Parliamentary Buildings (Restoration and Renewal) Bill (First sitting)

Christian Matheson Excerpts

Committee Debate: 1st sitting: House of Commons
Tuesday 4th June 2019 Public Bill Committees

[The Parliamentary Secretary, Cabinet Office (Kevin Foster)]

It is a pleasure to serve under your chairmanship, Sir Gary. You and I go back some way in our political journeys, having first met back in 1992, when you were still Councillor Streeter. It is safe to say that we also have to look back over a long period of time—decades—as we start to look at the Bill and the maintenance and repair works that need to be done.

Clause 1 defines what the Bill is about: looking to tackle the numerous problems with the Palace of Westminster, including falling masonry, fire risks, water leaks, sewage leaks and toilet closures. We all agree—the Bill’s Second Reading was approved unanimously, without a Division—that the restoration and renewal of this Palace is an urgent and pressing requirement that needs to be progressed. Following the passage of motions on R and R by both Houses in early 2018, the former Leader of the House made swift progress, publishing a draft Bill in October 2018 for pre-legislative scrutiny. The Joint Committee on the draft Bill published its report in March 2019, and we took on board many of its recommendations before introducing this Bill on 8 May.

This is a short, sensible Bill, which will put in place the necessary governance arrangements with the capacity and capability to oversee and deliver the restoration and renewal of the Palace. The Bill will also put in place a number of financial safeguards to ensure that the R and R programme represents the best value for money for the taxpayer.

Clause 1 outlines the parliamentary building works to which the Bill relates. It sets out what works the Sponsor Body will be responsible for as part of the R and R programme. We know the Sponsor Body will be responsible for the works to restore the Palace, as well as certain works connected with the restoration of the Palace, such as the arrangements for decanting the House of Lords. However, the clause also allows for the scope of the works the Sponsor Body is responsible for to be widened if the House Commissions decide, with the agreement of the Sponsor Body and Delivery Authority, that it should be. Crucially for many Members, the clause also requires this work to be undertaken with a view to Parliament returning to the Palace of Westminster

“as soon as is reasonably practicable”,

in line with the resolutions passed by both Houses.

For the reasons outlined, I recommend that the clause stand part of the Bill.

[Christian Matheson (City of Chester) (Lab)]

What a great pleasure it is to see you in the Chair today, Sir Gary. I do not wish to delay the Committee much longer, and certainly I do not have time to pay tribute to the fraternity of MPs from Devon, much as I would love to be a part of what is presumably a beautiful county.

Obviously, we very much support the terms of the Bill, and we have already made that clear on Second Reading. Clause 1 sets out the basis and the terms of reference for the Bill. We recognise the intrinsic value of this historic site, and there is no question that there is a long overdue need for restoration and renewal. Indeed, a constituent contacted me over the weekend who had been involved in surveying the building and some of the utilities attached to it 20 years ago. He told me that his report at the time, which obviously was not acted on, indicated that there was an urgent need even then to undertake works. Those works have not taken place and therefore we are where we are now.

The project will clearly cost money; we are talking, after all, about a UNESCO world heritage site, which in part has stood continuously since the middle ages. We cannot reasonably ignore this issue any longer. We support clause 1, and we do not seek to amend it. It lays out clearly the scope of the parliamentary building works, and we would hope to see that progress through to the next stage.

[Mr Mark Prisk (Hertford and Stortford) (Con)]

Naturally, one of the concerns about this building—we saw this in Paris, of course—is about what would happen if there was an emergency and the building was badly damaged in the interim. Who, once the Bill becomes law, will be responsible for dealing with remedial works before the restoration commences?

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[Kevin Foster]

I thank the hon. Gentleman for his timely intervention. He is absolutely right that passing the Bill does not hand over the Palace of Westminster immediately to the Sponsor Body. That will happen after a further stage of parliamentary approvals, when we will look to approve estimates and budget plans, and also make choices, bluntly, about what we want to spend and what we want to get from the Sponsor Body. That is when the Sponsor Body will take responsibility for the building, subject to the plans to bring us back to it in due course.

I will make one point, and I know the hon. Member for Rhondda will agree. He talks about our still having to spend money to patch and mend, and, yes, money is still being spent every day. I am very clear that doing nothing is not a choice. The choice is either to do something that might put this building into fit use for the future, or to continue to patch and mend, knowing that we are not mending the building and that it is getting worse every day.

In particular, the potential for a serious fire, or a disastrous fire at the level that we saw at Notre-Dame, cannot now be ruled out. Although the building is life safe—we can make sure that we can keep people safe—we cannot give any great guarantees about what would happen. If anyone takes a visit down to the basement, they only need to look at the many decades of wiring, pipes and other things passing over, plus some of the voids within this building, and the design of it from the Victorian era, to know that that would not be how we would build a fire-safe building today.

With that, I recommend that the clause stand part of the Bill.

Question put and agreed to.

Clause 1 accordingly ordered to stand part of the Bill.

Clause 2

The Parliamentary Works Sponsor Body

[Christian Matheson]

I beg to move amendment 2, in clause 2, page 2, line 16, at end insert—

“(f) to require the Delivery Authority to ensure that contracts for construction work in connection with the Parliamentary building works must not be awarded to construction companies who have been found to have blacklisted construction workers from employment and who have subsequently failed to enter into a Trade Union Recognition Agreement with a registered UK trade union.”

We fully support the creation of a Sponsor Body as a single client body working on behalf of each House with overall responsibility for the programme. The body will make strategic decisions relating to the carrying out of the works and consult with Members of both Houses when performing their duties.

The Bill requires the Sponsor Body to form a company limited by guarantee, the Delivery Authority, to formulate proposals relating to the Palace restoration works and to carry out the parliamentary building works. With the inclusion of the Delivery Authority, these two independent authorities are able to operate effectively in the commercial sphere, bringing the expertise and capability needed for a project of this scale. This two-tier approach was used successfully to deliver the London Olympics.

[Tom Brake (Carshalton and Wallington) (LD)]

On a point of order, Sir Gary. I wish to seek clarity on whether there will be a clause stand part debate separate to the debate on the amendment.

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[The Chair]

Why don’t we do that? Let’s be grown up about this. We will discuss all amendments to clause 2 at the same time. Christian Matheson, are you happy with that?

[Christian Matheson]

I am.

[The Chair]

As well as amendment 2, we will therefore consider:

Amendment 14, in clause 2, page 2, line 21, at end insert—

“(h) to require the Delivery Authority to ensure that opportunities to bid for contracts for the Parliamentary building works are promoted across the United Kingdom and that a yearly audit is carried out of the location and size of the companies awarded contracts, with the aim of ensuring that the economic benefit of the Parliamentary building works is spread across the United Kingdom and across companies of different sizes.”

New clause 1—Report on construction contracts—

“(1) The Delivery Authority must publish a report once every six months setting out the construction contracts awarded or let as part of the Parliamentary building works.

(2) The report under subsection (1) must include—

(a) the number and type of contracts awarded;

(b) the location of the firm awarded the contract; and

(c) anything else the sponsor body deems necessary.

(3) The Delivery Authority must lay each report under subsection 1 before both Houses of Parliament”.

Amendment 3, in clause 2, page 2, line 44, leave out “desirability” and insert “need”.

[Christian Matheson]

Thank you, Sir Gary.

Clause 2 gives some directions to the Parliamentary Works Sponsor Body about the way it might exercise its functions. Amendment 2 is on the subject of blacklisting and I remind the Committee of my entry in the Register of Members’ Financial Interests, which is that I am proudly a member of the Unite and GMB trade unions and have received support from both in the past. I bring forward this amendment on blacklisting not at the behest of any trade union but on my own initiative and that of hon. Members on this side of the Committee, because it is the right thing to do.

Blacklisting is pernicious. It destroys lives and it is dangerous, and I must tell the Committee that it is still going on. Skilled tradesmen, electricians, plumbers, heating and ventilation specialists, steel erectors, mechanical and electrical contractors, all with full qualifications and experience, suddenly find that they cannot get taken on for work on any construction site, or they are given a job, they turn up to start and are suddenly told they are not needed anymore. The secret network of the blacklisters has kicked in and a worker’s card is marked. They are marked down as a troublemaker or a militant.

I have represented construction workers and, sure, some are difficult or what might be termed less than politely in the industry as arsey. I challenge hon. Members to look around the Committee. Here too, on both sides, we have our own awkward squad. In every walk of life we find people of different types. Let us be clear: this is not what blacklisting is about. That is simply a cover.

The people who are blacklisted may have done nothing at all to deserve to be ostracised. A site manager might simply dislike an individual. The result: he is blacklisted. More likely, though, they are people who stood up for decent conditions, fair pay and, critically in the construction sector, for strong health and safety standards. Construction is a dangerous business and corners cut might mean costs cut, but it also means lives put at risk or even lost. Too often, the men who have been willing to stand up for their fellow workers and challenge lax health and safety regimes are the ones who have been marked down as troublemakers, when the truth is that, in many respects, they are doing their employers a service.

Earlier blacklisting bodies included the Economic League and the Services Group. The Consulting Association is the most recent example of an organised blacklist that we know of; its offices were raided in 2009 by the Information Commissioner’s Office, and it was found to have been running an organised blacklisting operation with 3,300 names. An idea of the scale of operation can be judged from the fact that in the 2008-09 financial year subscribers spent £87,749 on name checks. That means that, at £2.20 for each check, 39,886 names were checked.

[Tom Brake]

I know that the hon. Gentleman has pursued the matter assiduously, and I commend him for that. He has rightly set out the scale of the problem. He will be aware that if a policy of employing no companies that had blacklisted workers had been followed, there would have been difficulties delivering contracts. Does he know how many of the largest players in the construction sector have entered into a trade union recognition agreement?

[Christian Matheson]

The right hon. Gentleman is right. The problem is that blacklisting was prevalent in the industry for many years, and the danger is that it is still prevalent. The truth is that I am not quite sure. Most of those companies will not have done that at this stage, but this measure is a way of encouraging that. I will come back to that point.

In the decade since the 2009 raid on the Consulting Association, trade unions fighting for their members would have found it easier to get blood from a stone than to get justice for their members. Compensation was received from only some of the culprits, after lengthy legal battles. One such construction company was Sir Robert McAlpine. Last December at the commencement of yet another legal action, the company said that

“Blacklisting in construction was, until 2009, an industry-wide issue…most of the largest British companies in operation today were involved in the past when there was no legislation in place to outlaw the practice.”

In other words, they would still be at it now if the minimal legislation had not been in place, which incidentally is mostly to do with data protection laws. Since the founding chairman of the Consulting Association was a director of Sir Robert McAlpine, we can hardly be surprised. Yet many firms are still at it now, and many have not admitted their guilt or paid compensation. Parliament cannot be allowed to be associated with the practice, or with firms that have undertaken the practice and failed to make good their crimes and misdemeanours.

First, the reputation of Parliament is at stake. We cannot be seen to be enriching businesses that carried out these crimes and have not been held responsible or admitted liability. Secondly, this is a prestigious contract, and these will be prestigious contracts. It is not just about the money. The companies will win new business on the back of this globally high-profile work. Thirdly, it is also about the type of culture we want working on projects on this estate: one in which safety is paramount and where concerns are listened to; one in which workers are respected; and one in which discrimination is not permitted. We need to be clear that blacklisting is a form of discrimination. If such a culture is permitted, and if workers are too scared to raise concerns for fear of losing not just their job but their ongoing livelihood, then the reputational damage to Parliament should someone suffer injury or death on our site would be horrendous, not to mention, of course, the responsibility we would bear for the victim and his or her family.

The amendments before the Committee instruct the Delivery Authority not to consider applications for contracts from firms that have been found to be involved in blacklisting, and that have not subsequently entered into a trade union recognition agreement. To touch on the point made by the right hon. Gentleman the Member for Carshalton and Wallington, Members on this side have considered different forms of words to encapsulate the demonstration of progress away from blacklisting made by construction firms. We considered whether it would have been sufficient to have paid compensation arising from the court cases. I remind the Committee that some implicated firms have not even done that—I cannot name them yet because they are involved in ongoing legal cases, but there are several of them.

We decided that it was insufficient, as it did not clearly demonstrate a change of behaviour. The amendment calls for the Delivery Authority to proscribe any of the firms found to have been involved in blacklisting, for example through the loss of a court case, reaching an out-of-court settlement, or having been a member of a blacklisting body such as the Consulting Association and having not since entered into a recognition agreement with a UK trade union. A recognition agreement is a way of demonstrating a change of culture: a determination to work together to resolve problems and a commitment to treating employees and their representatives with respect. In other words, it is about not just apologising for blacklisting in the past but taking clear and concrete steps not to undertake it again. I am sure that workplace safety would be at the heart of any such agreement, with which no hon. Member could disagree. If we insist on the measure in this place, it will send a signal to the industry for the first time, and we may see the beginning of the end of this dreadful, mean, discriminatory practice that has downright dangerous consequences. We missed the chance in offering the Elizabeth Tower and Big Ben contract to McAlpine, which had previously been up to its neck in blacklisting; we cannot miss it again. Above all, it is right to make a stand against blacklisting, so I urge the Committee to support the amendment.

Following your guidance, Sir Gary, I will move on to new clause 1.

[The Chair]

Yes, please do.

[Christian Matheson]

I pay tribute to my hon. Friend the Member for Hackney South and Shoreditch, who has also tabled amendments on the subject. The project is of national significance and is relevant to every part of the UK. Regions and nations across the United Kingdom should have the opportunity to benefit economically from the parliamentary building works. Work should be spread across the United Kingdom and across companies of different sizes.

The project provides us with a wonderful opportunity to invest in people’s futures by upskilling them and by working with small and medium-sized enterprises as well as larger businesses. It is incumbent on the Sponsor Body to ensure that all areas of the country benefit from the programme, including businesses outside London and the south-east. Market engagement and involvement must begin early and reach as widely as possible to include geographically diverse companies.

In particular, the project gives us the opportunity to work with people in the heritage and conservation sector, with the potential to create training opportunities in that sector. Those skills may have been lost or might not exist in some areas of the UK economy, so this is an opportunity to bring them to the nation for the first time, or for the first time in many years. There is a real risk of a skills shortage in this niche sector. The Joint Committee recommended that the Sponsor Body and the Delivery Authority consider how apprenticeships and other training schemes could be delivered as part of the R and R programme to increase capacity in the area and to provide a lasting legacy of skills from the programme.

The new clause asks the relevant body to provide a regular report that details its work and how it has met the requirements of spreading the work, wealth and skills around, so that can be scrutinised and progress can be monitored. I commend the new clause to the Committee.

[Tom Brake]

Has the hon. Gentleman considered making that information available online when the contracts are signed, rather than in a six-monthly report?

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[Christian Matheson]

The new clause does not seek to prescribe how the Sponsor Body or Delivery Authority spreads those benefits around, although the right hon. Gentleman’s suggestion is more than sensible. It seeks to lay out a regime in which the scrutiny of the success of those proposals can be undertaken, so we can make sure that progress is being made. In this day and age, it would be absurd not to put those contracts and work opportunities online. I would also like to think that the bodies concerned would be proactive in going out and finding skills.

[Mark Tami (Alyn and Deeside) (Lab)]

We need to do more than just say, “It’s online”, and think we have somehow ticked a box. We need the equivalent of roadshows, or whatever, to go out and speak to the companies, and make them aware that this project is for the whole country and not just for London.

[Christian Matheson]

My right hon. Friend is absolutely correct. In many respects, this is an opportunity to promote the work that is being done in Parliament. There has been criticism of the programme in the past—the Minister and other hon. Members referred to it on Second Reading—but it would also be an opportunity to promote exactly why the work is needed and would promote the benefits as well as the actual contracts themselves.

Amendment 3 is about the Joint Committee’s recommendation concerning the renewal of Parliament’s education centre, which the Government have so far overlooked. Under clause 2(4)(g), the Bill states that there is a need to confirm

“the desirability of ensuring that educational and other facilities are provided”

in the restored Palace. However, the Joint Committee recommended that the Sponsor Body should take account of the need rather than the desirability of such facilities. The current wording of the Bill does not provide a concrete commitment to guaranteeing refurbishment of the vital education services. I am sure all hon. Members would agree that the education centre has been a huge success in bringing the work of Parliament alive to the many schools that visit. I pay tribute to the staff who work in the education centre for the fantastic work that they do.

As I say, the current wording of the Bill does not provide a concrete commitment to guaranteeing refurbishment of vital education services. The Opposition strongly support mandating the restoration of those services. Our education facilities are a core part of the parliamentary estate. Everybody has a right to learn about their parliamentary democracy, and educational facilities form the background of parliamentary engagement. The programme provides us with an opportunity to renew and enhance the education centre to allow for wider engagement, particularly with younger audiences. The education centre should be part of the legacy of the programme of restoration and renewal to encourage greater awareness of an involvement in Parliament. Such engagement with parliamentary politics is perhaps more important now than ever.

Although the cost of renewal will be high, the benefits will be great. We could create a newly refurbished education centre with accessible modern resources for those wishing to visit the building and engage with the work of the Houses. The new facilities that are built could be used for educational purposes once the House no longer needs them when the decant is finished. The restoration and renewal process is a project of national significance and it will be a mistake to overlook the opportunity to create a new and innovative education and learning centre and the wider educational facilities across the estate that are at the heart of Parliament.

Furthermore, the amendment links closely with the Joint Committee’s recommendation for consideration of public engagement in the restoration and renewal to be included in the Bill. It recommended that the Sponsor Body should promote public engagement with and public understanding of Parliament. The Sponsor Body has an important role to fulfil in engaging the public with its work and the ongoing works. The process should involve full and open engagement with relevant national and local bodies and with individuals. In that way the public are involved in their Parliament at all stages and are aware of the progress.

The former Leader of the House stated that it would not be

“appropriate that this should be part of the Sponsor Board’s role”,

and that responsibility should lie with Parliament. However, it seems that public involvement should be intrinsic to the process of renewal, as Parliament belongs to the people and should adhere to their input.

[Mr Prisk]

I agree with much of the sentiment expressed by the hon. Gentleman, but, without wanting to appear a pedant, would it be better not to have the word “need” and simply delete the first three words of clause 2(4)(g) so that the clause would read,“the Sponsor Body must have regard to ensuring that educational and other facilities are provided”, rather than having regard to the “need”? Might that be a little stronger and more effective?

[Christian Matheson]

It is now a matter of sadness—it sounds facetious—that I did not consult the hon. Gentleman when I tabled my amendment, because his proposal is a lot simpler. I often wonder about the simpler the wording, the better the wording, but I am most grateful to him for that. Perhaps we can return to his proposal at some point.

The education centre provides a crucial lifeline for public engagement with parliamentary activities. We have a duty to protect and renew this UNESCO world heritage site, but we also have a duty to ensure that it connects with the next generation and future generations in a way that is exciting, attractive, vibrant and entirely relevant. I hope members of the Committee will bear that in mind when considering voting on the amendment.

Several hon. Members rose—

[The Chair]

Before I call Meg Hillier to speak, for clarity I remind Members that we are debating amendment 2 to clause 2, with which it will be convenient to discuss amendment 14, new clause 1 and amendment 3. Because we are taking the group of amendments together, I will reverse my previous ruling on the clause stand part debate: now is the time to make your most excellent speeches. I call Meg Hillier.

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[Kevin Foster]

This has been a fascinating debate, and a number of right hon. and hon. Members have made passionate points. The hon. Member for Stoke-on-Trent Central strongly endorsed the ceramics industry, as always, and spoke about the quality of its products.

Yesterday, I had the joy of having a tour of the basement. If any member of the Committee has not yet had the opportunity to do so, I would strongly recommend it; they would be helping to make progress with this project. I saw the innovative sewer ejectors, which were put there in the 1880s. They have “Chester” on the side of them. The hon. Member for City of Chester will be delighted to hear that they have been such a functional part of this place for so many years.

[Christian Matheson]

Will the Minister give way?

[Kevin Foster]

Absolutely. This must be the hon. Gentleman’s expert subject.

[Christian Matheson]

I am most grateful to the Minister for giving way. I am delighted that Chester is represented here, even if it is only in the sewers.

[Kevin Foster]

Of course, Chester is not just represented in the sewers; it is represented by the hon. Gentleman, who is sat here in the Committee doing his job, as always.

It was useful to hear the comment about putting our values into this place physically. Certainly, that is one of the things that the Sponsor Body will need to do. It was also interesting to hear from my right hon. Friend the Member for Derbyshire Dales about the quarry in Derbyshire that provided the stone for Portcullis House. Again, that shows that, although this is a project in London, we do not want it to be a London-centric project. With all respect to hon. Members who represent Greater London constituencies, we want it to be a project that reflects the entire Union that this Parliament serves, and we will seek to spread the prosperity.

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[Kevin Foster]

I thank the right hon. Gentleman for prompting me back to his query; the contribution from the Department of Politics at the University of Sheffield was a welcome one to read, with a number of thoughts, suggestions and ideas on how the project could be enhanced. I would not necessarily propose that the amendments suggested in its contribution be made—the right hon. Gentleman has not tabled those amendments, so I suspect he takes a similar view about not amending the Bill to reflect them—but it is certainly welcome to see that positive engagement and thought in terms of what could be done.

I hope that, as the Sponsor Body is established, it will look to those types of submissions in thinking about how we can make this a project that reaches out and hopefully changes people’s perceptions of Parliament, as well as one that restores and renews this building physically. It was a welcome piece of correspondence to receive, and one that the Sponsor Body could well read and learn from.

[Christian Matheson]

Listening to the debate on this first group of amendments, and having come somewhat late to this party, I am reminded of the expertise among hon. Members on both sides of the House on the detail of the work to be done and the challenges we must face. I am most grateful to hon. Members for their contributions.

I will respond to the debate in reverse order. First, on amendment 3, relating to the education centre, I confess that I was not quite sure whether the hon. Member for Hertford and Stortford had tabled a formal manuscript amendment, and had to seek advice, but, in a saner sense, of course he had not. He made a straightforward suggestion, and the Minister was positive in his response not only to my amendment and to the case for maintaining educational facilities, but to the suggestion that we might look at this again on Report, perhaps with a simpler amendment that would nevertheless still embed into the heart of the legislation the importance of the educational facilities. I would like to go down that route, if I may.

Although I would never look a gift horse in the mouth and would not like to turn down the opportunity, I am not quite clear why we would need the Parliamentary Counsel’s advice on an amendment that would simply delete two words; that might be a bit of overkill. However, I am grateful to the hon. Member for Hertford and Stortford and to the Minister for providing support for the amendment on the educational facilities. I do not intend to test the views of the Committee by putting it to a vote at this stage.

Let me move to new clause 1 and to amendment 14, tabled by my hon. Friend the Member for Hackney South and Shoreditch, which were considered together. By the way, I hope the constituents of my hon. Friend the Member for Stoke-on-Trent Central are aware that he is known so well throughout the House that even before he stood up we all knew he would talk about ceramics, such is his dedication to representing that great industry in that great city. The hon. Member for Hertford and Stortford made a fantastic point that this is not necessarily an investment just in a UNESCO world heritage site, but in the future of the country. That is certainly the message that I shall be using and taking out—if he will permit me, of course—whenever I talk about this.

I urge hon. Members to look around the room: we know that there is some work that can only be undertaken in situ, but I ask them to look at the wallpaper, the wood panelling, the brass windows and the electronics. All those materials and components can be sourced and produced elsewhere, so the work does not all have to be done in London, only the installation. The Minister talked about where there might only be one or two suppliers, and the effect that would have on cost. He is of course right, but there is a responsibility incumbent on those one or two suppliers to grow the skills base, and hon. Members have talked about that.

What I would say about new clause 1, and particularly the amendment tabled by my hon. Friend the Member for Hackney South and Shoreditch, is that this is not a complicated proposal. It is a fairly innocuous suggestion to ensure that we monitor that the work is going out and about across the country. It is not prescriptive. It is not saying to the Delivery Authority or the Sponsor Body, “You must allocate so many contracts to so many parts of the country.” All that the new clause and the amendment do is to suggest that we should be able to monitor just how well those bodies are spreading the work around. They are not directing them in a particular way, and I cannot see why the Minister would not want them, other than the general concern—which I understand—about not wanting to put too much in to the Bill.