People said that equal pay for women and members of ethnic minorities would cause the economy to crash, and the same things are being said about the minimum wage. It is the old claptrap—I should not say that, in case it is unparliamentary, but that is what it amounts to—about this impacting on jobs.

Yes, we have the highest number of jobs since 1975, or since records began, as the Government keep telling us, but the context is that this is the most precariously placed workforce in decades. Zero-hours contracts abound, and regional imbalances—[Interruption.] Government Members mutter, but facts are a stubborn thing; facts remain facts. [Interruption.] They are facts; the Minister mutters that they are not. The reality is that a huge number of people are on zero-hours contracts, and huge numbers of people are working two or three hours a week. That is classed as employment. I am sorry, but it is not “employment” to that person, who is not getting any money, or to their family, who perhaps have to send their children to school without breakfast or lunch. Let us get that into context.

The hon. Member for Dudley South effectively said that we will now tax redundancy payments above a certain level. Only the Tories could make a virtue of taxing the redundancy payments of people who have lost their job. The Minister mentioned that the £30,000 figure had been the same since 1998, and said that it was the most generous such amount in—I don’t know—the known world. We do not want to make simple comparisons with other countries, because other countries have far more generous reliefs in other areas, so making a direct comparison with other redundancy figures, out of the totality of employment reliefs, is not appropriate.

The hon. Member for Walsall North mentioned the affirmative procedure. If the Government want to reduce the £30,000 limit—as they no doubt will want to, given that that is far too generous for people who have been made redundant and have lost their job—we will be able to vote on that. Perhaps that would, at least, give us a proper opportunity to debate the issue on the Floor of the House, which we have not been able to do. I mentioned our inability to amend the law in the last four, or possibly even five, Finance Bills. That is unprecedented in parliamentary history.

[Mike Wood]

rose—

[Peter Dowd]

I am happy to give way to the hon. Gentleman, if he wishes to peddle some more Tory twaddle.

[Mike Wood]

I thank the shadow Minister for giving way. His point is entirely bogus, because as the Minister made clear, and as he knows, the Bill concerns purely employers’, and not employees’, contributions, so it does not tax anybody’s redundancy payment.

[Peter Dowd]

I will tell the hon. Gentleman what was admitted today: that still reduces people’s wages; that is what this comes down to. It could also give companies an incentive not to pay redundancy. I know that he wants to sweep those points aside as though they were irrelevant, but they are not irrelevant to a person who has worked for a company for 25 years and gets a redundancy payment that is taxed more greatly than they expected. That is the context in which I am raising these issues.

[Mike Wood]

Does the hon. Gentleman accept that the maximum statutory redundancy pay, even for an employee who has worked for 25 years, is barely half of the threshold amount in the Bill, so they would not be affected, even indirectly?

[Peter Dowd]

There we go again. It is the race to the bottom, isn’t it? We are always talking about a statutory minimum. That is what the Tories talk about all the time: the minimum. We do not want people living on the minimum; we want people to have a healthy, full-quality life. This is about the cumulative effect of the Government’s fiscal policies, not one isolated issue; it is about the totality. A person might have a job, but it might be a poor, insecure job. It is not just about having a job; it is about the quality and context of that job.

--- Later in debate ---

I agree entirely with Labour Front Benchers on issues around “customary”. I asked about that on Second Reading, because I could not quite get my head round it. I do not think the definition of that is clear enough. It may have been easier for the Government not to do customary testimonials, but only to do contractual ones in this circumstance. We could end up with people being caught by this who should not be caught, just because every single person who has played striker and spent over 10 years in that role at that club has always received a testimonial, although there might have been only two of them.

[Mike Wood]

On the example that I think the hon. Lady was starting to give, until fairly recently Reading football club had a tradition that anybody who had played for the club for 10 years received a testimonial. It was not a contractual term, but it is difficult to see how that is anything other than expected earnings as part of employment. Is it not right that it should be taxed accordingly?

[Kirsty Blackman]

The problem is working out the grey areas in this. It may be the case with everybody at Reading, but if there were only one or two people in that role before who met the same criteria and this is the third person who happens to meet the same criteria and they get a testimonial, is it the case that that could be considered customary, despite the fact that they had no expectation of the testimonial? I understand that this is only for a certain group of people who have a supported testimonial through third-party organisations, rather than through the club itself. I get that we are not discussing the widest possible definition here, but I am concerned that that particular part of the language is incredibly woolly and could have been made better so that all of us and sportspersons, clubs and third-party organisations could understand the meaning of “customary”.

Discrimination in Football

Mike Wood Excerpts

Thursday 11th April 2019 Commons Chamber

[Mims Davies]

I thank the hon. Lady, who always highlights the beauty of her football club. I intend to meet UEFA and FIFA in due course. These international bodies have a chance to work with us and use their global standing to make change. No one is going wait any longer.

[Mike Wood (Dudley South) (Con)]

West Bromwich Albion pioneered the fight against racism in football in the 1970s with club legends such as Cyrille Regis, Brendon Batson and Laurie Cunningham. Will the Minister support police in the west midlands and across the country in bringing charges against those who subject players, fans and officials to racist abuse from the stands?

Business Rates

Mike Wood Excerpts

Tuesday 2nd April 2019 Commons Chamber

[Mel Stride]

Earlier in my speech, I went through at length the large number of reliefs that we have brought in to make sure that across the piece we are bearing down wherever we can, particularly in respect of those smaller businesses that might find expenses of this kind particularly arduous. Given that we have had a rather lengthy debate preceding my remarks—

[Mike Wood (Dudley South) (Con)]

rose—

[Mel Stride]

I will not give way at this moment.

We have listened carefully as a Government and will continue to bear down on business rates. I look forward to having further discussions about that with my hon. Friend the Member for The Cotswolds and welcome the full and comprehensive debate we have had.

Question put and agreed to.

Beer Taxation and Pubs

Mike Wood Excerpts

Thursday 28th March 2019 Commons Chamber

[Mike Wood (Dudley South) (Con)]

I beg to move,

That this House has considered beer taxation and pubs.

I am delighted to have secured this important debate, alongside the hon. Member for Stoke-on-Trent North (Ruth Smeeth) and my hon. Friend the Member for Ribble Valley (Mr Evans), and I am grateful to the Backbench Business Committee for allocating us this time.

In the short time that I have available, I hope to set out a compelling case as to why the Minister should recommend to the Chancellor that he cut beer duty in future Budgets, reform business rates and continue to look at new ways of reducing the disproportionate tax burden on pubs and breweries. Representing a Black Country constituency as I do, and as chair of the all-party parliamentary beer group—the largest Back-Bench all-party group in this House—I know what an important issue this is for many of our constituents. My own Dudley South constituency is home to three very distinct and individual brewers: Bathams, dating back to the 1860s; Black Country Ales, which is a much more recent and fast-growing brewery; and Ma Pardoes, one of the original Campaign for Real Ale breweries.

[Kevin Brennan (Cardiff West) (Lab)]

I congratulate the hon. Gentleman on his great work as chair of the all-party parliamentary beer group, of which—like many other hon. Members—I am a member. Does he agree that, although it is very welcome that the Government extended rates relief to pubs, it is disappointing that they did not also extend it to small music venues, where people often also drink the occasional beer?

[Mike Wood]

Of course, the business rates relief extension was part of the support for high streets and community pubs in particular. I think there is a particular value to that, but I certainly would not be opposed to the kind of measures to which the hon. Gentleman has referred.

When we last debated beer duty in this House—in Westminster Hall in October 2017—I said that there were 75 pubs in my constituency. I am afraid that there are now only 73, despite my very best efforts.

[Dr Rupa Huq (Ealing Central and Acton) (Lab)]

The hon. Gentleman talks about disappearing pubs in his constituency. A person does not actually have to be a drinker to enjoy the benefits of pubs. Jo Cox, our late and much missed friend, talked about the loneliness agenda. I am a non-drinker, but I am very upset that we are losing the Goldsmiths Arms in East Acton, which has been there since 1826 when it was a coaching inn. The petition to keep it open has been signed by 2,180 people, but under this Government it often feels that people power and planning law are in conflict, and greedy developers often have too much power on their side.

[Mike Wood]

I would caution against trying to turn this into a party political issue, because although the number of pubs is still reducing at far too high a rate, it is a rather slower rate than was the case before 2010. There are a number of factors that lead to pub closures, some of which are more in the control of the Government and public authorities than others. Where the Government can act to slow down, stop and reverse pub closures, I would very much encourage them to do so.

[Sir Greg Knight (East Yorkshire) (Con)]

Does my hon. Friend agree that the closure of a public house often has a far more devastating effect in a rural area, where the pub is the centre and heart of the community, often acting as a shop, a music venue and a tavern to the local people?

[Mike Wood]

My right hon. Friend is quite right. I will speak about the particular importance of rural community pubs later, but pubs are often key to local identity even in our towns and high streets. In fact, more people probably give directions with reference to pubs than to road names.

[Stephen Crabb (Preseli Pembrokeshire) (Con)]

My hon. Friend is making a superb speech, as always. On the subject of the decline in the number of pubs, we should not forget that one area of enormous growth in the industry over the last 10 years is the proliferation of craft brewers. I am sure that every single Member here has an excellent craft brewery in their constituency, and these breweries often run tap houses. Does my hon. Friend recognise the importance of the small brewer’s relief to the growth of craft brewers, and will he make that part of his discussion with the Chancellor and the Treasury?

[Mike Wood]

My right hon. Friend pre-empts the later part of my speech, and the hon. Member for Stoke-on-Trent North is similarly indicating that she may just touch upon this topic later. Yes, the rise in the number and variety of smaller breweries, and particularly craft breweries, over the last decade and a half has been one of the key features of the sector. This is partly down to the success of the small brewer’s relief.

[Toby Perkins (Chesterfield) (Lab)]

I congratulate the hon. Gentleman on securing this important debate. He is absolutely right about rural pubs. However, the importance of the last pub on the council estates in many of our towns is often overlooked. The last pub has closed on many of those estates, and that has a huge impact on the facilities available for people to get together. Although I entirely support what he says about rural pubs, let us make sure that we do not forget the issue with regards to council estates.

[Mr Deputy Speaker (Sir Lindsay Hoyle)]

Order. Mr Perkins, if you want to speak, we are on a five-minute limit. I do not want to have to drop people down the list; I want everybody to have the same fair chance. If those who are speaking would take fewer interventions, it would help us all.

[Mike Wood]

I consider myself duly reprimanded, Mr Deputy Speaker. Suffice it to say that, once again, I strongly agree with the hon. Member for Chesterfield (Toby Perkins), as I have also seen the impact of derelict pubs of varying sizes standing monument within housing estates and town centres across the Black Country.

[Stephanie Peacock (Barnsley East) (Lab)]

Will the hon. Gentleman give way?

[Mike Wood]

I will take one last intervention and then I must move on, otherwise you will shout at me, Mr Deputy Speaker.

[Stephanie Peacock]

I congratulate the hon. Gentleman on securing this debate and on his powerful speech. The Black Bull pub in Barnsley East closed last year, and the 250-year-old building is due to be demolished. Does he share the sadness, and what does he think we can do to improve the situation?

[Mike Wood]

I share the sadness whenever a well-used pub closes for any reason, and there is a particular impact on the community when that pub is a heritage building in a town, city or village.

Last autumn, 116,000 people up and down the country signed the Long Live the Local campaign—many of them emailing their MPs. It was launched by Britain’s Beer Alliance, and quickly garnered public support from licensees, beer drinkers and many more groups. I know that the success of that petition due to everybody who united behind the campaign was pivotal in persuading the Treasury of the need for action to support beer and pubs. I am delighted that the Chancellor listened to those passionate calls and froze beer duty once again.

The beer and pub sector is vital to our country. Nearly 900,000 people up and down the United Kingdom rely on the industry for work; 43% are younger people aged 16 to 24, and more than half are women. Supporting the pub trade is a fantastic way to reduce youth unemployment and develop skills among young people. This House saw at first hand the impact of apprenticeships across the hospitality sector and the opportunities available, during the apprenticeship showcase in National Apprenticeship Week.

[Mr Marcus Jones (Nuneaton) (Con)]

My hon. Friend is making an extremely good point about the opportunities for people in the industry. Does he agree that this is one of those industries where someone can quite literally start behind the bar and end up as the chief executive or the chairman of quite a big company?

[Mike Wood]

My hon. Friend is spot on. When I was helping to judge the parliamentary pub chef and young pub chef of the year competition this time last year, we spoke to a number of people who were not yet in their mid-20s and were not only running their own kitchen but, in a number of cases, were now running multimillion-pound turnover businesses in their own right. There are very few other sectors where people can go into an industry at a young age with next to no start-up capital and have such opportunities for rapid career progression resulting in running their own business.

Brewing is also a true success for home-grown British manufacturing. A staggering 82% of all beer consumed in this country is made in this country, and we have over 1,800 breweries in the UK, 149 in the west midlands alone. In my own constituency, the sector accounts for 1,068 jobs, 315 of them held by people under 25. It contributes over £34 million in gross value added to the Treasury’s coffers, for which I am sure my hon. Friend the Minister is very grateful. Nationally, the sector adds nearly £23 billion to the UK economy and contributes almost £13 billion in taxation to the Treasury. Some of us would argue that that is a little disproportionate. One in three pounds spent in pubs goes straight into Treasury coffers, with an average of £140,000 for every pub in the country being raised for the taxman every year. I therefore strongly welcome the Chancellor’s announcement of a review of small brewer’s relief.

[Peter Aldous (Waveney) (Con)]

Small brewers such as St Peter’s in my constituency have a proven track record in exporting their beers all around the world. They could expand, open up new markets and create more jobs if export volumes were excluded from small brewer’s relief. Does my hon. Friend agree that the Treasury should consider this exclusion as part of their review of small brewer’s relief?

[Mike Wood]

I thank my hon. Friend for raising that point, which is one of those that needs to be considered. I understand the Treasury’s concerns about the risk of fraud, the ability to actually enforce it, and particularly, at the moment, legality under the current European duty framework.

Beer duty has divided this House in the past, but there is now a general agreement on all sides that it is already high and we certainly need to avoid rises. When the hated beer duty escalator was introduced by Gordon Brown, beer duty rose by a staggering 42%, while beer consumption in the UK fell by 16% overall and by nearly a quarter in our pubs. Almost 7,000 pubs called time for good, and more than 58,000 beer-dependent jobs were lost. This was a very expensive policy failure, and the price was paid by beer drinkers, publicans and employees alike. I am delighted that, as a country, we are now drinking more beer but also paying less tax on it as a proportion of the cost. However, the amount of this beer being sold in pubs continues to fall, and while the rate of pub closures has slowed, as I said, they are still closing at a disturbing rate.

[Helen Whately (Faversham and Mid Kent) (Con)]

I commend my hon. Friend on his speech. Pubs are very important in my constituency, where the brewery Shepherd Neame is the largest employer as well as the producer of excellent beer. I see colleagues nodding. Lower-alcohol beers are becoming increasingly popular, so does he agree that there may be a case for looking at the threshold at which brewers get duty relief for such beers?

[Mike Wood]

My hon. Friend is absolutely right. I know that my hon. Friend the Member for Waveney (Peter Aldous) would also agree, with St Peter’s being a major advocate of this argument as well. The European Union, within its beer duty framework, is in the process of changing those thresholds. I would hope that the Treasury, regardless of what form of Brexit we end up with, will make sure that, at the very least, we follow the mechanisms that are already in place, amending the threshold for low-alcohol beers to one where it is rather more viable for brewers to produce at that strength. Encouraging people to go down from over 4% to around 3% is better for their health, and if we can make sure that it is fiscally better for the brewer as well, then so much the better.

As CAMRA has made clear, one of the opportunities as we leave the European Union—we know from last night’s discussion that there is an element of disagreement as to what should happen next—is that we are able to take back control of our excise duty regime. This gives the Chancellor an opportunity to look afresh at how we tax beer in pubs, in particular—how we can use fiscal measures to help pubs to thrive, to support responsible drinking, and to redress the competitive disadvantage that our community pubs have as against, in particular, supermarkets that are able to stack drinks high, sell them below cost, and use them a loss-leader.

[Mary Glindon (North Tyneside) (Lab)]

Does the hon. Gentleman agree with Colin Shevills of Balance North East, who commissioned an independent survey of publicans, that it is cheap alcohol—cheap booze—in the supermarkets that is most dangerous to our pubs and causing more closures than alcohol duty?

[Mike Wood]

There is a range of factors. Beer duty is certainly part of it, but business rates are a massive factor in the pressures affecting our pubs. For these pubs to flourish, to remain the beating heart of our communities, and to continue to compete as businesses, they need the investment that comes, and is only possible, if the tax burden is kept at a sensible level.

[Mary Robinson (Cheadle) (Con)]

Will my hon. Friend give way?

[Mike Wood]

I really cannot—I ought to have finished by now.

The three duty cuts and two beer tax freezes that we have seen under successive Conservative Chancellors have secured thousands of pub jobs and hundreds of pubs. They have boosted confidence in our brewing and pub businesses, which have continued to invest in the sector. They have increased beer sales, boosting the Treasury’s total tax take from beer. This is a win-win situation, and I encourage the Minister and the Chancellor to win even more by giving us a fair deal on beer taxes. I ask the Minister to encourage the Chancellor to go further. Hard-pressed UK beer drinkers still pay 40% of all Europe’s beer duty despite drinking only 12% of the beer consumed. One could argue that 12% is possibly not yet enough. Crucially, seven in 10 alcoholic drinks sold in pubs are beer. By helping British beer, we are helping British manufacturing and also helping our community pubs. We have to address business rates. We need fundamental reform. The relief announced in the Budget last autumn was enormously helpful, with about 80% of pubs benefiting, but they are still hugely overtaxed. Despite only making up about 0.5% of total business turnover, our pubs represent nearly 3% of all business rate payments.

Beer and pubs are a great British success story. We can help them to prosper and to succeed if we can spare industry and consumers from the burden of high beer duty and unfair business rates, and use our duty framework to support our community pubs. I thank the Backbench Business Committee for finding the time for this debate, thank Members for supporting it, and look forward to the Minister’s response.

[Several hon. Members rose—]

--- Later in debate ---

[Mike Wood]

I thank all right hon. and hon. Members for their contributions today. We have had well over 20 contributions from Members representing six out of the seven parties in the House and all four nations of our United Kingdom. The contributions from the Minister, the shadow Minister and the SNP spokesperson, the hon. Member for Aberdeen North (Kirsty Blackman), showed the breadth of agreement and support for British beer and pubs and the need for us to support them where we can.

If people watching this debate take away just one message, I want it to be that British beer and pubs are a force for good in so many ways. As the hon. Members for Heywood and Middleton (Liz McInnes), for Chesterfield (Toby Perkins) and for Aberdeen North said, they are good for jobs and local economies. As my hon. Friends the Members for Cheadle (Mary Robinson) and for St Albans (Mrs Main) pointed out, they are good for communities and for families. My hon. Friend the Member for Ribble Valley (Mr Evans) said that pubs are good for charities and for community sport, the hon. Member for West Bromwich West (Mr Bailey) said that they are good for promoting local investment, and the hon. Member for Caithness, Sutherland and Easter Ross (Jamie Stone) said that they are good for attracting tourism.

There are other non-economic benefits, too. As the hon. Members for Stoke-on-Trent North (Ruth Smeeth) and for Coatbridge, Chryston and Bellshill (Hugh Gaffney) pointed out, they are essential for tackling loneliness and strengthening the social fabric. The hon. Member for Strangford (Jim Shannon) referred to the vital role that good community and high street pubs play in offering a safe place for responsible drinking. Pubs are a force for good in so many ways. Think just how much more good they could do if we can get the tax burden under control, give our beer and pubs a fair deal, and support these key industries and the role that they play in our communities.

Question put and agreed to.

Resolved,

That this House has considered beer taxation and pubs.

Grassroots Football Funding: Wembley Stadium

Mike Wood Excerpts

Tuesday 22nd January 2019 Westminster Hall

[Justin Madders]

I thank my hon. Friend for his intervention. That is one of a number of ways in which we can harness the wealth that is in the game to better effect, and as I say, that is something I encourage Government to look at closely.

While we are here, I will say a few words about the future of Wembley. Obviously, the proposed sale split public opinion, and I, like many others, had concerns. I do not know whether another offer will come along, but I understand that the Government will have a say over whether any sale goes ahead, so if that does come to pass, I ask the Government first to consider what we have discussed today about harnessing that money. Secondly, I ask the Government to consider whether safeguards could be put in place so that important domestic and international games always take precedence at that stadium; what measures we could put in place to meet the needs of fans, in terms of kick-off times and the availability and price of tickets; and what assurance there would be that any future purchaser beyond the initial one could be held to any agreements that were made on initial sale with the FA. As I say, we are not in that place now, but I would be interested to hear the Minister’s thoughts on that.

Finally, I will take this opportunity to say a few words of thanks to the thousands of people who give up their time to voluntarily run the teams, organise the fixtures, paint the lines, mow the pitches, put up the nets, and all the other jobs. Without those people, grassroots football would not exist. Their love of the game means that millions of people up and down the country get to participate, and their dedication gives youngsters opportunities to emulate their heroes. They often have to do so while getting changed in car parks in the freezing cold, facing frequent cancellations and bobbly pitches that are mud baths, so it is not surprising that kids sometimes prefer to spend their time playing football on the Xbox, rather than in real life. We all know about the need to encourage healthy living and exercise, and we all know about the many distractions kids have that do not involve them getting off their couches, so we need to make the playing experience as genuinely enjoyable as possible. There are probably not many pastimes that bring as much pleasure as scoring the winning goal in the last minute of an important game, but we know those occasions are few and far between, so we need to make sure that when kids play, they are encouraged; they are comfortable; and most of all, they enjoy themselves.

Football is more than just a game, and certainly more than just a business. It is an integral part of our culture, something that needs nurturing and protecting, and I firmly believe that the fruits of this golden age in the professional sport should be used to help secure its future so that everyone can enjoy it.

[Mike Wood (Dudley South) (Con)]

rose—

[Mr Philip Hollobone (in the Chair)]

The debate can last until 4.30. The hon. Member is standing.

--- Later in debate ---

[Mike Wood]

Sorry, I had understood that it was a 60-minute debate. I will sit down.

[Mr Philip Hollobone (in the Chair)]

Thank you. We now move on to the very sporty Sports Minister for her to respond.

[The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Mims Davies)]

It is an honour to serve under your chairmanship, Mr Hollobone. I am grateful to the hon. Member for Ellesmere Port and Neston (Justin Madders) for securing this debate and for his insightful contributions, and to other Members for the points they have made.

[Mike Wood]

rose—

[Mims Davies]

I am happy to be interrupted by my hon. Friend if he has something equally as insightful to say, which I am sure he does.

[Mike Wood]

I thank the Minister for giving way. I would not claim to be particularly insightful, but I know how much Ministers enjoy being urged to enter into negotiations with Treasury colleagues. Will she urge them to look at the UK guarantee scheme and how it relates to educational facilities, and whether that could be used to provide financial guarantees for bodies wishing to invest in community sports facilities?

[Mims Davies]

I thank my hon. Friend for that point. As we head towards the spending review, our Department is consistently urged to hold conversations with the Treasury.

The hon. Member for Ellesmere Port and Neston raised issues relating to volunteers. I echo his love for the game. People in our communities give so much to the grassroots, and that should be encouraged because of what it gives to our children and to the game as a whole. My father-in-law did exactly that as a football ref in Wales for many years, and he also organised games for homeless youngsters. It is important that we recognise the volunteering that takes place up and down the country. It is absolutely vital. Football is not just a business; it has a responsibility to the grassroots, as we all do.

I absolutely hear the message regarding the safeguards for Wembley ticket pricing, future purchase and controls. I will come on to some of those issues further into my speech, but as we heard earlier Wembley is iconic in terms of what it means to football and to us as the public. It is important that we have a national stadium that is able to host the biggest sporting events; Wembley has delivered that over many years, and we want it to continue to do so. UEFA’s decision to hold seven matches, including the semi-finals and finals of next year’s European championship, is proof that Wembley remains a top-class venue, hosting some of the world’s biggest and most important sporting events. If we are to bid for any future major sporting tournaments—Members might know what I am alluding to—we will need to make sure that we have the right stadium for World cup finals, one that resonates with the rest of the world. That is essential.

Last year, when the FA said that it was considering selling Wembley Stadium as a means of generating extra funds to re-invest in the grassroots, the Government were, naturally and rightly, keen to listen. Nobody would argue that a sport with more than 2 million regular participants could fail to be further helped by the promise of such additional funding. However, at the same time we recognised that Wembley has a special place in the heart of football fans. When listening to the proposal, the Government’s prime consideration as a public funder of the stadium was to protect the public interest, as is absolutely right. Going back to the hon. Gentleman’s point, custodianship of it would be absolutely important in any future new arrangement, no matter who owned Wembley stadium. The stadium should always be protected for future needs. The fact that the FA executive was considering the sale of its most prized asset raised more than a few eyebrows. In its response, the executive was clear in its view that the sale would free up funds to help provide greater financial support, which it felt was needed to help the sport from the bottom up.

Public Sector Pay

Mike Wood Excerpts

Tuesday 24th July 2018 Commons Chamber

[Elizabeth Truss]

Personnel will receive that payment alongside their 2% pay rise this year. Many armed forces personnel will also receive pay increments—we saw an average of 1.3% last year—on top of the bonus and the pay rise.

[Mike Wood (Dudley South) (Con)]

What assessment has my right hon. Friend made of the announcement’s impact on the recruitment and retention of prison officers?

[Elizabeth Truss]

My hon. Friend makes a very important point. Prison officers will receive a 2% rise and a 0.75% bonus. Prison officers who were newly recruited on fair and sustainable terms will receive additional progression pay to make sure that we retain those really important workers.

HMRC Staff: Dudley

Mike Wood Excerpts

Wednesday 7th March 2018 Commons Chamber

[Ian Austin]

My hon. Friend is completely right. Everybody knows how hard he fights for jobs in Coventry and that it cannot afford to lose those jobs, just like the Black country cannot afford to lose the ones in Dudley. The city council passed a motion unanimously, probably in no small part due to his campaigning.

It was announced that the Dudley office at the Waterfront and Merry Hill would be taken on by the Department for Work and Pensions, and that staff would transfer to that Department; a small number of staff would have transferred to the Birmingham office. Staff at that office employed by Her Majesty’s Revenue and Customs to work on tax credits were told in 2015 that they would be transferred to the DWP to work on the introduction and implementation of universal credit. As recently as last October, they were told that they would remain at the Waterfront offices to work on the new benefit. Instead, at the end of January it was announced that the Government had changed their mind, that their jobs were at risk and that the office would close. That came as a huge shock to the hard-working, highly skilled and loyal staff. On the same day, DWP announced up to 150 job vacancies at the Waterfront site. Inquiries have been made and they are fixed-term appointments, although local discussions have revealed that they could become permanent. The announcement had little detail and more was promised, we were told, in April 2018.

It was originally envisaged that the Birmingham regional centre would have a capacity of about 3,200 full-time equivalent staff, but when the site of the Birmingham office was announced in October, that figure was reduced to 2,600. No official reason has been given for that, but sources are very clear that it is based on the high costs of premises in Birmingham. The figure of 2,600 did not include the Merry Hill staff, because they were due to go to DWP.

We have discussed the situation in Coventry, where hon. Members, including my hon. Friend the Member for Coventry South (Mr Cunningham), have been campaigning. The same is true in Wolverhampton, where MPs also want their HMRC office to stay open. It has 300 staff and the local council also supports the campaign. Discussions have opened with Andy Street, the West Midlands Mayor, based on the combined authority agreement, which was signed by the then Chancellor with all of the West Midlands combined authority councils, and which uniquely states that there should be a regional Government hub in Birmingham and sub-regional hubs elsewhere in the region.

[Mike Wood (Dudley South) (Con)]

I congratulate the hon. Gentleman on securing this debate on the closure of the offices in my constituency, which will affect many of his constituents. Does he agree that the success of the surge and rapid response team at the Waterfront demonstrates exactly the kind of modern capabilities that would add so much to delivering universal credit, and that the redeployment should be reconsidered, whether with DWP or with other bodies, to make use of the existing staff and skills at the Waterfront?

[Ian Austin]

The hon. Gentleman is completely right. I will make that point later. These are highly skilled, highly trained staff, who are very experienced in dealing with complex benefits. No better group of people could be employed for the introduction of universal credit. That is the case we are making to Ministers tonight and I am pleased that the hon. Gentleman is here to do so, too. I very much hope that Ministers will listen to and consider the argument over the next few weeks.

That is a really important point, because for staff in Merry Hill the closure will present grave difficulties. A high proportion of them have caring responsibilities which would make the journey to Birmingham impossible; I have spoken to mothers in exactly that position. A number of the staff came from offices that closed in the 1990s, and the journeys would make such a move impossible or impractical for them. The recent closure of the office in Walsall left more than half the staff without jobs, and the closure in Worcester is affecting nine out of 10 staff, who now face voluntary or compulsory redundancy; the majority of those staff have caring responsibilities.

HMRC insists that 90% of staff will have a job in the centres, despite the fact that all the closures so far have resulted in much higher job losses. The loss of these skilled and hard-working staff is very risky and it contradicts recommendations made by Committees of this House, which have called for a halt to the office closure process. Staff in Merry Hill believe that the DWP explanation that it has sufficient staff for universal credit to work properly flies in the face of all the current information we have about this complex new benefit’s introduction, as we heard a moment ago. Staff who work there are highly skilled: they have dealt with tax credits work since those were introduced, and they are helping with the changeover to UC from tax credits already. They were also stunned that the DWP vacancies were not even considered when the announcement was originally made.

Another point that I know will be of interest to the hon. Member for Dudley South (Mike Wood) is that the office is in the middle of a recently announced enterprise zone, DY5, and the roles undertaken by HMRC staff completely fit into the Government’s vision for this enterprise zone. This brings me to my final point, which is about unemployment in Dudley.

--- Later in debate ---

[Mike Wood (Dudley South) (Con)]

I shall keep my comments very brief. As the hon. Member for Dudley North (Ian Austin) has said, these proposals are particular and differ from many of the wider reorganisation proposals for HMRC. Some very specific plans were put in place—the workforce at HMRC in Merry Hill were consulted and told that staff would be transferred from the tax credits team to the Department for Work and Pensions to work on universal credit delivery. That was thought to be the position two months ago, but suddenly, out of the blue, the proposals changed. It came as a shock to HMRC staff based at the Waterfront and to their representatives—both those in the trade union movement and their elected representatives.

The hon. Gentleman set out some very good reasons why the Government should look again at how we can maintain and retain both the staff and the facilities at the Waterfront. The skills provided there are absolutely first class and would be a credit to any part of the civil service that could make use of them. As I mentioned earlier, the surge and rapid response team that has been operating out of the Waterfront—originally from HMRC and the passport service—has shown the adaptability of the teams that are based there. There is no doubt that the tax credit team could similarly transfer and provide a fantastic service, whether it is in conjunction with DWP, other parts of HMRC or Her Majesty’s Treasury.

The Waterfront is a growth area. The hon. Gentleman mentioned the DY5 enterprise zone that many of us worked so hard to secure. On top of that, we have the new tram links connecting to that enterprise zone, which—I almost said coincidentally, but it is almost tragically—is due to open at almost exactly the time when these jobs are scheduled to be taken away from the Waterfront.

I urge my right hon. Friend the Financial Secretary to look again at both the content of these proposals and the timetable for them, to see whether the Government are doing absolutely everything they can to find the right way to make full use of the fantastic talent that we have at HMRC at the Waterfront, to give employees the certainty that they need, to retain the skills and experience that we need in the civil service, and to set an awful lot of minds at rest in my constituency and that of the hon. Member for Dudley North.

Trade Bill (Third sitting)

Mike Wood Excerpts

Committee Debate: 3rd sitting: House of Commons
Thursday 25th January 2018 Public Bill Committees

[The Chair]

I remind everyone that we have until 1 o’clock at the latest for this session.

[Mike Wood (Dudley South) (Con)]

I declare an interest as a vice-chair of the all-party parliamentary furniture industry group, for which the British Furniture Confederation provides the secretariat.

[The Chair]

Thank you. Would the witnesses introduce themselves for the record, starting from our left?

David Scott: I am David Scott, senior director of Tepnel Pharma Services.

Jonathan Hindle: I am Jonathan Hindle, chairman of the British Furniture Confederation—coming from the industry.

Gordon MacIntyre-Kemp: I am Gordon MacIntyre-Kemp, chief executive of Business for Scotland.

--- Later in debate ---

[Faisal Rashid]

Q Are you aware of any consultation system in any other country that we can adopt as a starting point?

Gordon MacIntyre-Kemp: I am not an expert on other nations. For almost all my life, we have been in the EU. We did not need to study what other people did. We are just making it hard for ourselves now.

[Mike Wood]

Q Mr MacIntyre-Kemp, you spoke about your concern that the Bill is not clear on the Government’s powers to conclude trade deals, and you talked about chlorinated chicken from the United States. I just want to check that you understand that the Bill is perfectly clear that it would not give any powers to the Government to conclude any trade deal with the United States, regardless of whether it included any type of chicken.

Gordon MacIntyre-Kemp: You are talking specifically about it not allowing anyone to do a deal to do with chicken, but I was using that as an example to point out that the actual wording of the Bill seems to allow a significant amount of power in one particular place and to not have sufficient levels of consultation. Basically, afterwards, it would indeed be applicable across many different sectors, food being one of them.

[Mike Wood]

Q Just to go back to my point, it does not allow any type of deal containing anything for the United States.

Gordon MacIntyre-Kemp: In my opinion, what it allows is too free a hand post-Brexit to do deals without the right level of consultation. Sorry if that has not been clear, but I have said it four or five times.

[Mike Wood]

Q I do not know whether I am not making this clear. You seem not to be quite answering the question. You do understand that this Bill covers only those countries with which the European Union currently has a trade deal, which does not include the United States? There is nothing in the Bill that would give the Government any powers to conclude any trade deal with the United States.

Gordon MacIntyre-Kemp: Right. I understand what you mean now.

[Alan Brown]

Q I have a question for David. Looking forward, as well as establishing the trade agreements that the Bill is meant to carry over, am I correct in thinking that your industry has an understanding of the licensing arrangements that will be put in place with the EU, and the research and access to labour issues that need to progress as well to give the industry an overall view?

David Scott: Absolutely. I would refer you to the Industry Leadership Group position paper written by Dave Tudor, the chair of the Industry Leadership Group for Life Sciences Scotland. There are four key points. One is regulation, which we have talked about already: maintenance of regulation on a harmonised basis. There is trade and supply, which we are obviously talking about today. Access to talent is a key thing. In Scotland, we are a diverse community. Research and development are best done using a diverse set of people, so that freedom of movement and the ability to attract people not just into Scotland but into the UK is fundamental for us. That is not to downplay our abilities, but a mix of different people helps us bring the best ideas to the table.

Again, from a Scottish point of view, we have a heritage of innovation in the medical sciences that we are very proud of, and we want to continue to use our talent base and other talent to help us achieve that.