Solar Industry

Alex Sobel Excerpts
Tuesday 5th March 2019

(5 years, 2 months ago)

Westminster Hall
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Antoinette Sandbach Portrait Antoinette Sandbach
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I agree with that assessment, which is why I argue that a minimum floor is needed. I am afraid that failure to extend that kind of certainty to small-scale prosumers will give the impression that the Government are more comfortable with big business than with small producer-consumers.

A fair minimum export price will ensure that consumers are not ripped off while the industry and the new regulation sort themselves out. It will also encourage suppliers to get their systems in place in readiness for market-wide, half-hourly settlement, which will help accelerate the smart energy transition. If a minimum floor price was to be informed by the system imbalance price, it would ensure that all other generators and prosumers could be treated equally, as required by article 21 of the renewable energy directive, without inhibiting innovative smart offerings.

Additionally, the commitment to a zero floor price, while welcome, is insufficient. No country in Europe asks prosumers to pay to put electricity into the grid. Likewise, in 2018 just 0.4% of daylight hours were a negative pricing period. Therefore, given the rarity of such an occasion, this is not what prosumers need. What is needed is the minimum floor price, which would have a transformative impact on the prospects for the sector, not simply a zero floor price.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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I thank the hon. Lady for securing the debate and for her eloquence in introducing it. I completely agree about the need for a minimum floor price. Before I entered this place, I was the lead on this issue at Leeds City Council, and we put 2,003 solar roofs on council properties. Without being a prosumer, we could not have a FIT reduction, which would allow us to fit more roofs. This is therefore not only about individual consumers; it is about social housing and housing associations, which cannot afford not to have a repayment scheme. The minimum floor price would enable such schemes to be brought forward.

Antoinette Sandbach Portrait Antoinette Sandbach
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I completely agree. I know that councils and housing associations have certainly taken advantage of the ability to install solar power, which is a great development.

The decision needs to be made quickly, to meet the tight deadlines, but it would be a shot in the arm for a sector that has faced a series of difficulties. It would also help to deliver our climate change targets. Yesterday’s Carbon Brief analysis shows that the UK’s CO2 emissions fell in 2018 for the sixth consecutive year—something we should celebrate—and if we are to continue that record-breaking trend, we must double down on investment in renewables.

Net Zero Carbon Emissions: UK’s Progress

Alex Sobel Excerpts
Thursday 28th February 2019

(5 years, 2 months ago)

Commons Chamber
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Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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Time is short for this debate and for the planet. I am going to speak up for the 3,000 young people who came out in Leeds two weeks ago on the youth climate strike and all the other thousands of young people who came out in every other town and city in the country. I spoke to those young people and said that I would come to the House and support their call for us to address the climate emergency. I call on the Minister today to say that the Government will declare a climate emergency as they would a civil emergency, because we are on the precipice of disaster.

NASA’s latest measurement of carbon dioxide in the atmosphere is 411 parts per million. The historic high for this planet is 300 parts per million in 325,000 BC. In 2005, it was 380 parts per million. We are on a trajectory towards the global extinction of humanity. The insects are the canary in the coalmine of our planet. There has been a 75% reduction in flying insects in Europe in the past 25 years. Where the insects go, we will follow. How are we going to tackle this scale of emergency?

We need a rapid programme of decarbonisation. We need to become a leader in decarbonised technology in this country and in Europe. We need a world in 2030, not 2050, that looks radically different from the world we have today, a world where petrol stations are as common as coaching inns, if we are to avoid climate disaster. We need electric vehicle charge points in every parking bay. All new houses need to be made in factories from airtight and energy-efficient timber. We need to harness the internet and open and smart data, so that everybody knows everything about their lives, from the quality of the air to the amount of carbon in their clothes.

This is the brave new world we need to aspire to. We do not need gradual change; we need a paradigm shift in our system. I call on us not to have a green new deal; I call on us to have a Marshall Plan for the environment across Europe and across the planet.

Vicky Ford Portrait Vicky Ford
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Will the hon. Gentleman give way?

Alex Sobel Portrait Alex Sobel
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Time is very short, so I am going to continue.

After the second world war, we got together and we rebuilt this continent. We need to rebuild a planet free of emissions. That needs to be our single, unifying goal. We need to readdress the COP process to that point. We need to re-energise our relationship with our European Union partners—I say that in the strongest sense—to engage and to create this plan. That is where we need to be. If we do not get there we are failing not ourselves, but our grandchildren and great-grandchildren. At the end of the century, they will look back on the Governments of the early part of the century and say, “They failed us. They did not do what was needed.” They will be looking at their own extinction—the extinction of our race.

--- Later in debate ---
Ed Davey Portrait Sir Edward Davey (Kingston and Surbiton) (LD)
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I refer the House to my entry in the Register of Members’ Financial Interests and particularly to my involvement with community renewable energy and solar energy.

Many colleagues have talked about the huge challenge that is climate change, and they were absolutely right to do so. We must act much more quickly. If we are to do that, however, we must ask what is the real barrier. Of course there are political barriers, whether they are represented by President Trump in America, President Bolsonaro in Brazil or Brexit, and we need to break them down. There are also some technological barriers, such as the need to improve the efficiency of storage, although that is coming along much faster. But the biggest barrier now, in my view, is finance. We must change the way in which our financial system works.

Fossil fuels have been the energy leader for 200 years, so they have seeped throughout our society and our economies. Whether we are talking about the City, our banks, our pension funds or hedge funds, fossil fuels are entwined with their investments in a very deep, profound way. In our stock markets, we have Shell and BP, which are very successful companies, but a significant part of someone’s pension may well come from the returns expected from a BP or a Shell investment. That is the challenge that we face. If we are to green our economy, we really must get serious about finance.

In my experience—both my experience as Secretary of State for Energy and Climate Change and my experience of working in the renewables sector—too many of our financial institutions do not really get the fact that investments in renewable energy can be fantastic; nor do they get the fact of climate risk, which will cause investments in fossil fuels to fail. The so-called carbon bubble will burst and people who thought they would get returns from fossil fuels investment will have their fingers burnt, and that could affect the pensioners of the future.

Alex Sobel Portrait Alex Sobel
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Does the right hon. Gentleman regret signing off the Hinkley Point nuclear power station? Surely that will be a stranded asset in the future.

Ed Davey Portrait Sir Edward Davey
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No, because Hinkley Point is a low-carbon asset—and I did not actually sign it off; I did the heads of terms agreement. It was the current Government who signed it off. We could have a discussion about nuclear, but the difference between Hinkley Point and the fossil fuels investment to which I am referring is that Hinkley Point is low carbon.

The real issue that I am trying to bring to the House’s attention is the huge number of vested interests in the fossil fuels sector that seep throughout economies and finance. If we are to be really radical, we need to decarbonise capitalism. We need new regulations and new laws to change the incentives completely, so that any investor will need to factor in climate risk. Let me give some practical examples.

I hope to meet the Governor of the Bank of England in due course. It will be a private meeting. What I want to say to Mark Carney—whom I consider to be a hero in this area—is that I think the Bank of England should include in its reserve requirements a requirement for banks to be weighted according to how carbon-intensive their investments and portfolios are. That will encourage banks to lend to green initiatives.

I want to ensure that the pension regulators are looking at the pension portfolios and determining which are low carbon and which are high carbon, and supporting the low-carbon initiatives. I want to ensure that, through corporate governance, there is complete disclosure in a company’s accounts and its assets and liabilities of how much of that involves fossil fuels, so that investors can decide whether they really want to invest in a company that is so exposed to carbon risk. I want to ensure that if a company wants to be listed on the UK stock exchange, it must be transparent and disclose how much of its activities will be in fossil fuels.

I want a new treaty to back up the Paris treaty. I would call it a fossil fuels non-proliferation treaty. It would be a global treaty, and it would say, “We have enough fossil fuels. We do not need any more. In fact, we will not be able to use those that we have.” That is the sort of radical change that we need if we are to tackle climate change. This is not just about the policies in this country, although we have made some real progress.

Universities: Financial Sustainability

Alex Sobel Excerpts
Monday 11th February 2019

(5 years, 3 months ago)

Commons Chamber
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Chris Skidmore Portrait Chris Skidmore
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We have set out clearly in the Government guarantee, when it comes to EU students studying at UK institutions, that we want to put financial provision in place for those students up to 2020. There is obviously a separate issue, which I am working on, about exchanges when it comes to the Erasmus scheme. Ultimately, I say to Members that a lot of the exchanges that take place and a lot of the ability to create educational partnerships rely on a deal with the European Union. The Prime Minister’s deal set out clearly the opportunity to protect those education partnerships. If anyone has any concerns about making sure that those can continue, I urge them to vote for the deal.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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Staff at the universities in Leeds talk to me constantly about the twin threats they face: first, financial sustainability; and secondly, Brexit, including the issues of Erasmus, Horizon 2020 and the £30,000 threshold the Government want to apply to EU migrants. What assessment has the Minister made of universities’ ability to recruit and retain staff?

Chris Skidmore Portrait Chris Skidmore
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The hon. Gentleman is absolutely right. This is not just about the financial numbers; it is about ensuring we have the human capital and that we are a welcoming place for higher education leaders and academics to come and continue their research. On the immigration White Paper, there is a consultation period, so we are consulting on the £30,000 cap, and I am keen to ensure that all HE institutions can feed into that consultation, both through the Home Office and by writing to me. I have also commissioned the Government Office for Science to model the potential impact on the scientific and research communities. So I am attuned to his concerns. We need to ensure that in leaving the EU we do not leave behind our European partnerships in academia, but we must also reach out much more widely and adopt a more international outlook.

Sustainable Seas

Alex Sobel Excerpts
Thursday 17th January 2019

(5 years, 4 months ago)

Commons Chamber
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Mary Creagh Portrait Mary Creagh
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I thank the hon. Gentleman, who is a former and much esteemed member of our Committee, for that question. I saw the CEFAS ship on a visit to his constituency when I was shadowing the DEFRA brief. He is right that we have world-leading marine biologists and marine scientists. The world looks to the UK for our brilliance and thought leadership on the subject. One criticism that we have of Government is that they have stopped funding our long time series around ocean certification measurements. One key recommendation is that we need to measure the acidity of the ocean. We know what it was going back decades, but we need to have more monitoring sites around the UK, so I hope that he will help us in pushing the Government on that task.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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I thank the Chair of the Environmental Audit Committee for her leadership on this report, which built on our report on plastics. Does she agree that Foreign and Commonwealth Office officials did a great job in trying to make the Weddell sea a marine protected area, but that they need to redouble their efforts with the Chinese, Russian and Norwegian Governments? However, our work on plastics is well behind. We do not have a compulsory deposit return scheme guaranteed, and the target for eliminating single-use plastic is not until 2042. We need to have both those things in place much quicker.

Mary Creagh Portrait Mary Creagh
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Again, I appreciate the input of my hon. Friend and neighbour into the Committee and this report. He is right: we need to speed up our ambition. The scientists have warned us that we have 12 years to tackle climate change. It is no good putting targets in place for 2042—that is far too little, far too late. We heard about some of the interesting foreign policy discussions that are going on around Antarctica, particularly some of the negotiations with the Norwegians and the Russians. Clearly a lot of politics is involved in the oceans, and we have to be mindful of that.

UN Climate Change Conference: Government Response

Alex Sobel Excerpts
Wednesday 16th January 2019

(5 years, 4 months ago)

Westminster Hall
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Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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Thank you, Mr Betts. I thank my hon. Friend the Member for Cardiff North (Anna McMorrin) for securing this debate. She is not just an excellent constituency MP; she is a leading voice on this issue, here and for the people of Wales, so it is great that she was able to secure this debate and make her speech. As my hon. Friend the Member for Wakefield (Mary Creagh) said, the IPCC has told us that we have 12 years to restrict global warming to 1.5°. It has already risen by 1° from pre-industrial levels. This nation was the first to industrialise, which we should be proud of; it was also the first nation to de-industrialise. Many of the comments the Minister made in her intervention relate to our early de-industrialisation and, obviously, our early industrialisation.

The Centre for Industrial Energy, Materials and Products—which includes researchers from the great University of Leeds—has shown that the UK will miss the fourth and fifth carbon budget targets, which are binding on us under law and are part of our agreements under the conference of the parties process. Those carbon budgets take us to 2032, and CIE-MAP has found that one of the five sectors of most concern was construction. What has happened in housing? When the Government came in in 2010, they scrapped the code for sustainable homes—something that would have kept us on track to meet our carbon budgets for housing. As my hon. Friend the Member for Cardiff Central (Jo Stevens) said, the feed-in tariff proposals take us further away from that target. We need to build low-carbon modular housing, and we need to take control of that process and not listen to the siren voices of the volume housing developers.

We need to look at vehicles—an area in which we are way behind. The Norwegians are talking about phasing out petrol and diesel by 2025, just six years from now. We are talking about a target of 2040, and we cannot even give a clear answer on whether we are going to ban hybrids; we can imagine lots of gaming of the rules if we allow hybrids to continue. On food and drink, the Germans have a plan for resource efficiency. We have no such plan; we are way behind. On clothing and textiles, the Government need to look at the Environmental Audit Committee’s report—its Chair, my hon. Friend the Member for Wakefield, is here, as are several other members of our Committee. That report arose from our sustainable fashion inquiry, and we found so much that could be done within the UK fashion industry and its main production facilities, which are abroad, to make fashion more sustainable. In electronics and appliances, we are not doing enough to drive down electricity use. There is no catching up here; there are no second chances. The Government have said that we will be net carbon zero by 2050, but if we do not do the right thing over the 12 or 13 years to 2032, we will not be able to catch up in the 18 years between 2032 and 2050. It will be game over for our global climate. Who wants that legacy hung around their neck?

Lastly, we are on track in energy production because coal-fired power stations are being scrapped. The industry itself has seen the future, and has already decommissioned or moved into biomass and other forms of energy production. However, if we think the solution is continued gas production—undertaking shale gas extraction in the United Kingdom—we will again fall behind our targets when we move into the fifth carbon budget. We cannot allow that to happen. We need to look at alternatives, including domestic solar, onshore and offshore wind, hydrogen, hydro, and obviously tidal lagoons, for which my hon. Friend the Member for Cardiff North is a great champion. If we do not do that, we will again be behind, and will not meet the legally binding targets that we must meet as a nation. The Government must do better. In the main Chamber, Members are debating confidence in the Government, and part of the reason for my lack of confidence in this Government is their failure to tackle the catastrophic climate change that we will face if we do not meet this challenge.

Fireworks: Public Sales

Alex Sobel Excerpts
Monday 26th November 2018

(5 years, 5 months ago)

Westminster Hall
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Helen Jones Portrait Helen Jones
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If hon. Members will forgive me, I need to make some progress, because a lot of Members are waiting to speak.

As my hon. Friend the Member for Barnsley East (Stephanie Peacock) mentioned, the problem is partly one of enforcement. For instance, an 11 pm curfew on fireworks is in place most of the time, with exceptions for new year and other occasions. Breaching the curfew can result in a fine, imprisonment or, if offenders are over 18, a £90 fixed penalty notice from the police. But the police have to be there to catch the perpetrators, and we have lost so many officers—21,000 since 2010—that chief constables are having to make very difficult decisions about where to deploy their personnel. Likewise, although a fixed penalty notice of £80 can be given to anyone under 18 in possession of adult fireworks, community policing has been so hollowed out that we have lost not only police officers but 40% of the police community support officers who might have been able to catch and report on offenders. It is therefore very difficult to enforce the regulations.

Trading standards officers in local authorities face the same problem. Councils have been hit so hard by cuts that have they have had to pull back and carry out only their statutory duties. Trading standards officers have been cut and cut, which makes it very difficult to enforce the licensing system, prevent the sale of adult fireworks to anyone under 16 or prevent the sale of more powerful fireworks to anyone under 18. Trading standards officers do a great job, but there are simply not enough of them. For the same reason, many councils have cut back on organised displays because they can simply no longer afford to put them on.

The Government need to be very clear about what is happening. In January, the last time we debated the issue, the then Minister, the hon. Member for Burton (Andrew Griffiths), said in answer to my hon. Friend the Member for Poplar and Limehouse (Jim Fitzpatrick) that he did not have statistics on the prosecution of fireworks offences because the Home Office did not collect them in that way. We do not know the trends, and we do not know about enforcement or whether it is working. One contributor to our forum wrote:

“So here we are 11 days after the official date and we are still getting fireworks being used.”

Many people have come to believe that the regulations are not being enforced. If the Government contend that the regulations are sufficient, they must ensure that the means to enforce them are in place.

Others have said clearly that they think it is time for greater regulation. One contributor said that the fireworks regulations need to be tightened, as there is enough evidence to prove that fireworks are being used inappropriately by persons willing to cause harm to people.

I have had many emails from people, as well as contributions to our Facebook page. Some have made the point that they use fireworks responsibly and without harm, which is true of many people. Some have told me, “It’s a tradition”—the good old British tradition of burning effigies of Catholics on a bonfire every 5 November, which some of us might find a little problematic, to say the least. We have even had people talking about the nanny state, and the classic, “It’s political correctness gone mad.”

I know the Government do not like regulations. Ministers always tell us how many regulations they have got rid of, but sometimes regulations are necessary for protecting the public. There is a balance to be struck in any society between the right of people to do as they wish and the harm caused to others. Let us be clear: even fireworks on sale to the public can cause significant harm. A fireworks professional said in a Facebook post that he had known even F2 and F3 fireworks to go wrong on displays, and that there would have been a serious injury had he not been wearing protective clothing. There is no such thing as a safe firework. Let us be clear: the harm they cause can be considerable.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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Will my hon. Friend give way?

Helen Jones Portrait Helen Jones
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I will take one more intervention and then I must press on.

Alex Sobel Portrait Alex Sobel
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My hon. Friend is making an excellent speech. My constituents the Snell family had a dog, Queenie, who became increasingly sensitive to fireworks. A firework went off right by their house on the Wednesday after bonfire night, and Queenie became so inconsolable that she had to be euthanised. Does my hon. Friend agree that we should be licensing individuals to operate fireworks, and that only they should be allowed to buy them?

Helen Jones Portrait Helen Jones
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The effect on animals has been raised with me, and I shall come to that in a moment.

Let us also remember the effect on people. Last year in England alone there were 4,436 visits to A&E by people with firework injuries. That is more than double the figure of 2,141 in 2009-10. There were 168 admissions for firework injuries in 2015-16 and 184 last year. Admissions had been going down but they are now going up again. Let us remember that some of those will be catastrophic, life-changing injuries. The cost to the person concerned is incalculable, but there is also a cost to the NHS, through the strain on our A&E departments as more people are admitted. I know that family members who work in the NHS dread 5 November as much as firefighters do, because they worry about the injuries that they will see. Some are so bad that the British Association of Plastic and Reconstructive Surgeons has called for fireworks to be sold in boxes displaying pictures of injuries, rather than in what looks like packaging for sweets. It is certainly right about the packaging.

As well as injuring people, fireworks are a problem for animals, as several hon. Members have mentioned. I have been contacted by a number of people who say that their pets have to be sedated when fireworks are going off. They are supported by a number of charities, including the Royal Society for the Prevention of Cruelty to Animals, the Kennel Club and the Dogs Trust. It is fair to say that not all these charities are asking us to move to public displays only. The RSPCA wants the decibel limit reduced to 97 and would like the use of fireworks, not simply their sale, restricted to certain times of the year. It also calls for all public displays to be licensed and for residents to be able to object to the licence—something I will return to later. By contrast, the Dogs Trust would like us to move to public displays only.

Noise has an effect not just on animals, but on people. It particularly has an effect on elderly people and those with mental health problems such as post-traumatic stress disorder. Shoulder to Soldier is a charity that originated in the constituency of my hon. Friend the Member for Leigh (Jo Platt), and which also has an office in Howley in my constituency. It has campaigned vigorously to make people aware of the effect on some veterans of having fireworks let off near them and has been supported in that campaign by the Royal Society for the Prevention of Accidents.

With the noise goes pollution. For the five days around 5 November, particulate pollution was very high in this country. On 5 November itself, towns and cities across Britain, such as Stockton, Leeds and Sheffield, reached level 10, the maximum level of pollution.

Green GB Week and Clean Growth

Alex Sobel Excerpts
Monday 15th October 2018

(5 years, 7 months ago)

Commons Chamber
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Claire Perry Portrait Claire Perry
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I thank my hon. Friend and the other MPs for that challenge and their support. Ultimately—forget the political banter—we are the House that will have to agree these policy decisions, justify the spending to our constituents and help to communicate to them the opportunities that are there. I urge him to look at the Green GB website. There are masses of events in his area over the week, for students, businesses, local authorities and the like. There is lots of good stuff we can use to spread this important message.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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The Minister has written to the UK Committee on Climate Change, but that committee has written to her twice saying she is failing to meet our Paris commitments, which it is important that we meet. When I was on Leeds City Council, we put 1,000 solar roofs on council housing. We cannot do that now without the subsidies. On cars, again she has cut the subsidies. Why not consider changes to subsidies for new hydrogen technologies for both heating and transport?

Claire Perry Portrait Claire Perry
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The hon. Gentleman, in his former role as a councillor—and, indeed, Leeds City Council—did amazing work on one of the really big challenges, which is decarbonising heat. As he will know, some of those heat projects are proceeding thanks to Government investment. In fact, a project up in the north-west involving Keele University is going live, blending hydrogen into the heat network. We are innovating, and are doing so in a way that could completely change the methods through which we heat our homes over the next 20 years. However, this is not just about subsidy. The Government cannot do this all on their own, while putting the burden on taxpayers. We must leverage in private industry, and we must work out the most cost-effective way to deliver our aim so that we can keep bills down.

Space Policy

Alex Sobel Excerpts
Wednesday 18th July 2018

(5 years, 10 months ago)

Commons Chamber
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Sam Gyimah Portrait Mr Gyimah
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There is a huge amount of investment. I have mentioned the space sector deal and other investment in R&D that companies across the country with the expertise to benefit our space sector could do well out of.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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More than 50% of UK satellite exports go into the European single market. How will the Taxation (Cross-border Trade) Bill and the Trade Bill, both of which we discussed this week, affect the free-flowing movement of components into and out of the single market?

Sam Gyimah Portrait Mr Gyimah
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I have been speaking to lots of companies in the UK that deal in the satellite market. It is a global market, and there are huge global opportunities, including in the EU. The sector will continue to succeed, even when we leave the EU.

Carillion

Alex Sobel Excerpts
Thursday 12th July 2018

(5 years, 10 months ago)

Commons Chamber
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Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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I should start by putting on the record a mistake that I made in my speech in the previous debate, when I said that it was my 100th contribution to the House. It was actually my 99th contribution, so this is my 100th contribution to the House. I made a slight miscalculation.

As my hon. Friend and neighbour the Member for Leeds West (Rachel Reeves) said, the collapse of Carillion happened six months ago. I was here in the House on that day, six months on from my maiden speech. It is quite apt that a year on, we are back here to review the collapse of Carillion.

Let us make no mistake: the collapse of Carillion as a company was a complete disaster, putting at risk 420 public sector contracts, more than 1,400 jobs and tens of thousands of subcontractor jobs. It had contracts with Network Rail, the Ministry of Defence, the Ministry of Justice, HS2 and more. The Local Government Association counted 30 councils as being directly affected, and 220 schools. The ripple effects could be seen in every town, city and county in this country, and in such diverse areas as construction, maintenance, the armed forces and the NHS.

How can we restore public values in public procurement? We must use public money not only wisely but strategically, in the interest of communities and regions. UK plc commissions over £250 billion of goods and services, and we can use that to get the best deal for the country. There are lessons and recommendations for the future from the collapse. We should insist on in-house options being considered alongside outsourcing and commissioning, particularly within local government. When a service cannot feasibly be provided in-house, we should look at working together with local authorities. In Leeds, we set up Civic Enterprise Leeds, which uses municipal staff in areas like catering, cleaning and plant nurseries. We can use our £250 billion of buying power to ensure that every worker who is employed with a company using a Government contract receives the real living wage—as independently calculated by the Living Wage Foundation, not the supposed living wage brought forward by the Government.

Speaking as chair of the all-party parliamentary group on social enterprise, I know that there is some unfinished business on the Public Sector (Social Value) Act 2012. That is an Act without teeth. It asks for public bodies only to consider social value in commissioning. Instead, it should compel social value in commissioning. If we had that compulsion, then perhaps instances of commissioning risky businesses such as Carillion would never have happened. We can also look at how we score contracts and measure their social value so that we have the same standards across the piece. We cannot allow the risky behaviour that led to the collapse of Carillion to happen again.

Insecure Work and the Gig Economy

Alex Sobel Excerpts
Wednesday 20th June 2018

(5 years, 11 months ago)

Westminster Hall
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Chris Stephens Portrait Chris Stephens (Glasgow South West) (SNP)
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It is a pleasure to see you in the chair, Mr McCabe. I congratulate the hon. Member for Barnsley East (Stephanie Peacock) on securing this debate and on her private Member’s Bill, of which I am a sponsor. I also want to take the opportunity to commend the work of Better Than Zero, an organisation primarily organised through the Scottish Trades Union Congress youth committee, which continues to expose rogue employers in Scotland.

Mr McCabe, you and I sit on the Select Committee on Work and Pensions. You will know that there are 4,504 full-time equivalent posts chasing social security fraud estimated at £1.2 billion. There are 400 workers from the state who are employed to chase minimum wage compliance. If the minimum wage compliance unit had 4,504 full-time equivalent posts, I just wonder whether there would be 200,000 workers in the United Kingdom not being paid the national minimum wage.

Another piece of legislation, in addition to the hon. Lady’s, is the Workers (Definitions and Rights) Bill. It is in my name, and it proposes a number of key things as solutions for workers in the gig economy. First, it looks at zero-hour contracts. I think they should only be in place where there is a collective agreement with a recognised trade union. That will be the test of whether the claim that people like zero-hour contracts is actually true or not. Mainly people tell us that people like zero-hour contracts, but I have never met anyone who went to a careers adviser at school and said, “I want wan o yon zero-hour contracts.” It just does not happen.

Alex Sobel Portrait Alex Sobel (Leeds North West) (Lab/Co-op)
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Has the hon. Gentleman considered alternative contracts such as they have in other countries? In Holland, for instance, they have contracts by agreement, which are fixed-term agreements paid by the hour with a legal route to permanent contracts. Is that something that he would consider in his legislation?

Steve McCabe Portrait Steve McCabe (in the Chair)
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Order. Just before the hon. Gentleman replies, I would point out that if people keep taking interventions, some people are going to drop off the end.