amendment of the law

Andrew Griffiths Excerpts

Tuesday 25th March 2014 Commons Chamber

[Andrew Griffiths (Burton) (Con)]

It is a privilege to follow the right hon. Member for Salford and Eccles (Hazel Blears), of whom I am a big fan, and to support what she said in her exciting speech that extolled the virtues of the big society. I congratulate the Secretary of State who has done such a great deal to bring on the big society and social enterprise, through his work at the Centre for Social Justice and in the Department.

I am, however, somewhat disappointed to be speaking in this debate having heard the shadow Secretary of State be so disparaging about the cut in beer duty. It is not just I, the Member of Parliament for Burton—the home of British brewing—who will be disappointed that the Labour party dismissed such an important industry, but the 1 million people who are employed in that industry, the 4,000 people in my constituency who earn a living from the beer and pub industry, and the 120,000 members of the Campaign for Real Ale who campaigned hard across the country because they love British beer, they love the industry and they wanted a cut in duty.

[Nigel Adams (Selby and Ainsty) (Con)]

My hon. Friend, the MP for Britain’s second foremost brewing town, has done a fantastic job on this issue. In the pub over the weekend I noticed a lot of people talking about a penny off a pint. Has he made any assessment of the scrapping of the beer duty escalator, as well as the cut in duty, and how much a pint would have cost had the Labour party had its way?

[Andrew Griffiths]

I thank my hon. Friend for that intervention, and I will not let petty rivalries interfere in this important debate. He is right, however, because this is cumulative: it is not just about the historic cut in duty by a penny this year, but last year’s 1p cut in duty and the scrapping of Labour’s hated beer duty escalator. Added together, they have taken more than 7p off the price of a pint in our local community pubs. Beer drinkers, publicans and the industry will welcome and raise a glass to that, and it is part of the measures that have shown this Government to be the most pro-pub and pro-beer Government in generations. It is historic: this is the first ever Chancellor to cut beer duty two years running, and it comes after the previous Government, when beer duty rose by an eye-watering 42% between 2008 and 2012. Is it any wonder that the industry has been in such dire straits?

This industry is important for our community pubs. We talk about supporting community pubs, but seven out of 10 drinks purchased in a pub are a beer. This is a great British product that is brewed and consumed in this country and employs people in this country. Those 1 million jobs are important—46% of those workers are under 25, and more than 50% are women. If we want to help young people into the jobs market and get more women into the workplace, supporting the hospitality industry, pubs and breweries is exactly the way to do it. CAMRA, the Society of Independent Brewers, and the British Beer and Pub Association have welcomed the support that this Government have shown for beer and pubs.

Last year the Chancellor had a beer brewed in his name. Pennies from 11 was brewed by a Tatton brewery, and Sajid’s Choice was brewed in recognition of the support that the Financial Secretary gave the brewing industry during his time in the Treasury. I have no doubt that in weeks to come, Morgan’s Magnificent Mild will be brewed in gratitude.

[Lorely Burt (Solihull) (LD)]

I totally agree with my hon. Friend, but no list of beers named after hon. Members would be complete without Ginger Rodent, which was brewed in honour of the Chief Secretary to the Treasury.

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[Andrew Griffiths]

I absolutely agree with my hon. Friend, and I enjoyed sampling a pint of Ginger Rodent in the Strangers Bar. It was particularly enjoyable as it was a penny less as a result of this Government’s measures.

We should not underestimate the community pub. It is an important industry, and £620 million from beer exports came into our coffers as a result of the cut in beer duty last year. Beer exports outside the EU were up by 23%—this industry is incredibly important to our country and has great potential. We all know that we brew the best beer in the world in this country, and having a Government who stand up and not only listen but act in support of that industry will mean that the business will grow, employ more people, and create more revenue for the country as a result. I commend the work that has been done.

The facts speak for themselves. Last year we said to the Chancellor that if he cut beer duty, scrapped Labour’s hated beer duty escalator and gave beer and pubs a break, there would be investment and growth in the industry. That proved to be absolutely right. We have seen two quarters of growth in beer sales in the past 12 months, which is the first time in 10 years that beer sales have been on the increase. Brewers all say that that is as a result of the support that the Government have given to the beer and pub industry.

This is not just about scrapping the beer duty escalator. The Government also gave a £100,000 business rates break for pubs up and down the country, and scrapped Labour’s job tax by scrapping employers’ national insurance contributions for those under 21—important people whom this industry employs. As a result, we are seeing growth and investment. Some £400 million has been invested by the industry in the past 12 months. Only yesterday, Marston’s brewery in Wolverhampton announced 3,000 new jobs as a result of the Government’s support for beer and brewing.

I thank all the right hon. and hon. Members from all parts of the House who supported our campaign to reduce the duty on beer. This was a cross-party campaign. On behalf of CAMRA, SIBA, the British Beer and Pub Association and all beer lovers across the country, we will be raising a glass, saluting the Government and saying, “Cheers, George.”

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[David Wright (Telford) (Lab)]

I enjoyed the speech of the hon. Member for Penrith and The Border (Rory Stewart). He focused on issues relating to older people, and I think that many of the points he made were welcome. No doubt we shall have opportunities to explore them over the coming months and years. However, I have to dispute, for reasons that I shall explain shortly, his opening remark that the Budget had focused on young people.

As we know, this year’s Budget followed a huge global financial crisis and several years of flatlining in our economy. The growth that we are now seeing is very welcome, but I think we must acknowledge that, outside the M25 collar around London, it is quite patchy. In many areas, local communities are struggling to secure balanced growth in their economies, and it is undeniable that many people are experiencing a cost of living crisis. In Telford, which has a history of low wages, a history of temporary working and a history of agency working, people are still struggling to make ends meet. There has been some growth in the banking sector—the food banking sector, that is. More people are having to resort to the food bank in Telford, for a variety of reasons. I pay tribute to the volunteers who work at the food bank. I also say “Well done” to the local authority for funding it, and for recognising its contribution.

[Andrew Griffiths]

I understand the point that the hon. Gentleman is making—I too represent a northern, or midlands, constituency—but does he not welcome the fact that unemployment in his constituency has decreased by 25.6%?

[David Wright]

I intend to talk about unemployment, and about youth unemployment in particular. I know that the hon. Gentleman represents a northern seat, although I do not know how much further north it is than mine, if at all. Let me add that I enjoyed his comments about the brewing industry. I welcomed the Chancellor’s policy announcements about the industry, which I think were very positive, and, as a supporter of CAMRA, I agreed with much of what the hon. Gentleman had to say.

[Andrew Griffiths]

Will the hon. Gentleman give way?