Oral Answers to Questions

Andrea Leadsom Excerpts

Tuesday 9th February 2021 Commons Chamber

[Kwasi Kwarteng]

I am very pleased to announce that I and my ministerial colleagues have stated again and again that fire and rehire is completely unacceptable. I was in regular contact with British Gas—Centrica, as it is now called—as Energy Minister, and I have impressed upon it the need to engage with its workforce and treat them with utter integrity and fairness.

[Andrea Leadsom (South Northamptonshire) (Con)]

May I start by congratulating my right hon. Friend on his new job? I very much enjoyed working with him in what is now his Department, and I wish him well. I have constituents who run a very successful hotel business. They have appreciated all the support given to them by the Government, but they recognise that they are still using every last penny of their reserves to keep their golf course maintained, keep the swimming pool clean and keep the place secure, and they have no income. So can my right hon. Friend tell me, when they ask their bank, as they have, to provide them with rolled-over quarterly interest and the bank says, “We’ll do it, but we need to put you under forbearance”, is that a regulatory requirement or is it the bank making it even more difficult for them to recover once lockdown ends?

[Kwasi Kwarteng]

I am very pleased to be responding to my right hon. Friend. I very much enjoyed working with her in the Department and I am pleased that she is taking such an interest in our activities. In answer to her question, I would suggest that this is about policy, not regulation. The Government expect lenders to be constructive in their dealings with businesses in difficulty. I am glad to hear that in this instance her constituents are getting the support that they need from the bank, but bank regulations on forbearance are a matter for the independent Financial Conduct Authority.