Protection of Jobs and Businesses Debate

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Department: HM Treasury

Protection of Jobs and Businesses

Rachael Maskell Excerpts
Wednesday 9th September 2020

(4 years, 2 months ago)

Commons Chamber
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Anneliese Dodds Portrait Anneliese Dodds
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I would love it, frankly, if the Chancellor and his team wished to open talks with the Opposition, with business, with trade unions, looking at the different options that I have just set out. I know the hon. Gentleman is one who does look at detail. I have just set out a variety of different models that have been set out by business, trade unions and think tanks. We want to work with government on this. If he is signalling that he wishes that discussion to happen, I hope that his Front-Bench colleagues will take that invitation up as well. It is not just he who wishes to have that discussion with his Front-Bench team. I note that a huge number of Conservative Members want to participate in this debate, and I am keen to hear their thoughts on it. Some of their colleagues have already pronounced on it. The right hon. Member for Preseli Pembrokeshire (Stephen Crabb) has said that there should be

“targeted extensions to the furlough scheme beyond October.”

The hon. Member for Harborough (Neil O’Brien) has said that he can see the case for it, too. How many more Conservative Members are worried, privately, about the impact on their constituents of this Chancellor pushing stubbornly ahead with his plan to take support away from everyone, all at once?

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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I recall the Chancellor saying that he would do “whatever it takes”. The hospitality and tourism sector, which covers a quarter of the jobs in my constituency, is now entering its third winter in a row, as the sector puts it. Should not support be targeted at that sector, too?

Anneliese Dodds Portrait Anneliese Dodds
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My hon. Friend has been such a champion for those jobs in York and, indeed, for jobs throughout the country. I say to her exactly what businesses in tourism right across the UK have been saying to me when I have spoken to them: they do not want a handout; they just want a fair chance. If they end up having to close their businesses—if they end up having to lay off staff—it will take a very long time to build those businesses back up again. The Government should be listening to them.

Indeed, the Government should be listening, as I said, to the Government Members who are concerned about the withdrawal of the scheme. More than half a million at-risk jobs belong to people living in the constituencies of the Chancellor’s newest colleagues on the Government Benches—over 18,000 in Burton, more than 20,000 in Watford and in excess of 21,000 in Milton Keynes North—but so far, the Chancellor is not listening. Of course, he has not come to the Chamber today to hear what Members have to say about the very real fears of their constituents. We have not heard him speak in the House since the summer recess, despite the fact that our country is in the grip of a jobs crisis.

The Labour party, trade unions, think-tanks, business and even the Chancellor’s own Back Benchers can all see that what the Government are doing will make our jobs crisis worse and lead to untold misery for millions of people, as well as reducing our economic capacity for the future. We are all sounding the alarm; the question is: what will it take for this Government to listen?

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Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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The reserves have run out, the fundraising has dried up, and vital support never arrived for our vital community and voluntary sector. It is estimated by Pro Bono Economics that 60,000 jobs will be lost from our charities. The organisations that stepped up in the crisis are now in crisis and need the Government to step up. Already, 6,500 jobs are registered as being lost. On top of that, many small organisations will be losing the ones and twos that never hit the headlines. However, the pain for those organisations is as great. We think about animal welfare charities having to pay vet bills and feed animals. We think about medical research charities that are seeing a 41% drop in funding. The result is that the cancer plan is delayed, treatments are delayed and vital treatments are not provided. That is our loved ones not being cared for. This is what charities do day in, day out.

The withdrawal of the furlough scheme will be devastating for this sector, which has depended on it so much. There is no money coming in. We need a solution.

Danny Kruger Portrait Danny Kruger (Devizes) (Con)
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Will the hon. Lady give way?

Rachael Maskell Portrait Rachael Maskell
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I wish to continue.

When talking about large organisations, from the Southbank Centre to Oxfam and the National Trust, we must also remember the small organisations. It is estimated that 90% of black, Asian and minority community organisations will be gone by the end of the financial year. If we think of what has just happened across this country, it is clear that we need those organisations. The Government need to step up and ensure that they are there.

The sector is calling for an extension of the coronavirus job retention scheme with greater flexibility; a gift aid emergency relief package; the repurposing of the national fund, which is worth £500 million, to allow access to support charities and services; the effective and efficient distribution of the shared prosperity fund; and the creation of a community wealth fund using dormant assets. It is crucial that is brought forward now, before it is too late.

If I may, Madam Deputy Speaker, I want to raise one issue concerning my constituency. We will be the second worst hit constituency in the country, and therefore we need some action now. While the Government have supported the BioYorkshire plan, which will create 4,000 jobs, they are tying that up in a devolution deal. I therefore urge the Government to bring that funding forward so that we can provide that safety net now to stop us moving into an unemployment crisis in York, which no one in this House wants to see. The Minister could solve that problem for us.