David Burrowes
Main Page: David Burrowes (Conservative - Enfield, Southgate)Department Debates - View all David Burrowes's debates with the HM Treasury
(8 years, 9 months ago)
Commons ChamberI beg to move amendment 1, in page 50, line 33, leave out subsections (1) to (4).
With this it will be convenient to discuss the following:
Amendment 19, in page 51, leave out lines 3 to 13 and insert—
2A (1) The Sunday trading authority for an area may publish a notice (a “consent notice”) in accordance with this paragraph providing for large shops in tourist zones (as defined in sub-paragraph (2)) in the authority’s area to be permitted to do either or both of the following—
(a) to open on Sundays falling between 21 March and 1 October and on the three Sundays before Christmas Day for a continuous period of whatever number of hours is specified in the notice (in addition to the continuous period of six hours mentioned in paragraph 2(3)),
(b) to open on Sundays falling between 21 March and 1 October and on the three Sundays before Christmas Day at specified times beginning earlier than, or ending later than, the times mentioned in paragraph 2(3).
(2) A consent notice published by a Sunday trading authority may only apply in relation to those parts of the authority’s area that is a “tourist zone” which is defined as—
(a) a retail area where tourists from outside the United Kingdom are responsible for a significant proportion of the retail sales, or
(b) a leisure and retail area, such as a coastal resort, which a significant number of tourists from outside the local authority area visit
and in deciding what is significant in either case the local authority shall have regard to guidance issued by the Secretary of State.”
This amendment would allow the relaxation in Sunday opening hours for larger shops to apply between Easter and the end of September and before Christmas to areas that attract significant numbers of tourists, such as central London and coastal resorts.
Government amendments 2, 13 and 14.
Amendment 1 is in my name and those of 24 of my right hon. and hon. Friends, as well as hon. Members from across the House. I think seven different parties have signed up to the amendment. I could not quite convince the UK Independence Party Member to unite with me on the amendment, although I may continue to try to persuade him if he attends the debate. Nevertheless, there is significant cross-party support for the amendment.
In many ways, I would prefer not to be here; I am sorry that we have to deal with this issue. We are having to do so not least because the proper procedure has not been followed, but also because of the issue of substance around Sunday trading. Some hon. Members will remember debates on the matter in the ’90s and the ’80s, which took up a considerable amount of the House’s time and attention. The previous time the matter came before the House, it took some two years of debate to reach the compromise that we reached. We have some three hours today either to unpick that settlement or, as I seek to do in the amendment, to delete the Government’s provisions.
Let us remind ourselves of what the Bill is about, and how Sunday trading fits into it. As I understand it, when it first came to the House, the Bill’s aims were clear. They were to
“make sure that Britain is the best place in Europe to start and grow a business and that people who work hard have the opportunity to succeed”
and to
“cut red tape for business, encourage investment in skills, and make it easier for small firms to resolve payment disputes by setting up a Small Business Commissioner”.
So say all of us, or certainly those of us on the Government Benches. The Bill is important, and I support it up to the point of its conclusion about Sunday trading.
Will my hon. Friend tell us why he is opposed to what the Government are seeking to do, which, as I understand it, is permissive, not mandatory?
If my right hon. Friend will be patient, the purpose of my speech is to explain the reasons why I oppose the Government. We need to look at where the Government are taking us, even though they are trying to get there through a permissive, devolutionary approach. It is based on the premise that the deregulation of Sunday trading is good for small businesses, families and workers. We need to look at that premise. Deregulation is a one-way valve that local authorities would have the option of taking. I know that many Conservative Members are pure localists, who might want the decision about whether to restrict or deregulate Sunday trading to be a purely local one. The Government make the case that this is good for small businesses, but I object to that. I want to look at the way in which the Government have approached the question and carried out the consultation.
I thank my hon. Friend for his speech and his strong leadership on the matter. Does he agree that the Government’s case would be more compelling had they abided by the undertaking that the Minister has twice given to publish the impact assessment, which we are led to believe is positive and favourable? So far, the Government have not done so.
The impact assessment has been published today. That is important. The Bill has already received some scrutiny in Committee. The Sunday trading proposals were introduced in Committee; they were not in the Bill on Second Reading. The Bill started not in this place but in the House of Lords. Therefore, the Sunday trading measure received no scrutiny in any of the stages in the House of Lords.
Following the consultation, we were promised that the impact assessment would be published, as we would expect with any measure, not least such an important and controversial one. The impact assessment was published today, and it includes several paragraphs about the family test, for which I and others have asked for some time. Back in October, I asked when the family impact test would be published, and I was told that it would be published before the Committee stage. In February, I asked again when it would be published, and I was told that it would be published alongside the Government’s consultation response. That did not happen. After that, I was told that it would be published shortly. It has been published today. I do not think that is acceptable.
I pay tribute to the hon. Gentleman for his consistency on this subject. He stood for election in May. He will have known that some Conservative Members would have liked to bring forward such a measure. He must have been reassured that it was not in the Conservative manifesto. As a democrat, how would he be able to face his constituents if he had chosen to vote for the measure, given that his views are so well known and that the Conservative party had not put it in its manifesto?
I am a lawyer by profession, and I believe that the hon. Gentleman has asked me a leading question. Plainly, the measure was not in the manifesto. Not only that, but the Prime Minister confirmed on 20 April 2015, in the middle of the campaign, in a letter to the “Keep Sunday Special” campaign:
“I can assure you that we have no current plans to relax the Sunday trading laws. We believe that the current system provides a reasonable balance between those who wish to see more opportunity to shop in large stores on a Sunday, and those who would like to see further restrictions.”
That pretty much sums up my position, on which I have been consistent. The Prime Minister appeared to share my position back in April.
I hope that my hon. Friend knows that I have enormous respect for him and for his campaigns on many issues, on which I have worked with him, but does he not agree that we should just trust our constituents to make up their own minds? In life, we all have to find our own balance, and we are all capable of deciding whether we work or shop on a Sunday. That is not the most complicated decision that our constituents will make in their lives. Will not my hon. Friend trust his constituents to make wise decisions for themselves and their families?
I am grateful to my hon. Friend for his intervention. I saw that “but” coming. We have a job to do in Parliament. We do not simply devolve every decision out to our constituents. We should listen to our constituents. I am not sure whether he has looked at his mailbag, but I have looked at mine, and many shop workers, faith groups and others have asked me, “Why are we doing this? Why are we trying to unpick something that is fairly settled, even if it is not perfect?” I have listened to my constituents. We have important principles as well. The Sunday trading arrangement is complex, and it is our duty to look at it carefully, to consult widely and to scrutinise it fairly. None of those things has happened to the extent that they did in the ’90s and ’80s. It should not surprise us that there is a lot of cross-party concern. I would agree with my hon. Friend if this were a wholly devolving measure, but it is not. It is based on a principle that we would have to sign up to.
In a moment. When we make this decision here in Parliament, everyone who votes against amendment 1 will have to agree with the premise that deregulation is good for businesses, families and workers. Members have to make this decision; we cannot simply devolve it to local authorities.
That is the premise of the case that the Government are making today.
I am pleased to be a signatory to the amendment tabled by the hon. Gentleman, who is my neighbour, and to support him. As I am sure he knows, some 49% of retail workers surveyed are parents or carers, and their Sunday is special to them. In relation to what has been said about trusting our constituents to make their own decision to work, I am sure my neighbour knows that even in workplaces that have trade union reps to support members, many staff are pressured into not using the Sunday opt-out. In fact, something like a third of shop workers are pressured into working on Sundays, or they will have their working hours cut.
I am grateful to the right hon. Lady, who is included in the unholy alliance that, as I have mentioned, has come together on my amendment. She makes a very good and important point. We may have a choice about whether to go to church, shop or spend time with our families. We need to be a voice for people who do not have such a choice, perhaps because of caring or work responsibilities. We need to be very careful about imposing further requirements or obligations on them. That is important, and it is why we suggested having a family impact test. The impact assessment has been published today. The Government twice in parliamentary answers promised me they would do that. We must take the impact on families seriously, as the right hon. Lady says.
I will come on to that point. The Government have made the case that the Bill will support high streets and deal with the challenges of online shopping and the like. However, to go back to the campaign, when my hon. Friends and other Members were campaigning up and down their high streets—my constituency is full of high streets, like many other constituencies—was this mentioned to them? I do not remember that happening. In fact, only one large outlet, Asda, mentioned it. The rest did not once say that the way to rebuild and regenerate high streets was to deregulate Sunday trading. In fact, they wanted business rates, car parking and things such as that to be sorted out.
I do not need to rely only on what my constituents are saying. Let me look at the Government’s review, which was a proper review, into how we can regenerate and improve the high street. If we page through that substantial review, we will not see a big case being made that the one way to regenerate the high street is to deregulate shopping hours for large shops. That will threaten small businesses.
Will the hon. Gentleman give way?
Let me take my pick. I give way to the hon. Member for Denton and Reddish (Andrew Gwynne).
Is it not misleading for the Government to describe this as a devolution measure? Is it not simply a fact that the moment one council adopts these powers, every neighbouring council will be forced to follow suit?
I thank the hon. Gentleman for allowing me to intervene, because this follows on smoothly from the previous intervention. Before Christmas, I was a member of the Greater Manchester Combined Authority, which the Government consulted on the devolution of Sunday trading powers. I can categorically say that those powers were not asked for or requested; they were forced on that body.
There will be the inevitable domino effect of a race to the bottom if local authorities get hold of the powers. We should not just see this as a matter that can be left to local authorities. The Government have said that this provision is good for high streets, businesses, shop workers and families.
I will carry on for a moment.
The Government are making the case for devolving such powers and they must be held to account for it—it is for them to make that case—but the reality is that the substance of their case does not meet the high threshold required to justify unpicking the complicated Sunday trading laws.
I am sure that those who know my hon. Friend would agree that it is very rare for him to be in any sort of unholy alliance. I am very much of the view that the compromise made 30 years ago has worked fairly well. Does he not recognise that there is no sense of imposition? As my right hon. Friend the Member for East Yorkshire (Sir Greg Knight) rightly pointed out, the approach is a permissive one. In my constituency, which I accept is a relatively exceptional one in the centre of a city, there would certainly be a demand, particularly during times when we have a high number of tourists, for local authorities to give such permission, but that would be up to local authorities to manage. This is quite a good compromise, given the great changes that have taken place in shopping patterns in the past 30 years, not least with the internet.
I hear that point. Throughout this process, I have been open to such a debate, and I know that the large shops in the west end, such as Harrods in Knightsbridge, have made a strong case for opening for longer for tourists. That is part of the Government’s economic case, but I do not think it is substantial enough. It is based around the New West End Company model in particular. However, research by Oxford Economics and others shows that we must look at the economic impact more widely, not simply at the benefits for larger businesses. Hon. Friends and hon. Members know that we should not just listen to big business; we are concerned about shop workers and small businesses, and it is important to say that the impact on them should not be underestimated.
I am not that new. Can my hon. Friend knock on the head the point that Conservative Members are making about permission? The issue is not about the fact that permission is given; it is about who will exercise that permission. The permission will be exercised by local authorities, but do individual shop workers who wish to run their own store six or seven days a week have such a right of permission?
That is an important point. This is not simply about providing local councils with such powers, because our duty goes much further. We need to look further than simply at whether councils want this or not—whether 100, 200 or more councils want it. We need to look at what businesses and shop workers want.
On the question of imposition, in September, a survey of 10,000 shop workers showed that 91% of them do not want to work more on a Sunday. The current six-hour restriction is important to them because, as they say, Sunday evening is often their only guaranteed “family time”, especially if they have children at school in the week or partners who work weekdays. Not so many staff are required under the current regime—usually, there is a single shift—so most staff are able to work a Sunday rota with some Sundays off. We must look at the imposition on shop workers and businesses.
The hon. Gentleman’s arguments are making a very good introduction to this debate. I understand that some chief executives of larger stores, such as Sainsbury’s and John Lewis, are expressing their concerns to the Prime Minister about this issue. In relation to that survey, Sainsbury’s has quite rightly questioned whether there is an appetite among consumers or retail staff for Sunday working. As I hope the hon. Gentleman agrees, Conservative Members should not assume the opt-out means anything, because most retail staff say it is impossible to use it because employers find ways to make them suffer if they try to opt out of Sunday working.
Yes, that is true. We should not tar all large retailers with the same brush. I think Tesco has also expressed concern. Some of them have no doubt got a commercial interest—they may have more convenience stores on high streets than other large retailers—but they share the concern that the Government’s devolutionary approach is not so practical for larger businesses, given that there are issues in relation to distribution centres and dealing with waste recycling. This will make things more complicated for them. In essence, the Bill is about cutting down on red tape and about deregulation, but this would mean a move in the opposite direction for such businesses.
When I get into my speech, I will come on to the protections for shop workers, but before I do that, I give way to my near neighbour.
As my constituency neighbour, the hon. Gentleman will remember walking down high streets such as mine and through parts of Enfield town after the riots back in 2011. Not one local shopkeeper whose shop had been ransacked said that devolving power in such a way—allowing big retailers to open for even longer on Sundays—would help their business. Such businesses are struggling anyway, and this sort of action will only make that worse.
Is the hon. Gentleman concerned about the definition of “tourist”? Can he explain what a tourist is? Am I a tourist when I go to Enfield, Southgate to shop?
The issue about tourists is not for me. I will leave my right hon. Friend the Member for Meriden (Mrs Spelman) to make such a case in relation to her amendment 19.
I want to turn to the substance of the issue, which is first of all about process. This is a controversial matter. No one who has been around for a while and who has listened to people’s concerns will deny that it is controversial. That is plainly the case given that it divides opinions so much in this House.
I want to make some progress.
Normally, as I understand it, the guidance for a Government consultation on a controversial matter is to allocate a full 12-week period for the consultation. However, the consultation that has led to where we are now not only lasted just six weeks, but happened right in the middle of the summer holidays at the start of August. This particularly important consultation ran for two weeks in the central period of the holidays. Why did that happen? Was there a rush to get the measure on the statute book immediately? The Government took some five months to respond to that rushed consultation, which nevertheless managed to generate some 7,000 responses, which is extraordinary, given the time constraints. If such a controversial measure elicited that number of responses, all parliamentarians must ask why it did not get the full scrutiny that it deserved in both Houses. There was an attempt to tack it on to the Cities and Local Government Devolution Bill, and now it has been tacked on to the Enterprise Bill, after that has already been through the Lords. Someone who was cynical or suspicious might say that that limits the scrutiny of an important measure.
These are not just my concerns. When we last had the opportunity to discuss this matter, which was during the passage of the Sunday Trading (London Olympic Games and Paralympic Games) Bill in 2012, it did receive full scrutiny. The then Minister, Lord Sassoon, underlined the temporary nature of the proposed change. As many hon. Members have said, we had assurances from the Government that that was not a precursor to a further deregulatory move. Lord Sassoon also gave an assurance that there would be full parliamentary debate if there were ever another Sunday trading legislative proposal, but we have not had that. Unfortunately, that promise has not been kept. That is to the detriment of us all, as it would have allowed us to consider matters such as tourist zones and pilot areas, about which we will probably hear later. All those aspects need time for proper scrutiny.
Will my hon. Friend nail the myth that the measure is designed to assist town centre retail trade? Some 53% of local authority chief executives said that they would use the new liberalisation to boost out-of-town shopping centres, but that cannot be what many hon. Members want.
Indeed. The knock-on effects of the measure need careful thought and attention.
The consultation showed that 76% of local authorities, large and medium-sized business respondents and business representative organisations were in favour of the proposals, but while the Government told us that those organisations and local authorities were in favour, they failed to tell us about the proportion for individual responses. We all have a right to respond individually to Government consultations. We all have a voice. It is not just the big corporate bodies whose response counts.
My hon. Friend the Member for Congleton (Fiona Bruce) and I duplicated a question to the Secretary of State for Business, Innovation and Skills to ask what number and what proportion of respondents to the Department’s consultation published on 5 August responded yes and no—it is a simple question. The first question in the consultation asked whether people were in favour of the proposal, so surely it is possible to publish the number of respondents. That question was, “Should local areas have the power to extend trading hours on Sunday?” and that is the question that we are debating today, so it would be useful to know how many individuals who responded to the consultation were in favour of the proposal.
The answer that my hon. Friend and I received from the Minister is one of the most extraordinary that I have seen in my 10 years here. It stated:
“The Department does not hold full data from this consultation broken down by specific question as a large portion of respondents chose to respond in their own words”—
I assume that they were English words and there was no problem of translation—
“rather than addressing the consultation questions directly, and/or did not indicate the type of organisation they represented.”
That is unacceptable. There should be a proper, accountable process that enables us to judge the response to the consultation on the measure.
I very much respect my hon. Friend and his viewpoints. Nevertheless, will he explain why he thinks that high streets should be held back under restrictions when most internet shopping takes place on a Sunday? He refers to the consultation, but when people shop via the internet, are they not voting with their fingers, so to speak? Do they not want to be able to shop free from restrictions? Does not my hon. Friend want to support the high street in his constituency and those elsewhere in functioning without these restrictions?
My hon. Friend will know that the Government’s review regarding high streets, about which he and I had concerns, made the case not for deregulation, but for dealing with issues such as parking and business rates, on which the Government are making good progress. On internet shopping, can a case be made that in the hours when large shops are not open—after 6 pm, say—everyone is clicking away on their computer because they cannot get to those shops? That makes no sense. There are other ways in which we can handle internet shopping. We need to look more broadly at how we can revitalise the high street, and this measure is not the way to do it.
I will give way a couple of times, but then I must make progress as others want to speak.
Surveys of internet shoppers show that there is no relationship between internet shopping on a Sunday and the desire for extended hours in local stores. Is the fact that people are on the internet between midnight and 3 am an argument for shops to be open at that time? Does the hon. Gentleman agree that that is not the case?
Does this not boil down to a question of local democracy? How can it any longer be—[Interruption.]
I will try to explain, but first I give way to the hon. Member for Cardiff South and Penarth (Stephen Doughty), who has been very persistent.
I thank the hon. Gentleman for giving way. I want to take him back to the point that he made about the consultation. We do have some data: the Union of Shop, Distributive and Allied Workers has told us that there were more than 7,000 responses to the consultation, and that it believes, as do I, that the vast majority were opposed to the proposal. Does the hon. Gentleman share that belief?
Absolutely. It would be good if there were more transparency.
The Prime Minister has led the way, quite properly, in saying that the Government need to publish family impact statements whenever new policy is proposed. We need to look carefully at such statements, so the family impact of the proposed measure should receive serious consideration. I have put questions to the Business Secretary on a number of occasions—22 September, 15 October and 10 February—to ask for the publication of the family impact statement. The understanding was that it would be published alongside the Government’s response to the consultation, but that did not happen, and we have just received it, at the eleventh hour, before the debate.
The family impact statement makes several important points. It accepts that there could be a negative impact on the family and recognises that many individuals who responded to the consultation felt that families would be noticeably affected.
I, too, respect the comments of my hon. Friend, but will he explain why we are so concerned about the family impact on those working in retail, yet we do not regulate for those who work shifts in sectors such as the NHS, transport, catering, hospitality—the list goes on?
My hon. Friend makes a good point. It is often low-paid workers, in many cases women, who are affected by Sunday trading, and such trading has a knock-on effect on ancillary services in the supply chain to large stores. That, too, needs careful consideration.
On my substantive objections to the proposal, beyond the process—important though that is in determining how Members will vote later—an economic case has been made. It is important that we look at the evidence provided by not just the New West End Company, but Oxford Economics, which I mentioned earlier. It projects that under the Government’s proposals, 8,800 jobs would be lost in the convenience sector, with a net loss of 3,270 jobs in the wider grocery sector because of displaced trade from small to large businesses.
I am sorry, but I am going to make some progress so that other hon. Members have a chance to contribute to this important debate.
I am no great expert on businesses—I am taking the evidence that I have seen—but I do listen to the representatives of business organisations. When the Federation of Small Businesses, the Association of Convenience Stores, the National Federation of SubPostmasters, the Rural Shops Alliance, the Federation of Wholesale Distributors and the National Federation of Retail Newsagents—many of us will have been to their regular receptions here, and expressed solidarity with them and concern about the challenges they face—are all united in saying that this change is bad news for our economy, I take that very seriously, as should other Members.
I must make some progress.
My concern is that the proposal has not been properly thought through or evidenced. We are in danger of being seen to be responding to the voice of bigger business, rather than the small businesses on our high streets. Indeed, when the nearly unanimous opposition of small businesses is seen in tandem with the fact that nearly a quarter of the large businesses that responded to the Government’s consultation also oppose the proposal, we need to reflect very carefully on the lack of scrutiny in tacking these measures on to the Bill.
Like many other Members, I want to speak up for my high street. When I go back to my constituency, I do not think that the businesses on my high street would say, “Well done. Thank you very much for deregulating and giving more hours to the large shops.” I think that they would say, “Why aren’t you spending more time lowering our business rates, getting better car parking and reducing red tape?” I support the Government in their focus on that, so why are we getting distracted by the claim that the measure will in any way support our high streets?
Several points have been made about shop workers. We cannot ignore the fact that separated parents can face problems, such as if one parent has access rights at the weekend. One shop worker in that situation told me, “As I am separated, I have my children every other weekend. I work every Saturday and one in four Sundays. I often struggle to arrange childcare and fear that this has an effect on my relationship with my children.” We must listen to those voices.
In relation to the opt-outs, I welcome the fact that the Government are seeking to provide additional protections, but we have heard legal advice saying that that might not allay people’s concerns. In fact, despite the additional protections, there is already an issue regarding whether those who are unwilling to work on Sundays will be considered when they apply for a job. Indeed, as we have heard, people are already under an implied pressure to work longer hours.
I congratulate the hon. Gentleman on the holy alliance that he has assembled behind his amendment. A member of USDAW is quoted as saying:
“I’d be under pressure to do more hours on Sunday, making it impossible for me to go to church.”
Is that not an undesirable aspect of the proposal?
The Government have tried to deal with that concern by putting forward additional religious protections in the Bill, and my amendment would not delete those. Whether the pressures are explicit or implied, they are a factor.
The Government did have a pilot in one sense, because such a measure was road-tested during the 2012 Olympics. A specific opt-out was created so that staff could avoid working the longer Sundays if they did not wish to, and retailers claimed that they would cover only those hours when staff volunteered to work. However, I understand that 564 representatives in stores that opened for longer hours found that in over half those stores—56%—despite the right to opt out, staff came under pressure to work the extra hours. Those who asked not to work the extra hours were threatened, or punished by being refused overtime.
Does the hon. Gentleman accept that over half of those who work in shops in Northern Ireland, where opt-outs are already meant to be in place, have come under pressure, and that that is why 76% of those who work in the retail trade have said that they do not want hours to be extended, purely because they know that they would be under even greater pressure if local authorities accepted the longer hours?
The hon. Gentleman makes a good point. We should also consider the potential domino effect of the Government’s proposals. Another shop worker told me, “The idea that Sunday working is optional, and that this is enshrined in law, is laughable. They make you pay one way or another for objecting to working on a Sunday.”
When a policy is opposed by the small business community, by a good number of large businesses, by the majority of shop workers, and by Churches and other faith communities—the Chief Rabbi recently spoke passionately about properly respecting the special character of Sundays—we must ensure that we consider it carefully. There has already been deregulation in many forms, but there is still a special character that we can preserve. This does matter, because Sunday is still special for many people, and the Government should not chip away at that unfairly, unreasonably and without due process. We should ensure that there is a proper place for Sundays for families, businesses and workers.
This issue has come before the House on previous occasions. Mrs Thatcher’s Government were defeated by a large majority on an entire Bill in the House of Commons. I remember attending my first ever public meeting in 1986—it was my first foray into the world of politics—which was hosted by my local Member of Parliament, Michael Portillo. He appeared before a packed public meeting and completely misjudged the views of those present, many of whom had never been to a public meeting before. He saw for himself the huge concern in the community, having misjudged the strength of feeling about amending the hours of Sunday trading. Time has moved on, but there is still a strength of feeling out there—from shop workers, families, small businesses and others. That meeting was a formative political experience for me. We heard a statement from the Health Secretary earlier about learning from mistakes, and I urge the Government today not to make the same mistake again.
Order. Before we proceed with the debate, I have now to announce the result of the deferred Division on the question relating to EU measures to combat terrorism. The Ayes were 302 and the Noes were 217, so the Ayes have it.
[The Division list is published at the end of today’s debates.]