The Economy

Jack Brereton Excerpts

Thursday 24th October 2019 Commons Chamber

[Jack Brereton (Stoke-on-Trent South) (Con)]

Nothing matters more to families and communities than creating good jobs and improving the cost of living. We have witnessed incredible economic success for our country, thanks to the careful economic management of Conservatives, and it is with confidence and positivity that I can tell the House that Stoke-on-Trent is on the up. The city’s population, economy and house prices are experiencing among the very highest growth in the country. Although we still have our challenges to overcome to reach our full potential, our local economy is now stronger and more diverse than ever before. We have a whole range of sectors calling Stoke-on-Trent their home, with companies from highest-end manufacturing to the most advanced digital industries flourishing.

Tragically, under Blair and Brown, we lost many of Stoke-on-Trent’s biggest pottery names and factories and this has left us with brownfield sites that need to be redeveloped. The Conservative-led city council is working constructively with the Conservative Government to ensure that redevelopment takes place, and the ceramics industry has experienced a revival. For example, the historic Duchess China works in Longton, which I visited recently, has been taken over by Heraldic Pottery of Newstead, with fantastic plans to increase production at this iconic site. Staffs Fitness Ltd, a supplier of gym equipment, has just moved into buildings that were once part of the Fenton Glebe colliery site. Last week, I was delighted to visit and open what is a fantastic new home for this business, demonstrating what can be achieved.

However, while we are seeing new private investment in the city, many sites remain challenging, needing remediation due to former industrial uses. It is essential that we do more to address viability constraints that hold back brownfield sites from being developed. Especially, we must build on the huge success of the Ceramic Valley enterprise zone. As I discussed with the Secretary of State for Business recently, I hope that enterprise zone can continue and can expand to cover additional sites, particularly brownfield sites in Fenton, so that we can continue to see these sites redeveloped to create good-quality jobs.

It is vital that we do more to revive our high streets, incentivising the conversion of empty properties for new businesses and residential uses, and improving our town centre infrastructure. Stoke-on-Trent is made up of six historic market towns, and Longton and Fenton are within my constituency. I am pleased to have secured a heritage action zone that is focused on Longton town centre, which I hope will address this, but to be truly transformational and to maximise the heritage action zone’s potential, we need some additional investment. I am deeply disappointed that we have so far missed out on future high streets funding, stronger towns funding and access for all funding for Longton station. The time to address the decline of our high streets in Stoke-on-Trent is now, and I know from discussions that I have had with the Secretary of State for Housing, Communities and Local Government that he is well aware of the importance of overcoming these challenges.

On transport infrastructure, I hope that the transforming cities fund will help to address this and it is essential that Stoke-on-Trent receives the full ask of Government in the second phase. I also hope that we are successful in our bid for a fair share of the £200 million bus fund. Bus services in Stoke-on-Trent are currently dire, having been reduced beyond recognition. My constituents are regularly raising the fact that they no longer have services at all, or that services finish too early to get them home from work. The city council’s intentions are nothing short of revolutionary, and increasing the number of fast, direct, reliable, affordable and popular bus services is an absolute must.

We must also improve traffic flows. As I have long advocated, junction 15 of the M6 needs to improve and we need additional work on the A50 and the A500 to address traffic hotspots. I am delighted by the work of Midlands Connect in its strategy to address that. I also welcome its work to address rail services on the North Staffordshire-Crewe-Derby line. I am delighted my efforts have already helped to secure improvements that will soon see longer trains to address overcrowding, more services in the evenings and at weekends, and most services extending to Nottingham.

Railway Stations: Accessibility

Jack Brereton Excerpts

Wednesday 27th March 2019 Westminster Hall

[Dr Offord]

As a London MP, I certainly agree with that and I urge the Mayor to allow it to happen. Indeed, I urge the Minister to make representations to the Mayor to allow it to happen. It seems not only a sensible solution to a particular problem, but something that could be rectified easily, so I certainly agree.

Not only disabled people suffer from a lack of step-free access in stations. A Department for Transport study showed that two thirds of disabled people are over the age of 65, and demographic trends predict an increase in the proportion of older people in society. According to the NHS, in the UK falls are the most common cause of injury-related deaths in people over the age of 75. The need for reliable, ever-present step-free access is imperative to ensure such injuries or fatalities do not occur in train stations. The Government’s generous funding commitment to improve station facilities is welcomed by Members present today, but I am sure we all agree that the previously mentioned statistics are of significant concern.

[Jack Brereton (Stoke-on-Trent South) (Con)]

The issue is not just about people with disabilities. Obviously, we want to improve access for them, but it is also about a range of people. I am the father of a 15-month-old child and we would struggle to use many of our local stations, particularly Langton station in my constituency, where, I am pleased to say, we have an Access for All funding bid in at the moment. Does my hon. Friend agree that we need to improve accessibility at stations not only for people with disabilities, but for everybody?

[Dr Offord]

I certainly agree. In my constituency, the Thameslink line serves Gatwick and Luton airports. People, including myself, use those trains either very late at night or very early in the morning, and often struggle with heavy bags, as I have recently.

Communities: Charities and Volunteers

Jack Brereton Excerpts

Wednesday 13th February 2019 Commons Chamber

[Jack Brereton (Stoke-on-Trent South) (Con)]

We in this House are all grateful for the dedication of charities and volunteers in our constituencies and impressed by their achievements. As the Government’s civil society strategy states, global Britain is rooted in local Britain, and I am pleased to say that my constituency has many residents groups, community charities and local branches of national charities. I want to place on the record my thanks for the incredible work done by all volunteers in our communities.

Celebrating civil society is a recognition that it is not good enough to expect the state, whether national or local government, to do everything. Far too often in the past, it has fallen to organisations such as city councils to be responsible for everything, when in reality they cannot be, and even if they could, it would disempower communities. Supporting charities and volunteers is a recognition that organisations outside the state are often better able to tackle certain challenges and provide certain social goods. What matters is that these parts, across public, private and civil society, work together to create something greater than their sum.

Over the summer, I was pleased to host funding workshops at Blurton community hub, in my constituency, with the Coalfields Regeneration Trust and the People’s Postcode Lottery. Both events were well attended by community and charitable organisations, and I hope that from them we will see more successful bids and the investment we need in our local communities.

Stoke-on-Trent City Council recently empowered communities by creating a community investment fund focused on investing in equipment and assets with a longer-term impact. Since it started two years ago, £1.7 million has been invested, with a further £1.3 million to be announced soon. The council also recently set up the Potto Lotto, a Potteries-based lottery, where 60% of the ticket price goes to local charities and players can nominate a good cause to fund. This shows the proactive and innovative approach being taken in partnership locally that is empowering communities and charities to deliver great returns.

Another excellent local example of joint working is the North Staffordshire Community Rail Partnership, which promotes the north Staffordshire line—for example, by helping to create more welcoming station environments for passengers, including at Longton in my constituency. I have no doubt that its efforts over the past decade have helped to double local rail usage, which I fully expect the new franchisee to reflect with improvements on the line. That highly localised work at Longton has had a knock-on effect in the form of a bronze medal at the Britain in Bloom festival in the first year of its taking part, thanks to the hard work of volunteers at Longton Community Partnership.

All this contributes to much-needed footfall, as do the charity shops that occupy what would otherwise be empty premises on our high streets. Some people complain about the number of charity shops, but it is always better that these shops are occupied, and of course the future high streets fund will help further. Local charities, such as Dougie Mac and Bethel church, are putting funding straight back into the local area. Furthermore, following the successes of Longton and Blurton at Britain in Bloom, it is fantastic to see the local community in Fenton coming forward with a Fenton in Flower competition.

Many local sports clubs rely almost entirely on volunteers. I think of clubs such as Hanford, Meakins Fenton, Longton and Hem Heath cricket clubs, Longton and Trentham rugby clubs, and Foley football club, alongside Stoke City football club, of course, which is involved extensively with local charitable work, especially with young people, through its community trust. Longton rugby club, which was visited by the Prime Minister herself, is mainly run by volunteers. Its website stresses that none of what the club does behind the scenes and on the pitch would be possible without the dedicated work and support of volunteers.

In Meir, local partners, including the YMCA, are working to combat some of the challenges we are experiencing with antisocial behaviour and gangs. Critical to this is improving sports facilities for the community to ensure a distraction for those young people. Recent visits to charities in my constituency have shown me the breadth and vitality of the important work being done by these volunteers. The Grocott Centre, for example, which I visited in January, is a local independent charity based in Fenton that promotes the welfare, wellbeing and social inclusion of vulnerable groups. It does incredible work with people with dementia, elderly people and adults with learning or physical disabilities.

I was a delighted that Blurton Farm residents association received the Queen’s award for voluntary service in 2018, owing to the huge commitment and tireless work of volunteers, especially its chair, Christine Pratt. Other charities I have visited recently include Landau Stoke, Father Hudson’s Care, the Gingerbread Centre, Deaflinks and Temple Street Methodist church community café. I am hugely grateful to them all for the excellent work they do in the community. The Donna Louise children’s hospice and the Douglas Macmillan hospice also do phenomenal work to support families at their most harrowing and difficult times, and staff and volunteers—

[Mr Deputy Speaker (Sir Lindsay Hoyle)]

Order. I am sorry but the hon. Gentleman’s time is up.

Oral Answers to Questions

Jack Brereton Excerpts

Tuesday 11th December 2018 Commons Chamber

[John Glen]

There is considerable analysis from the Bank of England and the Government’s analysis of the long-term effect of the different options, with a significant reference paper demonstrating the different scenarios and what lies behind them. The Government are seeking to deliver on the decision of the British people in the referendum in a way that maximises the opportunities for the British economy.

[Jack Brereton (Stoke-on-Trent South) (Con)]

15. What steps he is taking to support businesses and entrepreneurs.

[The Exchequer Secretary to the Treasury (Robert Jenrick)]

This Government are determined to make the UK the best place in the world to start a business. We are keeping taxes low and helping businesses and entrepreneurs to access the support that they need. We have cut corporation tax to the lowest rate in the G20 and made changes to business rates that will be worth over £13 billion by 2023.

[Jack Brereton]

I thank the Minister for that response. Walker’s Nonsuch, a family business in my constituency since 1894 and England’s finest toffee producer, enthusiastically welcomed the increased annual investment allowance. Does he agree that it is essential to continue to reduce tax on companies so that they invest in new equipment, increase productivity and create more jobs?

[Robert Jenrick]

My hon. Friend is absolutely right. While the Labour party wants to increase taxes on business, including on small businesses, we are cutting them, and the increased annual investment allowance will enable businesses such as the one in his constituency to invest in plant, machinery and new technology to drive it to future success.

Finance (No. 3) Bill

Jack Brereton Excerpts

Committee: 1st sitting: House of Commons
Monday 19th November 2018 Commons Chamber

[Jack Brereton (Stoke-on-Trent South) (Con)]

It is a pleasure to speak in this part of the debate. I really do think that this is the best Finance Bill that we have seen in some years. I return to the point that I made on Second Reading: Governments do not have their own money, only taxpayers’ money. It is absolutely imperative to remember that and to remember that taxes are paid in the expectation that they will be spent wisely and necessarily. Where the Government can find a way to enable taxpayers to keep more of their own hard-earned money, they should do so.

Helping families in constituencies like mine better to meet the costs of living is absolutely critical. I am therefore a strong supporter of clause 5, raising the personal allowance for us all and the scope of the basic rate to more of the middle earners who have previously been dragged into higher rates of taxes than they should have faced. These are not the top earners, but will often be the likes of middle management, senior nurses, or lower-rank inspectors in the police, and they have previously been penalised by this punitive higher rate of tax.

The increase in the personal allowance is the latest in a line of such increases. This will mean that a typical basic-rate taxpayer will pay £1,205 less tax in the next tax year than they did in 2010-11. Importantly, the increase to £12,500 comes a year earlier than planned. That can happen because the public finances are in a better shape than had been predicted, thanks to the hard work of the British people and the sound fiscal management of my right hon. Friends the Chancellor and the Chief Secretary, and the Ministers on the Front Bench. They know that taxpayers’ money is taxpayers’ money, and they have rightly allowed taxpayers to keep more of it as soon as it has been possible to do so, as we see in these clauses. This is combined with inflation coming back under control and wages rising again in real terms. The lowest paid have not only been taken out of income tax altogether but enjoy an increased national living wage.

[Leo Docherty]

I share my hon. Friend’s thoughts about the increase in the personal allowance. Does he agree that one of the very significant positive things in this Finance Bill is also the—I am sorry; I will let him continue.

[Jack Brereton]

I thank my hon. Friend for his comments.

As I was saying, allowing taxpayers to keep more than it would have been possible to do previously is combined with inflation coming back under control and wages rising again in real terms. The lowest paid have not only been taken out of income tax altogether but enjoy an increased national living wage, thanks to this Government. We are seeing the lowest paid paying less tax but also bringing home more money. The annual earnings of a full-time—

[Alison Thewliss]

Does the hon. Gentleman not accept that the national living wage is not actually a wage that one can live on, and that it does not apply to those under the age of 25? In fact, the gap for those aged 16 and 17 has been going up every year.

[Jack Brereton]

The national living wage is a critical part of ensuring that some of the lowest paid in our society earn much more and take home more pay. Earnings for a full-time minimum-wage worker will have increased by £2,750 since it was introduced in April 2016.

[Leo Docherty]

rose—

[Jack Brereton]

My hon. Friend can have a better go this time.

[Leo Docherty]

I am very grateful to my hon. Friend for giving way and giving me another chance. He mentioned inflation. Does he share my view that the fact that the annual deficit has been reduced by 80% since 2010 is another very significant piece of progress with regard to inflation?

[Jack Brereton]

I agree with my hon. Friend’s comments, which show the responsible approach we on this side of the House have taken to the economy, compared with the approach the previous Labour Government took.

[Peter Dowd]

rose—

[Jack Brereton]

And now the hon. Gentleman is going to tell us about Labour’s future approach if they ever get back into office.

[Peter Dowd]

As the hon. Gentleman is talking about borrowing, does he agree that the Tory party in the last eight years has borrowed more money than all Labour Governments put together?

[Jack Brereton]

The hon. Gentleman will have seen the figures that show that debt is now coming down to lower levels than ever before, and we have seen the deficit back under control after the failings of the previous Labour Government who got us into an horrendous mess that working families in this country ended up paying for.

We are now seeing the numbers of low-paid workers at a record low, and we are seeing low taxpayers now paying record low levels of tax. The astonishing turnaround achieved in making work pay, not least through tax measures like those before us today, means that the Office for Budget Responsibility has now revised up its assumptions for the trend labour market participation rates and revised down its estimate of the equilibrium rate of employment. As the Treasury rightly highlights in the Red Book paragraph 1.15, both of these revisions raise the level of potential output, which is good news for the sustainability of the labour market boom which has undoubtedly been the greatest achievement of the policies pursued by this Conservative Government.

[Ruth George]

Would the hon. Gentleman not agree with the Institute for Fiscal Studies that the cumulative impact of personal tax and benefit reform since 2015 has been that the bottom two thirds of society is far worse off and that the only people who are better off under this Government’s policies are the top third?

[Jack Brereton]

I totally disagree. We have seen increases in the national living wage and reduced tax in this Budget, and further measures in this Budget to support UC.

[Vicky Ford (Chelmsford) (Con)]

Does my hon. Friend agree that the fact we should be looking at is the fact reported by the OECD that the proportion of jobs that are low paid is at the lowest level for the past two decades? We should be celebrating that.

[Jack Brereton]

That is absolutely right. We should be looking at those figures, not some of the figures being used by Opposition Members, who want to keep people on a level of pay that is lower than it would ever be, because they want to keep people out of work and keep people in the workless society we saw under the previous Labour Government.

We on this side of the House have made work pay, and the long-term benefits of doing so are clear in the expansion of our non-inflationary production potential. The last time unemployment was so low, 40 or more years ago, there were massive peaks in inflation. The contrast with today is stark and we should be proud of our work as a country in digging ourselves out of the mess left by the Labour party.

For people in Stoke-on-Trent making work pay has added to the renaissance of our fine, proud city and its industries, and the situation is the same in once-forgotten manufacturing towns across the country, which are seeing a revival in real jobs for real levels of take home pay. Indeed the ONS estimates that real household disposable income per head was 4% higher in quarter 2 of 2018 than at the start of 2010, and the OBR expects it will increase by a further 3.2% by the end of 2023. At the same time, income inequality is down, and is lower than it was in 2010. To refute a number of the claims made from the Opposition Front Bench, the number of children in absolute low-income poverty has fallen since 2010.

[Peter Dowd]

I hear what the hon. Gentleman says, but if he is so convinced of his policies in relation to the issues he is talking about, why will he not support the provision in section 5 of the Act of an impact assessment on child poverty and equality? What has he got to fear?

[Jack Brereton]

The reason is that the facts show that the number of children living in absolute poverty has fallen since 2010 and will continue to fall, because of the policies of this Conservative Government.

[Vicky Ford]

Does my hon. Friend agree that for every £1 those on low income pay in tax, £4 of public spending goes towards them, whereas for those on higher income, for every £5 they pay in tax they receive only £1 back in public spending, and that is because we are a fair society, which means that well-off people contribute to helping those on lower incomes?

[Jack Brereton]

I thank my hon. Friend for those comments, which show that the highest earners are paying their fair share, while the lowest paid in society are being supported as much as we can. That is what this Government have been doing: reducing taxes for the lowest paid in society and ensuring that the lowest paid can be paid more.

I reject many of the views of the hon. Member for Oldham East and Saddleworth (Debbie Abrahams). She made some comments about statistics and then used statistics in her own way. I will also refer to the G7 by saying that only in the UK and Japan have the lowest paid seen their wages grow in that time, and income inequality is lower than it was previously.

[Debbie Abrahams]

On a point of order, Dame Eleanor. The hon. Member for Stoke-on-Trent South (Jack Brereton) suggests that I have used statistics inappropriately. I can cite all my sources of evidence; can he?

[The First Deputy Chairman of Ways and Means (Dame Eleanor Laing)]

Order. The hon. Lady knows that that is not a point of order for the Chair; it is a point of debate, and, as I have said many times in here—and so has Mr Speaker—fortunately it is not the duty of the Chair to decide between one set of statistics and another. It all depends on how one applies the statistics, and the hon. Lady is perfectly at liberty to intervene on the hon. Member for Stoke-on-Trent South (Jack Brereton), as is he to take an intervention from her, where they can continue the argument between them, but I will take no part in it.

[Jack Brereton]

Thank you, Dame Eleanor. The statistics I have used show that income inequality is lower than it was before the crash, and this is all alongside our continuing to reduce the deficit and debt, and meeting our targets three years early, while continuing to invest more in our vital public services. This responsible approach to public finances has seen our economy and the number of jobs boom, compared with the spiralling-out-of-control economy under Labour.

I was pleased that the Minister with responsibility for high streets—the Under-Secretary of State for Housing, Communities and Local Government, my hon. Friend the Member for Rossendale and Darwen (Jake Berry)—visited my constituency on Friday and talked about some of the measures we are taking in this Budget to support towns like Longton and Fenton in my constituency, helping to address some of the issues on the high street. I hope we can get some of the £650 million pot announced in the Budget to convert many of their empty premises back into use and help with business rates to ensure that retailers with a rateable value of under £51,000 will receive relief, as that will be hugely welcome by the smallest retailers in our towns.

I also want to comment on some of the views expressed by Opposition Members about entrepreneurs’ relief. I was shocked that some of the views were so anti-business and anti-enterprise. We must condemn those views, which are damaging businesses in constituencies up and down the country.

[Peter Dowd]

rose—

[Jack Brereton]

Can the hon. Gentleman answer that one?

[Peter Dowd]

The hon. Gentleman must not misquote. We are looking for an assessment of entrepreneurs’ relief, and if he believes that what he suggests is good value for money for taxpayers he would support a review of that relief. What is wrong with that?

[Jack Brereton]

I just wanted to talk about the relief in Stoke-on-Trent as well. Entrepreneurs’ relief in my constituency will help many businesses that are starting up. We have some fantastic retention rates in Stoke-on-Trent; we have some of the highest new business start-up retention rates in the country, and that relief is critical in helping those businesses.

The measures introduced in the Budget to increase the time period from 12 to 24 months will help to ensure that it is businesses that are genuinely contributing to our economy that will receive the relief, making a huge contribution to the development of new technologies and innovation that we so much support in our economies throughout the country.

The proposed reductions in corporation tax in the Budget and the relief on capital allowances, which my hon. Friend the Member for Gloucester (Richard Graham) spoke about, will also be a huge support for many of the businesses in my constituency, particularly manufacturers. Around 15% of the economy in Stoke-on-Trent is made up of manufacturing businesses. Those measures will be a huge support for those businesses, increasing the amount of machinery and equipment that they can buy. Increasing relief on capital allowances and the investment allowance up to £1 million will help more of those businesses to buy new equipment and invest in the plant in their factories. I welcome that measure, which will help not just those manufacturing businesses, but the huge number of businesses up and down the country that produce that machinery and the workforces in those industries, which are so valued up and down the country.

[Rachel Maclean]

Does my hon. Friend agree that when we are talking about support for businesses, through entrepreneurs’ relief and all these other measures, we are talking not just about the people who own those businesses, but about the people working in them who have a job because of these measures?

[Jack Brereton]

Absolutely, and we want to see the number of those workers and the opportunities and jobs in those industries continue to grow. That is why it is so shocking to hear views from the Opposition that would damage the jobs miracle that we have seen over the last few years in this country.

Wages are rising, inflation is stable, unemployment has been so low for so long that the Office for Budget Responsibility believes that the equilibrium rate has fallen, income inequality is down and disposable income is up. This is the extraordinary record of making work pay. It is a huge economic success story, after the financial meltdown that the Labour party presided over. I want to see the success continue, and I know that to do so this House must support the Bill. I shall continue to do so, not least because of the concrete measures it contains for putting money in the pockets of Stoke-on-Trent’s very many hard-working people.

[Thelma Walker (Colne Valley) (Lab)]

I begin by reflecting on the purpose of our society—the purpose of our communities, locally and nationally. The great Labour Prime Minister Clement Attlee said:

“No social system will bring us happiness, health and prosperity unless it is inspired by something greater than materialism.”

I agree with Clement Attlee. To me and many others in this House, the aspiration is to create and be part of a community and society that cares for one another and enables everyone to succeed in life, in whatever form success takes—a society that is safe and secure from cradle to grave and that provides accessible healthcare, quality housing, outstanding education and secure employment. A Government’s ultimate goal should be the wellbeing of its citizens, and there is much evidence to suggest that higher levels of wellbeing can lead to higher levels of job performance and productivity and greater job satisfaction. That is the society I want to live in.

Unfortunately, to say that that is not a reality under the current Government is an understatement. This Finance Bill does nothing to deliver the people of this country’s wellbeing. On new clause 2, a UN report just last week told us that the Government have inflicted “great misery” on our people, with

“punitive, mean-spirited and often callous”

austerity policies, driven by a political desire to undertake social re-engineering rather than by economic necessity. This is from the United Nations poverty envoy. We are told that levels of child poverty are

“not just a disgrace, but a social calamity and economic disaster”.

The Budget was an opportunity to make some attempt to right those wrongs. Did it offer full and fair funding for our teachers and education service? No. Did it offer reassurance for those suffering the consequences of the cruel and callous roll-out of universal credit? No. Did it attempt to put an end to the causes of homelessness and destitution? No. Did it commit to funding our police services to help halt the massive increase in violent crime? No. Did it commit to funding our local councils, suffering 50% cuts, which are damaging the very fabric of our society? No. Did it do anything to relieve the hardship felt by so many women across our country? No.

Some 14 million of our citizens—our people; a fifth of the population—are living in poverty. One and a half million are destitute, with no money for even basic essentials. Up to 40% of children will be living in poverty by 2022. This Finance Bill is about lip service and rhetoric—pretending to care about the poor and vulnerable, but doing nothing substantial to address the misery and suffering felt by so many in our society. There is so much poverty and inequality in our country, and our country has never been more miserable or divided—divided geographically, generationally and economically. We have poverty in our cities, towns and villages, but under this Government there is a poverty of compassion, a poverty of empathy and a poverty of insight into what real, ordinary people’s lives are like.

My mum said to me a few years before her death, having lived through the depression in the 1930s and survived the Manchester blitz in the second world war: “I’m glad I’m at the end of my life and not at the start when I look at what this Government are doing to our society. They’re punishing people for being poor”. Enough now. The people of this country have had enough. Labour will keep up the pressure and fight for those who are stuck in poor-quality housing, those who are struggling to feed their families and those who are not yet old enough to understand what poverty is and how it may impact their life. They deserve better.

I would like to finish with a quotation from the philosopher Thomas Paine:

“It is error only, and not truth, that shrinks from inquiry.”

It is interesting that the Government are currently facing so many questions and inquiries, both within this House and beyond.

Finance (No. 3) Bill

Jack Brereton Excerpts

2nd reading: House of Commons & Programme motion: House of Commons
Monday 12th November 2018 Commons Chamber

[Jack Brereton (Stoke-on-Trent South) (Con)]

It is a pleasure to speak on Second Reading.

After all the years of hard work since 2010, and the necessary repair of the public finances after the catastrophic failures of the last Labour Government, this Budget was a turning point for our country. The Government are meeting their fiscal rules three years early and the deficit has been reduced to its lowest level since 2001. Debt has started its first sustained fall in a generation. The Bill reflects the success of that hard work and it rewards the British people for what they have achieved.

No Government have money of their own, only taxpayers’ money. It is right that hardworking taxpayers be allowed to keep more of their own money now that the economy is back on track; people in Stoke-on-Trent have more money in their pockets due to the measures in the Bill. It is also right that a new path is set for the public finances that reflects the huge efficiencies and fiscal improvements that have been achieved. Combined with Brexit, the Bill means that after eight years of hard work to get out of the mess left behind by the Labour Government, those of us on the Conservative Benches can focus on the measures that will take our country forward to a global future in the decades ahead.

What a contrast in approach: a Conservative party working to take us forward to the 2070s against a Labour party scheming to take us back decades to the 1970s. In his initial remarks, the shadow Minister, who is no longer in his place, tried to say that the Conservatives are not a party of opportunity. I would like to ask him what he would say to my constituents, as well as millions across the country, who were subjected to a life of dependency and worthlessness under the last Labour Government and who are now in work thanks to Conservative policies.

At a time of momentous change as we deliver on Brexit, the Government’s continuing commitment to sound economic management is to be welcomed. There are continuing efforts to make the tax system fairer, with anti-avoidance measures to ensure that legitimate reliefs are not abused. In addition, there are measures to increase the generosity of certain reliefs and exemptions where they encourage behaviours that are beneficial to the economy and to society. For example, the quintupling of the annual investment allowance, from £200,000 to £1 million, is a strong response to the very temporary uncertainty that Brexit might bring.

That measure is hugely welcomed by manufacturers in Stoke-on-Trent South, as it will be across the country. Indeed, when I visited Walkers Nonsuch Toffee last week, it was very clear that these measures will see it invest in more new machinery to build on the great success it is experiencing. I can tell you, Madam Deputy Speaker, that I very much enjoyed tasting some of its products on my visit. A family business since 1894, it exports England’s finest toffee from my constituency right around the world, with many of its largest growing markets in South Korea, Australia and China. Equally, I welcome measures such as the 60% increase in the charity small trading tax exemption limit to £8,000 and £80,000 depending on turnover, and the extension of the first-year allowance for electric car charging points for four years. While there is a case to be made for having reliefs and exemptions to encourage beneficial outcomes, there is also a clear case for increasing taxes on harmful and detrimental behaviours. That is why I welcome the action on white, high-strength ciders and continuing strong fiscal disincentives to smoking, both of which are having major impacts on the lives of individuals, public health and our NHS.

In addition, I welcome the measures for a new tax on the largest online companies to ensure that they pay a fair share. That is very important for the revival of our town centres, as is reducing taxes on smaller retailers and putting in place funding for the town centres in places such as Longton and Fenton, which I hope will benefit from the additional funding for the conversion of some of the empty units.

For areas such as Stoke-on-Trent, which is made up of six historic market towns with a strong manufacturing tradition, opportunities have arisen for a sustained revival. The Office for National Statistics last week reported that

“around half of total production growth in Quarter 3 was driven by manufacturing.”

That is very good to see and suggests that the slippage in quarters one and two was anomalous to a longer-term trend of manufacturing growth under this Government. Goods exports are also back in quarter 3 to a position where they are rising faster than service exports, which is a positive sign for a country that needs to rebalance our national economy to areas where people are skilled and proud to make things. No manufacturers are more skilled and proud than the local advanced manufacturers of Stoke-on-Trent.

Moving on to trade and our global approach, we need to ensure that trade is more international as we move through Brexit. Global Britain starts from a solid economic base, underpinned, of course, by the attraction of a world-renowned, trusted, legal system and sound rules of governance. As a country that plays by the rules, the UK is a great partner to trade with and a great place to invest in. I know that the Government will rightly enter all trade negotiations in a spirit of optimism and generosity in offering free and fair rules-based trade deals. There are great opportunities ahead.

In Stoke-on-Trent, despite manufacturing making up 15% of the economy, I am afraid that we do not export enough of the fantastic products that we make, falling well behind our statistical neighbours in the rest of Staffordshire. Far too often, historical trade beyond the EU has been occurring by chance rather than from concerted efforts to promote British products. Brexit must lead to opportunities to broaden trade and especially to help smaller businesses in places such as Stoke-on-Trent to export more, and it is pleasing to see the Department for International Trade ramping up its efforts in these global markets. We can look to open up new channels for inflows and outflows of foreign direct investment, particularly to facilitate UK direct investment in sales and distribution operations beyond the EU, and look to strengthen our presence in key markets of the USA, the Commonwealth, South America and south-east Asia, which promise many opportunities for Stoke-on-Trent’s fantastic export offer.

There is much to be positive about in the Government championing free and fair trade, but it is inescapably the case that some of our competitors, in an effort to boost their state-aided, quasi-private businesses, do not always play by the rules. So, where we are rightly open to proffering carrots, we must also be pretty clear that we will keep a few sticks if the agreed rules with our new trade partners are not kept. I know from correspondence I have had with Department for International Trade Ministers and, indeed, the Prime Minister, that this is very much the case and the intention, moving forward.

Global Britain is our future and we must be prepared for that future so that we can seize the opportunities available on the world stage. The Bill certainly moves us forward to that future. Through a fairer tax system, growth deals, city deals, sector deals, local funds, transport projects, devolved funding and international trade support for local businesses on the world stage, this Government are ensuring that no part of the United Kingdom is left behind and, as part of that agenda, I am very happy to support the Bill tonight.

High Speed 2

Jack Brereton Excerpts

Wednesday 12th September 2018 Westminster Hall

[Jack Brereton (Stoke-on-Trent South) (Con)]

I congratulate my hon. Friend the Member for Stone (Sir William Cash) on securing the debate. As a great believer in the future of rail transport, I have long welcomed greater investment in our railways. On Second Reading of the High Speed Rail (West Midlands - Crewe) Bill, I raised the positive case for ensuring that HS2 trains serve Stoke-on-Trent, and I continue to push for the enhanced connectivity that our growing economy needs. I am pleased that the Department for Transport recognises that. However, I have continued to raise concerns about the level of disruption that we are likely to experience during construction—in particular, I did so at the Bill Select Committee. I will set out how HS2 could deliver much greater benefits for the substantial investment being made and how its impacts can be mitigated much more effectively.

The new high-speed rail line is sound in principle but, as I have always warned, for HS2 to maximise in practice the suggested social and economic benefits, it must be met with improvements locally on the conventional network. Indeed, much more work must be undertaken in partnership with Network Rail to assess what measures will be necessary to ensure that the conventional network is up to an acceptable standard to facilitate HS2 classic-compatible services.

Services via Stoke-on-Trent and Stafford should terminate not at Macclesfield but at Manchester, and work must be done to understand how additional capacity can be facilitated on the network north of Macclesfield to allow for that. In addition, work must be done to address constraints caused by the numerous junctions and level crossings on the network throughout Staffordshire. Importantly, there is a section of the line at Alsager that must be redoubled to increase capacity and the frequency of services linking through to Crewe and beyond.

While the commitment on HS2 services serving Stoke-on-Trent is welcome, current levels of economic growth demand more than one service an hour. In particular, the introduction of a classic-compatible service between Birmingham Curzon Street and Stoke-on-Trent, terminating at either Manchester Piccadilly or Liverpool Lime Street, would help relieve severe overcrowding on the network north of Birmingham.

There are clear challenges with running HS2 services on the conventional network, some of which I have outlined. I hope that the Minister will indicate what is being done to understand what works are required to achieve full integration. That spending must be planned for in Network Rail’s control period 6, which is due to start in 2019. As I continue to stress, it is essential that HS2 works effectively with Network Rail, the city council and other partners to ensure that improvements to Stoke station are completed.

My greatest concern is about construction traffic. Traffic modelling carried out by HS2 is based around the stipulation that 90% of excavated material will be reused in construction. As an estimate, for every 1% that that figure is out, there would be roughly an additional 250,000 vehicle movements. Geotechnical ground investigations have yet to be undertaken on phase 2a, but studies on phase 1 commenced in autumn 2017 and that data will include analysis of the quality of the excavated material, which will help inform whether it is viable to reuse 90% of it. It is essential that early lessons are learned from phase 1, and the data is vital to informing the traffic modelling.

There will be a significant impact from construction traffic on the road network along the route, especially at junction 15 of the M6, which serves Stoke-on-Trent. That location will see the highest impact from construction traffic during phase 2a. HS2 figures suggest that it will cause gridlock at the junction, with a 50% increase in HGVs at the morning peak and nearly a 100% increase at the afternoon peak. It has been widely recognised that the approach taken in the traffic assessment is insufficient; it is not a network analysis but an analysis of junctions independently of one another, which is most problematic at this location.

Junction 15 is made up of three interacting junctions, yet HS2 has analysed the impacts separately and independently, meaning that the full impact has not been recognised. I call for the Government and HS2 to take action to ensure that junction 15 is upgraded before the construction of phase 2a. That is essential to ensure that it can accommodate not only HS2 traffic but future growth in the economy and complete the national smart motorway spine. I also call for upgrades on the A34, where it is predicted there will be a 400-car queue every evening.

Taxation (Cross-border Trade) Bill

Jack Brereton Excerpts

3rd reading: House of Commons & Report stage: House of Commons
Monday 16th July 2018 Commons Chamber

[Mr Speaker]

There is one minute.

[Jack Brereton (Stoke-on-Trent South) (Con)]

I want to focus on trade remedies. This is particularly important for the ceramic sector in my constituency, so I am absolutely delighted that the Government have listened to the arguments I have been making over the past year and secured clarifying amendments on trade remedies that, critically, will deliver the right Brexit for the ceramic sector, for wider manufacturing industry, and, most importantly, for the workforce and the voters of Stoke-on-Trent.

The Government have tabled several critical amendments. I was very pleased last week to have an answer to a written question providing confirmation on establishing normal value. That is so important to resisting the dumping of ceramic products from China. Significant state subsidisation by China, particularly in the ceramics industry, threatens British industry, so I am pleased that the Government have listened to those arguments and, through their amendments, have taken action.

Financial Guidance and Claims Bill [Lords]

Jack Brereton Excerpts

3rd reading: House of Commons & Report: 3rd sitting: House of Commons
Tuesday 24th April 2018 Commons Chamber

[Frank Field (Birkenhead) (Lab)]

I wish to speak to amendments (b), (c) and (d) to new clause 9, which stand in my name. As the House might know, they arise from the work that the Work and Pensions Committee did on miners’ pensions. For most people, decisions about moving pension capital are made towards the end of their lives, but miners had to decide where they should safely put their pension savings as a result of the change in the ownership of their industry.

Given the warning from the hon. Member for Airdrie and Shotts (Neil Gray) that we may not get on to the second set of amendments, I should mention that I have some amendments in that group to raise with the pensions Minister. Perhaps I may address two points to the Economic Secretary, but first I thank both Ministers for the way they have engaged with the Work and Pensions Committee for our report and in our meetings. We are immensely grateful to them. On some issues, I have joined my Front-Bench spokesmen because we have been pushing the same measures and interests.

I wish to raise two points that I hope the Economic Secretary will say will be added to the Bill. First, not only should cold calling become unlawful, but any information that arises from it should not be used for commercial purposes—that is, in respect of pension savings. Secondly, would it not be sensible to use the opportunity presented by this Bill to add the Financial Conduct Authority to the list of bodies in the Government’s policing arm to counter activities that unlawfully undermine people’s pension savings by trying to persuade them to move their assets in one way or another?

In the interests of getting on to the second set of amendments, I conclude my comments.

[Jack Brereton (Stoke-on-Trent South) (Con)]

I am pleased to be called to speak in this debate, Madam Deputy Speaker, because the issues are of particular interest to me as a member of the Work and Pensions Committee. I want to reflect on some of the evidence the Committee has heard in its inquiry into pension freedoms and choice, as it relates to some of the changes proposed in the Bill.

While I am extremely supportive of the work the Government have done to increase the freedom of our constituents in respect of their pension savings, it has undoubtedly created new challenges that must be addressed. I am pleased that the Bill has been brought forward as an opportunity to address them. The first challenge is advice. It was apparent from our sessions on the British Steel pension fund that those who find themselves needing to switch often struggle to get the advice they need. There were mixed experiences, with some people receiving very good local advice and others receiving very bad advice or none at all.

[Mark Tami]

On the British Steel pension scheme, does the hon. Gentleman agree that the FCA has been very slow to react, when it was clear in certain locations that there were many problems with the way some people were advising people to get out of the scheme?

[Jack Brereton]

That issue certainly came up in our evidence. Those who saw our evidence sessions will know that there was quite a significant grilling of the FCA.

Those experiences show that some irrational decisions—often described as “emotional” decisions—were made in the moment. Sadly, those short-term decisions were not the best investment decisions for the longer term. Unfortunately, this vulnerability—the vulnerability of immediacy or a form of panic, one might say—allowed predatory vulture companies to take advantage of an emotionally charged situation, with people reinvesting their pension pots without the full, impartial advice that is needed. Those vultures exploited scheme holders, framing what they were doing as giving impartial advice, when it was nothing of the sort. Many people felt that they were not fully informed of the consequences of the complex investment decisions they were having to make.

The accessibility of free independent advice in such situations has, in some cases, been woefully limited. More generally, the often perplexing nature of pensions leaves many people making decisions about their investments that are not necessarily in their best interests. Evidence presented to the Select Committee by the Association of British Insurers from the FCA’s “Financial Advice Market Review: Baseline report” suggests that not even one in 10 UK adults—just 6%—had received regulated financial advice. Worryingly, 25% of people who needed advice about their finances did not access it.

There are a number of reasons why our constituents are not accessing the advice they need, but what has been demonstrated is that not enough people are currently accessing the free independent advice that is available. The Association of British Insurers suggested that although 44% of people who are approaching retirement had access to some sort of advice, only 10% used the Pensions Advisory Service and only 7% used Pension Wise. The lack of clear advice combined with confusion about who to trust for independent advice has made it too challenging for those making investment decisions. Not enough people are getting the advice that they need to make properly informed judgments.

Secondly, we also found that very limited numbers of people are making the active decision to shop around and switch providers. Often, the tendency of those changing schemes is to stick to the same provider, so switching—active consumerism—is another challenge. There are, of course, a number of reasons why people might find it difficult to switch providers, not least the lack of good information and advice about the choices available, as I just related. It is also a major barrier to consumer activity, so I am pleased that part of the Bill proposes to create a single guidance body. That will make it much clearer for our constituents to see where they can turn for the right advice to make informed decisions and manage their finances for the future.

[Alex Burghart (Brentwood and Ongar) (Con)]

My hon. Friend is giving an important speech. Some of the evidence that we received on the Work and Pensions Committee was from Citizens Advice, which suggested that 97% of the pension scams that had taken place in one year originated from unsolicited calls. Does he think that the measures that the Government are bringing forward in the Bill will go some way to combating that?

[Jack Brereton]

I thank my hon. Friend for that point; I agree that it is critical that we take action to stop cold calls, and I am about to come on to some of those points.

This change will also ensure that the advice that is available is joined-up and better suited to our constituents’ needs, ensuring that decisions are not made in isolation, but with consideration to the wider implications of investment decisions on an individual’s overall finances. Measures in the Bill will also ensure that people receive the appropriate advice as a matter of course and that they should opt out if they do not wish to receive such advice. I also hope that the commitment made by the Government and the industry to develop a pensions dashboard will be delivered, making it easier for our constituents to have access to the information that they need about their pension savings to make suitable decisions.

Thirdly, the Committee heard about the increasing number of pension scams that are being reported, with more people being actively deceived into making investments that are not in their best interests. It was suggested that many rogue companies are using cold calling to target people and to get them to invest without full thought of whether it is the right and best decision for them. I am sure that many right hon. and hon. Members have, like me, been contacted by constituents who have been continually badgered by cold calling. It is a real issue in Stoke-on-Trent South and I am sure that it is a challenge in other areas, too. Many of the people targeted by cold calling are elderly or vulnerable and are taken advantage of by those seeking to cheat our constituents out of their hard-earned life savings.

[Michelle Donelan (Chippenham) (Con)]

Does my hon. Friend agree that although the pension freedoms that were introduced in 2015 were a fantastic opportunity for our constituents, they have led to an increase in rogue scammers and cold calling? That is why new clauses 9 and 4 are so important for the Bill.

[Jack Brereton]

I absolutely agree. That is why it is so important that this legislation is passed and that the Government have proposed these amendments. I am pleased that the Government have put measures in the Bill to ban the use of unsolicited marketing on pensions and financial products and services. It is a significant step towards preventing future abuses.

Of course, this legislation can never stop all scams being attempted—we cannot legislate away those who have nothing but contempt for legislation—but it does send a clear message not just to those conducting this behaviour, but to those who are at risk of being conned. By raising awareness of the challenge of scams, the Government can make more people wary of them. This will mean that those who are targeted can have the confidence that whenever they are cold-called by people trying to offer this sort of advice about their pensions or information about their investments, the calls are not legitimate but in fact illegal, and they should put the phone down. The Government are taking a balanced approach, acting if necessary to target where cold calling is most prolific and most damaging, such as in the area of pensions and financial products and services.

Oral Answers to Questions

Jack Brereton Excerpts

Tuesday 17th April 2018 Commons Chamber

[Elizabeth Truss]

I point out to the hon. Lady that real-terms spending in the Home Office is going up. We are funding the Home Office, but the important thing is what we do with that money, and that is why the Home Secretary has outlined the serious violence strategy to deal with that issue.

[Jack Brereton (Stoke-on-Trent South) (Con)]

5. What steps he is taking to invest in the infrastructure of small and medium-sized cities.

[The Exchequer Secretary to the Treasury (Robert Jenrick)]

In this Parliament, investment, including in infrastructure, will be at its highest sustained level since the 1970s, and our cities large and small are an important part of that strategy. We recently launched the £1.7 billion Transforming Cities fund to upgrade infrastructure, in addition to £345 million of funding for local road projects in England.

[Jack Brereton]

I thank the Minister for his response and for meeting me recently. Does he agree that cities such as Stoke-on-Trent are perfectly placed to benefit from investment through the Transforming Cities fund?

[Robert Jenrick]

I quite agree: Stoke-on-Trent is exactly the kind of city that we designed the Transforming Cities fund to benefit. From the meeting we had, I know that my hon. Friend sees opportunity in Stoke—in Stoke station, at junction 15 on the M6 and in the proposal for a ceramics park. With the dynamic Conservative leadership in Stoke at the moment, we look forward to receiving that application.