Employment Right Act Implementation: Unpaid Carers and Time off for Public Duties Consultations
Kate Dearden Excerpts(1 day, 19 hours ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
Once implemented, the Employment Rights Act 2025 will raise the minimum floor of employment rights, raise living standards across the country and level the playing field for those businesses who are engaged in good practices. There are clear, evidence-based benefits of Government action through the Act. Not acting would mean a continuation of the current issues within the labour market: poor working conditions, proliferation of insecure work, growing inequalities, and fractious industrial relations.
Over 18 million employees will benefit from new protections, but it will be those who are lowest paid in the labour market, in sectors such as social care, hospitality and retail, that will benefit most. Our analysis, using UK and international evidence alongside economic modelling, finds that the Act will help boost employment, and improve job quality and productivity, while having a positive direct impact on economic growth.
Our latest delivery timelines demonstrate this Government’s commitment to delivering these reforms at pace, while giving businesses and workers time to get ready. April 2026 saw the delivery of significant changes that workers will now benefit from, including:
Strengthened rights to statutory sick pay, including expanding eligibility to up to 1.3 million of the most vulnerable workers who previously earned below the lower earnings limit and making it available from the first day of illness rather than the fourth day, meaning workers do not need to choose between working and getting better, improving workplace productivity and reducing the spread of infections in the workplace.
The introduction of day one rights to paternity leave and unpaid parental leave, ensuring new parents are able to spend time with their families.
The launch of the Fair Work Agency, a new body that brings together the patchwork of state enforcement of workers’ rights in one place, with plans to further expand its remit.
This week the Government will publish two consultations to continue our work in delivering these changes for all. Further details are outlined below. Today we are publishing a consultation on the employment rights of unpaid carers, and on 12 June a consultation on time off for public duties.
Consultation 1: Unpaid carers
Unpaid carers play a vital role in supporting their loved ones, and this Government recognise the enormous contribution they make to their families and communities, and to wider society. We are aware that too many unpaid carers struggle to combine work with their caring responsibilities. In the plan to make work pay, we committed to reviewing the implementation of the Carer’s Leave Act 2023 and examining the benefits of paid carer’s leave, while being mindful of the impacts on businesses. We set this out in more detail in November 2025 through our terms of reference for the review of employment rights for unpaid carers.
To build on the work of the review so far, we are launching a consultation that seeks views on whether there is more that Government should do. It considers several approaches such as improvements to guidance and communications, and new statutory leave entitlements for unpaid carers. It also asks questions on support for parents of seriously ill children in recognition of the acute challenges that arise for families following a diagnosis of serious or life-threatening illness during childhood, as we committed to do during the passage of the Employment Rights Act.
We will analyse all consultation responses and wider evidence as part of the ongoing review before deciding whether any further interventions are needed.
This consultation will be open for 12 weeks, closing on 1 September 2026.
Consultation 2: Time off for public duties
The Employment Rights Act 2025 set out the Government’s commitment to reviewing the list of public duties in section 50 of the Employment Rights Act 1996 for which individuals are entitled to time off work, with consideration of special constables. The aim of the review was to ensure the list of public bodies and offices that individuals can take time off work to undertake remains fit for purpose and continues to support the effective functioning of modern public services.
The review found that the list of public duties would benefit from updates to reflect changes to public services, governance structures and devolution arrangements. The list also places insufficient emphasis on locally rooted roles linked to community governance and representation. Therefore, these targeted changes are proposed to modernise the entitlement:
Special constables should be entitled to time off under these provisions;
People carrying out eligible public duties with a clear local focus should gain the right to reasonable time off; and
People carrying out public duties for certain national public sector organisations should no longer be entitled to time off work.
Insights drawn from the consultation will help shape the future of this important entitlement and possible legislative changes, ensuring it continues to serve the public interest.
This consultation will be open for 12 weeks, closing on 4 September 2026.
Next steps for consultation
This package of consultations sets out the next steps in delivering our plans. They are critical to shaping the practical implementation of this legislation, helping the Government to deliver reforms that are both effective and inclusive. It is in everyone’s interest to get the relationship between employer and worker right. The Act is the first phase of delivering our plan to make work pay, supporting employers, workers, and unions to get Britain moving forward. The Act will support the Government’s mission to increase productivity and create the right conditions for sustainable, inclusive, and secure economic growth. The Government have further plans for both consultation and the release of Government responses over the coming months and will continue to update Parliament appropriately.
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Seasonal Hospitality Businesses in Coastal Areas
Kate Dearden Excerpts(1 week ago)
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Westminster Hall is an alternative Chamber for MPs to hold debates, named after the adjoining Westminster Hall.
Each debate is chaired by an MP from the Panel of Chairs, rather than the Speaker or Deputy Speaker. A Government Minister will give the final speech, and no votes may be called on the debate topic.
This information is provided by Parallel Parliament and does not comprise part of the offical record
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
It is a pleasure to serve under your chairmanship, Mr Stuart. I congratulate the hon. Member for Isle of Wight East (Joe Robertson) on securing this important debate on Government support for seasonal hospitality and leisure businesses in coastal areas. I thank all hon. Members for talking about businesses in their communities and constituencies. I could really hear their passion as they championed their local areas and businesses.
The debate is important because the sectors are important. They provide accessible jobs, drive tourism and generate significant economic activity. They support local economies, particularly in coastal and seaside communities, where tourism, hospitality and leisure form the backbone of economic activity. They support wider social objectives, creating vibrant places where people want to visit, work, live and invest.
Creating the economic and social environment that hospitality and leisure businesses need to thrive cuts right across Government. Members have raised so many issues that cut across the responsibilities of many Departments, and I thank them for that. Co-ordinated action from the Department for Businesses and Trade and myself, the Department for Culture, Media and Sport; the Ministry of Housing, Communities and Local Government, the Home Office and His Majesty’s Treasury is required to ensure that the great British seaside has a secure and prosperous future.
That is especially important when many coastal communities are entirely dependent on hospitality and leisure businesses to provide the vast majority of employment and opportunity for local people. They prop up the vital local government services that residents rely on, too. These businesses are not simply part of the local economy; they are the local economy.
Luke Myer (Middlesbrough South and East Cleveland) (Lab)
Last year, I worked with some of the businesses in my coastal community to develop a local economic growth plan. Would the Minister meet me to discuss that plan and some of the policies that we would like to see?
Kate Dearden
I am always happy to meet my hon. Friend and his brilliant local businesses. I thank him for his intervention.
I regularly meet local businesses from across the hospitality sector, and I hear at first hand about the pressures that seasonal and coastal operators face. I recognise the importance of hospitality businesses in our coastal communities. I have been delighted to meet many hon. Friends representing coastal towns and cities to understand the challenges that hospitality and leisure businesses in their constituencies and across the UK face.
I recently spent the day visiting Blackpool with my hon. Friend the Member for Blackpool South (Chris Webb) to meet business owners, workers and residents who have come together to extend their peak season and reduce the structural issues of operating seasonally. Visiting in April came with a breeze, but that was never going to stop the magic of going up Blackpool tower, having delicious fish and chips and talking all things hospitality. I thank my hon. Friend for his hospitality on that day. It was particularly useful to meet those leading Blackpool’s tourism sector who are using hospitality as a launch pad for social mobility, high-quality employment and local regeneration.
It is clear, both in Blackpool and across the UK, that future-proofing our coastal communities is only possible by developing those strong partnerships between public, private and third sector organisations. I have taken the learnings from meetings with colleagues and from contributions to the debate, and I will continue to do so with my colleagues across Government. I assure hon. Members that I will work with them and their communities to continue to deliver for coastal towns and communities.
I thank hon. Members for raising the issue of business rates with me on numerous occasions on behalf of businesses in their constituencies. Members will know that we have introduced permanently lower business rates multipliers for eligible retail, hospitality and leisure properties. I know that the Conservative party put temporary relief in place, so it is right that we give businesses permanent relief. We did not think that was right, which is why we stepped in and made our announcements. In addition, we have provided support to pubs and live music venues.
Jim Shannon
I thank the Minister for her replies to all our questions. We need to encourage more people from the United Kingdom of Great Britain and Northern Ireland to take home holidays. Looking at all the problems across the world, we should encourage our own people to have their holidays at home. Does the Minister think that that is a good idea?
Kate Dearden
I am always happy to hear suggestions of how we can do things better and raise awareness of the support that is available. I am really happy to take the hon. Gentleman’s points on board, and I thank him for them.
We will ensure that the business rates system better reflects the realities faced by businesses in the visitor economy. As part of that, the Government are committed to reviewing the methodologies used to value pubs and hotels and will, if necessary, make changes at the next revaluation to ensure valuations accurately reflect the rental market for these properties. Unfortunately, the Conservative party did not take that approach, but we will. We have worked with businesses since we came into government, and will do so in the coming years, to get that right.
On labour costs and workforce models, I recognise the concerns about the potential impact of changes to employment rights on businesses that rely on seasonal and flexible staffing. We have talked about that topic at length, and I thank the shadow Minister for raising it today. It is important that we get the balance right to support workers while ensuring that businesses can continue to operate and create opportunities, which is why we will consult closely with businesses, trade unions and workers over the coming months to understand the impacts in full.
I recognise the strength of feeling a number of hon. Members expressed on such proposals as the overnight visitor levy. As they will know, those powers have been devolved to local metro mayors, and although many have already clarified how they plan to use them, all measures that may be introduced will be subject to consultation with local stakeholders, including hospitality and leisure business owners and advocacy groups.
Members will know about the wider support measures the Government are taking, from our small business strategy to make sure that we create the conditions for short-term resilience and long-term growth, to raising the employment allowance, replacing the apprenticeship levy with the new growth and skills levy, tackling late payments and reviewing the licensing system, alongside our upcoming high street strategy.
Ben Lake (Ceredigion Preseli) (PC)
I extend to the Minister a warm invitation to visit the wonderful Ceredigion Preseli coastline in the summer. We have heard much mention this afternoon of a possible reduction to the rate of VAT for hospitality and tourism businesses. Would the Government consider that? It would give many hospitality businesses not only a hope of survival but confidence that they might be able to invest in their businesses.
Kate Dearden
I would have a busy diary if I said yes to everyone in the room, but I will take the hon Gentleman’s kind invitation away with me. He will know about our recent announcements on boosting summer demand, delivering temporary and targeted VAT cuts for family-focused hospitality and leisure businesses, alongside our wider cost-of-living support measures. Those are really important, because when money is back in people’s pockets, they can spend and support our local high streets and brilliant hospitality businesses. As he will know, the Government keep all taxes under review as part of the policy-making process, and the Chancellor will announce any changes to the tax system at fiscal events, in the usual way.
I will finish on the high street strategy before moving on to further points that were raised by Members. We are delivering more than £150 million to turn the tide on the challenges and pressures facing our high streets, including those in the coastal communities that need it most. Getting those back to being the proud economic hubs of towns and villages is really important; once again we want to see thriving businesses and communities, and a true sense of pride in place. The Government will shortly publish our visitor economy growth strategy, which will establish an ambitious, long-term plan to increase visitor flows, boost value and deliver sustainable growth for the entire UK, including our coastal and rural communities.
Supporting growth in hospitality and leisure sectors through both tourism and skills is absolutely essential to the Government’s approach. This debate has reinforced the importance of tourism as a driver of economic activity in coastal communities. Visitor spending support jobs, sustains local businesses and underpins the vitality of many seaside towns. That is essential, and will maintain the UK’s position as a competitive and attractive destination, while ensuring that local areas have the tools that they need to support sustainable growth.
As has been mentioned, hospitality and tourism sectors also play a crucial role in providing accessible employment, particularly for young people and those entering the labour market. As colleagues may know, my first job was in hospitality—that was the route that I started on, as it was for many Members here today and across the House. It gives skills for life. That sector is valuable for young people: it is the third largest employer in the UK, with 3.6 million people working in the sector, and plays a crucial role in providing those jobs. Given that nearly 40% of the wider visitor economy workforce is aged 16 to 24, the sector will play a key role in the Government’s plan to reduce the number of young people not in education, employment or training. If I had more time, I would talk to hon. Members about the youth guarantee, national insurance relief for those under 21 and those under 25 in apprenticeships, and so much more that we are working on through Skills England and the apprenticeship levy.
Only two minutes of the debate are left and I know that the hon. Member for Isle of Wight East will want to wind-up shortly, so to conclude, we recognise where we can further support different communities all across our economy. That is why we have, for example, significantly increased the hospitality fund. That will provide lots of opportunities to help rural areas in particular, and I am keen to work closely with colleagues on that. It will be £10 million over the next three years, which is significant funding. I assure Members and industry that this Labour Government recognise the importance of hospitality and leisure businesses, and we will work closely with them and colleagues across Government to do so. As the proud Minister with that responsibility, I assure them that I will work tirelessly in the time ahead to represent sector interests, including those of businesses at the heart of our coastal communities.
General Strike Centenary Commemorations
Kate Dearden Excerpts(1 week ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
I congratulate my hon. Friend the Member for Birmingham Northfield (Laurence Turner) on securing this debate on commemorations for the centenary of the 1926 general strike—a moment in our nation’s history that is not always recognised as I believe it should be.
I thank Members across the House for their moving contributions about the background, events and impacts of the strike. My hon. Friend’s brilliant contribution painted an evocative picture of those events and the particular experience in Birmingham. He reminds us that what this Labour Government are trying to achieve in protecting and strengthening rights in the workplace is a case of not only unpicking recent anti-worker legislation, but building on the struggles and sacrifices of previous generations who were often fighting against brutal tactics by their employers and the Government. While he is right that many of the questions he posed are for a different debate, I hope that I can start to answer some of them today by outlining the Government’s approach to workers’ rights in the 21st century.
As we have heard, the general strike was called by the TUC on 3 May 1926 in response to 1 million coal miners being locked out of their mines by owners who wanted them to work longer hours for less money. This was against a backdrop of declining wages, the severe dangers of working underground, and difficult economic conditions in the aftermath of the first world war.
In solidarity with the demands of the miners, more than 1.7 million workers took strike action from industries including bus, rail, printing, gas, electricity, building, iron, steel, chemical industries and the docks.
Gareth Snell (Stoke-on-Trent Central) (Lab/Co-op)
I just want to add to that list the 19,000 members of the National Society of Pottery Workers, which now forms part of the GMB, who, even when the strike ended, still found their jobs at risk because the supply of coal was not available to power the kilns. The local community came together at the time to form solidarity and support committees to ensure that the workers’ families were fed while alternative sources of coal were being found. I think the Minister would agree that that is a testament to the strength and power of the solidarity of the labour movement when it comes to supporting not just the workers but the families of those workers as well.
Kate Dearden
I thank my hon. Friend for that important intervention. I will come on to exactly that point about the importance of solidarity.
The next nine days became the largest expression of worker solidarity in British history. Some of the strongest support for the strike was found in industrial heartlands, such as the area that my hon. Friend the Member for Birmingham Northfield represents, where unions had a strong presence. Those areas included south Wales, the midlands and northern constituencies like mine of Halifax, where 10,000 people attended a mass meeting in Savile Park on 9 May 1926 to support the strike. The trains stopped running, and the Halifax Courier, itself impacted by some of its workers joining the action, reported that even the clock at Halifax station stopped ticking during the strike. This was a pattern experienced across the country: public transport stopped, newspapers could not be printed, and many parts of the economy stood at a standstill.
The Government responded with emergency measures to break the strikes, deeply dividing the country. After nine days, the TUC called off the strike action, though the miners continued their struggle for several months, with many returning to work, though on worse conditions than before.
Emma Foody
I wonder if the Minister will indulge me in paying tribute to a particular striking miner who was born in Hirst in the constituency of my hon. Friend the Member for Blyth and Ashington (Ian Lavery). His name was Robert Wallace Pringle. He was one of the striking miners, and he died the following year in a horrendous accident as an assistant lamplighter, after catching on fire as a result of the fuel-soaked rags. He was my great-grandfather, and I wanted to take this opportunity to get his name on the record.
Kate Dearden
I sincerely thank my hon. Friend for bringing that story to the House and commemorating the memory of her family member. What an incredible story to share with the House.
Although the strike did not achieve its immediate aims, it became a defining moment for the British labour movement. For many workers, it was a stand against falling living standards and a system that was stacked against them. The strike brought workers from across different industries together to demand a fairer deal.
The events of 1926 changed the relationship between workers, employers and the Government, helping to shape the labour movement for the next century. It reinforced the importance of trade unions as a collective voice for workers and sparked debates about workers’ rights, industrial relations and the role of the state. Those debates, as we have heard, continue to this day.
Over the decades since 1926, union campaigning and collective action have secured many of the rights that people now rely on at work, from paid holidays to safer workplaces, protections against unfair dismissal, maternity and parental rights, and the national minimum wage. Those gains were not inevitable; they were the result of workers organising together and demanding change.
One hundred years on, it is clear that many workers in this country feel, as they did back in 1926, that the system does not work for them. After 14 years of Tory austerity and attacks on rights in the workplace, I understand why so many people feel angry and left behind. That is why this Labour Government are working to change that. Our plan to make work pay has brought employment rights legislation into the 21st century, ensuring that workers are paid fairly, have secure work and are protected from discrimination and harassment, extending the protections that many of the best British companies already offer their workers.
My hon. Friends will know that we will not build a robust and growing economy by rewarding the minority of businesses that offer insecure work and predatory environments; instead, we must build an economy based on job security for workers, fair pay for hard work and fair competition between businesses. That is the path to greater productivity in the workplace and our wider economy.
The Employment Rights Act 2025 is the first phase of delivering our plan to make work pay, supporting employers, workers and unions to get Britain moving forward. Alongside the new industrial strategy, the Act supports this Labour Government’s mission to increase productivity and create the right conditions for long-term, sustainable, inclusive and secure economic growth.
For too long, employment rights legislation has only protected some of our workforce—not all. The Act changes that, delivering stronger rights, greater fairness and more security for more than 18 million more people, providing a new baseline of protection from sexual harassment, strengthening statutory sick pay, introducing the right to guaranteed hours, tackling fire-and-rehire and reversing previous Governments’ laws that restrict workplace democracy.
As a lifelong trade unionist, I am proud that this Government champion the vital work of unions in protecting and representing workers across the country, ensuring that they are listened to, supported and heard. By tearing down barriers to trade union activity and ensuring that industrial relations are carried out in good faith, the Government are empowering working people to organise collectively, helping to settle disputes and secure a fair deal in their workplace.
As part of that, the Act repeals the majority of the Trade Union Act 2016 and the entirety of the Strikes (Minimum Service Levels) Act 2023, undoing the Tories’ damage to our workers and our economy. By simplifying the statutory trade union recognition process, strengthening trade unions’ rights of access to workplaces and introducing a duty on employers to inform all new employees of their right to join a union, we are enabling unions to recruit and organise.
We are also delivering new rights and protections for trade union representatives, alongside tackling the illegal blacklisting of trade union members through predictive technologies. This is the biggest increase in trade union and collective rights in a generation, but we know that legislative change alone is not enough; we need attitudes to change, too. That is why we are committed to introducing a new framework for industrial relations, setting out the Government’s vision for a new approach: one that is fit for the challenges of the 21st century, based around the principles of collaboration, proportionality and accountability, and which balances the interests of workers, businesses and the wider public.
My hon. Friends posed questions and raised some important points in the debate. I thank my hon. Friends the Members for Cramlington and Killingworth (Emma Foody) and for Blyth and Ashington (Ian Lavery) for raising the issue of the Cramlington derailment of the Flying Scotsman. I know that the memory of the incident still inspires strong feelings in the region, and there will be a range of opinions on how that memory should be marked. I pay tribute to the Cramlington community hub in the constituency of my hon. Friend the Member for Cramlington and Killingworth, which has done some brilliant work in commemorating the incident. My hon. Friend the Member for Blyth and Ashington mentioned pardons, and I direct him to the process to submit a petition to be considered by the Ministry of Justice.
Once again, I thank my hon. Friend the Member for Birmingham Northfield for bringing this important debate to the House and allowing parliamentary time to commemorate the events of the general strike. Many Members who were unable to make the debate have shared their stories with me, as I am sure they have with other Members in the Chamber. We must never forget these important parts of history, and we must take the time to reflect on how we can work across Government, industry and the union movement to deliver a stronger, fairer future for working people.
Question put and agreed to.
Reform of Zero-hours and Similar Contracts
Kate Dearden Excerpts(1 week, 1 day ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
Our plan to make work pay will modernise our employment rights legislation, extending the employment protections already given by the best British companies to millions more workers across the country. Strengthening this underlying framework will help build an economy based on fair competition between businesses, greater productivity in the workplace, job security for workers, and fair reward for hard work.
We are taking a phased approach to engagement and consultation on these reforms. This will ensure all stakeholders have the time and space to work through the detail of each measure and to help us implement them in a way that works for both workers and employers.
Following the April launch of consultations on non-disclosure agreements and a new code of practice for trade union access, alongside the establishment of the Fair Work Agency and the introduction of a number of measures that give new rights to working people, we are today launching a consultation on reforms of zero-hours and similar contracts. Alongside a programme of direct stakeholder engagement, these consultations will support us in determining how best to put our plans into practice.
Overview of consultation
The consultation on “Ending one-sided flexibility—reforms of zero hours and similar contracts” sets out three clear Government objectives: increasing the baseline of security and stability for workers, rebalancing labour market flexibility and fostering sustained economic growth. The consultation includes three parts.
Part 1 seeks views on key details to be defined in regulations for the right to guaranteed hours for directly engaged and agency workers which will affect eligibility, record-keeping needs and other practical considerations. These details include:
The hours threshold. To be in scope of the right to guaranteed hours, workers must have worked during the reference period for their employer on a zero-hours basis, or have a number of hours guaranteed in their contract already that is below an hours threshold to be specified in regulations—in which case they must have worked in excess of those guaranteed hours.
The length of initial and subsequent reference periods, and the timings of subsequent reference periods. Employers will be required to make a guaranteed hours offer to a qualifying worker that reflects the number of hours they worked during a reference period.
The Government’s preference is for the initial reference period to be 12 weeks long. Subsequent reference periods could be of a different length.
The definition of “temporary need”. This affects the circumstances in which employers can make a guaranteed hours offer on a limited-term basis, and may be important to employers facing seasonal demand.
The way that a guaranteed hours offer is calculated to reflect hours worked.
Any exemption from the right to guaranteed hours, which could apply in specific circumstances.
Part 2 seeks views on details to be set out in regulations for directly engaged and agency workers in relation to new rights to reasonable notice of shifts and changes to shifts, and payment for shifts cancelled, moved, or curtailed at short notice. These details include the scope of the measures; the length of notice to be presumed reasonable and the factors determining reasonableness; how to define short notice for the payment right and how the payment should be calculated; any exceptional circumstances where employers and hirers should be exempt from the new duties; and potential enforcement of short notice payments by the Fair Work Agency. Through consultation and engagement we also seek to understand better the potential impact of the measures on administrative costs to employers.
Part 3 seeks views on whether to amend the Conduct of Employment Agencies and Employment Businesses Regulations 2003 to require relevant entities to share information to support compliance.
Next steps for consultation
This consultation will close at 11.59 pm on 25 August 2026. We have planned an extensive series of meetings during the consultation period with bodies representing employers and workers, including in the key sectors affected. Following the closure of this consultation we will analyse the responses and consider the views expressed and representations made, before publishing a Government response and making regulations in due course.
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Oral Answers to Questions
Kate Dearden Excerpts(2 weeks, 6 days ago)
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Dr Rupa Huq (Ealing Central and Acton) (Lab)
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
I welcome the keen interest in this issue that my hon. Friend has shown. I and my officials have regular discussions with the Department for Culture, Media and Sport, including on the publication of the draft secondary ticketing Bill in the second Session of this Parliament. Consumer enforcement is a key strand of that work, and the CMA is the UK’s main consumer enforcer. As such, we have naturally discussed its important role in the ticketing ecosystem and consumer protection more broadly. In addition, last week the Government introduced the Sporting Events Bill. This will make the unauthorised resale of tickets for major sporting events that meet the conditions in the Bill a criminal offence.
Dr Huq
Ending ticketing scandals was a manifesto pledge prompted by the Oasis surge-pricing scandal, but it appears only in draft form in the King’s Speech. Peak gig-going season is upon us—maybe even for you, Mr Speaker, with your Motown habit—as is a cost of living crisis. [Interruption.] We all know about it and love you for it, Mr Speaker.
Dr Huq
Indeed—reflections of you. Will Ministers meet me to discuss the solution? My meticulously researched, widely backed ballot Bill from 2024 is ready-made and ready to go. It deals with this issue by among other things banning the bots that hog tickets for resale, so that we can stop this rip-off without delay.
Kate Dearden
I thank my hon. Friend for her work on this issue; I know that it has been close to her heart for many years. That is why we have committed to publishing a draft secondary ticketing Bill, as set out in the background to the King’s Speech. That shows our continued commitment on the issue and we are pressing ahead on work that will allow us to legislate as soon as parliamentary time allows. The benefit of the draft Bill is that it will allow scrutiny from parliamentarians and sector experts to ensure that we are getting the approach right. I thank her and hope that she can hear my commitment today.
Chris Law (Dundee Central) (SNP)
As artists and songwriters gather today for the Ivor Novello awards, fans across the country are still being ripped off by ticket touts, despite the Prime Minister’s promise to act “as soon as possible”. It is incredibly disappointing that the Government have proposed only a draft ticket tout ban Bill in the King’s Speech. Does the Minister accept that any further delay simply benefits those touts and secondary ticketing platforms, and will she give us a date for when proper legislation will be brought forward to protect fans?
Kate Dearden
The hon. Member will know that since the Government published our response to the consultation on the resale of live event tickets, we have been working tirelessly to prepare new measures—exactly to his point—to tackle those ticket touts who take advantage of real fans who want to see their favourite bands and artists. That is why the next step is to introduce a draft Bill in this Session. That will enable parliamentary scrutiny and allow us to draw on the expertise of key stakeholders to ensure that our legislation is truly effective and enforceable, because a well-functioning ticket resale market can play such an important role in enabling those who cannot attend an event to give someone else the opportunity to go in their place.
Mrs Elsie Blundell (Heywood and Middleton North) (Lab)
Jerome Mayhew (Broadland and Fakenham) (Con)
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
Pubs such as The Crown and the Running Horse in the hon. Member’s constituency are a real asset, bringing people together and supporting community life. They are now benefiting from a 15% reduction in their business rates bill, with bills frozen in real terms for a further two years. Around three quarters of pubs will see their bills stay the same or fall, saving the average pub around £1,650 this year. Going even further, the Government are launching a review of how pubs are valued for business rates. The hospitality support fund has been increased to £10 million, to support businesses, including pubs, to invest, grow and remain resilient.
Jerome Mayhew
Pubs in my constituency will respond to that answer with disbelief. There were 74 pubs in my constituency at the last count—that may be an inaccurate figure now; it could have dropped—employing roughly 2,000 people, and on top of that there are cafés such as the Heydon Village Tea Room. They tell me that they are being crucified by the Government’s policy of the jobs tax, the removal of business rates relief and the business rates revaluation, and to top it off there is now talk of an overnight levy for pubs with rooms. Why do the Government not want pubs and hospitality to thrive in Broadland and Fakenham?
Kate Dearden
We absolutely want pubs and our hospitality sector to thrive. They are the backbone of our communities and often provide people’s first job. That is why they are so vital to our high streets, to the hon. Member’s constituency and to our local communities. As he will know, pubs in particular have been under huge pressure in recent years. Their numbers have fallen by nearly 7,000 since 2010—a roughly 15% reduction and among the highest across hospitality overall. That is why, since April, every pub and live music venue will have 15% off their new business rates bill, on top of the support announced at the Budget. We know that we continuously need to support our pubs and the wider industry. That is why I work really closely with the Hospitality Sector Council and with publicans and pubs all across the country, to understand how we can better support them, and I will continue to do so.
Laurence Turner (Birmingham Northfield) (Lab)
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
My hon. Friend was an advocate for such legislation long before it was introduced in the House last year. I know how passionate he is about our wider Make Work Pay agenda, as I am too. The Employment Rights Act 2025 is bringing employment rights legislation into the 21st century. We have already repealed burdensome trade union legislation, strengthened statutory sick pay, introduced day one rights to paternity leave and launched the Fair Work Agency. We are implementing the Act over a two-year period and consulting widely with business organisations, trade unions and civil society, to ensure we get the details right and provide the support people need.
Laurence Turner
I draw attention to my membership of the GMB and Unite trade unions, and I welcome and acknowledge the Minister’s firm commitment to this area. The Department recently published its response to the trade union right of access consultation. Capping fines at £500,000 equates to a potential liability of 0.02% of operating profits for Amazon’s warehousing operations, but up to 20% of the surplus of a medium- sized trade union. We must get this right. How does disproportionate liability achieve the Government’s aim of creating a workable right in the minority of cases involving very well-resourced and hostile employers?
Kate Dearden
The legal framework for the right of access in the Employment Rights Act 2025 provides an enforcement mechanism that applies to all parties involved in an access agreement. The Government are clear that the enforcement mechanism must be fair, proportionate and adaptable, and we have set out the factors that the Central Arbitration Committee must consider when setting the value of penalties, acknowledging that some breaches will have a greater impact than others. Those factors will include the gravity of the breach, the number of workers affected by it, and the size and resources of the liable party. The Government believe that the level of penalty fines that the CAC may impose must reflect the seriousness of the breach.
James Wild (North West Norfolk) (Con)
Unemployment is rising, with youth unemployment now at 16%, and the jobs tax and the Employment Rights Act are destroying opportunities. Should Ministers not listen to the chief executive of M&S, who said that instead of “trying to run business,” the Government “should…understand business better”? Will they reduce the burden of regulation and tax, rather than continuing to increase it?
Kate Dearden
The hon. Member will know the stats and the results that we have seen in the economy this year, particularly on growth. I am glad that he references youth unemployment, which is a long-term problem in the UK. The number of young people not in education, employment or training went up by a quarter of a million in the last three years of the previous Government. It is a long-term problem, and that is why we are taking it very seriously. He will know about our announcements on the youth guarantee to provide hiring incentives to foundational apprenticeships, especially in retail and hospitality. We all know the importance of that. Overall employment levels are healthy, but we are not complacent. We know that there is more work we need to do with employers to support them. That is why, for example, the £2.5 billion that we are making available through grants to businesses to help to create over 500,000 opportunities for young people to earn or learn is so important.
Dame Harriett Baldwin (West Worcestershire) (Con)
The Employment Rights Act is one of the reasons given by one in eight business leaders for considering leaving Britain. Indeed, 30% of the Sunday Times rich list have already fled this high-tax socialist Government. The family business tax is another. Will the Minister please lobby the Chancellor for another U-turn, this time to adopt our policy of scrapping the family business tax?
Kate Dearden
This Government are absolutely clear that economic growth is a top priority. We are also absolutely clear that we cannot build the foundation for a strong economy with people in insecure work. That is why this legislation is so important, and we were proud to bring it forward. We are also proud to work with businesses across the country on it, and with our trade union and other partners across the country, working together so that we can build an economy that works for working people, reverse the damage that the hon. Lady’s party did in government and make sure that the economy works in the interests of everybody.
Tessa Munt (Wells and Mendip Hills) (LD)
Sir Julian Smith (Skipton and Ripon) (Con)
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
The Government call for evidence on the opt-out collective actions regime closed in October last year, with almost 100 responses received. I welcome the input stakeholders have provided. We are committed to economic growth and robust competition enforcement, including private enforcement, which is good for businesses, consumers and the economy. A consultation will be published as soon as possible. My officials would be happy to work with the right hon. Gentleman to discuss this work further.
Sir Julian Smith
As the Minister says, it is really important that the collective regime continues—we have a great reputation globally for our opt-out regime. The litigation finance industry is vital to supporting claims from consumers. The Government said last year that they would proceed with a Bill to restore a legal issue following the PACCAR judgment, so does she have an update on when that Bill will come forward? It was not in the King’s Speech.
Kate Dearden
As the right hon. Gentleman knows, the PACCAR review involves complex issues, and it is important that we take the time needed to get it right. Great care is being taken to ensure that proposals for the opt-out collective actions balance the need to preserve a route to redress for consumers with ensuring a proportionate regime for business. As I said in my previous answer, officials would be happy to discuss this issue further with the right hon. Gentleman.
Ben Maguire (North Cornwall) (LD)
Bradley Thomas (Bromsgrove) (Con)
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
Pubs in Bromsgrove are vital to the local economy, supporting jobs and bringing communities together. I welcome success stories such as the Gate at Bournheath being named Bromsgrove and the villages’ pub of the year 2026, highlighting the strength of the sector. The Government are committed to backing pubs with permanently lower business rates for eligible retail, hospitality and leisure properties, and an additional 15% relief for pubs. We have also significantly increased the hospitality support fund to £10 million to help businesses invest, grow and remain resilient. That fund will help more than 1,000 pubs to diversify their business models, improve efficiency and productivity in the sector, and support people who are furthest from the labour market to move into jobs in hospitality.
Bradley Thomas
I thank the Minister for her response, but I am afraid that the picture she paints is not one that pubs across my constituency will recognise. A typical pub in my constituency is paying around £2,500 in additional costs a month compared with two years ago, because of a rise in energy costs, employment costs and business rates. If the Minister is serious about supporting the hospitality sector, will the Government look at a permanent cut to business rates for pubs and exempt pubs with accommodation from the overnight levy?
Kate Dearden
I understand that rising energy prices and the wider supply chain effects can place particular strain on sectors such as pubs and the wider hospitality sector, which often rely on that discretionary spending, and operate on tight margins. I have met lots of such businesses up and down the country over recent weeks, and I know that the current situation with energy prices, especially given what is happening in Iran, is causing a lot of concern. Across Government, we are considering carefully this area as part of our ongoing assessment of economic conditions and support mechanisms. We absolutely want to support our pubs and the hospitality sector, as they are vital to our local communities and high streets. It is vital that we provide the economic stability that we have shown this year, ensuring that the economy can keep growing, wages can rise, and people can have money to spend to support our pubs and our hospitality sector.
Sir John Whittingdale (Maldon) (Con)
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
The Government recognise the vital role that hospitality plays in keeping high streets vibrant, driving footfall, supporting local jobs and sustaining town centre services. We know that many businesses, including the Swan Hotel, Bar and Grill in Maldon, are still facing real pressures, which is why we have delivered permanently lower business rates for over 750,000 retail, hospitality and leisure properties, alongside a £4.3 billion support package, including transitional relief, to help firms to remain on the high street, invest and grow. Later this year, we will bring forward a new high streets strategy, developed with businesses, to support regeneration and help town centres to thrive.
Sir John Whittingdale
Despite what the Minister says, hospitality businesses in my constituency, and the constituencies of my hon. Friends, are reeling from the impact of higher energy costs, and increased national insurance contributions and business rates. These businesses are making it clear that if there are any further increases, they will simply not survive. Why are the Government pressing ahead with another tax in the form of the overnight visitor levy, and will she talk to businesses before proceeding with that?
Kate Dearden
The right hon. Gentleman will know that the decision on the overnight visitor levy is down to mayoral authorities. They will work really closely with businesses and stakeholders in making that decision, but he raises an important point. I recognise the significant pressures facing pubs, hospitality businesses and breweries, which are facing sustained cost increases. We are closely monitoring the potential impact of disruption to trade and the wider economy, because our priority is to keep prices down for households and businesses. Going forward, we will build on our work to cut energy bills and crack down on unfair profiteering. The new framework that we have announced will help regulators spot trouble early and protect consumers, and we will work with businesses on that. We understand and recognise the pressures, and we will work really closely with businesses to support them.
Mr Jonathan Brash (Hartlepool) (Lab)
This week, I hosted the British Beer and Pub Association in Parliament. It has more than 20,000 members across the country, including Camerons Brewery in Hartlepool. Among the many issues that it raised was this summer’s football world cup. In other parts of the UK, late licences are being permitted for all games, but in England and Wales, they are only for England and Scotland games. Will my hon. Friend make representations to her ministerial colleagues about allowing late licences for all games, so that we back our pubs and celebrate this festival of football?
Kate Dearden
I thank my hon. Friend for raising such an important point. I am looking forward to getting out to the pub and supporting England in the world cup. His point about licensing is really important, and we will work closely with colleagues across Government on that.
Mr Speaker
Order. We are on topicals, and I have to get other Members in. I am sure the Minister will have got it.
The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
We recognise the vital contribution of hospitality businesses in the UK, including pubs in Carlisle, to supporting local employment and sustaining high streets and communities. They play a really important role in the cultural and social fabric of communities. I am always delighted to meet my hon. Friend.
Wera Hobhouse (Bath) (LD)
Kate Dearden
Boosting opportunity and tackling youth unemployment in every area remains a priority, and helping young people into work is crucial for that. We know that some people value that flexibility, which is why I will be considering that as part of the regulations.
Jayne Kirkham (Truro and Falmouth) (Lab/Co-op)
Cornwall has so much to offer the UK—critical minerals, floating offshore wind in the Celtic sea, defence, geothermal energy—but infrastructure, particularly ports and rail, will be critical to enable growth. Cornwall is a perfect place to designate as an industrial strategy zone. Will the Minister agree to meet me and Cornish colleagues to discuss this?
Lincoln Jopp (Spelthorne) (Con)
The pubs in Spelthorne are under the cosh. The Minister, in answer to my hon. Friend the Member for Broadland and Fakenham (Jerome Mayhew), said that a review of pubs and how they are valued for business rates purposes is ongoing. She will know that the review will not be relevant until 2029. Pubs are closing today. Young people are losing their jobs today. Will those on the Government Front Bench please do more to lobby the Treasury for our pubs?
Kate Dearden
Pubs in the hon. Member’s constituency and nationwide are so important to day-to-day community life, and we are mindful of the challenges that they have faced in recent years. The number of pubs has fallen by nearly 7,000 since 2010. We know how significant that is, and I will work closely with colleagues to support pubs.
Adam Jogee (Newcastle-under-Lyme) (Lab)
I am delighted that the Government have listened to my calls, and those of my neighbours in Stoke-on-Trent, to finally act to support the ceramics industry—calls so loud that my hon. Friend the Member for Stoke-on-Trent Central (Gareth Snell) has lost his voice. While we await the detail, will the Secretary of State come to North Staffordshire to meet the ceramics businesses that he and this Government are helping today?
Wendy Chamberlain (North East Fife) (LD)
Hospitality businesses in North East Fife support the Lib Dem call for a VAT cut for hospitality, but the Government do not seem to be moving on it. Will the Minister consult with businesses on a lower national insurance contribution band for part-time workers? Part-time opportunities are so important to hospitality and for getting younger people into work.
Kate Dearden
It was a pleasure to meet the hon. Member and the hospitality sector in her constituency recently. There are a wide range of factors when introducing new tax reliefs, and they need to happen in the usual way. The alleviation that we have already introduced on NIC is making a real difference to young people getting into employment. We will review it in the usual way in due course.
Rachael Maskell (York Central) (Lab/Co-op)
In October, Nestlé announced 16,000 job losses, including 450 in the UK. In the light of the significant impact that this will have in York, will the Secretary of State ensure that meaningful consultation happens with the trade unions, and will he meet them to save those jobs?
Draft Package Travel and Linked Travel Arrangements (Amendment) Regulations 2026
Kate Dearden Excerpts(1 month, 3 weeks ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
Thank you for chairing, Mr Twigg, and I apologise for arriving late—I was confused about whether there was another Division in the Chamber. I thank the Government Whip for stepping in and the shadow Minister, the hon. Member for Grantham and Bourne, for his remarks.
The regulations build on legislation from the previous Government, and we have worked really closely with the sector, which is an important driver of growth in the UK. Great holidays bring so much joy to consumers all over the country, and our reforms are all about strengthening the package—which the hon. Gentleman touched on—for the travel framework, ensuring that consumers continue to benefit from strong protections, while clarifying those obligations to ease the burdens on business, supporting the sector and supporting a healthy and thriving economy.
The shadow Minister asked a couple of questions that I will respond to, first on the cost and the impact on businesses. The policy will deliver a net benefit to business of £19 million over 10 years, with £98 million in costs outweighed by £117 million in savings. The analysis considered a range of sources, including feedback from the consultation.
The best estimate we can point to from published analysis is from the 2023 impact assessment of the Package Travel and Linked Travel Arrangements Regulations 2018, as the hon. Gentleman might know. That analysis estimates that 13,979 UK businesses sell packages. I hope that provides him with clarity on the costs.
Gareth Davies
Can the Minister clarify whether she has met any businesses since taking office in this specific industry, and not just relied on the 2023 piece of work?
Kate Dearden
We have expressed our intention for the regulations to come into force on 6 April 2027. These regulations are commencing next year to give businesses almost a year to implement the changes, and they have been aware of these changes since the Government response in December.
We have been working closely with industry to develop guidance and will continue to do so in the coming months. Officials have already conducted engagement and consulted on the regulation at pace. It is really important for these changes that we work closely with the industry and that it welcomes them. We want to make sure we work closely with the industry on that guidance.
The shadow Minister also asked about the 14-day refund period for businesses. Travel organisers are required to refund consumers within 14 days of cancellation, but sometimes that will be because of a failure from a third party. Introducing a 14-day refund period for businesses from those third parties will create more certainty for travel organisers, helping them to manage cash flow and recover costs. That covers most of his questions, but I am happy to answer any more if he has any. Otherwise, I commend the regulations to the Committee.
Question put and agreed to.
Single Status of Worker
Kate Dearden Excerpts(1 month, 3 weeks ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
It is a pleasure to serve under your chairship, Mr Efford. I congratulate my hon. Friend the Member for Ellesmere Port and Bromborough (Justin Madders) on securing this debate and on his impassioned contributions throughout it. I know that, as my predecessor, he knows this agenda well. It has been a privilege to continue that work in my role. I was going to talk a lot about our Employment Rights Act and our wider plans to make work pay but in the interests of time I will not; my hon. Friends have covered those subjects exceptionally well and I thank them for that.
The world of work has fundamentally changed in recent years. As we have heard in this debate, it is no longer the norm to stay employed in the same company or even the same sector for a whole lifetime. New technology continues to transform the way that we work, and where and when we work. As the way we work changes, our employment rights legislation, which protects people, has had to be updated. That is what this Government are doing. I thank my hon. Friends for the many excellent points they have made in this debate about how we are working at pace to make sure that the environment for working people is much better than when we found it. My hon. Friend the Member for Ellesmere Port and Bromborough put exceptionally well how working people are already benefiting and seeing the impact that the Employment Rights Act and the other legislation that we have been working on are making.
I agree that to continue to progress in this area it is necessary to change the employment status framework for rights. The growth of the gig economy and growth in insecure work mean that some people are working without the certainty and stability that typical employment provides. The genuinely self-employed play an essential role in driving innovation, creativity and economic growth, and high-quality self-employment is a crucial part of our UK economy. However, vulnerable workers who work day in, day out, often in challenging conditions and for low pay, are not receiving the protections that they should. Their working conditions can be highly controlled by the people or organisations they work for, but they are nevertheless designated as self-employed, with no access to the national minimum wage, paid holidays, a workplace pension or protections from unlawful wage deductions.
The existing employment status framework can also be particularly difficult to understand and enforce. For someone to determine whether they are an employee, a limb (b) worker or genuinely self-employed can require the ability to understand both statute and a significant amount of complex case law. That presents challenges in a system where the onus is on the individual to bring a case to an employment tribunal to establish their employment status. It enables some employers to undercut their competitors—in this debate we heard many examples of that from different sectors—by misleadingly designating their workforce as self-employed when legally they are not, denying people the rights to which they are entitled, and exploiting the financial advantages associated with self-employment.
I thank hon. Members for mentioning the role of the Fair Work Agency on enforcement, and I am happy to continue the discussion outside the Chamber. I am sure that hon. Members will welcome the fact that the Government have set up a dedicated hidden economy team within the Fair Work Agency. From April, it will take action in sectors known to have egregious breaches of employment rights legislation, and act on illegal working and tax status.
We are committed to publishing a consultation on our plans to tackle employment status problems. It is important to look at whether the current test for employment status places the line between being a worker and being self-employed in the right place, and to consider how to improve compliance with the law so that everyone gets the rights to which they are entitled. Employment status is inherently complex, as we have heard in contributions to this debate.
I thank hon. Members for their time and consideration. We are doing lots of other work in this area, including for the self-employed, which I would like to talk about in further detail. However, in the interests of time I will not—I see you gesturing at the time with your pen, Mr Efford. I thank all hon. Members for contributing and thank my hon. Friend the Member for Ellesmere Port and Bromborough for securing the debate.
Employment Rights Act 2025: Non-disclosure Agreements Consultation
Kate Dearden Excerpts(1 month, 3 weeks ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
We are delivering our plan for change by ensuring employment rights are fit for a modern economy, empowering working people and contributing to economic growth. Our plan to make work pay will extend the employment protections already given by the best British companies to millions more workers across the country.
The Government are making tangible progress in implementing this generational change in employment rights, while ensuring impact on businesses is minimised. Already this April we have: expanded statutory sick pay to up to 1.3 million of the lowest paid employees in society and ensured that it is paid from the first day of sickness absence; supported working families by implementing a day one right to paternity leave and unpaid parental leave; and established the new Fair Work Agency.
Today, we are making further progress in our commitment to protect workers from abuse in the workplace by launching a consultation on non-disclosure agreements. Alongside a programme of direct stakeholder engagement, this consultation will support us in determining how best to put our plans into practice.
Non-disclosure agreements consultation
The Employment Rights Act 2025 introduced a new measure that will address the misuse of NDAs, by employers who want to silence workers about harassment and discrimination in the workplace. While NDAs can have legitimate purposes such as to protect sensitive commercial business interests, they should not be used to cover up workplace misconduct.
The NDA measure will void any provision in an agreement, such as a contract of employment or settlement agreement, between a worker and their employer in so far as it prevents a worker from speaking out about relevant harassment or discrimination. The Government acknowledge that workers may sometimes want confidentiality in cases of harassment or discrimination. We will set conditions in regulations under which NDAs can still be valid (an “excepted agreement”) and will prescribe individuals that a worker with an excepted agreement can still speak to (for example, the police, a doctor, or close family members) subject to consultation. This consultation is split into three parts:
Part 1 seeks views on the Government’s proposed conditions under which an NDA can still be valid in cases of relevant discrimination and harassment, known as an “excepted agreement”. For example, whether a worker should receive “independent advice” on the terms and effect of an excepted agreement, or an explicit time-limited right to withdraw from an excepted agreement without penalty (a cooling-off period).
Part 2 seeks views on who those who have signed an “excepted agreement” should still be able to speak to, known as a “permitted disclosure”. The intention is that where a worker has signed an excepted agreement, they are still able to disclose information relating to relevant harassment and discrimination to certain individuals or bodies to seek advice or support.
Part 3 seeks views on whether this new NDA measure should, in the future, apply to other individuals that may be vulnerable to the misuse of NDAs and who do not meet the standard definition of “worker” in the Employment Rights Act 1996, including certain groups of self- employed.
The Government want to ensure that they protect workers against the misuse of NDAs where employers are using them to cover up relevant harassment and discrimination and to enable workers to have a greater say in whether they want confidentiality and, if they do, a better understanding of what they are agreeing to.
The consultation will run for 12 weeks and close on 8 July 2026. Following consultation, the Government will consider the responses carefully before developing a final policy position. Any changes will be delivered through secondary legislation, with regulations expected to enter into force in 2027.
Next steps
The insights gained through this consultation will be critical to helping the Government to deliver reforms that are both effective and inclusive. It is in everyone’s interest to get the relationship between employer and worker right. This consultation will help us make work pay for both.
[HCWS1513]
Groceries Code Adjudicator: Statutory Review
Kate Dearden Excerpts(1 month, 3 weeks ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
In line with the Government’s regulatory action plan, which seeks to ensure the UK’s regulatory system is targeted, proportionate and supports growth, I am today publishing and laying before Parliament the report on the fourth statutory review of the Groceries Code Adjudicator.
The GCA was established by the Groceries Code Adjudicator Act 2013. Its role is to monitor and enforce the groceries supply code of practice, which the UK’s designated large grocery retailers must comply with when dealing with their direct suppliers.
The Government must review the performance of the GCA every three years, and this is the fourth statutory review since the GCA was established. The statutory review is not a review of the code or the remit of the GCA. The code is a competition measure owned by the Competition and Markets Authority as the UK’s independent competition authority. It was put in place to ensure that large supermarkets do not impose unfair risks on their suppliers which would adversely affect competition and, ultimately, consumers.
The fourth review considered the effectiveness of the GCA in enforcing the code over the period 1 April 2022 to 31 March 2025. A public consultation was held from 13 May to 5 August 2025 to meet the requirements of the Act for the Secretary of State to consult those with an interest in the code. Responses to the consultation, evidence from the GCA annual supplier survey and annual reports and other publicly available evidence enabled the Secretary of State to make an assessment of the performance of the GCA against the measures set out in the Act. These measures were explained in the terms of reference which are included in the report on the review, and in the consultation document, which was placed in the Libraries of both Houses of Parliament on 13 May 2025.
The review has found the GCA to be a broadly effective regulator that made good use of its powers, adopting a proportionate and collaborative approach which usually resolved issues before the need for an arbitration or investigation. However, some respondents called for greater transparency around enforcement and more frequent use of investigatory powers. Despite high awareness of the GCA’s confidentiality obligations, concerns about reprisals persist, especially among smaller or harder-to-reach suppliers, leaving some still reluctant to report issues.
The Government conclude that the GCA has exercised its powers appropriately and continues to provide an important and effective regulatory function that continues to support competition and consumers, but may wish to consider the following:
Stakeholder confidence in the GCA’s collaborative approach: consider the concerns expressed from some stakeholders about the GCA’s limited use of its investigatory powers; and take any necessary action to ensure the basis and effectiveness of the GCA’s regulatory approach in enforcing the code is well understood.
Fear of reprisals deterring suppliers from reporting matters to the GCA: continue considering the concerns of some suppliers about the consequences of raising issues for their businesses; and take any necessary action to ensure suppliers’ concerns are not preventing the GCA receiving sufficient information to effectively enforce the code, with particular attention paid to harder-to-reach suppliers.
Transparency of GCA activity in practice: consider the concerns of stakeholders requesting practical examples; and ensure that suitable information is available to support the GCA’s purpose of enforcing and encouraging compliance with the code. The review also found no evidence to support the need to change the permitted maximum financial penalty the adjudicator can impose following an investigation into non-compliance. It also concluded that the information which the GCA may consider when deciding whether to launch a formal investigation into non-compliance should not be restricted.
The review also examined wider developments in the food supply chain, including the establishment of the Agricultural Supply Chain Adjudicator and the sector-by-sector roll-out of fair dealings regulations. While the GCA model remains effective and its independence is valued, respondents raised concerns about confusion between the GCA and ASCA’s remits, and the need for improved co-ordination, as well as emerging supply chain practices not covered by either regime.
The Government have therefore decided that sponsorship responsibility for the Groceries Code Adjudicator will move from the Department for Business and Trade to the Department for Environment, Food and Rural Affairs. This will streamline oversight, strengthen coherence between the two adjudicators, and support clearer communication with stakeholders.
The report on the fourth statutory review of the GCA has today been placed in the Libraries of both Houses of Parliament.
[HCWS1504]
Trade Union Access to the Workplace and TUPE Reform
Kate Dearden Excerpts(1 month, 4 weeks ago)
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The Parliamentary Under-Secretary of State for Business and Trade (Kate Dearden)
The Government have set the country on the path of national renewal, building a Britain for all on the firm foundations of security, respect and opportunity. That means creating an economy that delivers for working people: productive, profitable and growing, and creating the best environment for business by maximising job security to raise productivity, improve skills and cut the costs of staff turnover.
The Government’s plan to make work pay will bring employment rights legislation into the 21st century. We are building an economy based on fair competition between businesses, greater productivity in the workplace, job security for workers, and fair reward for hard work, delivered in partnership with businesses, trade unions, public sector employers and civil society.
Government response to the consultation “Make Work Pay: trade union right of access”
As part of this, last autumn we consulted on strengthening trade union access to the workplace. Respondents engaged extensively, and their feedback has been carefully analysed and used to inform the final statutory access framework.
The Government response published today sets out the decisions and how the right of access framework will operate in practice, ensuring it is proportionate and enables regulated and responsible union access to the workplace. This includes:
Clear requirements for written union access requests and employer responses, supported by Government-issued templates;
Defined time periods for responses, negotiation and any referrals to the Central Arbitration Committee, with flexibility for agreed extensions;
Circumstances where the CAC must refuse access and when it may be reasonable to do so, ensuring safeguards for all parties; and
A three-tier enforcement system and clear factors the CAC must consider when setting fines, such as the scale and resources of the liable party.
Consultation on draft code of practice on Trade Union Right of Access
Alongside the Government response, we are launching a consultation on a new draft code of practice on statutory trade union access. The code will provide clear, practical guidance for employers and unions on how to navigate the new framework and apply it across different types of workplaces. This is an opportunity for all interested parties to help shape this guidance before it is finalised, helping ensure that the new statutory right of access is well understood and supports smooth, effective implementation.
The consultation will run for six weeks, closing in April.
The final policy details for trade union access to workplaces will be set out in legislation through statutory instruments, which will be laid in Parliament this summer alongside the code of practice.
TUPE Call for Evidence
Today we are also launching a call for evidence on the Transfer of Undertakings (Protection of Employment) Regulations—TUPE. The Make Work Pay plan committed to reforming the TUPE regulations. The regulations exist to support business transfers and protect staff whose job is moved to a new employer. We believe firms should be able to smoothly transfer part or all of their business or transfer service provision, and supporting a stable workforce during transitions can in turn support a competitive business environment. The TUPE regulations should be easy to understand and follow for employers and protect staff.
We intend to consider reforms based on these principles —maintaining the right level of employment rights and protections but simplifying the process for employers.
Through this call for evidence, we will gather evidence on the prevalence and experience of TUPE, including on how many employees it affects and what types of employees and employers are affected. It will also gather evidence on whether employers understand the current rules, and whether the current required steps are followed in practice. We will engage stakeholders throughout. The information gathered will support decision making on any TUPE reforms.
Next steps
This package of consultations sets out the next steps in delivering our plans. They are critical to shaping the practical implementation of this legislation, helping the Government to deliver reforms that are both effective and inclusive. It is in everyone’s interest to get the relationship between employer and worker right. These consultations and the further consultations planned will help us make work pay for both.
[HCWS1499]