Oral Answers to Questions

Greg Clark Excerpts

Tuesday 11th June 2019 Commons Chamber

[Glyn Davies (Montgomeryshire) (Con)]

13. What recent steps his Department has taken to support the development of electric vehicles.

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

In May I announced an additional £28 million, from the £250 million Faraday challenge, for the UK Battery Industrialisation Centre, where industry will test next generation world-leading technologies.

[Antoinette Sandbach]

Does the Secretary of State agree that for electric vehicles to thrive additional capacity will be required, and that energy efficiency measures to bring every home to an energy performance certificate C standard are vital in delivering that, as they will reduce energy consumption by 25% and free that capacity for electric vehicle use?

[Greg Clark]

I completely agree with my hon. Friend. She is right to point out the connections between our energy systems and the future of mobility in how we drive cars. That is why the industrial strategy sets up both as grand challenges and why the Faraday Challenge addresses both of them.

[Glyn Davies]

The Welsh Government are also promoting the development of electric vehicles, including the associated network of electric charging points. What steps is the Secretary of State taking to ensure liaison across the border between England and Wales to deliver the best possible distribution of electric vehicle charging points?

[Greg Clark]

My hon. Friend makes an excellent point. It is clear that if drivers are to have the confidence that they will be able to charge their vehicles, every part of the United Kingdom needs to be a part of that. My hon. Friends and I have regular discussions with the Welsh Government, and the roll-out of the charging network is in all parts of the United Kingdom.

[Alison McGovern (Wirral South) (Lab)]

The Secretary of State knows that many of my constituents work in the automotive industry and how serious the situation is with Brexit. Constituents are writing to me to ask why there are so few charging points in the Wirral. This is a huge issue. Will he do something that this Government really have control over and take action now on the business rates impact on the automotive industry, so we can at last have some positive news for the automotive industry in Britain?

[Greg Clark]

I think the hon. Lady knows that I have regular discussions with Vauxhall and its owner PSA. In fact, PSA has invested very substantially. One of its most recent major investments in Europe was to strengthen the Luton plant with the next generation of technology. We talked to it about investment in Ellesmere Port, which she knows is important.

In terms of charging points, we have one of the best charging networks in Europe, but we need to expand it further. As the hon. Lady knows, through the automotive sector deal we have a very close relationship with the industry and work jointly with it.

[Chris Elmore (Ogmore) (Lab)]

May I press the Secretary of State on yesterday’s statement from the Secretary of State for Wales in relation to Ford? There is capacity in the Bridgend plant and it would be a very good way to keep it open. Will he work with the Welsh Government to ensure that electric batteries can be constructed at Ford, to help to keep the jobs in and around my community?

[Greg Clark]

The hon. Gentleman makes an excellent point. I am delighted he was in the discussion that we had yesterday and that he will serve on the taskforce that has been established. The quality of the workforce, its facilities and connections represent a fantastic opportunity for new investment, whether by Ford or by others in the automotive sector. We work very closely to bring in those investments.

[Richard Harrington (Watford) (Con)]

I commend the Secretary of State and the Department for the Faraday challenge and the development of battery technology. However, does he agree that to have successful battery technology in the UK we need a successful automotive manufacturing sector, and that to do that we need a very close relationship with the EU for frictionless trade and everything that goes with it?

[Greg Clark]

My hon. Friend is right. In his time, he worked very hard to secure some of the investments that have been made. The automotive industry, along with many others, has always been clear that the strengths of the UK are at least in part drawn from our ability to export and import components very flexibly without delay. It is vital that that should continue.

[Alan Brown (Kilmarnock and Loudoun) (SNP)]

Sales of electric cars in the UK in 2018 hovered at just 2.7%. In Norway, they rose to 31.2%, up from 20.8% in 2017. What lessons can the UK learn from a successful, driven, small independent country?

[Greg Clark]

The take-up of electric vehicles is growing very quickly in this country. The investment that we are making in the charging network, with 17,000 public charging points, is a very important contribution to that. In the weeks ahead, the hon. Gentleman will see further announcements on how we can accelerate the deployment of charging technology.

[Mark Pawsey (Rugby) (Con)]

I wonder whether the Secretary of State has received his invitation to the reveal of Lotus’s new electric hypercar on 16 July. It is the world’s first electric hypercar—designed, engineered and built in Britain. In a week when the motor industry has had some difficult news, does he agree that this is a great shot in the arm for the UK motor industry?

[Greg Clark]

It is indeed a great shot in the arm and I hope that I will see my hon. Friend there to celebrate it. It is fair to reflect that this is a difficult, challenging time for the automotive industry around the world, but through the decisions that we took in the industrial strategy to emphasise battery electric vehicles and the new technology, and connected and autonomous vehicles, we have made the right judgment about how to attract the jobs and companies that will be expanding in the future.

[Mr Gregory Campbell (East Londonderry) (DUP)]

Given the ongoing problems in recent years regarding the UK automotive sector and the ongoing problems affecting Tesla, is there not an opportunity for the Minister and the Government to approach Tesla and the UK automotive industry to see whether some acquisition could be arrived at to produce electric cars in this country?

[Greg Clark]

We have many discussions. Just a few days ago, I had a major potential investor in battery technology in my office to discuss a potential investment. Through the Automotive Council, we work very closely with the sector, and the national battery manufacturing centre is a collaboration between the players in the industry that gives them confidence to be able to invest for the future in the UK.

[Mr Philip Hollobone (Kettering) (Con)]

It is UK Government policy to end the sale of new diesel and petrol cars by 2040, but do we really have to wait 21 years to achieve that objective?

[Greg Clark]

It is important that we have a realistic move to the new fleet that we need. The targets were adopted in consultation with the industry. A lot of the capital investment needs to take place over a substantial period of time, and I would not want a situation in which we lost jobs and opportunities by setting a target that was not deliverable and feasible for manufacturers.

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

Might I begin by expressing my support for the efforts of my hon. Friend the Member for Leeds West (Rachel Reeves) in bringing forward her Bill today to legislate for net zero emissions by 2050? To achieve that, supporting our automotive industry will be vital, but Ford had warned that leaving the EU would add hundreds of millions to its costs, and after the vote, it said that it was considering closing plants. This warning has come to pass. Ford is now saying that another 6,000 jobs could be at risk in the event of no deal, which is particularly concerning now that it looks likely that the next PM will actively pursue it. What direct support has the Secretary of State offered Ford to reverse its decision, and has he considered the impact of a no deal on manufacturing when deciding who to back as the next Prime Minister?

[Greg Clark]

We have led the world and the cross-party consensus across the House on our move to net zero. The hon. Lady will know that just this week, the International Energy Agency described the Government’s efforts as

“an inspiration for many countries who seek to design effective decarbonisation frameworks.”

When it comes to Ford and the automotive sector, she is right that companies in the sector have been crystal clear that we need to leave the European Union with a deal that allows us to continue to trade without frictions so that we are able to grasp the opportunities that we will have in the future. All my efforts are directed at securing that deal.

[Rebecca Long Bailey]

I actually asked about what support had been offered to Ford. Last night I spoke to a Bridgend councillor, who said

“We don’t need taskforces, commissions or working groups, we desperately need investment in Bridgend now.”

Sadly, it is not looking like any of the candidates for PM will support our car industry going forward. One thinks he knows more about car manufacturing than the boss of Jaguar Land Rover. Another said that there will be a stronger manufacturing base if we leave. Another denies that Nissan’s decision to pull the X-Trail was about Brexit, despite the company highlighting uncertainty; and the one who is allegedly the most reasonable has said that he is prepared to leave without a deal if there is a straight choice. Is it not the truth that whoever takes over as PM will drive manufacturing into the ground with their reckless approach to Brexit and that the Secretary of State’s legacy will sadly be decimated industries across our country?

[Greg Clark]

If the hon. Lady talks to people in the sector, she will know that the work we do with all companies in the sector is well respected and well regarded, whether that is the Faraday challenge or the support for individual companies such as we have seen in recent years. That support is available to Ford just as it is to any company working in the sector. As part of the work we are doing with the Welsh Government, we will attract a new investor to make use of those facilities and keep jobs for the future.

In terms of the relationship with the European Union, most, if not all, automotive suppliers want to see us reach a deal. That is my view, and I hope it is the hon. Lady’s view. In fairness, they have also said that the deal negotiated by the Prime Minister should have been approved. It is therefore of regret to me that that advice was not followed.

[Mr John Whittingdale (Maldon) (Con)]

2. What steps he is taking to increase protections for intellectual property.

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[Dr Philippa Whitford (Central Ayrshire) (SNP)]

10. What recent discussions he has had with the Chancellor of the Exchequer on fiscal support for businesses in Scotland preparing for the UK leaving the EU.

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

The UK Government have provided the Scottish Government with almost £100 million to prepare for EU exit, alongside funding to support businesses with training and IT improvements. As we have heard in this question session, we have also supported businesses in Scotland through the city deals programme, including over £100 million for the Ayrshire growth deal in the hon. Lady’s constituency, which I know she welcomes.

[Dr Whitford]

I do welcome that, but an Ernst & Young report shows that, although 74% of Scottish firms have taken steps to get ready for Brexit, only 8% feel fully prepared. As 30% of manufactured goods go to the EU, will the Secretary of State accept the Institute of Directors’ call for £750 million to provide a Brexit advice service for small firms?

[Greg Clark]

I work closely with the Institute of Directors and other business organisations to make sure that information is available to their members and others. We will continue to do that over the months ahead, but it remains my ambition that we should have a deal that allows us to continue the successful trade that the hon. Lady mentions.

[Mr Edward Vaizey (Wantage) (Con)]

Hear, hear! Well said.

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[Derek Thomas (St Ives) (Con)]

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

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

Since our previous questions, we have launched the west midlands local industrial strategy in Coventry, building on the region’s reputation for excellence in low-emissions vehicles, with further funding for the UK Battery Industrialisation Centre. Shortly after the recommendation by the Committee on Climate Change that we legislate to reach net zero emissions by 2050, Britain enjoyed its first ever coal-free fortnight since the industrial revolution. We will make our response to the committee’s report shortly to reaffirm our commitment to leadership in this important endeavour.

[Derek Thomas]

Most of us have hospitals, schools, council buildings and police stations in our constituencies. What more can the Government do to encourage the use of renewable energy in those buildings?

[Greg Clark]

My hon. Friend makes an excellent point on behalf of one of the sunnier parts of the country. The public sector energy efficiency loans scheme is open to public bodies so that they are able to invest in just that technology. I will ensure that he has the full details of that scheme, which might also interest the hon. Member for Ynys Môn (Albert Owen), given his question.

[Matthew Pennycook (Greenwich and Woolwich) (Lab)]

T4. The International Development Secretary recently said that he wants to double the UK’s current £1.1 billion commitment to the UN green climate fund. As the UK is yet to do so, will the Minister who has temporary responsibility for our engagement with the UN climate talks assure us today that it is the Government’s intention to commit additional money to the fund?

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[Julian Sturdy (York Outer) (Con)]

T6. York Instruments, based in my constituency, is doing ground-breaking work developing advanced medical devices, attracting £10 million of private investment from the US to sustain 41 high-skilled jobs. Can the Government assure me that they are doing everything possible to facilitate this kind of investment, which can be very difficult for some small businesses to navigate?

[Greg Clark]

I can indeed, and I commend my hon. Friend for bringing this matter to the attention of the House. The life sciences sector deal has provided a means for investment to take place right across the sector. In fact, that deal has been so successful that we are on the second version of it, and further investments will be announced shortly.

[Ruth George (High Peak) (Lab)]

What has the Department done to monitor the growth of short-hours contracts in supermarkets, which have led 76% of USDAW members on low pay to rely on unsecured loans to pay everyday bills, with 63% believing that financial worries are affecting their mental health? Will the Secretary of State meet USDAW to discuss its recent survey in detail?

[Kevin Hollinrake (Thirsk and Malton) (Con)]

At the last BEIS questions, my right hon. Friend the Business Secretary gave a positive response to my suggestion of a wide-scale roll-out of solar on every public sector building—every school, hospital and prison. Is he interested in taking that proposal forward?

[Greg Clark]

I am indeed. I set out to my hon. Friend a means by which that can be financed. In our response to the Climate Change Committee’s report, we will be setting out further measures that we can take to accelerate our decarbonisation.

[Jim Shannon (Strangford) (DUP)]

Will the Minister outline what steps her Department has taken to ensure that free ATM services are retained in rural areas?

[Bim Afolami (Hitchin and Harpenden) (Con)]

The Secretary of State knows that Rothamsted Research in Harpenden does amazing work in agricultural science. Many people at Rothamsted have expressed to me their concern about the nature and the amount of science funding after we leave the European Union. Will the Secretary of State give me an update as to where we have got to on that as a Government?

[Greg Clark]

I completely recognise the excellence at Rothamsted, of which my hon. Friend is a great champion. One of the advantages of concluding a deal with the rest of the European Union is that we will be able to continue to participate in science projects that are of disproportionate benefit to the UK.

[Jenny Chapman (Darlington) (Lab)]

Yesterday, I spoke to the chief executive of Arcadia Group about the Top Shop, Top Man and Dorothy Perkins stores in Darlington. Tomorrow, there is a CVA—company voluntary arrangement —meeting where we could see the loss of 18,000 jobs nationwide. I know that the Government cannot intervene in the process, but what are they going to do to protect communities who could be affected by this decision?

[Mr Edward Vaizey (Wantage) (Con)]

A small amount of funding would unlock the growth of Harwell campus in my constituency via the Nuclear Decommissioning Authority. Will the Secretary of State, who knows Harwell campus well, meet me and the NDA there to discuss how we can get on and build Greg Clark Park and Theresa May Way, and drive this successful science campus to help growth post Brexit?

[Greg Clark]

I have no aspirations to such recognition, but I am very happy to meet my right hon. Friend to discuss the further opportunities for what is one of the foremost innovation campuses in the whole world.

[Alison Thewliss (Glasgow Central) (SNP)]

The Scottish Government’s consultation on fireworks closed last month, having received 16,000 responses. Can the Minister update us on the UK Government’s action on fireworks, and can she guarantee that my constituents in Pollokshields will not have to suffer as they did last November?

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[Melanie Onn (Great Grimsby) (Lab)]

The loss of Novartis from the South Humber bank will lead to 400 job losses. Will the Secretary of State appoint one of his Ministers to a taskforce, to find a new buyer for the site?

[Greg Clark]

As the hon. Lady knows, I am always keen to ensure that we take every step we can to preserve the continuity of skilled people, and I would be happy to do that.

[Tom Pursglove (Corby) (Con)]

The excellent new Minister has been a strong supporter of the new UK steel charter. Will he update the House on the progress he has made in getting it adopted across Government?

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[Gareth Snell (Stoke-on-Trent Central) (Lab/Co-op)]

The Secretary of State is no doubt waiting for the new Prime Minister to authorise him to announce the UK ceramic sector deal. While that is being worked out, what conversations is he having with the Department for International Trade about supporting the anti-dumping measures that are currently being considered in Europe?

[Greg Clark]

As the hon. Gentleman knows, I am a strong supporter of the proposed sector deal, and in the draft tariff schedule that was published particular attention was given to the strong representations of the ceramics industry.

[Stella Creasy (Walthamstow) (Lab/Co-op)]

I have been inundated with complaints from local residents about a second-hand car sales company in my community that variously goes by the names BD Trade Sales, Leabridge Motors, Diamond Motors and many more. Members may be aware of its work from programmes such as “Rogue Traders”, “Don’t Get Done, Get Dom”, “Watchdog” and “The Sheriffs Are Coming”. Despite the evidence about how it is ripping off consumers, the council, trading standards and the police have not been able to stop it. Will the Minister meet me to talk about what we can do to hold these phoenix companies to account, so that we get dodgy cars off the roads and get consumers a better deal?

[Anna Soubry (Broxtowe) (Change UK)]

The Secretary of State has quite properly described a no-deal Brexit as “a disaster” for British business. Will he commit to continuing to do everything he can to prevent a no-deal Brexit, whoever the Conservative party choose as our next Prime Minister?

[Greg Clark]

I strongly believe that it is very much in our interests to have a deal that allows us to continue to trade with the rest of the European Union. The voices in countless industries could not be clearer that they depend for their prosperity on that, and I will do everything I can to represent that view in Government in the interests of the livelihoods of millions of people right across the country.