High Street Businesses

John Lamont Excerpts

Wednesday 26th February 2025 Westminster Hall

[Matt Vickers]

The hon. Member is right. For many small businesses, the specific relief for leisure, hospitality and retail has already been slashed from 75% to 40%, the end consequence being a more than doubling of what they are paying. It is just not affordable for businesses that are struggling to carry on employing people and doing business, especially with the other challenges that come their way. It is simply not affordable. It is the wrong thing to do, and it has a cost for our communities and those employers.

As I said, funds such as the community ownership fund were not just about a lick of paint but turning around vacant and lifeless high streets, and they created community spaces that were valued, restoring pride in our towns. What is more, community-owned assets are estimated to contribute £220 million to the economy each year.

My constituency of Stockton West saw real progress under the last Government in taking our town centres forward. In Thornaby, the £23.9 million town deal we secured from the last Government has allowed us to achieve many things, including the creation of a new vocational training centre, security and energy interventions in some of the most challenging housing, upgrades to cycling infrastructure and much more. It is allowing us to build a new swimming pool in the town centre, which will drive footfall to businesses.

For years, Thornaby’s skyline was dominated by the eyesore that was the disused Golden Eagle hotel, but now, thanks to money from the last Government and following a long debate with the council, it is finally coming down. Those moves are game changing for Thornaby. They will drive further footfall to local businesses and restore pride in our town centre.

[John Lamont (Berwickshire, Roxburgh and Selkirk) (Con)]

My hon. Friend is demonstrating what a great champion he is for Stockton West and why he has a reputation in this place for being one of the hardest-working MPs in Teesside. Does he agree that high streets are a lifeline for our local communities? In the Scottish Borders, I am fortunate to have a whole number of small and vibrant high streets, but their businesses are being hammered, not only by the Labour Government’s tax hikes through national insurance but the SNP Government’s tax hikes through business rates.

[Matt Vickers]

I could not agree more. Looking at the value of high streets, it is not just about businesses and jobs. They are places where people come together, and they can tackle isolation. There is also the feeling of pride in our town centres. Businesses only have so much money to give in tax, and it is going that bit too far now, to the point where we will lose businesses forever.

I will carry on my list of wonderful things that are going on in Stockton. In Yarm, levelling-up money from the last Government has meant that we are seeing nearby Preston Park improved and upgraded with new exhibition spaces. There are upgraded toilets, a café and more parking. We are sorting the disused aviary and creating a tribute to our railway heritage. This will drive visitor numbers to our area and complement the changes taking place in the high street, where we have seen the town’s skanky public toilets replaced. Streetscape interventions are planned to make the town centre more accessible, and we have gained a much-needed car park. The levelling-up money from the last Government has also helped the town council in Yarm to deliver on its ambition to renew our town hall, creating a visitor centre fit for the amazing high street that Yarm has.

In Stockton, £16 million of future high streets funding has allowed for the complete reconfiguration of our high street, also making way for our new £25 million diagnostic hospital. Securing the money for the diagnostic hospital remains my proudest contribution during my time as an MP, because I know the huge difference it will make to the people of Stockton. We ran a petition and gathered thousands of signatures to demonstrate public support. I was involved with the NHS trust and local authority officers drawing up the bid at its inception, and, when the bid was initially rejected due to a prolonged delivery timetable, I met the Secretary of State to hear his reasoning, and then, that same day, met directors from all the stakeholders to come back with a renewed timetable and a plan to unlock this investment.

In the very near future, the doors will open on that centre, which will provide 104,000 lifesaving tests, checks and scans to local people every year and, importantly, it will be yet another reason for would-be punters to come to our town centre and support local businesses.

Those interventions, funded by the last Government, are game-changing for my community and other communities across the country, repurposing our town centres to drive footfall and keep them as the vibrant hearts of our communities. But now the taps of governmental investment look to have been turned off: efforts to innovate and reconfigure town centres will be paused; our high street businesses are being battered by the Budget; and the consequences are there for all to see. Too many businesses are closing; too many jobs are being lost; and boarded-up high streets and town centres will eat away at the pride people can have in their communities and town centres.

I ask the Minister whether the Government really appreciate the challenges posed to high street businesses by the national insurance increase, and, similarly, the impact of slashing the business-rates relief for small leisure, hospitality and retail businesses. Will communities across the country ever again be able to benefit from the game-changing interventions brought about by the community ownership fund, the levelling-up funds, town deals, and other such funds, which allowed for those interventions to protect the future of our high streets?

As a former Woolworths worker, I could go on all day about the loss of iconic retailers, and about the impact of the Budget on post offices, on local pubs, and on opportunities for young people. And I will not even mention my Labour council’s ridiculous plans to introduce car parking charges in Yarm and Stockton high streets—I have probably said enough on that. I will leave it at that. Suffice it to say that I am a fan of the great British high street, and believe that securing its future should be a priority for any Government.

--- Later in debate ---

[Gregor Poynton]

Yes, I completely agree with my hon. Friend. I also think that his point about antisocial behaviour is a strong one; these town centres and high streets need to be places where people feel safe and want to spend time with their families.

As I was saying, the rejuvenation of our high streets and town centres is possible, but the problem in Scotland is that the Scottish Government have failed to share that vision, energy and determination. Sadly, there has been little in the way of action from the SNP but—as always with the SNP—over its 18 years in power there has been no shortage of reports. Since 2013, we have had the national town centre review, the town centre action plan, the town centre action plan year 1 progress report, the town centre action plan year 2 progress report, the town centre action plan review, the “A New Future for Scotland’s Town Centres” report, a joint response to that report with the Convention of Scottish Local Authorities, and the town centre action plan 2, which is a response to that response. Little wonder then that David Lonsdale, the director of the Scottish Retail Consortium, spoke recently on the need for coherent policymaking. The fact is that Scotland’s town centres are yet another casualty of the SNP’s mismanagement and chaotic government.

[John Lamont]

In a rare moment of consensus, I agree with the hon. Member’s criticism of the SNP Government. Does he agree with me that one of the changes that could be made in Scotland is to the planning system? If we allow our high streets to be more flexible in how they respond to challenges, that is a way to get new life into something that has been traditionally at the heart of the community.

[Gregor Poynton]

I completely agree. We need to be much more creative about how we use the units. Some of these businesses, frankly, are not coming back to our high streets so we should be honest about that and look at other options such as childcare, co-working spaces and housing in town centres to help rejuvenate those places and get them into action. That creative policymaking in planning is absolutely required.

The Scottish Government can take a number of steps. First, we need a level playing field between the small businesses based on our high streets and the global online retailers. Secondly, as has been discussed, more thought needs to go into the housing stock being built in our towns. With many buildings left empty, it is right to relax planning rules to make it easier to convert shop fronts into flats, while still ensuring quality housing for their residents. Thirdly, the way people work now has changed, and our town centres must reflect that, so we need to prioritise superfast broadband in our town centres. Local planning should also take childcare into account, ensuring the businesses can thrive in the places to be. Fourthly, councils should be encouraged to use the powers available to them to make ownership data on high street properties public, so that the community has the opportunity to step in and take over some units. Finally, as my hon. Friend the Member for Slough (Mr Dhesi) said, town centres will never thrive unless people feel safe in them, so a focus on safety is key.

All those ideas can perhaps contribute to making our towns better places to live; none would constitute a revolution, but they would be revolutionary for millions of people because, for too long, main streets in towns and villages such as Fauldhouse, Broxburn, West Calder, Uphall and others in my constituency have been neglected by the SNP Government. This can change: we can refresh and rejuvenate our high streets, but it will require fresh and rejuvenated leadership.

--- Later in debate ---

[John Lamont]

My right hon. Friend is making an excellent speech. On behalf of Scottish Members, can I also recommend a deep-fried Mars bar supper and a haggis supper, which are other delicacies that fish and chip shops might be able to provide?

[Wendy Morton]

My hon. Friend reminds me of a visit to Scotland, many years ago, when I tried a deep-fried Mars bar; I think it was in Blairgowrie. I must admit that I have never had deep-fried haggis—I am not sure about that one—but I have certainly tried the Mars bar.

Despite their hard work and determination, many businesses are struggling. I am in regular contact with local businesses, and they tell me quite candidly about the financial pressures they face. One issue that comes up time and again is the crushing burden of employer national insurance contributions. Quite simply, they are a tax on jobs. They actively punish the very businesses we should be supporting. Businesses are being squeezed into cutting staff hours and freezing recruitment. In some cases, as we have heard, they are shutting their doors altogether. Household names that we have heard today—WHSmith, New Look and HSBC—are among those affected. When they are gone, they are gone forever.

Let us be clear: this is not just an economic issue; it is a community issue. When a high street business closes, that affects us all. It means fewer jobs, less investment in our local economy and empty shop fronts, which drain the vibrancy of our centres. The Government cannot claim to support small businesses while quietly taxing them out of existence.

In Brownhills, one of the most pressing concerns is the derelict Ravenscourt shopping precinct. Once a thriving hub, it has now become an eyesore and for far too long has attracted antisocial behaviour. Local business owners and residents are rightly frustrated by the slow progress. I am, too. My local council and our councillors are working incredibly hard to deliver on this, with plans for redevelopment including the prospect of a new supermarket, but delays, the need for a complex compulsory purchase order, and drawn-out negotiations over remaining units are stalling much-needed investment.

Such stagnation is not unique to Brownhills. Across the country, high streets are being held back by vacant buildings that discourage footfall and undermine local economies, and the increase in employer national insurance contributions only adds to the difficulties. If this Government are serious about revitalising our high streets, there are two things they could do to make a big difference to all our high streets: look again at both employer national insurance contributions and business rates.