UK Maritime Industry

Kelvin Hopkins Excerpts

Thursday 12th January 2017 Westminster Hall

[Mr Andrew Turner (Isle of Wight) (Con)]

Thank you for giving me the opportunity to speak, Mr Walker. I thank the right hon. Member for Orkney and Shetland (Mr Carmichael) for securing this Back-Bench debate. Like the right hon. Gentleman, I represent an island. It is well known that the UK is the world’s foremost country for shipping and freight. As some Members might know, the Solent is one of the major gateways for ships coming into the UK. The maritime sector is an issue that lies close to me and my constituents on the Isle of Wight.

Brexit means Brexit. I know that many in the port sector can see direct benefits from leaving the European Union. However, the port services regulation has once again reappeared from the deep, dark corners of the EU institutions. Anyone who has any knowledge about the proposed regulation knows what dangers it poses to our open, competitive and efficient ports sector. I know that the right hon. Member for Orkney and Shetland secured this debate because he believes that the employees in the maritime sector are being exploited, but I think it is important to note the risk to the UK of being tied up in regulations that will substantially damage our thriving maritime industry.

[Kelvin Hopkins (Luton North) (Lab)]

We dealt with this issue when I was a member of the European Scrutiny Committee, as the hon. Gentleman might know. The regulation has been unanimously opposed by all the port employers and all the port unions. Does he agree?

[Mr Andrew Turner]

I absolutely agree.

The port services regulation is threatening future investment in the sector as well as jobs. It has been opposed by British port owners, trade unions and Government and Opposition Members. It is unwanted, unworkable and, simply put, unacceptable for the UK. The large dark cloud in the sky relates to whether the UK will be affected by the regulation between now and when we leave the EU.

Today the Minister of State for Transport said at Transport questions:

“we are freed from the clutches of the European Union.”

Before Christmas, the European Scrutiny Committee, of which I am a member, held an evidence session with the Minister. It was then unclear whether the regulation would enter into force before the UK had formally left the EU. It was also unclear whether—heaven forbid—a transitional agreement between the UK and EU might mean that the regulation could apply to us, even though we had left. Is the Minister now saying that these uncertainties are settled, because that does not seem to be the view of the European Scrutiny Committee? Is it possible that the new regulations can commit us before we leave the European Union, and we will then have to change things back?

--- Later in debate ---

[Kelvin Hopkins (Luton North) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Walker, and to follow the excellent speech by the right hon. Member for Orkney and Shetland (Mr Carmichael), who led the debate. Much of what I was going to say has been said, but perhaps in different words.

I speak as a member of the RMT group of MPs. What I will say is largely informed by what the RMT thinks, with which I agree. I urge the Minister to ensure that he consults on all occasions and on all matters with the trade unions properly, including not only the RMT but Nautilus International—I have its excellent “Charter for Jobs” report with me.

There are serious concerns about the declining number of UK seafarers, which has fallen by 60% since 1982. The number of ratings has fallen by 25% in just the past five years, so there is undoubtedly a problem with not only the seafarers concerned but the young people who we should be recruiting and training to be the next generation of seafarers.

It is a matter of national security to have a substantial and sufficient body of seafarers who are UK nationals, home-grown and home-based, and whose personal loyalties are to the UK. That is not in any way to denigrate foreign workers; nevertheless, it is significant to have a majority and a large body of home-grown seafarers whose primary loyalty is, naturally, to their own country. The major factor in that decline has been the employment of foreign nationals from poorer areas of the world, who are often paid pitifully low wages, which has been driving down wages and terms and conditions across the maritime sector. Employers are effectively discriminating against and exploiting foreign workers, as well as undermining the jobs market for British seafarers.

These concerns were taken up in the independent Carter review, which concluded that such discrimination must be outlawed and that the then Government—the previous Labour Government—should commit to a timetable for achieving that. The RMT remains committed, and rightly so, to the enforcement of the minimum wage for all seafarers, which should be just what it says: a minimum, not the normal pay for all. Properly negotiated pay rights for UK seafarers would be higher than that, but the minimum wage would at least provide a basic wage for all seafarers. The unions are urging the Government to form a working group to look at reform of the visa and work permit system as it applies to the UK shipping industry.

Proper training is necessary for UK ratings, supported by public funding and with proper marine apprenticeships. The new Royal Fleet Auxiliary support ships should be designed and built in the UK to supply the UK market. Rebuilding a British shipbuilding industry would be a very good idea.

Employers will no doubt complain about the excessive cost of higher pay, safety, security, training and so on, but labour costs for shipping are a small proportion of the total cost and amount to between 2% and 3% of the total cost. Providing good and proper pay with proper training and security for all workers would not add massively to overall shipping costs. It is time to listen to seafarers and their representatives to make sure there are sufficient UK seafarers for our long-term shipping needs and for national security. They should all be properly paid, properly trained and kept safe in their work. Government action is necessary to ensure that happens.