Family Businesses Debate

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Department: HM Treasury

Family Businesses

Paul Holmes Excerpts
Wednesday 26th February 2025

(1 day, 12 hours ago)

Commons Chamber
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James Murray Portrait James Murray
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Wow. I should let the hon. Gentleman intervene more often if he is going to say that the only problem with Liz Truss is that she did not set out her workings. I think the problem was rather more fundamental than that, as people across this country will attest.

Frankly, it is no wonder that Conservative Members want to bury their heads in the sand and try and pretend the last 14 years did not happen. It was 14 years of mismanagement and decline, along with jolts of disaster, digging ever deeper holes in our public services and our economic resilience. It was their decisions that led to their resounding electoral loss last year and it was their record in office that made necessary the difficult decisions that we had to face on entering government.

Paul Holmes Portrait Paul Holmes (Hamble Valley) (Con)
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I thank the Minister for handling this debate in his usual courteous way. May I take him back to something that he said in his remarks about hospitality businesses and pubs delivering economic growth? There is a small pub chain in my constituency that must find a third of its total turnover because of the actions of this Government, with the result that it may have to close a venue that supports a small village in my constituency. Is that the economic growth that he thinks he is delivering?

James Murray Portrait James Murray
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I assume the hon. Gentleman refers to the changes around employer national insurance, to which I will come in my remarks.

Let me be absolutely clear about the context: no responsible Government could have let things carry on the way they were. That was simply not a tenable situation and I think Conservative Members know that. That is why at the autumn Budget, we took the difficult but necessary decisions on welfare, spending and tax, and those decisions were vital steps towards restoring economic stability and fixing and supporting the public finances. As I said earlier, while Conservative Members have taken every opportunity to say they oppose those choices, they have yet to offer any solutions of their own. Difficult decisions were necessary, so let me set out why we made some of the choices that we did.

--- Later in debate ---
Mark Ferguson Portrait Mark Ferguson
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I defer to my hon. Friend; he is a learned historian and I dare say knows far more about the history of the pint then I will ever muster. I have probably drunk more than him, but he has probably read about more of them than I have.

The title of this motion is “Family Businesses”. My hon. Friend the Member for Vale of Glamorgan (Kanishka Narayan) has already assiduously made the point to the shadow Chancellor that 96% of family businesses will not be affected by some of the measures mentioned in this motion, but I wish to discuss some of the family businesses in my constituency, a couple of which I have spoken to recently.

Meldrum, for example, is a successful construction business that recently conducted a transfer into employee ownership—a show of confidence in our economy. Savour bakery was set up from scratch under this Government. It was a shell during the general election when I went to visit it. An orthodox Haredi family in Gateshead—generations of the same Gateshead family—have invested hundreds of thousands of pounds of their own money into setting up what some might find slightly unlikely. I admit that when I first heard of it I was not sure that it would be a success. It is a kosher Parisian patisserie in the heart of Bensham in Gateshead, and it has been a tremendous success. There are queues around the block most days and if anyone makes the mistake of going in at 2 o’clock in the afternoon, as I did last week, they will be greeted by a coffee machine and an empty patisserie counter. The idea that someone cannot set up a successful small business under this Government is absolutely for the birds. I have seen it with my own eyes in my own community—people doing something incredibly challenging in a community that is not often supported more widely in Gateshead. I am incredibly proud of them and incredibly proud of other small businesses like them.

I am not astonished that we are discussing this interesting pick-and-mix motion, which might as well be called “Things the Conservative party does not like that the Labour party has done”, because that is the nature of Opposition day debates. I am enjoying this opportunity to talk about the family businesses in Gateshead and about my passion—our passion on the Labour Benches—for the humble British pint.

Paul Holmes Portrait Paul Holmes
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Will the hon. Gentleman give way?

Mark Ferguson Portrait Mark Ferguson
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I am having so much fun that I will happily give way.

Paul Holmes Portrait Paul Holmes
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The hon. Gentleman is giving a very entertaining speech and I look forward to visiting the business he mentions, I hope, in the future. He has outlined that businesses are being set up in his constituency and he is perfectly entitled to do so, but did he speak to the new business about the extra £800 per employee that this Government have put on it in the Budget, and what does it have to say about that?

Mark Ferguson Portrait Mark Ferguson
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I have spoken to Josh who runs the business about every single aspect of it and I assure Members that he is delighted with how his business is going. I am delighted—[Interruption.] Opposition Members are chuntering from a sedentary position, as of course is their right, but my high street in Gateshead, for example, which I am pleased to say the Minister who will be responding later has been to visit, was wrecked under the last Government. The decisions made by the last Government had a profound impact on my high street and those across the country, so the idea that the Conservatives are tribunes of small business is for the birds. This Government are going to rebuild the great British high street and we will do so by supporting small businesses.

I will rightly be voting against the motion because I am afraid, to quote a former leader of the Conservative party, that it is an “inverted pyramid of piffle”.