Oral Answers to Questions

Greg Clark Excerpts

Tuesday 16th July 2019 Commons Chamber

[Peter Heaton-Jones (North Devon) (Con)]

1. What plans he has to establish a tourism sector deal under the Industrial Strategy.

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

This summer we should recognise the vital role that visitors play in the UK economy—particularly, I might say, overseas sporting visitors. Overseas visitors spent nearly £150 million in Devon last year, supporting jobs and growth throughout the county. Our new sector deal with the tourism industry was published last month, and includes commitments to an additional 10,000 apprenticeships annually and an extra 130,000 hotel rooms.

[Peter Heaton-Jones]

As the Secretary of State will know, the best place to visit as a tourist is, of course, North Devon. I welcome the publication of the tourism sector deal, but will he look favourably on the granting of tourism zone status to my constituency? Will he also join me in thanking all those who work so hard at this time of year in the tourism and hospitality industries, especially the North Devon Marketing Bureau, which does such good work in ensuring that people know that North Devon is the place to come to?

[Mr Speaker]

Including the Woolacombe Bay Hotel.

[Greg Clark]

That is a great endorsement, Mr Speaker.

I certainly join my hon. Friend in recognising that what is a time for holidays for many people is a time of intense work for people in the hospitality and tourism industries throughout the country. I also recognise North Devon’s bid to become one of the tourism zones. As my hon. Friend knows, the sector deal includes an investment of more than £26 million in the English coastal path, one of the most beautiful and popular attractions in his very beautiful constituency.

[Tim Farron (Westmorland and Lonsdale) (LD)]

20. Given that 20,000 non-UK staff work in tourism in the Lake District, there is a desperate need for home-grown talent, whether we leave the EU or not. However, the Government have watered down the already delayed catering and hospitality T-level, which no longer includes hospitality. Will the Secretary of State undo that backwards move, and fast-track a catering and hospitality T-level to next year?

[Greg Clark]

If the hon. Gentleman looks at the sector deal, he will see a great commitment to the development of careers in the hospitality industry, including 30,000 apprenticeships a year. The new T-levels have been developed in conjunction with the sector. I hope the hon. Gentleman will acknowledge that that is a great step forward, and that they will be available as a result of the commitment that has been made.

[Steve Double (St Austell and Newquay) (Con)]

I am tempted to say that the best thing about Devon is that it is the place that one drives through on the way to Cornwall, which has again been recognised as the UK’s best and favourite holiday destination. I welcome the announcement of the tourism sector deal, but more than 50% of international tourists visit only London. What extra help can the Government give to get more of them out of London, and into places like Cornwall?

[Greg Clark]

I am fearful that I shall find myself in an invidious position, given the competing claims of west country Members. All I will say is that, on this day of the 50th anniversary of the moon mission, my hon. Friend will know that Newquay’s unique claim to be in pole position for a UK spaceport adds to the already considerable attractions of his constituency.

[Bill Esterson (Sefton Central) (Lab)]

During last week’s Westminster Hall debate, the Under-Secretary of State for Business, Energy and Industrial Strategy, the hon. Member for Rochester and Strood (Kelly Tolhurst), was enthusiastic when she told us that Amazon was leading the retail task group. I dread to think who the Secretary of State might have in mind for tourism—Airbnb, perhaps?

It is Labour that is standing up for the crucial sectors in our economy, not the likes of Amazon, with its exploitation of workers and undercutting of other businesses, not to mention its sweetheart tax agreements. When will the Government stop the gimmicks, and deliver not only hospitality deals but the retail deals that are so badly needed by those vital sectors of the economy?

[Greg Clark]

That is a strange point for the hon. Gentleman to make, given that our tourism sector deal—the subject of this question—has been hailed by the industry as a pivotal moment for it. Of course it is right to engage with all retailers of all sizes, but colleagues who represent rural communities will know that the outlets, national and international, that web-based platforms such as Amazon give to small rural businesses are very important to retailing. It is vital for that perspective to be part of the deal.

[Anna McMorrin (Cardiff North) (Lab)]

2. What steps he is taking to ensure a smooth transition to a zero-carbon economy.

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

3. What recent steps his Department has taken to protect consumers.

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

In June, the Government announced steps to ensure that consumers will not be punished for their loyalty. We are giving increased powers to the Competition and Markets Authority to fine companies that breach the law and to enable consumers to take control of the data that businesses hold on them.

[Kevin Hollinrake]

Mr Speaker, when you stay at the Woolacombe Bay Hotel, you may be paying 20% too much, because online agencies such as Booking.com use brandjacking clauses to colonise search results, and rate parity clauses, which mean that even if you go direct, you still pay 20% more than you need to. Other EU nations have banned this. Will we?

[Greg Clark]

My hon. Friend is absolutely right to raise that point. The Competition and Markets Authority is taking enforcement action against the major hotel booking sites precisely because of those concerns. It has already secured binding commitments from those companies, which will protect consumers in exactly the way that he recommends.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

Why can we not protect consumers from having their goods delivered by companies such as Amazon in filthy, dirty, polluting vehicles? Why will the Secretary of State not step in and do something about that?

[Greg Clark]

We have already had exchanges across the Chamber on the move to electric vehicles. The investments of recent days are moving us towards a clean and green fleet. With his industrial interests, I know that the hon. Gentleman welcomes that.

[Mr Speaker]

Pithiness personified: I call Mr Philip Hollobone.

[Mr Philip Hollobone (Kettering) (Con)]

Is not the best way to protect value, service and price for consumers through the promotion of competition?

[Greg Clark]

I completely agree with my hon. Friend.

[Conor McGinn (St Helens North) (Lab)]

Consumers can sign up to long-term financial commitments for broadband, television and mobile phone services by clicking a few buttons online, but to cancel those services they have to fill out arduous forms, make numerous phone calls or even write to the companies involved. Will the Secretary of State look at that anomaly, to ensure fairness, and to provide the same mechanism for getting and stopping?

[Greg Clark]

For precisely those reasons, the issue is already being looked at by the Competition and Markets Authority. It is important that people are not penalised and do not find it difficult to extract themselves from commitments that are easily entered into. There needs to be fairness and transparency, and that is precisely what the CMA is engaged in.

[Chuka Umunna (Streatham) (LD)]

4. What assessment he has made of the effect of two-factor payment authentication on (a) consumers and (b) businesses.

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[Justin Madders (Ellesmere Port and Neston) (Lab)]

12. What steps he plans to take to support the UK automotive sector in the event that the UK leaves the EU without a deal.

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

The industrial strategy chose to invest to make Britain a leading location for the next generation of vehicles, irrespective of Brexit. This month, we have worked with Jaguar Land Rover to secure the electric XJ at Castle Bromwich. Last week, I launched the new electric Mini, to be built in Oxford. Immediately after these questions, I am unveiling Lotus’s Evija, the UK’s first all-electric hypercar, made in Norfolk. I am determined that Britain’s automotive strength will flourish through the next generation of vehicles.

[Justin Madders]

As the Secretary of State knows, Vauxhall Motors in Ellesmere Port has a future if we can avoid a no-deal Brexit. In recent weeks, members of the Government have been falling over themselves to endorse a no-deal Brexit, despite the damage that will do to the automotive sector. Will he not put his own job ahead of those of my constituents—will he rule out a no-deal Brexit today?

[Greg Clark]

I am sure the hon. Gentleman welcomes the commitment given by Vauxhall’s owners to invest in Ellesmere Port, but he is absolutely right that they have said that that depends on a successful resolution of Brexit that means Vauxhall can continue to trade without tariffs and friction with the rest of the European Union. That reinforces how vital it is to secure such a deal.

[Nicky Morgan (Loughborough) (Con)]

13. What steps the Government are taking to help improve the viability of fuel cell manufacturing in the UK.

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[Kevin Brennan (Cardiff West) (Lab)]

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

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

May I take this opportunity to say to the hon. Member for Salford and Eccles (Rebecca Long Bailey) that although she and I strongly disagree on various issues, including on the future of modern capitalism, we should be proud to have a shared commitment to reaching net zero emissions? Since our last oral questions session, the UK has become the first major economy in the world to pass laws to end its contribution to global warming by 2050, and companies from around the world are choosing to develop green technologies here in the UK. Last week I launched the new electric Mini, built in Oxford; the week before, Jaguar Land Rover announced that it is making a range of electric vehicles; and in an hour’s time I will be launching Lotus’s new electric hypercar. So, in keeping with what appears to be a new tradition of sharing pre-holiday gifts across the Dispatch Box, I would like to provide the hon. Lady with a small symbol—this model Mini—of what I hope will be our efforts to support our automotive industry, of which we are very proud, in its shift to a greener future.

[Mr Speaker]

I call Laura Pidcock.

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[Kevin Brennan]

I will not take it personally, Mr Speaker.

While the Secretary of State is in the mood for holiday gifts, the latest Government statistics show that 61% of those working in music, performing and visual arts are self-employed, so will the Secretary of State update shared parental leave rules to include self-employed people to prevent talented women from having to leave their careers in the creative industries and other industries when they have children?

[Greg Clark]

The hon. Gentleman is absolutely right. We are evaluating the responses we have had from the creative industries and others on that issue. I fully recognise that it is an unresolved matter that we will address during the months ahead.

[Luke Hall (Thornbury and Yate) (Con)]

T4. The introduction of the national living wage has helped to raise the living standards of many of my constituents. What assessment has the Minister made of the impact of increasing the national living wage from 60% to 66% of median earnings and the ability of the retail sector to continue to grow its workforce considering that change?

[Laura Pidcock]

Given the reported use of food banks by staff in the Secretary of State’s Department, and given that the first ever indefinite strike action of outsourced workers in Whitehall is happening now, does the Secretary of State not see it as his duty at least to ensure that BEIS contractors are not breaking legislation? That includes potential breaches of regulation 7 of the Conduct of Employment Agencies and Employment Businesses Regulations 2003, whereby an employment business may not supply a temporary worker to a hirer to replace an individual taking part in official strike action. Can the Secretary of State please explain to the House what action he has taken on the issue following the Public and Commercial Services Union’s referral of the matter to the Met police, and letters sent to him and his permanent secretary on 10 July?

[Greg Clark]

I value very highly everyone who works in my Department, whether they are directly employed or employed through contractors. Of course, we will always require our contractors to obey the law. What we have done, and what I have acted to do, is make sure that our contractor staff are paid at least the average level across London for their employment. I know that that has been welcomed. I take the issue very seriously and I am grateful to the hon. Lady for raising it.

[Peter Heaton-Jones (North Devon) (Con)]

T5. Do Ministers agree that improving the whole A303, A30 and A358 corridor would remove a significant barrier to growth across the south-west and North Devon?

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[Rosie Cooper (West Lancashire) (Lab)]

T6. Could the Secretary of State respond to the findings of Citizens Advice that utility companies have overcharged customers by £24 billion over 15 years?

[Greg Clark]

As I said in answer to earlier questions, the Competition and Markets Authority has recognised the unacceptable position of loyal customers being overcharged, and it is acting to correct that, as we have done in this House when it comes to energy bills.

[Trudy Harrison (Copeland) (Con)]

T10. Does the Secretary of State agree that nuclear energy must be part of the decarbonisation of this country? Could he update the House on progress made with the regulated asset base financial model and the energy White Paper?

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[Greg Clark]

I work very well with not only the Scotland Office here but the Scottish Government, and I am happy to take that up after this session.

[Ms Esther McVey (Tatton) (Con)]

All forms of company are registered and incorporated with Companies House. While it is a great resource if used properly, it is open to misuse, abuse and fraudulent information. What steps will the Secretary of State take to ensure validation before companies are registered, so that the public can have faith in the register?

[Ms McVey]

Secretary of State, please.

[Greg Clark]

I am happy to respond to my right hon. Friend. The problem that she identifies is a real and present one. We are taking steps to require information given to Companies House, and therefore made use of, to be validated. [Interruption.]

[Mr Speaker]

Someone chunters from a sedentary position, “Can she do that?”—can the right hon. Lady demand that the Secretary of State, rather than some other Minister, answers the question? There is no prohibition. It is a matter of the force of personality, which the right hon. Lady has just eloquently exhibited, and it may well encourage copycat behaviour.

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

What better week than this to discuss the potential for a tourism sector deal for Northern Ireland? After all, this week the sun has got its hat on, Rory’s out to play, the Open has come to Ulster—hopefully, it’s coming home to stay.

[Greg Clark]

I did not have the hon. Gentleman down as a poet, as well as his other accomplishments.

The sector deal that has been signed very much relates to the whole United Kingdom, and I hope the manifold attractions of Northern Ireland will be given a boost by the very good news that this sector deal constitutes for the industry.

[Andrea Jenkyns (Morley and Outwood) (Con)]

I recently visited Coca-Cola in my constituency. It will be investing £50 million in its Wakefield plant this year, providing jobs and apprenticeships to my constituents. Companies are investing in Britain, demonstrating that the future will be bright after Brexit. What is the Department doing to attract further foreign investment?

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[Greg Clark]

You were right, Mr Speaker; this is becoming a habit. I am happy to respond to the hon. Lady. The ability—especially in the creative industries, but also in professional and business services—for people to ply their trade by visiting and working in other countries is essential. It is a big part of the negotiations, which I hope will result in a deal that allows a strong part of the UK economy to continue to flourish.

[Andrew Griffiths (Burton) (Con)]

Some 900 jobs were put at risk when Kerry Foods announced the closure of its plant in Burton. I know the Secretary of State has been in touch with the managing director of Kerry to press it on finding a new buyer. Will he commit to doing all he can to make sure that a new buyer is found and that those jobs are protected?

[Greg Clark]

I will indeed. I have been in touch with the owners of the site. My hon. Friend is absolutely right: the most important thing is that a new owner should be found for that historic site in Burton, so that it can continue its good track record of employment.

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

The chief executives of Coca-Cola, Unilever, Nestlé and PepsiCo are indirectly responsible for much of the 8 million tonnes of plastic waste that ends up in our seas. Will the Secretary of State meet those chief executives to encourage them to adopt more sustainable packaging?

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[Jack Dromey (Birmingham, Erdington) (Lab)]

It was a privilege to stand with 1,000 Jaguar workers and hear that the factory that built the Spitfire during the war and two generations of Jaguar after the war—it nearly closed 10 years ago—will now build the electric cars of the future. Will the Secretary of State, in welcoming yesterday’s announcement, join me in saying that we must now build the batteries in Britain so that we have a vibrant British industry?

Will the Secretary of State also join me in paying tribute to the remarkable man that was Lord Kumar Bhattacharyya for his championing of manufacturing in Britain and his drive, intellect and ambition for Britain and British workers? It is thanks to Kumar that the Jaguar plant remains open.

[Greg Clark]

The hon. Gentleman is absolutely right. It was a proud moment for all of us to have the commitment that Jaguar Land Rover has made. I know everyone is immensely proud not just of the history but of the future of that great company.

I join the hon. Gentleman in paying tribute to Lord Bhattacharyya, the regius professor of manufacturing at Warwick and the founder of the Warwick Manufacturing Group. I can announce to the House that, in recognition of his immense contribution, we are establishing two awards. The first is the Bhattacharyya award for collaboration between academia and industry, which will be a prize of £25,000 each year to the team who best show how industry and universities can work together. Because Lord Bhattacharyya was such a champion of inclusion and helped so many young people enjoy flourishing careers in engineering, we are establishing the Bhattacharyya engineering inclusion programme, working with school and further education college students in the west midlands. It will make available 80 bursaries a year for students from disadvantaged backgrounds to study engineering, and it will also support extracurricular activities to inspire the next generation of young people to study engineering.

[Several hon. Members rose—]