Areas with Additional Public Health Restrictions: Economic Support

Jo Gideon Excerpts

Tuesday 6th October 2020 Commons Chamber

[Steve Barclay]

First, all businesses are able to benefit from the universal elements of the support package put in place by the Chancellor, whether that means loans, tax referrals or schemes such as the furlough. However, the hon. Gentleman is right that the nightclub sector is affected acutely, among all businesses affected. That is not just because it has been shut down from the start of the lockdown, but because it is very unclear when the end will be in sight, in terms of that sector and our ability to reopen. That is why the Chancellor has said, extremely reluctantly, that we are not in a position to save every single job. I think that around a third of nightclubs have repurposed by becoming pubs or reshaping their offer, but I absolutely accept that not all nightclubs will be able to do that. We are trying to target the very comprehensive measures of support on areas where jobs can be saved, but we recognise that not every single job will be saved.

[Jo Gideon (Stoke-on-Trent Central) (Con)]

In my constituency of Stoke-on-Trent Central, more than 11,600 jobs have been protected so far through the furlough scheme and more than £50 million has been made available to businesses to bounce back through various loans and grants. Recently, Stoke-on-Trent was removed from the watchlist and avoided a local lockdown, thanks to prompt local action; however, we are geographically close to many local lockdown areas. I ask my right hon. Friend for reassurance that those businesses in Stoke-on-Trent most economically vulnerable to any local lockdown will continue to be able to access financial support.

[Steve Barclay]

I am very happy to reassure my hon. Friend that the package of support that the Chancellor set out in his winter plan will assist businesses in Stoke and elsewhere, bringing back jobs that are viable and supporting them in terms of their cash flow. Furlough has already seen more than half the jobs—from a peak of 8.9 million—come back, so it has served a key part of its purpose. I know that my hon. Friend is also a keen champion of the wider levelling up agenda, so as those businesses bounce back, it will also be important that we work together on that agenda, which I know areas such as Stoke should benefit from very strongly.