Coronavirus: Supporting Businesses and Individuals

Paul Blomfield Excerpts

Tuesday 23rd February 2021 Commons Chamber

[Paul Blomfield (Sheffield Central) (Lab) [V]]

I am sure it will not, Madam Deputy Speaker, and can I thank you for giving me this opportunity?

Hospitality and particularly the night-time economy provide thousands of jobs in my constituency: restaurants, bars, pubs, clubs, live music venues—brave businesses making a vibrant city, but hit hardest over the last year. Too many who work within them have fallen through the gaps in the support schemes: new businesses ineligible for it because of administrative deadlines, self-employed who have missed out and workers who had moved employer at the wrong time. So it is no surprise that, according to figures announced this morning, the number of claimants in my constituency has doubled over the last year.

Next week’s Budget must address these issues and provide the flexible help the hospitality sector needs as we navigate the road map out of restrictions and ensure that businesses do not fall at the first hurdle. Support is essential not only for businesses that will remain closed, but for those that will initially only be able to open partially, with outside-only service. Crucially, it must extend to their supply chains. Continuing VAT and business rates relief will help, and so will a smart furlough scheme that does not abandon those who can only open in a limited way. Dropping support too quickly or too crudely will fail jobs and businesses.

Another group who are key to my local economy are students. They have been hard hit by the pandemic, and not just in terms of education. With maintenance loans not even covering rents for many, part-time work provides vital income to sustain many students at university. Jobs they depend on in hospitality and retail have disappeared in the pandemic. Income lost through the absence of those jobs has had a huge impact. As students, they have not been eligible for the support that is available to others, although they have still been required to pay rent for accommodation that they have not been allowed to use. That is why the all-party parliamentary group on students, which I chair, has asked for substantial additional hardship support from Government, as well as support for universities to address lost learning—practical recommendations on which the Government have fallen short.

Yesterday, the Prime Minister confirmed that many students will not be allowed back to campus until after Easter, and the jobs on which they rely are not returning any time soon either. This morning, the Minister for Universities wrote an open letter to students, highlighting the £70 million of hardship support that has been provided. It is worth just £36 per student in England: equivalent to the wages of a short bar shift—barely a sticking plaster—and much less than the £80 in Scotland, £300 in Wales and £500 in Northern Ireland. This generation of students will be paying for the pandemic longer than the rest of us, and they deserve our support now.