Levelling Up

Paul Blomfield Excerpts

Wednesday 2nd February 2022 Commons Chamber

[Michael Gove]

I absolutely will. My hon. Friend is a keen champion of arts, culture and, in particular, music. The institutions that we have in London are fantastic, but they can play a real part with institutions such as the Hallé and others in the north to improve cultural opportunities for all.

[Paul Blomfield (Sheffield Central) (Lab)]

Since 2010, Conservative Governments have cut £2.1 billion in funds to Sheffield City Council. Our annual grant is £288 million lower in real terms. Today, the Secretary of State announced £13 million and described it as transformational. If that is transformational, how would he describe the money we have lost? When will he restore it?

[Michael Gove]

I do not think that I described it as transformational; I think it was the Labour Mayor of South Yorkshire, who said that it had the “potential” to be transformational. I am looking forward to working with the Labour Mayor of South Yorkshire in order to achieve that transformation.

Oral Answers to Questions

Paul Blomfield Excerpts

Monday 24th January 2022 Commons Chamber

[Mr Speaker]

And Gigg Lane has the finest playing surface. We now go to topicals, with Paul Blomfield.

[Paul Blomfield (Sheffield Central) (Lab)]

T1. If he will make a statement on his departmental responsibilities.

[The Secretary of State for Levelling Up, Housing and Communities and Minister for Intergovernmental Relations (Michael Gove)]

On Thursday this week, it is, as the House knows, Holocaust Memorial Day. My hon. Friend the Minister for Levelling Up Communities will lead a debate on that day. It is important that we all recognise that the work of the Holocaust Memorial Day Trust and the Holocaust Educational Trust are absolutely invaluable, not just in challenging the unique evil of the holocaust and the poison of antisemitism but in reminding us that we need to be vigilant against prejudice of all kinds: anti-Muslim hatred, the persecution of Christians and any prejudice that is based on religion, ethnicity or any of our protected characteristics.

[Paul Blomfield]

I certainly endorse the comments by the Secretary of State in relation to Holocaust Memorial Day.

The latest figures for Sheffield from February 2020 to April 2021 show a 46% increase in the number of private renters claiming housing benefit, because wages are simply not keeping up with rising rents. Some 28% of private rentals in the city contain category 1 hazards, which involve serious risk of harm, compared with just 4% of social housing. As the cost of living crisis deepens and energy bills rise, what are the Government doing to alleviate pressure on private renters and when this year will the Secretary of State publish the rental reform White Paper?

[Michael Gove]

The hon. Gentleman makes a very good point. It is the case that there are a number of people in the private rented sector who are not getting the deal that they deserve, both regarding the level of rent and the decency of their homes. I look forward to working with the hon. Gentleman on that.

Building Safety Bill

Paul Blomfield Excerpts

Report stage
Wednesday 19th January 2022 Commons Chamber

[Paul Blomfield (Sheffield Central) (Lab)]

I am pleased to have the opportunity at this point, before the Bill progresses to the other place, to speak about some of the issues that will need to be addressed in the amendments that have been promised by the Secretary of State on protection for leaseholders—issues about which, today and for quite some time, there has been cross-party concern. I pay tribute to thehon. Member for Stevenage (Stephen McPartland) for the work that he has done in this regard, and to the Father of the House, the hon. Member for Worthing West (Sir Peter Bottomley), for his contribution over a long period.

On both sides of the House there is clearly a consensus on what needs to be done, which has been reflected in the debates this afternoon, and it is right that there should be, because we are seeking to address a glaring injustice facing leaseholders who are victims not just of developers but, as was pointed out by the Chair of the Select Committee, myhon. Friend the Member for Sheffield South East (Mr Betts), of regulatory failure, for which we are responsible and over which successive Government have presided.

It is unfortunate that we have been debating the Bill so soon after the Government’s announcement last week, before the Secretary of State had the opportunity to table his amendments so that they could receive the scrutiny they deserved. However, his statement did constitute a step forward. Some of my constituents who have been affected met him before the statement, and they shared my view that while the narrative was good and the direction of travel felt right, there remained too many unanswered questions. I want to set out briefly the concerns that they have, which must be addressed in the Government’s amendments in the other place.

Residents of Mandale House, for instance, made an application to the building safety fund for cladding work, 80% of which was rejected because—my right hon. Friend the Member for Leeds Central (Hilary Benn) mentioned this earlier—the juxtaposition of zinc and timber failed to meet the current criteria. That left them facing bills for tens of thousands of pounds. In the Metis Building there is a problem with wooden balconies, while in Wicker Riverside the problem is compartmentation. Those problems clearly affect many other buildings as well, in my constituency and across the country. We therefore need an absolute assurance that the statutory protection will cover all non-cladding remediation.

Residents of Mandale House face a further problem, in that their developer is no longer in business. We know that is a problem in hundreds of buildings. Companies have failed, or have been deliberately collapsed to enable them to avoid responsibility. It needs to be made clear that those leaseholders will not be overlooked, and that the Government will give them full support in respect of all safety remediation costs.

One of my constituents in the Millsands building asked for reassurance that support should be provided for leaseholders not in occupation of their flats. As my right hon. Friend the Member for Leeds Central pointed out, many have been forced to leave to raise the funds to try to pay the bills demanded of them. Others have left as their families have grown. They have done the sensible thing: they have moved on and used the rental income from their property to fund their new house. For some, the investment was the use of a lump sum to provide a retirement income in a solitary flat. As the right hon. Member for Hemel Hempstead (Sir Mike Penning) argued earlier, those people are victims too, and they need to be fully supported. We also need a statement sending a clear message to freeholders and developers that they must not rush to carry out work in order to avoid their responsibilities by imposing costs on leaseholders now, before the protection becomes part of legislation.

There is another issue, faced by my constituents in Wicker Riverside, a building from which residents were evacuated just before Christmas 2020 because of fire safety concerns. They have a problem with insurance—not that of rising costs, on which other Members commented earlier and for which there should be compensation, but the fact that no insurance company will provide cover for their building. They have been uninsurable for more than a year. That is an untenable position that the Government must, and could, act to address. I have discussed the issue with Ministers.

Finally, there is overriding concern about how long the process proposed by the Government will take, as legal action drags on and there is resistance from developers and others whom the developers may hold accountable and endless litigation. There is a risk that the problem, rather than being solved, will be prolonged for a very long time indeed. If the Government are confident that money can be recovered from developers, they could and should simply act to fix all the faults now and then use the full resources of the state to recover the money from those responsible. That way, as Members on the Opposition and Government Benches have said throughout today’s debate, no costs will fall on those who have no responsibility for the predicament they are in.

Building Safety

Paul Blomfield Excerpts

Monday 10th January 2022 Commons Chamber

[Michael Gove]

I very much take my right hon. Friend’s point. We will try to ensure that the legislation deals with the potential perverse incentive to which he alludes.

[Paul Blomfield (Sheffield Central) (Lab)]

In opening his remarks, the Secretary of State acknowledged that the problem is not simply developers’ negligence but a failure of regulation, for which the Government are responsible. Leaseholders will fear that today’s announcement will have the effect of kicking a solution further down the road, causing delays for those who have been trapped in an intolerable position for far too long. Does the Secretary of State accept that the best way of seeking a solution is for the Government to fulfil their responsibility by acting to fix the faults without delay and then using all their powers to recover the money from developers and those responsible?

[Michael Gove]

I absolutely take the hon. Gentleman’s point, but I think that the legislation we are bringing forward helps to address some of the regulatory failures to which he alludes. I also think it is important to wait for the conclusions of the Grenfell inquiry before apportioning appropriate weight on the responsibility that rests on central Government, the responsibility that rests on local government, and the responsibility that rests on others. I believe the proposals that we have put forward today are the best and most expeditious way of ensuring that we can provide support to leaseholders, but of course we will keep that under review.

Building Safety Bill

Paul Blomfield Excerpts

2nd reading
Wednesday 21st July 2021 Commons Chamber

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

The debate on this Bill is framed by the Prime Minister’s promise that

“no leaseholder should have to pay for the unaffordable costs of fixing safety defects that they did not cause and are no fault of their own.”—[Official Report, 3 February 2021; Vol. 688, c. 945.]

Let me dissect that pledge. There were no conditions on the height of the property, none on when it was built and no limit to the nature of the defects.

The Prime Minister was right to make that pledge because, along with the developers who built them, those who live in these unsafe properties have been let down by comprehensive regulatory failure. The failure of successive Governments, as the Prime Minister said, is no fault of leaseholders. The Government are responsible for the problem and must take responsibility for resolving it, which this Bill does not do.

Throughout this crisis, I have regularly met affected leaseholders across my constituency. I pay tribute to Sheffield Cladding Action Group, which has done so much to raise their concerns. I met the group shortly after the Fire Safety Act 2021 was passed without amendment. They were understandably upset that it did not put an end to their misery, but they looked to the Building Safety Bill for a solution because the Building Safety Minister, Lord Greenhalgh, and other Ministers had said that this Bill would offer the “correct legislative approach” to fulfil the Prime Minister’s pledge. But clearly it does not.

Since the publication of the Bill, constituents have been in touch to point out how little it does to protect them from historic costs. They have said that making it a legal requirement for building owners to exhaust “all other avenues” before passing on costs fails them, too, as it gives building owners a free pass to avoid costs so long as they find an excuse. The problems they face include issues other than cladding. That was part of the Prime Minister’s promise, but it is not covered by the Bill.

Extending to 15 years the period within which people have the right to sue developers does not help many of my constituents whose homes were built earlier, such as the one who pointed out that he was 14 years old when his building was completed. Those who will get the opportunity to pursue developers say that the Government know it is not a real option for most leaseholders. How can they take on the legal costs and, with their resources already depleted by all the bills they have faced, tackle the corporate lawyers of the major developers? And what of the companies that have been wound up?

Let us remember the reason for this Bill. It is not just the lives that have been destroyed or the people who have been bankrupted, although they have been, but the thousands of buildings that have been found to be unsafe. By putting unaffordable costs on to thousands of leaseholders, those buildings will remain unsafe. The Government must face up to their responsibility, make buildings safe and then use the full resources of the state to recover the costs from those responsible. If they will not do so willingly, this Parliament needs to force them to do so by amending the Bill over the weeks ahead.

Building Safety

Paul Blomfield Excerpts

Tuesday 29th June 2021 Commons Chamber

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

I thank my fellow Sheffield MP, my hon. Friend the Member for Sheffield South East (Mr Betts), the Chair of the Select Committee, for the excellent way in which he comprehensively framed the issues about building safety that we need to consider. I also thank all members of the Committee for their consideration of cladding and other safety issues in multi-storey buildings, many of which are in my constituency.

Today is the first opportunity to debate the issue properly since the Government ordered their MPs to vote down cross-party proposals to protect leaseholders. My hon. Friend was right to remind Ministers that the issue will not go away, partly because many Members on both sides of the House will continue to press it and also because of the impact on the lives of hundreds of thousands of people across the country.

Only last week, I was contacted by a mother who shared her son’s situation with me. He is also one of my constituents. Trapped by owning a home in an unsafe building and facing unaffordable financial demands, he has considered taking his life to get out of that nightmare. Now in his late 20s, he was 14 when the building where he lives was built. How is he responsible for the faults of developers and the failure of regulators?

Colleagues will know that that is not an isolated case and that many of us represent leaseholders who face bills that they cannot afford and live in unsafe properties that they cannot sell. They are under intense mental strain, not just because of the huge financial pressures, but because their lives are on hold. They are unable to move, start families or begin new jobs.

The Prime Minister recognised the problem when he pledged in February that

“no leaseholder should have to pay for the unaffordable costs of fixing safety defects that they did not cause and are no fault of their own.”—[Official Report, 3 February 2021; Vol. 688, c. 945.] 

Like so many of his promises, it was casually made and casually ignored when we debated the Fire Safety Bill. Ministers must recognise that the situation is untenable. Any settlement that requires people to pay unreasonable amounts of money will not only break them but is doomed to fail.

The loan scheme that Ministers proposed is unfair and fails to cover everybody in that situation, as others have pointed out. It is also unworkable. Remediation will not happen and buildings will remain unsafe. Four years ago, many of the risks facing buildings were not fully understood. They are now, so the continued failure to act is simply unforgivable.

I met affected constituents from across my constituency again last week. They had heard the Prime Minister’s promise and they watched the Fire Safety Bill pass unamended with bitter disappointment. They asked me to make it clear to Ministers that their campaign will not stop until they see the action they deserve. They are victims of comprehensive regulatory failure, which we have a responsibility to address. As my hon. Friend the Member for Sheffield South East said, it should be addressed by using the full resources of the state and then recovering the costs from those responsible.

Ministers mark the anniversary of the Grenfell Tower every year, but then bury their heads in the sand in the hope that history will not repeat itself. It is not good enough, and it is time for the Government to act and put an end to the nightmare facing so many of our constituents.

Fire Safety Bill

Paul Blomfield Excerpts

Wednesday 28th April 2021 Commons Chamber

[Ruth Cadbury (Brentford and Isleworth) (Lab)]

It is a pleasure to follow my hon. Friend the Member for Cardiff South and Penarth (Stephen Doughty) and all the Members who have spoken since the Minister sat down.

Ministers, including the Prime Minister, have said in the House and in the other place on many occasions that leaseholders would not have to pay for fire safety failures not of their making, so why do the Government still disagree with the Lords amendment? The Minister said yesterday and just now that the Government do not have time to draft appropriate amendments to the Bill in the way we seek, yet they have had seven months since Second Reading and five months since Third Reading—plenty of time to try to sort this out.

The safety scandal exposed by the Grenfell Tower fire affects up to 1.3 million flats. Current leaseholders cannot sell, and potential leaseholders cannot get new mortgages until they can prove the homes are safe. Insurance is impossible to come by. Worse, residents of those flats live with the fear of being trapped by a fire in their home. Leaseholders live with the fear of unaffordable costs for the remediation being imposed on them.

The human cost is incalculable. In my constituency alone, at the Paragon estate, built by Berkeley, about 70 homeowners, along with hundreds of assured tenants and students, were evacuated with a week’s notice and cannot return. A fire raged up the cladding of Sperry House in the middle of the Great West Quarter estate built by Barratt Homes. Leaseholders in at least 25 blocks in my constituency that were built by volume house developers face unknown costs, including for waking watch, for the replacement of flammable cladding and wooden balconies and, most expensive of all, to address the lack of fire breaks or proper compartmentalisation.

The building safety fund does not even cover the cost of cladding remediation throughout the country, let alone any of the other failures in these buildings, and it provides loans only for sub-18-metre blocks. Nor does it support housing associations with the cost of rectifying the safety failures that affect the social rented flats for which they have found themselves responsible through planning gain, so they are having to take the repair costs from the funds meant for the building of new social rented housing.

Unamended, the Bill will mean that leaseholders will be forced to pay. They should not have to pay—they did not design or build their flats and they do not own the building their flat is built in. This Parliament, with the support of this Government, could take the burden from leaseholders now, but instead we are told that we have to wait for a different Bill, the content of which is unspecified, as is its timetable. That is unacceptable.

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

We have heard a lot recently about the Prime Minister’s honesty and integrity. It is important to our democracy that people can trust the word of their leaders, but this debate highlights that issue yet again. As I reminded the House yesterday, on 3 February the Prime Minister told us that

“no leaseholder should have to pay for the unaffordable costs of fixing safety defects that they did not cause and are no fault of their own.”—[Official Report, 3 February 2021; Vol. 688, c. 945.]

It was a clear statement of policy—an unambiguous pledge to those who face ruin as a result of fire defects that are the responsibility of developers. Yet the Prime Minister has consistently whipped his Members to oppose amendments to the Bill that would honour his pledge.

I have listened carefully to the justifications from Ministers for opposing the amendments tabled by the hon. Member for Stevenage (Stephen McPartland) and by the Bishop of St Albans, and we heard them again yesterday. The Minister described the amendments as “laudable in their intentions” but

“unworkable and an inappropriate means to resolve a problem as highly complex as this.”—[Official Report, 27 April 2021; Vol. 693, c. 264-265.]

His ministerial colleague in the other place, the Minister for Building Safety and Communities, said that it was

“the Government’s view that the Bill is not the right legislation in which to deal with remediation costs.”—[Official Report, House of Lords, 27 April 2021; Vol. 811, c. 2207.]

So, they are not the right amendments and it is not the right legislation.

Surely the Government should embrace the new Lords amendment, because it gives them the opportunity to draft their own proposals in separate legislation and to honour the Prime Minister’s promise to leaseholders. The Minister claimed today that it will take time; the hon. Member for Southampton, Itchen (Royston Smith) rightly pointed out that they have had time. It has been five months since the hon. Gentleman tabled his amendment and three months since the Prime Minister’s promise: if the Minister genuinely felt that the objectives were laudable, he has had time to come up with his own proposals. Those in the Metis building, Wicker Riverside, Daisy Spring Works and other buildings throughout my constituency deserve nothing less, because they face bills of up to £50,000 each to fix the mistakes of others. Unlike the Prime Minister, they do not have access to private donors. They face bankruptcy and ruin, trapped in homes that are unsafe and unsaleable, facing unbearable pressure and unimaginable mental strain.

We have to recognise our responsibility. The leaseholders have been let down by not just the developers but a flawed system of building inspections. They are—as I know Ministers recognise—the victims of comprehensive regulatory failure. The Government have to step in, urgently fix the faults and then recover the funds from those responsible—

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. Again, I have allowed considerable leeway, but the hon. Gentleman has had his time. I do not understand: when people are speaking from home, can they not see the time limit? I think that might well be the case, so perhaps someone will send a message back. Here in the Chamber we can see the time limit and I hope that the hon. Gentleman will appreciate that I allowed him to exceed it.

I had put on a tight time limit because I had anticipated some vigorous debate and interventions; there has not been a single intervention, which leaves plenty of time for the Minister to respond to the debate.

Fire Safety Bill

Paul Blomfield Excerpts

Consideration of Lords message
Tuesday 27th April 2021 Commons Chamber

[Sir Robert Neill (Bromley and Chislehurst) (Con) [V]]

I had very much hoped that it would not be necessary for us to continue to have this debate in relation to this Bill. The core elements of the Bill are worth while and I support them. Unfortunately, however, it creates a set of potential liabilities upon wholly innocent leaseholders, without giving them an adequate means of redress. That is simply unfair. It is unfair on my constituents and it is unfair on people who have bought properties in good faith and who have relied on professional advice and the regulatory regime that was then in force. If there are people who were at fault, either in the construction of the buildings or in the way in which surveys were carried out, they should absolutely be held to account, but the people who should not end up with a liability are the leaseholders, who have acted in good faith throughout. It is the absence of protection for them that, regrettably, causes me to have to support the Lords amendment again today.

My right hon. Friend the Member for North Somerset (Dr Fox) tabled what I thought were constructive amendments, which I was happy to sign. I hope—still; even at this late stage—that the Government will see that there is a basis for progress to be made. As things stand, as my right hon. Friend the Member for Chingford and Woodford Green (Sir Iain Duncan Smith) noted, we have to continue to press the case on the Government. I hope that, if the House rejects the amendments—I hope it will vote for the Lords amendments and deal with the matter—it will give the Government yet a further chance to resolve this matter.

At the end of the day, we are not asking that the taxpayer pick up the burden. We are asking that the leaseholders should be relieved, certainly in the short term, of the pressures that fall upon them and that they are unable to deal with. The Government are in a position to fund the cash flow that leaseholders cannot fund and which is driving them to desperate situations. It is absolutely right that they should then seek to recoup those funds from those who are responsible and who have been at fault. There is nothing in the Lords amendment or the amendments tabled by my right hon. Friend the Member for North Somerset that would prevent that from happening. I urge the Government to think again and recognise that, although the core elements of the Bill are good, collaterally, it does real injustice to innocent leaseholders, such as many in my constituency and elsewhere. For heaven’s sake, can we not find a constructive way forward to achieve the objectives of the Bill and protect innocent leaseholders? Those things should not be mutually incompatible, but at the moment we have not yet found a solution.

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

I actually think that the Prime Minister framed this debate well, because he told the House on 3 February that

“no leaseholder should have to pay for the unaffordable costs of fixing safety defects that they did not cause and are no fault of their own.”—[Official Report, 3 February 2021; Vol. 688, c. 945.]

Those were his words. No ifs, no buts—it was an unequivocal pledge. Clearly, the Government’s measures so far fall well short of fulfilling it. Today we have the opportunity to address that, because the Lords amendments make good on that failure.

I have spoken previously in the House about leaseholders in the Metis building, Wicker Riverside, Daisy Spring Works and elsewhere in my constituency who face a range of issues with ACM and other cladding, compartmentation, flammable materials wrongly used and other fire safety products. They are trapped in homes that are unsafe and unsaleable, facing bills that will break them—some up to £50,000 each.

Let us remember that we are talking about young people who stretched their budgets to the limit to buy their first home; couples unable to move on when they have their first child; others who cannot take new jobs because they cannot sell; and older people who have sunk their life savings into their flat and have nowhere to turn. They are being put under unbearable pressure and unimaginable mental strain. People have told me they fear collecting their post in the morning because of the bills it might contain. It is simply unacceptable. Today we can end that misery.

Those who say that the costs should not fall on the public purse are right. The developers responsible should pay up, as well as those responsible for failings in the building regulation system. The only way that developers and others responsible will be held to account is if the Government own the problem, urgently undertake remediation and then use the full resources of the state to chase down those responsible. Leaseholders simply cannot do it on their own.

We have that responsibility because successive Governments oversaw a flawed system of building inspections, which signed off so many of these unsafe buildings. These leaseholders are victims of comprehensive regulatory failure. There is a grave injustice here that must be remedied, and the Government must face up to it. Those responsible for the failings should be responsible for putting them right, without any costs falling on leaseholders, either now or in the future through loans schemes.

Many leaseholders have stretched their finances to the limit to buy their home. Some have already been bankrupted. Others are facing ruin. We have to put a stop to it today, so let us put aside other differences and do the right thing by accepting the Lords amendments.

[Madam Deputy Speaker (Dame Rosie Winterton)]

I apologise to those who did not get in, but I do need to bring the Minister in.

Residential Leaseholders and Interim Fire Safety Costs

Paul Blomfield Excerpts

Wednesday 10th March 2021 Westminster Hall

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

It is a pleasure to contribute in this debate with you in the Chair, Mr Hollobone. I congratulate my hon. Friend the Member for Vauxhall (Florence Eshalomi) on securing the debate and on opening it so powerfully.

I represent several blocks across central Sheffield that are affected by the cladding and fire safety scandal, with leaseholders being destroyed by the failure of the Government to come up with a solution that matches the scale of the problem. The Metis building has gained a lot of public attention, and last night there was a meeting of leaseholders there. Five weeks after applying for the waking watch fund, there is still no money. Alarms take some weeks to install, so they face substantially more waking watch costs on top of the £120,000 they have already paid. There is no plan yet for missing external cavity barriers or insulation, which they are told will not come this year because of the cost, estimated at £6.2 million, for which they have been rejected by the building safety fund, meaning that they will not get an EWS1 form, leaving their properties unsaleable and them facing bills of up to £50,000.

Replacement of ACM cladding for Metis is being funded, but I have been contacted by a commercial leaseholder with a small business operating from the building who faces a bill of £327,000 to pay the shortfall on ACM remediation because of the cash limits in the scheme. She fears that will drive her out of business, after many years.

My hon. Friend the Member for Vauxhall described the impact of interim costs really well. One of those interim costs is insurance, as the hon. Member for Stevenage (Stephen McPartland) highlighted. In the Metis building, they faced a 60% increase in insurance costs. The situation is worse for residents in the Wicker Riverside complex, who were evacuated before Christmas because of multiple fire safety failings. Their building has become uninsurable, exposing them to huge risk and potential breach of mortgage agreements. They met the Building Safety Minister last week and it appears that the Government are relying on a market solution. No market solution is forthcoming. There is a precedent for the Government underwriting insurance in such situations to enable a solution. Will the Minister consider such a way forward?

The hon. Member for Harrow East (Bob Blackman) said that the Government should not foot the bill for the failings of others. He is right, but only the Government can act to hold those responsible to account, as the hon. Member for Bromley and Chislehurst (Sir Robert Neill) pointed out. Only the Government can ensure that these issues are dealt with with the urgency that is needed. We should also recognise that the Government have much more responsibility than the leaseholders, because they oversaw the flawed system of building inspections that signed off so many of these unsafe buildings. These leaseholders are the victims of comprehensive regulatory failure and that is why it is the responsibility of Government to step in, own the problem and resolve it, without any costs to leaseholders, either now or in the future, through any loans scheme.

We are talking about unbearable pressure and unimaginable strain on the young people and families who are trapped in homes that are unsafe and unsaleable. The Minister knows that this is a grave injustice. He must assure us that he will remedy it.

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.