Budget Resolutions and Economic Situation

Greg Mulholland Excerpts

Wednesday 16th March 2016 Commons Chamber

[Sammy Wilson]

Of course, it depends on what survey we look at. Large firms benefit from the lobbying power they have to restrict innovation and the entry of small firms into markets. Small businesses are buried under regulations and strangled by the red tape that emanates from Europe.

The Chancellor carefully avoided talking too much about our membership of the EU, because there is not a good story to tell on that in budgetary terms. I notice that, so intent is he in ensuring that attention is not drawn to it, EU transactions are included with others in chart 1 of the executive summary—he does not want to highlight the exact amount of money we pay into the EU.

The second issue I want to deal with is inequality across the United Kingdom and across sectors of the population. Growth forecasts have been reduced for a whole range of reasons. Some of those reasons are outside the control of the Chancellor, but some are not. One way to improve growth is to borrow money for infrastructure projects. I find it inconceivable that the Government talk about not letting the level of debt go up when there are good infrastructure projects that would give a good rate of return. They are quite happy for debt to go up to finance consumer spending, which has been the main driver of growth. I would rather see growth driven by spending on infrastructure projects that increase productivity and give a return that generates tax revenues in the future, rather than putting individuals in jeopardy if there happens to be an increase in interest rates.

[Greg Mulholland (Leeds North West) (LD)]

Will the hon. Gentleman give way?

[Sammy Wilson]

I will not give way, if the hon. Gentleman does not mind, because I do not think I will get an extra minute.

We know from experience that when the growth forecast goes down the regions of the United Kingdom—Northern Ireland, the north-east, the north-west and Scotland—tend to experience the greatest impact. The figures in the Budget statement show growth rates for Northern Ireland to be half of those for London. Indeed, there are only two regions of the United Kingdom that exceeded the average growth in the past four years: London and the south-east. All other areas did not experience the same rate of growth. There is a strong case for saying that infrastructure investment could help to stimulate the economy in those other areas, so I am disappointed that not more infrastructure projects were announced in the Budget.

When funding is made available for research and innovation, I hope places such as Northern Ireland will not be excluded. Belfast’s Queen’s University’s excellent research has been a driver of growth and innovation for many businesses, helping them to get into export markets.

On inequality within income groups, the Government cannot ignore the fact that we are increasingly in danger of becoming a two-nation state. At the bottom of society, there are those without hope. Even the tax cut that means some of them will pay no income tax at all will benefit me as well as lower income groups. There needs to be a greater focus on people who find themselves without the skills, hope or income they need to do the day-to-day things they are required to do.

When I see the resources being devoted to a cut in capital gains tax, as opposed to those being taken away from people who are on, and cannot escape, benefits because of disability and so on, it illustrates to me how the Government have a long way to go and much thinking to do when it comes to dealing with those who are less fortunate and at the lower income end of the spectrum. It is they who need a leg up and more resources devoted to them.

Enterprise Bill [Lords]

Greg Mulholland Excerpts

Wednesday 9th March 2016 Commons Chamber

[Greg Mulholland (Leeds North West) (LD)]

I will not take up too much of the House’s time. Unfortunately, we did not have the opportunity to debate the important new clause 10 and amendment 20, so I wish to put a few words on record, especially as the Minister for Small Business, Industry and Enterprise is in the Chamber.

I gently say that ours is a strange system whereby automatically Opposition amendments are dropped and Government amendments go through, especially because, as we have just seen with the amendment on Sunday trading, that does not always reflect what happens in the House. I strongly believe that new clause 10 would have had the support of a majority of MPs. It was not my intention to press it, however, because I had hoped to hear from the Minister that she accepted its terms. It was tabled to deal with a disgraceful loophole whereby tenants of large pub companies taking the all-important market rent-only option would have to surrender their existing lease and accept a shorter five-year lease, which would be wholly unacceptable.

Clauses 39 and 40 deal with the pubs code and the adjudicator, and I thank the ministerial team for listening to concerns about paragraph 8.12 of the draft code and dealing with them. The matter is being addressed in the Bill because of concerns about the draft code and the unacceptable nature of some of its provisions. I can tell the Minister that tenant groups are reporting some quite disgraceful behaviour from pub companies as an attempt to both game and circumvent the forthcoming pubs code, which comes in on 1 June. The Bill was the only opportunity to amend primary legislation that could then affect the content of the pubs code. Now it is a question of working with the Minister and her team to try to deal with some of these issues.

[Anna Soubry]

Does the hon. Gentleman welcome, as I do—and announce—the appointment as the pubs code adjudicator of Paul Newby, who I am sure will look forward to meeting the hon. Gentleman? Will the hon. Gentleman also accept my assurance that we will be true to all that was said and agreed on the Floor of the House last year when the legislation went through? Please may we work together to ensure that we have a good pubs code?

[Greg Mulholland]

I thank the right hon. Lady for her comments and their tone. The answer on both counts is yes, absolutely. I presume that the Minister’s news is hot off the press because I certainly had not heard anything about the adjudicator. It is huge news.

[Anna Soubry]

You are the first to hear.

[Greg Mulholland]

That is marvellous. That appointment is now public, and it is a very significant announcement. I do indeed look forward to meeting Paul in my role as chair of the British Pub Confederation.

I take the Minister at her word about sticking to the clear commitments that were made in both Houses. However, there is a need within the pubs code to deal with what is happening now. The purpose of amendment 20 was to stop the gaming, the use of section 25, and the use of bribes as well as bullying to try to force tenants to sign up now. Pub companies are making desperate attempts to try to carry on the exploitation of the beer tie, which is what the Government have rightly legislated to stop. That behaviour now needs to be stopped, because lots of tenants will otherwise find that they are forced, bullied or bribed into signing up to new agreements that do not have the market rent-only option.

I look forward to discussing those issues with the Minister and to presenting the evidence to her and her team that is drafting the pubs code. I urge her to learn the lessons of the beer orders and not to give in to industry lobbying, or to allow loopholes that are then exploited and gamed by large companies. If that happens, the code will simply not do the very things that she has talked about and her team have signed up to. I look forward to speaking further with her about that.

Question put and agreed to.

Bill accordingly read the Third time and passed, with amendments.

HMRC and Google (Settlement)

Greg Mulholland Excerpts

Monday 25th January 2016 Commons Chamber

[Mr Gauke]

My hon. Friend has set out a laudable objective. We have to recognise that the nature of international businesses is often inherently complicated, but we also have to ensure that our legal system and our tax laws are brought up to date to reflect the way in which businesses work in the 21st century.

[Greg Mulholland (Leeds North West) (LD)]

If any of the thousands of wonderful small businesses in this country failed to pay their taxes for 11 years, they would not be sitting negotiating with HMRC; they would be sitting down with the police. Can the Minister therefore understand the anger of small businesses and taxpayers when a quarter of calls to HMRC are not even answered? Will some of this money go into sorting that out?

Points of Order

Greg Mulholland Excerpts

Tuesday 1st December 2015 Commons Chamber

[Mr Speaker]

I think it would be better if it were available in both. I am advised by he who knows, to whom I am grateful, that the motion has been available in the Vote Office since 12.56 pm.

Look, we are where we are. I genuinely thank the Leader of the House for what he has said, and his attempt to provide clarification here and there. It is so much better if we can proceed in a consensual manner on matters of procedure. We acknowledge the existence of differences of opinion on the substance—differences of opinion that will exist right across the country—but we must do our business in an efficient, orderly and, where possible in terms of procedure, consensual fashion. I think the point is made, and it should not need to be revisited on subsequent occasions.

[Greg Mulholland (Leeds North West) (LD)]

On a point of order, Mr Speaker. This relates to a different point. I wish to bring to the House’s attention, and seek your guidance about, what happened in the House of Lords last night. Owing to the disgraceful way the Department for Business, Innovation and Skills has backtracked on its clear commitment to this House to uphold the will of this House and to introduce the market rent only option for tied pubco licensees, our noble friends in the other place took it upon themselves to take the unprecedented step of introducing the same concept into a second Bill. There is confusion about what will now happen. May I seek your advice as to not only how we now proceed from a legislative point of view, but how we bring BIS Ministers to this House to get them to explain that they will actually respect the will of the House and do what they agreed to do at the Dispatch Box?

[Mr Speaker]

The short answer to the hon. Gentleman, whom I thank for his point of order, is twofold. First, I had no advance notice of it. I am not complaining about that, but I am simply saying that it makes it difficult for me to give any authoritative verdict from the Chair at this time. Secondly, I say to him that he is as dogged a terrier as any Back-Bench Member of this House—I hope he will take that in the positive spirit in which I intend it—and he will not let go of the issue. He has pursued it over a very long period with exemplary tenacity, from which other Members could learn, and I think that he will return to it.

I do not know whether the Government have any plan—I am not aware of it—to come to the House to explain their thinking or how they believe their conduct now is compatible with what had previously been said. I know where the hon. Gentleman sits and I know that he seeks to catch my eye, and I am always happy to try to facilitate his interrogating the Government on this and indeed other matters. I hope that he will hold his horses for now. If he wants to have a further conversation with me when I am more in the loop, I am happy to try to assist.

I thank the Leader of the House, the Chief Whip and the shadow Leader of the House for their interest and attendance, and if there are no further points of order, perhaps we can now move to the ten-minute rule motion.

Oral Answers to Questions

Greg Mulholland Excerpts

Tuesday 1st December 2015 Commons Chamber

[Mr Speaker]

Last, but not least—and with commendable brevity, I feel sure—I call Mr Mulholland.

[Greg Mulholland (Leeds North West) (LD)]

Thank you, Mr Speaker.

British pubs currently have 0.5% of British turnover, but pay 2.8% of business rates. Will the Chancellor meet me and officers of the save the pub APPG to discuss how we can better support pubs in the taxation system?

[Mr Osborne]

Of course, the pub industry has been supported by the reduction in beer duty, the increase in employment allowance, which is of huge benefit to many pubs, and the extension of small business rates relief, which we announced last week. I am happy to see what more we can do to support the great British pub industry, and I look forward to hearing the hon. Gentleman’s ideas.

Spending Review and Autumn Statement

Greg Mulholland Excerpts

Wednesday 25th November 2015 Commons Chamber

[Mr Osborne]

The constituency of Wealden is dear to my heart, as my father grew up in Framfield, near the town of Uckfield, and I have been to see the area.

My hon. Friend is right that the support we are giving East Sussex in this statement is really compelling. It means that we can support the schools in her constituency, of which she has been such a strong champion.

[Greg Mulholland (Leeds North West) (LD)]

Following England’s series win against New Zealand, I am delighted that the Government are supporting the bid for the 2021 rugby league world cup. Last time there were huge problems on the trains, so will he bring forward plans to electrify the TransPennine line and the Leeds, Harrogate and York line which are so important to his northern powerhouse?

[Mr Osborne]

I am glad that the hon. Gentleman has noticed the bid that we have made for the rugby league world cup. Let us just hope that England, and indeed all the home teams, are a bit more successful than we were in the rugby union world cup.

The TransPennine train route is being electrified as fast as is possible in engineering terms. It is not a question of money—we have said that we will spend the money required for the electrification. The timetable is simply being dictated by what is possible in the engineering. I am therefore confident that we are making progress as fast as we possibly can.

HMRC Office Closures

Greg Mulholland Excerpts

Tuesday 24th November 2015 Commons Chamber

[Greg Mulholland (Leeds North West) (LD)]

It is clear today that the Government have simply failed to make the case for these changes. They have failed to make the case in Scotland, Northern Ireland, Wales and England. Here, there are just a few loyal, new Tory MPs keen to curry favour by saying what a wonderful thing the proposal is, alongside some hard-working constituency MPs who have talked about the damage that it will do to their constituency—all credit to them for doing so.

More importantly, the Government have not made the case for these changes to the 8,000 staff who will lose their jobs and their livelihoods, or to the many businesses, particularly the small and medium-sized enterprises that are the so-called lifeblood of our economy, that are deeply concerned about the changes. The Government have not even made the case to the chartered accountants who deal with the tax offices and do such a good job to ensure that tax affairs are in order.

HMRC has failed to provide an acceptable service level to customers. We know that from the Public Accounts Committee report earlier this year, which pointed out that it takes an average of 14 minutes and 22 seconds to answer a call. We should think about what that means to a hard-working chartered accountant or a small business. Sometimes these people have a great need for advice about the future of their business. How can the Government possibly argue that cutting 8,000 jobs will make this poor performance, which is already not good enough, any better?

One Conservative Member said that there are many things that humans cannot do, but if we speak to these small businesses and chartered accountants, we find that what they think is lacking is the ability to talk to people when they need advice because they are not sure of something. Things are already not good enough, so getting rid of more people with local knowledge who are able to assist and advise is simply madness. In this case, humans are essential, and it is short-sighted thinking to deny it.

My constituent Stephen Oliver, a chartered accountant, is one such person who has advised people in my constituency. He has been telling me for years about the inadequacies of dealing with the tax office. He is one of the many people who are deeply concerned that these changes will make the situation worse. There is widespread opposition from the accountancy sector—surely something that this Government should take seriously, but currently do not. These entrepreneurs and SMEs are people who not only contribute to the economy, but want to stay on the right side of the law. They want to fulfil their tax obligations and contribute to society. Can Ministers confirm that they have done an analysis of the cost to the economy? There will be such a cost arising from lost productivity as a result of the increases in the time taken to answer the phone.

Finally, in the limited time available, let me say that in response to my written questions on how many staff will be reassigned from individual offices to regional centres, Ministers have confirmed that that has not yet been finalised. In my constituency, Peter Bennett house in West Park is being closed, which is regrettable for the employees. Will Ministers confirm that this move will be planned in such a way that it will have the least impact on staff and their families? That is something that they have not yet done. As right hon. and hon. Members have said, the Government have not made the case in any of the four nations. They really should think again and properly consult all those affected.

Oral Answers to Questions

Greg Mulholland Excerpts

Tuesday 16th June 2015 Commons Chamber

[Mr Osborne]

I commend the work that Nissan and other employers do in the north-east. The north-east is currently producing more cars than the whole of Italy, which is a remarkable achievement and a tribute to the workforce there. I am glad the hon. Lady mentions the Under-Secretary of State for Communities and Local Government. He was not only returned with an increased majority, but is now playing a central role as the Minister helping to deliver the northern powerhouse in DCLG. The debates are about the future of our relationship with the European Union and the reform we need so that major Japanese car manufacturers continue to see Europe and the UK as a place to come, create jobs and invest. We will not do that if our continent prices itself out of the world economy.

[Greg Mulholland (Leeds North West) (LD)]

I am proud that the coalition Government sought to start the rebalancing of the British economy and introduced the northern powerhouse scheme, which I support. It seems clear that we will have to have a mayor in the Leeds city region. Will the right hon. Gentleman seriously consider the possibility of having a Yorkshire-wide mayor to rejoin together that wonderful county, which could be a real powerhouse for the whole of this nation?

[Mr Speaker]

Order. We have got the gist of it.

Oral Answers to Questions

Greg Mulholland Excerpts

Tuesday 10th March 2015 Commons Chamber

[Danny Alexander]

The hon. Gentleman will have to wait for the Finance Bill to be published and to hear the Budget statement next week. He should reflect on his party’s record in office on these matters. Frankly, when the coalition Government came to office, we inherited a tax system like a Swiss cheese: it was so full of holes that tax was leaking all over the place. We have plugged a lot of those holes and there is more work to be done, but I do not think that he should give us any lectures.

[Greg Mulholland (Leeds North West) (LD)]

I am sure my right hon. Friend will welcome the report by the Electrification Task Force, which is chaired by the hon. Member for Harrogate and Knaresborough (Andrew Jones), and praise its work. The report said that in tier 1 the Harrogate-Leeds-York line should be prioritised, but does the Minister agree that we must also put in the 1.1 mile of track to connect Yorkshire’s Leeds Bradford airport?

[Danny Alexander]

I congratulate the hon. Member for Harrogate and Knaresborough (Andrew Jones) and my hon. Friend on the their work, and I met them recently to discuss it. There is a strong case for investment in the Harrogate-Leeds-York line and in the rail link to the airport that my hon. Friend describes. Ensuring that degree of connectivity for one of the fastest growing airports in the country, which has huge potential for growth, could also take off the roads the traffic caused by people travelling to other airports in the country. We shall be considering the matter carefully.

Equitable Life

Greg Mulholland Excerpts

Thursday 26th February 2015 Commons Chamber

[Greg Mulholland (Leeds North West) (LD)]

It is a pleasure to speak in the debate. I congratulate my hon. Friend the Member for Harrow East (Bob Blackman), my neighbour the hon. Member for Leeds North East (Fabian Hamilton) and my hon. Friend and colleague the Member for Eastbourne (Stephen Lloyd). I am proud to be a member of the all-party parliamentary group for justice for Equitable Life policyholders, which has shown how powerfully we can campaign when we do so collectively and collaboratively on a cross-party basis. I congratulate the co-chairs and officers for leading us in that endeavour.

I start by welcoming the progress that has been made. I remember the early meetings that took place towards the end of the last Parliament and the frustration that, at that stage, there was no compensation at all. We finally got the announcement of compensation, and I welcome the fact that payments surpassing £1 billion have now been made to 896,367 policyholders. That clearly represents great progress, but the clear message from the House today is that it is not enough. This debate itself shows that this is not the end of the matter, however convenient it might be for the Treasury—either side of the election—were that to be the case.

I strongly support the motion today and I shall carry on campaigning on behalf of my constituents as part of the group. About 40 of my constituents have raised this matter with me over the past few years, and many have told me of the hardship that they have experienced. Virtually none of them are wealthy people. They are people whose modest and very well planned retirement incomes have been drastically affected, and that has had a huge impact on their quality of life at a time when they should not have to face that and can do nothing about it. I pay tribute to all of them, and to the way in which they have campaigned as members of the Equitable Members Action Group. They include Ray and Marjorie Dunn, who have worked closely with me and played an important role in bringing people together. It has been a pleasure to work with them and all my constituents.

[Stephen Lloyd]

Would my hon. Friend also acknowledge the outstanding work that the members of the Equitable Members Action Group have done for us in Parliament? They have kept us informed and provided a secretary, and they have ensured that we pulled together on their behalf.

[Greg Mulholland]

My hon. Friend makes an important point. EMAG has done a wonderful job. Working together, inside and outside the House, has been an exemplary way of getting positive change.

One thing has not been raised in this debate so far and I am pleased to raise it strongly, as a member of the Public Administration Committee in this Parliament. One contributor today said it was disgraceful that neither the previous Government nor this Government had fully abided by the clear view or the will of the ombudsman, because they thought, “What’s the point?” I urge right hon. and hon. Members to look at the Public Administration Committee’s reports in this Parliament, because we are calling for a radical overhaul, part of which should be that Governments are bound by such decisions so we would never have this nonsense.

We have an absurd situation, because we are talking about the Parliamentary and Health Service Ombudsman, with the responsibility to Parliament. The Public Administration Committee has a view, as the Select Committee that oversees the ombudsman, and it wants a radical overhaul, The ombudsman’s office wants a radical overhaul, as does the ombudsman herself and the public, but we cannot have one because Parliament cannot reform its own ombudsman—only the Government can do so because it requires primary legislation. That is absurd and we need to find a way to enable Parliament to introduce legislation for matters that are parliamentary and not to do with the Government. I urge the Government in the Parliament—whoever is in government—to listen finally to that, to let go and allow Parliament to reform its own ombudsman in a way that is so clearly needed.

I am glad that this Government have come up with more than Sir John Chadwick proposed, which we all strongly said was not enough. I am also pleased with the campaign launched in October 2013 to find the 400,000 lost victims of the Equitable Life scandal. There are now approximately 142,000 policyholders who are due a payment but the scheme has not yet been able to trace or validate their address, so I hope that work will continue. This is taking too long, given that these people are in their retirement, need this money now and simply cannot wait. Tragically, some of them have died, and some will die without having had the chance to get that money they are clearly owed as a result of the maladministration and lack of regulation.

What is particularly galling is that there has been a double failure of regulation: the failure to regulate the banks properly led to the catastrophic collapse in the banking sector, which then led to vast amounts of money going to bail out those banks, and that is one reason there is not the money in the pot to compensate these people. That is a bitter pill to swallow, which is why there is no justification for not backing today’s motion and not coming forward, finally, after all these years, with the solution that is clearly the right and moral one.

Let me give an example to illustrate that point. After the giving of £620 million to 37,000 annuitants, 945,000 Equitable Life policyholders have shared the remaining £775 million, which of course is the 22% of their losses. Yet when we look at how much money has gone into the banking sector—we still have publicly owned banks—we see that there is a discrepancy that simply does not sit right and must be addressed.

We must finally draw this matter to a close. We must finally see a fair and final resolution. I share the passion of right hon. and hon. Members in not wanting to have to debate that; we must not be debating this issue at the end of the next Parliament. I hope we shall see some progress in the Budget. It is realistic to say that it will be some and not all—the latter would not be realistic—but it absolutely must be in the next Parliament. Let us now have a cross-party convention, let us take this out of the electioneering and have a genuine, firm policy commitment that the next Government will honour this pledge, as should have been done. It is an obligation on the British state, an obligation on this House and an obligation on this Government and the next one. It is an obligation that must finally be honoured.