Retail Strategy

Debate between Drew Hendry and Bill Grant

Wednesday 10th July 2019 Westminster Hall

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

It is a pleasure to serve under your chairmanship, Sir David. I congratulate the hon. Member for Blaydon (Liz Twist) on securing this important debate on a matter that is not raised often enough in this place. As a former retailer, I have seen many of these issues over the years, and I am delighted that she has been able to bring the debate to Westminster Hall. As we will get into online retail, I bring the attention of hon. Members to my entry in the Register of Members’ Financial Interests.

The hon. Lady talked about the effects on people, communities and indeed companies. She brought up the spectre of the BHS closures, which was deeply hurtful to many people involved. She also talked about the work of local authorities and the possibility of them getting involved, and correctly called for a longer-term strategy and vision from the UK Government.

The hon. Lady talked about the business rate system in England, which is a key issue. I will come on to the Scottish context. She also mentioned the requirement for proper pay for people working in retail. She will be glad to know that in Scotland the real living wage—not the pretendy one—is being promoted by the Scottish Government, which indeed is a real living wage employer. Almost just at this moment, the 1,500th private real living wage employer in Scotland has been unveiled: Johnstons of Elgin, the menswear retailer. It was congratulated by the fair work Minister, Jamie Hepburn MSP. Congratulations to Johnstons; it is a really good example.

The hon. Member for Henley (John Howell) talked about changes to banking and rural communities. I disagree about everyone being able to go on to online banking. Many people with disabilities and people in rural areas need banking facilities in the heart of their communities. In particular, those who are vulnerable need access to cash in a way that cannot be done online. The hon. Gentleman did, however, make an interesting point about town planning, which people should consider carefully.

The right hon. Member for Delyn (David Hanson) discussed retail’s important contribution to the UK economy and employment. Indeed, in Scotland, retail is the largest private sector employer, accounting for 250,300 jobs. Retailers are kind-hearted, having donated £10 million to good causes in Scotland, and retail accounted for 13% of all new businesses formed in Scotland in 2016. It also accounts for a fifth of all business rates in Scotland.

The right hon. Gentleman talked about out-of-town versus city centre. There is much debate about how we marry the two so that everyone can benefit, because they are realities. That is one for greater consideration. He also mentioned the loss of UK Government offices, which I have seen in the highlands, with the tax offices, Department for Work and Pensions offices, local passport offices and Driver and Vehicle Licensing Agency offices all coming out of communities and affecting people and local businesses, particularly retail.

The right hon. Gentleman brought up another subject close to my heart: support for post offices. These people desperately need a better deal so they can secure a living wage. As the Minister will acknowledge, there are people in post offices struggling to make a living. The right hon. Gentleman also made many suggestions to the Minister in a very good speech.

The hon. Member for Ayr, Carrick and Cumnock (Bill Grant) talked about regenerating town centres, accepting the online issue. I still get a bit of a shiver when thinking about this future of deliveries by drones, with all these drones whizzing about. The temptation to bat them out of the way might be too strong, but we should be aware that that may come in the future. He talked, quite rightly, about the danger of isolation for the elderly and those who are not internet-savvy—I think he included himself—with different ways to shop. He said that people deserved better, and he talked about the real living wage, so I am sure he will join me in congratulating Johnstons of Elgin.

The hon. Gentleman quite rightly said that local authorities and the Scottish Government should work together. He will be glad to welcome the work that the Scottish Government are doing with the Convention of Scottish Local Authorities on town centres. As well as providing the best business rates in the UK, the SNP Scottish Government have put together a business rates relief package worth more than £75 million. Ninety per cent. of businesses in Scotland will pay a lower poundage than they would anywhere else in the UK. The Scottish Government have launched a £50 million town centres fund in partnership with COSLA, with local authorities allocating the funds. That goes a long way in promoting the work between Government and the local authorities.

[Bill Grant]

To put that in context, when I look at my inbox I see a number of businesses have experienced a significant rates hike. Rural businesses in particular are hurting terribly, so a system had to be introduced to compensate for that. There are anomalies.

[Drew Hendry]

Unfortunately, the hon. Gentleman is trying to punt a line that is not the fact. Through the small business bonus, 100,000 businesses in Scotland pay no rates at all, and those are mainly businesses in rural areas that do not come up to the level for being taxed.

The hon. Member for Batley and Spen (Tracy Brabin) correctly talked about public transport and its impact on retail. She gave the example of the fall in revenue for one of her constituents due to a change in bus routes. That brings us back to town planning. People must plan for the unintended outcomes as well as those they want in the future. She also mentioned banks and building societies, the importance of business rates and the need to tax big online retailers.

The hon. Member for Strangford (Jim Shannon), as ever, did a great job of promoting his own constituency. He talked about the chamber of trade and, importantly, the need for a shopping experience. Green areas, coffee culture and all those things need to be thought out in planning for the future. He talked about the mix of online and physical, which is what we used to call—

Finance (No. 3) Bill

Debate between Drew Hendry and Bill Grant

2nd reading: House of Commons & Programme motion: House of Commons
Monday 12th November 2018 Commons Chamber

[Bill Grant]

I take the hon. Lady’s point, but I understand that the saving she refers to is very modest to the tune of £24 a year for some, which equates to less than 50p a week. It is a step in the right direction, but a very small step and hardly a progressive tax system. As one whose mother cleaned other people’s houses and made beds at Butlin’s on Saturdays, I am not minded to accept lectures on poverty from Scottish National party Members.

I disagree with the suggestion that the Budget failed to provide funding for a social security system that treats people with dignity and respect. The Chancellor was listening. The entire ethos of the evidence-based and empowering system of universal credit is that work should always pay, and that work brings with it dignity and respect. No one can disagree with that. The dignity of work is important to all constituents in all parts of the United Kingdom.

The Bill will facilitate an additional £1.7 billion per annum being invested to increase work allowances by £1,000 from April 2019. I hear Opposition Members cry “More!” Everyone’s an Oliver—they want more, more. That “more” has to be earned and this Government have an economy that works and is earning more.

[Drew Hendry]

Come to Inverness.

[Bill Grant]

I am happy to join you.

Some 2.4 million households will keep an extra £630 of income per annum, and I am sure that those who need support will continue to receive it. It is no longer a wicked system where if someone wants to work beyond the 16 hours, they lose money.

Scottish Welfare Powers

Debate between Drew Hendry and Bill Grant

Tuesday 20th March 2018 Westminster Hall

[Bill Grant]

I can honestly say no, but I believe that it is not my role to do so at this juncture. The hon. Gentleman may have a different view, which I fully respect. If there is a need to do so, I will certainly take him up on that.

This is no easy feat. I accept that we cannot just magic up a new welfare system. I do not underestimate how much work must be done. We have known the timeline for the devolution of the powers for quite some time now, yet there is still no real detail about how the Scottish Government intend to use the important main powers. The fact is that Scottish National party Ministers in Scotland are proceeding exceptionally slowly with implementing this aspect of devolution. I suspect that the SNP is now beginning to realise that creating a welfare system that is fair to everyone, including taxpayers in the UK and in Scotland, is not an easy task. That I accept.

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

Disabled people across the UK have suffered a cut in their disability benefit of £30 a week under the Welfare Reform and Work Act 2016, and the Institute for Fiscal Studies says that some 10,000 disabled claimants in Scotland will have to find £1,400 a year. Does the hon. Gentleman believe that to be fair?

[Bill Grant]

Disability funding has increased over this Parliament, and will continue to do so. Fairness is a double-sided coin. The hon. Gentleman will learn that in the Scottish Government. Fairness must apply to the taxpayer and to those who receive assistance. I am sure that he agrees.

--- Later in debate ---

[Bill Grant]

I thank my hon. Friend for that. It may be prudent for us to focus on the purpose of the debate. The SNP appears to be unprepared for the powers it has demanded for so long. It has repeatedly demanded powers—it could be called a power grab—and it has now been granted them. We urgently need to know whether the Scottish Government will be ready to take on responsibility for welfare by 2020, as is planned, or whether they will have to ask the UK Government to delay the process. I hope that later in the debate the Minister will touch on some of the contingency plans we must have, as we cannot allow the Scottish Government’s delays to impact on those who rely on these benefits.

[Drew Hendry]

At the very least, the hon. Gentleman is being generous in taking interventions. Can I clarify something with him? He is saying that the Scottish Government are not taking action ahead of time. Does he support the hundreds of millions of pounds that the Scottish Government have put into mitigating the bedroom tax in Scotland?

[Bill Grant]

I have no issues. That is the choice of the Scottish Government, and I respect their choice. They have chosen to do that.

From what we do know of the SNP plans, we can see that they are likely to be incredibly expensive. The Scottish Fiscal Commission said that devolved welfare spending—this is an astronomical rise—will increase by nearly 50% between 2017 and 2023, going from £330 million to £470 million of taxpayers’ money. It is never the Government’s money; it is the tax raised from the hard-earned income of those in employment. Of course any system must be able to cope with the needs of those who depend on it, and do so adequately, but my concern is that the Scottish Government might devise a social security system that is so expensive that it will not provide fairness to taxpayers. The balance of need and affordability must be carefully considered.

Social Security

Debate between Drew Hendry and Bill Grant

Monday 5th February 2018 Commons Chamber

[Drew Hendry]

Let me answer the hon. Gentleman’s question directly. In Scotland, tackling child poverty is at the heart of decision making. Scotland is now the only UK nation to have child poverty targets set out in law—the Tories scrapped such targets for the whole of the UK and we now know why. In Scotland, we have initiatives to see fairness delivered: the Poverty and Inequality Commission; a new £50 million fund to tackle child poverty; our use of the limited social security powers to support young families at key stages of—

[Bill Grant]

rose—

[Drew Hendry]

I am going to make some progress, as this question needs answering. We are using the limited social security powers to support young families at key stages of children’s lives with the best start grant. We are providing free childcare—up to 45%. We are providing free school meals for primary 1 to 3 and expanding all early years. We are mitigating the Tory bedroom tax and maintaining council tax benefit. And we have the Scottish welfare fund.