Government Contracts (SMEs) Debate

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Department: Cabinet Office

Government Contracts (SMEs)

Ian Paisley Excerpts
Wednesday 28th January 2015

(9 years, 10 months ago)

Westminster Hall
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Ian Paisley Portrait Ian Paisley (North Antrim) (DUP)
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It is an honour to speak under you, Mr Davies; I intend to speak for only about 23 minutes.

I welcome the debate initiated by my hon. Friend the Member for South Antrim (Dr McCrea). The circumstances that he has placed on the record are astonishing. They show that a small, creative company has been really screwed, quite frankly. That company deserves explanations and honesty. I hope the Minister, who I know will genuinely look into this, will be able to give the company some reassurance and support—if not today, then at some point after he has had the chance to examine these claims.

We are trying to rebalance our economy in Northern Ireland. We are trying to attract inward investment and more private sector work. That includes growing our indigenous companies and, in particular, encouraging small companies, which are the backbone of Northern Ireland—whether they are in the agri-food sector, the creative media sector, financial services or any other sector. We are trying to help those companies to grow by one or two people each year so that the economy can really rebalance itself.

Those things can be made difficult, however, if one source of job opportunities—Government contracts—is not made more readily available to local companies. There is a saying in Northern Ireland that if someone is not working for the Government, they are not actually working. That is because so many people are employed directly or indirectly in Government or departmental activities. That includes not only the obvious things, such as health and policing, but the less obvious things, such as the technical and financial sectors, where a lot of the work relates to Government activity and Government-associated activity. It is critical that local companies are not only given the opportunity to bid competitively for these opportunities, but are, as many Members have said, encouraged and actively supported in their bids.

Our job is made much harder whenever major companies in the private sector are threatened and have to take employment away. That means that more people are put on the unemployment heap, and they will then, more than likely, have to seek public sector-related employment. I have seen that in my constituency, with the announcement that almost 1,000 jobs will be lost between now and 2017. The tobacco manufacturing company JTI, formerly Gallaher, is being closed down because of Government over-regulation—the European directives on tobacco products and the Government’s gold-plating of those directives through the plain packaging legislation. That destroys employment and opportunities, and has a knock-on impact on the economy. It affects 900 people directly, and a further 200 indirectly. There is pressure on the economy from those policies.

Earlier this month, the Prime Minister of the United Kingdom made the ambitious statement that he wanted to make the UK the factory of the European Community. I welcome that statement and ambition, and the aspiration to attract employment here—not only private sector employment, but more Government work flowing to private sector companies. I have a challenge for the Government: to make sure that in attracting companies and making these islands into the factory of Europe, they do not forget about the little island off the coast, and do not forget about Ulster. I challenge them to include Northern Ireland in their ambition, and to make sure that jobs go there. It is easy to kick back and say, “Look, this is really a matter for the Department of Enterprise, Trade and Investment in Northern Ireland or some other local devolved body to deal with.” That attitude is no longer good enough.

We are all in this together and must ensure that the national Government do as much to encourage employment and inward investment as the local, devolved Administration, who are tasked with doing the same. Northern Ireland is, of course, part of the United Kingdom and wants to play its full role in contributing to it, and delivering jobs. I would like the Minister, if he cannot tell us today, to report back to us with a specific, active strategy to attract employment for small and medium-sized enterprises and factories in Northern Ireland. That will help to rebalance the economy and ensure greater opportunities to bid for contracts—particularly Government contracts, when they come up—because more companies will be operating in Northern Ireland. Government contracts are a benefit to employment, and we want companies based in Northern Ireland to be entitled to bid, and to have the benefit of such contracts.

Both Members who have already spoken in the debate have mentioned broadband, which is critical in enabling viable bids to be made for some contracts. There are many companies at Woodside industrial park in Broughshane in my constituency; it has a local radio station, agri-food manufacturers, a fantastic company called Sunstart Bakery, which makes buns for Buckingham palace, and aeroplanes and international export businesses. Those companies deserve support, but they do not have adequate broadband, and have been campaigning for it for months. That would make the difference and allow the industrial park to continue to grow, and improve its effectiveness in fulfilling contracts. That is a key area for development.

My hon. Friend the Member for South Antrim represents the area of Aldergrove, the international gateway into Northern Ireland. It services employment not only in his constituency but in mine, and in East Antrim. There are moves afoot to try to attract a business park to that location. What an opportunity that would be for all our constituencies—a thriving business park there, supported by Government contracts and readily marketed as an area where companies could be based, with international connectivity, just 45 or 50 minutes from mainland Britain. That would be a huge opportunity for employment.

Lord McCrea of Magherafelt and Cookstown Portrait Dr McCrea
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Is it not interesting that a short distance from the international airport many companies find it difficult to get a proper broadband connection?

Ian Paisley Portrait Ian Paisley
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Broadband connectivity is a serious issue. The problem means that companies are deficient; some company directors send their staff home to work, because they have better broadband connectivity there than in an industrial park. That makes a mockery of the system, and the issue must be dealt with as part of a package of measures to enable the industrial parks to flow.

We are challenged by our neighbour on the island of Ireland; the Republic of Ireland has just this week announced that it intends to build a super-fast train link from Belfast to Dublin airport, so it can take business from our airports and connectivity. We must get ahead of the game. Our neighbour is entitled to compete with us, but we must beat it in the competition. We can show that we are better; we can show it a clean pair of heels. We need a kick-start, and making Government contracts readily available to Northern Ireland companies would provide one for that part of the economy. I welcome this debate for those reasons.