Co-operatives in Education

Meg Munn Excerpts

Wednesday 23rd October 2013 Westminster Hall

[Meg Munn (Sheffield, Heeley) (Lab/Co-op)]

Thank you, I think, Mr Hollobone. It is a delight to take part in the debate. Of course, I must start by congratulating the hon. Member for Wycombe (Steve Baker) not just on having secured the debate and established such good cross-party support for it, but on his speech. He spoke very eloquently of the reasons why some of us in this room have been co-operators for many a decade, not just many a year. I warmly welcome him to the cause of co-operation. It is everything he says it is and should be spread more widely, not least in our schools. I have always been proud to be a Labour Member of Parliament, but I am more proud to be a Labour and Co-operative Member of Parliament. Some of my colleagues also bear that title. Other Labour Members do not stand as Labour and Co-operative, but are members of the Co-operative party. It is a set of principles and a vision that are widely shared.

I shall not repeat what the values are, as the hon. Gentleman has done justice to that. I shall simply say that I wholeheartedly agree with him that the values of co-operation could not be more appropriate for schools. This is about having all parts of the community—not just the teachers and parents, but people from the community and pupils—involved in the schools. It is about helping them to understand what it means to take on responsibility for themselves, helping them to understand that they have a role in the school and embedding the school firmly where it is—in its local community.

We heard the excellent example from the hon. Gentleman of the school in his constituency that has done so much to persuade him of the values of co-operation, but that is happening up and down our country. We are talking about values such as business and enterprise, and values that are enabling young people to think about going into the world of work, but in a different way—not a competitive way that is unhelpful, but one that focuses on the benefits of co-operation.

Real strength and depth is emerging in parts of the country, including the south-west, my own beloved Yorkshire and Humberside and the north-west, which I am sure we will hear from. Of course, Cornwall, which I am sure the hon. Member for Truro and Falmouth (Sarah Newton) will speak about in due course, is looking to become the first county in the country in which the majority of schools work together mutually to pool resources in co-operative ways. This revolution in structures and governance is gaining momentum, and we should all be supporting it. That is why I want the Government to take more seriously the proposals that I made back in April this year in my ten-minute rule Bill.

I support choice in education, but there are barriers that should be removed to allow more schools to follow the successful model of co-operation. As the hon. Member for Wycombe said, the legal forms currently available are industrial and provident societies and co-operative and community benefit societies. There is no specific provision in relevant Acts for co-operative schools, so although they have done well so far and they exist, they are having to work around the existing structures and legislation. They have been helped enormously in that by the relevant parts of the co-operative movement, Co-operatives UK and the Schools Co-operative Society, but that is not enough. We want this to go further.

I am an optimist: I believe that one clause could deal with the issue. Of course, it would be a powerful clause. I have a draft of the Bill that I put forward, and would be delighted to pass it to the Minister later. It suggests that we allow Education Acts to be amended to include the legal forms that I just mentioned and ensure a level playing field with other school structures. Of course, I know that any legislation has to stand up to proper scrutiny. I would warmly welcome the Government looking at what I have proposed and coming to a view on whether it is the right way forward. I would like to press the Minister on taking that forward.

[Mr Sheerman]

As greater ammunition, is my hon. Friend aware that a change in the tax structure is coming out of the Treasury imminently and will be very helpful to co-operatives, community interest companies and social enterprise generally? Harnessed to that tax change, a change in regulation might be quite easy and simple to do.

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[Meg Munn]

I thank my hon. Friend. That is a very good point and will, I hope, add strength to what we would like to see. When I put forward my Bill in April, the hon. Member for West Suffolk (Matthew Hancock), who is now the Minister for Skills and Enterprise, was on the ministerial Bench and was kind enough to speak to me afterwards and to indicate that he thought this was something the Government should be looking at. Unfortunately, my letter to him either got lost in his office or disappeared somewhere when there was a transfer of responsibilities, but I should be grateful if the Under-Secretary of State for Education, the hon. Member for Crewe and Nantwich (Mr Timpson), would take back with him a commitment to come back to me and to the hon. Member for Wycombe on the Government’s view on this issue.

I believe that legislation as simple as the measure that I have described—a simple amendment allowing the Education Acts to be amended to recognise these forms of school—could enable us to move forward relatively quickly and, as the hon. Gentleman said, would firmly put action behind the warm words that we have heard about co-operatives from the Prime Minister and other members of the Government.

However, I have not limited myself to just one clause in my ten-minute rule Bill, because that would mean that part of the change that is needed would be missed out. My second clause focuses on nursery schools, to which the hon. Member for Wycombe referred. Labour Members have to hold their hands up; the Education and Inspections Act 2006, passed by the previous Government, did not allow nursery schools to become school trusts, and so prevented them from becoming co-operatives. We need legislation to change that. It is important because co-operatives, by their nature, are based in a geographical area that serves a group of people, otherwise known as the local community. The idea that a co-operative trust could be a school from nursery through to secondary level, and perhaps through to further education—those are other potential areas for the development of co-operatives that I will not deal with today—is powerful. Allowing it to happen is relatively simple, and we should do it.

[Kevin Brennan]

My hon. Friend makes a strong point. About two years ago, I visited Upper Shirley high school in Southampton, which is part of a co-operative trust with an all-through arrangement that includes a local FE college. There is also a co-operative trust in Tiverton in Devon. If the Government were able to look at the issues with nursery schools, that could be a powerful force to promote such all-through co-operative development trusts.

[Meg Munn]

I entirely agree and am grateful for the example. The important aspect is that parents obviously first become involved with schools as institutions at nursery. They are often more likely to be present in the building, because they bring their children there, and possibly take part in parents’ groups, so if they were introduced to the values of co-operation at that point, they would see it as a normal way to get involved in their child’s education and schooling throughout the age groups.

One of the most powerful aspects of Sure Start, which the previous Government introduced, was that, in a non-threatening, non-stigmatising way, parents from all parts of society were made to feel welcome entering the building where their children were being supported in their education. I know from my constituency and my experience working in social services that many young parents who have had not good experiences in school do not like to cross the threshold, because doing so brings back bad memories. It is enormously powerful to involve, from that early point, the values of co-operation and support, and to say not only, “Come in, because your child is here,” but “Come in and have your say. We are all equal; all have equal membership.” From the first, it creates a different relationship between the parents and the people providing the education and support for children. The Minister should look closely at that second change.

[Mr Sheerman]

My hon. Friend and I are both Co-operative Members, and she knows that I have set up a few co-operatives myself. Does she agree that being a co-operative is not a panacea? On this sad day of the demise of the Co-operative bank as an independent co-operative, it would be wrong of us, as Co-operative Members, not to put on the record that sometimes people get into co-operatives for reasons of venality, and that through incompetence things can go wrong. Full involvement in a co-operative is needed to stop that happening. Today is a sad day for many co-operators.

[Meg Munn]

My hon. Friend has put his concerns on the record and he is absolutely right. There is strength in the co-operative movement; it is not about co-operative schools managing on their own and being separate academies or free schools, but about their being part of a movement that, as the hon. Member for Wycombe indicated, naturally gives support—there is support from Co-operatives UK and co-operative schools organisations —and sets up mutuality with other schools that can be helpful and supportive.

[Steve Baker]

I want to respond to what the hon. Member for Huddersfield (Mr Sheerman) said about the Co-operative bank—I am glad that is on the record. I would like to offer two points of comfort. First, given the way in which the credit markets were manipulated by central banks over the past few years—Members know that is one of my favourite subjects—no bank was likely to escape, so I am not surprised that the Co-operative bank was one that did not. Secondly, although we may be small in number, our spirit for co-operation is that of tigers. Co-operation’s moment has come. It will be victorious, and in future the co-operative movement will surge away.

[Meg Munn]

There is nothing I can add to that. I was going on to say that such wide support is positive.

[Andrew Gwynne]

I am grateful to my hon. Friend for giving way. She touches on the power of co-operation outside the schools community. Co-operative schools do not act in isolation. I commend to her the work of Reddish Vale technology college, which has strong co-operative links with its local nurseries and primary schools. It feeds them, as equal members, into the co-operative principles and ideals that apply at the college, and works incredibly closely with them to drive up excellence in standards across all schools, not only those in the co-operative trust.

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[Meg Munn]

I am grateful to my hon. Friend and to all hon. Members who have given real-life examples, which are the important background to the legislative changes I propose.

[Jesse Norman (Hereford and South Herefordshire) (Con)]

I apologise for missing the beginning of the debate; it was due to a Delegated Legislation Committee. Hon. Members know that I am a keen supporter of co-operatives. I planned to support the hon. Lady’s remarks with examples of co-operatives in Herefordshire, but as I had to sit through all the discussion and hearings about the Co-operative bank on the Treasury Committee, I cannot resist pointing out that there were specific issues with the bank that were not merely to do with the model it adopted, and a series of catastrophic misjudgments by successive managements. The issues with the bank should not be taken as an indictment of the co-operative model or the co-operative movement.

[Meg Munn]

I thank the hon. Gentleman for that intervention and welcome him to the debate. I welcome his support for co-operatives. I am moved to call him my fellow co-operator, which is the term those of us in the co-operative movement use. Welcome, fellow co-operator.

I am coming to a conclusion, Mr Hollobone. There is wide support for the changes, which the Government now need to action. The NASUWT, a trade union active in many schools, is supportive of the model. It creates, as has been discussed, a basis on which people come together as equal parts to run schools, try to achieve excellence and work in their communities. Everybody should see co-operation as fundamental to education. It should be part of the process, and is what will help all our children and young people to do their best. I thank all the co-operative movement: the Co-operative party, which produced an excellent briefing, and drafted the clauses for, and supported me in introducing, the ten-minute rule Bill; and the Schools Co-operative Society, which has been enormously important in ensuring that the schools that have taken on the model are supported, and that growth is achievable in a way that does not threaten the model.

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[Mr Timpson]

I am grateful to my hon. Friend. At this juncture, I should perhaps talk about the ten-minute rule Bill introduced back in April by the hon. Member for Sheffield, Heeley. Some of its provisions related to the status of industrial provident societies and the existing legal barriers that she has identified, as well as to the role that nurseries may play in the co-operative movement.

As the hon. Lady will know, by virtue of having brought in the Bill, some elements of the 2006 Act preclude nurseries from inclusion in such co-operative trust arrangements. We are currently consulting on measures to make it easier for schools to extend their age range downwards—for example, from five to 11 for primary schools, to three to 11—so nursery classes in those schools would be able to adopt co-operative ideals. I anticipate that she will understand that some nurseries will therefore still exist outside the extended school system and that it is not possible for them to be trusts.

I will undertake, first, to ensure that the hon. Lady receives a full and proper reply from my Department and, I assume, the Department for Business, Innovation and Skills—the Minister for Skills and Enterprise, my hon. Friend the Member for West Suffolk (Matthew Hancock) is a Minister in both Departments—to her inquiry in relation to her Bill. Secondly, I will consider whether it would be of assistance to have a meeting with her and my hon. Friend the Member for Wycombe to discuss both how we measure the success of the co-operative movement as it has begun to grow over the past few years, and where it fits into the jigsaw of educational provision that is now available. I am happy to take that back and ensure that it is given full attention.

[Meg Munn]

I am grateful to the Minister for that offer, which saves my having to press him for exactly that. It would be most effective to have a meeting—I would certainly want it to be a cross-party one, with hon. Members from both sides of the House who have spoken in this debate—to see how we can take forward both the need for legislation and, as my hon. Friend the Member for Luton South (Gavin Shuker) has said, the need to publicise more widely to schools the benefits of co-operation, of which they may be unaware.

[Mr Timpson]

I am glad that we have managed to come to another co-operative consensus in this debate. Given the steep rise in the number of co-operative trusts in England, it is important to look seriously at their impact and where they fit into our attempts to establish the most effective education for all our children. As the hon. Lady rightly points out, much of that involves good joint working relationships that should provide incentives for schools to develop higher educational standards.

Doing so has several other advantages. The biggest contribution to school leadership development lies in providing the rich and varied opportunities that will lead to the innovation and responsibility that we want schools to show. Collaborative working can, therefore, provide a broader base for developing leaders, and a greater opportunity for leaders to learn from one another. As I have seen in my constituency, it gives such leaders a greater experience of what is going on not only in their schools, but in surrounding ones and at different levels or key stages.

Working more closely together increases the scope for shared learning and continuous professional development, and helps to improve the capacity of small schools—another important point made by my hon. Friend the Member for Wycombe—by creating a greater pool of resources and expertise that can be shared more flexibly between schools. School leaders tell us that they can recruit and retain the best staff by providing them with professional challenge and support in working with other schools.

One major advantage of shared arrangements has been the improvement in the governance of weaker schools. It is typical for governing bodies of sponsored chains to be supported in their monitoring role not only by training, but by receiving data that are collated and presented to main boards and local governors in a standard format. The format will normally report on progress against targets and previous performance, comparisons with national benchmarks and the performance of other academies in the chain.

Another advantage is that central costs can be shared across more schools, giving them greater purchasing power in partnership than they would have as stand-alone schools. They can also benefit from economies of scale and from the pooling of resources. The use of shared business management as a resource across schools has been shown to lead to improved efficiencies and the more effective use of resources across schools. Collaborative working also opens up new opportunities to adapt the primary and secondary curriculums to meet local needs, and it allows schools to put in place stronger academic transition procedures between different phases of school.

The hon. Member for Huddersfield (Mr Sheerman) raised the issue of the Treasury’s proposed tax changes. Obviously I need to look carefully at that to establish exactly whether they will play out as he suggested. On ensuring that we have a crisper, clearer legislative framework, that builds on the matters raised by the hon. Member for Sheffield, Heeley. Whatever we do in education, we must ensure that it raises standards and that it is sustainable, which is another reason it is important to look at the impact of co-operative trusts on our educational system.

We have managed to transcend a partisan debate, mainly because, as I said at the outset, we have many shared values that do not always have an opportunity to rise to the surface in political debate or in our efforts to make our wider political points as we think is most effective. We do not, however, have anything to fear from co-operatives. Whatever side of the political spectrum we are on, we should embrace the values they offer.

The debate has been an opportunity to celebrate the success and the growing involvement of the co-operative movement in our schools, and to acknowledge that at its core are values that we all hold dear, wherever we sit on the political spectrum—a commitment to social justice and moral purpose, a combined spirit of autonomy, a deep desire to help ensure that children and young people across our communities, but especially in the most challenging areas, get every opportunity to make the most of their education and, wrapping around those values, strong community roots that bind in a joint sense of responsibility and, perhaps most importantly, of caring for others. We all have some compassionate bones in our body, and such values have risen to the surface today, which is a testament to the fact that the co-operative movement does much to enrich our communities, as it does more and more within our schools.

I hope that I have given a forceful indication that this Government hugely value the co-operative movement’s work in our schools. We want to learn more about the effect that it is having, what it is achieving and how it can do more in the future. As my hon. Friend the Member for Wycombe said, many schools are still deciding and choosing, as are parents, what sort of schools they want their children to be in. This excellent and informative debate will have encouraged us all to continue to push for higher educational standards in whatever form, and I am grateful to my hon. Friend for bringing this subject to the House.