(9 years, 8 months ago)
Commons ChamberThe hon. Gentleman is right to raise the importance of superfast broadband both to residents and to businesses. Considerable progress has been made in his constituency in the past five years. Today, 87% of homes and businesses there have access to superfast broadband. That will rise to 98% by 2017, and that is better than the national target of 95% by that time. However, I hear what he says, and he is right to mention the importance of the issue.
The villages of Affetside and Holcombe in my constituency will not be covered by the roll-out of superfast broadband in phases 1 or 2, so when villagers ask me when they will be covered, what should I tell them?
My hon. Friend raises a very important point. He should tell those villagers that the Government have an active programme to reach the most remote areas with superfast broadband. He will be interested to know that in the middle of last year we undertook a pilot, with seven projects using mostly wireless and other types of hybrid technology. We are now having a good look at the results of that pilot, and I shall be able to make a further announcement shortly.
(9 years, 9 months ago)
Commons ChamberI regularly meet a range of stakeholders involved in this matter. We have allowed the ICO and Ofcom to share information, and we are going to lower or remove the threshold for taking action. We have also massively increased the level of fines that can be levied. We work with telecoms companies on technology solutions and we have worked with the consumer group Which? on a range of reforms. Only yesterday, I met the hon. Member for Edinburgh West (Mike Crockart) to talk about how we can help vulnerable people with call-blocking technology, so we are engaged with this issue.
The Minister referred to the nuisance calls taskforce report prepared by Which? on the Government’s behalf, which was published last month. He and I were at the report’s launch. Has he found its 15 recommendations useful, and if so, what plans does he have to implement them?
(9 years, 9 months ago)
Commons ChamberI am not saying that IT is part of the problem or part of the solution. IT is part of the real world. That is what we deal with and IT can benefit people. For example, people can put bids on things on eBay and then go to bed. This is what happens with technology: people make the best use of it.
Event promoters have many of the solutions in their own hands. Selling all their tickets in five minutes flat creates a secondary market. If promoters are so bothered about the secondary market and ticket touting for a popular event, it may be more sensible for them to start selling tickets in dribs and drabs. There would then still be tickets available to genuine people right up to the day of the event. They do not do that, of course. For cash-flow reasons, they want to get all the money in on day one. It is no good them saying that they want to get all the money in on day one—there is no doubt that the people buying up the tickets to sell on are helping them to get all the money in on day one and therefore helping their cash flow—and then complaining about the very same people they have sold the tickets to in the first place. They are creating the problem they are complaining about and I am afraid I have absolutely no sympathy with them. If they are serious about tackling this problem, the solutions are in their own hands: they should sell tickets in dribs and drabs so that people can go on the day and buy a ticket at face value. That would, at a stroke, make a massive difference to the secondary market.
There are lots of things that people sell that are at a premium. I have mentioned them in the past and I do not want to go through a long list again, but we have seen it with Christmas toys. People have a bun fight to try to get a particular toy at Christmas, buying up as many as they can. Five minutes later, the toys are on eBay at an inflated price. Are the Government going to start stopping people buying up any precious and valuable commodity that has a limited supply? Of course not; that would be nonsense. So why are tickets any different?
Does my hon. Friend agree that there is another problem, which is that there is nothing to stop a seller wanting to sell a ticket in combination with another item? It would be impossible to know which item was being inflated.
My hon. Friend makes a very good point, which drives a coach and horses through the hon. Lady’s amendment. People could sell a ticket to an event along with a scarf or a hat and say that they are charging x amount for the hat and the face value for the price of the ticket. That would get around the hon. Lady’s amendment quite easily and make the whole thing complete nonsense.
Does the hon. Gentleman not agree that when Paul Weller or his management team first put those tickets on the market, they must have known that the tickets were underpriced and that a great many people would be prepared to pay a much higher price?
With the benefit of her knowledge of this matter, my hon. Friend has made her point extremely well. As she says, what we are seeing is market failure, and it is interesting to note that the main evidence base that was drawn on by the hon. Member for Shipley is many years old.
My hon. Friends are nodding away, which is great, but that is a mistaken point of view. On taking money away from the artists and putting it in the pockets of these “classic entrepreneurs” and others in the entertainment industry, let us just say—[Interruption.] Let me explain to my hon. Friend the Member for Bury North, who is shouting from a sedentary position—
May I ask a question on an intervention? My hon. Friend has said they are taking money away, but how can that be as the vendor has received full price for the ticket? They have not lost a penny.
That is a very good intervention as I have the answer in the very next sentence of my speech.
Let us say that my hon. Friend has decided that he has £200 to spend on his entertainment budget for the year and he would like to go to four concerts at £50 a throw. If he has to pay his entire annual budget on buying just one ticket, he is going to go to only one concert, not four concerts. My hon. Friend the Member for Shipley mentioned the cricket. If someone has paid £500 to go to the cricket game, he will not be buying the T-shirts, the food and all the other things the promoters and artists rely on. Almost more money is paid for merchandise than for tickets. Promoters and artists want people to buy things at the concerts, not for that to be taken away. [Interruption.] If my hon. Friend will not listen, there is no point in his coming to the debate.
The bands will make it clear that it is not just the ticket price for the gig that gets them the money that allows them to tour; it is also merchandising and other things. If my hon. Friend the Member for Bury North has spent his whole annual budget getting to one gig, he is not going to buy the T-shirt and the other things. That is how bands lose out. It is not possible to argue with the economics of that; it is entirely right.
I appreciate what the right hon. Gentleman is saying, but what is the difference between that person making a forgery and other people having a machine that can buy up 100,000 tickets for a venue? Is that not illegal? Is it not outrageous? Would you not want to do something about it? I am not talking about you, Mr Speaker; I am talking about the right hon. Gentleman.
I feel very strongly about this issue, as you can probably tell, Mr Speaker. Sometimes it is difficult to put things into words, but as politicians and Members of Parliament we should be putting our constituents first, not big business. We should not be hindering big business, but we should not be putting it before our constituents. Some in the Chamber tonight would rather put big business before their constituents.
It is a pleasure to follow the hon. Member for Glasgow North West (John Robertson). He makes his points passionately, but I disagree with them all. I am unashamedly on the side of the free market on this one. The whole problem with the Lords amendment is that it simply strikes at the heart of the free market—no more, no less. This is not really an issue about consumer protection, although it is dressed up as that—it is about the free market. If this measure were passed, it is likely to have the consequence—I accept this might be unintended —of providing less protection for the consumer.
The hon. Member for Glasgow North West seemed to suggest that my hon. Friend and I were arguing on the side of big business and that he was arguing in favour of the consumer, but does my hon. Friend agree that the hon. Gentleman is actually arguing in favour of the big music business? Does anyone think Harvey Goldsmith is not big business? I do not know whether the hon. Gentleman would take that as an insult or a compliment, but arguing on the side of those big music businesses is not arguing in favour of the small consumer, is it?
No, it is not. Let us be clear that a lot of these organisations are quite capable of looking after themselves and, if they put their minds to it, of achieving the aims they say they want to achieve. That applies whether we are talking about the Harvey Goldsmiths of this world, the Rugby Football Union or the England and Wales Cricket Board. These organisations put forward their arguments about wanting to help the grass roots of sport and so on, but if they really wanted to do that, they could do so in many ways without going down the road of trying to interfere in the free market.
Let us be clear about how much personal information will have to be placed on the internet for everyone to see under the regulations that have been passed by the other place. The seller has to provide details of
“(a) the face value of the ticket;
(b) any age or other restrictions on the user of the ticket;
(c) the designated location of the ticket including the stand, the block, the row and the seat number of the ticket, where applicable; and
(d) the ticket booking identification or reference number.”
That information could easily be used by criminals and those who are less scrupulous in order to ring up the vendor of the ticket and arrange for the ticket to be sent to an alternative address. It could also be used to set up an alternative listing, as so much information is being provided.
The information that the hon. Gentleman has just read out would surely be available at the point of sale, so if anyone wanted to use it in the way he is suggesting, they would merely need to go on the website originally offering the tickets or ring up the venue in order to get it. It is at the point of resale in the secondary ticketing market that we are asking for that same information to be made available. What can be wrong with that?
The difference is the name of the vendor, the booking reference and all that, which are not there on the original sale. At the heart of the argument is the fact that, by placing all this extra regulation on the secondary market and making it more difficult to sell tickets, fewer people will choose to sell their ticket through what will eventually become a regulated market. That will result in people, or spivs as my hon. Friend the Member for Shipley (Philip Davies) called them, choosing to sell their tickets on the unregulated market—or the black market as it is known outside this place. That is likely to happen, and the result will be less, not more, consumer protection.
It was mentioned a moment or so ago in the context of the Paul Weller concert that someone was being asked to pay £101 for a ticket that had a face value of £38 and that somehow the “real” fans were being denied access to the concert. But no one has been able to explain why someone who is prepared to pay £100 for the right to attend and listen to a concert is any less of a real fan than someone who is prepared to pay £38. It just does not make any sense. Surely if a person is prepared to pay £100, they are equally likely to be a real fan as someone who is paying £38.
The hon. Member for Glasgow North West, who is leaving his place, talked about someone making false tickets in their bedroom or their office. That is already a criminal offence; it is fraud. We cannot make it any more of a criminal offence by passing more legislation. Those matters are already covered by criminal law, and the amendment before us will do nothing whatever to sort out criminal behaviour—those who set out deliberately to con and defraud members of the public. We have plenty of laws to deal with those people. The market is working well. To all those who say that they are standing up for the consumer, let me say that I am not inundated with lots of e-mails on this matter. I get hundreds of thousands of e-mails a year complaining about all sorts of things, but I do not get many from people saying, “Oh, I tried to get a ticket for this concert and I could not get it because they were all bought up.”
My hon. Friend is making an excellent speech, but he seems to be slightly behind the current argument. The proponents of the Lords amendment and the amendment to it are no longer arguing that this is in the best interests of the consumer; they appear to have abandoned that idea. They are now saying that the measure is absolutely crucial to pop groups such as One Direction as they can sell expensively priced merchandise to their supporters. They will not be able to do that under the status quo. Will my hon. Friend keep up with the argument? This is not about consumer rights but about big groups such as One Direction selling overpriced merchandise to their supporters. I am not sure why that is necessarily in the best interests of consumers.
I am grateful to my hon. Friend for his intervention. When those arguments were put forward by my hon. Friend the Member for Hove (Mike Weatherley) earlier, we were taken into a whole new area. We are now arguing that the tickets themselves may have been underpriced to allow people to pay over the odds for the merchandise. That seems to be the argument, does it not?
So we have to sell the tickets cheap so that people can be conned into paying over the odds for the T-shirts and the CDs. That is the reality.
The other argument is that this is all about transparency; that a person needs to be able to see that they are in a certain row, seat and place in the stadium. Well, people are not stupid. They know that if they buy a ticket without that detailed information, there is a risk that they might end up sitting behind a pillar and have a restricted view. People do not need any further legislation to help them make up their minds about the risks involved in buying tickets. They know that if they buy on the secondary market, there might be risks, but there will be much greater risks if they go underground. Under the current market, we have operators who run professional businesses, which have been going for a number of years without any problems. Everybody uses them every day of the week. Okay, so a person might pay more than the face value of the ticket, but that is the operation of the free market. I come back to the central point: such operators would not even exist if the vendors sold the tickets at a higher price in the first place. They know when they sell those tickets on day one that they will be swept up and sold at a higher price. In most cases, they turn a blind eye to it because all they are interested in is selling the tickets, getting the money in the bank, and forgetting about the problem.
That is utter rubbish and so not true. People involved in cricket, rugby, tennis and music have written to the Minister and made this case. It is not the case that they are not bothered as long as they are sold out. They set the price for a variety of reasons, including making it affordable for the genuine fan. It is so disingenuous of the hon. Gentleman to say that the clubs do not care as long as the tickets are sold out.
Interestingly, I was happy to give way to the hon. Lady, but she did not give way when I wanted to intervene, but we will leave that aside. If the large organisations that run these sporting bodies put half a mind to it, there would be many ways in which they could ensure—[Interruption.]
Order. All Members are doing is holding up the debate.
If those organisations want to ensure that the tickets are being used by the clubs, that is for them to deal with. We have seen what happened with the Rugby Football Union. The tickets are sent to the clubs, supposedly for use by the grass roots, and they are then sold on by the clubs. The tickets get leaked out into the open market. We cannot interfere with the free market; that is a fact of life. No matter how we dress it up or what legislation we introduce, tickets will find a way to be sold at the market price—what somebody is prepared to pay for it.
My experience of the RFU at Twickenham is that rugby tickets are given out on allocation and request to local clubs—the grass roots of rugby—at a certain price. Were those to be sold on the black market at a higher price and the RFU were to discover it, that club would then get no allocation of tickets for several years. That was a reasonable protection that was placed on the sport.
I am grateful to my hon. Friend for making that point. He has just described one way in which these sporting bodies can control the allocation of tickets. I am sure that there are many other ways. Much has been said about the use of botnets and modern technology to scoop up tickets.
I have heard nothing about how big businesses, which run these venues, have tried to use technology to deal with the problem—if they think it is a problem. I put it to the Chamber that they do not think it is a problem, as they are getting the money that they expected to get. They do not see it as a problem and the consumers do not see it as a problem. The reason why I have not been inundated with complaints is that people are, by and large, happy with the system. They know that tickets for popular events will probably be sold at a price that is greater than that for which they were originally sold. If people are lucky enough to get a ticket in the first allocation, that is exactly how they regard themselves—lucky. They know that they have got a valuable commodity, in just the same way as someone who acquires any other article that goes up in value thinks themselves lucky. Someone may buy something for a fiver at a car boot sale on a Sunday morning, and find out a few months or years later, when they take it on “Antiques Roadshow”, that it is worth 10, 100 or 1,000 times more than they paid. That is how the free market works.
It does not matter how much we try to legislate or to cap ticket prices, the fact is that ultimately the free market will out: tickets will change hands, whether through an organised website or on the black market outside stadiums and venues, for whatever someone else is prepared to pay for them.
I pay tribute to my hon. Friend the Member for Washington and Sunderland West (Mrs Hodgson) for her campaign on secondary ticketing and the need to protect consumers, and to the hon. Member for Hove (Mike Weatherley) for his consistency on this issue and, as someone who comes from the entertainment industry, for his very well-informed speech.
I must also pay tribute to Statler and Waldorf at the back of the Government Benches—if it was not unparliamentary, I would suggest that the hon. Members for Shipley (Philip Davies) and for Bury North (Mr Nuttall) were a couple of muppets. My question for them is: what kind of market would object to consumers being fully informed about a commodity at the time of purchase? Even if we applied the principles of the free market, we would not want to restrict information to consumers when they buy products.
The hon. Member for Shipley used the example of selling houses, but we would not sell someone a house without letting them look around it or without giving them all its specifications. Similarly, we would not sell someone a car saying, “We’ll only let you look at its left side,” or “We won’t let you look inside”; we have to give people all the information. There cannot be any objection to ensuring that consumers are fully informed.
The hon. Member for North West Leicestershire (Andrew Bridgen) intervened to ask about the resale of rugby tickets. He said that if tickets allocated within the rugby family were offered for resale on the secondary market, the rugby club found doing so would be banned from receiving any future allocation. The RFU went to court to obtain the information it needed in order to regulate the sale of tickets in exactly that way. I therefore agree that such rules should apply, but rugby needs such information to make its own regulations stick. In seemingly agreeing with his colleague, the hon. Member for Bury North, the hon. Member for North West Leicestershire is actually agreeing with us.
The Olympics restricted the resale of tickets, which had to go back through the arrangements set up by London Organising Committee of the Olympic Games and Paralympic Games and be resold by Ticketmaster at face value. In the early stages, people complained about the fact that there were a lot of empty seats, but such tickets had to be recycled to ensure there was an atmosphere in the stadium. The process of making sure that the tickets went to family members or genuine fans successfully and memorably created a unique atmosphere within the Olympic stadium. That is remembered, particularly by the athletes who performed there, because we made sure that such tickets were made available at face value to genuine fans.
The RFU wanted to do exactly the same with its tickets for this year’s rugby world cup, but even before the tickets were made available, they could be bought for several thousands of pounds on secondary ticketing websites. The cheapest child’s ticket is £7 and the most expensive ticket is £700, but I saw—I will not name the website, because there are lots of them and it is wrong to single out one of them—five tickets on sale for £8,000 each, with a £3,000 handling charge.
(9 years, 11 months ago)
Commons ChamberThe hon. Gentleman knows all too well that when his party was in office it failed to act on the issue. He will also know that the previous Government looked at the issue in detail, as did the Select Committee at that time, and all concluded that it is for event organisers to take action. With newer technology, and technology improving all the time, there are probably more ways to do so.
Does my right hon. Friend agree that existing secondary market companies already provide safe and secure means for ticket holders to resell unwanted tickets and that they provide a level of consumer protection that will not be available if people are forced to go on to the black market on the streets?
I agree. People have rightly raised concerns about the sale of fraudulent or non-existent tickets and about people who provide misleading information. That is already a criminal act.
It is clear from the number of complaints I have received that the Telephone Preference Service is simply not working. I urge the Secretary of State to take whatever action is needed to stop nuisance telephone calls.
Ofcom ran an inquiry into the Telephone Preference Service, which showed that being a member does significantly reduce the number of nuisance calls received. As my hon. Friend must be aware, we have consulted extensively and changed the law in order to reduce the impact of nuisance calls.
(9 years, 11 months ago)
Westminster HallWestminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
It is a pleasure to serve under your chairmanship, Mr Crausby. The Furniture and Furnishings (Fire) (Safety) Regulations 1988 set out the levels of fire resistance for domestic upholstered furniture, furnishings and other products containing upholstery. Between 7 August and 7 October the Government ran a consultation on proposed changes and, subject to its results, the Department for Business, Innovation and Skills proposed implementing the changes in April 2015.
I have called for this debate because employers in Pendle have expressed to me their deep concerns about the proposed changes. Pendle’s local economy relies heavily on manufacturing, and a sizeable proportion of people work in the furniture sector. Silentnight in Barnoldswick employs around 800 people, sofa manufacturer Buoyant Upholstery in Nelson 800, and Furnico in Pendle around 400. Many other companies are also involved in the sector. Clarkson Textiles, based in Nelson, represents about 25% of the fire-retardant or FR coating market in the UK.
Silentnight was one of the companies that helped with the creation of the existing regulations, implemented 26 years ago. When people such as Iftikhar Mirza, Silentnight’s quality assurance and laboratory manager, who was involved in the original process, express concerns, we know that those concerns are not simply a knee-jerk reaction but are based on decades of research and experience.
All those companies are proud of how our fire regulations save lives and help to prevent fires. As the BBC 1 “Fake Britain” investigation into sofas and mattresses back in January showed, if the regulations are not adhered to, the consequences can be deadly. Silentnight even took the opportunity to mention the importance of the regulations to the Prime Minister when I took him to visit the company back in May. I, too, have expressed concerns about enforcement over the years with Ministers, Lancashire trading standards and the Lancashire fire and rescue service.
The Government’s consultation on the proposed changes to the regulations sets out some laudable aims, namely to improve safety, to make UK furniture greener and to bring savings to the industry. I will take each aim in turn to explain why I and the businesses that I represent feel that the proposals fail in each and every regard.
On improving safety, the existing test method is a simple pass-or-fail test, and one that I have observed being carried out by local businesses. Fabric arrives at a coating company such as Clarkson Textiles and is treated and certified, or it arrives already treated at a furniture manufacturer and is tested before it is used. The new test introduces a two-tier system, with the additional clause relating to the size of the hole formed during testing.
Offering a choice of tests does not lend itself well to the supply chain in the industry and will make the job of trading standards officers almost impossible. How can trading standards police and prosecute with so many variables in the new test method, such as filling 1, filling 2 or the size of the hole produced on burning? The existing method offers a simple, worst-case test because the foam underneath the material being tested is also flammable. Replacement of that with fire-retardant foam reduces the severity of the test. Inclusion of the polyester fibre in filling 2 goes some way to increasing severity, but it is still not as robust a test, and it therefore runs the risk of leading to less safe furniture.
Proponents of the changes will, I am sure, say that the new regulations, by insisting that all internal components are fire retardant if the size of the hole produced by a flame is over a certain level, will mean that overall the item of furniture will be safer. With respect, however, that is simply not true. The existing regulations provide for a flame-retardant barrier over the furniture against small ignition sources, such as a cigarette or a faulty electrical item. By the time a fire has been able to burn through 40 mm of fabric and foam and got all the way to the internal components of a sofa, we have lost the battle anyway.
It is also worth remembering that when fabric is sent for treatment, it is likely that it will be treated for stock, so it would not be known what kind of furniture that fabric would be used on, or even who would purchase it. Fabrics are not precision-engineered products; variables in yarn type, dye stuff, fabric weight and add-on treatments must all be accounted for. Testing over non-FR foam, as the current test does, gives extra tolerance to allow for such variables.
There is also concern about the removal of the cigarette test on fabrics that have passed the match test. As the European Flame Retardants Association pointed out, it was great to see in the 2012-13 fire statistics report a clear downward trend in fire fatalities, but the report also stated that smokers’ materials have caused the largest share of deaths in house fires. With that in mind, is it not a gamble to change the status quo at the very time when the UK can congratulate itself on its fire safety achievements and can continue leading and being an example to other European Union countries?
Concerns have been raised about enforcement of the current regulations—concerns that I have been raising for some time, and which were covered in the BBC “Fake Britain” programme. Introducing new variables, however, and a situation in which sofas would have to be purchased and pulled to pieces to test internal components are unlikely to improve enforcement by trading standards departments, which already have limited resources.
My hon. Friend is making an important case, and one that I am sure Formulated Polymer Products in Ramsbottom, which makes such chemicals, would support. Does he agree that what we need is better and more rigorous enforcement of the existing regulations by trading standards?
I thank my hon. Friend for making that important point. The existing regulations are incredibly effective and have saved many lives; they could save more lives if they were enforced effectively. We should be enforcing the regulations, rather than playing about with them and trying to come up with a new test that I do not think is as robust as the old one.
The second aim of the changes is to make UK furniture greener. Again, that is a laudable aim, and it is based on reducing brominated FR usage by around 50%. Those to whom I have spoken, however, feel that the total level of brominated chemical use quoted by BIS is greatly inflated by the method of calculation. No figures from the chemical or coating industry have been quoted, but it estimates that a total of 12 million to 16 million metres are coated in the UK, not the 65 million metres quoted by BIS. The BIS figure includes leather, loose covers and inherent fabric, which are not treated, so at best the documents exaggerate the level of chemical use in the industry.
Furthermore, with the new test, the application level of chemical per metre will remain the same on many fabrics, as shown by recently published research from FIRA, the Furniture Industry Research Association. In some instances, the application level could increase, and the requirement to make every internal component of the sofa fire retardant if a hole appears during the test means that the likelihood is that far more brominated chemicals will need to be used. A small reduction can be achieved on some simple, lightweight synthetic compositions, as shown by the test results offered by BIS, but, to take us back to the safety point, no fabrics tested included common add-on treatments such as fluorocarbons.
Clarkson Textiles also feels that the changes would hamper innovation and development as it and other companies explore ways to reduce the use of brominated fire retardant. The new test removes the scope for final composite testing. With careful selections of fabric and interlinings, it is already possible to produce a flame-resistant item without FR chemicals, but without final composite testing it would be illegal, because the cover may not pass over foam and fibre as specified in the new test.
We also need to consider the impact of the new regulations on the re-upholstery industry, which is easily overlooked because most of the companies involved are small. They might not even be aware of the changes proposed by the Government. At the moment the re-upholstery industry facilitates furniture recycling and reuse, helps reduce landfill and therefore helps the environment. As drafted, the proposed new regulations could destroy the sector, because many fabrics that produce a hole when tested could never be used again. The choice would be either to throw the furniture out, which is not good for the environment, or for companies to increase significantly the back coating of the fabrics with far more chemicals, which again is not good for the environment.
The third aim of the changes is to bring savings to the industry—again, a laudable one. The estimated savings projected by BIS, which were calculated on the reduction in chemical application and the removal of the cigarette test, look impressive. However, the unanimous message from the businesses I have spoken to is that the cost savings on fire regulations testing are minimal and are therefore totally outweighed by the introduction of the testing of internal components.
In its consultation response, Buoyant Upholstery clearly sets out why it does not believe the changes will save the industry money. Simply applying 50% less FR coating, even if safe, would, it estimates, save it only something like 10p per metre, whereas ensuring that every internal component is FR treated would impose massive costs on a company that currently has 120 different models in its range and uses over 1,170 different fabrics. Not only would its products need to be redeveloped, but all its floor models in furniture retailers across the country would need replacing. To put that in perspective for a company like Buoyant, the three largest retailers it supplies have 1,186 floor models between them, which have often been supplied at discounted rates. The cost for UK furniture manufactures of replacing all those floor models will be significant. Companies such as Buoyant will be hit with costs for product redevelopment and alternative components, increased supply-chain auditing and due diligence costs, increased material costs and so on.
Clarkson Textiles tells me that chemicals represent only around 33% of the coating price—£1.20—meaning that savings to customers would be only between 8p and 20p per metre. If Clarkson Textiles represents 25% of the coating market in the UK, and its total consumption of FR compound is only £1.5 million, it will be impossible to make the savings to industry of £17 million to £50 million that have been quoted by BIS during the consultation.
I turn now to what trade organisations say about the changes. In responding to the consultation, industry representative bodies have been clear: neither the Furniture Industry Research Association nor British Furniture Manufacturers think the proposals will achieve the aims set out by the Department. They see no evidence that the changes will make the industry greener, save money or, crucially, make furniture more fire safe, and do not think that the changes are viable. The National Bed Federation agrees, saying it cannot be sure that the proposals will save money or improve safety, although it recognises that making UK furniture greener is possible and that reducing FRs is becoming ever more important.
Those groups are not resisting the changes for the sake of resisting change. As FIRA makes clear in its consultation response, the industry itself has been calling for a revision of the regulations for many years. As far back as January 2010, meetings were taking place at BIS and a plan was agreed for fully revised regulations to be introduced by 2012. The industry sees change as overdue, but it sees these particular changes as inadequate and incomplete, given the many other amendments that are required and will need to be addressed in future.
I called for this debate after receiving a reply from the Minister, dated 11 November, responding to concerns raised by Joel Rosenblatt, chairman of Buoyant Upholstery. That reply said that the Department was analysing responses to the consultation, but very much implied that the changes were pretty much a done deal. However, as recently as last Thursday, BIS officials were e-mailing invites to meetings, at short notice, to select parts of the industry only, along with technical documents showing that the proposals have changed again and the reasons for the changes have altered. It would appear that as of last week the changes are no longer about saving fire retardants, but are now about safety; apparently the current regulations do not work. However, no evidence has been presented for that idea in terms of fires or deaths, and there is no evidence for what the savings will be.
The altered proposals seem to ignore the report by the Minister’s own Department into the effectiveness of the regulations, which was commissioned from Greenstreet Berman in 2009. That report suggested that between 2002 and 2007 the regulations saved 54 lives, and led to 780 fewer non-fatal casualties and 1,065 fewer fires each year, with savings to the taxpayer valued at about £140 million per year.
I am very supportive of the Government’s drive to reduce unnecessary red tape and get our economy back on track. The effects can be seen in my constituency, and Pendle businesses in this sector, such as those I have mentioned, are employing hundreds more people than they were in 2010. However, we need to work with the industry and listen carefully to what businesses are saying. There is general amazement that the biggest review of the regulations since 1988 was conducted essentially by just two people. The review could and should have involved the material manufacturers, furniture manufactures and leading test houses right from the start. The UK’s two largest independent test houses, SATRA and FIRA, were not even properly consulted at the start of the process, and FIRA has only recently been able to present its own findings to its members. Most in the industry feel the whole process should be started again, involving the right people from the start, so that more effective proposals can be driven by industry rather than, as some feel, being imposed from above.
It should not surprise the Minister that the upholstery industry is unhappy with the situation. Most businesses are unaware of the further technical changes that are now being discussed, before the results of the public consultation have even been published. As I said, no one is anti-change, but there is deep concern about the way the Department has gone about this process. Despite all the flaws, the opposition of industry and the clear evidence that the changes fail to achieve any of the intended objectives, the Department still seems keen to press ahead in order to have something implemented by April next year. The current regulations have been in force for 26 years. They are simple, effective and have saved lives. Let us not put that in jeopardy.
(9 years, 11 months ago)
Commons ChamberI do not know the specific facts of that case, but I am happy to look into it because, from what the hon. Gentleman says, that does not sound right. I will be happy to make sure that the appropriate authorities can look into the matter, investigate and take any action that is necessary.
If my hon. Friend’s Department did carry out such an assessment, does she not agree that it might well find that the biggest risk to the security of British business is the election of a Labour Government, which would mean more spending, more borrowing and higher taxes?
(10 years ago)
Commons Chamber12. What plans he has to provide superfast broadband to those areas not covered by existing policies.
I am delighted to hear that question; I look forward to my hon. Friend’s constructive comments about the roll-out of the superfast broadband project, which has seen some £3.5 million invested in Greater Manchester. His point, though, is about the last 5%. As I have already mentioned, there is a £10 million fund and 10 pilot schemes to help us assess the costs of bringing broadband to the last 5%.
The problem is that the more the progress on rolling out superfast broadband to the 95%, the greater the disappointment and disillusionment among the remaining 5%, such as among residents in Affetside and parts of Holcombe and Hawkshaw in my constituency. I urge my hon. Friend to work with other Ministers across Government and the private sector to do all that is possible to speed up the delivery of better broadband and ensure that the final 5% do not become the forgotten 5%.
They are certainly not forgotten, which is why we are undertaking pilot projects. I am also pleased that in many rural areas the roll-out of superfast broadband is now ahead of schedule. I am certainly happy to look at the situation in Affetside and Holcombe where the cabinets are conversion-enabled. It might be that some of the premises are simply too far from the current cabinet.
(10 years, 4 months ago)
Commons ChamberDoes the Secretary of State agree that in today’s modern workplace many employees find zero-hours contracts very attractive because of the freedom they give them to combine different jobs, to work from home and be available to work, or to work and study at the same time?
My hon. Friend rightly says that certain groups of workers find these contracts advantageous, the main ones being workers who have passed retirement age and wish to do optional, flexible work, and students, for whom the lack of an obligation to turn up at a fixed time for a fixed period is compatible with their studies.
I have seen the report on the future of the coalfields. On the issue of NEETs, I would point out that yesterday’s figures show that the number of people not in education, employment or training is at a record low since the series of statistics began in 1994. I have no doubt that there is much more to do, because any young person not in education, employment or training is one NEET too many. The fact that the number of NEETs is at a record low shows that the economic plan is working.
On the issue of new EU legislation, does my right hon. Friend agree that it would benefit British business if the EU adopted the same one-in, two-out rule that the UK Government apply?
It is encouraging that the one-in, two-out rule, or the one-in, one-out rule, is increasingly being adopted by other member states, including France and Spain. I shall visit Brussels next month to urge the Commission to redouble its efforts to remove unnecessary directives, and to make sure that where new directives are proposed, they fully take account of the needs of small businesses, which are most likely to create the jobs we need in Europe.
(10 years, 4 months ago)
Commons ChamberI totally agree with the Home Secretary and I think that her leadership on counter-extremism has been exemplary.
Does my right hon. Friend agree that the findings of these reports demonstrate the need to ensure that there is a breadth of views on school governing bodies? One way of achieving that is to ensure that there are governors of different faiths on governing bodies and that they are encouraged to take a proactive role so that pupils receive a balanced education.
My hon. Friend makes a characteristically acute and pertinent point.
(10 years, 6 months ago)
Commons ChamberThe hon. Gentleman’s constituency is a good example of what is happening in the labour market. The claimant count is down to about 2.5%, which is much lower than it was when we took office. Many engineering companies are short of labour and wages are going up. We have been through a difficult period, but one of the success stories is that employment has massively increased—465,000 during the last year. His constituency is a very good example of the policies working.
Does the Secretary of State agree that retailers would find it easier to pay higher wages if they were allowed to open all day on Sunday?
I suspect that it would make relatively little difference. We had a modest experiment at the time of the Olympics. The results did not show a great deal of real economic consequences, but we are always open to new evidence.