Poundland

Debate between Caroline Nokes and Kate Dearden

Tuesday 3rd November 2026 Commons Chamber

[Bradley Thomas (Bromsgrove) (Con)]

For thousands of Poundland workers, the question today is simple: “Will I still have a job?” Behind every store facing uncertainty are workers—real people with bills to pay and families to support. As a west midlands MP, this issue hits close to home—the headquarters are in the region. For thousands of shoppers who rely on this store to make their money stretch further as the cost of living worsens, the question is also simple: will they still have a local, affordable place to shop as Christmas approaches?

Workers and customers deserve clear answers about what happens next. Why was a proposed management-backed rescue bid rejected? Can an agreement still be reached? If individual stores are sold, will their employees keep their jobs? When will communities learn whether their local branch has a future?

The current economic landscape is hostile to British business. Given the stifling red tape, skyrocketing energy bills and surging employment costs, another well-known British brand being in trouble feels less like a surprise and more like an inevitability. Rather than admitting that their own vindictive policies have driven the cost of doing business to an unsustainable breaking point, the Government are instead locked in a desperate squabble with Reform over who can intervene the most to engineer a state-sponsored rescue. The reality is clear: increased political interference is a failed strategy that offers nothing but false promises to workers and consumers alike. True security cannot be micromanaged into existence by Whitehall.

If the Government genuinely want to revive our economy, they must start dismantling the barriers to growth that they have put in place since taking office. Running a business should be an ambitious pursuit, not a high-stakes gamble against state-induced risks. That is why, rather than looking to interfere in yet another business dispute, the Government should focus on slashing the unnecessary red tape that is suffocating businesses; lower business rates, which hinder high street growth; reduce the cost of employment and make it rewarding to invest in people; deliver the lower energy prices that businesses across the nation are calling for; and get tough on the wave of shoplifting plaguing our high streets. Rather than looking to stifle businesses’ every move, we must protect workers’ livelihoods by allowing businesses to get on with driving economic growth and employing people.

[Kate Dearden]

I must say that I am quite disappointed by the tone of the shadow Minister. Vindictive economic policies and a squabble with Reform—is that his answer to the 12,000 people and the thousands of suppliers across the country whose jobs are at risk in the run-up to Christmas?

The hon. Gentleman says that the Government should stop interfering with another business, but that is exactly not what we are doing; he would know that if he had listened to my statement. We are not interfering with the auction. There are ongoing commercial negotiations about this private business, and we do not want to impede or influence that process or comment on individual bids, as I said. It is legitimate for the Government to ask a business whether it is doing everything that it can to protect employers and suppliers, in order to get clarity about its plans and a clear understanding of the situation. Business owners have a responsibility to their employees—in this case, 12,000 of them across the country. It is right for us to put pressure on the company. Ownership brings responsibilities as well as rights.

We are clear as a Government about our expectations; we are taking a responsible approach, not a “sit by and do nothing” approach. What would be the point of politicians and Government if we took that approach?

[Madam Deputy Speaker (Caroline Nokes)]

I call the Chair of the Business, Innovation, Science and Trade Committee.

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

Some 30,000 jobs are at stake in Poundland and its supply chain. Internal documents that we saw at the weekend show that the business’s sales, margins and profitability are ahead of target. Is the Minister absolutely convinced that Poundland’s directors are fulfilling their fiduciary duty and acting in the best interests of Poundland, or are they acting in the interests of a faceless American investment firm? If the loan of up to £60 million that was raised and imposed on Poundland is the barrier, will she take steps to ensure that we are doing everything we can to restructure it, so that it is not a barrier to saving Poundland’s business?

[Kate Dearden]

I thank my right hon. Friend for his remarks and for his close engagement on this issue over the past couple of days. We know how concerning this situation is for employees across the country. As he knows, we are still working behind the scenes, and Poundland, Gordon Brothers and the Secretary of State will be engaging this week, because we still hope that we can secure a good outcome from the process. That is why we are in close contact with the company and receiving regular updates on many of the points that my right hon. Friend has alluded to. We will of course keep him as updated as we can; I cannot go into all the details at the Dispatch Box today, but I hope he is reassured about our concerns, and that we will remain engaged with Gordon Brothers and the company going forward.

[Madam Deputy Speaker (Caroline Nokes)]

I call the Liberal Democrat spokesperson.

Employment Rights Bill

Debate between Caroline Nokes and Kate Dearden

Consideration of Lords message
Monday 15th December 2025 Commons Chamber

[Kate Dearden]

My hon. Friend makes an excellent point, as she always does, and I thank her for it.

To conclude, we are seeking the support of the House so that we can finally secure Royal Assent and move towards implementing our long-overdue reforms to make work pay. Today’s correspondence from business representatives to the Secretary of State states that British business believes that

“now is the time for Parliament to pass the Bill.”

I urge Members across the House to reflect on that comment, on our election mandate from last year and on all the work and consideration that has been put into this Bill so far in both Houses. I thank all colleagues for their work, and I commend this motion to the House.

[Madam Deputy Speaker (Caroline Nokes)]

I call the shadow Secretary of State.

--- Later in debate ---

[Madam Deputy Speaker (Caroline Nokes)]

Order. I call the Minister.

[Kate Dearden]

I am grateful to hon. Members across the House for their contributions today and throughout the passage of the Bill. When there is a finding of unfair dismissal at tribunal, it is important that the claimant is fairly compensated for the loss they have suffered. We also believe that the cap on compensatory awards for unfair dismissal incentivises claimants to construct complex cases that allege both unfair dismissal and discrimination so as to access uncapped compensation, as I stated in my introductory remarks—perhaps Conservative Members did not hear that. By removing the compensatory award cap for unfair dismissal claims, that incentive will be lessened.

By removing the cap, the Government will also deter employs from treating the cost of dismissing employees unfairly as part of business as usual, instead ensuring that employees who face significant losses as a result of being unfairly dismissed are fairly compensated. Compensation for unfair dismissal is awarded only where a tribunal finds in favour of the claimant. Claims that do not have merit will not secure any compensatory award with or without a cap.

Lifting the cap will not mean that compensatory awards start from a blank sheet of paper and become impossible to anticipate. Tribunals have well established ways to calculate the compensation that might be awarded for particular types of losses resulting from unfair dismissal. I thank the Liberal Democrat spokesperson, the hon. Member for Richmond Park (Sarah Olney), for her support. As she referenced, and as Members will have heard in my introductory remarks, we will publish an economic assessment in due course, and I am always available for further discussion.

Conservative Members have opposed this Bill at every stage, and no matter what the issue was today, they would oppose it again. Businesses and unions have shown leadership, and Conservative Members and Parliament should respect their voice. The tripartite agreement was forged through dialogue with those who live the realities of our workplaces every day. That agreement included a package conducted in good faith and with good will, and I thank them for it.

This Government’s aim is clear: to conclude the passage of the Bill so that millions of British workers gain new rights while businesses can prepare for change with certainty. Labour Members send a clear message to the other place to now let the Bill—a Bill that delivers on multiple manifesto commitments and has a clear electoral mandate—pass. Any further delay risks leaving workers without protections and businesses without clarity. We now strive to conclude this process and deliver the change that Britian needs to make work pay. We cannot build a strong economy with people in insecure work. We are strengthening the foundations of our economy and improving living standards. The Bill, and all our work across Government, is the foundation for building an economy that works for everyone.

Question put.