Non-Domestic Rating (Multipliers and Private Schools) Bill

Helen Maguire Excerpts

2nd reading
Monday 25th November 2024 Commons Chamber

[Gideon Amos (Taunton and Wellington) (LD)]

The hon. Member for Thirsk and Malton (Kevin Hollinrake), who spoke for the official Opposition—he is no longer in his place—described the Conservative Government’s approach to supporting business. I was going to say that I listened to him with interest, but I think incredulity would be a better word. My hon. Friend the Member for Witney (Charlie Maynard), who is no longer in his place, was rather harsh on the Conservatives. He said that they never followed up on their commitments on business and did not have a clear policy on business. The Conservatives had a very clear and pithily described policy on business: it began with f, had k in the middle and ended with the word “business”. And believe me, they delivered on that policy with their post-Brexit trade deal. In case the message had not been rammed home hard enough, they confirmed it with a Budget that played helter-skelter chaos with the economy.

I therefore sympathise with the new Government’s approach in terms of the Budget they are trying to set and in terms of establishing stability. That is something I would want to support, but I am disappointed that I will not be able to vote for the Bill because of the effect it will have on towns like Wellington and Taunton, which will be hit by a triple whammy. Those towns support some great independent schools, which are charities: Taunton school, Wellington school, King’s College and Queen’s College. They sustain around 1,000 jobs in the constituency, many of which are now under threat. Many workers at those schools—cleaners and catering staff—are worried about what is going to happen.

There are then the very serious effects of the rise in national insurance contributions on small businesses, particularly the many small businesses whose rateable value is over £51,000. That is quite typical for SMEs in a high street in this country—at the smaller end, I would suggest. The owner of Mr Miles Tea Room, a superb place to go in my constituency, has written to tell me about the combined effects of the Budget on his business:

“Firstly, all my staff will now see a reduction in the hours they will be scheduled. As a result, no doubt, some will leave. Where many of my employees already earn over the current minimum wage, I will not be able to increase their pay rates by as much as I have done in the past. Secondly, any full-time employees who leave our employment will only be replaced by potentially 2 or 3 part-time employees. Thirdly, I will not be investing in any capital equipment in my kitchen or new decor in my restaurant. Fourthly, there is a serious potential for me to operate on shortened trading hours, thus reducing the vibrancy of the Town Centre.”

He goes on:

“I was cautiously optimistic that a new Labour Government couldn’t possibly be worse than the previous Tory one in terms of lack of support for SMEs. Sadly, in the space of 3 short months this Government has already proved my optimism was misplaced and there will be many casualties over the next 12 months as the new measures take effect.”

I urge the Minister to reconsider both the effect on independent schools, and I am a great supporter of the state school system—

[Helen Maguire (Epsom and Ewell) (LD)]

There is an independent school in my constituency, Kingswood House school, which has around 50% of its pupils with special educational needs. Many of those pupils do not have an education, health and care plan. Does my hon. Friend agree that schools providing support to so many SEN children should retain their charitable rate relief?

[Gideon Amos]

I absolutely do agree with my hon. Friend. I am also concerned about the influx of children going to local authorities to apply for EHCPs because they will now need them to get the discount, and about the massive effect that will have on already overstretched local authorities. I worry about how they are going to cope with those applications, over and above the SEN crisis at the moment.

I am a great supporter of state schools, partly because of the record of the Liberal Democrats, who not only ringfenced the education budget in the first years of the coalition, but injected £1.25 billion by inventing the pupil premium, which now injects £3 billion—[Interruption.] The hon. Member for Sherwood Forest (Michelle Welsh) shakes her head, but these are the facts.