Health and Social Care Levy Bill

Rachael Maskell Excerpts

2nd reading
Tuesday 14th September 2021 Commons Chamber

[Rachael Maskell (York Central) (Lab/Co-op)]

Take no comfort, nor relief. Those things you dread will still be true. But now, poorer through life and poorer through death. Through life, you will pay. When frail, you will pay. Disabled people will pay and pay and pay. For what? None of us knows. Time and again, we have been promised that social care plan. Like the emperor’s new clothes, there is nothing to show. But, rest assured, things are about to get tougher, budgets tighter and ends not meeting. That personal debt will grow.

Two weeks ago, there was no plan. The Prime Minister tossed a coin, and this is where it has landed. Now he is rushing through this Bill with no pre-legislative scrutiny, no impact assessment and no plan to fix the care crisis for those already in the system or the 1.5 million longing for help. There is nothing for unpaid carers, and £8 billion has been cut from the system. As ever, the Prime Minister is throwing out the headlines with little thought and then moving on, leaving a path of destruction behind him for someone else to clear up and, in this case, to pay up.

This will not clear the NHS backlog. As we have heard today, the staff shortages are not being addressed, and how can they be in such a short period. Just this weekend, we were 74 nurses short in York. That is the scale of the challenge, and one that the Government have not answered.

A decade into this Tory Government, there is still no plan. We just pay up, and one day we may learn what for. For starters, if someone holds assets above the thresholds, they will still pay £86,000—the vast majority of average care costs—and will still need to sell their home. Then there will be accommodation, if needing residential care, and living costs on top, and no cap until October 2023. This is why we need a public national care service that is free at the point of use and fairly contributed to by all.

With 84% of care home beds owned by private investors, including private equity firms, who are not paying this levy and whose sole purpose is to profit—profit from the frail—it is the social care reform we need that we should be debating today. Just one provider in my constituency made a 25% profit increase ahead of the pandemic, but it will be its staff, who were promised a pay rise while clapped by the Prime Minister, who will now have to pay the levy instead. But we have been denied the opportunity to debate what this nation is paying for.

The Labour party cannot consent. We believe that those who have more, should pay more. Take the London School of Economics wealth tax commission, which reported last December. It found that a tax on assets worth over £500,000 at 5% would draw a pot of £260 billion, which would pay for health and social care and that much-needed pay rise. The tax would be assessed on individuals rather than households, with the rate of tax being 5%, albeit with a standard payment period of five years, allowing a tax rate of 1% to be paid for each of those five years. The amount raised is the equivalent of income tax at 9%. Alternatively, if the threshold was £2 million, £80 billion would still be raised.

That would start another conversation: instead of low-paid workers funding the social care of the wealthy, the wealthy would be funding the social care of all. I ask Members: is this fair? This may not be the full answer, but it starts a different conversation—one that, in rushing through the legislation today, the Government are running away from.

Health and Social Care Levy

Rachael Maskell Excerpts

1st reading
Wednesday 8th September 2021 Commons Chamber

[Jesse Norman]

No. I have already taken a few, and I will go on a bit further, if I may, and then I will take some more interventions. [Interruption.] Well, the hon. Gentleman has had a fairly substantial go at points of order already, and I welcome his later intervention.

The levy will apply UK-wide to taxpayers liable to class 1 employee and employer, class 1A, class 1B and class 4 self-employed NICs. However, it will not apply where taxpayers pay class 2 NICs or class 3 NICs. It will be introduced from April 2022, and then from April 2023 the levy will also apply to those working over the state pension age. As my hon. and right hon. Friends will understand, it takes time for Her Majesty’s Revenue and Customs to prepare its systems for such a major shift. That is why, in 2022-23, the levy will be delivered through a temporary increase in NICs rates of 1.25% for one year only. All revenues generated by this increase will be ring-fenced and paid to NHS England, NHS Scotland, NHS Wales and the equivalent in Northern Ireland.

[Rachael Maskell (York Central) (Lab/Co-op)]

Does the Minister not recognise the burden he is placing on small businesses, many of which the Government completely excluded and failed to support during the pandemic, in their now having to pay this extra levy, as opposed to making a fair taxation system that falls on those who can pay the most?

[Jesse Norman]

The hon. Lady will be aware that, because of the employment allowance, the bottom 40% of businesses will pay nothing and the next 40% will pay an average of £450. So this does not fall heavily on the bottom end of businesses, and of course it comes in a context in which the Government have provided over £400 billion of support to business and to the nation as a whole in the course of fighting the pandemic. In that sense it is, and it has been recognised to be by reputable independent commentators, a broad-based approach.

From April 2023, once HMRC systems have been updated, a formal legal surcharge of 1.25% will replace the temporary increase in NICs rates, which will return to their previous level. Again, this revenue will be ring-fenced in law for health and for social care only. As the Chancellor stated yesterday, this levy is no stealth tax. That is why the exact amount that each employee pays will also be visible as a separate line on their payslip. Finally, the levy will be administered by HMRC, and collected by the current reporting and collection procedures for NICs—pay-as-you-earn and income tax self-assessment.

Covid-19: Government Support

Rachael Maskell Excerpts

Wednesday 7th July 2021 Westminster Hall

[Rachael Maskell (York Central) (Lab/Co-op)]

It is a pleasure to speak with you in the Chair, Mr Mundell.

Since the first covid cases in the UK were identified in York 18 months ago, we have been inundated by businesses that are challenged. Although Government relief has been welcome, those ineligible for it have struggled. As covid cases soar again, we worry. This last year, those denied help have seen their life’s work slip through their hands. Many self-employed directors are an example, as are those in the tourism, theatre, events and travel sectors, and those in the supply chains. Even when safe solutions were offered, the Government simply said that they were unwilling to build the capacity to implement them.

Often, it has been the inconsistencies in Government guidance and support that have caused confusion and hardship. For instance, caravan parks with shared showers were open but holiday flats with shared hallways were closed, and those running them were not eligible for support.

As restrictions lift, we are already seeing infection levels spike in York, meaning staff isolating and businesses closing. It is set to get worse, given the Government’s illiterate plans. The economy is being hit and loyal customers are retreating into their homes, once more feeling unsafe. Reality and Government rhetoric are far apart in communities such as mine. The Government have seriously misjudged things and once again businesses and charities are calling for help, both for now and the longer term. Ineligible for support, they cannot depend on this season either. They urgently need a bridge to carry them through, so that they can then grow again.

I will turn to charities. On 8 April, the Government provided support lasting just 12 weeks. Charities have been ineligible for much Government funding. Many have had nothing at all and have had to cut back, yet all the while demand for their services has increased. Understanding of this sector, which forms a crucial part of our social infrastructure, has been severely lacking from the Treasury, which fails to recognise the role that charities have played throughout the pandemic and will play throughout the recovery. Generic schemes simply do not work for them. Will the Minister at least meet the sector’s leaders and listen to their calls for the support they need right now?

Perhaps the most frustrating thing of all has been how impervious the Treasury team have been when they have been written to. We hold the future of local companies in our hands, but we have been given a stock response, often unrelated to the issues that we have been trying to resolve. Businesses have been ignored; support has been denied. Recovery funds for businesses and charities are needed. While the Government are trying to race on, covid infections are racing up. Businesses and charities that have worked so hard to cling on feel that the rope is being cut. We have called for help; we have offered solutions. All we need is for the Government to engage, to rebuild socially and economically. That need has never been greater than it is now.

Oral Answers to Questions

Rachael Maskell Excerpts

Tuesday 26th January 2021 Commons Chamber

[Rachael Maskell (York Central) (Lab/Co-op)]

If he will ensure that people who are unable to participate in work as a result of (a) home schooling and (b) following other Government covid-19 guidance have equitable access to financial support schemes.

[The Financial Secretary to the Treasury (Jesse Norman)]

Since their introduction, the coronavirus job retention scheme and the self-employment income support scheme have been available to those unable to go to work because of caring responsibilities arising from covid-19, such as caring for a home schooling child or caring for a vulnerable individual. Those who are unable to work from home and have been told to shield have also been eligible for these support schemes, as well as for statutory sick pay and employment and support allowance.

[Rachael Maskell [V]]

The Chancellor has let the financial burden of covid-19 fall on women. They have undertaken twice as much home schooling as men. One in five have had to cut their hours. Some 78% of working mothers have not been offered furlough and 71% of those who asked for it have been refused. Will the Chancellor recognise that once again women have disproportionately paid the price of the inequality in his policies? Will he undertake an immediate equality impact assessment and set out in his Budget how he will offer redress for these widening gendered inequalities?

[Jesse Norman]

The truth is that this pandemic has had a desperately difficult effect for the whole of the UK economy, and for families and people across our country and regions. It is appropriate to recognise the totality of the difficulty we find ourselves in. It is true that many women have found themselves in the position of either caring for home schooling or vulnerable individuals. They are supported and protected through the schemes we have put in place. Of course, over and above those schemes, we have also put in place significant amounts of support for remote education, laptops and councils to help vulnerable individuals.

Financial Reward for Government Workers and Key Workers

Rachael Maskell Excerpts

Monday 14th December 2020 Westminster Hall

[Rachael Maskell (York Central) (Lab/Co-op)]

I am grateful to be called in this debate. I thank the Petitions Committee for prioritising such an important issue. I refer to my entry in the Register of Members’ Financial Interests.

We know that the petitioners have worked night and day to keep us safe over the past nine months. Although they have had plenty of claps and slaps on the back, the Chancellor’s statement came as a slap in the face, when so many looked at their pay statements at the end of the month and once again realised that they still could not make the bills pay and the balances match.

As a result, it is right that we debate public sector pay in this place, because Britain does deserve a pay rise. Although I welcome the pay rise for our NHS workers, we still do not have the remit, we do not know how that process will work, we do not know whether it will be capped by the Government and if so, to what extent, and we do not know whether the Government will fully fund it, or expect our cash-strapped NHS trust to dig deeper into the money it does not have.

One thing is for sure: we need to ensure that level of pay across the board. It is not only about our NHS workers. Our care workers, our local government workers, the people who have worked through the night trying to get people on to benefits as fast as possible, our teachers, our firefighters and our police all need that recognition. There are so many more I could mention. Curtailing their pay comes on the back of a decade of injustice in the pay system.

So many of those staff have been subject to reorganisation that has resulted in downbanding and loss of wages. We have also seen significant cuts to pensions and deferred wages for many of these workers. In the Chancellor’s statement we see history repeating itself. For a decade, the Government have not addressed the real economic crisis in our country; they have created another one, shifting the burden on to the lowest paid.

To give the lowest-paid in our country an increase of just 10p an hour is an insult after they have cared for people in their time of need over the last few months—not least those workers in care homes who have put their own lives at risk in order to support our communities. Those workers, who are mainly women and mainly black and ethnic minority, and disabled workers, are the people who are worst hit in our economy, so this is a real pay injustice, discriminating against people who are working.

The Government are always proud to talk about their national living wage, which is only £8.72 an hour. In 2015, the then Chancellor announced that by 2020 we would be on at least £9 an hour. We have not even reached that point. Of course, Labour made it very clear at the last election that we believe that we should start at £10 an hour, recognising that people have to live, survive and pay their bills, as opposed to having such pay restraint.

An increase would not be at huge cost to the Government; they could borrow and invest, which is what will make the difference to our economy. The TUC calculates that just a 2% increase would boost GDP by £1.1 billion to £2.1 billion—money that the Government could really do with at this time—and tax take would increase by up to £7 million. It is therefore not a zero-sum game: not just workers, but the Government gain.

Finally, because time is limited, we need to look again at how pay is arranged in our country. So many workers are not covered by any collective bargaining processes, and are, as a result, at the behest of their employers having additional money at the end of the year to pay them. It is completely unsatisfactory, and it is particularly the low-paid who are not part of collective bargaining arrangements.

I therefore call on the Minister to review what is happening across our pay system, and how it discriminates, to ensure that low-paid workers are not left out of pay deals. That is vital, as they are the people most in need. At a time when our economy needs such investment and our workers need to be acknowledged for all that they have done, I say to the Minister that it is time that British workers had a proper pay rise.

Future Relationship with the EU

Rachael Maskell Excerpts

Thursday 10th December 2020 Commons Chamber

[Penny Mordaunt]

Second only to the outcome of the negotiations is what Labour’s position on Brexit will be. We all need to focus on the first job, which is to secure a good deal for this nation. I hope all Members of this House, whatever their political hue, will recognise the seriousness of this moment and will support the Government in securing that objective.

[Rachael Maskell (York Central) (Lab/Co-op)]

The only thing that those on the Labour Benches want is a decent deal that serves the people of this country well and supports business. There are just 18 days left for businesses to prepare, and they certainly do not have the tools to understand, digest and implement a new deal. What additional resources will the Minister bring forward for businesses across my community and others to ensure that they can be helped not only to the end of the year but beyond 1 January?

[Penny Mordaunt]

Most of the things that businesses will have to do are not contingent on these final negotiations. As I mentioned, there has been a huge amount of investment in people, technology and infrastructure, and there will be a phased approach next year. We are giving businesses, colleagues and other intermediaries who will be working with those businesses the information they need to prepare well; that includes the hon. Lady’s casework team, who will have had the pack that I mentioned earlier. If there are outstanding issues, specifics or technical matters that you need help on—I am sorry, Mr Speaker: I mean “the hon. Lady needs help on”, or indeed you, Mr Speaker—we are available to assist. Please do make use of those services.

Oral Answers to Questions

Rachael Maskell Excerpts

Tuesday 1st December 2020 Commons Chamber

[Kemi Badenoch]

I assure my right hon. Friend that I agree with her. The Government remain committed to improving health outcomes during the first 1,001 days and early childhood. At the spending review, we confirmed an additional £25.8 million to increase the value of healthy start vouchers to £4.25, in line with the recommendation of the national food strategy, to help combat child food poverty and to give children the best start in life. I am very supportive of her review into early years health and I look forward to reading her final recommendation.

[Rachael Maskell (York Central) (Lab/Co-op)]

The Chancellor provided £750 million for charities at the start of the pandemic. However, that money has been spent, and the charity sector now faces £10 billion of debt. Many organisations are due to close, and there was no mention of support in his statement last week. What additional support will he provide to save our charities and help them do their vital work?

Spending Review 2020 and OBR Forecast

Rachael Maskell Excerpts

Wednesday 25th November 2020 Commons Chamber

[Rishi Sunak]

I am enormously grateful to my right hon. Friend for the approach that he has taken and I appreciate our conversations on this topic. Of course he rightly feels passionately about it. As he knows better than anyone, there are many ways in which we exert our influence and our values across the world—aid is just one part. Even at 0.5%, we will still be more generous as a percentage of GDP than almost all our major economy peers—France, Japan, Canada, Italy, the United States—and than the average of the OECD. The values that he cares deeply about I also care deeply about, and I look forward to talking with him further about how best we can express those values and make a difference to those who need our help everywhere that we find them.

[Rachael Maskell (York Central) (Lab/Co-op)]

Charities up and down the land will wonder why the Chancellor has abandoned them today. Charities have already accumulated £10 billion-worth of debt, and 20% of them could fold, despite the extraordinary work they have done for our nation during the pandemic. His statement says that there will be further rationing in the Office for Civil Society. Will he reflect on that and come back to the Dispatch Box with real money to support our valuable charities?

[Rishi Sunak]

Almost uniquely among other countries during this crisis, we have provided enormous financial support to our charity sector. The Department for Digital, Culture, Media and Sport has distributed £750 million to small and large charities up and down the country. They do fantastic work, and it has been a difficult time for them. That is why this Government stood behind them at a time of acute crisis.

North of England: Economic Support

Rachael Maskell Excerpts

Wednesday 11th November 2020 Westminster Hall

[Rachael Maskell (York Central) (Lab/Co-op)]

It is a pleasure to serve under your chairmanship, Mr Efford. I congratulate my hon. Friend the Member for Barnsley Central (Dan Jarvis) on calling today’s debate and showing what a difference a Labour Mayor can make.

Once a powerhouse in rail and confectionery, York’s industrial past evolved into tourism, retail and hospitality—insecure, low-wage work with significant under-employment. Now our economy is in a perilous condition and is predicted to be the worst-hit place in the country. Already the high street has reached that place, with the loss of 55 retail outlets this year alone. The local enterprise partnership predicts that unemployment could rise to as much as 27% of the population.

The city itself, often mistaken as a place of affluence, has been identified as one of the most inequitable places in the country, with some of the poorest communities. When we hear the words “levelling up”, I have to say that after a decade I have not seen the evidence. If the Government believe that sites such York Central, in the heart of my constituency, are places where they can just layer on more and more luxury flats, which people in my city cannot afford, they are missing the economic opportunity for York, North Yorkshire and the whole of the north.

The devastating consequences of covid-19 have shown that the resilience is not there, which is why today’s debate is so important. There are five things and five demands: power, pounds, plans, places and people. For power, we need to see that shift in power, not just to devolved authorities. I call on the Mayor of South Yorkshire and the incoming Mayor of West Yorkshire to work with us in North Yorkshire, to ensure that Yorkshire has real power to lever in the change that we need to see. We need that power held in the north across Yorkshire, to make the difference.

With regard to pounds, we have already heard the call for money. We need real economic investment and clear, transparent data with a matrix to show how money is being invested and prioritised and bringing in the change that is needed. We need to ensure that when plans are laid, they are honoured. In the devolution plan for North Yorkshire, BioYorkshire is at the heart of the deal. We need to bring it forward now, and I ask the Minister to have words with the wider Treasury team and the Chancellor to ensure that we get that money now to invest in jobs.

When there is development, we need to prioritise places and spaces for our communities, and ultimately people. In Yorkshire, people are resourceful and resilient, but they are creative and aspirational, too. We need to ensure that when we put plans forward, they honour people’s future and give them the opportunities that others have enjoyed for so long.

--- Later in debate ---

[The Exchequer Secretary to the Treasury (Kemi Badenoch)]

It is a pleasure to serve under your chairmanship, Mr Efford, and I congratulate the hon. Member for Erith and Thamesmead (Abena Oppong-Asare) on her first appearance as shadow Exchequer Secretary. That is a very interesting role and I wish her all the best in it. I also congratulate the hon. Member for Barnsley Central (Dan Jarvis) on securing the debate and thank Members for their insightful contributions, many of which were delivered with great passion.

As was said by my right hon. Friend the Member for Rossendale and Darwen (Jake Berry), the north has been a hotbed of energy, ideas, innovation and creativity for centuries, and the region continues to power our economy. Global companies are taking advantage of the rich commercial opportunities in the north-west and the north-east is gaining a formidable reputation in areas such as advanced manufacturing, energy and the life sciences, while businesses in South Yorkshire, such as materials construction firm SIG and internet firm Plusnet, are generating jobs and growth. However, the Government are acutely aware that the past months have been incredibly difficult for people across the region, as they have been for the whole UK. As my hon. Friend the Member for Southport (Damien Moore) said, the pandemic is more than a health crisis; it is an economic crisis.

We are committed to protecting the livelihoods of people throughout the country. To that end, we have provided an unprecedented package of funding worth over £200 billion. I will briefly remind everyone of its main elements before addressing other points that Members have raised. The coronavirus job retention scheme has protected the livelihoods of 9.6 million people, many of them in the north. We have boosted welfare payments for the lowest earners and paid more than £1 billion to hundreds of thousands of people in the north through the self-employment income support scheme. That includes 63,000 grants issued in the north-east, 213,000 in the north-west and 163,000 in Yorkshire and the Humber—all to the self-employed. While thousands of northern firms have so far received £10.5 billion from the bounce back and coronavirus interruption loan schemes, we have provided in addition billions of pounds to local authorities throughout the country, including the north, to protect vital services during the pandemic.

These vast sums show that that the Government are determined to help the whole country, including the north, through this difficult period. We will be using the forthcoming spending review to make sure we put the right financial support in place to continue the fight against covid. We will also be using the spending review to drive forward the vital infrastructure projects that will aid our economic recovery from the crisis and level up the whole UK.

I am grateful to my hon. Friend the Member for Leigh (James Grundy) for giving me the opportunity to mention the towns fund. We are investing £3.6 billion in the towns fund to level up our regions and I am pleased that towns such as Tyldesley in his constituency are receiving this much-needed money.

The hon. Member for Batley and Spen (Tracy Brabin) asked about the local growth fund. She will be aware that this is a matter for the impending spending review, and it would not be appropriate for me to pre-empt the outcome of that process.

My hon. Friend the Member for Barrow and Furness (Simon Fell) spoke about investment, and I would like to give a brief recap of our infrastructure investment so far. Over the next five years, we are going to plough more than £600 billion into capital spending. That means new roads, new railways, hospitals and schools. We have brought forward £8.6 billion of this to support activity in the near term—plans that the International Monetary Fund said will address productivity, climate goals and regional inequality, which my hon. Friend is rightly concerned about.

My hon. Friend the Member for Penistone and Stocksbridge (Miriam Cates) referred to northern transport and asked what, specifically, the Government are doing about that. In the last Budget, we announced more than £27 billion—a record investment—for strategic roads over the next five years. That includes £18 million to upgrade the A61 Westwood roundabout at Tankersley in her constituency, dualling the A66 across the Pennines and the A1 from Morpeth to Ellingham in the north-east, and upgrading the M60 Simister Island in Greater Manchester. In the last Budget, we also provided a £4.2 billion investment to eight city regions across the north, including Sheffield city region, for local transport in the five-year funding settlement starting in 2022-23.

The Government remain committed to investing in improving rail connections across the north. The hon. Member for Halifax (Holly Lynch) will be pleased to know that we are developing an integrated rail plan so we can deliver High Speed 2 phase 2b and northern powerhouse rail more effectively alongside other transport schemes.

As well as such landmark projects, we need to improve infrastructure at a more local level, as the hon. Lady pointed out. To that end, this summer the Chancellor launched the £900 million Getting Building fund. The fund aims to boost jobs, upgrade infrastructure and support the recovery, and targets areas that are facing the biggest economic challenges because of the pandemic. I am pleased that combined authorities and local enterprise partnerships across the north of England have received more than £319 million.

As the hon. Member for Barnsley Central will know, Sheffield city region has already been awarded £33.6 million. That funding will create more than 1,000 jobs and unlock new housing, commercial and learning space. Projects include improvement work for schools and colleges, enterprise space for businesses and start-ups, new pedestrian and cycle bridges and junction improvement schemes, and new charge points for electric vehicles. That is far from an exhaustive list.

Our levelling-up agenda is not just about what or where we invest; it is about fundamentally shifting the way Government policy is formulated. The hon. Gentleman raised relocating civil servants to the north. As announced at Budget 2020, we are working with colleagues in the Department for Business, Energy and Industrial Strategy, the Department for International Trade and the Ministry of Housing, Communities and Local Government to establish a new economic decision-making campus in the north of England to be operational by the end of this Parliament, with at least 750 roles at the new site.

We continue to build on our successful English devolution agenda. We intend to bring forward the devolution and local recovery White Paper, laying out our plans for partnering with places across the UK to build a sustainable economic recovery.

[Rachael Maskell]

I mentioned the BioYorkshire project in my speech; it will be transformative for my constituency. It will create 4,000 jobs and upskill 25,000 people. Will the Minister look at bringing that money forward? We need investment now because of the economic crisis we face, rather than waiting two and a half years for devolution.

[Kemi Badenoch]

That is something we can certainly review. I will write to the hon. Lady to explain our position exactly.

Many core city regions in the north now have a metro Mayor and a devolution deal. We have recently agreed one such deal with West Yorkshire. It includes £1 billion of new investment and a directly elected metro Mayor, in place from May 2021. We fully implemented the Sheffield city region deal, which includes £900 million of new funding, along with substantial new devolved powers.

Many Members have expressed a desire for a northern recovery plan. This Government accelerated £8.6 billion for capital priorities to drive recovery across the country, and the upcoming spending review will continue to support the economic recovery of the north and the whole country. My hon. Friend the Member for Don Valley (Nick Fletcher) raised the Green Book. We are planning to conclude the review and publish the updated Green Book at the spending review.

Several Opposition Members have insinuated that the south was given preferential treatment over the north. That is simply not true, as anyone can see, given the unprecedented support provided. They also completely ignore other measures, such as new testing technology being piloted in Liverpool city region, which could be a game changer in tackling both the health and economic impacts of the pandemic in that area.

We realise that these are profoundly challenging times for many people and many communities in the north. The Chancellor himself is a northern MP, who is very much aware and impacted by the issues raised today. I say to hon. Members and their constituents that he is very much on their side. As I have outlined, this Government are unwaveringly focused on ensuring that people and businesses in the region and throughout the country are not only able to weather the storm of covid-19, but also benefit from an even brighter future.

Support for SMEs: Covid-19

Rachael Maskell Excerpts

Tuesday 10th November 2020 Westminster Hall

[Rachael Maskell (York Central) (Lab/Co-op)]

It is a pleasure to serve under your chairmanship, Sir Edward. I congratulate the hon. Member for Carshalton and Wallington (Elliot Colburn) on opening the debate so well. I echo all the concerns hon. Members have brought forward, particularly about those excluded from the self-employed income support scheme.

I had a discussion with a Treasury Minister about the exclusion of people who are sole directors of companies. My understanding from his comments was that there is a shortage of staff at HMRC to process information at Companies House, together with returns that can be produced to demonstrate that they are the sole shareholder. That case was brought back in the spring and several months have gone by, so I do not understand why the Government have not put more staff into HMRC to address that problem. It would be transformative for all those people who have yet to receive support. I ask the Minister to look at that.

I also echo the concerns raised around bounce back loans and the fact that the underwriting is by the Government, not the supply of resources for that. That is one reason why there are such challenges. I also want to raise a concern about the additional restriction grants. City of York Council is looking at £25,000 a month. That will not address the demand and we want to know how that gap will be closed. Although York is doing incredibly well at addressing the pandemic and getting on top of the virus, our economy is seriously struggling and we urgently need help. The claimant count has more than doubled in the city, the high street has been highlighted as having had the most closures anywhere in the country—55 retail outlets to date—and economically the future is looking even bleaker, so we need urgent support.

One concern my constituents have is about the behaviour of leaseholders, particularly during the pandemic. For them, the property they hold is a capital investment and a secure asset, and their interest is clearly in their wider financial investment portfolios born of high rental payments. The rentals are not necessarily the issue, but continuing to demand high rental payments from small businesses is having a huge effect, not least because, as other hon. Members have mentioned, the high rateable value of property in York means that many businesses cannot keep pace with average payments of £6,000 a month—some reach £1350,00 a year—despite Government support, so there is a significant shortfall in that provision.

Leaseholders are collecting their money, which in a sense goes directly into their pockets from the Government in the form of grants. The support that those large leasehold companies are getting almost seems like a way of getting around the state aid issue. Many of those properties are held in offshore portfolios, so this is not about reinvesting in the local economy; the money goes from the Government into offshore bank accounts, and no benefit is brought to small businesses. Will the Minister look at that, because we see it not only in retail and small businesses, but in the pub sector? A lot of pubs are failing, yet the pub companies are drawing on that money. An inequality is being built into the system and taxpayers’ money is supporting it, so it is really important that the issue is addressed.

Needless to say, another big issue in York—again, driven by leaseholders—is high rateable value: many businesses missed out on support because their rateable value was above £51,000. A false economy is being built up because leaseholders are pushing up their prices. We need to get on top of that issue as we come out of the lockdown, to help secure those businesses after the pandemic.

Finally, another subject that is important to us in York is that although a lot of work has gone into supporting the future growth of businesses, particularly for the green new deal and the BioYorkshire project, that work is currently being held up by the devolution deal. The Government support the deal, but it means waiting two and a half years before we can crack on with upskilling 25,000 people and creating 4,000 new jobs in our city. In the light of our economic circumstances, and because of the support that the Government are giving to that project, will the Minister look at bringing it forward so that we can get on with rebuilding our economy while we are in crisis as opposed to waiting another two and a half years, which really does not make sense for the people of my city, or for the economy and the economic benefit that that the project will bring.