Oral Answers to Questions

Gareth Thomas Excerpts

Thursday 17th July 2025 Commons Chamber

[Wera Hobhouse (Bath) (LD)]

1. What steps he is taking to support small and medium cycle manufacturers.

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

Small and medium-sized bicycle manufacturers are important for our green growth ambitions. Through the Government’s industrial and trade strategies, we are backing innovation, sustainability and skills development to help businesses, including cycle manufacturers, to scale up so that they can compete globally and continue driving forward the UK’s cycling economy.

[Wera Hobhouse]

I, too, wish Robert a happy next new adventure, Mr Speaker, and I wish Her Majesty the Queen a happy birthday.

The removal of anti-dumping duties on e-bikes from China has raised serious concerns for UK cycle manufacturers, which are mainly small and medium-sized businesses. With similar duties on standard bikes and parts now under review, many UK manufacturers are worried about navigating the complex trade investigation process. Will the Minister meet industry representatives to ensure that the voices of our small and medium-sized British cycling manufacturers are heard?

[Gareth Thomas]

I associate myself with your statement, Mr Speaker, and with the comments of the hon. Lady.

I recognise that there is concern about this issue among cycle manufacturers. The hon. Lady may be aware that some anti-dumping measures have been extended until 2029, but some have been lifted as a result of the work of the Trade Remedies Authority. We are always happy to meet cycle manufacturers to discuss their concerns—whether it is with the hon. Lady or directly with industry, I am very happy to ensure that such a meeting takes place.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the shadow Minister.

[Dame Harriett Baldwin (West Worcestershire) (Con)]

It is not just cycle manufacturers that are having to pedal hard to survive under this Government. With business survey after business survey stating that tax is the biggest worry for business, will the Minister take this opportunity to assure businesses that the Chancellor will not be coming back to burden them with more in her Budget this autumn?

[Gareth Thomas]

First, I commend the hon. Lady for the humour in her question. As she will recognise, this is Business and Trade Question Time, not Treasury Question Time, where tax measures are usually dealt with, but I am sure that the Treasury will note her comments. I should perhaps point her to recent surveys of business confidence: the Lloyds Bank business barometer pointed out that business confidence is at a nine-year high. I am sure she will be delighted by that news.

[Dame Harriett Baldwin]

Well, except for the fact that the whole House will have heard that the Government are not prepared to rule out saddling cycle manufacturers and other businesses with more taxes this autumn. Will the Minister at the very least assure the House that he and his fellow Business Ministers are making representations to the Treasury that businesses really cannot take any more tax rises?

[Gareth Thomas]

I am grateful to the hon. Lady for her suspicion that I have considerable influence with the Treasury. We are always in discussions with Treasury colleagues, and indeed colleagues across Government, about what more we can do to support business. Another indicator of improving business confidence is a survey by the American Express business barometer, which pointed out that almost three quarters of small and medium-sized enterprise bosses are confident about the future—again, up from last year.

[Mr Connor Rand (Altrincham and Sale West) (Lab)]

2. What steps he is taking to support working families through the parental leave system.

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[Emma Foody (Cramlington and Killingworth) (Lab/Co-op)]

6. What recent steps he has taken to support postmasters seeking redress for harm caused by faulty IT systems.

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

By the end of last month, approximately £1.1 billion had been paid in total redress to almost 8,000 claimants. This represents a fourfold increase over the past 12 months, with more than 5,000 victims receiving compensation for the first time. We have also committed to extending redress to family members. As the House knows, there is still much left to do, and we are considering carefully the recommendations that Sir Wyn Williams made last week in this regard.

[Emma Foody]

I thank the Minister for his answer. He will be aware of a Northumberland constituent of mine who was a victim of the faulty Horizon system, leading to her losing her job and her business and becoming a victim of abuse in her own community. Despite my assistance, my constituent remains without an outcome to her claim. Will the Minister please look into this case and ensure that her claim is progressed as quickly as possible, so that she can receive justice?

[Gareth Thomas]

My hon. Friend describes just one example of the terrible human impact that the Post Office scandal has had on many good people up and down our country who served their communities and who were treated unbelievably badly by the Post Office. I will of course look into the case that my hon. Friend has raised. We are determined to do more to help not just her constituent but all those who are still waiting for compensation.

[Jim Shannon (Strangford) (DUP)]

I thank the Minister and the Government for all they are doing in this area. The frustration is that those who deserve compensation, having been traumatised physically, emotionally and financially, have waited many years for the redress that they should be getting. There seems to be a delay for some who should be receiving the moneys now. Indeed, they are now being told that it could be another three years before they will receive any money. I genuinely urge the Minister and Government to make sure that people get the money ASAP—in other words, let us get it done this year.

[Gareth Thomas]

I, and I suspect the whole House, share the hon. Gentleman’s frustration. There were many opportunities to stop the Post Office scandal, and compensation should have been paid out to all the victims a long time ago. We have quadrupled the amount of compensation paid out in the past 12 months, and 5,000 victims who had not received compensation 12 months ago have now done so. Is that good enough? Of course not; there is a lot more to do, and the recommendations that Sir Wyn Williams made last week are helpful in that regard.

[Ben Coleman (Chelsea and Fulham) (Lab)]

7. What progress his Department has made on implementing recent trade agreements.

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[Lewis Atkinson (Sunderland Central) (Lab)]

16. What steps he is taking to support high street businesses.

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

To breathe life back into Britain’s high streets, we are addressing antisocial behaviour and crime, rolling out banking hubs, stamping out late payments, establishing a licensing taskforce, empowering communities to fill vacant properties and reforming the business rates system. There is more to do and our forthcoming small and medium enterprise strategy will set out further steps.

[Sarah Hall]

Warrington South is home to brilliant businesses such as Gourmand!, an award-winning French café, Mamars, a wonderful artisan bakery and deli, Hideout, which serves the best piña colada in Warrington —apparently—and the soon-to-open Zak’s Shack, a new parent and child-focused café in Stockton Heath. Such businesses are the beating heart of our town, built by local entrepreneurs who serve the community they love. However, set-up costs, business rates and other barriers make it harder for them to operate. Will the Minister outline how the Department specifically supports the independent hospitality and food retail sector?

[Gareth Thomas]

My hon. Friend makes Warrington sound like a particularly attractive place for a Business Minister to visit, so if she does not mind, I will add that to the list of places that I am keen to visit. Independent businesses, as she rightly says, play an important role in supporting local growth and community cohesion. We plan to introduce permanently lower business rates for retail hospitality and leisure properties with a rateable value of under £500,000 and we have introduced a hospitality support scheme to co-fund projects that aim to help those furthest from the job market into employment and to boost productivity. I think that will help many of the businesses in her constituency.

[Liz Twist]

When I am out and about in my constituency, I am always impressed by the dedication of staff and small business owners who bring our high streets to life. Places such as Blaydon’s Precinct and Consett’s Middle Street are at the heart of local pride and identity, but after years of austerity and a cost of living crisis, empty shops and the loss of vital amenities such as banks have taken a toll, especially in the north-east. What are the Government doing to support local businesses and revitalise high streets such as those?

[Gareth Thomas]

Before I had heard about the attractions of Warrington, I had heard about those of Consett. I was pleased to visit my hon. Friend’s constituency and meet many of the great businesses there just before Christmas.

We have introduced measures to fill empty properties, including high-street rental auction powers for councils, which can free up space for new businesses. We are also protecting vital services on the high street through the roll-out of banking hubs, with 170 opened so far. This week, we published our Green Paper on the future of the Post Office, which sets out our plans to do even more to provide banking services on high streets, which, again, I hope will help to bring more footfall on to the high street and help businesses such as the ones that she knows only too well.

[Lewis Atkinson]

In the last Budget, the Government committed to a fairer business rates system that protects the high street. Making sure online retailers pay a fair share of rates will help support businesses on the high street in Sunderland. Will the Minister update the House on the engagement and design work that his Department are carrying out so that that new fairer system can be announced in the Budget?

[Gareth Thomas]

The Chancellor announced last year that from the next financial year, 2026-27, we intend to introduce permanently lower tax rates for retail hospitality and leisure properties. A permanent tax cut will ensure that those businesses will benefit from much-needed certainty and support. Treasury colleagues have been engaging businesses on their proposals for a fairer business rates system. The Government plan to publish an interim report on their work and more detail will also be set out in the Budget in the autumn.

[Mr Gagan Mohindra (South West Hertfordshire) (Con)]

Small independent businesses like Kitchen Croxley in my constituency have suggested that, to counter this Government’s national insurance contribution increases, they will need to serve cold coffee and replace staff with touchscreens just to afford to stay open. What will the Minister do to ensure that small businesses are encouraged to grow, rather than being punished for being entrepreneurial, so that local bakeries like Kitchen Croxley can keep serving us cake and coffee?

[Gareth Thomas]

We have taken a range of measures to support businesses such as the one the hon. Gentleman mentions. My right hon. Friend the Secretary of State announced our plans for a business growth service to make it much easier for businesses to get the advice they need on how they can start up and scale up. The Chancellor set out in the spending review a two-thirds increase in the capacity of the British Business Bank, which will make it a lot easier for businesses to access the finance they need to start up and scale up. As many hospitality businesses continue to point out the significant crime and antisocial behaviour in town centres, the extra police officers that we have recruited, and our commitment to recruit still more, will make it easier to bear down on shoplifting and other antisocial behaviour.

[Nick Timothy (West Suffolk) (Con)]

Labour-led West Suffolk district council now charges cafés and restaurants £500 for pavement licences for tables and chairs in front of their premises. Their justification for the cost is that the process for granting a pavement licence is more complex than it may initially appear as it involves a number of checks with highways authorities, the police and counter-terrorism advisers. Will the Minister look at pavement licences as an example of where we can deregulate?

[Gareth Thomas]

The hon. Gentleman makes an interesting point about what further measures we can take to bear down on the cost of regulation for small businesses. It is one reason the Chancellor set up a licensing taskforce that has brought forward a series of recommendations and will shortly publish its conclusions, which the Government will respond to quickly. We are absolutely determined to do what we can to bear down on the cost of regulation for SMEs.

[Shockat Adam (Leicester South) (Ind)]

I refer the House to my registered interest as a small business owner. Retailers in my constituency, including city centre retailers, tell me that they are on their knees, crippled by soaring costs, rising national insurance contributions, rising antisocial behaviour, expensive and poor parking, and a lack of any city centre regeneration. These long-standing independent businesses—the lifeblood of our community—are now considering closure. Has the Minister considered their clear ask, which is reducing or freezing business rates, and having affordable and accessible parking and community-focused events to revive our high streets?

[Gareth Thomas]

One measure that the hon. Gentleman referenced was business rates. As I said in answer to previous questions, we are determined to introduce permanently lower business rates for the retail sector for businesses with properties under a value of £500,000. I hope that will make a difference to businesses not only in Leicester in his constituency, but more generally across the country.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the shadow Minister.

[Greg Smith (Mid Buckinghamshire) (Con)]

At the heart of every high street are wonderful hospitality SMEs—pubs, cafés, restaurants, bars and coffee shops—yet the 2024 Budget was a hammer blow to them. With £3.4 billion of extra costs, one in 10 restaurants faces closure this year. Indeed, Labour’s Budget has already cost hospitality 69,000 jobs. For context, in the same period the previous year, hospitality created 18,000 new jobs. Can the Minister assure the House that businesses that are hanging on by a thread will not face a hard landing this winter?

[Gareth Thomas]

The hon. Gentleman is one of those Conservative Front Benchers who have yet to tell us, if they do not like the increase in national insurance contributions, how they would pay for the extra investment in hospitals, schools and our police force. I gently say that the difficult decisions the Chancellor of the Exchequer had to take in the Budget last year were a direct result of the £22 billion black hole left to us by the Conservatives. Our small business strategy will set out further measures that we will take to have the back of British entrepreneurs.

[Greg Smith]

That answer is simply not good enough for the 63% of employees in the hospitality sector whose jobs are on the line. Yet we now read in the press that the Government appear set on forcing restaurateurs to monitor customers’ calorie consumption—another crippling blow of red tape on top of national insurance hikes, minimum wage hikes and the regulatory firestorm of the Employment Rights Bill. Jeremy Clarkson is not wrong when he says that the Chancellor is

“using a machine gun on publicans.”

Can the Minister really look hospitality SMEs on our high streets and beyond in the eye and say that this is somehow good for business?

[Gareth Thomas]

One reason the hon. Gentleman’s party lost the confidence of business is that it promised many, many times that it would reform business rates and never did. The Chancellor of the Exchequer has set out our commitment to permanently lower business rates for the hospitality sector—we have already taken steps in that regard—and she will set out our plans to do even more. That is one way in which we are backing up our commitment to SMEs in the hospitality sector and more generally.

[Callum Anderson (Buckingham and Bletchley) (Lab)]

9. What steps his Department is taking to ensure that SMEs in Buckingham and Bletchley constituency can access capital and export finance as part of the UK’s recent trade agreements.

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

On 26 June, the Department published our trade strategy, announcing the expansion of UK Export Finance’s capacity to £80 billion. We also announced measures to give smaller firms, including those in Buckingham and Bletchley, better access to export protection insurance. The significant increase in the capacity of the British Business Bank will also help to improve access to capital for SMEs, including, potentially, in my hon. Friend’s constituency.

[Callum Anderson]

Innovative high-growth companies, such as Envisics in Bletchley, are developing and exporting world-leading technology-driven products but face difficulties securing the domestic capital needed to scale up. Too often, overseas investors and, sometimes, Governments, offer both finance and other incentives for them to relocate. Will the Minister set out in more detail how his Department is working across Whitehall to ensure that domestic financial institutions, including Government-backed entities, are helping companies like Envisics to firmly anchor their innovations here in the UK?

[Gareth Thomas]

We heard during our SME consultation that one of the biggest issues facing small and medium-sized businesses that want to scale up relates to access to finance. Indeed, since 2011, the stock of bank lending to SMEs relative to GDP has fallen by around 50%, which graphically demonstrates the significance of my hon. Friend’s point. We have been working closely with Treasury colleagues in particular, and when we launched the industrial strategy, we also launched a funding arrangement for the British Business Bank that will provide £4 billion of capital to our high-growth innovative businesses to ensure that they remain anchored in the UK and are able to scale up here.

[Perran Moon (Camborne and Redruth) (Lab)]

10. What assessment he has made of the potential impact of the industrial strategy on Cornwall.

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[Lee Barron (Corby and East Northamptonshire) (Lab)]

11. What steps he is taking to support independent retailers.

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

We have frozen the small business multiplier for 2025-26, protecting over 1 million ratepayers from bill increases, and we are creating a fairer business rates system that protects the high street and supports investment. Our forthcoming SME strategy will set out further plans to help businesses on the high street and beyond.

[Lee Barron]

In Corby and East Northamptonshire, retail and wholesale jobs account for the largest share of employment, supporting thousands of jobs. Will the Minister confirm that, unlike the last Tory Government, which promised to reform business rates but did absolutely nothing, this Labour Government are committed to delivering a fairer business rates system to support the vibrant high streets that our communities deserve?

[Gareth Thomas]

I know that Northamptonshire has a thriving retail and wholesale sector, and I commend my hon. Friend for championing the jobs and businesses in his constituency. He rightly says that the Conservatives promised to reform business rates. What he did not say was that they promised many times to reform business rates and never did so. We have committed to permanently lower business rates for retail, hospitality and leisure businesses. The Government are committed to publishing soon an interim report that sets out further details on the direction of travel, and confirmation of our plans will come at the autumn Budget.

[Robbie Moore (Keighley and Ilkley) (Con)]

I recently met the owners of Bababing in my constituency, who have opened up new premises in Keighley. They want to grow and expand as quickly as possible, but they told me that this Government are stifling business growth for not only Bababing but many other SMEs across the country due to the decisions they made in the Budget last year to increase employer national insurance and the minimum wage, and the Employment Rights Bill, which is coming down the line. Do the Government recognise that they are stifling growth, and if so, what are they doing about it?

[Gareth Thomas]

I welcome the establishment of Bababing in the hon. Member’s constituency. I recognise that difficult decisions had to be taken in the Budget. I am sure he has pointed out to the owners of Bababing that those difficult decisions were taken as a direct result of the £22 billion black hole that his party left us to tackle. Our small business strategy will set out a range of measures we are taking to support businesses, which I hope will help Bababing and other businesses in his constituency.

[Tom Gordon (Harrogate and Knaresborough) (LD)]

13. What steps he is taking to support the hospitality sector.

[Christine Jardine (Edinburgh West) (LD)]

19. What steps he is taking to support the hospitality sector.

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

We recognise the vital role hospitality plays in driving growth and strengthening all our communities. That is why we have committed to permanently lower business rates for the sector from 2026-27 and announced a hospitality fund to co-invest in projects that boost productivity and help community pubs adapt to local needs. It is also why we have launched an industry-led licensing taskforce to reduce red tape and other barriers.

[Tom Gordon]

I regularly meet the Harrogate business improvement district and the chamber of commerce, and we have a thriving hospitality and tourism sector in Harrogate and Knaresborough. I recently met Alison, a constituent who runs a number of local bars and restaurants, and she is worried that with the increase in employer NICs, rising energy costs and the other pressures that this Government are not getting to grips with, businesses like hers will not be there to see the benefits of business rates reform. What is the Minister doing with Treasury colleagues to support local hospitality?

[Gareth Thomas]

One of the most important measures that will help the hospitality sector is business rates reform. We have set out our commitment to do that, and we are working with all the different parts of the business community, including the hospitality sector, to get our reform proposals right. As I alluded to in a previous answer, we will publish an interim report giving more detail of our thinking on business rates reform, and the Chancellor of the Exchequer will confirm our plans in the Budget later this year.

[Christine Jardine]

I hope the Minister will join me in thanking all the hard-working hospitality staff who are about to have a very busy summer, particularly in Edinburgh West, where they are about to be immersed in the Edinburgh international festival, to which the Minister and the Secretary of State—all the Ministers, in fact—are, of course, invited. We are very hospitable in Edinburgh.

The hospitality industry is worth £198 million to my constituency, but businesses are suffering because of the national insurance changes, and in Scotland we will not benefit from business rates reform. With the national insurance changes and the impacts of Brexit and covid, it is a very uncertain time. What else will the Minister do to help businesses across Scotland that will not have the benefit of business rates reform?

[Gareth Thomas]

I thank the hon. Lady for her kind invitation. It is possible that I will be darkening the door of businesses in her constituency this summer.

We are determined to continue working with hospitality businesses, whether in Scotland or in the rest of the country. As I said in an earlier answer, we have set out plans for a licensing taskforce to look at what else we can do to lower the cost of red tape and regulation. As the hon. Lady rightly says, we are taking measures to reform business rates, and perhaps the Scottish Government might like to follow our example.

[Matt Western (Warwick and Leamington) (Lab)]

In my constituency, Lydia and Frankie both run businesses that employ around 50 individuals. They both have covid loans and energy loans on top of the usual business pressures they suffer. Beyond maintaining the current discount on business rates, may I urge the Government urgently to review business rates reform, which is so desperately needed?

[Gareth Thomas]

I recognise that my hon. Friend is a great champion of businesses in his constituency, and I was pleased to meet one of them when I was there recently. I absolutely recognise the significance of business rates reform. The Chancellor has been very clear that she is committed to business rates reform, and we will set out further detail on our plans in the Budget later this year.

[Euan Stainbank (Falkirk) (Lab)]

Despite public transport linking people from the Braes, Bonnybridge, Bainsford and beyond to Falkirk, the high street has been dwindling over the past 20 years. SNP and Tory councillors decided to cut the “free after 3” parking scheme for Falkirk town centre businesses and further drive footfall away from our high street restaurants, cafés and pubs. In the forthcoming small business strategy, will the Minister consider looking at how this Labour Government can support accessible and cheap parking in Scottish town centres?

[Gareth Thomas]

I very much sympathise with my hon. Friend’s frustration about what both the SNP and the Conservatives have done to free parking in his constituency. I sympathise because the Tory-run council in my constituency has taken similar steps to curtail free parking, which has undoubtedly had an impact on the town centre. I hope that the concerns my hon. Friend has articulated today will be heard loud and clear in his constituency, and that action will be taken. Our SME strategy will set out a range of steps that we are determined to take to back small businesses and help entrepreneurs across Britain.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the Liberal Democrat spokesperson.

[Sarah Olney (Richmond Park) (LD)]

The value that hospitality businesses bring to their local communities goes far beyond their economic contributions: they also provide a vital social value and essential entry-level jobs. Flexible hours and conditions in the sector help those with other responsibilities, such as carers and new parents, to access work, while also offering many young people their first jobs. However, retail and hospitality businesses have been hit hard by tax changes in the October Budget, and they are reporting reduced hours, cancelled investment and closures; there have been nearly 70,000 hospitality job losses just since October. As economic strategies are rolled out, what steps is the Minister taking to ensure that Department for Work and Pensions goals to get people back to work are not being undermined by policies that shrink job opportunities in these sectors?

[Gareth Thomas]

I completely agree with the hon. Lady about the huge importance of hospitality to all our communities and to helping many people who have difficult routes into employment to get their first steps back into a job. One of the steps we have taken is to set up our hospitality fund, working with the great organisation Pub is The Hub, to help landlords to diversify what they offer and drive more footfall into the pub. The fund also supports charities that are working with those furthest away from the jobs market to get into jobs. It is strongly supported by hospitality businesses through the Hospitality Sector Council. As I have said, we have a commitment to a small business strategy and we will set out further measures to help hospitality in that regard.

[Susan Murray (Mid Dunbartonshire) (LD)]

14. What recent assessment his Department has made of trends in the level of operating costs for SMEs.

[Gareth Thomas (Harrow West) (Lab/Co-op)]

Over the past five years, SMEs have faced a challenging operating environment because of the consequences of the Liz Truss Budget, the poorly negotiated trade deal with Europe, covid and increasing global uncertainty. Interest rates have come down four times under this Government, we have negotiated a new trade deal with Europe and, complementing our industrial and trade strategies, we will bring forward an SME strategy to put in place further long-term support to help SMEs start up and expand.

[Susan Murray]

In my constituency and across Scotland, small and medium-sized businesses have taken blow after blow. The Conservatives bungled Brexit, increasing import costs, and energy costs are soaring. Most recently, the hike in national insurance contributions is decimating job opportunities in small and medium-sized businesses. What are the Government doing to support SMEs, which are at the heart of our economic growth, and to get people off benefits and back into work?

[Madam Deputy Speaker]

Order. Shorter answers please, Minister.

[Gareth Thomas]

Yes, Madam Deputy Speaker. I gently say to the hon. Lady that in a recent survey almost three quarters of SME businesses were confident about the future. She is right to challenge us to go further in increasing support for SMEs. One of the ways that we are doing that is by increasing access to finance for SMEs, through the significant expansion in the capacity of the British Business Bank.

[Madam Deputy Speaker]

I call Bill Esterson to ask a short question.

[Bill Esterson (Sefton Central) (Lab)]

SME manufacturers are a key part of the planned renaissance in manufacturing in this country. Some of them are raising concerns about a lack of involvement in the Industrial Strategy Advisory Council. Will the Minister confirm that they are very much involved and have an important role to play in developing the SME strategy that he referred to?

[Gareth Thomas]

Absolutely. We want to hear from businesses up and down the UK, across different sectors, about the practical measures that we can take to support them and their plans to grow and develop. If my hon. Friend has particular examples of businesses that want to make representations, I am sure that we as a ministerial team would want to hear from them.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the Liberal Democrat spokesperson.

[Sarah Olney (Richmond Park) (LD)]

The Liberal Democrats welcome the plans in the recently announced industrial strategy to reduce some of the world’s highest industrial energy prices. However, businesses across the UK, especially in hospitality and on our high streets, are still struggling with unaffordable energy costs. What steps is the Secretary of State taking to ensure that small businesses can benefit from more sustainable pricing? Will he encourage his Cabinet colleagues to consider proposals set out by the Liberal Democrats yesterday to break the link between gas prices and energy costs, which would halve energy bills in a decade, so that people and businesses across the country can enjoy the true benefits of cheap, clean and renewable power?

[Gareth Thomas]

I have to apologise to the hon. Lady, because I have not yet seen the Liberal Democrats’ policy proposals, but I look forward to that treat over the summer. I am grateful to her for backing our plans on energy costs. We are supporting a pilot in the west midlands to help SMEs to reduce their energy costs. It offers full energy audits and funding to implement measures that can bring down energy costs. The scheme seems to be working well, and we have recently extended it.

[Martin Vickers (Brigg and Immingham) (Con)]

T1. If he will make a statement on his departmental responsibilities.

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[Callum Anderson (Buckingham and Bletchley) (Lab)]

T2. The Government’s £500 million investment to support under-represented entrepreneurs was hugely welcomed by business leaders in my constituency, but access to capital is only part of the challenge. Many still face entrenched barriers around networks, mentoring and market access. Will the Minister set out the steps that the Government are taking to ensure that that investment is complemented by wider reforms to break down any structural obstacles to scaling businesses in Milton Keynes and Buckinghamshire?

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

The Government-backed invest in women taskforce is addressing many of these issues through its ecosystem working group, which promotes better access to networks, to support and to procurement opportunities. My hon. Friend is absolutely right, though, to say that we need to go further. The small business strategy will set out a range of further measures in that regard.

[Madam Deputy Speaker (Ms Nusrat Ghani)]

I call the shadow Secretary of State.

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[John Glen (Salisbury) (Con)]

T3. On Monday, Tina McKenzie, the policy chair of the Federation of Small Businesses, said: “For the first time in the history of the Small Business Index more small businesses are predicting they will shrink than expand, meaning that as a country we are potentially facing a very dangerous situation.” I have listened carefully to what the Economic Secretary to the Treasury has said about the concierge service, which I welcome, and have seen the Leeds reforms this week, much of which I welcome. However, will the Minister respond to that stark warning from a very credible source of information?

[Gareth Thomas]

I have a high regard for Tina McKenzie and the Federation of Small Businesses more generally, and we have been working extremely closely with them on thinking through what measures should be in the small business strategy to help businesses start up, scale up and thrive more generally. I gently point the right hon. Gentleman to the slightly more positive picture painted by the fact that the bosses of small and medium-sized enterprises have more confidence. We will continue to talk to the Federation of Small Businesses, and will do so in a lot more detail.

[Gregor Poynton (Livingston) (Lab)]

Does the Secretary of State agree that the UK Labour Government are getting on with the serious business of delivering an industrial strategy that will support jobs in my Livingston constituency? That is in sharp contrast to the failing SNP Government, who have no industrial strategy, no plan for workers, and no plan to support Scotland’s key sectors.

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[Ben Maguire (North Cornwall) (LD)]

T6. My constituents, Mr and Mrs Greathead, supply specialist industrial products to businesses across the UK and Europe. Since Brexit, they have faced many extra layers of difficulty, delays and costs, and they are in the middle of a three-year battle with His Majesty’s Revenue and Customs to ensure that correct tariffs are charged. Will the Minister please look into the barriers that my constituents face when trading with Europe, and ensure that excessive red tape does not hold them back?

[Gareth Thomas]

I sympathise with the hon. Member’s constituents on the difficulties that they face. On the challenges that he says they face with HMRC, he may want to get in contact with my colleague, the Exchequer Secretary to the Treasury, who has responsibility for HMRC.

[Amanda Hack (North West Leicestershire) (Lab)]

At a panel discussion earlier this year, I joined a group of leading women in the hospitality sector, who repeatedly highlighted that the lack of female representation in leadership roles and ownership is a persistent barrier to progress in the sector. What steps is the Minister taking to support women in the hospitality industry into leadership and ownership roles?

[Gareth Thomas]

This is an important issue. The Invest in Women taskforce is looking at some of the very real barriers that women entrepreneurs face, both in hospitality and more generally. Access to finance is one of the challenges that we have heard back about. A fund is being put together to help women entrepreneurs with that, but we need to do more, and our SMEs strategy will set out our plans in that regard.

[John Cooper (Dumfries and Galloway) (Con)]

We have heard this morning that the review of the UK Internal Market Act 2020 somehow tramples on Holyrood, but in fact, the Government say:

“Devolved Governments will have greater flexibility to set rules”.

Is there not a danger that this invites the SNP Government to introduce change for the sake of change, and divergence for the sake of divergence, thus damaging trade right across the country?

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[Bobby Dean (Carshalton and Wallington) (LD)]

We have just had our fifth consecutive month of job losses announced, and research shows that as many as 17% of companies are considering redundancies. What is the Government’s analysis of why this is happening?

[Gareth Thomas]

I gently say to the hon. Gentleman that we have had four interest rate cuts, almost 400,000 jobs have been created, our industrial strategy has been hugely welcomed, and we have had three deals, so it is perhaps not a surprise that recent surveys point to a nine-year high in business confidence.