UK-US Trade and Tariffs

Chi Onwurah Excerpts

Thursday 3rd April 2025 Commons Chamber

[Madam Deputy Speaker (Ms Nusrat Ghani)]

Chi Onwurah will be followed by Steve Darling.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

The US is our closest ally and the world’s largest economy, as well as being the UK’s greatest source of foreign direct investment, so I welcome my right hon. Friend’s calm and pragmatic approach, and his determination not to abandon British workers’ rights in the face of these tariffs, as the Conservatives urge us to, but rather to focus on the trade talks. Will the Online Safety Act 2023, the Digital Markets Competition and Consumers Act 2024 and the digital sales tax be part of the talks? Will he also say a little more about his counter-argument to the Trump Administration’s view that VAT and the DST represent tariffs, rather than tax?

[Jonathan Reynolds]

My hon. Friend reminds me that I did not get a chance to respond to the shadow Secretary of State. If, following these announcements in the United States, we had come to Parliament and said, “You know, the answer to this is that low-paid people will not get the sick pay they would otherwise have got under this Labour Government,” that would have been the wrong response. Again, as ever, that would be scapegoating the wrong people for difficult things that have nothing to do with their position in the UK economy.

My hon. Friend skilfully leveraged in a number of questions. There are real differences of opinion between us and the United States on VAT. We say that it applies, as it does, to domestically produced goods as much as to goods that come into the UK, and that it is not trade distorting; indeed, the balance of trade between the US and the UK is evidence of that. The argument from the US is slightly different. I will not go into the content of all the negotiations—she will appreciate that—but success in any negotiation is about being willing to be at the table and put forward our argument, while recognising the other side’s argument. That is the approach of this Government, and that is the way forward.

North Sea Energy

Chi Onwurah Excerpts

Thursday 6th March 2025 Commons Chamber

[Madam Deputy Speaker]

Order. If questions are not kept short, Members will prevent their colleagues from getting in.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

I congratulate the Minister on setting out a plan that supports jobs, skills and communities in the face of technological change�unlike the Conservative party, which abandoned wholesale our industrial base in the 1980s. Like the north-east of Scotland, the north-east of England has jobs, skills and opportunities that depend on the energy of the North sea. Kinewell Energy, in my constituency, leads in wind farm design optimisation. Can the Minister confirm that she will work with the Mayor of the North East, Kim McGuiness, to ensure that the north-east of England benefits from the jobs and opportunities of the North sea?

[Sarah Jones]

I meet industry representatives all the time, and their response to Kim McGuiness is great. She is such a force of enthusiasm, knowledge and power for her communities, and people engage with her. They like what she says about investing in the north-east, and they are responding to her. She is making a real difference in her community. We are doing all we can, through all kinds of levers that the Government can use, to make sure that the investment in clean energy supports all our communities. My hon. Friend is right to highlight the fact that we need to take advantage of the particular skills of people in the north-east.

Competition and Markets Authority Chairman

Chi Onwurah Excerpts

Wednesday 22nd January 2025 Commons Chamber

[Justin Madders]

We are absolutely clear that we need to protect consumers, but we also need to drive growth. The new interim chair’s experience will be really important in helping us to understand how the tech companies will move forward, and his chairmanship of the Alan Turing Institute gives him valuable experience to bring to the table in delivering on that.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

I should declare an interest, having worked for a competition regulator for a number of years before entering Parliament. I suggest that the Minister does not take any competition policy lessons from the Conservatives, who oversaw the re-monopolisation of the broadband network, the consolidation of power within tech networks on an unprecedented scale, and the rise of crony capitalism on a scale not seen before. Some rumours around this appointment have suggested that it is a signal of a flight away from competition regulation. Can I urge him to quash those rumours and confirm that this Government believe that competition drives investment, innovation and growth, and that this country is open for investment and new market entry by as many companies as possible?

[Justin Madders]

We absolutely agree that competition is vital for driving investment and growth. The CMA will remain operationally independent, as it always has been.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 12th December 2024 Commons Chamber

[Jonathan Reynolds]

The hon. Member’s question is perhaps more for the Secretary of State for Transport, but she skilfully put that to me. I assure her that I will work with the Secretary of State for Transport to do that. How we assemble investment sites is a huge issue, and how we can work better across Government with local partners is also a key issue for us.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

T7. Last week, research published by Sage showed that 84% of small businesses in the north-east plan to increase their investment in technology next year. As the Science, Innovation and Technology Committee launches its inquiry into innovation, growth and the regions, how will the Business Secretary ensure that the industrial strategy boosts adoption of technology—particularly British-developed technology—to boost growth across all our regions?

[The Parliamentary Under-Secretary of State for Business and Trade (Gareth Thomas)]

My hon. Friend will be aware that the Chancellor of the Exchequer recently announced £20.4 billion in investment for research and development for the next year, which will help to drive even more of the type of technological investment that she rightly champions. We are also working with small businesses to encourage them to adopt more digital technologies through the digital adoption taskforce.

Future of the Post Office

Chi Onwurah Excerpts

Wednesday 13th November 2024 Commons Chamber

[Gareth Thomas]

My right hon. Friend is right to stress the importance of post office branches to the future of all our communities. In that regard, work is required from trade unions and others on highlighting the importance of banking services. I wish that work had been given more attention by my predecessor. [Interruption.] With due respect to those on the Opposition Front Bench who are heckling me, it has fallen to this Government to roll out banking hubs in a more significant way. On my right hon. Friend’s more general point about directly managed branches, as I have already said to the House, given that they cost significantly more to run, it is right that we look at those costs. No individual decisions have been taken as yet, and we have made it clear to the Post Office that it needs to consult directly with sub-postmasters, trade unions and other stakeholders.

[Chi Onwurah (Newcastle upon Tyne Central and West) (Lab)]

The Post Office Horizon scandal is probably one of the greatest miscarriages of justice in our history, and I congratulate the Minister on the progress that the Government have made in speeding up compensation payments to postmasters. There was also a huge failure of IT—a failure in IT procurement, IT deployment and IT management—which has undermined public confidence in technology. What steps has the Minister taken to ensure that Fujitsu is held accountable, that the lessons are learned, and that, in the future, post offices have the fantastic technology that they need to support them in their important community role?

[Gareth Thomas]

My hon. Friend makes a crucial point about the future of the Post Office—we must get right the technology that sub-postmasters are expected to use. There were serious problems and delays in the previous Government’s efforts to find a replacement for Horizon. We have had to bring in additional consultants to work with the Post Office to bring forward a proper replacement. More generally, on Fujitsu, we expect the Horizon inquiry to bring forward a view about the accountability of particular organisations and particular individuals. We will look at what Sir Wyn’s inquiry recommends and then make appropriate decisions on those issues.

Post Office Horizon Scandal

Chi Onwurah Excerpts

Thursday 22nd February 2024 Commons Chamber

[Kevin Hollinrake]

I will be the first to admit that we want to deliver compensation more quickly than has happened in the past. As I said, 74% of claimants have received full and final compensation. It is absolutely right that the remaining 26%— as well as any more who come forward, and I am pleased that more are coming forward—receive that compensation too. It has never been a case of our trying to delay compensation. I do not believe there is a pattern here. These issues are complex but we are doing much to accelerate the process.

We did much to accelerate compensation payments prior to the ITV series, which is critical. The £600,000 fixed-sum award, which has been very effective in delivering rapid compensation, was brought in last October. We were looking at a blanket overturn in convictions some months before that series. We are trying to deliver the scheme at pace. It is not always straightforward to do that, but the hon. Gentleman has my commitment that we will do everything we can to deliver that compensation as quickly as possible.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

The Post Office Horizon scandal is now commonly called one of the greatest miscarriages of justice in British history—so many lives devastated, some lost. An inevitable consequence of that is to undermine public confidence in the Post Office, in technology, as misrepresented by the Post Office and Fujitsu, and in the Minister’s Department, particularly following the performance—that is the right word for it—of the Secretary of State on Monday. What is he doing to restore public confidence in the Post Office, in technology and in his Department? Does he recognise that swift payment of compensation is an important part of that?

[Kevin Hollinrake]

Yes, it is the most important part of that. It is right that the Secretary of State responded to the serious and false allegations in the newspapers over the weekend. I hasten to add that those allegations were not about the Secretary of State but about a senior civil servant, who has been very clear that the allegations are false. The No. 1 way we can give confidence to those who might be submitting a claim, or have done so, is the fact that the processes do work for the vast majority of claimants. Of course, we want to improve the processes but we also want to reassure claimants that there is independence running through every single part of them. The No. 1 message we can give from the House is that if people come forward, they will be treated fairly and receive compensation as quickly as possible.

Trade (Comprehensive and Progressive Agreement for Trans-Pacific Partnership) Bill [Lords]

Chi Onwurah Excerpts

2nd reading
Monday 29th January 2024 Commons Chamber

[Kemi Badenoch]

Yes, it absolutely does. That is one of the ways that we are able to increase UK influence across the world, not just in Europe or near neighbouring countries. My right hon. Friend is absolutely right on that.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

The Secretary of State talks about free and fair trade and about high standards, but there is nothing on labour rights in this CPTPP deal. Is that because she does not care about labour rights? Does she not think it matters whether UK businesses and workers have to compete with those producing products and services in circumstances where there are no trade union rights and no health and safety rights, for example? Is it because she does not care about labour rights, or because she was unable to negotiate anything?

[Kemi Badenoch]

I think the hon. Lady might be confusing the contents of the Bill with the text of the agreement. The text of the agreement is on gov.uk, and she will find a chapter there that covers labour rights.

I turn briefly to the Bill. It is technical in nature, but in enabling us to comply with the provisions of the deal, it is crucial to unlocking the benefits I have described. First, the Bill will ensure that the UK’s domestic procurement regime is compliant with the partnership’s rules, and it will give effect to the UK’s market access commitments to CPTPP suppliers. This small change will deliver big benefits for British businesses, allowing them to compete for contracts in Canada, Japan and Peru that go beyond our existing agreements. It will also mark the UK’s first ever trade agreement with Malaysia and Brunei that contains Government procurement provisions, and will create entirely new access opportunities for UK businesses. The Bill will also allow conformity assessment bodies established in parties’ territories to apply for approval in the UK. This will mirror the treatment that UK conformity assessment bodies will receive from CPTPP parties, which would reduce costs for UK businesses.

The Bill will amend domestic law so that, in relation to agrifoods only, an application to register a geographical indicator can be opposed on the ground that it is likely to cause confusion with a pre-existing trademark or application for a trademark. The Bill will also introduce the ability to cancel a registered agrifood GI on the ground that, at the time the GI was applied for, it was likely to cause confusion with a pre-existing trademark or application for a trademark, or because it is a generic term.

Finally, the Bill brings our approach to copyright in line with the CPTPP by amending the basis on which foreign performers, such as musicians, can qualify for rights in the UK.

In sum, the implementation of the Bill is essential for the UK to meet its obligations upon accession to the comprehensive and progressive agreement for trans-Pacific partnership. The agreement offers significant benefits to UK businesses and consumers, by lowering tariffs, driving up trade and giving us access to the markets that will be front and centre of the global economy for the next quarter century. It is right that we seize the many opportunities that the partnership will bring, which is why I commend this Bill to the House.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 14th September 2023 Commons Chamber

[Kevin Hollinrake]

The hon. Member raises a very important point. Competition plays a role in this, of course. It is absolutely right that retail business should look at this and try to get the lowest cost for their customers in terms of courier charges. It is, as he acknowledges, a commercial decision for individual retailers, but I absolutely applaud the points he raises. These businesses should be aware of those costs, because they can add significantly to the costs of the products they are selling.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

T1. If she will make a statement on her departmental responsibilities.

[The Secretary of State for Business and Trade (Kemi Badenoch)]

The Windows update is now complete at the Dispatch Box, Mr Speaker!

As Secretary of State for Business and Trade, my priority is to support inward investment into all regions and nations of the UK. This week the Department for Business and Trade, in partnership with the Northern Ireland Office and Invest Northern Ireland, delivered the investment summit, which I referred to earlier. This momentous event showcased to more than 200 international investors the wealth of opportunities and talent that exist across the breadth of Northern Ireland. A young and talented workforce, competitive operating costs and unparalleled access to global economies make it an exceptional place to grow a successful business. I met representatives from US-owned aerospace manufacturer Spirit and several financial services companies that have established a base there. From Derry/Londonderry-based tech firms to Belfast budding creative companies, we boast a thriving ecosystem of world-class businesses across numerous sectors.

[Chi Onwurah]

This weekend, like most weekends, I will visit Wilko in Newcastle city centre. Should I explain to the fantastic staff there and their appreciative customers that mass redundancies and empty shopfronts is what the Conservatives mean by levelling up?

[Kemi Badenoch]

We are all very sad that a well-known business such as Wilko, with a strong presence on many high streets across our constituencies, has had to enter administration, and my thoughts are with employees who have been made redundant. Our Department has been not just supporting the business but discussing the best way forward with unions. We have been supporting by helping to find bidders. The fact is that sometimes these things do happen. It is not a reflection of the Government. In fact, making sure that people have somewhere to go to is how this Government are providing support.

Post Office Horizon IT Scandal: Compensation

Chi Onwurah Excerpts

Tuesday 18th July 2023 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

Nine hundred prosecutions—all the postmasters involved have their own stories of dreams crushed, careers ruined, families destroyed, reputations smashed and lives lost. Innocent people have been bankrupted and imprisoned. This may well be the largest miscarriage of justice in our country’s history, and I pay tribute to Members on all sides of this House who have worked for justice, none more so than my right hon. Friend the Member for North Durham (Mr Jones). I also thank the advisory board and Sir Wyn for their work, as well as the Minister for the constructive approach he has taken on this issue to date.

However, as Sir Wyn’s interim report makes clear, the compensation schemes for postmasters are a mess. The commitment to give fair compensation should apply to all postmasters. Sir Wyn specifically recommends that terms of reference should enable the monitoring of individual cases. Can the Minister say that he will act on that recommendation, and when can we expect him to respond in full to the report’s recommendations, including maximising the use of the Horizon compensation advisory board and providing clarity about the tax status of compensation payments? Can he also provide a final figure for claims that have been made to the historical shortfall scheme and how much the Government anticipate the final compensation will cost?

I also ask the Minister what he is going to do about Post Office management. As the only shareholder in the Post Office, does his Department take responsibility for addressing those management issues? The leadership team accepted bonuses for their work on the inquiry, which is just unacceptable. When will the Minister deal with this? Sub-postmasters have had their lives ruined: they must be confident that lessons will be learned from those failures. Sadly, it seems that the Post Office has failed to do so.

[Kevin Hollinrake]

I add my thanks to the advisory board and the right hon. Member for North Durham, but also to Lord Arbuthnot—who is a tremendous campaigner in this area—and other individuals such as Professor Moorhead, who we were keen to include on the advisory board. I also thank campaigners on both sides of this House who made sure that the issue came to light and that action was taken to address these horrendous situations.

On individual cases, as I said to the right hon. Member for North Durham, we are looking at Sir Wyn’s recommendation. There is an appeals mechanism, and condition D of the terms of reference does not prevent us from looking to make sure that claims have been settled fairly and fully. That is something we are looking at and we will respond in due course. On the tax position, as I said earlier, we have provided an extra £26 million to address that. We are keen to make sure that not only all the settlements, but all the tax treatments of those settlements are fair across the board. On the totals for the historical shortfall scheme, we have made offers totalling over £100 million in value and £72.8 million has been accepted, so we have made good progress, but we are keen to make further progress on the remaining claims that are yet to be accepted.

On the Post Office management, there have been a number of unacceptable matters relating to what has happened in the governance of the Post Office. That is why we put in place a governance review, which is being conducted by a very competent legal firm. It is due to report by the end of this month. We will study that review carefully and respond accordingly.

Oral Answers to Questions

Chi Onwurah Excerpts

Thursday 18th May 2023 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Chi Onwurah (Newcastle upon Tyne Central) (Lab)]

Twenty billion pounds! That is the amount of money currently held up in late payments—more than the entire science budget. It should be flowing to small businesses, allowing them to innovate, develop new products, create new jobs, drive our local economies or simply stay afloat. Instead, every day thousands of our great British small and medium-sized enterprises are wasting precious time and money chasing late payments, at an estimated cost of £684 million a year. For the sake of British business, will this Government take a leaf out of Labour’s policy book and properly legislate to tackle late payments to small businesses?

[Kevin Hollinrake]

Well, £90 billion is the amount of Labour’s uncosted spending plans, but let us talk about the £20 billion for now. The hon. Member is absolutely right to raise the issue of late payments. I attended a roundtable yesterday as part of our payment and cash flow review consultation, which is hugely important. We have significant engagement with businesses across the piece. We are determined and ambitious to reform the rules on late payments to ensure that businesses get paid on time. We have made significant progress in recent years in our international performance, so we are not an outlier. Nevertheless, we can and shall do more. The results of the consultation will be made available shortly.