(1Â week, 4Â days ago)
Commons ChamberUrgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.
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Harriet Cross (Gordon and Buchan) (Con)
Across the country, businesses are under increasing pressure. Competition, the costs of doing business, ever increasing taxation and regulatory burdens are making it as hard as it has ever been for our rural businesses to get on. While I recognise that whisky producers, farmers and the wider supply chain in England will welcome this announcement, those in Scotland, Wales and Northern Ireland are viewing it with concern.
The whisky industry is a crucial sector in Scotland, supporting more than 40,000 jobs, adding billions to our economy and showcasing great Scottish produce abroad. Consistency in regulation is key across the UK. How are the Government going to ensure that the Scotch single malt whisky industry is not undermined by this decision, particularly given that distilleries in England will not have to follow the same single-site production standards as distilleries in Scotland to get single malt status? Has the Minister engaged with the Scottish Government on this issue to ensure that the Scotch whisky industry is not put at a disadvantage because of this announcement?
A new designation for English whisky does not compensate for the hostile business environment being created by Labour. The Government are piling costs and regulation on to food and drink producers, including distilleries across the UK. The ever increasing level of whisky duty, the exclusion of distilleries from the British industrial competitiveness scheme and now the extended producer responsibility—adding £1.4 billion of costs to producers—all mean that the Government are making life ever more difficult for businesses that are struggling to keep their head above water. The huge and growing cost of doing business is making it difficult for businesses to survive, especially in rural areas. What steps will the Government take to ensure that these mounting costs, especially for food and drink producers, will not result in more and more businesses going under?
I welcome the shadow Minister to her place on the Opposition Front Bench and thank her for her contribution and questions, and for her recognition of the vital contribution of Scottish whisky and all whisky to our national identity. It would be remiss of me not to remind the House that the previous Government allowed tariffs on single malt whisky exports to the United States to cost the industry more than £600 million in lost exports, and that they stood by while one of Britain’s most iconic sectors paid the price. In contrast, this Government acted, securing an agreement that brings tariffs on Scotch whisky exports to the US down to zero. I do not think that producers will be taking lectures from the Opposition when it comes to standing up for British whisky in its biggest export market—this Government got a deal done both in terms of the India deal and reducing the US tariffs.
As one Member of this House has said,
“Scotch whisky is a national treasure and one of Britain’s great exports. Nobody is trying to take anything away from it. There is plenty of room in the market for a growing English sector alongside Scotland’s. Consumers, not lawyers, should decide what ends up in their glass.”
I think the hon. Member for Thirsk and Malton (Kevin Hollinrake) put that very well.
This Government agree that Scotch whisky’s reputation and protections must remain robustly defended while recognising that other parts of the UK’s whisky sector can also grow and succeed. We will continue to engage with others and with the devolved nations to make that a success.