Oral Answers to Questions

Debate between Bill Esterson and Graham Stuart

Tuesday 16th January 2024 Commons Chamber

[Dame Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

16. What recent discussions she has had with businesses on the Government’s net zero targets.

[The Minister for Energy Security and Net Zero (Graham Stuart)]

I meet regularly with business leaders and chair several groups bringing together Government and industry so that we can drive progress towards net zero. That includes the Net Zero Council, which is meeting next week and includes members from right across the economy. Like me, they are delighted that the UK is leading the world in tackling climate change. We are the first major economy to halve its emissions, ahead of every other major economy, and we have one of the most ambitious decarbonisation targets in the world.

[Bill Esterson]

Contrary to what the Minister has just said, and to what he said about onshore wind, this country has fallen on his party’s watch to seventh in the world for attracting investment in renewables. Well-paid jobs, lower bills and economic growth will all follow, but only if we attract investment, so why are the Government enabling what EY has described as the “diminishing of green policies” and undermining the economic benefits of net zero?

[Graham Stuart]

I thank the hon. Gentleman for his question, which has a sort of comic element given Labour’s monumental failure to deliver renewables when it was in power, coupled with the fact that it wants to bring forward GB Energy. That, as his left-wing colleague, the hon. Member for Cynon Valley (Beth Winter) just said, would be public investment. It would drive out private investment and destroy the transformation of the UK energy system that has happened under the Conservatives—it had flatlined under Labour. We have led the world and have now decarbonised more than any other major economy on the planet. Under the policies of this Conservative Government, which major world economy is predicted to decarbonise fastest by 2030? This one.

Oral Answers to Questions

Debate between Bill Esterson and Graham Stuart

Tuesday 4th July 2023 Commons Chamber

[Bill Esterson (Sefton Central) (Lab)]

2. What steps his Department is taking to help energy intensive industries decarbonise.

[The Minister for Energy Security and Net Zero (Graham Stuart)]

The Government are investing billions to support the development and deployment of carbon capture, utilisation and storage, hydrogen and other decarbonisation technologies, and have a range of policies supporting industrial decarbonisation, such as the industrial energy transformation fund and local industrial decarbonisation plans.

[Bill Esterson]

There are 23 clean steel projects across Europe, but none in the UK. Meanwhile, the UK is the only country in the G20 where steel production is falling. Other countries recognise the importance of their domestic steel industries, and they recognise the importance of investing in low-carbon steel. Why do this Government not support our steel?

[Graham Stuart]

As the hon. Gentleman knows well, this Government do support the UK steel industry. On his broader point, which he mentioned in his original question, UK industrial emissions have fallen 65% since 1990, and we are making significant investments in industrial decarbonisation, not least the £20 billion announced at the end of March, which will contribute to decarbonisation through CCUS and help the steel industry.

Oral Answers to Questions

Debate between Bill Esterson and Graham Stuart

Tuesday 25th October 2022 Commons Chamber

[Bill Esterson (Sefton Central) (Lab)]

Labour is committed to maximising the vast opportunities that exist in developing the UK’s onshore and offshore wind industries. In sharp contrast, the Conservative Government’s 12 years of low growth, low investment and low productivity saw the UK’s largest wind tower factory at Campbeltown close. Labour will increase onshore wind capacity. We will deliver jobs, lower bills and energy security, and we will set up a publicly owned Great British energy company. Is the truth not that Labour’s industrial strategy is the credible way forward for UK energy production?

[Graham Stuart]

If only Labour’s record in office was as good as the oratory that the hon. Gentleman uses today—less than 7% of electricity was from renewables then. We are also absolutely focused on developing green jobs. We have developed those green jobs, but, sadly, as my right hon. Friend the Secretary of State said, it is the fate of almost every Labour Government to come in with promises and end up with higher dole queues than when they started.

Oral Answers to Questions

Debate between Bill Esterson and Graham Stuart

Thursday 25th February 2021 Commons Chamber

[Graham Stuart]

May I congratulate the hon. Gentleman on his personal commitment to rigorous scrutiny and ensuring that the Government are held to account? I am sure that he would agree that others could do likewise in being similarly robust. As my right hon. Friend the Secretary of State has already made clear, it is our noble friend Lord Frost and the Cabinet Office who lead on that particular work. There are teething problems and there will be on ongoing frictions every day, but I am pleased to say that we are reducing those and are now seeing a return to pre-covid levels at our border. We will continue to work with and support our exporters in order to learn how best to do this. I hope that the hon. Gentleman will ensure that his Administration support his colleagues in the SNP and beyond to help support exporters.

[Bill Esterson (Sefton Central) (Lab) [V]]

I appreciate that the Minister wants to promote exports to some countries more than to others, but many of our constituents trade with Europe and need to safeguard their existing relationships before going looking for new ones. That is just good business practice. His Department telling exporters to open an office in the EU is not good practice when it is its answer to delays at the border that it was warned about. When are Ministers going to sort out the problems at the border that mean businesses are drowning in red tape?

Draft Common Rules for Exports (EU Exit) Regulations 2020

Debate between Bill Esterson and Graham Stuart

Wednesday 14th October 2020 General Committees

[Graham Stuart]

I am grateful to the hon. Member for Sefton Central for his contribution. In so far as that was a shift in Her Majesty’s Opposition in support of unfettered trade, I welcome that change in direction.

[Bill Esterson]

Really? You were going to say that whatever I said, Graham.

[Graham Stuart]

Well, I am welcoming a more moderate direction, and if that stretched all the way to the shadow Secretary of State, that would be good. I am breaking the golden rule of a Minister taking through an SI which is not to unnecessarily and needlessly provoke the Opposition. I am failing on lesson one at the start of my response.

The hon. Gentleman mentioned over-dependence on imports; we believe in diversity of supply rather than that there can be an over-dependence on imports. We believe in free and open trade, and I hope that the hon. Gentleman’s opening remarks are not negated by his other comments.

On the negligible impact on trade of goods from Northern Ireland, article 6 of the Northern Ireland protocol states that there can be no fetter on the movement of goods between Northern Ireland and Great Britain, excepting under international obligations. After assiduous research, which is typical of the hon. Gentleman, he has identified the issue of endangered animals, but no such international obligations are currently in place, and if they were, the UK Government would seek to implement them along with the EU. We do not expect any change from the current position.

As to the manner in which changes are to be made, the Secretary of State has the authority to implement article 5 powers, which relate to an urgent situation such as we saw earlier this year. I know that the hon. Gentleman would fully support that. The Secretary of State would exercise those powers on the basis that either House could annul any such measure simply by passing a motion against the use of that power. In any case, those emergency powers would last at most for six weeks. I hope that he accepts that that represents a proportionate and sensible response to an urgent situation.

[Bill Esterson]

I am grateful for that helpful explanation, but perhaps I can pick up the point about information that would be in the public domain to enable Members of either House to make informed decisions. Hopefully, we would avoid getting to the point where either House might want to annul such a measure.

[Graham Stuart]

Information on the powers and the actions that are taken would be publicly available alongside other information, the precise extent of which I am not currently in a position to share. The measures will be shared with Parliament and it will be possible, as I have said, to annul them if either House is not happy with them. Under powers under article 6, there are no time limits set, unlike the six-week maximum under article 5, but those powers are subject to an affirmative SI. If something is introduced for the longer term, it will have to come before a Committee of the House, such as this one, and be passed that way.

I think I have pretty much covered all the issues raised. I cannot give the specifics as I do not have them, but the information will be provided when the measure comes before the House, which will be able to verify it, look at it and make a decision. I hope that satisfies the hon. Gentleman that it will be an open process. As I have said, the regulations introduce a technical change, merely to bring into UK law that which subsists under European law.

Question put and agreed to.

9.42 am

Committee rose.

UK Trade and Investment Strategy

Debate between Bill Esterson and Graham Stuart

Tuesday 23rd July 2019 Westminster Hall

[Bill Esterson]

I am glad that the Minister mentioned numbers and outcomes. Let us look at some. Jobs saved through investment fell, from 2016 when they were 28,000, to just 6,000 in 2019. That is an 80% fall. Those are numbers. They are not exactly encouraging, are they? They are not exactly a sign of the Government’s success. Meanwhile, 13% of Asian investors have reduced their investment and 14% have put activity on hold, and there are similar figures for north America—slightly lower for western Europe. How is that a record of success on the numbers?

[Graham Stuart]

I am grateful to the shadow Minister for that intervention. The danger is in selectively seeking those things. On every possible measure, we see the UK—[Interruption.] I hope the hon. Gentleman will stop barracking; he knows what is coming. Even though he pretends not to, he must have seen the UNCTAD numbers—the official UN numbers—for 2018. What did they show? They showed that in 2018, according to the UN, the global stock of foreign direct investment—the yearly amount of total flows—fell.

[Bill Esterson]

What, by 80%?

[Graham Stuart]

The overall stock fell. The hon. Gentleman is talking about flows; he should try and get to grips with this. Maybe this will be a useful seminar for him to do so.

If the hon. Gentleman looks at the stock line for Europe, which is the accumulated level—not at the flow line, as flows go up and down year by year and are essentially volatile; they always have been and I project they always will be—he will find that it fell in Europe too. The net amount fell; there was net disinvestment in Europe and in the world. What happened in the UK? It went up again, but not quite as quickly as it did before. It is the global context. By every possible measure—flow, stock, greenfield, mergers and acquisitions—we lead Europe.

We have strengthened our position in Europe. Why has that happened? It is because of the business-friendly policies that we have put in place. As the shadow Minister is feeling so aggressive, I put it to him: in what possible parallel universe in which there is increasing competition for mobile global investment, with the massive number of jobs and the prosperity that brings, would jacking up corporation tax rates lead to more jobs, more opportunities and more prosperity for people in this country? That is the trade and investment strategy of Labour.

We do not need to think just about what Labour’s current policies will do; we can look back at every previous Labour Government. By the end of the 2000s, France was just about overtaking the UK; now we have more than twice as much as France. Just think of the hundreds and hundreds of thousands of jobs—I am most interested in that number. While the hon. Gentleman and his party play politics, we deliver the investments that lead to prosperity and jobs. If he is interested in going further into the subject, he should look at Ernst & Young and the pattern over the last few years. What have we seen? We have seen an increase in investments outside London and the south-east, and an increase in the share of the FDI going into manufacturing, which has been maintained and strengthened in this country.

That is the exact opposite of the picture that the hon. Gentleman tried to lay out. It is there in every figure—from the OECD, UNCTAD, the Economist Intelligence Unit, Deloitte and fDi Markets. That is a fascinating one. Some people say, “If you include mergers and acquisitions, and you include intra-company transfers, that is not real FDI. We should look at greenfield and new start-ups, not someone buying a factory. What difference does that make? What about creating a new one? Let’s look at that.” Who looks at that? That would be fDi Markets. What did it show last year? From memory, it showed that the UK got 1,268 projects, that France temporarily overtook Germany, with 580 projects—well done President Macron, who has put a lot of work into that—and that Germany had 560 projects. In other words, despite Brexit uncertainty, in 2018 the UK had more greenfield investment projects than Germany and France combined. On what basis would anyone other than the most devout and misguided socialist try to suggest that those figures are not good?

[Graham Stuart]

My hon. Friend is a particular champion of industries in his area, not least ceramics in Stoke. I thank him for speaking in my constituency last Friday and talking about the success that has come from the effort put into that local economy to help to turn it around and strengthen it.

Since 2010, we have been working to turn around the toxic economy legacy bequeathed by the last Labour Government and to support the pioneering, innovative, entrepreneurial brilliance of British business once again. Success has come from policies designed to promote the dynamism, openness and flexibility of our economy. A further important step was taken by the Prime Minister when she established a dedicated trade Department for the first time in British political history. The Department for International Trade has just celebrated its third birthday and is crucial to the delivery of trade and investment success.

Given that this could be a valedictory performance by me, as we get a new Prime Minister later, I pay tribute to the Secretary of State for International Trade and President of the Board of Trade, my right hon. Friend the Member for North Somerset (Dr Fox), for the brilliant work he has done leading and establishing this Department of State. Its work will become even more vital after we leave the European Union. We must build a global, outward-looking Britain that is a dynamic and independent champion of free, fair, rules-based international trade.

Our trade and investment strategy seeks three basic things: higher exports, greater foreign and outward investment, and reduced trade barriers. Contrary to what we have heard, exports are booming. Total UK exports now stand at a record high of £647 billion, bearing out exactly what my hon. Friend the Member for Stoke-on-Trent South (Jack Brereton) just said. They are up in real terms—[Interruption.] Maybe the shadow Minister only looks at numbers that suit his narrative? They are up 25% in real terms.

In 2017-18 alone, the Department for International Trade helped UK businesses to export goods and services worth around £30.5 billion, which is a year-on-year increase of 4%. We are proud of our work in encouraging more companies to export, as my hon. Friend the Member for Hornchurch and Upminster said in her excellent opening speech. A lot of the difficulty is in overcoming the timidity and the concerns that companies have in exporting. Nearly 111,000 firms exported goods in the first quarter of 2019, which is 5,000 more than in the same period last year.

I have talked about the foreign direct investment numbers, but the latest figures from UNCTAD show that the UK hit a record high of almost £1.5 trillion in FDI stock by the end of last year, which is more than Germany and France combined, creating 76,000 new jobs and safeguarding 15,000 more. That was in one year and in marked contrast to 2010, when France was close to overtaking us.

To put the FDI numbers into further context, UNCTAD’s figures show that FDI flows—flows not stocks; I hope the hon. Member for Sefton Central (Bill Esterson) knows the difference—fell by 19% globally in 2018. [Interruption.] I am now talking about flows as opposed to stocks, so it is repetition, but about a different aspect of something that I hope the hon. Gentleman would take an interest in. FDI flows fell by 19% globally and by 73% in continental Europe. What happened to FDI into the UK? The flows increased by 20%. So much for the negative effects of Brexit uncertainty.[Official Report, 3 September 2019, Vol. 664, c. 2MC.]

The pace of change in the global economy is increasing but, for the agile, opportunities abound. The Department for International Trade provides the platform to give the UK a unique trade advantage, by locating export promotion, trade finance, trade remedies, export licensing and international negotiations all in a single Government Department.

I want to respond to some points made by my hon. Friend the Member for Hornchurch and Upminster. She asked about the 100 days. We will continue to prepare for no deal to be the outcome, which is not the avowed intent of either of the leadership contenders for the Conservative party. We prepared and were in a good position ahead of 29 March, and we are working with the Department for Business, Energy and Industrial Strategy to be able to meet questions coming in from businesses. We are ready to meet any surge in demand at that level.

My hon. Friend asked about state-level engagement with the US. The Secretary of State and I met with Senators from Florida and Texas the other day. As we expand and strengthen the Department’s reach, we recognise that it is not all about working at the national and federal level, whether in the US or elsewhere, such as in Brazil. I was pleased to meet the Governor of São Paulo, which itself has more than 30% of the GDP of Brazil. There is a lot more to be done at that more granular level in order to identify barriers and overcome them.

My hon. Friend made an interesting point about language. Given our national weaknesses on foreign languages, I hope that officials may be able to follow up on that point. She also touched on the DIT working more closely with the FCO and DFID. We are absolutely trying to do that. I am delighted that we are becoming an official development assistance Department. We have to bring trade and development together. That is how people get out of poverty. This involves so many countries. There is now the Ghana Beyond Aid initiative; I visited Ghana’s investment conference in London last year. These countries do not want to be seen primarily as aid recipients. They want to be seen as countries with great entrepreneurs, great technology and great capability. That is why, after the Prime Minister’s speech last year in Cape Town, I am helping to organise the Africa investment summit on 20 January 2020. It is precisely to ensure that, cross-Government, we are able to support increased investment in Africa and take advantage of the opportunities there.

My hon. Friend touched on the subject of regulators. Whether further changes are required in their missions as defined by Government is something that I will leave for others to wrestle with, but I can say that our regulators really are stepping up to the mark. The Financial Conduct Authority, with whose representatives I have met, is making a major difference. People can look at our FinTech bridges. We lead the world on FinTech—financial technology. It is enormously valuable, and we are creating FinTech bridges with a number of other countries. For instance, we are deepening our engagement with Hong Kong and Australia. In both cases, the FCA has been a fundamental part of the team as we try to ensure that start-ups there can more easily come to the UK, and vice versa. It is precisely that kind of opening up of markets that is so important.

I am not sure that I have ever given a speech from my iPad before. When the screen goes blank—

[Bill Esterson]

Your mind goes blank.

[Graham Stuart]

It is better to have your screen go blank than your mind go blank, as may have happened to the hon. Gentleman when he started to talk about FDI, on which we are doing so well.

Last year we launched a new export strategy to encourage, inform, connect and finance businesses of all sizes, with the goal of increasing our exports from 30% to 35% of GDP, which would move us to the top of the G7. We are committed to working with the devolved Administrations in doing that. I will follow up on any suggestions. I hope that, if there are problems, we can immediately sort them out. It is certainly not this Government’s policy in any way to inhibit the effectiveness of the devolved Administrations in trying to promote business in their areas. We work together hand in glove. I remember that at MIPIM, the world’s largest property conference, last year, I launched the Scottish capital investment portfolio. We worked closely together on doing so, and we can do so again. That is very important, particularly in the Scottish context, because, if my numbers are still correct, exports as a percentage of GDP in Scotland are only around 20%, whereas for the United Kingdom as a whole the figure is 30%. That shows the importance of helping the Scottish Government to do a better job in promoting Scottish exports, because there is huge capacity there.

I am proud of what we have done with UK Export Finance. We have doubled its appetite since 2010 and we have revolutionised its performance as a world-leading export credit agency. It now has a capacity of £50 billion and its offer has been extended; it is now available in 62 international currencies, so when support is provided, that can be done in the local currency, thereby reducing risk. That has helped too. We have run it at no cost to the taxpayer, lowered its cost ratio since 2010 and ensured that no UK export fails for lack of finance or insurance. Earlier this year we went further. Now, companies that are not exporters themselves but are part of the supply chain of companies that do export can access UKEF finance too.

We have convened the Board of Trade for the first time in 150 years to promote a culture of exporting and investing, spreading the benefits and prosperity of international trade to every corner of our United Kingdom. Whether I have been in Stirling or Belfast with the Board of Trade, I have been delighted to see the local response and people’s enthusiasm for what we are doing at the DIT to promote trade from those areas.

Time has passed, and you would probably like me to bring my remarks to a close, Mr Davies. If I may, I shall continue just briefly. We have created an overseas network of Her Majesty’s trade commissioners, the most recent one being for Australasia. There are 10 of them and they have been selected for their expertise in particular markets. They are building our regional export plans and working to secure market access across the globe.

Whether it is on promoting exports with our export strategy or promoting foreign direct investment—for which we remain the No. 1 destination in Europe, well ahead of our competitors; in fact, we are third in the world, behind only the United States and China/Hong Kong—we are determined to go further. And of course in the area of trade policy, there is not only the issue of free trade agreements; my hon. Friend the Member for Hornchurch and Upminster was right to say that we should not fetishise them. As our second permanent secretary and chief negotiator has noted, for every one person working on FTAs, we want three or four working on market access.

Therefore, whether it involves opening up Taiwan’s pork market, cosmetics in China or lowering duties on Scotch whisky going into Latin American countries, we are, across the piece, upping our game. Having a dedicated trade Department—this might be my last speech while a member of it—was a significant and important step forward, particularly given the growing importance of trade and investment to the prosperity of this country and the world. The Department—with or without me—will continue to be an advocate for an open, rules-based, liberal trading system. It will continue to work to reverse the negative impacts on manufacturing and so much of our other trade and investment performance that happened inevitably—it happened in almost all cases—under the last Labour Government. We must ensure that Labour never comes into government again, and that this Government can go out there and continue to strengthen the DIT and strengthen our prosperity in the world. I thank my hon. Friend the Member for Hornchurch and Upminster very much for securing the debate today.

Oral Answers to Questions

Debate between Bill Esterson and Graham Stuart

Thursday 11th July 2019 Commons Chamber

[Bill Esterson (Sefton Central) (Lab)]

The Society of Maritime Industries says that export finance support in the UK lags behind what is available in other countries. It is calling for a much-needed follow-up detailing the specifics of the export strategy. If the Government are serious about the UK being a zero-carbon economy, where is the detail, the coherent plan and the investment into exports of our world-leading renewables sector? Labour believes in the industry; when will the Government start to?

[Graham Stuart]

I shall try to give a straight answer to a not entirely straight question. As I said, we have the sector deal. We have the export strategy and we are putting enormous effort into that. I am pleased to say, Mr Speaker, that in this 100th centenary year of UK Export Finance, it has, under this dedicated trade Department, been rated the best export credit agency in the world.

Future Free Trade Agreements

Debate between Bill Esterson and Graham Stuart

Thursday 21st February 2019 Commons Chamber

[Bill Esterson]

My hon. Friend makes much the same point that my hon. Friend the Member for Brent North and I made when the Trade Bill was in Committee last year about the importance of full scrutiny and a thorough process that goes way beyond the Henry VIII powers that the Secretary of State has been so keen to confer upon himself for the scrutiny of such agreements. My hon. Friend the Member for Stroud (Dr Drew) makes an interesting point about the SIs and the completely inadequate no-deal planning, but that is a discussion for another time, although I share his concern about the pressure being put on Members to vote for the Prime Minister’s bad deal, as my hon. Friend the Member for Brent North described it earlier.

My hon. Friend the Member for Hornsey and Wood Green (Catherine West) spoke of the frequency of the legal action being taken by Canadian companies, which was also mentioned by the hon. Member for Dundee East. She also advocated greater regional and national engagement in scrutiny and said we should learn from international good practice, and I agree. My hon. Friend the Member for Warwick and Leamington (Matt Western) also said that we should learn from other countries. When our own Government say that they cannot give us information because it is confidential and would affect delicate negotiations, it is odd that we can find out what is going on from the other countries involved. He also mentioned the importance of looking after our own street first and referred to prioritising a trade deal with the EU before looking for deals on the other side of the world.

My hon. Friend the Member for Newcastle upon Tyne Central (Chi Onwurah) spoke about landscape, cars and the environment, describing the contrast between agriculture in the UK and the US and the difficulties facing our farmers in surviving and competing in the trade world that the Secretary of State envisages. She made a good point about sustainability and the importance of the rural environment, and she was right to cite the desire of much of industry, across sectors, for a customs union to support frictionless trade.

We have a trade deal, which represents 48% of our trade, on our doorstep. The deal ensures frictionless trade and access to the single market, as well as access to 11% of the rest of our trade through deals with 70 or so further countries, but as the written ministerial statement shows, only six new trade deals have been signed so far, and we leave the EU at the end of March.

I was startled to find out that neither the Defence Secretary nor the International Trade Secretary has learned the basics of diplomacy. Domestic sabre rattling on China, which we assume is part of the Defence Secretary’s leadership campaign, has jeopardised talks with China, while the International Trade Secretary has managed to insult the Japanese. [Interruption.] Excuse me. I think the International Trade Secretary had something to say to me there.

[Graham Stuart]

He was just obliging you.

[Bill Esterson]

Was he? That is very kind of him.

In 2017, a number of Australian academics warned of the danger that

“Australia’s interests get caught up in the possibly unrealistic worldview of the Brexiteers and thus Australia becomes collateral damage of…British politics.”

Why might they say that with this Secretary of State in charge?

In the real world, my constituents who put their goods on a ship at the port of Liverpool today do not know whether the ship will be able to dock in Tokyo on 30 March and what arrangements will be in place. They want the Government to show that they understand diplomacy, and they want them to avoid causing offence in delicate trade negotiations.

This week, in Swindon, we have seen what is happening in the real world: real workers’ jobs going—3,500 of them—and real communities affected. We are party to a trade agreement with Japan through our membership of the European Union, and the deal has not prevented the disinvestment of Japanese companies such as Honda and Nissan.

“The idea that Brexit uncertainty is irrelevant to this is fanciful. How are Honda supposed to calculate the costs and benefits of staying in the UK in the overall global context against such lack of clarity on the future terms of trade?”

Those are not my words but the words of Sir David Warren, the former UK ambassador to Japan.

Oral Answers to Questions

Debate between Bill Esterson and Graham Stuart

Thursday 11th January 2018 Commons Chamber

[Graham Stuart]

The hon. Lady is quite right to highlight and champion exports from Scotland, and she will know that the greatest export market for Scottish businesses is the rest of the United Kingdom. I can tell her that this Government will stay committed to promoting trade within the United Kingdom, with our neighbours in Europe and with the rest of the world to boot.

[Bill Esterson (Sefton Central) (Lab)]

I, too, welcome the Minister to his place. I enjoyed serving with him on the Education Committee, and I look forward to debating these important matters with him.

Evidence to the former Business, Innovation and Skills Committee showed a budget of £23.6 million for the trade access partnership in 2013-14, which fell to £11.05 million in 2014-15 and to just £8 million the following year. We are now in the final quarter of this financial year and, just as last year, the Government still have not said what the current budget is. When are they going to end the uncertainty for business, and tell us how much money they are giving to support exporters who want to go to trade shows to promote exports for business and the economy?

[Graham Stuart]

As usual, I am afraid, Opposition Front Benchers are confusing inputs with outputs and outcomes. We are focused on promoting exports. We are doing that successfully, building on the position in 2010, and that is why we are seeing a record level of the manufacturing and other exports on which the hon. Gentleman’s constituents depend.

Young People in Care

Debate between Bill Esterson and Graham Stuart

Tuesday 27th January 2015 Commons Chamber

[Mr Graham Stuart]

Further to the question from the hon. Member for Upper Bann (David Simpson), we recommended in this report that there should be greater awareness of the right of young people who leave care and get into difficulty to come back into care. The Government said that they would look into that more closely. Perhaps the Minister will reflect on that in his remarks and let us all know what progress has been made.

[Bill Esterson]

I thank the hon. Gentleman for making that point. He is absolutely right.

We made recommendations about better preparation for young people who are leaving care, including through the development of life skills. We highlighted a number of areas where support was crucial, based on the evidence that was presented to us.

The concept of instant adulthood has been raised with me. It describes the sudden change in the lives of people who have been very much looked after and who have had everything done for them and everything provided for them. It describes how corporate parenting is not working in the way we would expect for this group of young people. The concept of corporate parenting had been used as a way of identifying how we should look after such young people.

A point that has been made to me is that young people must value the support that they receive. It is not good enough for the authorities to describe what type of support should be available and who should provide it. Young people often have relationships with those they do not necessarily want supporting them, whether a social worker or somebody else they come across while they are in care. It is really important to listen to young people in deciding who is best placed to provide support for them. It is a matter of trust—I have heard that word mentioned a number of times.

Nursery Schools

Debate between Bill Esterson and Graham Stuart

Tuesday 9th September 2014 Westminster Hall

[Mr Graham Stuart (Beverley and Holderness) (Con)]

It is a pleasure to take part in the debate under your chairmanship, Sir Roger, and to follow the hon. Member for North West Durham (Pat Glass), who is a distinguished member of the Education Committee. As she showed in her powerful and passionately argued speech, she is deeply informed about education and the welfare of young people.

The future of nursery education is an important issue, and one at which the Education Committee looked closely during our inquiry into Sure Start children’s centres last year. As I touched on, we visited the Pen Green centre for children and families in Corby, run, as the hon. Lady said, by the brilliant Margy Whalley. We also visited the Netherlands and Denmark in February 2013 to compare provision for early years in those countries with that in England.

The clear message we heard is that education is too important to wait until children reach school age. In particular, we concluded that if we are serious about closing the attainment gap for disadvantaged children, it is imperative that Ministers should set out coherent, long-term thinking on early years and children’s centres. It is worth asking the Minister—a central message from many of us today—not to let coherence or a desire for uniformity and equity to allow or excuse the destruction of rare, peculiar centres of excellence that do a brilliant job and that are found to be doing so by everyone who looks at them.

The Government have a vision of doing more through schools, utilising the resource, and we heard during our hearings on the children’s centres that perhaps the previous Government made an error in building entirely new things, rather than better utilising the infrastructure that they had. None the less, it is possible to allow infant schools to do more for younger children and to provide good or, I hope, excellent provision in an area, without destroying those often long-standing nursery schools that are brilliant today. That is the appeal to the Minister: not to get so caught up in coherence and uniformity that we end up, inadvertently, destroying jewels that might not be everywhere, but certainly are present and deserve to be preserved. At that point, I could sit down—

[Bill Esterson]

rose—

[Mr Stuart]

And I will, to give way to the hon. Gentleman.

[Bill Esterson]

I am giving a chance for a pause for thought. The hon. Gentleman mentioned Denmark and Holland—I went on those visits—and much higher spending is clearly committed to early years in those countries, as part of the contribution of having such well-trained and excellent staff. Does he agree that that is the route we need to go down in this country? To do so, to make the case and to be accepted by Governments of whichever colour, do we need to demonstrate that that would be not only a cost, but a long-term saving?

[Mr Stuart]

I will come on to funding and raising the status of early years. If the hon. Gentleman will allow me, I will come back to that, but he is right.

Nursery schools do a particularly good job of supporting children from poorer homes—that is worth saying. The Government’s educational reforms have two main aims: to raise standards for all and to close the gap in attainment. If we have things that do a peculiarly good job in looking after the interests of disadvantaged children, we should be extremely wary before risking, inadvertently or otherwise, their destruction.

Ofsted’s early-years report, published in March, stated that only just over a third of children from low-income backgrounds reach a good level of development in the early years. In some local areas, that figure is less than a fifth. Crucially, some types of provision, such as childminders, are considerably less likely to be good or outstanding in deprived areas. By contrast, Ofsted found that children from low-income families make the strongest progress when supported, as has been said, by highly qualified staff, in particular with graduate-level qualifications. Where are such staff most frequently found? In nursery schools.

To quote Ofsted’s report:

“Nursery schools have high levels of graduate level staff and perform as strongly in deprived areas as in more affluent ones.”

Of how many types of educational provision can we say that they perform as strongly in deprived areas as in more affluent ones? I cannot think of one, actually, but we have nursery schools managing to achieve that, to achieve what the previous Government and this Government want to do for social justice, delivered through education. I again make the case: let us ensure that we do not inadvertently lose them.

Despite that, the Government’s policy seems a little confused. The Education Committee expressed regret that the right hon. Member for South West Norfolk (Elizabeth Truss), the then Parliamentary Under-Secretary of State for Childcare and Education, now the Secretary of State for Environment, Food and Rural Affairs, showed little enthusiasm for maintained nurseries, many of which have closed over the past decade. Likewise, my Committee expressed concerns about how the Government’s ambition to create an integrated nought-to-18 teaching work force will be delivered successfully. It is important to focus on that, although it sounds like a soundbite. An integrated nought-to-18 teaching work force is the Government’s stated policy. The then Minister told us that she wanted

“to see a much greater consistency across the teaching workforce and much less of a silo between the early years and primary school”.

Who can say, in any party, that she was not right to do so?

With that in mind, Ministers have set out their plans to reduce the number of different early-years qualifications, to improve the quality of training and to raise the status and quality of the work force by replacing the current early-years professional status qualification with new grades of early-years teacher and early-years educator. Early-years teachers will be graduates and will need to meet the same entry requirements and pass the same skills tests as trainee school teachers. So far, so good: there is an inspiring vision of integrated nought-to-18 teaching work force, with an upgrading and re-engineering of the training, requirements and qualifications of those working in that sector. They will not, however, be accorded qualified teacher status in the same way as primary and secondary teachers. That is not to visit the obsession of the shadow Secretary of State for Education, the hon. Member for Stoke-on-Trent Central (Tristram Hunt), with the tiny number of people who are not qualified teachers, which seems to be a sideline in the overall education debate; it is to go to the heart of the status of those people in relation to those who work in primary schools.

My Committee concluded that the Government are right to want to increase the qualifications of the early-years work force. As Susan Gregory of Ofsted reminded us, the historic situation is that

“you need a higher qualification at entry level to work with animals than you do to work with young children.”

[Mr Stuart]

I agree with the hon. Lady that that is an anomaly in the Government’s vision for the future. There is an inconsistency. However, I would gently chide her by saying that the money has to be found from somewhere, because there are real cost implications. If we are going to will the ends, we have to will the means, and that will mean taking tough decisions—unless people think that there is an infinite money tree somewhere. We will have to take the existing budget and orient it more to the early years. It could be said that this Government have done that in a number of ways, from abolition of the education maintenance allowance—that act was enormously unpopular—at one end to the introduction of the offer for two-year-olds and its extension from 20% to 40% at the other.

The truth is that considerably more money is being spent on early-years provision, despite overall constraints on spending. I would imagine there will a combination of some re-engineering—a lot of which will be unpopular, as anyone we take the money away from will hate us for it—and potentially finding additional funds. However, given that this supposedly austere Government are still spending over £100 billion a year more than they have coming in, I am not clear that additional funding outside the budget could easily be found.

[Bill Esterson]

I probably did not make myself clear enough in my earlier intervention. The point I was driving at is how we make the case for using money further upstream. It is about the costs of social failure that are avoided by getting early-years provision right. Does the hon. Gentleman agree that if the case can be made for saving money later in life by getting early-years provision to the highest standard possible, that will deal with the point he is making?

[Mr Stuart]

Well, it will, but not for a Treasury Minister. As the hon. Gentleman will know, every Department comes along and says, “If only you gave me more money, you’d save so much later. No one would go to prison and you’d be saving money all round.” Understandably, the Treasury is a little sceptical. On that basis, we would for ever simply throw more money at the education system, because if we only provided the right start in life, we would have greater economic success and more highly skilled industries, and would live in nirvana.

The greatest thing I can say about the previous Government’s education policy is about how much they spent on education. The fruits are slow to emerge, but that is not to say that there are not benefits to be had if those resources are used well. Given the constraints we are under and the overspending by Government today, let alone five years ago, we are going to have to find the money for early-years provision from re-engineering our education budget. That could be said to be the more mature debate. It is always easy to say, “Oh no, we should just find the additional money.” The truth is that that will be very difficult.

On status, the Committee said in our report that the message that early-years teachers will not be equal to teachers in schools is “strong and unjust”. On pay, we said that it is not enough simply to set out a vision of equality with other teachers: if we accept the premise that the early years are a peculiarly critical time in a child’s development, Ministers need to set out—and this is the key point, whether it is done through finding more money or re-engineering the budget—

“a course of action…to a position where equal pay attracts equal quality”

of applicants. That is the key. We cannot have Government setting out an aim of an integrated work force, with that equality as a premise, and then failing to put in place any of the building blocks to take us there. At the moment, it seems to be all aspiration, with very little evidence of a closing of the gap. Even if it were to take 10 or 15 years, we would at least have a vision of how we were going to create a genuinely integrated work force, in which early-years teachers were given pay and status equal to that of teachers elsewhere in the education system.

At present, figures from the Pre-school Learning Alliance reveal that pre-school staff earn, on average, £17,000 a year, which is only around half as much as primary school staff, who earn an average of £33,000. The former Minister, my right hon. Friend the Member for South West Norfolk, confirmed that England has the biggest gap in salaries between those who work in nurseries and those who work in schools of any country in western Europe. As all members of the Select Committee here today, and others, know, the key issue in raising educational quality for anyone, at any time, is the quality of the teacher. That is what counts. If we pay people half the rate of what is paid to those working with children who are just a little bit older, is it any wonder that we struggle to bring in the innovators, pioneers and greatest communicators? We need to set out a plan—it would be good to hear the Opposition’s funded plan from their Front-Bench spokesperson—to bring about that outcome.

It can be no surprise that there is a continuing disparity of status between early-years and school-based teaching. The impact of that lower status is felt beyond the issue of attracting high-quality recruits into the nursery sector. Naomi Eisenstadt told us that the perceived low status of children’s centre staff can create a barrier to successful multi-agency working, adding that

“if you do not have status within the community and you ring the health agency, they are not going to ring you back.”

Delivering equal pay for early-years teachers would of course require the extra resources I have talked about.

16-plus Care Options

Debate between Bill Esterson and Graham Stuart

Thursday 17th July 2014 Commons Chamber

[Mr Stuart]

I pay tribute to the hon. Gentleman for his contribution and the passion he brings to these issues and, quite rightly, to challenging the Government and asking for more on behalf of those young people. He is absolutely right. I know that the personal testimony we heard seared his conscience, as it did mine. We heard those young people consistently and articulately describe the awful situations they found themselves in, such as bed-and-breakfast accommodation with troubled adults around them, in one case knocking on the door of a young woman who was barely 16 years old, inviting her to come to their room. She was traumatised and frightened and, supposedly, in the care of the state.

[Bill Esterson (Sefton Central) (Lab)]

I add my voice to those of Members who have already said how important it is that the report has been published and that we support this group of incredibly vulnerable young people with all the financial benefits that would come from it. As the report states, the young people in residential children’s homes are often the most vulnerable. That is why its recommendations on extending care to the age of 21 in residential settings are so important. I, too, was struck by the evidence we heard from young people during the inquiry, particularly on the importance of relationships, whether with carers, other professionals, friends or mentors, and the difference that can make to young people. Does the hon. Gentleman agree that support needs to be about extending care to the whole group of people leaving care, the quality and availability of the settings, and the psychological benefits of long-term relationships, both professional and personal?

[Mr Stuart]

I thank the hon. Gentleman for taking such a close and passionate interest in the subject and for his work on the Committee. He is absolutely right. As we have seen in all the work we have done on child protection and vulnerable children, it has come down again and again to the quality of relationships. That is why it is so important that relationships should be maintained and why we have made our specific recommendations on staying put and on contact with siblings. We heard testimony from young people who did not want to be forced to see their parents but who wanted to see their brothers or sisters, whom they loved and had great relationships with. That needs to be improved.

Extending Staying Put to residential care homes is an expensive option, because the cost of providing a care home place is high. It means that having stabilised someone, they are then given the option—let us remember that they can leave at 18 if they want to; they will not be forced to stay—to remain in a place that is happy to have them, where they want to stay, where they can have stable relationships and from which they can go to college and start to build a life. It is probably the most expensive of the suggestions in our report, so I am delighted to have such a senior and influential Treasury Minister on the Front Bench to hear the arguments, because that truly would be a good investment in the future of the country and the future of young people who have been let down not only by their families, but, too often, by the state.

Bill Presented

National Insurance Contributions Bill

Presentation and First Reading (Standing Order No. 57)

Mr Chancellor of the Exchequer, supported by the Prime Minister, the Deputy Prime Minister, Danny Alexander, Mr David Gauke, Priti Patel and Andrea Leadsom, presented a Bill to make provision in relation to national insurance contributions; and for connected purposes.

Bill read the First time; to be read a Second time on Monday 21 July, and to be printed (Bill 80) with explanatory notes (Bill 80-EN).

Teaching Quality

Debate between Bill Esterson and Graham Stuart

Wednesday 29th January 2014 Commons Chamber

[Bill Esterson (Sefton Central) (Lab)]

The hon. Gentleman is calling for research into this subject, but he will remember that the Education Committee’s report, “Great Teachers”, urged the Government, as a matter of importance, to undertake such research. I am not aware of their having carried it out. Will he take this opportunity to repeat that request to the Secretary of State?

[Mr Stuart]

I would welcome such research, but the fundamental position of the Secretary of State is that, within a strong accountability system, we should trust head teachers. The number of non-QTS teachers is reducing. There are many fewer now than when Labour was in power, and the shadow Secretary of State’s refusal in successive debates to acknowledge that is mildly irritating. We have fewer of them and there is strong accountability, yet we keep hearing this proposal to get rid of them.

That point echoes the comments by the right hon. Member for Kingston upon Hull West and Hessle (Alan Johnson):

“If you find someone who is a great musician but they can’t spend three years getting the proper teaching qualifications, I think you should use them”.

He gets it; it is a shame that the Opposition Front-Bench team do not appear to do so. When it comes to the evidence for their campaign, the Opposition are quieter than the library of a Trappist monastery.

Is the shadow Secretary of State in favour of evidence-based policy making? I know that he would not want to score political points if it were to hurt our children’s education. He has had three months since the last debate to find evidence that non-QTS teachers are damaging schooling. He has had three months to find evidence that moving a teacher without QTS to QTS on the job improves learning in their classes. Has he found any evidence? If so, where is it? Why does he not share it with us? If he could point us in the right direction, I am sure my Committee would be happy to pursue the matter. If unqualified teachers are doing harm, let us move fast to get rid of them.

Examination Reform

Debate between Bill Esterson and Graham Stuart

Wednesday 16th January 2013 Commons Chamber

[Mr Stuart]

My hon. Friend, who serves on the Education Committee, leads me neatly on to structure.

How sufficient was the understanding—I did not have a sufficient understanding—of the nature of how our qualification system works? I come back to tiering. Ministers did not know—they will correct me if I am wrong—the share of young people who were doing tiered exams. Last year, in AQA English—the largest board—45% of children did the tiered exam. One of the Secretary of State’s objections is that by putting them into this thing where, a bit like the old CSE, the top grade they could get was a C, the two-tier system was alive and well within our GCSE system, we just did not know it, and that we must get rid—maybe it came out of coalition politics; maybe it was the leak of the new O-level—of any form of separation or tiering. We must make sure our assessment is appropriate, because otherwise children will sit exams that, unless some genius designed them, put them off learning, rather than encouraging them. [Interruption.]

[Bill Esterson]

While the debate rages in front of me, I want to check—[Interruption.]

[Bill Esterson]

I thought the Secretary of State was giving another of his famous soliloquies in his team meetings, which we heard about this morning.

What is the view of the hon. Member for Beverley and Holderness (Mr Stuart) on the role of assessments within qualifications and the balance between that and end-of-year exams, because that is one key change in the EBCs proposed by the Secretary of State?

[Mr Stuart]

I am grateful to the hon. Gentleman, who serves with distinction on the Education Committee. I am sympathetic to the Government’s view on a move to more linear exams, notwithstanding that the Secretary of State must be careful not to tread in areas that are rightly those of Ofqual, the independent regulator. The fact that controlled assessment is being reviewed—I forget exactly what stage it is at—by Ofqual suggests that it, too, has concerns, which I think it has expressed to the Education Committee previously. It is right to ensure that the system has public confidence. If we improve assessment within schools, and our confidence in it, we might be able to move the balance back in the right direction. I think the Government are right to say that the assessment should come more towards the end of the process.

There are two parts to the administration of exams. First, there is the wholly new EBC qualification, which has been introduced on the basis that the GCSE brand is broken, at least for the main subjects that are not being upgraded—the hon. Member for North West Durham (Pat Glass) was right to mock slightly the idea that one can upgrade one without effectively downgrading the other. I am not sure the case has been made. It takes a long time to establish a brand in the education market, and I do not see why we should not repair what we have got, which I do not see as fundamentally broken. I have met Engineering UK and employers of all sorts, and notwithstanding their agreement with the Secretary of State on many of his insights about the need to tighten what we have, none of them thinks that establishing a wholly new qualification is the right answer.

The second part is the issue of moving to a franchise system. On that, the Department for Transport and its troubles are lesson enough to go slowly. Ofqual itself has said that if we insist on creating new qualifications, we should at least consider decoupling from the market reform. Handing over to lots of people a five-year monopoly on provision of the most sensitive exams before really thinking through the incentives and possible implications is perhaps not the wisest thing to do.

Sure Start Children’s Centres

Debate between Bill Esterson and Graham Stuart

Wednesday 2nd March 2011 Commons Chamber

[Mr Graham Stuart]

Will the Minister give way?

[Bill Esterson]

rose—