Supporting Small Business
Mick Whitley Excerpts(3 years, 1 month ago)
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Mick Whitley (Birkenhead) (Lab)
I warmly welcome the opportunity to champion everything that small businesses are doing to build a better Birkenhead in the wake of covid-19—from the many cafés and restaurants that gave so generously during the height of the pandemic so that no one went hungry to the All About You beauty parlour, which I opened last summer and which provides dedicated support to people undergoing chemotherapy treatment and pamper days for dementia patients.
Just last week, I had the great privilege of visiting some of the small businesses that are putting Birkenhead back on the cultural map, including Future Yard, a brand-new music venue that gives anything in Liverpool a run for its money—apologies to my hon. Friend the Member for Liverpool, Riverside (Kim Johnson)—and Make Hamilton Square, a profit-for-purpose that provides accommodation to social enterprises and promising new artists.
For far too long, my constituents had become accustomed to the depressing sight of rundown high streets and shuttered shop fronts. Although much more work still needs to be done, things are at last beginning change. The small businesses I have mentioned are leading the charge, bringing jobs and investment back to our town and restoring a sense of pride in the place we call home. They are all totally committed to giving back to their community.
For left-behind towns like Birkenhead to truly thrive, the Government must first recognise the profound responsibility that they have in supporting our town centres as we slowly emerge from covid-19. Too many businesses in Birkenhead and across our country face an uncertain future as they grapple with soaring prices, stock shortages, the end to rates relief and the impending hike in national insurance contributions. In my constituency alone, nearly 150 small businesses are in danger of going under—a terrifying statistic for a town already suffering from some of the UK’s highest levels of poverty and joblessness.
Things do not have to be this way. As the shadow Chancellor has said, reforming an outdated and regressive business rates system is essential if the Government are serious about honouring their promise to level up and build back better. The current system is just not fit for purpose, placing an unbearable burden on small and independent businesses while tech giants and multinationals hide away billions in offshore bank accounts. By freezing business rates and increasing the threshold for small business rates relief, we can lay solid foundations for our economic recovery and get the economy firing on all cylinders once again. That is why I will support my party’s motion later.
Rating (Coronavirus) and Directors Disqualification (Dissolved Companies) Bill (First sitting)
Mick Whitley Excerpts(3 years, 4 months ago)
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Peter Grant
Q Good morning, Mr Pegge. You have described the loophole of company directors being able to dissolve the company in order to avoid their liabilities. Another way that directors can act is to set up two or three companies, transfer all the assets out of a company, dissolve the company with the debts and retain the companies with the assets. Is that a loophole that will still exist, even if the Bill goes through? If that loophole continues, is there a danger that that then becomes the route of choice for dodgy directors to avoid their liabilities?
Stephen Pegge: I think the practice you are describing is sometimes called phoenixing—setting up a company in the same location with the same assets purporting to be the same business with the same directors. It has certainly been a matter of concern for some time. Putting in place these measures should help to discourage and mitigate the risks of phoenixing: I do not think it entirely removes it. As you say, it is possible, even without these additional powers of investigation, for that to take place, but certainly where there is evidence of abuse, the fact that the Insolvency Service will have powers under the discretion delegated by the Secretary of State to investigate the directors, take action against them in terms of disqualification more generally, and seek compensation from them personally for losses suffered will discourage the practice of phoenixing, which I know is a concern. As I say, I do not think that it entirely removes it, but it certainly will discourage it, and to some extent remove some of the possibilities of it taking place.
Mick Whitley (Birkenhead) (Lab)
Q Welcome, Mr Pegge. Do the Government proposals address all the problems that have been identified with the dissolution process in relation to liabilities and directors’ conduct?
Stephen Pegge: This is certainly a very important contribution to addressing major issues, and it is the one that we have been most concerned about recently. We have seen, as I mentioned, real evidence of dissolution being used as an attempt to avoid liability, but I stress that in many cases dissolution is an efficient and appropriate way for companies to be removed from the register where there is no money owing and that business is ceasing, without going through the time and cost of liquidation, which obviously is available as an alternative—for solvent businesses through members’ voluntary liquidation, or in insolvent situations through creditors’ voluntary or compulsory liquidation. I am not aware of significant other means by which we need to deal with abuse of dissolution. This is the one that has been most to the fore in the evidence that we have seen of abuse, certainly through the fraud group.
Jeff Smith
Q I am trying to get a picture of the scale of the issue. You mentioned that the Insolvency Service was involved in about 1,0000 cases in the last year. I appreciate that you said that that is a low number for the year. Then you said that there may be around 2,000 cases where the powers to investigate currently do not exist. That sounds like a significant increase in work for the Insolvency Service, and I wonder whether you think that it will be able to cope.
Stephen Pegge: I am not close enough to its work and resource. One thing that I would say is that the Insolvency Service has very good experience in these sorts of investigations. I would also say that the other element of work, if it has found problems that meet the threshold of evidence and it takes action to disqualify a director, does not necessarily need to involve a court process. In most cases, the Insolvency Service will be successful in getting an undertaking from the director involved to be disqualified. It then has the powers to put that into effect, but certainly people may want to consider whether the resources are sufficient to deal with the case.
The other point is that these are situations where dissolution has been successful. We are also looking to these measures to act, to a certain extent, as a deterrent, in order to make it less attractive for those looking to abuse the system to try it on, as it were. So it may be that this event becomes less frequent in due course.
In fact, one of the processes that is clearly available is for creditors to object to an application for dissolution—and, indeed, the Insolvency Service at the moment is also able to object—on the basis of complaints at that earlier stage, where they have evidence of doing so. And because of evidence of significant numbers of attempts here, those objections have been done on a mass basis.
Enabling Community Energy
Mick Whitley Excerpts(3 years, 4 months ago)
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Mick Whitley (Birkenhead) (Lab) [V]
It is a pleasure to serve under your chairmanship, Sir David. I thank the hon. Member for Bath (Wera Hobhouse) for securing this important debate.
The question of energy cannot be separated from the survival of our planet. That is why today’s discussion is so vital and why I welcome the broad cross-party support for community energy and the Local Electricity Bill. Energy production and consumption both lie at the heart of our battle to combat climate change. To win the battle we need to meet the targets we have set for cutting carbon emissions. The UK Government have now set in law a cut in emissions of 78% by 2035, bringing us more than three quarters of the way to net zero by 2050. To help us meet the target we need to put the Local Electricity Bill back on the agenda.
The Bill could establish a vital local supply that would give the energy market regulator, the Office of Gas and Electricity Markets, the legal duty of establishing new market rules that could help community energy growth. The cost of setting up organisations that sell locally generated renewable energy to local people, together with their running costs, should be proportionate to the size of the business. That reform would make local projects financially viable, unleashing the huge potential of community renewable energy. This has been shown to work in other countries. In Germany, there are 1,000 such supply companies, most of which are local community-owned suppliers, and almost all provide renewable energy.
In the UK, the slow but steady growth of the community energy sector has brought tangible results, with local organisations now serving more than 358,000 people. But further growth is blocked because of cost. A report by the Institute for Public Policy Research stated that the financial, technical and operational challenges involved in setting up a licensed energy supply company mean that the initial costs exceed £1 million. Most community energy companies cannot afford that. Yet providing community energy organisations with the right financial and legislative support could result in a huge expansion of renewable electricity generation.
The Community Energy 2030 Vision estimates that with such support the growth of the community sector could power more than 2 million homes, create up to 9,000 well-paid and highly skilled jobs, shave millions off the cost of domestic bills, and contribute almost £2 billion to the economy every year. We need to unleash that potential. The Committee on Climate Change states that the UK is way off track to reach its greenhouse gas emissions reduction targets. Renewable energy generation currently accounts for only 11% of all UK energy use. That must change. The extension of community energy production can help us move faster to our goals.
I want to end by supporting the recommendations of the April 2021 Environmental Audit Committee, which outlined a positive way forward: remove the barriers to the development of community energy by passing the Local Electricity Bill into law; support the vital role that community energy plays in achieving net zero carbon emissions; and give practical support to the community organisations that help us achieve our targets.
As COP26 moves ever closer, let us ensure that the UK catches up with our neighbours, such as Germany. Let us help community energy to generate electricity for our children and grandchildren. If we miss our target, we are putting those future generations at grave risk of a climate breakdown.
Green Energy in the North-west
Mick Whitley Excerpts(3 years, 5 months ago)
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Mick Whitley (Birkenhead) (Lab) [V]
I beg to move,
That this House has considered green energy in the North West.
It is a great pleasure to serve under your chairmanship, Mr McCabe. I am immensely grateful to hon. Members for participating in this important debate. I thank the Minister for joining us and the shadow Minister, my hon. Friend the Member for Southampton, Test (Dr Whitehead). I am aware of his decades-long interest in this issue, and warmly welcome the depth of knowledge and experience that he brings to the debate.
I secured this debate because I believe that by pioneering a just transition away from fossil fuels, we have the potential not only to curb the very worst excesses of climate meltdown but to breathe new life into left-behind towns such as my constituency. Massive investment in renewable energies, low-carbon hydrogen and the retrofitting of homes has the power to create hundreds of thousands of jobs nationwide. That will bring badly needed investment to communities that have been ignored by Westminster for far too long. That could restore hope to young people with the offer of all-energy apprenticeships, a range of vocational training opportunities and, above all, dignified and well-paid jobs.
The north-west is perfectly placed to lead the transition to a renewable and low-carbon energy source. After all, our region was the cradle of the first industrial revolution. Our factories, foundries and shipyards gave birth to the industrialised world and, with it, today’s climate crisis. To paraphrase the Mayor of Greater Manchester, it is fitting that the north-west should once again be in the vanguard of a new industrial revolution—this time, a clean one. We already have all the key building blocks needed for this historic transition, from a highly developed renewables sector to world-leading carbon capture and storage capacities, our fantastic knowledge and economy and, most importantly, communities and leaders committed to tackling the climate emergency head-on.
My worry is that the Government’s decarbonisation strategy lacks the ambition and vision to deliver climate or economic justice for the people of the north-west. Analysis from Carbon Brief suggests that that 10-point plan unveiled last year would deliver just 80% of the cuts to carbon emissions required to meet the fourth and fifth carbon budgets. The Industrial Strategy Council has described the plan as
“not yet a…roadmap for delivering Net Zero.”
I am concerned that the Government’s sequential approach to creating low-carbon clusters risks leaving the north-west behind. We desperately need a coherent national strategy for green investment that could benefit all the UK’s regions and nations. We must be far more ambitious, not just in the speed and scale of decarbonisation but by recognising the huge potential for creating jobs. The needs of communities such as Birkenhead must sit at the heart of our decarbonisation plans. That is not to say that I disagree with the Government’s proposals in their entirety. The plan is right to recognise the vital role that blue and green hydrogen can play in helping to meet net zero goals, especially in the hard-to-reach sectors of the economy such as steel, international shipping and aviation.
Low-carbon hydrogen does not just have a role to play in delivering a greener, cleaner economy for future generations. It also has the potential to create up to 75,000 jobs within the next 15 years, as well as contributing £18 billion to the British economy. The Offshore Renewable Energy Catapult centre estimates that the UK could earn up to £48 billion a year from hydrogen exports to Europe by 2050. That means that the green industrial revolution and the post-pandemic economic recovery are partners, not enemies.
The Government’s stated ambition of achieving 5 GW of low-carbon hydrogen production capacity by 2030 is welcome, but as a nation we must go further and faster. Last year, Germany pledged €9 billion to the development of low-carbon hydrogen, while France committed €7.2 billion. The UK risks falling far behind our neighbours in Europe.
Already, Merseyside is beginning to benefit from the development of a low-carbon hydrogen economy. Thanks to the hard work of the metro Mayor, Steve Rotheram, and the head of low carbon, Mark Knowles, Liverpool has become the first city in the north of England to trial hydrogen buses, with the St Helens BOC plant acting as a new refuelling facility. Meanwhile, INEOS Runcorn is helping to make the north-west a centre of green hydrogen production. It is a member of both the North West Hydrogen Alliance and Net Zero North West.
Low-carbon hydrogen can help to decarbonise our homes and offices. That is why I am a strong supporter of HyNet North West, which is attempting to develop a low-carbon hydrogen network stretching from north Wales across the Dee to Liverpool, Greater Manchester and Lancashire. HyNet estimates that it will be able to deliver 35% of the UK’s gigawatt hydrogen target by 2025 and will deliver enough carbon capture and storage capacity for 10 million tonnes of carbon dioxide by 2030. It is estimated that that project could create 6,000 permanent jobs and contribute about £17 billion of gross value added to the regional economy by 2050.
The Government should be doing more to encourage hydrogen as a domestic heating source. That begins by encouraging demand by phasing out the sale of natural gas boilers in much the same way as they are ending the sale of ICE—internal combustion engine—vehicles, and it means giving low and middle-income homeowners the financial support that they need to buy low-carbon alternatives such as heat pumps or hydrogen-ready boilers. I ask the Minister to give serious consideration to the proposals that HyNet submitted to the green recovery challenge fund, to accelerate mains replacement in Merseyside and Greater Manchester. With an additional £250 million of funding, HyNet could deliver a hydrogen-ready network about five years ahead of the current programme.
The advent of green hydrogen and electric vehicles will double UK electricity consumption by 2050. The question of how we meet that increased demand is pivotal. In recent years, offshore wind has undoubtedly been renewable energy’s greatest success story, producing more and more clean electricity every year. In the north-west, a gigawatt of capacity has already been installed. That is enough to meet the needs of more than 1 million households. The Burbo Bank wind farm in Liverpool bay alone produces enough electricity to power 80,000 homes, and its continued expansion is likely to bring increased work and investment to towns such as mine.
We should celebrate the amazing advances in offshore wind capabilities, but we should be careful that the industry’s successes are not allowed to blow away other forms of renewable energy, which may be essential to meeting the soaring demand for clean electricity in the coming decades. I am concerned that the lion’s share of contract for difference funding is going to offshore wind, with other industries missing out.
The Government are doing too little to cultivate the development of wave and tidal power. It is estimated that half of Europe’s wave and tidal power resources are in the UK. With the potential to meet a fifth of UK electricity demand and create 16,000 British jobs, and with 80% of the specialist supply chain located in the UK, investments in tidal power have the potential to create jobs across the engineering and manufacturing sectors. In Merseyside, the proposed Mersey tidal project could generate four times more electricity than the entire offshore wind capacity in Liverpool bay. That is enough to power 1 million homes, as well as creating work on both sides of the river.
Despite that enormous potential, there is not a single mention of tidal power in the 10-point plan. The 2020 energy White Paper stated merely that the Government would consider the role of tidal power in helping us meet the net zero objectives. That is simply not good enough.
I appreciate that the up-front costs of such a project are immense, but they are well worth it. I also recognise that we must give serious consideration to the ecological impact of such developments. We need to tackle the climate and biodiversity crises in tandem—clean energy cannot come at the expense of vulnerable natural habitats—but I agree with the Environmental Audit Committee that many benefits of tidal power, including its predictable and reliable energy output, more than justify the initial expense.
As someone who spent 27 on the shop floor of a Vauxhall car plant, it would be remiss of me not to mention the car industry. The electric vehicle revolution has the potential to revitalise an industry that has been devastated by the pandemic, but only with the unequivocal backing of Westminster. The Government must be far more ambitious in their vision for British car making, beginning with a commitment to the construction of three more gigafactories, to be in operation by 2025. I am sure my hon. Friends from Merseyside and Cheshire will join me in saying that the first of those should be in Ellesmere Port.
I look forward to the contributions of all hon. Members. I am aware that time is short, so I will conclude my remarks. The scale of the crisis we face demands a total transformation of our energy system. That will have profound implications for every part of our lives, from how we heat our homes to how we travel and power our economy. I am sure that that will be reflected in a diversity of contributions. Although I believe we should be honest about the scale of the challenge we face, we should equally embrace the enormous opportunities that a just transition to green energy affords us and our communities.
Steve McCabe (in the Chair)
We will have a four-and-a-half minute time limit from now.
Mick Whitley
I thank you for serving as chair today, Mr McCabe, and all hon. Members for contributing to the debate, which has benefitted greatly from their enthusiasm and expertise, and I am not forgetting the Division bells either.
I welcome the comments made by the hon. Members for Vale of Clwyd (Dr Davies) and for Warrington South (Andy Carter) on the HyNet North West project, and I am glad to see these proposals attracting support from across the House. My hon. Friend the Member for Denton and Reddish (Andrew Gwynne) put me to shame by highlighting the important work that a company based in my constituency is doing to combat the effects of climate change, while also driving economic growth across our region. He is right to highlight the enormous potential of the geo-engine, and I echo the important comments he made about the necessity of the Government’s report.
My hon. Friends the Members for Liverpool, Wavertree (Paula Barker) and for Wirral West (Margaret Greenwood) rightly expanded on the many ways that Merseyside can play its role in combating climate breakdown, from harnessing the immense power of the Mersey tidal range to greening our transport. I have no doubt that these are issues upon which we will campaign together in the future. I also thank the hon. Member for Westmorland and Lonsdale (Tim Farron) for his insightful contribution on the issues facing rural communities as we decarbonise our energy system.
My hon. Friend the Member for Ellesmere Port and Neston (Justin Madders) rightly described the profound impact the transition to a low-carbon economy could have on his constituents in particular, and the region more widely. I agree with every word he said. As I said in my opening remarks, the shadow Minister’s interest in this issue is long-standing and his passion was clear for all to see.
Finally, I thank the Minister for her thoughtful response to the points I and others raised.
Question put and agreed to.
Resolved,
That this House has considered green energy in the North West.
UK Steel Sector: Supply Chains
Mick Whitley Excerpts(3 years, 5 months ago)
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Mick Whitley (Birkenhead) (Lab) [V]
It is a pleasure to serve under your chairmanship, Sir Graham. I thank my hon. Friend the Member for Aberavon (Stephen Kinnock) for securing this important debate, and I draw attention to my entry in the Register of Members’ Financial Interests.
British steel was once the envy of the world. From Newport to north Lanarkshire, steel making supported hundreds of thousands of jobs and inspired a fierce and well-earned pride in all involved. In January 1980, the Thatcher Government provoked a strike at the British Steel Corporation—the first national strike in the industry for more than 50 years—to break the union and pave the way for privatisation and under-investment. We are paying the price for that today, as the future of the industry hangs in the balance. Unable to compete on the international stage, the economic output of British steel fell by a staggering 30% in 2016 alone, and last year the Government’s brazen refusal to step in and save the Orb steelworks in Newport led to the historic site closing after 122 years in operation.
Now, the crisis at Liberty Steel threatens not only the livelihoods of the steelworkers themselves but those of more than 3,000 workers in the wider supply chain. Some argue that the British steel industry is doomed to terminal decline—just another in a long line of industries sacrificed to deindustrialisation. I could not disagree more. If we made the right investment now, I believe we can not only secure work for generations to come but re-establish the UK as a world leader in sustainable steel production. Technological advances, such as direct reduced iron technology and hydrogen power, have the potential to transform the industry. It currently accounts for about a quarter of all UK industrial emissions, but it can be part of the green industrial revolution and once again become a force to be reckoned with.
None of that is possible without direct Government support. There have been many encouraging steps so far, such as the re-establishment of the UK Steel Council, the creation of the £250 million clean steel fund and the commitment to founding two industrial clusters by the mid-2020s. Very good, but I fear that we are failing to go far or fast enough in decarbonising the sector. Hydrogen-based steel making is already being piloted in at least 23 sites across Europe, so the UK risks being left far behind by our European neighbours. Whether it is Scunthorpe or Port Talbot, these are the very communities that the Government promised to level up, yet they will be the ones that pay the price.
The British steel industry faces a stark choice: decarbonise or wither away. That is why I call on the Government to heed the calls of the industry leaders and environmental groups and begin trials of hydrogen steel without delay, with a view to fully decarbonising the sector by 2035, as recommended by the Climate Change Committee. That is an enormous challenge, but without that scale of ambition, we cannot possibly hope to compete with our international competitors.
This is not just about decarbonising steel. If we are going to revive this vital industry, the Government also need to take advantage of our departure from the EU’s regulatory framework and ensure that the procurement policy actively benefits British steelmakers. Over the next 10 years, an estimated 7.6 million tonnes of steel will be needed for public infrastructure projects. The Prime Minister must honour his promise and ensure that British steelworkers are at the very front of the queue.
GKN Automotive Plant: Birmingham
Mick Whitley Excerpts(3 years, 7 months ago)
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Mick Whitley (Birkenhead) (Lab) [V]
It is a pleasure to serve under your chairmanship, Dame Angela. I congratulate my hon. Friend the Member for Birmingham, Erdington (Jack Dromey) on securing this debate. I thank him for all he has done to secure the long-term sustainability of the GKN Birmingham plant and to support the 519 workers whose livelihoods are now under threat.
First, I should declare an interest. For 27 years I worked at the Vauxhall car plant at Ellesmere Port, before serving as the north-west regional secretary of Unite the union, of which I remain a member.
The automotive sector is truly the jewel in the crown of British manufacturing. It is deeply distressing to see its future thrown into jeopardy as a result of the pandemic, Brexit and a neglectful Government whose pledges to level up and build back better are worth less than the paper they are written on. We should be very clear: the closure of the plant is not an inevitability, as shop stewards of the plant have demonstrated in their two-part alternative plan. GKN Birmingham remains financially viable. With the right investment and direction, the plant can soon be returned to profitability by improving productivity and transitioning towards the production of parts that will be essential if the UK is to become a world leader in the electric vehicle revolution. The proposals are a testament to the expertise and imagination of workers on the shop floor, whose views are so often disregarded by management, but deserve serious consideration.
As my hon. Friend the Member for Birmingham, Erdington said, the alternative of shuttering the plant doors for good would devastate his constituency, which, like mine, already suffers some of the highest levels of deprivation and joblessness in the country.
The consequences of the plant’s closure would also be felt much more widely. The offshoring of a vital part of the automotive supply chain, and a loss of precious jobs, skills and infrastructure, would be a body blow to an industry struggling to recover from the worst year in its history. As a member of the International Trade Committee, I am acutely aware of how the pandemic dramatically exposed the vulnerabilities of international supply chains. Now, more than ever, we need to invest in domestic industry, and build up skills and well-paid jobs at home. That must begin with the Government investing in the future of Britain’s automotive industry at GKN Birmingham and Vauxhall’s car plant at Ellesmere Port.
When it comes to protecting a critical part of the supply chain at GKN, no option should be off the table, including part or whole state intervention or nationalisation, or any legislative measures that safeguard the plants from asset-stripping venture capitalists. If the Business Secretary fails to act now and make the crucial investment needed to allow the transition of plants like GKN and Vauxhall towards the production of electric vehicles and parts, it will not only condemn hundreds of jobs to the scrapheap, but fatally undermine the Government’s commitments to phasing out diesel and petrol vehicles, and achieving net zero emissions.
The Government face a major test—are they serious about levelling up left behind communities such as Birmingham, Erdington and Birkenhead, or is their pledge to deliver a green industrial revolution just another empty Tory promise? In Birkenhead and Wirral, thousands of jobs hang in the balance.
Vauxhall at Ellesmere Port and Battery Manufacturing Strategy
Mick Whitley Excerpts(3 years, 8 months ago)
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Mick Whitley (Birkenhead) (Lab) [V]
Having spent 27 years on the shop floor of Vauxhall in the paint shop and as a union convenor, I am just one of the thousands of people who have benefited from the highly skilled work and training opportunities that the plant has provided over its many decades in operation. By making the necessary investment now, the Government would be able to secure vital employment opportunities for generations to come and help to make the UK a world leader in the production of electric vehicles. Does the Secretary of State accept that not doing so would, frankly, undermine the Government’s commitment to a green recovery and betray the very communities the Prime Minister has promised to level up?
Kwasi Kwarteng
I think the hon. Gentleman is quite right. Levelling up is clearly heart and centre of what the Government are trying to do. We are doing all we can to get the right result for the people of Ellesmere Port and also for the UK. It is a hugely significant investment.
Oral Answers to Questions
Mick Whitley Excerpts(3 years, 9 months ago)
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Anne-Marie Trevelyan
I thank the hon. Gentleman for his support for the 10-point plan, which I think the whole House believes is the right way forward. The £240 million net zero hydrogen fund is, of course, only one element of this, and we are supporting innovation, heat trials, standards, business models and a revenue mechanism to stimulate that private sector investment which is so important. This is going to put the UK firmly at the front of the pack. We will be setting out much more detailed work later in the year when I publish the hydrogen strategy.
Mick Whitley (Birkenhead) (Lab)
Andrew Gwynne (Denton and Reddish) (Lab)
The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Amanda Solloway)
As I made clear to the hon. Member for Stockport (Navendu Mishra), the use of threats of firing and rehiring as a negotiation tactic is completely unacceptable. We expect all employers to treat employees fairly and in the spirit of partnership. Laws are in place to ensure fair treatment in respect of employment contracts and redundancy matters.
Mick Whitley [V]
Heathrow firefighters, engineers, campus security, baggage handlers, terminal operators and more are taking strike action today against disgraceful fire and rehire abuses by management that have resulted in pay cuts of up to 25% for thousands. Ministers may call these tactics unacceptable, but with greedy bosses and shareholders using covid as a cover for long-held plans to slash wages, what steps are they actually taking to stop Heathrow exploiting its workers in this way?
Amanda Solloway
As previously mentioned, the Department has engaged ACAS to hold discussions to generate valuable evidence about the use of fire and rehire. The Government will communicate our response to the evidence in due course.
Employment Rights: Government Plans
Mick Whitley Excerpts(3 years, 10 months ago)
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Mick Whitley (Birkenhead) (Lab) [V]
I would also like to declare that I am a member of Unite the union and was previously a regional official.
From the 10-hour day campaign in the 19th century through to the campaign for a 35-hour week in the engineering industry in the 1990s, the struggle to protect workers from exploitation and exhaustion has been part of the trade union movement’s DNA. When the current working time limits were first introduced, I was a convenor on the factory floor at the Vauxhall car plant in Ellesmere Port. I saw at first hand how those reforms improved the lives of people working in some of the most challenging and hazardous conditions imaginable—quite literally, cutting hours saved lives. Now those fundamental rights are under threat, and while I am no longer a union officer, I am privileged to be able to speak in their defence in the Chamber today.
The revelation that the Business Secretary is reviewing the working time directive is a matter of great concern. It threatens my constituents, for whom secure and well-paid work is already in short supply, as well as millions of workers across the country. The Government’s intent to take a wrecking ball to the hard-won gains of the labour movement, such as the 48-hour working week limit, holiday pay and rest break entitlements, is clear. The Prime Minister’s pledge that workers’ rights would be “higher than ever before” following our departure from the EU is exposed as yet another empty promise.
We should not be surprised. Many Government Members have long seen Brexit as a vehicle to attacks the rights of workers and the trade union movement. In 2012, the Secretary of State joined other senior Members now in the Cabinet in slandering British workers as being
“the worst idlers in the world”
and advocating a ruinous programme of deregulation and privatisation that would condemn workers’ rights to the dustbin of history. The fact that the new Secretary of State has chosen now to review workers’ rights shows how deeply out of touch the Government are with the mood and needs of the country. Instead of stepping up support for the millions of people who are still struggling desperately to make ends meet, including the nearly 3 million taxpayers yet to see a penny in financial support, this Government have instead frozen key worker pay, look set to cut universal credit and now want to undermine employment rights.
Let us be clear: diluting workers’ rights will do nothing to address the economic catastrophe we face. It will only compound the suffering and misery of the millions of British workers already suffering in-work poverty. As I speak, GMB members at British Gas are engaged in the most significant industrial dispute in the sector’s recent history. Their experience should serve as a potent reminder to every Member in this House that too many workers are still denied basic respect and security in the workplace. While British Gas employees have worked tirelessly during the pandemic to keep our homes warm and connected, their employer is cynically using fire and rehire tactics to cut pay and working conditions.
Oral Answers to Questions
Mick Whitley Excerpts(3 years, 11 months ago)
Commons ChamberRead Full debate Read Hansard Text Read Debate Ministerial Extracts
Caroline Ansell (Eastbourne) (Con)
Mick Whitley (Birkenhead) (Lab)
The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Amanda Solloway)
The UK is a world leader in offshore wind and proud to be the home of the world’s largest offshore wind farm. That is why we have increased our target to deliver 40 GW of offshore wind, quadrupling capacity by 2030, and announced £160 million to support ports and infrastructure enabling the sector to support up to 60,000 jobs.
Amanda Solloway
My hon. Friend is absolutely right. Green hydrogen, coupled with our abundant offshore wind resources, could play a vital role in decarbonising crucial parts of the economy, including heavy transport. The energy White Paper sets out our ambition for 5 GW of low-carbon hydrogen production capacity by 2030. The £23 million hydrogen for transport programme has already helped grow the number of publicly accessible hydrogen refuelling stations across the UK.
Mick Whitley
The tidal energy industry has a hugely important role to play in meeting increased demand for electricity and achieving net zero carbon emissions. The Mersey tidal project has the potential to transform Merseyside, generating enough power for 1 million homes across the north-west, while creating thousands of jobs and positioning our region as a world leader in tidal energy. What practical steps are the Government taking in the immediate term to support the development of this much needed project?
Amanda Solloway
I thank the hon. Member for his question. The Government have funded the north-west energy hub to develop renewable opportunities in the region and are open to considering well-developed proposals with strongly demonstratable value for money and for the environment. He will also know that our officials have been in communication with the Mersey tidal power team, and I ask that they continue their engagement.