Oral Answers to Questions

Blair McDougall Excerpts

Thursday 12th March 2026 Commons Chamber

[Mr Speaker]

We’ve made it!

[The Parliamentary Under-Secretary of State for Business and Trade (Blair McDougall)]

It was worth waiting for. We are clear that Royal Mail’s service performance has not been good enough. I met the sector’s independent regulator Ofcom yesterday to stress the widespread concerns among hon. Members about service standards. My hon. Friend has deep experience in this area, and I welcome his engagement with the main delivery office in Corby, where Royal Mail tells me that it is recruiting nine new postal workers to support the timeliness and quality of its postal services.

[Lee Barron]

Quality of service in the Royal Mail has been at shocking levels over recent years. Considering that Royal Mail is legally obliged to deliver a universal service and keep our communities connected, will the Minister join me in calling on Royal Mail’s owners to honour their agreement, end the two-tier workforce, and bring new entrants’ terms and conditions up to the same standard as those of substantive Royal Mail employees? Fifty per cent of new entrants are leaving the service within a year, which is leading to a decimation in the quality of service.

[Blair McDougall]

My hon. Friend is correct to highlight that the service quality issues are linked directly to workers’ terms and conditions. It is precisely because we take that connection so seriously that the Secretary of State convened the meeting between the unions and the owners of Royal Mail. Ofcom made it clear in our meeting yesterday that it expects the plan for improvements in quality of service to be in place within days of an agreement being reached with the unions, and we will certainly hold Royal Mail to that.

[Ian Roome (North Devon) (LD)]

Does the Minister agree that by being asked to focus on parcels over letters, and having overtime hours for deliveries restricted, many hard-working postal workers will feel that public trust in Royal Mail is being undermined?

[Blair McDougall]

I discussed the prioritisation of parcels with Ofcom yesterday. It had previously investigated the matter, and it is fair to say that it has heard the widespread concern around the House. If Ofcom continues to be concerned, it will not hesitate to investigate again.

[Jayne Kirkham (Truro and Falmouth) (Lab/Co-op)]

T1. If he will make a statement on his departmental responsibilities.

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[The Parliamentary Under-Secretary of State for Business and Trade (Blair McDougall)]

Fuel duty is currently frozen. The key thing we can do to make sure we deal with this instability in energy prices is de-escalate in the region. I remind the hon. Member that his party has been calling for us to join the war.

[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

T4. I am a proud Labour and Co-operative MP. Co-operatives play a really important role in our economy, building a fairer and more resilient economy that gives workers and communities a stake in the businesses they rely on. This Labour Government have a world-leading commitment to double the size of the co-operative sector. Can the Minister update me on the progress towards achieving that ambition? What further measures are being brought forward to help co-operatives grow?

[Blair McDougall]

My hon. Friend is absolutely right. Co-operatives create a really important sense of connection at a time when people feel disconnected, but co-ops and mutuals are also more resilient and more productive. That is why we have made the commitment she references. Our call for evidence has closed, and we are working on the proposals that will flow out of that. I really welcome the news this morning that the John Lewis bonus is returning and congratulate it on its results.

[Ian Roome (North Devon) (LD)]

T5. Many small businesses in my constituency are gearing up for the busy tourist season that is just around the corner. What steps are the Government taking to support small businesses in the south-west, to help them make the most of their biggest window of opportunity over the summer?

[Blair McDougall]

Our small business strategy sets out the range of measures we are taking to support small businesses. That includes an increase of £4 billion in the finance available to businesses, so that they can invest to take advantage of those opportunities. We will also bring forward the strongest proposals on late payments, to improve cash flow to small businesses, as well as cutting red tape, so that they can take advantage of the opportunities the hon. Member describes.

[Melanie Onn (Great Grimsby and Cleethorpes) (Lab)]

T6. I wish my constituents a happy Great Grimsby Day, to commemorate the signing of our charter in 1201. UK titanium dioxide production like that at Tronox is under threat from aggressive Chinese practices, funnelling cheap product through companies that they buy, run down and hollow out, circumventing protective levies. What is the Minister doing to ensure a level playing field, so that we do not see industry, skills and jobs draining out of the UK?

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[Liam Byrne (Birmingham Hodge Hill and Solihull North) (Lab)]

The Select Committee recently flagged that small businesses in our country now face pandemic-level pressures. In April, standing charges for energy are set to rise by 60%, with no price cap protection. Now, soaring oil and gas prices threaten to be the final straw for thousands of SMEs. Will the Secretary of State make an urgent assessment of the risk of soaring energy prices, and give a clear account of how we will keep the SMEs that keep this country running in business?

[Blair McDougall]

My right hon. Friend is absolutely right. We have taken action through the British industrial competitiveness scheme, which is a downpayment on exactly the sort of support he describes. We are constantly working on ways to cut costs for small businesses, and I am sure we will work with the Select Committee on that.

[Tessa Munt (Wells and Mendip Hills) (LD)]

Last time we were here for Business and Trade questions, I asked about exports of paraquat—the use of which is forbidden here—to other countries, and I live in hope that I will get an answer to that question. To update the ministerial team, Syngenta—the company that makes paraquat—put out a press release on 3 March to say that it would stop production this year. May I therefore expand my previous question to ensure that the response includes the export of pesticides and other products whose use is banned in the UK?

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[Alison Taylor (Paisley and Renfrewshire North) (Lab)]

I thank the Minister for speaking to me about the poor postal service in Dargavel Village in Bishopton. I know he is working hard to resolve matters and answer questions and had meetings yesterday, and I thank him for that. However, as he will appreciate, this matter is of particular importance in Scotland due to the elections on 7 May, because postal votes will be issued soon. In Scotland we have an NHS with significant waiting lists, and we cannot have people missing medical appointments, so on behalf of residents of Bishopton in particular, may I stress the urgency of this matter?

[Blair McDougall]

My office manager lives in Dargavel Village, so I have a person incentive to ensure that the service improves in the area my hon. Friend represents. We spoke about it yesterday; we have called in Royal Mail, we have brought together unions and management and we had a meeting yesterday with Ofcom to stress that things have to improve. Specific meetings are taking place on postal votes in Scotland, and we have sought assurances that they will not be impacted by the problems with the quality of service.

[Dr Al Pinkerton (Surrey Heath) (LD)]

Yesterday I met representatives of the British Chambers of Commerce, who relayed the profound concerns of the UK automative industry that it might be excluded from the European Union’s proposed industrial accelerator Act. Nissan and Honda have already broken cover to say that their futures may be uncertain unless they are included in the “made in Europe” rules. What is the Secretary of State doing, with his Front-Bench team and across Government, to ensure that the UK automotive sector is not placed at a competitive disadvantage as a consequence of those measures?

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[Max Wilkinson (Cheltenham) (LD)]

High streets are a key concern for us all in this House. On the Promenade in Cheltenham we have Cavendish House, which was a cherished retail centre for 200 years. [Interruption.] The hon. Member for Rhondda and Ogmore (Chris Bryant) remembers it. Now it is empty; Mike Ashley’s Sports Direct left and now we have a big, empty building owned by Canada Life. Does the Minister agree that the big pension and investment companies need to pay more respect to our high streets and bring forward planning applications to redevelop and regenerate as soon as they possibly can? We should not be left waiting for as long as we have been.

[Blair McDougall]

My hon. Friend the Member for Halifax (Kate Dearden) mentioned a moment ago that we are working on a new high street strategy, which will seek to deal with some of the issues the hon. Member mentioned. We want investors to step up, but we also have a responsibility, through planning reform, to make it easier to regenerate the types of areas he described.

[Euan Stainbank (Falkirk) (Lab)]

Given the global energy crisis, manufacturers reliant on gas will struggle with the recent spikes in energy costs. Will the Secretary of State confirm whether his Department is considering a transitional dual fuel discount, alongside the British industrial competitiveness scheme, for industries that will continue to use gas for the foreseeable future?