Fish and Chip Sector Debate
Full Debate: Read Full DebateMelanie Onn
Main Page: Melanie Onn (Labour - Great Grimsby and Cleethorpes)Department Debates - View all Melanie Onn's debates with the Department for Environment, Food and Rural Affairs
(1 day, 14 hours ago)
Commons Chamber
John Cooper
The hon. Gentleman makes a good point, and I will touch on the question of skills in a few moments.
A key reason for prices leaping like a salmon is an increase in the price of fish itself. Incredibly for an island nation, we are a net importer of fish. Previously, a high proportion of fish used in the UK was imported from Russia, though in March 2022 the Government rightly imposed a 35% tariff on Russian seafood imports following the illegal invasion of Ukraine. That invasion also hit the price of flour and sunflower oil—both major Ukrainian exports. There was also a reduction in the North sea cod quota, mentioned by the hon. Member for Strangford (Jim Shannon), who is no longer in his place.
The hon. Gentleman is setting out really well the challenges that fish and chip shops are facing in this difficult international climate, but there are domestic issues too. North East Lincolnshire council, in my constituency, plans to pedestrianise Cleethorpes marketplace, which the famous Steels Cornerhouse fish and chip restaurant says could amount to a £150,000 loss in click-and-collect orders alone. Does the hon. Gentleman agree that local authorities should be doing all that they can to support our favourite fish and chip shops?
John Cooper
The hon. Lady makes an important point. We should of course support businesses of all kinds, and pedestrianisation can be a double-edged sword. One of the difficulties is the weather in this country, and there is nothing better than pulling up right outside the shop that you want to go to, so decisions have to be balanced.
The reduction in the North sea cod quota for 2025 reduced supply, and, of course, increased prices. I am more a haddock man myself, but cod is one of the top five imported and consumed species in the UK. Labour’s failed “mackerel for missiles” deal gave the EU further rights in our waters, but did not give us access to Europe’s multibillion-pound Security Action for Europe defence fund. The EU now takes seven times more fish, by value, from our waters than we take from its waters.
Fish and chip shops have also faced challenges from increased electricity prices due to the use of energy-intensive cooking appliances. Increased energy costs have also contributed to higher potato prices, with more to come as the carbon border adjustment mechanism is effectively a fertiliser tax, adding perhaps an extra £100 per tonne. Even changes to reliefs on double-cab pick-ups—the farmers’ workhorse—have increased potato prices.
Let us hear no nonsense about the people behind the counter being low-skilled; today’s fish-frier could be tomorrow’s FTSE 100 chief executive officer, or the founder of a €1 billion unicorn start-up. They work with cash and high-value stock, and, crucially, learn communication skills through dealing with the public.
Increases to the minimum wage, which is paid not by the Government—although Labour likes to pretend that it is—but by hard-pressed businesses, are also an issue. Add the increase in employer national insurance, which puts a bounty of about £900 on the head of each employee: no wonder youth unemployment is rising.
We agree about the revival of pollock fishing. Obviously, I hope Hansard is listening extremely carefully—otherwise, we are all going to get into serious trouble.
The sector was left to cope with rising costs and global shocks on its own for years, but this Government are taking a different approach. We understand that if we want these businesses to survive and thrive, we have to get involved. We need to support the fishers who land the catch, the farmers who grow the potatoes, and the high street traders who keep their doors open and deliver the final product millions upon millions of times every year, so maintaining a secure and affordable supply of fish is of key importance.
The supply of fish is an international business, and it is really complicated. One issue that has been problematic is that, post Brexit, some of our supertrawlers, such as the Kirkella, are no longer able to supply to the UK, which has elevated the cost of this food.
My hon. Friend is unique in England because she has the Kirkella deep sea trawler, which she has just mentioned. It can be out trawling and processing for months, and it brings back absolutely processed products. There are some issues with where the Kirkella can fish, given what is happening with fish supplies. I am happy to talk to her about this matter, and I hope to visit her constituency at some stage so that I can have a look at that incredible vessel.
We are supporting the UK fleet to ensure that it has access to opportunities to catch cod and haddock. They are migrating north, which is one of the problems, as is the fact that they have been overfished. In 2026, the Government secured approximately £115 million-worth of fishing opportunities for these stocks. We are also taking steps to restore stocks to sustainable levels, so that we can continue harvesting them over the long term. For example, we have recently agreed measures such as seasonal closures with the EU and Norway to protect Northern Shelf cod, which is in a particularly parlous state.
However, fish and chip shops are particularly reliant on imports of fish, as the hon. Member for Dumfries and Galloway said. Maintaining sustainable stocks of white fish in UK waters means that we have to import large volumes of white fish to meet demand. Relationships with trading partners such as Norway and Iceland, where these stocks can be fished, are therefore critical. Industries used to depend heavily on Russian frozen-at-sea fillets, as the hon. Gentleman mentioned, but costs have risen sharply following the war in Ukraine, because businesses have had to find alternative supplies to stay competitive. We are supporting the sector to seek alternative species and sources of fish in order to move away from any remaining Russian-caught fish in the supply chain, and we are working with the National Federation of Fish Friers and the Cornish Fish Producers’ Organisation to reintroduce British-caught rock salmon to the menu.
Of course, I do not need to tell you, Madam Deputy Speaker, that you cannot have a fish and chip supper without potatoes. From our seed and ware potato farms to our fresh and processing sectors, potatoes continue to play an important role in UK farming and food production. I was pleased to see that the Scottish planted area rose for the second year in a row, despite the challenges of the weather and the global disruptions faced by the whole arable community this year. The Government remain committed to working with the farming sector to deliver stability, confidence and growth. The Secretary of State set out at the Oxford farming conference that the new sustainable farming incentive offer for 2026 will be more focused, more transparent and fairer so that more people can benefit.
We continue to invest in our farming sectors. The farming collaboration fund will provide up to £30 million over the next three years, delivering a new approach to farm collaboration and advice, and will back existing and new farmer groups, link them with expert support and help to create strong partnerships that drive growth and deliver environmental outcomes. We are putting partnership with the sector on a firmer footing. Farmers and food businesses will have a stronger voice at the heart of government.
A new farming and food partnership board, chaired by the Secretary of State and me, will drive growth, productivity and long-term profitability. It will remove barriers to investment and improve how the supply chain works, complementing our work to develop a 25-year farming road map—a single long-term plan to bring together regulation, innovation, skills investment and environmental recovery. I certainly hope that we can make our farming sector as profitable and nimble as possible.
The hon. Gentleman mentioned cooking oil, another important aspect of the production of fish and chip suppers. The price and supply of cooking oil is important. As he pointed out, Ukraine is a major supplier of sunflower oil, but supply chains were severely disrupted by the Russian invasion of Ukraine. As a result, the UK suspended tariffs on sunflower oil imports from 1 January 2023. Last year, we extended the tariff suspension until 31 December 2026, so that importers will continue to have tariff-free access to sunflower oil. We are currently seeking views on whether the suspension should be extended for another two years. Clearly, anyone listening to the debate, be they in the fish and chip sector or elsewhere, should get in touch with us if they have a view about that important issue.