(11 years, 11 months ago)
Commons ChamberYes. This Government intend to be the first ever to reduce the overall burden of regulation during their time in office. If my hon. Friend looks at the fifth statement of new regulation, he will see that—significantly—more regulations will be removed over the next six months from January than will be added. As I said, the overall cost reduction to business is nearly £1 billion.
I welcome that approach, but are the Government also estimating the cost of a lack of regulation such as, for example, the practice of upward-only rent reviews for high street shops, irrespective of falling turnovers? Such rent reviews are heaping further costs on businesses and making them less viable.
There is downward as well as upward movement in that sector, but I will certainly refer the hon. Gentleman’s comments to the Minister for Housing.
(12 years, 9 months ago)
Commons ChamberI am very surprised that the hon. Lady gives apprenticeships as the central example of failure, given that apprenticeship numbers have risen by 50% and apprenticeships are extremely popular with young people and employers. This is a success story, and I am surprised she is denigrating it.
Perhaps I should also point to the most recent indicators, which were published yesterday. In the manufacturing sector, which is absolutely critical for recovery, the purchasing managers index suggests a significant recovery in the short run.
The Government had the good sense to award a grant under the regional growth fund to the Goonhilly radio astronomy project in my constituency. That is very welcome, but the implementation of the decision seems rather slow. Will the Secretary of State look into the matter and accelerate the implementation of that project, which will generate many jobs in our local community?
(13 years ago)
Commons ChamberThe letter sets out, first, help for those individuals on the ground at those sites. Secondly, it refers to making sure that by having the new talent retention service we do not lose those skills; and, thirdly, it refers to making sure that we put enterprise zones in place. I have to say that the response I have had from local people has been far more positive, sadly, than that of Labour Members.
Many of those who strongly support the Government’s policy to establish a grocery adjudicator to curb the bully-boy tactics of supermarkets will be concerned to ensure that it has the teeth to do the job. Will my hon. Friend the Minister take this opportunity to reassure those supporters of the Government’s policy that a supplier will not be required to take the risk of making a complaint in order to prompt an inquiry by the adjudicator?
I again pay tribute to my hon. Friend, because he has been a stalwart campaigner for that change. I am delighted that we were able to publish the draft Groceries Code Adjudicator Bill on 24 May, and that the Business, Innovation and Skills Committee’s report on it has welcomed our proposals. He will know that the proposal is unique, because it allows anonymous claims to be made to the adjudicator and for reports, of which the adjudicator will be able to take note, to be put into the public domain.
(13 years, 5 months ago)
Commons ChamberEvery day by which the creation of a groceries code adjudicator is delayed is a further day on which farmers, growers and food producers in this country and in the developing world go to the wall. What reassurance can Ministers give me and, indeed, the House that they will make every effort to ensure that a proposal which has cross-party support is implemented as quickly as possible?
My hon. Friend, who has campaigned so vigorously and successfully on this issue, will be delighted to know that we published the draft Groceries Code Adjudicator Bill just before the recent recess. We hope that it will be scrutinised by the Select Committee and will attract interest across the House, and we hope to introduce the formal Bill on the basis of that scrutiny.
(14 years, 1 month ago)
Commons ChamberMay I first welcome the hon. Gentleman to his position? Unfortunately, however, his first question confuses two matters. The growth fund is about investing equity into mid-cap businesses, as I described to the hon. Member for West Bromwich West (Mr Bailey). Micro-businesses, which are very important, are an entirely different animal. That is where bank lending is crucial, and that is what we are dealing with. We are particularly keen to ensure that there is a proper lending arrangement for micro-businesses, and we are talking to the banks about how we can get one, but Members should not confuse capital investment and bank lending. They are two different things.
10. When he intends to introduce an ombudsman to enforce the grocery supply code of practice.
May I begin by recognising how long and hard my hon. Friend has campaigned on this issue, and indeed how successful he has been? He will know that the coalition statement commits the Government to introducing what we are now calling a groceries code adjudicator, and in our response to the consultation on 3 August, we set out how we would take that forward. I am pleased to be able to tell him that we now have approval to introduce a draft Bill this Session, and that the aim is to publish it for pre-legislative scrutiny before the end of the year.
I am very grateful to the Minister. The long-awaited code is now in place, but without an adjudicator it is like having rules for rugby without a referee. As the initiative has cross-party support and we have an extended Session, is it not possible to implement it this Session?
I very much hope that my hon. Friend will engage in the pre-legislative scrutiny of the draft Bill as actively as he did in campaigning for the code. As we have not even published the draft Bill yet, it is a little early to say when the actual Bill will be introduced or whether that will be this Session or next, but I will keep him and the House informed.
(14 years, 4 months ago)
Commons ChamberI do not want to return to the Second Reading debate, but the purpose and definition of academies under the Bill differ fundamentally from those of the academies introduced by the Labour Government. We gave freedoms and flexibilities to poorly performing schools in deprived areas. The Bill is a completely different kettle of fish, and I think that the hon. Gentleman agrees with me.
Under new clause 7, before a school can make an application for an academy order—or arrangement with a free school—local authorities would be asked to assess the impact of such an order or arrangement on admissions, the funding between all state-funded schools and social cohesion in an area. As the hon. Member for North Cornwall (Dan Rogerson) ably articulated, social cohesion with regard to education is vital. There is a huge risk inherent in the Bill that social cohesion will be threatened and compromised. The new clause addresses that.
The hon. Gentleman makes a strong case, referring to Liberal Democrat party policy. In new clause 7(1)(a), he refers to the admissions policy and the impact on admissions to schools. Were he successful in getting the new clause accepted, what would he envisage as the best solution in circumstances in which, inevitably, parents will be disgruntled that their child is unable to gain admission to a local school?
In my constituency, parents want to get their children into certain popular schools. It is important that the local authority sets out a clear procedure by which admissions will be considered, that there is a good appeals process, and that the schools adjudicator is part of that process. It is important that local authorities are in the driving seat: not running schools, but with borough-wide thinking on admissions. The approach has worked well and can continue to do so.
Earlier today, my right hon. Friend the shadow Secretary of State for Education and the shadow Schools Minister, my hon. Friend the Member for Gedling (Vernon Coaker) wrote to every Liberal Democrat Member, expressing the wish that we work together to amend and improve the Bill by supporting new clause 7. If Liberal Democrat Members feel that they must support the Bill as a whole in keeping with the coalition agreement, I can understand and respect their position, but I hope that there can be cross-party support for new clause 7.
I understand the hon. Gentleman’s point, and I am sure the Minister will want to respond to it in respect of how the funding agreement will work as the academies come into being. However, the hon. Gentleman said earlier that he thinks that academies are a good thing and that if Labour had continued in government, they would have increased in number. [Interruption.] Well, the issue of variance that has arisen between the Government’s proposal and that of the hon. Gentleman is how the academies come into being. Until now they have undoubtedly had an effect on their local area, but there is an issue of critical mass, as many Opposition Members have said: there must be a tipping point at which there is a sufficient number of academies to have a particular effect on the local authority. That would have happened under the hon. Gentleman’s vision for expanding the number of academies as well as under the Government’s, so that is a separate question; it is a question about how many academies we have and what effect they have collectively.
I was tempted to rise and respond to the question of whether the model under discussion is the same as that which the Liberal Democrats have advocated throughout history. It is not of course, but real progress has been made in that the Government have now introduced a Bill that includes a provision to allay a lot of the concerns that many of us have raised, but which also opens a way for communities that feel they want to go in this direction.
I am concerned that scare stories are being told that everybody will want to go for this in a big rush, but I do not think that will be the case. I think that many governing bodies, schools and groups will want to—[Interruption.] Well, the Secretary of State has talked about the huge amount of interest in this programme and I am sure that that is true, but I think that many people will want to see what happens and how things develop before deciding whether to take advantage of the provisions.
My hon. Friend has said that his concerns have been allayed. He will have heard my intervention on the hon. Member for Hartlepool (Mr Wright) in respect of the impact of these proposals on the admissions policies of each of the academies and what will happen when parents are unable to find a place in their local school which happens to be an academy—from whom they can seek redress in those circumstances if they have a justifiable reason to take the matter a stage further. I wonder how my hon. Friend might allay my concerns, given that his concerns in respect of the admissions policy have been allayed. This point is particularly important if we bear in mind the fact that the first academies are likely to be the outstanding schools—those that all pupils would wish to go to.
My hon. Friend raises an important point. He has intervened on both the hon. Member for Hartlepool (Mr Wright) and me, and he will no doubt want to raise his question with the Minister when he responds—indeed, the Minister may well wish to do address it in any case. When talking about fears being allayed, the particular point I was addressing was to do with community cohesion, which is very important. It is about the way in which the existing maintained schools, the new academies that have transferred over and other new school provision that is offered will interact and relate to the surrounding community. There has been a bit of progress on that, which I welcome.
On the tempting invitation from the hon. Member for Hartlepool to support the Labour amendment, I must say that their conversion comes a little late on some of these issues. As my party colleagues, my hon. Friends the Members for St Ives (Andrew George) and for Redcar (Ian Swales), have already said in this brief debate, in respect of how the relationships emerge most of the provisions were in existence and operation under the previous academies programme. I do not think there is any huge difference therefore. The only difference is that this is someone else’s academy programme, not that of the hon. Gentleman.
Amendment 79 would require the Secretary of State to consult all those listed in the amendment before making an academy order in respect of a maintained school. As I have mentioned a number of times, clause 5 already requires the governing body of a maintained school wishing to convert to academy status to consult on its proposals. That provision was included in the Bill in response to concerns raised in the other place and in order to demonstrate the importance that this Government attach to consultation. I believe, therefore, that it is unnecessary and inappropriate, not to mention impractical, for the Secretary of State to consult on those same proposals. It should be the school’s decision to become an academy, except in those cases where the school is eligible for intervention. It is our aim to reduce any unnecessary bureaucracy surrounding the academy conversion process, and I believe that potentially duplicating consultation would fall into that category.
We have made it very clear that we believe that schools are in the best position to determine how best consultation should take place. That includes deciding who should be consulted, although some guidance is provided on the website as to who is consulted, and when and how that should be done. We do not intend to provide an inflexible checklist, such as that proposed in this amendment, which would not, in itself, ensure that consultation was any more meaningful.
New clause 7 would mean that before a school makes an application for an academy order or an academy arrangement with an additional school, a local authority must be asked to assess the impact of academy status on admissions, on funding between all publicly funded schools and on social cohesion in the local authority area where the school is situated. It would also mean that before making an academy order or an academy arrangement with an additional school, the Secretary of State would be required to have regard to the impact assessment.
Clause 9 requires the Secretary of State, when deciding whether to enter into academy arrangements with an additional school—an entirely new or “free” school—to take into account the impact of such a school on the existing schools and colleges in the area. We believe that requiring the local authority to consider the impact of an additional school as well is unnecessary and will simply result, again, in the duplication of work. The clause does not include provisions for the Secretary of State to assess the impact of schools that convert into academies. We are clear that schools should convert “as is”; in most cases, it will be the same head, the same staff, the same parents and the same children in the school, but with additional freedoms to innovate and raise standards. Furthermore, the requirement for converting schools to consult means that those other schools in the area may have the chance to make representations on the proposed conversion. Where schools convert “as is” we do not believe, therefore, that the nature of the change is such that there is any need for an impact assessment.
The Minister will have heard my two interventions about the availability of an appeals process where an admissions policy excludes potential pupils from a school before they have been able to gain admission to the school. Under the current arrangements, in most areas the parents can appeal to the local authority if they feel that the decision is unacceptable. What arrangements will apply where an academy has been set up?
My hon. Friend will know that the admissions code will apply just as much to academies as to maintained schools, that the admissions appeals code will also apply just as much to academies as to maintained schools and that the co-ordination arrangements will apply too. So the local authorities will hold the ring on admissions in the same way as they do at the moment.
(14 years, 4 months ago)
Commons ChamberAs the hon. Gentleman knows, there was an announcement in the Budget on commercial rates, which was a big issue for those ports. We are anxious to help the development of green investment and, as he will know, we are studying a proposal for the green investment bank, which could well become a vehicle for good projects in that sector.
T5. I was listening carefully to the Minister’s earlier response to the question on penalty charges applied to personal bank account holders who occasionally stray into unauthorised overdraft. Bearing in mind the Supreme Court’s decision last year, which has resulted in a very unsatisfactory situation, does the Department intend to review the situation and, indeed, intervene to protect those personal account holders who find themselves in difficulty?
There certainly was a problem of serious overcharging, and it was pursued through the courts by the Office of Fair Trading. I am going to meet the director general of fair trading very soon, and I shall try to establish whether any action needs to be taken by the Department, as opposed to through the legal channels that have been pursued so far.
(14 years, 5 months ago)
Commons ChamberIf I get fewer interventions, I will be able to get to that point shortly. I am trying to develop the argument and respond to the perfectly valid points that the Labour spokesman made.
I am grateful to my right hon. Friend. I appreciate that he is concerned about interventions, but given that he is saying that his response has been rational, as I believe it has been, he will be aware that my part of the world—Cornwall—is the poorest region in the UK. By the Government’s own admission, it receives less than the Government say it deserves in health funding and for many other public services. The Government rightly propose to abolish the RDAs, but what impact will that have on the poorest regions in the UK, if match money is not available for the convergence programme, for example, and those regions—the most impoverished and the most in need of investment—carry a disproportionate burden of the cuts?
I am heartily relieved that my hon. Friend did not ask me an awkward question about the retail ombudsman, but he is right about Cornwall: it has special problems. As it happens, it has not been well served by the RDA. The South West of England Regional Development Agency covered areas such as Bristol and more prosperous parts of the country, which received an undue share of its attention. In the new structure, which I shall describe shortly, his county, and its county council and businesses, will be in a much better position to advance their cause.
(14 years, 5 months ago)
Commons ChamberI know that the hon. Gentleman takes a keen interest in his local businesses and jobs, and I am concerned about the issue that he has raised. I am aware that Siemens is about to commence a 30-day consultation period for employees. Clearly that is a commercial matter for the company, but in response to his inquiry, I would be happy to receive further representations if he would like to contact my office.
Yesterday, the Under-Secretary of State for Business, Innovation and Skills, my hon. Friend the Member for Kingston and Surbiton (Mr Davey), confirmed in response to a question of mine that the Government are committed to introducing
“an ombudsman, in the Office of Fair Trading, to enforce the Grocery Supply Code of Practice…and curb abuses of power which undermine…farmers”.—[Official Report, 2 June 2010; Vol. 510, c. 44W.]
Can he confirm that that is a reference to the physical location of the ombudsman, and that it does not mean that the ombudsman will be operating under the executive power of the OFT?
I am grateful for that question. I pay tribute to my hon. Friend, who has led the debate on the new proposal. He and other colleagues on the coalition Benches helped to persuade the previous Government to adopt the idea, for which he did so much work. He will be aware that the previous Government undertook a consultation, which ended at the end of April. We are looking at all the submissions to that consultation and we will report back to the House when we have had a chance to analyse them, dealing with the sorts of issues that he has raised.