Airport and Ground Operations Support Scheme Debate

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Department: Department for Transport
Monday 29th November 2021

(2 years, 7 months ago)

General Committees
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Mike Kane Portrait Mike Kane (Wythenshawe and Sale East) (Lab)
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It is a pleasure to serve under your chairmanship, Ms Nokes. On behalf of the Labour party, may I commend you on your extraordinary personal bravery recently? It will help women across the nation to come forward in future.

The Minister is right that it has been a bad weekend for the industry, through nobody’s fault. The omicron variant has led to new PCR tests and new uncertainty in the aviation sector, and it will be quite a blow for the industry during the winter, just as we thought we were beginning to make progress. As the hon. Member for Crawley knows, I visited his constituency on Thursday—I am very grateful to him for allowing me to do so—to visit Gatwick airport. Those at Gatwick were hopeful that things were beginning to come back to normal, despite the slots issue that the airport faces. Passenger numbers and the capacity of flights were increasing. The one thing the airport wanted was for there to be no further uncertainty, but unfortunately we now have uncertainty again.

The Secretary of State for Health and Social Care is still in the main Chamber announcing measures on wearing face masks in shops and on public transport. We really should not have taken those measures away. I am sure that we would all agree that the health of the British people should not be a culture war, and that keeping people safe is the first priority of the Government and of Her Majesty’s official Opposition. I say to the Minister that we have not had a credit card’s thickness of difference between us in our public health messages over the last year or so. I hope that we can continue that co-operation.

We all know that the covid-19 crisis has already had a devastating impact on the whole aviation industry, which contributes £22 billion and 267,000 direct jobs, with a further 1.5 million people employed in the supply chain. The UK is home to the largest aviation sector in Europe and the third largest on the planet. My own constituency is home to Manchester airport, a key gateway to the north. The economic benefits and jobs it brings to the north-west of England are vital to the region and to my constituents, and that will be mirrored by every airport across this great nation.

A number of airlines and airport operators announced further plans to make a significant percentage of their workforce redundant, and that situation will not be helped by the sad news this week. The expectation is that, with a second missed summer season and without further Government support, there is potential for a number of major companies in the industry to cease operating.

With the fast-evolving changes in the nature of the coronavirus pandemic, we cannot predict a return to business as usual for the sector. For that reason, I and my colleagues in the Opposition have continually called for a sectoral deal, only for those calls to fall on deaf ears. I know the Minister agrees that aviation must remain a critical part of the UK economy. More than a year ago, the Chancellor promised an aviation sectoral deal. That has still not materialised, and what is laid down in this SI is not it—£4 million will not touch the sides of the help needed for some of our airports and ground handlers in this country.

I have previously stated on the record my belief, akin to a latter-day Richard Cobden MP, that if we restrict somebody’s trade and their way to make a living, we must compensate them meaningfully. I do not want to give a lecture on the corn laws, but that truth is as relevant today as it was 200 years ago. We should not forget that the Government’s stated ambition to level up our regions will be dealt a significant blow if such an important sector is allowed to go without any meaningful support. We can see the problems currently occurring at Cardiff airport for that reason.

When we consistently called for a sectoral deal, it was to support the whole aviation industry. A deal would have secured jobs and protected the supply chain while the industry learned to stand again on its own two feet. We would also have continued to press for higher environmental standards; it is vital that the aviation sector becomes more environmentally sustainable. But to protect against short-term unemployment and stimulate that change, the Government must take action now to ensure that long-term needs are met.

I cannot see how increasing air passenger duty for some passengers and removing it for others will help the charge to decarbonise aviation, but that is one of the crumbs that the industry is supposed to be grateful for. Even as we transition to a green economy, protecting jobs now so that they can be reskilled for the future economy is critical. It is far easier to transition our aviation sector to greener aviation from a position of strength than a position of weakness. Yet again, this—

None Portrait The Chair
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Order. I remind the shadow Minister to stick to the airport and ground operations support scheme, please.

Mike Kane Portrait Mike Kane
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I will do, Ms Nokes. What we are saying is that this package is not good enough. It will lead to a weaker industry—no longer the third strongest on the planet—and it will stop us transitioning, because it is too little, too late.