Oral Answers to Questions
Debate between Bim Afolami and Lindsay Hoyle(9 months ago)
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The Economic Secretary to the Treasury (Bim Afolami)
I thank my hon. Friend for her question. First, it is important to note her consistent championing of this issue for her constituents, for which she deserves huge commendation. To her precise question, it is important that industry, not the Government, makes decisions about bank branches or banking hubs, but she has made her case very ably. I urge her to work with Cash Access UK and LINK to ensure that she has the best chance of securing one of those new 225 banking hubs, as outlined by the industry, in her constituency.
Bim Afolami
I am happy to meet the hon. Member to discuss the precise circumstances of his constituent’s case. In general terms, it is a priority for us to ensure that people get access to that money if it is due to them.
UK Economy
Debate between Bim Afolami and Lindsay Hoyle(10 months ago)
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Bim Afolami
The whole House knows that my right hon. Friend is somewhat of an expert on matters relating to the economy. To answer his point specifically, the national insurance tax cut was scored at the last fiscal event—the autumn statement—as significantly increasing the number of people in work. Although I will not speculate on fiscal events, that point has been very much noted by me and the whole Treasury.
Stewart Hosie (Dundee East) (SNP)
The Minister spoke about resilience, but the fourth quarter contraction in the economy was the biggest quarterly fall since early 2021 at the height of the covid pandemic, so I am not sure he is quite right about resilience. He also spoke about growth, but the Government told us in November that growth is not forecast to exceed 2% in any year in the forecast period. How modest the Minister’s ambitions are.
National debt is still approaching 100% of GDP—£3 trillion. The consequences of Brexit are suppressing growth, and that poses a challenge to the UK Government’s fiscal targets. Although it is welcome that inflation has fallen, prices remain high. Prices are not falling; they are simply going up slightly less steeply than they were a month or two ago. It is obvious that what the economy needs is growth, and the investment to generate that growth, but given that business investment, according to the Government, is forecast down this year by 5.6%, private dwelling investment is forecast down this year by 6%, and flat at 0% next year, and general Government investment is forecast down in ’25, ’26, ’27 and ’28, where will the investment for growth come from?
Oral Answers to Questions
Debate between Bim Afolami and Lindsay Hoyle(10 months, 2 weeks ago)
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Bim Afolami
This Government have introduced one of Europe’s largest support packages, worth more than £100 billion during 2022 to 2025. That is an average of £3,700 per household. The point about mortgage rates is that they went up everywhere across the world, to a higher level than ours in many jurisdictions such as the United States. I have already mentioned the work that we have done on the mortgage charter, helping hundreds of thousands of people to manage their mortgages, but the critical thing that we need to do is bring inflation down. She needs to talk to her shadow Chancellor and the shadow Treasury team about their plans, which would make inflation higher.
Mr Speaker
Order. I am not sure that “she” is a good word to use to other Members.
Oral Answers to Questions
Debate between Bim Afolami and Lindsay Hoyle(1 year ago)
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Bim Afolami
I am not sure that I quite accept my hon. Friend’s characterisation of the banking industry, but I am happy to meet him and discuss the problems he outlined in relation to specific businesses and access to bank accounts.
Tulip Siddiq (Hampstead and Kilburn) (Lab)
Before I ask my question, I want to convey the apologies of the shadow Chancellor, my right hon. Friend the Member for Leeds West (Rachel Reeves). She is delivering the eulogy at Alistair Darling’s funeral today.
I want to say a few words about Alistair Darling—I am sure you will agree, Mr Speaker—a dedicated public servant, who was respected across both Houses. He led the country’s economic response to the global financial crisis with integrity, honesty and sound judgment, and we will all miss him. [Hon. Members: “Hear, hear!”]
As my hon. Friend the Member for Manchester, Withington (Jeff Smith) just said, nearly 6,000 bank branches have closed since 2015, and only 30 banking hubs are up and fully running. That has left countless people financially excluded and affected lots of small businesses. I ask the Minister once again: will he accelerate the roll-out of banking hubs properly? Why are his Government not doing anything to reverse the decline of the great British high street?
Environment Bill
Debate between Bim Afolami and Lindsay HoyleMonday 28th October 2019
(5 years, 1 month ago)
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Bim Afolami (Hitchin and Harpenden) (Con)
I rise—and I think that virtually all Members on both sides of the House have risen—to support the principles of the Bill. It is a groundbreaking Bill which will enable us to make long-term environmental improvements between 2025 and 2030, generational improvements that will make our country better, cleaner and safer for all of us for many years to come.
As I read the Bill, I noted ways in which it would improve the lives of my constituents, and I thought that the Minister would be interested to hear about them. The first involves air quality. At last there will be a legally binding target in relation to fine particulate matter, and in my constituency that will help us with the work that I am doing to establish clean air zones around schools. It will also help the fight against the expansion of Luton airport, which would mean much fine particulate matter in some of the most rural parts of my constituency.
The Bill will also improve waste resource management. As any Member who represents a rural constituency will know, fly-tipping is a scourge in rural areas. In my constituency, the work that will be done by local regulators and local authorities will strengthen the fight against it.
The Government clearly envisage a change in our economic model. A more circular economic model will enable us to keep our resources in use for much longer. Not throwing those resources away quickly will benefit all of us in the long run, and will also help our economy. Let me give a shout-out to some young guys in my constituency who have set up a business called @BambuuBrush, which makes 100% biodegradable toothbrushes containing no plastic. I urge every Member to buy them, because they are really good, and they are great for our environment. That is the sort of business that the Bill will strengthen.
The Bill will also improve water management. The chalk streams in my constituency, such as the River Mimram, will benefit from it, because the Government recognise the need to reform abstraction licensing so that we can help chalk streams to improve and thrive. I am working closely with the Ver Valley Society, and I hope to continue to do so over the coming weeks, months and years, with the Government’s help.
The last thing I will say is about nature. Biodiversity net gain as a concept is groundbreaking: it is important and it helps us deliver more housing more sustainably over the long term and helps our wildlife. I think all of us can recognise that, and a very good example again happens to be in my constituency. The Heartwood forest, built by the Woodland Trust just north of the village of Sandridge, is a very good example of the sort of new forest that could be envisaged and helped and strengthened by the measures in the Bill.
In her summing up I hope that my hon. Friend the Minister will comment on the climate change conference I held recently in my constituency at Rothamsted Research in Harpenden. It was attended by well over 150 people, including experts and constituents, who came up with some of the very measures that we now find in this Bill.
Disabled People and Economic Growth
Debate between Bim Afolami and Lindsay Hoyle(6 years, 10 months ago)
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Bim Afolami (Hitchin and Harpenden) (Con)
I thank the hon. Member for East Kilbride, Strathaven and Lesmahagow (Dr Cameron) for securing this Backbench Business debate. I also pay tribute to my hon. Friend the Member for Hornchurch and Upminster (Julia Lopez), who is not just an hon. Friend but an actual friend.
Bim Afolami
We are all friends. My hon. Friend the Member for Hornchurch and Upminster made a powerful speech and stole at least half the things I was going to say.
People often ask, “Why did you go into politics?” I am sure we are all asked that, and we all have many reasons for going into politics, not just one. The most important reason I am in politics is to enable everybody to use their God-given talents, whatever they are, in the best way they can to contribute for themselves, for their family, for society and for the country. That is why I am in politics. People with disabilities are fully included in that, which is why this debate and this subject are of critical importance.
There will be those who say that many disability benefits should be more generous, and in some ways they probably should be. I know that the Minister, who truly and strongly believes in this brief, and Treasury Ministers will always do whatever they can to make sure appropriate resources are in place to help those who need them. But let us not kid ourselves. The subject of this debate is economic growth. What is important for people’s well-being and their lives is the opportunity to make the most of themselves in a professional, work, career capacity. That is crucial. Although benefits are important, we also need to do everything we can to get everybody who has a disability into appropriate work, where possible. That is what I regard as the heart of social mobility.
We often talk about social mobility in this House, in many different ways; we talk about it in debates about education, higher education, the Treasury and the Department for Business, Energy and Industrial Strategy. We talk about it all over the place. The way we usually talk about it is by discussing an individual who has come from a poor background but overcome the odds to achieve something fantastic and get to the top of a profession. We should celebrate that—it is what Britain is about—but social mobility is more fundamental: it is about ensuring that our society uses the skills and innate talents of those with and those without disabilities to their fullest. That is true social mobility. It allows everybody the ability to use their God-given talents and make the most of their lives.
Where are we now from a policy perspective—from a governmental perspective? The Conservative party manifesto in 2017, which I read carefully—that is a good thing for a new candidate to do—stated:
“We will get 1 million more people with disabilities into employment in the next ten years.”
By my calculations, we need to raise the number of people with disabilities in employment to about 4.5 million over the next 10 years to achieve that target. That would mean a growth of almost 30% on the current level. I think we would all agree in this House that that is a big task. The Government and my party are very focused on that—indeed, I suspect we will find that Members from across the House agree on it.
In November 2017, the Government set out a 10-year plan to improve the situation and to deliver on that manifesto pledge. I am sure the Minister will elucidate further on the plan and where the Government are with it. Its main thrust appeared to be linking up the welfare system, the workplace and healthcare. As has been alluded to in the debate, it was particularly about bringing in new technologies, especially assistive ones, to help to turbocharge the growth we have been gradually seeing, so that people with disabilities can enter the workplace.
A 5% rise in employment among people with disabilities would bring an increase in GDP of £23 billion, with tax revenues up by about £5 billion to £6 billion. That is a considerable amount. Research by Scope, the disabled charity, has found that 58% of disabled people have felt at risk of losing their job because of their impairment or condition. It is clear to me, and probably to most, if not all, Members of this House, that we need to work much more closely and intensively with employers to drive change.
Several decades ago, many employers did not like to employ women. What happened over time was that this House, working with employers and through legislation, helped to drive change. A few decades ago, we did not find people who looked like me or like the Opposition Front Bencher, the hon. Member for Battersea (Marsha De Cordova), in this place or in the other place, and several employers did not like to employ people of ethnic minorities. What happened was that this House, through legislation and by working closely with employers, helped to drive change. Now the time has come for those with disabilities to get much better access to employment opportunities. The Government need to work with employers, along with the legislation that is already in place, to help to drive change.
Disability Confident is a good scheme, which is welcomed generally across the business community, in government and in civil society, but we can go further. The Government should bear in mind the huge gains to be made—not only the economic ones, but the gains in terms of the life chances and economic potential of this huge group of people.
The Government need to work further on two main things to help to drive this change and this turbocharge. The first is to financially incentivise, perhaps through the tax system or in another way, employers to take on more people with disabilities, especially in industries where today they may not typically be found. For that to happen appropriately—businesses tell me this when I have the discussion with them—we need to be able to have a much better understanding of the different capabilities of different people with disabilities, so that we can make sure that we match the right employment opportunities with the right people. That is critical. If we do that properly, in combination with proper incentives for business, we will be able to see a huge increase in this area.
Once more people with disabilities not only get into the workplace, but progress within it—through promotion and by getting to the top of their businesses—they will show what they can do. They will show what they can contribute. That will send a powerful message, not only to them, to society and to this House, but to the country as a whole.
Carillion and Public Sector Outsourcing
Debate between Bim Afolami and Lindsay Hoyle(6 years, 10 months ago)
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Bim Afolami (Hitchin and Harpenden) (Con)
In the time available to me, I will make a couple of points that have not yet been fully brought out in this debate.
My first point is about the action and place of KPMG, Carillion’s auditors. Roughly 40% of Carillion’s balance sheet is intangible assets, largely made up of goodwill. I am a member of the Public Accounts Committee, and I see fellow members in the Chamber; I hope we will get a chance to ask questions about why KPMG did not impair the goodwill on the balance sheet when it was fully aware of the group’s difficulties.
Indeed, many questions have been brought up on both sides of the House about using the private sector in outsourcing the delivery of public services in general. For what it is worth, it seems straightforward to me that using the private sector to provide public sector contracts works best when there is a proper market and competition in the service, so that we can get private sector dynamism and innovation—the things the Minister talked about in his speech. It also works best when the difference between a good service and a bad service, or between good performance and bad performance, can be fully measured on a quantifiable basis.
Will the Minister give a bit more detail on the Government’s view about the role of public and private sector interaction? It is incumbent on the Government to defend the principle of using private involvement to deliver services for the public, because the Opposition’s view is clear: they believe we should nationalise or renationalise everything. When we add up the £55 billion to nationalise energy, the £86 billion to nationalise water, the £5 billion to nationalise Royal Mail and the £30 billion to nationalise the private finance initiative, that is roughly the defence budget and the NHS budget combined—for ideological reasons alone.
I ask the Opposition these questions, if I am permitted to do so. Where is the evidence that nationalisation will mean that services are better or cheaper to run? Why would a state-run monopoly always inherently perform better than a competitive market in this instance? Why, indeed, is it better for the British taxpayer, rather than a private company, to take all the financial risk?
The Opposition claim that somehow the bad bankers and rich fat cats have got off scot-free. The shareholders have lost money, the bondholders have lost money, the bankers have lost money and the British taxpayer—
Mr Deputy Speaker
Order. Mr Afolami, please let us not test the patience of the House. A lot of people want to speak.
Budget Resolutions
Debate between Bim Afolami and Lindsay HoyleTuesday 28th November 2017
(7 years ago)
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Mrs Badenoch
I wanted to mention the enterprise investment scheme earlier, but I did not have time. Saffron Walden is right next to the Oxford-Cambridge corridor and houses many knowledge-intensive industries. Does my hon. Friend agree that increasing the allowance for the EIS will provide a boost to the small and medium-sized companies that are the backbone of this country—
Mr Deputy Speaker (Mr Lindsay Hoyle)
Order. The hon. Lady had a good go when she spoke earlier, and a lot of Members have been waiting a long time to speak. Interventions must be very short. I also ask Members to be restrained in giving way; otherwise, it is not fair to all those who are waiting.
Bim Afolami
Thank you, Mr Deputy Speaker. I thank my hon. Friend for her intervention. I would add to her point by saying that the EIS funnels private capital that might otherwise be sitting in housing assets or on a bank balance sheet into our most early-stage, innovative and risky creative businesses. That is the magic of the EIS. Such tax reliefs and allowances are beneficial to the country because they effectively mitigate the risk for private investors in risky, early-stage businesses. We need to recognise that fact and welcome the doubling of this investment allowance, alongside the addition of a new test to ensure that the money is going not into lazy, low-risk ventures, but into high-risk, creative businesses.
A point I often make about tax schemes such as the EIS and entrepreneurs relief, which this Government introduced to ensure that we remain one of the best places in the world to develop early-stage businesses, is that they ensure that we do not have to ask our banks to make risky investments. One of the reasons why we found ourselves in the financial crisis was that the banks were making very risky investments, as we discovered from their balance sheets. The EIS allows private capital to be used in productive ways. Many of my hon. Friends have already described the Budget as balanced and reasonable, and I hope that it is also the beginning of a long-term process of a radical entrepreneurial vision for the British economy.
Telecommunications Infrastructure (Relief from Non-Domestic Rates) Bill
Debate between Bim Afolami and Lindsay HoyleMonday 10th July 2017
(7 years, 5 months ago)
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Bim Afolami (Hitchin and Harpenden) (Con)
The words will ring in my ears: filibuster never, inform the nation always. That is a lesson for us all.
Mr Deputy Speaker
Order. I will give you an extra lesson—[Interruption.] You will have to take your seat for a second, though. You might be informing the nation, but it has to be on the subject we are discussing, otherwise you are out of order.
Bim Afolami
Of course, Mr Deputy Speaker. Thank you very much for that kind reminder.
This Bill matters. As my right hon. Friend the Member for Wantage (Mr Vaizey), the former Minister, mentioned, it is not necessarily the most thrilling Bill. It is relatively short, with six clauses; as a former lawyer, I can appreciate that brevity is often harder than writing something very long, so I admire the draftsmen’s ability in putting together something so succinct. The Bill should have strong support not just from the Government but from all parties, as has already been suggested by Opposition speakers.
My constituents in Hitchin and Harpenden, only 30 to 40 miles from central London, face patchy broadband coverage in many areas. I appreciate the point made by my right hon. Friend the Member for Wantage—it is often harder to get broadband in spread out villages and rural areas than in tower blocks and urban areas. It is physically harder; I appreciate that, but the village of Kimpton, slap-bang in the middle of my constituency, has pretty terrible broadband.
Let me give the House some statistics to back my point up. In Kimpton, no residence or business receives superfast broadband. We are in the bottom 7% in the country for average download speed and in the bottom 0.5% for connections of more than 30 megabits per second. There is still a job to do and, with due deference as a new Member of the House, I say to the Government that we still have a job to do connecting up rural areas in our country. We should not forget that.
Bim Afolami
I agree. It is important for people to be connected to friends and family; the converse situation is one of loneliness in many respects. We live in a society that is increasingly atomised, so it is helpful to ensure that older members of society have full digital connectivity. That is another reason why the Bill is important.
At a recent meeting of a local business club in my constituency, a business owner whose business is situated in a rural area just north of Harpenden told me that it takes three days to back up her server, such is the slow download speed. Business rates relief for the installation of full-fibre broadband infrastructure will provide a huge incentive for operators to invest in the broadband network with the latest technology—a point made admirably by several of my hon. Friends, not least my hon. Friend the Member for North East Hampshire (Mr Jayawardena).
It is important to consider why, in the broader sense, it is important to have world-leading digital infrastructure. Why are we all here? I shall offer a few observations. We are effectively going through a new industrial revolution. Technology, powered largely by the internet, is driving a global future. This country needs to be at the heart of that, and rolling out full-fibre broadband is central to the challenge. The Bill will make it easier, enabling small businesses in rural areas such as mine to access the superfast broadband they need. As the Minister said, the Bill will break down barriers to business, which everybody wants—at least on our side of the House.
The Bill shows that the Government can, in limited ways and when the time is right, provide innovative solutions to help to solve some of the biggest problems choking up areas of the economy. We need strongly to support the free market and free enterprise with little Government intervention, unless necessary. The Bill and the Government’s actions are bold. We need to be bold enough to use the tools of government to allow the private sector to work more efficiently and incentivise it to provide better results for our constituents, who send us to this place on their behalf, after all.
Business rates relief is welcome, as many hon. Members have said, but I urge the Government to ensure that we do not lose sight of our manifesto commitment to a full review of business rates, and to produce a system that is more fit for purpose. In certain ways, the current system has shown itself to be capricious, cumbersome and, in some senses, frankly unfair.
When discussing a Bill on digital infrastructure, it is appropriate to point out the fundamental asymmetry and unfairness for bricks-and-mortar businesses paying the levy in comparison to the digital technology-based businesses with which they often compete on a day-to-day basis. We all know businesses on our high streets that have this problem. It is important for the House to recognise that many international taxation treaties inhibit the United Kingdom from taking unilateral action on the taxation of global technology businesses because their nature is, indeed, global rather than domestic. Everybody can appreciate the difficulties with that. I urge the Government to look for more international agreement on the issue so that we can start to address the balance of the business rates paid by physical, bricks-and-mortar businesses compared with those paid by their digital cousins and friends.
In staying true to the detail and narrow nature of the Bill, it is incumbent on me briefly to talk about 5G mobile broadband, following on from my hon. Friend the Member for North East Hampshire. Now, this may seem like a dull topic, but I assure Members that it is not—it can be very dull. The reason is that 5G, like 4G or 3G, is something we take for granted; it is just there. We do not think enough about where it comes from or the work that goes into it. However, 5G will be the enabler for so much technological development in this country.
O2 estimated in a report that 5G infrastructure will be just as pivotal as broadband to the wider economy over the next five to 10 years and will greatly boost British productivity, which all Members of this House should wish to see. The benefits are manifold, from telecare health apps, to smarter cities, to more seamless public services. Those are some of the many benefits that 5G mobile broadband can help to bring about, and I urge Members to support the Bill, which provides some of the digital plumbing that will enable us to bring tangible benefits to our constituents.
To take up a point raised by my hon. Friend the Member for North East Hampshire about 3G and 4G, it is important to note that some areas, especially rural areas, are still not on 3G or 4G—
Mr Deputy Speaker
No, it is not that. I am trying to be helpful. I am bothered about time. I would like us to discuss broadband infrastructure to houses, rather than 3G, 4G and 5G, which is mobile phones. If we were having a debate on mobile telecommunications, it would be brilliant, but we are not. I have allowed a bit of freedom, but I do not want the debate to concentrate on that issue. The hon. Member for North East Hampshire should know better than to lead you on into discussing something I have told him off for.
Mr Deputy Speaker
I will make the rulings. You can listen to my rulings, and we can have a discussion later if we need to, because I want to hear you speak in a little while.
Bim Afolami
Thank you very much, Mr Deputy Speaker.
In closing, I should say that the Bill is a significant step forward. It helps our country to lead the world in a new industrial revolution based on digital technology. It also shows that this Government, and indeed any Government using their powers effectively, can make truly positive impacts on people’s lives when acting in the right way—in this case, to enable superfast broadband to reach more people more quickly.