Oral Answers to Questions

Lord Vaizey of Didcot Excerpts

Thursday 11th September 2014 Commons Chamber

[Richard Graham (Gloucester) (Con)]

2. What steps he is taking to reduce regulation on businesses.

[The Minister for Culture and the Digital Economy (Mr Edward Vaizey)]

I am delighted to say that we are the first Government in modern history to reduce the overall burden of domestic regulation on business. Our one-in, two-out approach has cut the annual cost of regulation for businesses by £1.5 billion so far, and the red tape challenge has identified more than 3,000 regulations that we are planning to scrap or improve.

[Richard Graham]

One of the Government’s most encouraging steps has been to speed up payments by Government to suppliers that are small and medium-sized enterprises, but the Federation of Small Businesses and others estimate that the problem of late payment by businesses to businesses has increased significantly. Will my hon. Friend therefore work with business groups, such as the CBI, to encourage all their members to settle within 30 days, and will he consider establishing a kitemark for businesses that live up to that?

[Mr Vaizey]

I agree with my hon. Friend. We really need much greater openness about the payment practices of businesses. Knowing who are good payers and bad payers is essential in deciding with whom to trade. We will therefore bring forward legislation to require large and listed companies to publish their payment practices and performance. We will also work with business groups to strengthen the prompt payment code.

[Simon Danczuk (Rochdale) (Lab)]

There have been a number of attempts to amend the Deregulation Bill to reform retransmission fees for public sector broadcasters in the UK. Will the Minister look at the report published on Monday, which argues that reform could provide millions of pounds for the creative industries in the United Kingdom? Does he agree that the reform of retransmission fees should be included in the Deregulation Bill?

[Mr Vaizey]

The hon. Gentleman is referring to ITV’s report, which calls for ITV to be allowed to charge fees to other platforms. I am sure that the hon. Gentleman will have read the brilliant speech given by the Secretary of State for Culture, Media and Sport at the Royal Television Society earlier this week, when he said—I can almost quote it from memory, it was that good—that he will take a “long, hard look” at retransmission fees.

[Mr David Nuttall (Bury North) (Con)]

Given that many of the regulations that affect business emanate from the European Union, will the Minister meet the new EU commissioner for the internal market, industry, entrepreneurship and SMEs, Elzbieta Bienkowska, in the near future to urge her to introduce and adopt the UK Government’s one-in, two-out rule?

[Mr Vaizey]

We have a new set of Commissioners, so may I put on the record my gratitude to Neelie Kroes, who was the Commissioner I worked with most closely under the previous Commission, but who has now retired? I always enjoy meeting European Commissioners, and I also enjoy the fact that so much of the innovation that this Government come up with is now being copied by our European partners.

[Mr Robin Walker (Worcester) (Con)]

3. What recent assessment he has made of the competitiveness of the UK as a place to do business.

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[Mr Philip Hollobone (Kettering) (Con)]

11. How many registered businesses there were in May 2010; and how many such businesses there are now.

[The Minister for Culture and the Digital Economy (Mr Edward Vaizey)]

I am delighted to say that Office for National Statistics figures show that there were 2.1 million registered businesses in March 2010, and that now there are 2.17 million.

[Mr Hollobone]

New businesses are established as a result of brave decisions taken by individuals who are trying to make the most of their own enterprise and initiative. Since the Department has declared Northamptonshire the most enterprising county in the country, is it not now time to praise entrepreneurs such as those who attend the monthly business breakfast club in Kettering run by the Federation of Small Businesses, who have refused to be cowed by the longest and deepest recession since the war and who through their own hard work and initiative are getting Britain back to work?

[Mr Vaizey]

It does not surprise me at all to hear that Northamptonshire is the most enterprising county in England, because it has one of the most enterprising Members of Parliament, and my hon. Friend continues to innovate in his role. I am delighted that Kettering and Northamptonshire reflect the huge boom in businesses—part of the 400,000 extra businesses overall that we have seen created since the coalition came to power.

[Mr David Heath (Somerton and Frome) (LD)]

As far as the south-west is concerned, the growth of small businesses will be dependent on four critical infrastructure issues, all of which fall to the Government to decide within the next few months. The first is the road system, the A303; the second is the rail system and communications to the far south-west; the third is flood defences; and the fourth—the Minister will not be surprised to hear me say this—is access to high-speed broadband for all businesses right across the rural areas of the south-west. Will the hon. Gentleman give a commitment to talk to his colleagues in other Departments to make sure that the south-west gets the infrastructure it needs?

[Mr Vaizey]

I congratulate my hon. Friend on his enterprising approach in getting so many different Departments into one question. I will want to make the case, but it is ultimately the decision of my colleagues in the Department for Transport when it comes to the road structures and of those in the Department for Environment, Food and Rural Affairs when it comes to flood defences. Let me say, however, that broadband roll-out is going incredibly well in the south-west. Cornwall is one of the most well connected counties in England, while Devon and Somerset are not far behind.

[Valerie Vaz (Walsall South) (Lab)]

12. What steps his Department is taking to ensure that scientific advice carries appropriate weight across government.

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[Eric Ollerenshaw (Lancaster and Fleetwood) (Con)]

T4. Given the importance of superfast broadband to businesses in both rural and urban communities, what is the Department doing about BT’s near-monopoly in contracts, which is leading to BT now missing out whole villages and even sections of Lancaster city in my constituency of Lancaster and Fleetwood?

[The Minister for Culture and the Digital Economy (Mr Edward Vaizey)]

I am happy to meet my hon. Friend to talk about the specific circumstances in his constituency. I would say to him that our broadband roll-out programme has now covered more than 1 million homes, and we are covering about 40,000 homes a week. We are going flat-out on this, and we are achieving great success.

[Mr Barry Sheerman (Huddersfield) (Lab/Co-op)]

May I say that I lament the moving of the right hon. Member for Havant (Mr Willetts)? One of the weaknesses of the parliamentary system is this stupid churn of Ministers, especially the good ones who should have been in the Cabinet and doing their job right through to the election.

May I push the Secretary of State on the subject of entrepreneurs? We need more of them in our country, along with more business start-ups. There are some very good tax incentives at the moment, so will he speak to the Chancellor about spreading the tax relief incentives out beyond the private sector? Let us give equal status to social investment and social enterprises. He will know that, at the moment, the cap is much lower.