Protecting Steel in the UK

Debate between Nusrat Ghani and Grahame Morris

Tuesday 23rd January 2024 Commons Chamber

[Ms Ghani]

I did follow the debate in the Select Committee, and I think the Secretary of State said that these decisions are commercial but that we will do everything that we can, and that our fundamental priority is to ensure that steelmaking continues in the UK.

Tata Steel’s decision has not been taken lightly. This consultation comes against the backdrop of a decade of losses, which were ignored by the Labour party when it was in power. Indeed, Tata’s managing director confirmed over the weekend that, as I mentioned earlier, the Port Talbot plant has been bleeding £1.5 million a day. Its decision also comes with a growing awareness that the UK steel industry has to modernise, because that is what customers want and the technology now exists. In those circumstances, businesses are compelled to make difficult decisions and tough changes. In fact, without the opportunity to install a modern electric arc furnace, the future of the plant would have been under serious threat.

[Grahame Morris (Easington) (Lab)]

The Minister and several of her colleagues have mentioned the losses at Port Talbot. Let me remind the House that Tata Steel paid dividends amounting to £1.4 billion to shareholders between 2019 and 2023, and that the group has reserves of £1.6 billion. Would not a sensible solution be to look at what the unions are proposing, and in particular at Unite the union’s proposal in its transition plan to retain blast furnace 4 during the transition and build a 3-megaton arc furnace to allow Port Talbot to take advantage of the dramatic increase in demand that we anticipate for green steel?

[Ms Ghani]

I believe that Tata has been sharing its business plans with the unions. There is anxiety about the multi-union plan because it does not deal with the basic economics of continuing to make steel at Port Talbot. Of course all of us here want to ensure that steelmaking continues in the UK, and this is the model that Tata has put forward to ensure that it does. Electric arc furnaces will be on line in a few years’ time, and I can assure the hon. Gentleman that we are using steel that is already in the UK system and can be recycled.

United Kingdom Internal Market Bill

Debate between Nusrat Ghani and Grahame Morris

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Tuesday 29th September 2020 Commons Chamber

[Ms Nusrat Ghani (Wealden) (Con)]

I rise to speak to clause 45 and the amendments tabled by the Secretary of State. I seek further clarification from the Minister about the circumstances in which the clause will be needed, and I seek reassurance on the motivation behind the amendments. I want to ensure that we are on the same page and to assist the smooth passage of the Bill.

Clarity of language and intent are key here. Our country’s reputation as rule makers, not rule breakers, is at stake, however unintended that may be. The Minister will know that I backed what my constituents call the Neill amendment—before I break any protocol, let me say it is the amendment tabled by my hon. Friend the Member for Bromley and Chislehurst (Sir Robert Neill)—in part to help the Government to undo the damage that was done when five short words were delivered at the Dispatch Box:

“this does break international law”.—[Official Report, 8 September 2020; Vol. 679, c. 509.]

I know that the amendment we tabled was not perfect, but nor were the circumstances and we did get a huge concession, with the Government accepting a parliamentary lock on the powers they sought to give themselves in circumstances when all else had failed. I welcome the changes the Government have made, but making the law and breaking the law should never be taken lightly. In the last few weeks, yesterday and potentially tomorrow, it feels as though we are dragging Ministers by their tails—not that all Ministers require that—to get them to let us to have a say on legislation. That has not been edifying for any of us.

I support the vast majority of the Bill. It is a Bill that allows us to truly take back control from the European Union and establish, protect and enshrine the internal market of the United Kingdom, the most important market for all four of our nations, and provide us with much needed certainty for businesses across our constituencies. That brings me back to my major concern: we all have a duty across the House to leave a legacy that enhances our country’s reputation and, as Conservatives, to progress our cause with respect for the law and institutions—not leave a reputation that dishonours or diminishes our standing on the world stage. As MPs, we are just bit players in the history of our Parliament, but we can leave unintended consequences in the way we legislate that remain on the statute books long after we have gone.

The United Kingdom has a glowing reputation for democracy and the rule of law, which attracted my parents to migrate here. Reputation takes years to form but seconds to destroy. I support the Government in their quest to get the best possible deal from the European Union, which is why I want to give the Prime Minister the best possible negotiating hand, but when British Ministers give their word on the world stage, they are not only giving the word of the Government but that of the Crown. If the Government propose to break international law in extremis at a future date—I accept that it would only take place if the EU acted in extreme bad faith and undermined the integrity of the Union—that power must only be exercised by our sovereign Parliament, but of course I would prefer for us not to be in that situation at all. I would caution the Government against adopting a machismo, scorched-earth policy, and to remember that, as we emerge next year and continue to challenge countries such as Iran, Russia and China as they flout international law, we will need our international friends to stand tall with us. I look forward to hearing from the Minister his assurances on the amendments tabled to clause 45.

[Grahame Morris (Easington) (Lab)]

It is a pleasure to follow the hon. Member for Wealden (Ms Ghani). I wish to speak about progress towards drawing up a shared prosperity fund, because the English regions, and particularly communities such as mine, are in urgent need of investment. I want to focus my remarks on clauses 46 and 47 and on new clause 3, which relates to the replacement of EU structural funds with the UK shared prosperity fund.

The shared prosperity fund is a mechanism by which the Government can deliver their levelling up and building back better agenda. With all due respect to right hon. and hon. Members from Northern Ireland, Scotland and Wales, this is not an issue just for the devolved nations and regions, but a huge one for many of us in left-behind former industrial areas, and it is somewhat disappointing that, with three months until the end of the transition period, details of the scheme are still scarce.

Structural funds to promote economic growth and deliver infrastructure have never been more important. The divisions and inequalities that have been highlighted during the covid-19 pandemic are deeper and wider today, but they existed previously. As we have learned from previous crises, such as the global financial crash in 2008, it is the weaker regional economies that are hit first and hardest by any economic shock. We therefore need devolution for not only the nations of the United Kingdom but for the English regions that are, to a large degree, disadvantaged by central Government, and the ideal place to start is the shared prosperity fund.

If the fund is to work properly, effectively and in a timely fashion, it needs to be in the hands of town halls rather than Whitehall. In the little time I have, I want to give a practical example to illustrate the point, and that is housing in Horden, in my constituency. In 2015, the housing association Accent Housing abandoned its responsibilities. With the consent of Ministers and the former Homes and Communities Agency, the properties in Horden were auctioned off in a fire sale, with some going for as little as £10,000. That led to an influx of private absentee landlords, who have blighted the village and many others.

Five years later, the numbered streets in Horden have the highest concentration of crime in County Durham, as well as some of the worst housing conditions in the north-east. Durham County Council has consulted extensively and produced a plan, which has been presented to the Government time and time again. However, there are practical difficulties in discussing regeneration at a national level when the issues encompass several Departments—the Treasury, the Ministry of Housing, Communities and Local Government, the Department for Business, Energy and Industrial Strategy, and the Home Office. I raised the issue again this morning, but it is vital that we have cross-departmental working on these issues. I am confident that, if the resources were made available through the shared prosperity fund, regeneration plans such as the one we have developed for Horden, would be given the green light.

Brexit must mean something different for the left-behind areas of the United Kingdom. It cannot be a continuation of bad policy; otherwise, the slogan “take back control”, used frequently by the Prime Minister, will be nothing more than empty rhetoric and a broken promise, with lost opportunities for communities such as the ones I represent.