Post Office (Horizon System) Compensation Bill

Debate between Paul Scully and Baroness Laing of Elderslie

2nd reading
Tuesday 19th December 2023 Commons Chamber

[Paul Scully (Sutton and Cheam) (Con)]

Thank you, Madam Deputy Speaker, for giving me the opportunity to ease my way back on to the Back Benches and speak about this issue and a number of others. After nearly four years of dealing with covid and its effect on the hospitality sector, the Online Safety Bill and gambling harms, nothing has kept me awake at night more than the plight of the sub-postmasters who fell within the Horizon scandal and the biggest miscarriage of justice in British court history.

I welcome the Bill and thank the Minister for all his work in trying to rectify the situation. It is horrendously complex, with many strands of compensation and a lot of different competing needs and demands. It is lovely to see on the officials’ bench some familiar faces of those who have worked tirelessly over many years, including preceding my time as Minister.

This provision is not just to extend the time available and ensure that we are ahead of the process for August next year, but is important in itself to keep this issue in the public eye. Mention has been made of “Mr Bates vs the Post Office”, which I am looking forward to seeing in the new year. With all the competing interests of what is happening in the middle east, in Ukraine, and in people’s personal lives here in the UK, it is important that we remind ourselves of what can happen if one corporation oversteps its reach. We must always remind ourselves of that, and we must drive our way through to solving this issue, getting the answers that the postmasters need and, importantly, restoring their financial situation as best we can to where they were before the detriment occurred.

I remember how we pulled levers when I was a Minister and used the fact that the then Prime Minister, Boris Johnson, stood at the Dispatch Box and said, in answer to a question, that he would happily look at a public inquiry. That gave me carte blanche to lean in and ensure that we used that authority, and with the backing of officials and my Department, we started what was originally a non-statutory inquiry that then became statutory. It had to become statutory after we heard from the judge in the Court of Appeal. At the time I genuinely wanted it to be non-statutory, not because I wanted to resile from anything that was happening, but purely and simply for speed and ease. It was so that we could concentrate on getting the postmasters compensation and the answers they wanted, rather than having a layer of lawyers—frankly we are seeing that at the covid inquiry at the moment—looking at other things outside the narrow term of reference. We clearly had to have a statutory inquiry once the judge at the Court of Appeal outlined his thoughts.

Despite the complexity, when I first spoke to Sir Wyn when appointing him at the beginning, we were hoping that the inquiry would be wrapped up by now, and it is frustrating that by necessity he is still going through the deliberation, taking evidence and working through a hugely complex situation. It is disappointing but understandable that compensation is taking so long to get out, for reasons that the Minister has already described regarding how we work through such complexities.

The shadow Minister talked about how the Minister might use the extra time beyond August. I hope we do not need that extra time and that it is there to get ahead of the process, rather than saying that we will extend the process because we have carte blanche permission to go beyond 24 August and kick it into the long grass. As we have heard, people cannot wait. People are dying, people are taking their own life, people have been forced out of their villages. Indeed, the constituent of one hon. Member was forced out of the country for fear of the shame of something they had not done in the first place.

With hindsight, if I were back at the start of the process I would like to run the compensation all in one go from the Department. [Interruption.] The right hon. Member for North Durham (Mr Jones) is nodding his head, because he asked about that at the time. I very much take on board the work he has done not just as a campaigner but on the advisory committee. I put a lot of weight both on his words in the Chamber and on those he said to me informally outside it, when we could talk in more depth about what was happening with his constituent and the other people we were speaking about. If we had run the compensation as one process within the Department, it could have helped to narrow the focus of what needed to be done. I am not asking the Minister to go down that line, but whatever happens in the months to come, I hope he will always look at providing flexibility and at what more we can do to keep the pressure on. There is a phrase in the civil service and in government about doing things “at pace”. It is a phrase I never really hear outside government—I always heard it in government—and the problem is who defines what pace something is. What we mean is quickly, or “more haste less speed”, as my old teacher used to say.

As I have said, this is the best thing I will ever do in politics, and the officials in the Department, many of whom are here today, have repeated that. It has become very liberating, because I think we are all on the same page. We all want to get this done now, not only so that we can get people compensation, but so that we can get answers and justice, and put on the hook those who should be on the hook, rather than the taxpayer.

It is also important to do that for the future of the Post Office. I see the hon. Member for Motherwell and Wishaw (Marion Fellows), the chair of the all-party group on post offices, in her place. If this was any other type of corporation or company, the chances are that it would have gone to the wall and gone bust by now as the reputational damage would have been too big. The Post Office is too important for the fabric of our society to allow it to go by the wayside. To address its the future, we have to tackle the past as well. Making sure that those two strands are running together is so important.

I will leave it at that. I do not want to keep the House too long, but I remember Tracy Felstead, Janet Skinner, Seema Misra, Christopher Head, Lee Castleton and other people, some of whom still keep me in touch with what is happening, usually on Twitter, or X.

I wish everyone in this House a merry Christmas. I hope that we all have a good rest and a happy new year, but I want those postmasters affected to have as good a Christmas and new year as they can. I want to make sure that Christmas 2024 is an even better Christmas and new year for them, because by then, I hope we will have sorted the compensation as best we can and brought this to a close, so that they can move on, and so can the Post Office.

[Madam Deputy Speaker (Dame Eleanor Laing)]

I call the SNP spokesman.

P&O Ferries and Employment Rights

Debate between Paul Scully and Baroness Laing of Elderslie

Monday 21st March 2022 Commons Chamber

[Paul Scully]

I am not going to give way.

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. A lot of questions have been asked during the debate. Do Members not want to hear the answers from the Minister?

[Paul Scully]

Thank you, Madam Deputy Speaker. I will try to answer many of the questions that have been asked.

On fire and rehire, we heard an excellent speech from my hon. Friend the Member for Newbury (Laura Farris), who asked what action we will take. She knows that we have had many conversations. I look forward to coming back to update the House after recess with further measures that we may be able to take, reflecting our conversations, on tackling and strengthening our guidance and our rules about fire and rehire. That will indeed have an effect on tribunal findings against anybody who is doing the wrong thing in that regard.

We heard from my hon. Friend the Member for Dover (Mrs Elphicke) about her standing up for her local workers and her local constituents. It is a shame that that was misrepresented in contributions from the Opposition. When she was talking about militant activism, she was clearly not talking about the people from the union who invited her or the workers who have lost their jobs. She was talking about the people who have been bussed in and have come in from outside to agitate. That is absolutely not appropriate and it is not appropriate for hon. Members to accept bullying when it suits them politically.

I also thank my hon. Friend the Member for Thurrock (Jackie Doyle-Price), who spoke about her port. I was at the Thames estuary with several representatives to look at Tilbury and the benefits that can come from the Thames freeport. She is absolutely right to make sure that she dissociates DP World from the rest of the great work that is going on in that area.

I want to accentuate what we heard from my right hon. Friend the Secretary of State for Transport when he emphasised that P&O Ferries is not the same as P&O Cruises. I think P&O Cruises should be able to continue to do the great work it is doing without being tarred with the same brush as P&O Ferries, which has acted disgracefully.

From the contributions today, P&O should be in no doubt about the collective condemnation of its behaviour. It has lost the trust of the public and given business a bad name. It is not too late for it to undo some of this damage, and I implore it to get round the table with workers and unions to discuss this issue and find a way through. ACAS stands ready to help, and I know it has reached out both to the company and to the unions involved.

On the national minimum wage, which has been raised, individuals can contact ACAS if they feel they have not been paid the national minimum wage, but HMRC has an intelligence-led approach to enforcement, so please will everybody contact HMRC to make sure that it can look at any egregious abuses of the national minimum wage on the wider scale that has been outlined? In the meantime, the Government will act on any findings we discover from our conversations with the company.

This House should be left in no doubt but that this Government will always continue to stand behind workers, because it was a Conservative-led Government who banned exclusivity clauses in zero-hours contracts, a Conservative Government who introduced the national living wage, a Conservative Government who scrapped the Swedish derogation and a Conservative Government who extended the right to a day one statement of rights to all workers. I want to reassure P&O workers that this Government stand shoulder to shoulder with them, and we will hold P&O accountable for its actions.

Question put.

Professional Qualifications Bill [Lords]

Debate between Paul Scully and Baroness Laing of Elderslie

Report stage
Monday 14th March 2022 Commons Chamber

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Paul Scully)]

I beg to move, That the clause be read a Second time.

[Madam Deputy Speaker (Dame Eleanor Laing)]

With this it will be convenient to discuss the following:

New clause 2—Authority by whom regulations may be made (No. 2)—

“(1) In this Act ‘appropriate national authority’ means as follows.

(2) Where the regulations—

(a) contain provision relating to England only,

(b) apply to the United Kingdom as a whole, or

(c) contain provision which is not within the legislative competence of Senedd Cymru, the Scottish Parliament or the Northern Ireland Assembly,

the Secretary of State or the Lord Chancellor is the appropriate national authority.

(3) The Welsh Ministers are the appropriate national authority in relation to regulations under this Act which contain only provision which would be within the legislative competence of Senedd Cymru if contained in an Act of the Senedd (ignoring any requirement for the consent of a Minister of the Crown).

(4) The Scottish Ministers are the appropriate national authority in relation to regulations under this Act which contain only provision which would be within the legislative competence of the Scottish Parliament if contained in an Act of that Parliament.

(5) A Northern Ireland department is the appropriate national authority in relation to regulations under this Act which contain only provision which, if contained in an Act of the Northern Ireland Assembly—

(a) would be within the legislative competence of the Assembly, and

(b) would not require the consent of the Secretary of State.

(6) The consent of a Minister of the Crown is required before any provision is made by the Welsh Ministers in regulations under this Act so far as that provision, if contained in an Act of Senedd Cymru, would require the consent of a Minister of the Crown.

(7) In this section ‘Minister of the Crown’ has the same meaning as in the Ministers of the Crown Act 1975.”

This new clause is intended to replace the current Clause 16. It would mean that the Secretary of State would only make regulations under this Act if they relate to England or the whole of the UK, or are outside the legislative competencies of the Devolved Administrations.

New clause 3—List of regulators and regulated professions—

“(1) The Secretary of State must publish a list of all regulators of regulated professions and the associated professions.

(2) The list must be updated on a regular basis.”

New clause 4—Guidance and assistance concerning mutual recognition—

“Upon the request of a regulator, the Secretary of State must provide guidance and all reasonable assistance on how to make the most of the provisions in the EU-UK Trade and Co-operation Agreement.”

New clause 5—Consent of the devolved authorities—

“(1) Before making regulations under this Act, the Secretary of State or the Lord Chancellor must obtain the consent of—

(a) the Senedd, to the extent that the regulations contain provision which could also be made by the Welsh Ministers by virtue of section 16(2) (ignoring any requirement for the consent of a Minister of the Crown under section 16(5));

(b) the Scottish Parliament, to the extent that the regulations contain provision which could also be made by the Scottish Ministers by virtue of section 16(3);

(c) the Northern Ireland executive, to the extent that the regulations contain provision which could also be made by a Northern Ireland department by virtue of section 16(4).”

Amendment 2, in clause 7, page 5, line 16, at end insert—

“(1A) Before making the arrangements, the Secretary of State must consult the devolved authorities on the functions and operations of the assistance centre.”

This amendment would require the Secretary of State to undertake consultation with the Devolved Authorities on the functions and operations of the Assistance Centre before it comes into being.

Amendment 3, page 5, line 16, at end insert—

“(1A) Before making the arrangements, the Secretary of State must ensure there are representatives from each of the devolved nations on the board of the assistance centre.”

This amendment would require the Secretary of State to ensure there are representatives for each of the devolved nations on the board of the Assistance Centre.

Amendment 4, page 11, line 28, leave out clause 16.

Government amendment 1.

[Paul Scully]

I am today proposing two amendments in relation to the devolved Administrations. New clause 1 would place a duty on the Secretary of State or Lord Chancellor to consult the devolved Administrations before making regulations under the Bill that contain provisions that could be made under the Bill by the devolved authorities themselves. The new clause would also require the Government to publish a report on the consultation. Amendment 1 seeks to amend the Government of Wales Act 2006 so that a Minister of the Crown’s consent is not needed for Senedd Cymru to remove the Secretary of State’s and the Lord Chancellor’s ability to make regulations under the Bill that are within the Senedd’s legislative competence.

I know that hon. Members across the House have shown strong interest in the issue of concurrent powers and devolved competence. To underline the Government’s commitment to a collaborative approach on this issue, I am introducing into the Bill, through the new clause, a new duty to consult devolved Administrations. The duty includes a requirement to publish a report in advance of any regulations being made by the UK Government that would be within devolved legislative competence. That report should set out the consultation process, and whether and how the representations made by the devolved Administrations during the consultation have been taken into account.

My officials and I have engaged extensively with the devolved Administrations during the passage of the Bill and, although we strained every sinew to reach agreement on securing legislative consent, it is a great regret that, unfortunately, we have exhausted all available avenues. Lord Grimstone and I have held eight meetings with our devolved Administrations’ ministerial counterparts. Baroness Bloomfield and Lord Grimstone have held nine industry roundtables, including two specifically for devolved regulators. There have also been weekly official-level meetings during the Bill’s passage and numerous exchanges of letters.

The amendments were originally offered to the devolved Administrations in December 2021, in exchange for support for legislative consent motions from their respective legislatures, but that offer was rejected. But the UK Government are committed to delivering effective policies that work for the whole of the UK, so, to underline that commitment, I am now introducing those amendments without any conditions attached. I strongly believe that, if both Government amendments are accepted, the Bill represents the best outcome for both the UK Government and the devolved Administrations, without impinging on the UK’s ability to act where necessary.

The regulation of professions often falls within devolved legislative competence. For that reason, the Bill gives powers to both UK Government Ministers and devolved Administration Ministers. Some of the powers may be exercised concurrently to allow UK Government Ministers to make UK-wide regulations where appropriate. The most likely use of concurrent powers would be to implement international agreements on professional qualifications that are negotiated on a UK-wide basis. It is vital that the UK Government are able to implement such agreements across the UK in a timely and consistent manner, as failure to do so could jeopardise the UK Government’s credibility and ability to secure ambitious provisions to support UK services exports with global trade partners.

Amendment 1 would allow for an Act of the Senedd to remove UK Ministers’ ability to use powers in the Bill to make regulations that would be within Welsh devolved legislative competence, without the need to first obtain the consent of a Minister of the Crown. The Welsh Government would still be required to consult the UK Government on the removal of powers. That was a key ask from the Welsh Government. It is in line with similar approaches taken by the Government on the Environment Act 2021, the Fisheries Act 2020 and the Agriculture Act 2020.

In introducing those amendments, I hope that Members can see the UK Government’s determination to work collaboratively and transparently with all devolved Administrations and devolved regulators on the provisions of the Bill and on wider regulated professions policy.

Employment and Trade Union Rights (Dismissal and Re-engagement) Bill

Debate between Paul Scully and Baroness Laing of Elderslie

Friday 22nd October 2021 Commons Chamber

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. The hon. Ladies who are heckling me from the Labour Benches are quite right. The hon. Gentleman should not be making a speech. He is making an intervention. He can make two or three interventions, but he cannot make one long speech.

[Paul Scully]

Thank you very much for that clarification, Madam Deputy Speaker. My hon. Friend makes a really interesting point about unemployment.

[Steve McCabe (Birmingham, Selly Oak) (Lab)]

On a point of order, Madam Deputy Speaker. It appears to me that there are considerably fewer Members in the Chamber now than voted against the closure motion you granted earlier. That would tend to give credence to the idea that the Government Whips have deliberately organised their Back Benchers to wreck the Bill by voting against the closure motion and then sent them home. Is it in your gift to grant a second closure motion, so that we can now test the will of those here in Parliament?

[Madam Deputy Speaker]

I thank the hon. Gentleman for his point of order, which is a perfectly reasonable one and one that had crossed my mind. However, I have come to the conclusion that, with everyone in the Chamber having been sitting here since 9.30 am, the Tea Room is probably full to overflowing at present. I am therefore not inclined to consider a second closure motion, having taken the will of the House less than an hour ago. That does not create a precedent for not doing so, but I am giving the hon. Gentleman a straight answer to his straight question.

[Paul Scully]

Thank you for that clarification, Madam Deputy Speaker. Indeed, I think Members from both sides of the House are taking advantage of the Tea Room, because both sides are lighter in numbers at the moment, but I always bow to your perspicacity. I would have thought that, in the last 20 minutes or so of the debate, Members pushing the Bill would want to hear the Government’s response to the merits or otherwise of the Bill, and what we are trying to do about the issue.

Employment Rights

Debate between Paul Scully and Baroness Laing of Elderslie

Tuesday 8th June 2021 Commons Chamber

[Paul Scully]

I thank my hon. Friend—[Interruption.]

[Madam Deputy Speaker (Dame Eleanor Laing)]

Order. We will not have shouting.

--- Later in debate ---

[Paul Scully]

I am grateful for my hon. Friend’s work in this area. I am looking forward to meeting him and his colleagues to discuss it further, to get his knowledge and the experience of his constituent, who has been put in an incredibly tough and invidious position. As I say, we will review the whistleblowing framework once we have had sufficient time to build the necessary evidence, which will include that conversation. We are considering the scope and timing of the review.

[Madam Deputy Speaker (Dame Eleanor Laing)]

It would be helpful if we could go a little faster, because the House has a lot of business before it over the rest of the day.

[Charlotte Nichols (Warrington North) (Lab) [V]]

Polling for the GMB union found that 76% of the public want fire and rehire to be banned, including 71% of Conservative voters. If only unscrupulous employers use fire-and-rehire tactics, as the Minister said in a previous answer, a non-legislative solution will do absolutely nothing. How much more consensus is needed before the Minister acts to ban fire and rehire, rather than warm words that do nothing to protect workers in his constituency or mine?

Post Office Update

Debate between Paul Scully and Baroness Laing of Elderslie

Wednesday 19th May 2021 Commons Chamber

[Madam Deputy Speaker (Dame Eleanor Laing)]

I did not want to interrupt the hon. Lady, but Mr Speaker would be annoyed with me if I did not point out that she has taken a minute longer than she ought to have had, and that is a minute that will not be taken later today by some other Member who wishes to speak.

[Paul Scully]

I send my best wishes to the hon. Member for Newcastle upon Tyne Central (Chi Onwurah); I understand why she cannot be here. I appreciate the response from the hon. Member for Feltham and Heston (Seema Malhotra), and I will try to answer some of her questions.

The hon. Lady talked about Ministers’ role in this. Clearly, the role of our Department, Government and Ministers will be included in the inquiry. We do want to learn the lessons, and that will be the case, but as we have seen from the judgment, the Post Office consistently maintained that Horizon was robust and was misguided in its approach to the issue, leading to the decision to prosecute these postmasters. We pressed management on issues regarding complaints brought by postmasters about Horizon and received repeated assurances that the system was reliable. As I say, the inquiry will look into that.

In terms of the Government’s response, we clearly recognise the impact that convictions have had on individual postmasters and their families. That is why the Prime Minister and I met with a small group of them last month, to hear directly from them. They had some incredibly tragic and terrible stories, and I can understand why they find it difficult to trust anybody in this regard after many, many years of difficulty and the impossible situation that they and their families have been in.

On Horizon itself, the Post Office is looking into that. It cannot, unfortunately, just switch off a system and change midstream, but clearly it will be looking to work on the successor CRM—customer relationship management —system. Yes, the terms of reference and the statutory footing allow Sir Wyn to compel people to give evidence and documents, and there are sanctions on them if they should fail to do so, under the Inquiries Act 2005. One of the reasons for that, as we move to the second stage and, I hope, engage more sub-postmasters to give their stories, is that we want to give them the confidence that people will be giving their evidence. I must say that, to date still, everybody involved in this whom Sir Wyn has asked to do so has given their full undertaking and worked on it. Nobody has resiled from the inquiry, but it is important that we do this.

On the terms of reference in relation to compensation, an inquiry, whether statutory or not, cannot determine liability in itself—that still has to be done through the courts—but sub-postmasters clearly can raise, and I would fully expect them to raise, the issue of the losses and difficulties as they outline the difficulties they have had. On Fujitsu, as I have said, clearly the Post Office will be looking at what it does in further compensation, and that will include Fujitsu. There are criminal investigations going ahead, so that is outside the scope of the inquiry, but the GLO—group litigation order—settlement was a full and final settlement. The Government did not have a part in the litigation. It is not part of the inquiry itself, but none the less, this is one part—an important part, but one part—of making sure that we get to the bottom of this and get sufficient justice for the postmasters so badly affected.

Uber: Supreme Court Ruling

Debate between Paul Scully and Baroness Laing of Elderslie

Wednesday 24th February 2021 Commons Chamber

[Madam Deputy Speaker (Dame Eleanor Laing)]

I call Minister Paul Scully, who has three minutes.

[The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Paul Scully)]

I want to begin by making it absolutely clear that everyone deserves to be treated fairly at work and rewarded for their contribution to the economy with both fair pay and fair working conditions. This means that employers must take their responsibilities seriously, not simply opt out of them. If there is a dispute between the individual and an employer, as seen in the recent case involving Uber, the courts consider each case on an individual basis. The courts are independent and the Government do not intervene. As such, with the Supreme Court being the final stage of the appeal, its judgment is final and Uber will need to take action to align with the judgment.

The Government recognise concerns about employment status being unclear in some cases, and we are committed to making it easier for individuals and businesses to understand which rights and tax obligations apply to them. We have made good progress in bringing forward measures that add flexibility for workers while ensuring the protection of employment rights. For example, we have legislated to extend the right to a written statement of core terms of employment to all workers, making access to a written statement a day one right and extending the contents of a written statement. We have also banned the use of exclusivity contracts and zero-hours contracts to give workers more flexibility. This means an employer cannot stop an individual on a zero-hours contract from looking for, or accepting work from, another employer. We will continue to explore options for employment status that protect rights while also maintaining flexibility in the labour market. This Government have a proud history of protecting and enhancing workers’ rights, and we are committed to making the UK the best place in the world to work.

--- Later in debate ---

[Paul Scully]

The gig economy offers individuals flexibility, and countless surveys have shown that the majority of people do like that flexibility—especially younger people and women. However, there is always more we can do to make sure that people understand exactly what they are signing up to, and they definitely must not be exploited.

[Madam Deputy Speaker (Dame Eleanor Laing)]

Having been to Dudley South, we now go to Dudley North.

[Marco Longhi (Dudley North) (Con) [V]]

The many unsung heroes of the pandemic include bus drivers, delivery drivers and taxi drivers, with many of the latter often taking medical staff and patients to hospital and back. While the employment status of Uber drivers is a matter for the courts to determine, will my hon. Friend take this opportunity to thank them—and, indeed, all taxi drivers in Dudley North and beyond—for their efforts during these difficult times and for the risks they take?

--- Later in debate ---

[Paul Scully]

There is support for some drivers, although I appreciate that some people fall between the cracks. There is the self-employment scheme for some, discretionary grants are available, and each local authority has had to come up with a policy for how they used that money, which could include drivers. Any further support will be subject to the Chancellor’s announcement in the Budget next Wednesday.

[Madam Deputy Speaker (Dame Eleanor Laing)]

I will now suspend the House so that arrangements can be made for the next item of business.

Corporate Insolvency and Governance Bill

Debate between Paul Scully and Baroness Laing of Elderslie

2nd reading & 2nd reading: House of Commons
Wednesday 3rd June 2020 Commons Chamber

[Madam Deputy Speaker]

I am guessing that it could well be timely, but the Minister has a very limited time in which to speak, and he should finish his speech first. Then I will take the hon. Gentleman’s point of order.

[Paul Scully]

Thank you, Madam Deputy Speaker.

The corporate restructuring package in particular will be of immediate help to companies in financial distress, which need further regulatory tools to help them recover. This Bill provides that. It will enable UK companies undergoing a rescue or restructuring process to continue trading, giving them breathing space that could help them avoid insolvency. I want to reassure right hon. and hon. Members that the temporary changes to insolvency law that are necessary to help businesses get through this unprecedented period will consider very carefully any case for further extensions to these powers, and they will be subject to the full scrutiny of the House.

The temporary prohibition on creditors filing statutory demands and winding-up petitions for covid-19-related debts will support the Government’s programme to help companies survive the covid-19 emergency. It will temporarily remove the threat of statutory demands and winding-up petitions being issued against otherwise viable companies by creditors not following the Government’s advice to show forbearance at this time.

Furthermore, temporarily removing the threat of personal liability for wrongful trading from directors who tried to keep their companies afloat throughout this emergency will encourage directors to continue to use their best efforts to trade during this uncertain time. The governance measures will provide temporary flexibilities on meetings and filings at a time when businesses are coping with reduced resources and restrictions due to social distancing measures.

Let me quickly address a couple of points made by the right hon. Member for Doncaster North. First, he is completely correct to say that, although there will be a temporary suspension of wrongful trading liability, directors will still have legal duties under wider company law. Those duties will remain in place, as will measures under insolvency law to penalise directors who abuse their position. I understand the suggestion of the right hon. Gentleman and the hon. Member for Inverness, Nairn, Badenoch and Strathspey that the temporary insolvency measures should be extended to 30 September 2020. At present, all the temporary insolvency measures will automatically sunset a month after Royal Assent. I can reassure them, though, that the Bill contains provisions enabling those temporary measures to be extended by statutory instrument where appropriate. The Government have every intention of making use of those provisions if the protections are needed beyond their present expiry date. It is a truly fluid situation and we do not want provisions to be in place for longer than is necessary.

The temporary measures all have significant impacts on the normal working of the business community, and the case for extending the measures will need to be considered against those impacts. Any extension should rightly be scrutinised by Parliament, but the Government will not hesitate to extend if that is required.

The right hon. Member for Doncaster North also raised a fair point on the need for employees to be protected in regard to restructuring plans. That point was also raised by my hon. Friend the Member for North East Bedfordshire (Richard Fuller). The aim of these measures is to restore the viability of struggling companies, thereby boosting the economy, saving jobs and protecting long-term investment. Yes, employees could find themselves as creditors in a restructuring plan, but in those circumstances, they will benefit from the same protections that are in place for other creditors and members. This will include the provision that they must be no worse off through the plan than they would otherwise be in the next most likely plan, and it will, of course, take into account their entitlement under employment legislation.

Importantly, a court can refuse to sanction a plan if it is not fair and it is equitable to do so. When making this assessment, one would expect the court to be mindful of the interests of employees in any pension schemes affected by that plan. If a restructuring plan is not agreed, it is worth remembering that the company might enter an insolvency proceeding, which would almost certainly produce a worse outcome overall for all involved. The company might stop trading altogether, which would put all employees at risk of losing their jobs. The Government are in the business of protecting jobs.

The right hon. Member for Doncaster North also raised concerns about CBILS and CLBILS, as well as the bounce-back loans. The Government have listened to helpful feedback on the business interruption loan schemes in recent weeks. That feedback has also shown that the smallest SMEs, some of which have perhaps not used finance in the past, are struggling to get their finance applications approved as quickly as they need, as we heard earlier. That is why the bounce-back loan schemes, which are fast for lenders to process and for businesses to access, have been launched.

On 27 April, the Chancellor announced the new bounce-back loan scheme, which will ensure that the smallest businesses can access up to £50,000 of loans in a matter of days. The scheme went live on 4 May. Businesses can complete a short, simple online application in up to a few hours. Under the scheme, there is no need for lenders to ask for complicated cash-flow forecasts or ask difficult questions about the future, which means those applications can be submitted and processed rapidly. Almost 700,000 have been have already been approved.

I thank my hon. Friends the Members for Wimbledon (Stephen Hammond), for Rugby and for Huntingdon (Mr Djanogly) and the hon. Members for Inverness, Nairn, Badenoch and Strathspey, for Bristol North West (Darren Jones), for Aberavon (Stephen Kinnock) and for North Antrim (Ian Paisley) for their contributions. I should say to my hon. Friend the Member for Wimbledon that the Charity Commission has confirmed that it will look favourably on charities that have been unable to hold their AGMs in the normal way, but asks that they write down their decisions to prove that they have done due diligence in holding a virtual AGM or delaying their AGM.

I applaud the passion of my hon. Friend the Member for North East Bedfordshire in standing up for businesses being able to come out of the recovery, as we motor through, changing gears. We will not go back immediately to how things were in January; we have to work with business and listen to business. I am grateful to all other Members who have spoken today.

These new measures complement the Government’s existing far-reaching economic support package for businesses and workers through this emergency. Today’s debate on these measures reinforces the importance of responding to the concerns of UK businesses and providing them with much-needed support during this difficult time. We are in the midst of a global emergency, in which otherwise economically viable businesses are facing the risk of insolvency because of covid-19. We must protect them as best we can. It is imperative that we act now to support our businesses and do what we can to ensure that they survive, preserve jobs and support future growth. Clearly, our first priority is to protect lives, but restoring livelihoods, protecting businesses and getting the economy motoring is also essential. That is why it is imperative that we act now. The measures in the Bill will provide businesses with the flexibility and breathing space they need to continue trading during this difficult time and support the nation’s economic recovery.

Question put and agreed to.

Bill accordingly read a Second time.