Oral Answers to Questions

Greg Clark Excerpts

Tuesday 20th November 2018 Commons Chamber

[Trudy Harrison (Copeland) (Con)]

2. What steps he is taking to secure the future of nuclear power in the UK.

[The Secretary of State for Business, Energy and Industrial Strategy (Greg Clark)]

The Government believe that nuclear power has an important role to play in our energy system as part of a diverse range of low-carbon technologies. Our intent is clearly visible in the form of Hinkley Point C—the first new nuclear power station to be built in this country in a generation—as well as in the launch in June of our landmark nuclear sector deal at Trawsfynydd.

[Trudy Harrison]

I thank the Secretary of State for his response. It is reassuring to me to understand this Government’s commitment to new nuclear, but with Toshiba’s recent decision to wind down NuGen, can he assure me that he will meet any developer who is interested in building their reactors at Moorside in Copeland?

[Greg Clark]

I can indeed give that assurance to my hon. Friend, who is a great champion of one of the bastions of skills and innovation in the nuclear sector in this country. The circumstances behind Toshiba’s wind-down of NuGen are well known—it was because of the move to chapter 11 bankruptcy of its subsidiary—but that site is now available for other investors.

[Luke Pollard (Plymouth, Sutton and Devonport) (Lab/Co-op)]

The future of nuclear power is not just about building reactors; it is about having people with the skills to work in those reactors as well. As we have a skills gap in defence nuclear, can the Secretary of State set out what actions the Government are taking to support the growth of nuclear skills in both defence nuclear and civil nuclear?

[Greg Clark]

I am delighted that the hon. Gentleman takes such an interest in this. He will know that the nuclear sector deal provides for training, new institutions and new apprenticeship and scholarship opportunities for nuclear engineers in both the civil and defence sectors. This is all part of an agreement across the industry with Government to ensure that the next generation of nuclear power is supported by new-generation nuclear engineers and technicians.

[John Stevenson (Carlisle) (Con)]

The Government were very keen to emphasise that the Toshiba-Korea Electric Power Corporation negotiations over NuGen were a commercial matter. If the Chinese nuclear company CGN—China General Nuclear Power Group—agrees to develop Moorside on a commercial basis, with no Government subsidy, would the Government support it?

[Greg Clark]

As my hon. Friend knows, in each case the proposals are developer-led, so it is for proponents to come forward. As I have said to our hon. Friend the Member for Copeland (Trudy Harrison), I am very happy, with my officials, to meet anyone who has an interest in doing so.

[Meg Hillier (Hackney South and Shoreditch) (Lab/Co-op)]

The demise of Moorside and NuGen underlines how the Government’s nuclear policy hinges on overseas investment, particularly from energy companies that are owned wholly by other states. Is the Secretary of State having a really good look at the other planned nuclear power stations to make sure that there will be enough nuclear power to maintain energy integrity in the UK in future?

[Greg Clark]

The answer is yes. I am grateful to the hon. Lady’s Public Accounts Committee for examining the model for financing nuclear new build. With her colleagues, she has made some helpful suggestions, which she knows we are committed to taking forward to see whether they can be viable.

[Stewart Malcolm McDonald (Glasgow South) (SNP)]

3. What steps he is taking to remind employers of their obligation to pay the national minimum wage.

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[Victoria Prentis (Banbury) (Con)]

15. What progress he has made on meeting the Government’s ambition to make the UK the best place in the world to start and grow a business.

[The Secretary of State for Business, Energy and Industrial Strategy (Greg Clark)]

Our business environment is among the best in the world for small businesses. We have 16.3 million people employed in small businesses and the British Business Bank is supporting small businesses with over £5.5 billion of finance—and colleagues on all sides of the House will wish to support small business Saturday on 1 December.

[Mrs Murray]

Earlier this year, Ideal Foods, a small business in my constituency, celebrated a huge milestone when it achieved a turnover of £10 million in just one year. Another business, the Cornish Cheese Company, has just been awarded the super gold award for its Cornish blue cheese. Does my right hon. Friend agree that these are shining examples of the importance of embracing global trade after we leave the European Union?

[Greg Clark]

I do indeed, and I congratulate Ideal Foods and the Cornish Cheese Company. Perhaps I can add one of my own: Cornish Charcuterie, based just outside Bude, is one of my favourites, and I know that it has many satisfied customers across the UK and Europe, and increasingly around the world. This shows that, of all the manifold assets that Cornwall has, its food and indeed its drink are something to boast about.

[Rachel Maclean]

More than 355 new businesses have been started up in my constituency since 2010. Many of them are microbusinesses with only one or two employees, and their needs are very different from those of the larger small and medium-sized businesses. What additional support can the Department give to those microbusinesses to help them to thrive?

[Greg Clark]

My hon. Friend is absolutely right to suggest that microbusinesses, and indeed start-ups, sometimes face challenges in accessing finance. The British Business Bank has a programme to focus on microbusinesses. Start-up loans, from which 44 businesses in her constituency have benefited, are also important.

[Victoria Prentis]

Late payments are a real problem for small businesses. What steps is the Secretary of State taking to tackle that?

[Greg Clark]

My hon. Friend is absolutely right, and she will know that we are taking steps to reinforce in statute some of the measures that have been good practice across the industry. Indeed, the small business commissioner has been appointed to the prompt payment code compliance board to help with that.

[Bridget Phillipson (Houghton and Sunderland South) (Lab)]

Does the Secretary of State truly believe that what has been negotiated with the European Union will be better for jobs and business than the deal we have now?

[Greg Clark]

If the hon. Lady was at the CBI conference yesterday, and if she has read the responses from businesses small and large up and down the country, she will know that they are very clear that this deal will help to create the confidence that will allow investment to be made and jobs to be created and preserved across the country.

[Neil Gray (Airdrie and Shotts) (SNP)]

The small businesses and manufacturers in my constituency are telling me that their biggest challenge right now is recruiting skilled labour. That challenge is set to get worse for them as we approach Brexit. Will the Secretary of State explain to them how stopping freedom of movement is going to help them with access to skilled labour for their manufacturing and their research and development?

[Greg Clark]

One of the reasons why companies up and down the country sometimes find it a struggle to recruit people is that we have such a low level of unemployment in this country. I would have thought that the hon. Gentleman would recognise that. He knows that one of the benefits of leaving the European Union is that our migration policy will be set in this country according to the needs of our economy—so it’s over to us.

[Bill Esterson (Sefton Central) (Lab)]

The Prime Minister’s botched Brexit deal creates uncertainty for business. The lack of any commitment to permanent customs arrangements means that there is no guarantee of tariff-free, frictionless trade. Frankly, I am amazed that any Business Secretary would put their name to this deal. Without any commitments to frictionless trade, how can the Government claim to be helping business?

[Greg Clark]

I do not know whether the hon. Gentleman has read the proposed agreement, but business leaders certainly have, and they have been warmly supportive of it. There are good reasons for that. One of the things that businesses have asked for is a transition period leading up to an agreement that we should be able to trade without tariffs, without quotas and without frictions. This agreement provides for that, which is one reason why it has been endorsed by businesses up and down the country.

[Several hon. Members rose—]

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[Theresa Villiers (Chipping Barnet) (Con)]

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

[The Secretary of State for Business, Energy and Industrial Strategy (Greg Clark)]

The recent Budget confirmed our unwavering commitment to the technologies of the future. We have set up a national quantum computing centre and five new technology centres in Leeds, Oxford, Coventry, Glasgow and London. At the national level, the Prime Minister joined the first meeting of the Industrial Strategy Council. Internationally, I travelled to Japan to discuss how we can work together on our industrial strategy.

[Theresa Villiers]

Has any estimate been made of the number of businesses on local high streets that can benefit from the business rate cut announced in the Budget, including businesses in my constituency of Chipping Barnet?

[Greg Clark]

My right hon. Friend will be aware that up to 90% of retail properties in England could be eligible, and I understand that up to around 3,000 properties in her borough could qualify for the relief made available in the Budget.

[Rebecca Long Bailey (Salford and Eccles) (Lab)]

Brexit cannot result in a race to the bottom for workers’ rights and protections but, sadly, the EU withdrawal agreement does not guarantee that it will not. Thompsons Solicitors says that the non-regression clause will be “ineffective” and the Institute for Public Policy Research states that it is

“not sufficient to maintain current protections”.

Individuals will not even be able to bring about proceedings, and if the EU raises standards, the UK is permitted simply to fall behind. When the Secretary of State called stakeholders after agreeing the deal last week, were trade unions on that call? Will he confirm exactly how he intends to maintain current standards and enforceability and to prevent Britain from falling behind the EU’s standards?

[Greg Clark]

I note that the hon. Lady dismissed the withdrawal agreement on the airwaves before she had even read it, so it does not surprise me that her question is so misplaced. As for the trade unions, I met Frances O’Grady, the general secretary of the TUC, to discuss the provisions of the agreement in person. When it comes to our record of protecting employees’ rights, the hon. Lady should have more confidence in this country and in this House. We are perfectly capable. We have been leaders in protecting and promoting workplace rights for many generations. We do not need to be required to do so by the European Union; this House can do that itself.

[Rebecca Long Bailey]

The trade unions were not on that call, which is telling. However, many workers are being treated shamefully even before we leave the EU. There is a bank branch where male workers were expected to urinate in a bucket, and cleaners and security staff are on poverty wages with few rights and protections. The first case was highlighted by Unite yesterday, but the second can be found in the Government’s own Departments under the watch of this Secretary of State, who is responsible for employment rights and protections. Given that the Taylor review was published nearly 500 days ago and yet we still have no update on Government policy and that two months have passed without action since I wrote to the Secretary of State about the treatment of his own staff, how can we trust him to protect workers in the UK now, let alone stop a race to the bottom?

[Greg Clark]

We value highly the colleagues in our Department and across Government who do important work in public service, and I have made a commitment that we will always treat them well, including on pay and conditions. I am glad that the hon. Lady is looking forward with anticipation to the publication of the response to the Taylor review. It was a landmark report to which this Government committed, and I look forward to her endorsing this Government when we enact Taylor’s recommendations in the weeks ahead.

[Giles Watling (Clacton) (Con)]

T3. I have recently had the honour of visiting many of our businesses in Clacton. Some of them are searching for business overseas, but they remain concerned about Brexit. What can my right hon. Friend do or say to reassure them?

[Greg Clark]

Businesses up and down the country have been very clear: they want an agreement; they want a deal so that they have the certainty to be able to make investments; they want a transition period so that they are able to make the necessary adjustments; and they want frictionless trade. The proposed deal comprises all those qualities, which is why it has had such a warm endorsement. It will give businesses in my hon. Friend’s constituency and elsewhere the confidence to invest.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

T2. Which?, the consumer champion, points out that large suppliers need to install 30 smart meters a minute every day for the next two years to meet the Government’s 2020 roll-out target. How does the Minister think this is going?

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[James Frith (Bury North) (Lab)]

T7. After the capital shortfall warnings issued by Interserve this week, what assurances can the Secretary of State give the House that Interserve will not go the way of Carillion? Will he commit to press Interserve to make sure that subcontractors are paid up to date and are not at risk of carrying the can for another outsourcing collapse?

[Greg Clark]

As I said in response to an earlier question, prompt payment is very important for businesses large and small, and supply chains rely on that. My colleagues across the Government and in the Cabinet Office have close relationships with all the suppliers to the Government so that we can be aware of the prospects, and we have nothing further to report.

[Andrew Bowie (West Aberdeenshire and Kincardine) (Con)]

The Under-Secretary of State for Business, Energy and Industrial Strategy, my hon. Friend the Member for Watford (Richard Harrington), has given us a welcome update on progress on the tourism sector deal, and I was wondering whether we could get a similar update on the oil and gas sector deal.

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[Dominic Raab (Esher and Walton) (Con)]

I welcome my right hon. Friend the Secretary of State’s Green Paper “Modernising consumer markets”. When is a Government response expected? Does he agree that, from mobile phone bills to foreign currency exchange, we should use transparency and competition to end consumer rip-offs?

[Greg Clark]

I agree with my right hon. Friend and I welcome his distinguished contribution to that consultation. We will be responding during the weeks ahead. It is very important that we build on our tradition of being one of the most open markets in the world, in which incumbents should not be protected from competition.

[Melanie Onn (Great Grimsby) (Lab)]

T9. The Minister for Energy and Clean Growth mentioned that it is Offshore Wind Week this week, and her comments will be welcome news. What are the Government doing to increase local employment opportunities in this very innovative sector?

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[Greg Clark]

I am familiar with Immingham from numerous dealings with my hon. Friend. It is a very enterprising port that is already doing well, but I am happy to meet him to explore further possibilities.

[Several hon. Members rose—]

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[Dan Jarvis (Barnsley Central) (Lab)]

It was good to see the Secretary of State in South Yorkshire, where we have a strong advanced manufacturing offer. Will he continue to work with us in future?

[Greg Clark]

I certainly will. It was a delight to be with the hon. Gentleman and others to celebrate the opening of Boeing’s first European manufacturing facility. It is in South Yorkshire because there is a thriving hub of advanced manufacturing there. The industrial strategy is all about reinforcing that.

[James Cartlidge (South Suffolk) (Con)]

I welcome the tax on tech giants that was announced at the Budget, but will my right hon. Friend liaise with the Chancellor to ensure that it does not have a wider detrimental impact on investment in our tech start-ups?

[Greg Clark]

I will indeed. It is important that the tech sector maintains the progress that it has made in recent years, and I will do everything I can, with the Chancellor, to secure that.

[Lisa Nandy (Wigan) (Lab)]

For 134 years, Wigan Crown post office has been the anchor of our high street and the beating heart of our community. It survived two world wars and one global financial crash; why can it not survive eight years of Tory Government?