Enterprise and Regulatory Reform Bill

John Redwood Excerpts
Wednesday 17th October 2012

(12 years, 1 month ago)

Commons Chamber
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Jo Swinson Portrait Jo Swinson
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Yes, they were. In fact, the hon. Member for Bedford (Richard Fuller) intervened on my hon. Friend the Under-Secretary of State for Skills when that discussion was taking place—[Interruption.] I suggest to the hon. Member for Stone (Mr Cash) that had he wanted to raise those points, he could have been present for the debate on Report.

I thank the Opposition for ensuring that the measures that we have added to the Bill have received thorough scrutiny. That detailed consideration follows earlier scrutiny in the Public Bill Committee and I extend particular thanks to its members, led for the Opposition by the hon. Members for Hartlepool (Mr Wright), for Edinburgh South (Ian Murray) and for Newcastle upon Tyne Central (Chi Onwurah).

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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When does the Minister think the first loans will be made by the green investment bank under this legislation?

Jo Swinson Portrait Jo Swinson
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As my right hon. Friend will know, the Government have made £3 billion available through the green investment bank, which has already started to allocate that money. Some £200 million has been allocated and the first money has been not just allocated but spent. We know that that institution will certainly be a great success.

At the end of our proceedings in Committee, the hon. Member for Hartlepool observed:

“The Committee has been serious about the need to scrutinise an important Bill and about the manner of its deliberations and questioning”.––[Official Report, Enterprise and Regulatory Reform Public Bill Committee, 17 July 2012; c. 728.]

The Bill is important. It is also part of a wider Government strategy to promote growth, support business and create jobs. Legislation alone cannot guarantee and generate economic activity, but it can help to provide the right conditions for growth and that is what this Bill does. It contains a suite of measures that will lift unnecessary burdens from business and ensure that markets are fair and dynamic to inspire the confidence of business and consumers alike.

The move to a low-carbon economy is a big challenge and, indeed, a big opportunity for this country. Some analysis suggests a demand for more than £200 billion of investment in the next decade to develop the necessary innovative technologies. The challenge is even greater given how new those markets are and the long-term nature of returns on green infrastructure investment, which may deter private sector investors. The coalition Government are meeting that challenge squarely by establishing the world’s first green investment bank and we have made significant progress.

As we were able to announce earlier this afternoon, we have today made an important step forward in the UK’s transition to a green economy with confirmation of the state aid approval that will allow the bank to make commercial investments. That is a significant achievement and means that the bank is firmly on track to be fully operational in the next few weeks.

The Government are deeply aware of the need to do all we can to support business expansion and job creation. The Public Bill Committee heard from business representatives that reform of the employment tribunal system remains a top priority for their members and that the measures in the Bill will increase the confidence of business to recruit. Our reforms will encourage parties to work together to resolve their disputes outside the adversarial, stressful and often costly tribunal system, which will mean that employers will have the confidence to take on and manage staff.

Good leadership and governance of companies is crucial and there should be no reward for failure. Our reforms to directors’ pay, which are supported by both business and investors, will mean greater transparency and more power for shareholders to hold companies to account while allowing genuine success to be rewarded. A free and open market place is key to a growing economy. Pressure from competitive markets helps businesses to boost productivity and that benefits consumers. The Government are helping by setting up the new competition and markets authority to provide a single, strong voice in this area. It will have a duty to promote competition for the benefit of consumers.

The Bill will also strengthen powers to tackle cartels. Cartels damage the interests of business and consumers alike and I am very grateful to the Public Bill Committee—again, I thank its members—for its considered debate on the issue. As a result of the amendments tabled in Committee by Opposition Members, the then Minister, my hon. Friend the Member for North Norfolk (Norman Lamb), made it clear that we would reflect on the points made with a view to improving the provisions. As a result, we have refined how we propose to tackle the problem of cartels, but in a way that still delivers the key objective of ensuring that we have effective powers against them.

Unnecessary regulation stifles growth and strangles innovation. In our red tape challenge, we are examining swathes of regulation and scrapping those that are no longer needed. The Bill supports that work by ensuring that any new secondary legislation can be time-limited. The CBI hailed that step as the "big prize for business". We are making specific reforms, including removing the right to claim compensation from employers for breach of most statutory health and safety duties unless employers have been negligent. We are also streamlining the duties of the Equality and Human Rights Commission. Let me state again for the record that we greatly value the work that the commission does and that the streamlining will in no way reduce its impact. The Government are committed to tackling the barriers to equal opportunity and to promoting economic growth. Unnecessary and complicated regulation restricts our ability to achieve that aim. The repeals in the Bill play a part in tackling the red tape and bureaucracy that holds businesses back.

Ensuring that our copyright laws are fit for the modern age is critical to the growth of the UK's creative industries—one of our most successful export sectors. It is also important for those industries that can make use of materials that may be in digital or other form. We have worked closely with stakeholders on those provisions and will continue to do so. The Bill will help to ensure that we strike the right balance on rewards for creative endeavour, sanctions for unlawful use and greater freedoms when an originator cannot be identified.

--- Later in debate ---
John Redwood Portrait Mr Redwood
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The Bill contains provisions for a framework to allow the UK green investment bank to report to Ministers and to this House. I say to the Under-Secretary of State for Business, Innovation and Skills, the hon. Member for East Dunbartonshire (Jo Swinson) that several of us will take a close interest in the bank. We hope that, when she implements the provisions, she will put in place the necessary procedures so that we can all see how well the bank is doing. It is particularly important that she implements rules for the bank, because the Government now have an £80 billion funding for lending scheme, a £50 billion national infrastructure financing scheme, a £20 billion small businesses special loans scheme, and they are doing another round of quantitative easing worth £50 billion. That represents £200 billion-worth of loans, guarantees and special money for the banking sector, which could cover quite a lot of the projects in which the green investment bank might be interested.

I hope the Minister will ensure that there is no unnecessary competition in the public sector for privileged moneys now that we have so many different strands. Now that there is so much money in the big schemes, the green investment bank can relax about some of the biggest projects, because they could clearly be taken care of by the other schemes. Ministers need to think through how all the schemes fit together and how they affect the green investment bank. They must ensure that anyone who seeks money for investment projects in this field has a clear view of which is the appropriate mechanism.

Enterprise and Regulatory Reform Bill

John Redwood Excerpts
Tuesday 16th October 2012

(12 years, 1 month ago)

Commons Chamber
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Chuka Umunna Portrait Mr Umunna
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I am proud to be associated with a party that was responsible for setting up many of the predecessor bodies of the Equality and Human Rights Commission. Let me be absolutely clear: we thoroughly support this organisation. It is incredibly important, not only in taking an anti-discrimination stance towards some of the things that unfortunately happen in our society, but in being proactive in promoting that. I have just returned from a visit to Israel, where I learned more about the situation there. I met the Israeli and Palestinian Governments, and one of the things that I felt so proud of was the fact that an equalities commission was recently created in Israel. We know that society there has major challenges in that respect, but that commission is being modelled on ours. I think that says something about the body we have in this country.

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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I would be grateful if the Opposition addressed the proposals that we are meant to be debating. The Government are not saying, “Just strip it all away”; they are proposing equal pay audits and other mechanisms. It would be useful to know what the Opposition think about them.

Chuka Umunna Portrait Mr Umunna
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I have just addressed each point about the commission that the Minister raised in her speech. I understand the right hon. Gentleman’s impatience; I shall turn to the other points now.

Let me turn to the Government’s new clauses. Last week the Government tabled new clause 12, which provides for the repeal of the provisions in the Equality Act 2010 relating to employer’s liability for third-party harassment of employees. That, of course, was a key recommendation in the infamous report of the Prime Minister’s employment law adviser Adrian Beecroft. To find the reason for the original introduction of those measures—I am basing my remarks on my legal practice and study: I was an employment lawyer before being elected—we have to return to the mid-1990s. In 1994, there was a well-known case in which two black hotel waitresses were made to serve drinks in Manchester during a performance by the notorious late comedian Bernard Manning. They were subjected to racially and sexually abusive remarks by Manning, and they took their employers to a tribunal. They should never have been put in that situation, and they issued proceedings and won the tribunal. After that case, however, case law was uncertain—I can say that, having dealt with the case law that existed before the Equality Act 2010 came into force. Through section 40 of that Act, which the Government are partly repealing, we legislated to put protection against such third-party harassment on to a firm footing and cover all types of unlawful discrimination.

Financial Education

John Redwood Excerpts
Thursday 15th December 2011

(12 years, 11 months ago)

Commons Chamber
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Mark Garnier Portrait Mark Garnier
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That is a neatly and well made point, but the hon. Gentleman will remember my hon. Friend the Member for South West Norfolk (Elizabeth Truss) making the point that, by having financial education in the curriculum, we would not just provide for directly funded schools but provide a lead for other schools to follow. That is an incredibly important point.

The Money Advice Service is part of the solution. It announced earlier this week the start of a new strategic oversight function for financial education. I shall quote from its press release, because it is always very good to hear such excellent civil service-speak. It says that the review is

“to inform and improve the provision of financial education for young people in the UK. Firstly, mapping the range of education initiatives funded by the financial services industry, to create a single view of the landscape; secondly, commissioning new research into education and behaviour change - to both identify global best-practice in the field of financial education; and examine whether successful types of intervention in other fields, for example health or drug education, can be applied to the area of money.”

That sounds fantastic, but there is a simple solution, which we keep repeating: we should put financial education on the curriculum in schools. We should get the Money Advice Service to concentrate on those adults who have not had the chance to get a financial education so far, and who are in desperate need of it to help them to deal with the problems that they face as a result of being financially illiterate.

As part of the all-party group inquiry team, I heard a great deal of interesting comment. I think I went to almost every single meeting, although I might have missed a couple. As we have heard, help is out there. Financial institutions go into schools to assist with financial education, but many teachers feel intimidated by the subject, presumably because they in turn did not receive a financial education. We have also heard that provision is sporadic: sometimes financial education is very good, but sometimes there is none at all. One member of the Arun youth council said that his school spent more time teaching him how to put on condoms than they spent teaching him about money. It was a thin day for bananas that day at his school.

The question is: how do we get financial education into the curriculum and where do we put it? Of course, there is a maths element—frankly, financial education is the type of thing that could enhance maths teaching. Teaching a child about compound rates of interest is not an exciting subject, but teaching a child that buying a pair of football boots for £125 on a credit card with an APR of 26% and paying that over six months will cost him a lot more than if he paid cash gives that child both a good example of how maths works and a lesson in financial facts.

If I were Martin Lewis, I would be able to work out in my head what that compound rate of interest would mean, but I was an investment banker and I am afraid I am completely unqualified to do so, as I would be if I were a footballer. However, to limit financial education to maths would be a huge mistake. Although maths can handle the quantitative side of things, it can do nothing about the qualitative side. We need people to make solid, judgment-based decisions. Maths will give people the skill to answer the question of whether they can afford something, but the question of whether they should buy something is just as relevant.

If I live in the centre of a city, the question of whether I should buy a car is a relatively simple one—there is plenty of public transport so I might not use it, parking might be a problem and so on. However, for an unemployed person living in the country with just a few hundred pounds to their name, the question of whether they should spend their last savings on a car so that they can find a job and make themselves more employable or keep the money to live on is much more difficult to answer. Many people are simply not equipped to make such a subjective evaluation.

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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Three constituents have written to me to congratulate my hon. Friend and colleagues on the work they have done on this matter. They said how important their work is and hope that it results in some improvement.

Mark Garnier Portrait Mark Garnier
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I am incredibly grateful for that intervention and thank my right hon. Friend very much indeed.

To continue my point, if we equip the next generation to answer the supplementary question to the one I just described—should I set up a business with my last few hundred quid?—we will begin not only to address the financial independence of our citizens, but to find the key to unlocking economic growth in future.

The fact that we are questioning whether financial education should be on the curriculum is a mistake. I fail to understand why it has not been on the curriculum for years. As we have discussed, the APPG has just published its report. The Minister has shown great interest in it and has read through it. We will keep pressing to ensure not only that he reads it again and again, but that he initiates its recommendations.

I shall conclude by mentioning the work of organisations such as PFEG, which we talked about earlier. Its work is incredibly important—it does a valuable job promoting financial education and co-ordinating the efforts of the financial services industry to get expertise into schools—but we must recognise its efforts by delivering the ultimate goal: a curriculum-based financial education which addresses not just maths and the quantitative elements of money management, but the qualitative and judgment-based elements of financial literacy.

Careers Service (Young People)

John Redwood Excerpts
Tuesday 13th September 2011

(13 years, 2 months ago)

Commons Chamber
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Andy Burnham Portrait Andy Burnham
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He saw his Prime Minister make a personal promise to those young people that they would continue to have their EMA. He also stood on a manifesto promising £200 million for an all-age careers service. If he could not deliver those promises, should he not now apologise to the House for seeking the votes of young people in his constituency on a false premise? That speaks for itself.

Our motion is deliberately broad so that we do not get drawn into a debate about the merits of one service versus another. I have said that we are prepared to support the Government in their vision for an all-age careers service. We want to work with the Government to make that service as good as it can be so that it is fit for purpose in these times and for the challenges facing young people. The motion is simple, then, and makes two requests. I might say in passing that it is drawn directly from the report, published in the summer, to the Prime Minister and the Deputy Prime Minister from the advocate for access to education, the right hon. Member for Bermondsey and Old Southwark (Simon Hughes), who I am pleased to see in his place. In fact, the motion repeats the words of his recommendation verbatim. I hope, therefore, that he can support us this evening, given that the motion is his own recommendation—but I know now not to come to any such conclusions where he is concerned.

Our motion makes two simple requests to the House. First, as Members of Parliament standing up for young people in our constituencies, we ask the Government Front-Bench team to get a grip on this mess—[Interruption.]—to stop messing around on their BlackBerrys and to stop going off to attend other events around the country. They need to get a grip on this mess, publish the transition plan, show some leadership for once in their lives and get on with the job of standing up for young people. Secondly, we want the House to send a clear message that we have high expectations of what we expect all young people in this country to get and that we want them to have face-to-face advice.

We hear that the Government want to downgrade the quality of careers advice to a phone or web-based service. The national careers service will be a phone or web-based service! It seems that this cost-cutting drive has been partly driven by the raid on the careers budget, to which my hon. Friend the Member for Halton (Derek Twigg) alluded, which the Government made having been forced to make a partial U-turn over EMA. I want every Member to ask themselves whether they think that a remote and impersonal phone or web service is good enough. Would that be good enough for their own children when they are making life-changing choices and considering their options?

Andy Burnham Portrait Andy Burnham
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I hope that the right hon. Gentleman can answer that question.

John Redwood Portrait Mr Redwood
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I have a lot of sympathy with the idea of high-quality careers advice, and I am listening with great interest. However, could the right hon. Gentleman tell us exactly how the Secretary of State could guarantee face-to-face advice and what it might cost?

Andy Burnham Portrait Andy Burnham
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The Secretary of State could guarantee it by amending the Education Bill, which is in the House of Lords at the moment—

Education Bill

John Redwood Excerpts
Wednesday 11th May 2011

(13 years, 6 months ago)

Commons Chamber
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Nick Gibb Portrait Mr Gibb
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I really cannot add anything to what I have said. We will talk to good independent schools, selective or otherwise, that wish to come into the state sector. However, the admissions code is there, it is clear, the legal position is clear, and there are no proposals to change that position.

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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The Minister said that there was an objection to increasing the number of selective schools. Of course, the proposals of my hon. Friend the Member for Altrincham and Sale West (Mr Brady) would not increase the number of selective schools, but merely transfer them from the independent sector to the state sector, meaning that more people from a wide variety of backgrounds would have the opportunity to go to them. I would have thought that that was wholly admirable. The two most popular schools in my area are grammar schools in Reading. Parents want to get their children into those schools, but some of those who do not get in are extremely bright and able, and they get to elite universities from comprehensives, despite the creaming of the grammars. That is a perfectly stable and good system, and I cannot understand why the Minister does not back it.

Nick Gibb Portrait Mr Gibb
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I cannot say more than I have said. We gave a commitment that we would not increase the number of selective schools in the state sector. If we were to do as my hon. Friend the Member for Altrincham and Sale West and my right hon. Friend the Member for Wokingham (Mr Redwood) wished, it would contravene that commitment, which we gave before the election.

Education Bill

John Redwood Excerpts
Tuesday 8th February 2011

(13 years, 9 months ago)

Commons Chamber
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Michael Gove Portrait Michael Gove
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Not yet. I shall be delighted to give way in just a second.

By 2010, we had moved from fourth to 16th, from seventh to 25th and from eighth to 28th in those subjects. In mathematics, 15-year-olds in Shanghai are more than two years ahead of 15-year-olds here. The OECD found that, in this country, the number of 15-year-olds who can generalise and creatively use information based on their own investigations and the modelling of complex problem situations is just 1.8%; in Shanghai, it is 25%—more than 10 times better.

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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Will my right hon. Friend give way?

Michael Gove Portrait Michael Gove
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In a second.

The only way in which we will generate sustainable economic growth is by reforming our education system so that we can keep pace with our competitors. How can a country that is now 28th in the world for mathematics expect to be the home of the Microsofts, the Googles and the Facebooks of the future? The only way in which we can hope to compete effectively is not just by educating a minority to a high level, but by utilising the innate talent of every child, and that is what the measures in this Education Bill will do.

Michael Gove Portrait Michael Gove
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I absolutely was comparing like with like, because the whole point about these tables is that they show us how we are doing relative to our competitors. Much as I admire the right hon. Gentleman, and much as I am grateful to him for embarking on a course of reform which, sadly, was thwarted subsequently, I have to acknowledge, as does he, that the statistics produced by the OECD are ungainsayable. I would love to be able to celebrate a greater level of achievement, but I am afraid that this is the dreadful inheritance that our children face as a result of the Government whom he latterly supported from the Back Benches.

John Redwood Portrait Mr Redwood
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The Secretary of State is making a powerful case. If a free school gets a grant to buy land and buildings from a council or other public sector body, will that be classed as a windfall receipt for that council or will there be some adjustment to its capital regime so that it is not a winner from it and we control public spending? That is a live issue, and I would like to know what the position is.

Michael Gove Portrait Michael Gove
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I appreciate that it is a live issue. One of the striking things about how the free schools programme is proceeding is that we are discovering that in some cases local authorities are happy to buy the sites themselves, as was the case in Wandsworth, and in other cases they are happy to lease them for a peppercorn rent. In specific situations where a site is purchased from a local authority, of course we will seek to ensure that the best deal possible is secured for the taxpayer and for the school and the pupils who will be attending it.

Academies Bill [Lords]

John Redwood Excerpts
Monday 26th July 2010

(14 years, 4 months ago)

Commons Chamber
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To sum up, on reversion to maintained status, why does the Minister want to deny parents the power to trigger a ballot? And on consultation, why is he in such a hurry? Why does he not have time to listen to those affected?
John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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It was a pleasure to hear the hon. Member for Southport (Dr Pugh) looking back with such fond nostalgia to those democratic, halcyon days of the Baroness Thatcher of Kesteven. I did not know that he cared quite as much, but it was a wonderful trip down memory lane. I have a lot of sympathy with the hon. Gentleman in usually favouring democratic solutions and thinking that consultation is good and voting better, but sometimes the best can be the enemy of the good. What we have from Ministers is the opportunity for schools that so wish to obtain greater freedom to serve their pupils, parents and the wider community by having more to spend of the money that is properly theirs in the educational budget, and greater freedom to decide who they employ and how, and what they do in the classroom.

The Bill does not, as the hon. Member for Brighton, Pavilion (Caroline Lucas) suggests, set up some kind of complete freedom, whereby iconoclasts can seize control of a school and ignore all kinds of standards and requirements; those schools will still be within the state sector, monitored and regulated, and they will still need to achieve standards. There will be a great deal of interest from the local community, but there will still be the national regulatory scheme, too, so the hon. Lady was just trying to shock the Committee and is not living in the real world.

Caroline Lucas Portrait Caroline Lucas
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Is it not the case that, if one gives academies the right to choose their own curriculum and opt out in so many respects from the local authority, one is giving them exactly those freedoms? I do not think that anything that I have said is designed to shock; my remarks exactly reflect the Bill. It will give academies incredible freedoms that other schools do not enjoy, and it will have huge ramifications for the rest of the local authority, as academies drain resources from it and from other schools. That is why consultation is so important.

John Redwood Portrait Mr Redwood
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That is a completely different argument from the one that the hon. Lady made in her speech, in which she said that these schools would be free of all checks, balances, regulation, inspection and control, and that they would go wrong. She seemed to be implying that we were giving schools the freedom to do badly. That is a particularly fatuous argument, because parents have considerable influence through governors and through their own voice, and they would take a great deal of interest. The number of pupils applying to go to the school would drop off very rapidly if the kind of disaster that she envisaged in her remarks came true, so I do not see that happening. I think that a combination of national regulation, the framework of law and local pressure would, on the whole, be benign.

Now the hon. Lady is arguing a rather different case—that these academies are going to be so successful, because they have all these excellent freedoms, that they will attract more and more people from the local community at the expense of the other schools in the area. I wish it were so. I do not think they will be that successful and take all the pupils from the local area, but if they are very good, I welcome the fact that more people will want to send their children there. That is a benign pressure to place on the other schools in the local area. It may be, however, that some of the more traditionally maintained schools act as the beacon that she would like to see.

Caroline Lucas Portrait Caroline Lucas
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To clarify my point, I am talking about the fact that these schools will drain resources away from other schools. That is already happening in my constituency with the existing academies established under the previous Government, and it will happen even more under the new Government’s proposals. I am talking about resources coming out of other schools because academies will essentially outsource things such as special educational needs provision and other co-ordinating methods that were usually undertaken by the local authority. That means that the local authority will have less money to perform those same roles.

John Redwood Portrait Mr Redwood
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The main mechanism by which academies could take more of the money would be by their being extremely popular and attracting more pupils, because most of the money follows the pupils. That is a thoroughly benign pressure. If these academies are going to take off and develop extremely good standards and reputations, they will attract more pupils and get more money, which they will need because they are teaching more pupils, and the other schools will need to pull their socks up. If the outcome is not as successful as that, the hon. Lady’s worries should fall away. Surely she must accept, however, that we need some challenge and improvement in the system, and that there is nothing wrong with choice.

Why is it that someone like the hon. Lady does not trust anybody other than the state and is never prepared to give anybody any freedom to initiate, innovate, change and improve? Cannot she see that we desperately need to raise school standards, and that we need to do something to try to make that happen? Her system was tried for 13 years, and it did not work.

Bill Esterson Portrait Bill Esterson (Sefton Central) (Lab)
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The right hon. Gentleman’s point about trust is unfortunate, to say the least. Governing bodies do not always get these things right, and that is why some kind of mechanism needs to be in place. The amendments are trying to achieve that and to remedy some of the problems caused by our not having enough time to do the job properly in Committee.

John Redwood Portrait Mr Redwood
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I have said that I love democracy, and it is often a good idea to give more people more votes. However, let me deal directly with the issue. Parents are not without powers or influence in this situation; if they were, I would immediately sign up to the amendment tabled by the hon. Member for Southport. I suspect, however, that Ministers will argue, like me, that it would be a nice addition but is unnecessary because there are other checks and balances in the system.

Let us consider those elements. First, there is an elected local authority that will have a lot of influence and control over these schools. Its voice will be heard because it has considerable influence over the appointments of the very people who will be making this proposal or decision for each school. The local authority often has members on the governing body, and the governing body has parent representatives. If the parents became alarmed by the way in which the head teacher and the senior governors were moving, they would presumably make their voice heard through the parent governors or use their ability to change those governors to make the point.

Pat Glass Portrait Pat Glass (North West Durham) (Lab)
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The evidence suggests that it takes seven years for a school to gain or lose a reputation, so it is not correct to say that the parents have this power to change things immediately. That is not going to happen—it will take a long time, and in the meantime children will lose out.

John Redwood Portrait Mr Redwood
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That may well be the case generally, but not in this situation. Changing to an academy is a one-off event of some significance in a school’s life, so parents would be well aware of it and the school would communicate with them. If the parents were alarmed, I am sure they would make their views known. I know that parents of children in my local area are well attuned to what is happening in their local school, and if they are alarmed by something that is going on, they soon raise it. They can do so directly with their councillors, with their MP or with the school’s governors.

Mike Hancock Portrait Mr Mike Hancock
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I understand and accept entirely the right hon. Gentleman’s point about the checks and balances being in place once a school is created, but the amendment is about whether people should have a choice about such a school being set up. Is he saying that the parents of potential pupils at such a school should not have a say in whether it should change its status? He is perfectly right about what happens after the event, but this is about what happens before the change.

John Redwood Portrait Mr Redwood
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If an entirely new school is being set up, it is up to the people putting forward that proposition to make their own decisions and canvass the marketplace to see whether people are likely to go to it. If there is a proposal to change a school’s status, parental opinion is very important, but I suggest that under the system set out in the Bill, which develops the current system, there will be plenty of opportunity for parents to make their views known. They can do that directly by talking or writing to the head teacher or governors, or they can get different people on to the governing body if they are really worried.

My experience is that people care desperately about the education of their children, and if they thought that the head teacher and the small group in the governing body who were trying to steer a change through were getting it wrong, they would make their views known very strongly. I suspect that the head and the governing body would moderate their stance or back off if they felt they had lost the confidence of their pupils and parents.

John Pugh Portrait Dr Pugh
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The right hon. Gentleman is sketching out various alternatives to a more democratic arrangement. I understand his argument, but is he not also making an overwhelming argument not to proceed in September? All the things that he asks parents to do cannot be done, because the parents are on holiday and the school is shut.

John Redwood Portrait Mr Redwood
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It cannot be done on that short a time scale—these things will take a bit of time to go through. As soon as schools want to make a proposal, they will have to put in an application, and of course they will notify parents at that time. It is quite possible for them to do so by e-mail or post in the school holidays, and the schools will be back in September, when there will be opportunities for the dialogue to continue.

Iain Wright Portrait Mr Iain Wright (Hartlepool) (Lab)
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The right hon. Gentleman is being most generous in giving way. May I point him to paragraph 7 of the explanatory notes accompanying the Bill? It states:

“The Secretary of State expects that a significant number of Academies will open in September 2010 and for the number to continue to grow each year.”

As the hon. Member for Southport (Dr Pugh) says, there is simply not the time to consult in the way that the right hon. Gentleman suggests.

John Redwood Portrait Mr Redwood
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I think hon. Members are making obstacles where none need occur. Changes will go speedily only if the local community is happy. As soon as it gets out that a school is considering academy status, the local community will be engaged. There are local newspapers, local websites and all sorts of ways to do so, and the usual school grapevines will be in operation.

Opposition Members protest far too much—we all know they hate freedom, and they do not believe that free people can mobilise themselves in a good cause. I can assure them that people can do so very quickly if need arises. They should not be so afraid of the idea that their local schools might want a bit more freedom and a bit more of their own money to spend. It is dreadful that they believe that all their local schools need so much control from the centre that they want ever more regulation and control from Whitehall of the kind that Labour Governments meted out, and continued or increased control from local education authorities in the hope that one day there will be more Labour authorities to exercise it.

Surely it is high time that we set free the schools that wish to be set free. I can assure the Committee that should groups of parents not wish a change to academy status to happen, they will mobilise quickly and democracy will work. It is still alive and kicking.

Alex Cunningham Portrait Alex Cunningham (Stockton North) (Lab)
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I, too, would like to consider the serious lack of consultation required before establishing an academy, as outlined in clauses 3 and 5. I share the concern of not only other hon. Members, but teachers, parents and other stakeholders, who fear that they could be excluded from the whole process at the whim of just over half a governing body—that could be five, six, seven or eight people—intent on establishing an academy.

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Neither the original Bill nor the amendments passed in the other place give parents a guaranteed voice in the process. I can envisage, in many cases, governing bodies riding roughshod over parents and the community and making the changes that they want regardless. I say that because I witnessed the behaviour and the blind ambition of some governors and head teachers in the days of the former Cleveland county council, when the grant-maintained legislation was in place. A majority of governors and a few governing bodies favoured opting out, but the parents rejected that approach and their decision was final. Under the Government’s current proposals, such governing bodies could—and, I believe, would—make the decisions and ignore the parents.
John Redwood Portrait Mr Redwood
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Why does the hon. Gentleman think that there will be so many schools with governing bodies and head teachers that are completely out of touch with their local parents and want to ride roughshod over them?

Alex Cunningham Portrait Alex Cunningham
- Hansard - - - Excerpts

That is straightforward. Parents have always made good decisions when electing parent governors, but they have to be able to make bigger decisions, and I believe that they should be consulted.

The Government have chosen to ignore genuine concerns about the Bill. That is not new politics, but old politics of the worst type. Rushed legislation makes bad law. In the words of the National Association of Head Teachers, legislate in haste, repent at leisure. I therefore hope that the amendments that would compel governing bodies to consult parents, among others, will be supported.

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Dan Rogerson Portrait Dan Rogerson
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Against my hon. Friend’s possible intention, that was a helpful intervention as it gives me the opportunity to repeat the point that the amendment is about one particular group of people who would be involved in the vote, not others who would also be affected—a point that he made in an intervention on my hon. Friend the Member for Southport. It is therefore important that the consultation should be as wide-ranging as possible, but it should take place before the final funding agreement has been signed. It is in that period that a meaningful consultation can take place because there is something to consult on.

John Redwood Portrait Mr Redwood
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If there were a good head teacher in a good school who recommended a transition to academy status, a ballot called with a 40% turn-out and 21% of the parents said no to academy status and 19% said yes, would the head master have to resign? Could the head teacher be lost because his proposal had been rejected?

Dan Rogerson Portrait Dan Rogerson
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We are moving into uncharted territory with the suggestion of motions of no confidence in head teachers and legislating on that point. It is an interesting point.

I hope that the Minister can tell us how the consultation process will be supported and how it can move forward. I hope that he can reassure the Committee—as those in the other place were reassured—that consultation will be meaningful and allow everyone to have their say. Hon. Members have already raised concerns about the time scale over the summer for those who wish to take early advantage of these measures, and there are schools which do want to take this route. I would be interested if the Minister could say how we can ensure that that consultation is meaningful in those instances.

Amendment 9 is an important one in the context of consultation. It is possible to have that consultation after the application has been made. Amendment 9 would require the consultation to take place between the application and approval by the Secretary of State. It is fair to say that there may have been some discussions already between the Secretary of State and the Department and the schools that started this process before the Bill was introduced. It is possible theoretically therefore that approval could be given quickly. The amendment would narrow the window for consultation between the application being made and being granted by the Secretary of State. If that happened in a short space of time, there would be no time for consultation. We need the consultation to be able to proceed until the signing of the final agreement, which is the agreement that creates the academy and concludes the process.

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Lord Coaker Portrait Vernon Coaker
- Hansard - - - Excerpts

Absolutely. The point that the Minister missed was that the Secretary of State has made great play of the fact that some schools will become academies not by Christmas or through the autumn, when the consultation is going to be by, but by September 2010; the whole reason we are rushing this Bill through is that the Secretary of State was telling us that all these schools were queuing up to become academies by September 2010. The Minister may have been saying in his intervention that a lot of schools signed up by 30 June, because the process takes three months, and they have therefore started the consultation. We do not know what that involves, but it carries on in August and can go on “through the autumn”—those were the Minister’s own words. So why are we rushing this legislation if the consultation can go on for longer? We could have slowed down a bit and improved the Bill, accepting some amendments that hon. Members have proposed. The Government would have thus achieved their objective with a much-improved Bill that would have allayed some of the concerns that have been raised, notwithstanding the fact that Labour Members would have opposed it in any case.

I hope that the Minister will tell us the exact number of schools that have applied, not the number that have expressed an interest—I hope he will give the exact number for primary schools and secondary schools. I know that this is not going to happen in special schools until 2011 and I cannot remember whether that is also the case for primary schools, but it certainly will happen in secondary schools. How many schools are actually applying? How many of that number does the Minister expect to open in September 2010? I hope he will outline for us exactly what consultation process those schools will be expected to have gone through and that he will explain to the Committee how the Department is ensuring that that has taken place, so that when the Secretary of State decides whether to give an academy order he can say, “These are the criteria I used.” The Committee deserves to know that, but we have so far been given no answer..

John Redwood Portrait Mr Redwood
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Can the shadow Minister explain why he thinks so many head teachers and governing bodies might want to drive something like this through against the wishes of the local community and parents or without bothering to find out what their views were? I would have thought that the first thing any head teacher would do when considering this would have been to ensure that they had support.

Lord Coaker Portrait Vernon Coaker
- Hansard - - - Excerpts

What we are saying is that we are legislating for a process and we expect it to set out exactly what should happen. It is for the Government to determine what that process is. At the moment, they have no real idea about it. I also say to the right hon. Gentleman that what we are also trying to do—this is the point made by the hon. Member for Portsmouth South (Mr Hancock)—is find out how many of the 1,000 schools that the press release says have applied will become academies in September. The Minister has failed last week and this to give a categorical answer to the question of how many academies the Department expects to open in September. I, too, will be interested to hear that answer.

John Redwood Portrait Mr Redwood
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I am sure that we will all be interested in that answer. However, the shadow Minister has given me no answer on the point that I asked. He is not saying that he knows of lots of head teachers and governing bodies foolish enough to try to drive this through against local opinion. Can he not understand that the whole idea of localism is that we need to trust these people more and give them more scope to act? They will decide how to consult and how widely they need to consult depending on the mood.

Lord Coaker Portrait Vernon Coaker
- Hansard - - - Excerpts

But who will decide? It will be the head teacher and the governing body of the school. The right hon. Gentleman tells us not to worry because some consultation will take place, and he asks what head teacher would drive this through against local opposition. I just say to him that if parents—if all of them—are so important, why does the word “parents” not appear in the Bill? I ask him that to test him, because none of us can find a reference to them and I find that astonishing. He asks what head teacher would possibly go against the wishes of parents and against the wishes of anybody, but why is the word “parents”, which the right hon. Gentleman has just prayed in aid when he said that the Government were all for localism and for people empowering the local neighbourhood, not contained in this Bill? There may be one or two such references but I cannot find them.

John Redwood Portrait Mr Redwood
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Sometimes things are so obvious that when one trusts people they will do the obvious thing. Of course these people will want to carry the local parents with them because otherwise they will lose their school.

None Portrait Hon. Members
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Hear, hear!

Academies Bill [Lords]

John Redwood Excerpts
Wednesday 21st July 2010

(14 years, 4 months ago)

Commons Chamber
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Lord Coaker Portrait Vernon Coaker
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Of course we want freedoms extended to different schools where appropriate. However, if the hon. Gentleman reads the Children, Schools and Families Committee report, he will see that it talked about allowing the expansion of those freedoms within a managed context, not what is being proposed now, which is that these freedoms be extended to schools without any check on them or on how they use those freedoms. The proposals on the local authority role have caused huge disquiet across the country, and will have caused huge disquiet among the hon. Gentleman’s Conservative and Liberal colleagues. That is why I am pointing out the difference.

The Chair of the Select Committee is no longer in his place, but it would be interesting to know whether his Committee would have reached the same conclusion about the extension of freedoms to all schools if it had known that it would happen in a context in which the Secretary of State—either through a funding agreement or a direct grant—determined whether a school was operating effectively and conducting itself in an appropriate way. This applies to special schools, as provided for in the amendment, and to any other schools. I believe that the different context is crucial for understanding the conclusions that the Select Committee came to about how the academies programme was developing under the last Government in comparison with this Government’s programme. In the light of that difference, the Select Committee might well have reached different conclusions.

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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Why is it that extra freedom is good for a badly performing school, while a school that is performing well cannot be trusted with that extra freedom? That does not make any sense.

Lord Coaker Portrait Vernon Coaker
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Of course outstanding schools can be trusted, but such schools have demonstrated that they already have all the freedom they need to be outstanding. Schools in areas of social deprivation or those suffering from educational underperformance should be allowed to operate in a way that, we hope, will raise standards. Evidence on whether or not the hoped-for and expected higher standards have been achieved is not as clear cut as one would like to imagine. I shall come on to deal with impact assessments in more detail later, but for any type of school, the impact assessments are quite wary about the evidence is terms of how much progress has been made in academies. All I am saying to the right hon. Gentleman—to be fair, he operates by trying to make policy on the basis of evidence—is that the evidence is mixed, so to plunge headlong into a massive expansion of academy freedoms without due regard to the evidence is not the right course of action for special schools or others.

John Redwood Portrait Mr Redwood
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rose

Lord Coaker Portrait Vernon Coaker
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I give way to the right hon. Gentleman, who may want to come back to me on this point.

John Redwood Portrait Mr Redwood
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I am grateful. Is the hon. Gentleman now saying that Tony Blair’s experiment was wrong for schools in the poorly performing areas and that they should not have been made academies? Is that his position?

Lord Coaker Portrait Vernon Coaker
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No, that is a totally different scenario. I was not saying that at all. I was saying that to target academy freedoms in the first instance to schools in areas of educational underperformance and social disadvantage was exactly the right thing to do. My right hon. Friend the shadow Secretary of State agreed a large number of academies and it is clear that we would have gone on to establish more of them. What we are saying is that this model of academies is the right one. As for amendment 28—I want to stay in order, Mr Hoyle—extending the same model to special schools and primary schools without the evidence to back it up is a risk. A managed expansion would be fine, but this is a free-for-all. That is the difference. I understand that the right hon. Gentleman wants to improve educational achievement in an area, but our view is that this proposal creates an unnecessary risk. Allowing outstanding schools to expand through the academy system as the Bill sets out risks creating the two-tier education system that none of us wants.

Oral Answers to Questions

John Redwood Excerpts
Monday 12th July 2010

(14 years, 4 months ago)

Commons Chamber
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Michael Gove Portrait Michael Gove
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I sympathise with the hon. Lady and she is right. One of the reasons why we had to halt the Building Schools for the Future programme was that far too much money was being wasted inefficiently on secondary schools when that money is needed to ensure that children who arrive at primary school in Slough, the south-east and across the country receive the classrooms that they need. Our first priority is ensuring that every child who needs it has a good school place, instead of ensuring that money goes to consultants, architects and the others in receipt of the cash that was being funnelled to them by the right hon. Member for Morley and Outwood (Ed Balls).

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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Does the Secretary of State accept that many of us, and many people outside, would love these quangos that cannot count and cannot provide accurate lists to be abolished, saving the money on salaries to spend on bricks and mortar?

Michael Gove Portrait Michael Gove
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My right hon. Friend, as ever, is a redoubtable scourge of waste, and it is always a pleasure to hear him as he turns his eye to yet another non-departmental public body.

Education Funding

John Redwood Excerpts
Monday 5th July 2010

(14 years, 4 months ago)

Commons Chamber
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Michael Gove Portrait Michael Gove
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I am grateful to the hon. Gentleman for the many intelligent questions that he asks, but sadly that was not up with the best of them. I am absolutely insistent that we move towards a greater degree of local participation in deciding educational priorities. That is why future capital decisions, instead of being a matter for the bureaucrats who have been responsible for making so many of the decisions in unaccountable quangos, will increasingly be a matter for local communities.

John Redwood Portrait Mr John Redwood (Wokingham) (Con)
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What total financial savings does the Secretary of State expect for national and local government from cancelling all this unwelcome bureaucracy?

Michael Gove Portrait Michael Gove
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At the moment we expect that there will be a significant saving of billions of pounds. I will write to my right hon. Friend about the precise sum when we have made our final decisions and determinations on the sample projects that I mentioned, which we are reviewing, and the academy projects, which we are also reviewing.