Oral Answers to Questions
Rachel Hopkins Excerpts(5 months ago)
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Mr Speaker
Can we pick up the pace of questions and answers? We are on topicals now. Rachel Hopkins will set a good example.
Rachel Hopkins (Luton South and South Bedfordshire) (Lab)
The Parliamentary Secretary, Cabinet Office (Georgia Gould)
Growth is a central mission of the Government. We want to use all the levers available to us, including procurement, to support good growth, jobs and local communities.
Oral Answers to Questions
Rachel Hopkins Excerpts(7 months, 2 weeks ago)
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Kemi Badenoch
It is interesting that a number of people have that perception that they should stay in their lane. This Government do not support any sort of activity that is segregationist. We believe that we must treat people equally under the law. All of our access programmes are available irrespective of ethnicity. People should be encouraged to serve the entire community, not just people who look and sound like them. Some of the schemes that I mentioned in my earlier answer are available. The hon. Lady should know that the Start Up Loans Company reported that in her constituency 42 start-up loans were issued to ethnic minority-led start-ups, for about £315,000, so there are opportunities out there. I am happy to write to her with more information if she needs it.
Rachel Hopkins (Luton South) (Lab)
The Minister for Women and Equalities (Kemi Badenoch)
Institutions should be able to operate free from ideological pressures. I am delighted that the Equality and Human Rights Commission has retained its accreditation as an A-status national human rights institution, denoting full compliance with the Paris principles, despite Stonewall’s attempt to have it stripped of its status at the UN. As I have said before, Stonewall does not dictate the law in this country, or indeed in the UN. The Equality and Human Rights Commission, having retained its A-status, retains its independent participation rights at the UN Human Rights Council and remains able to report directly to the United Nations on human rights issues.
Rachel Hopkins
Data from the Office for National Statistics shows that 25.3% of women are economically inactive, compared with 18.4% of men. Many women say that access to flexible working could see them return to the paid workplace. What steps is the Minister taking alongside her Cabinet colleagues to ensure that all workers have access to flexibility in their working hours?
Kemi Badenoch
There is a lot that my Department in particular is doing. We have put out multiple bits of legislation that will help to entrench workplace equality, whether that is around flexible working rights or sexual harassment in the workplace. We are doing more even on the trade side, where we continue to ensure that we have provisions that advance gender equality in our free trade agreements because we want to break down barriers and create opportunities for female entrepreneurs.
Ministerial Severance: Reform
Rachel Hopkins Excerpts(10 months, 3 weeks ago)
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Emily Thornberry (Islington South and Finsbury) (Lab)
I beg to move,
That this House calls on the Government to immediately introduce legislation to amend the Ministerial and other Pensions and Salaries Act 1991 to ensure that—
(i) departing Ministers who have not attained the age of 65 receive an amount equal to one-quarter of their earnings over the previous 12 months as a Minister, minus any period covered by a previous severance entitlement, where that is lower than an amount equal to one-quarter of the annual salary paid to that Minister before their departure;
(ii) any person who returns to ministerial office after three weeks but within the period equivalent to the number of days of salary that they were paid in severance must return the corresponding amount of their severance payment;
(iii) no person departing ministerial office while under investigation for allegations of gross misconduct or breaching the ministerial code will be entitled to a severance payment unless and until they are cleared of those allegations by the relevant authority; and makes provision as set out in this Order, to take effect unless such a Bill has been introduced by no later than Monday 26 February 2024:
(1) On Tuesday 27 February 2024:
(a) Standing Order No. 14(1) (which provides that government business shall have precedence at every sitting save as provided in that order) shall not apply;
(b) any proceedings governed by this order may be proceeded with until any hour, though opposed, and shall not be interrupted;
(c) the Speaker may not propose the Question on the previous question, and may not put any Question under Standing Order No. 36 (Closure of debate) or Standing Order No. 163 (Motion to sit in private);
(d) at 3.00 pm, the Speaker shall interrupt any business prior to the business governed by this order and, notwithstanding the practice of this House as regards to proceeding on a Bill without notice, call the Rt hon. Member for Islington South and Finsbury or another Member on her behalf to move the order of the day that the Ministerial Severance (Reform) Bill be now read a second time;
(e) in respect of that Bill, notices of Amendments, new Clauses and new Schedules to be moved in Committee may be accepted by the Clerks at the Table before the Bill has been read a second time.
(f) any proceedings interrupted or superseded by this order may be resumed or (as the case may be) entered upon and proceeded with after the moment of interruption.
(2) The provisions of paragraphs (3) to (18) of this order shall apply to and in connection with the proceedings on the Ministerial Severance (Reform) Bill in the present Session of Parliament.
Timetable for the Bill on Tuesday 27 February 2024
(3)(a) Proceedings on Second Reading and in Committee of the whole House, any proceedings on Consideration and proceedings up to and including Third Reading shall be taken at the sitting on Tuesday 27 February 2024 in accordance with this Order.
(b) Proceedings on Second Reading shall be brought to a conclusion (so far as not previously concluded) at 5.00pm.
(c) Proceedings on any money resolution which may be moved by a Minister of the Crown in relation to the Bill shall be taken without debate immediately after Second Reading.
(d) Proceedings in Committee of the whole House, any proceedings on Consideration and proceedings up to and including Third Reading shall be brought to a conclusion (so far as not previously concluded) at 7.00pm.
Timing of proceedings and Questions to be put on Tuesday 27 February 2024
(4) When the Bill has been read a second time:
(a) it shall, notwithstanding Standing Order No. 63 (Committal of bills not subject to a programme order), stand committed to a Committee of the whole House without any Question being put;
(b) the Speaker shall leave the Chair whether or not notice of an Instruction has been given.
(5)(a) On the conclusion of proceedings in Committee of the whole House, the Chairman shall report the Bill to the House without putting any Question.
(b) If the Bill is reported with amendments, the House shall proceed to consider the Bill as amended without any Question being put.
(6) For the purpose of bringing any proceedings to a conclusion in accordance with paragraph (3), the Chairman or Speaker shall forthwith put the following Questions in the same order as they would fall to be put if this Order did not apply—
(a) any Question already proposed from the Chair;
(b) any Question necessary to bring to a decision a Question so proposed;
(c) the Question on any amendment, new clause or new schedule selected by the Chairman or Speaker for separate decision;
(d) the Question on any amendment moved or Motion made by a designated Member;
(e) any other Question necessary for the disposal of the business to be concluded; and shall not put any other Questions, other than the Question on any motion described in paragraph (15) of this Order.
(7) On a Motion made for a new Clause or a new Schedule, the Chairman or Speaker shall put only the Question that the Clause or Schedule be added to the Bill.
Consideration of Lords Amendments and Messages on a subsequent day
(8) If any Message on the Bill (other than a Message that the House of Lords agrees with the Bill without amendment or agrees with any Message from this House) is expected from the House of Lords on any future sitting day, the House shall not adjourn until that Message has been received and any proceedings under paragraph (9) have been concluded.
(9) On any day on which such a Message is received, if a designated Member indicates to the Speaker an intention to proceed to consider that Message—
(a) notwithstanding Standing Order No. 14(1) (which provides that government business shall have precedence at every sitting save as provided in that order), any Lords Amendments to the Bill or any further Message from the Lords on the Bill may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly;
(b) proceedings on consideration of Lords Amendments or on any further Message from the Lords shall (so far as not previously concluded) be brought to a conclusion one hour after their commencement; and any proceedings suspended under subparagraph (a) shall thereupon be resumed;
(c) the Speaker may not propose the Question on the previous question, and may not put any Question under Standing Order No. 36 (Closure of debate) or Standing Order No. 163 (Motion to sit in private) in the course of those proceedings.
(10) Paragraphs (2) to (7) of Standing Order No. 83F (Programme orders: conclusion of proceedings on consideration of Lords amendments) apply for the purposes of bringing any proceedings on consideration of Lords Amendments to a conclusion as if:
(a) any reference to a Minister of the Crown were a reference to a designated Member;
(b) after paragraph (4)(a) there is inserted—
“(aa) the question on any amendment or motion selected by the Speaker for separate decision;”.
(11) Paragraphs (2) to (5) of Standing Order No. 83G (Programme orders: conclusion of proceedings on further Messages from the Lords) apply for the purposes of bringing any proceedings on consideration of a Lords Message to a conclusion as if any reference to a Minister of the Crown were a reference to a designated Member.
Reasons Committee
(12) Paragraphs (2) to (6) of Standing Order No. 83H (Programme orders: reasons committee) apply in relation to any committee to be appointed to draw up reasons after proceedings have been brought to a conclusion in accordance with this Order as if any reference to a Minister of the Crown were a reference to a designated Member.
Miscellaneous
(13) Standing Order No. 82 (Business Committee) shall not apply in relation to any proceedings on the Bill to which this Order applies.
(14)(a) No Motion shall be made, except by a designated Member, to alter the order in which any proceedings on the Bill are taken, to recommit the Bill or to vary or supplement the provisions of this Order.
(b) No notice shall be required of such a Motion.
(c) Such a Motion may be considered forthwith without any Question being put; and any proceedings interrupted for that purpose shall be suspended accordingly.
(d) The Question on such a Motion shall be put forthwith; and any proceedings suspended under sub-paragraph (c) shall thereupon be resumed.
(e) Standing Order No. 15(1) (Exempted business) shall apply to proceedings on such a Motion.
(15)(a) No dilatory Motion shall be made in relation to proceedings on the Bill to which this Order applies except by a designated Member.
(b) The Question on any such Motion shall be put forthwith.
(16) Proceedings to which this Order applies shall not be interrupted under any Standing Order relating to the sittings of the House.
(17) No private business may be considered at any sitting to which the provisions of this order apply.
(18)(a) The start of any debate under Standing Order No. 24 (Emergency debates) to be held on a day on which proceedings to which this Order applies are to take place shall be postponed until the conclusion of any proceedings to which this Order applies.
(b) Standing Order 15(1) (Exempted business) shall apply in respect of any such debate.
(19) In this Order, “a designated Member” means—
(a) the Rt hon. Member for Islington South and Finsbury; and
(b) any other Member acting on behalf of the Rt hon. Member for Islington South and Finsbury.
Today we seek the permission of the House to make time for legislation in the weeks ahead to reform the system for ministerial severance payments. Those payments were first introduced exactly 40 years ago for Ministers in the House of Lords, with rules that were almost identical to the ones that now apply to this House as well. Departing Ministers were to receive a quarter of their annual salary, equivalent to three months of pay, provided that they were under the age of 65, that they had been in post for at least two years, and that they did not return to the job within three weeks.
Rachel Hopkins (Luton South) (Lab)
I have informed the right hon. Member for Great Yarmouth (Sir Brandon Lewis) that I will be referring to him personally in this debate. He is the only Minister of the 97 in question who has claimed two severance payments in 2022-23, totalling almost £33,000. The second payment was worth three months’ pay after just seven weeks in the job as Justice Secretary. Does my right hon. Friend agree that at the height of a cost of living crisis it was nothing short of a disgrace that the right hon. Gentleman felt entitled to claim so much money from the taxpayer when delivering so little in return?
Emily Thornberry
My hon. Friend is spot on. For those on the Government Benches muttering about claiming, it does not really matter whether the money was claimed, or if it was given to someone and not given back—the point is that the money was still pocketed by the right hon. Member for Great Yarmouth, and no one was expecting the rules to be used in that way. That is the point of this debate.
The payments were extended to other Ministers in 1991 based on a recommendation by the then Top Salaries Review Board, which commanded broad cross-party support. The only change from the previous rules was to remove the two-year qualifying limit, but it is worth noting that in every debate that preceded the 1991 legislation, MPs remained clear that these payments were intended for the benefit of long-serving Ministers, who were having to make what Geoffrey Howe called
“an abrupt and significant financial adjustment…on relinquishing ministerial office”.—[Official Report, 17 January 1990; Vol. 165, c. 311.]
Oral Answers to Questions
Rachel Hopkins Excerpts(1 year ago)
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The Minister for Equalities (Stuart Andrew)
I agree with my hon. Friend that the circumstances of a person’s birth or where they live should not be a barrier to social mobility. That is why we have established things such as the Social Mobility Pledge consortium with businesses, and 120 have signed up. There are 12 community renewal fund projects serving her constituency and the wider area, and £1.2 million from the shared prosperity fund to achieve those aims.
Rachel Hopkins (Luton South) (Lab)
Stuart Andrew
I completely agree with the hon. Lady. It was a very important review, and I am glad that my right hon. Friend the Prime Minister made an apology at the Dispatch Box. There will be a statement later, and I suggest that she asks the Defence Minister a question at that point.
UK Automotive Industry
Rachel Hopkins Excerpts(1 year, 3 months ago)
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The Minister for Industry and Economic Security (Ms Nusrat Ghani)
I beg to move,
That this House has considered the UK automotive industry.
It was only two months ago that I was standing in front of the House addressing a motion tabled by the Opposition on the UK risking losing the automotive industry. That is evidently not the case. With the Government’s lead, the UK continues to be one of the best locations globally for the sector. Votes of confidence in our economy have been showcased by three major automotive announcements in recent months.
The automotive industry is a vital part of the UK economy and is integral to supporting growth by creating high value added jobs across the country, enhancing export opportunities and helping to deliver the Government’s overarching goal of making the UK a global hub for innovation. In the span of just 10 weeks, the Government secured three major announcements on automotive, proving that the country is internationally competitive for vehicle manufacturing. These investments will secure green, high- quality jobs, strengthen our supply chains and boost economic growth. I am confident that more will follow.
The UK’s competitive business environment and regulatory system, combined with the Government’s targeted approach to support the enhancement of the innovation ecosystem, has attracted some of the most prestigious manufacturers to invest here. Last week, we celebrated BMW Group’s announcement that it is investing £600 million, which will bring production of two new all-electric Mini models to Oxford from 2026. It will enable the site to fully transition to electric vehicle production from 2030.
As my hon. Friend the Member for North Swindon (Justin Tomlinson) and the hon. Member for Oxford East (Anneliese Dodds) will be aware, with the support of the Government, this investment will secure the future of the 4,000 staff employed at the Oxford manufacturing plant and at the body pressing facility in Swindon. BMW has been part of the UK auto manufacturing family since 2000, and by 2030 it will have invested more than £3 billion in our country. Our joint success story continues throughout the transition to electrification.
BMW’s announcement builds on last week’s good news that, following a £100 million investment, Stellantis has started electric van production in its Vauxhall plant in Ellesmere Port. This transformation is also historic, as it makes the plant the first all-electric vehicle facility in the UK and one of the first in Europe.
Rachel Hopkins (Luton South) (Lab)
The Minister and I have had many conversations on electric vehicle production, as she knows, but in January 2024—just some three months away—UK car and van makers, such as Vauxhall in Luton South, are facing 10% tariffs on exports of electric vehicles if they cannot source enough home-made batteries. That is despite the Government having had more than two years to prepare for the introduction of these rules of origin, which they negotiated. The Minister is aware of this, as I have raised it many times. With just over three months to go, can she just admit that she is failing our motor manufacturers and is willing to chuck them under the bus?
Ms Ghani
The right hon. Gentleman raises a valuable point. We need to ensure not only that we support UK manufacturers, but that new investors and entrants into the market are treated equitably. We know that, because of the negotiations taking place on rules of origin, there has been a consultation taking place in Europe on its anxiety about the market being flooded by cheaper EVs. Obviously, we need to allow customers to make a choice, but we have to ensure that UK manufacturers are not dealt a blow by any new Chinese entrants into the market. He knows my history when it comes to dealing with China and sanctioning. That is why I have been doing so much work not only to support our UK manufacturers, but to ensure our supply chain is resilient. I hope that will give him some confidence on this issue.
As I mentioned to the hon. Member for Luton South (Rachel Hopkins), this will impact EU manufacturers just as much as it impacts UK manufacturers; because they import more into our economy, it will be a heavier burden for them.
Rachel Hopkins
I thank the Minister for giving way again. On that point, given the impact on both the UK and EU automotive sectors, can she enlighten us any further on whether there would be any suspension of the ratcheting up of percentages in the rules of origin and a delay to implementation through those negotiations?
Ms Ghani
The hon. Member is asking me to comment on policy that is outside of my jurisdiction. It is led by the Foreign, Commonwealth and Development Office and the conversations will continue. The important thing to note is that we have to constantly and continually impress not on UK manufacturers, but on their sister representatives in Europe the impact it will have on European manufacturers as well. I think that, considering the issue will impact not only here but in mainland Europe, it will be resolved soon enough, while recognising that when dealing with the EU decisions tend to be taken very late in the day.
On supply chains and critical minerals, as I emphasised recently to the Business and Trade Committee, as part of our mission to secure a green and innovative future in UK automotive manufacturing, we need to ensure we develop key supply chains in Britain for battery manufacturing and electric vehicle production. I recognise that critical minerals are fundamental to producing batteries and anchoring the electric vehicle supply chain in the UK. We are accelerating our international collaboration, including recently signing partnerships with Canada, Australia, South Africa, Kazakhstan, Saudi Arabia, and Zambia, with more in the works, and engagement through the Minerals Security Partnership, the International Energy Agency and the G7.
We celebrated the announcement of the joint venture between British Lithium and Imerys—our UK-based lithium hub—on 29 June. By the end of the decade, it will supply enough lithium carbonate for 500,000 electric cars a year. We have also published “Critical Minerals Refresh: Delivering Resilience in a Changing Global Environment”, for which I was responsible. It highlights the progress to date and sets out our refreshed approach to delivering the strategy for UK businesses. As part of that approach, I have launched an independent task and finish group to investigate the critical mineral dependencies and vulnerabilities across UK industry sectors—including the automotive sector—and the opportunities for industry to promote resilience in its supply chains.
In plain numbers, the UK automotive industry employs 166,000 people, adds over £70 billion to the UK economy, and is our second largest exporter of goods. We are also home to more than 25 manufacturers—the role of the supply chains and small and medium-sized enterprises was mentioned earlier—which build more than 70 different vehicles in the UK, all of which are supported by 2,500 component providers and some of the world’s most skilled engineers. In 2022, we exported vehicles to more than 130 different countries and built more than three quarters of a million cars, with the onward trajectory rising year on year.
I am happy to add some more of those plain numbers: three, as in the three announcements I have made so far about recent investments in BMW, Stellantis and Tata; four, as in more than £4 billion of investment in a new gigafactory from the Tata Group; 40, as in 40 GWh, one of the largest gigafactories in Europe to be built in the UK—it is not about the number, but about the capacity; 4,000, as in up to 4,000 new jobs in addition to the existing 166,000; £600 million, as in the investment in its Oxford plant that BMW has just announced; and two, as in the two new fully electric Mini models being produced here in the UK. The Government are clearly not simply securing our world-class industry, but paving the way for the UK’s future in automotive manufacturing.
Royal Assent
Oral Answers to Questions
Rachel Hopkins Excerpts(1 year, 3 months ago)
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Johnny Mercer
Of course. Last time we were here, I made a commitment that we would do everything possible to get these medals on chests by Remembrance Sunday. We are in line with that commitment. We will meet that commitment. This has been a 70-year project and campaign by these individuals. I totally respect that for some it is not fast enough, and for some it is not enough to be done. We are straining every sinew to bring recognition to this cohort and we will continue to do so. We will have those medals ready for Remembrance Sunday this year.
Rachel Hopkins (Luton South) (Lab)
I am pleased to hear that continued commitment to ensuring that medals are with nuclear test veterans in time for Remembrance Sunday. Our nuclear test veterans served our country with pride and distinction, but given the uncertainty caused by the Government’s previous comments that the medals would be awarded by late summer, and then that they would be ready in the autumn, can we have some clarity, and will the Minister tell the House what recent discussions he has had with nuclear test veterans and their representatives about a formal medal ceremony? Can he guarantee that nuclear test veterans will be awarded their medals in a manner befitting their brave service?
Johnny Mercer
The hon. Member will be aware that Remembrance Sunday is coming up, which is a timeline that campaigners wanted to meet. That gives us a narrow window to do the sort of ceremony that I would think befits these individuals. It is a balance between getting the medals on people’s chests for Remembrance Sunday and at the same time ensuring that they are awarded in a manner that is in keeping with their service. That is simply the art of the possible and what can be done. I am proud of what the Government have done on nuclear test veterans. Her party, when it was in power, did not award nuclear test veterans; in fact, she signed early-day motions to campaign against nuclear weapons, so I will not take any lessons on this. I am proud of what we have done, and I look forward to seeing medals on chests for Remembrance Sunday.
Tata Group Gigafactory Investment
Rachel Hopkins Excerpts(1 year, 5 months ago)
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Ms Ghani
I am working with most industry representatives to establish what we can do about the supply side, not just through reforms but by giving them the assurance, accessibility and resilience that they need to get their products into the country and continue manufacturing, whether in the chemical or the aviation sector. We are working closely with industry, and I hope to present a supply-side input strategy by the autumn.
Rachel Hopkins (Luton South) (Lab)
I have pressed the Minister many times for support to enable good, skilled jobs in the automotive sector and supply chains to be retained in the UK, including those at Vauxhall in my constituency, to which she is obviously welcome to pay a visit at any time. May I now press her to tell us how many public money or subsidy arrangements have been entered into by the Government to support Tata’s welcome choice of the UK for its gigafactory? If she is coy about answering that question, may I also ask how much of the £1 billion automotive transformation fund is left to support existing businesses such as Stellantis, also in Luton South?
Ms Ghani
I know that a visit to Luton South is outstanding, and I hope that we can secure a date soon. The hon. Lady has asked a very good and clever question. As she has said, the ATF amounts to £1 billion, and in due course, with due diligence, the commitments from Tata will be made public. However, the numbers on which we should focus are these. Tata is investing £4.5 billion to build Europe’s largest gigafactory, which is guaranteed to create more than 4,000 jobs and support, potentially, 2,500 firms in the supply chain. Those are the numbers that we should be proud of today, having secured such a stellar investment in a sector that all of us in the Chamber —because we are here on a Thursday afternoon—clearly wish to protect and promote. We won this investment, over any other European country. Tata could have gone anywhere, but it came here because it had confidence in our workers, our companies and our ecosystem.
Automotive Industry
Rachel Hopkins Excerpts(1 year, 5 months ago)
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Rachel Hopkins (Luton South) (Lab)
It is an absolute pleasure to follow my hon. Friend the Member for Luton North (Sarah Owen), a good friend who spoke so passionately about the length of time Luton has been associated with Vauxhall Motors—I appreciate the Minister nodding at that. As we have heard, the automotive industry is critical to the UK’s economy; it is a jewel in the crown of British manufacturing. I agree with the comments made by our Front Benchers about the importance of maintaining a good manufacturing sector in our country and the associated good, skilled jobs.
In Luton, we are proud of our automotive heritage. For once, let me carry on a football analogy by saying that we are also proud of our premier league football team. Generations of families have worked at the Vauxhall plant, making many well-known family cars and, more recently, medium-sized vans, based on the Vauxhall Vivaro. I have seen the heritage displayed in all sorts of ways. When I visited Someries Junior School recently, it had the full history of Vauxhall set out in a montage, where the cars had been drawn on and the history from 1905 was talked about. Similarly, when I have been out talking to the people of Mid Bedfordshire, I knocked on the door of someone who works at Vauxhall and is the daughter of one of the Unite representatives.
I was pleased to meet the Minister recently to talk about the importance of the automotive sector to Luton and the need for a long-term strategy to safeguard the industry and good jobs in our town. Having joined this place in 2019, I first raised the issue of the need for a strategy specifically to support the automotive industry some three years ago, in July 2020. The Minister has seen me raise many an automotive issue. If the hon. Member for Bosworth (Dr Evans) was here, I could assure him of how many times I have raised the issues of semiconductors, electric vehicle batteries, gigafactories, the supply chain, rules of origin and charging infrastructure. There is a genuine interest here about the importance of all of it to our economy.
Mr Barry Sheerman (Huddersfield) (Lab/Co-op)
I am hesitant to interrupt, because I know of my hon. Friend’s expertise in this area. However, may I ask her: are the Government giving enough help for the future of our industry? Many believe that hydrogen power is coming fast, and that its impact might be similar to what the invention of the railways meant for the canals. Are the Government giving enough hope and resources to the industry to look forward to hydrogen power as well as battery power?
Rachel Hopkins
I thank my hon. Friend for that intervention. Obviously, the Opposition are hosting this debate to get support for the automotive sector, and his question about whether the Government are giving sufficient support to hydrogen is perhaps one for them. I want to make sure that I have my points on the record about the future of electric vehicles at the Vauxhall plant.
Three years on, I am still calling for that long-term plan from the Government. Despite the Minister reciting many a meeting, visit and champion of X, Y and Z, where is the plan that we can all look up to and see how it is going to support our sector? We have seen this Conservative Government preside over a 37% fall in British motor manufacturing since they came into office in 2010. Indeed, eight out of 10 cars produced in the UK are exported, yet exports of cars manufactured in the UK fell by 14% in 2022. Government inaction, which we are debating today, threatens the future of the automotive industry and of Vauxhall in Luton, particularly the future of its electric vehicles.
The UK is heavily reliant on battery technology from Asia. While the UK currently falls under the threshold of rules of origin quotas, the ratcheting up from the beginning of next year poses a risk to the UK automotive industry. As we have heard, Stellantis, the owner of Vauxhall, told the Business and Trade Committee inquiry into the supply of batteries for EV manufacturing in the UK:
“There will not be sufficient battery production supplies in the UK or in Europe by 2025 and 2030”
to meet the rules of origin requirements.
Rather than working with the EU to suspend a ratcheting up in rules of origin requirements until 2027, I am concerned that we will see too little, too late from the Government, and the Conservatives will oversee the imposition of 10% tariffs from 1 January next year. Just for nuance, those tariffs are 10% to 22% for electric vans, which particularly impacts the Vauxhall plant in Luton South.
Overall, these tariffs would hinder the UK’s struggling automotive sector, pass on yet more cost to British people, already struggling with a cost of living crisis made in Downing Street, and would make the green transition unnecessarily unaffordable for millions across the country.
Until we have sufficient domestic battery production, our industry will be at a major competitive disadvantage, in particular against Asian imports, specifically from South Korea, Japan and China. The reality is that if the cost of EV manufacturing in the UK becomes uncompetitive and unsustainable, the future of domestic operations will be at risk. Decisions will be made by producers to move production elsewhere, if there is no confidence in the UK Government’s desire to facilitate a sustainable automotive and electric vehicle market, a point well made by my hon. Friend the Member for Llanelli (Dame Nia Griffith), particularly as British businesses are also facing the highest energy costs in Europe.
It is also important that the Government recognise the innovation and technological advancements posed by the wider industry. Since joining the all-party motor group, I have learned a lot about how motorsport in the UK—the best in the world, with the greatest engineering and tech teams—influences the ordinary automotive sector. For many years, we have seen a cycle where cutting-edge motorsport develops innovative automotive solutions and efficiencies that the automotive sector later adopts for the wider market.
We have heard about steps being taken on sustainable fuels, but much more has been linked to the huge strides in technology relating to software. It is right to remember how the motorsport industry pivoted brilliantly during the pandemic to support the ventilator challenge. I raise this because if the Government sit back and allow the demise of our automotive industry, we will risk losing the world-class engineers, tech experts and motorsport companies, as they will look elsewhere for an environment that is more conducive to the sport. That would be detrimental, not only to the entertainment side of motorsport, but as a significant contributor to our economy and society.
As we have heard, Labour has an excellent plan to turbocharge electric vehicle manufacturing. In government, we will prioritise an agreement with the European Union to ensure that manufacturers have time to prepare to meet rules of origin requirements. We are committed to rapidly scaling up UK battery making capacity, by part-financing eight additional gigafactories, creating 80,000 jobs, powering 2 million electric vehicles and adding £30 billion to the UK economy.
Labour will accelerate the roll-out of charging points and give confidence to motorists to make the switch, with binding targets for electric vehicle chargers. Our plan includes measures to make the UK a clean energy superpower by 2030, with net zero carbon electricity, lowering electricity costs for the UK car industry. I look forward to supporting Labour’s business team to make this a reality, so that the young people in Luton South see a positive future ahead of them, with good, skilled jobs for the long term.
Matt Western (Warwick and Leamington) (Lab)
It is an honour to follow the excellent speech of my hon. Friend the Member for Ellesmere Port and Neston (Justin Madders). As someone who is passionate about this industry, I would say that there is huge support for talking up the sector on the Opposition side of the Chamber, as we have heard in the contributions of colleagues over the last couple of hours.
When I think of the sector’s contribution to UK plc, I think about the alloy wheels being made in Fort William, the Ferodo brakes being made in Chapel-en-le-Frith and the panels being beaten out in various parts of the country. I think about the likes of the factory just around the corner from where I live that makes the gearbox for the Bugatti Veyron, no less. Up and down this country we have some of the finest companies and the finest engineers making products, contributing to the supply chain and to the original equipment manufacturers that produce vehicles of all sorts, from motorbikes to diggers.
I also pay tribute to a great old friend of mine who we all remember, Jack Dromey, who called this automotive industry the “jewel in the crown” of UK manufacturing. That is something I have always believed, and indeed I spent a great deal of my life working in it.
On the point about the few contributions made about the sector in this place, back in May 2018 I held a parliamentary debate on the subject, and I was disappointed by the number of contributions from certain quarters. Five years ago, I talked about the challenges that the industry faced, and the points I made then are hardly different from some of the points that the Society of Motor Manufacturers and Traders has highlighted in its five-point plan.
The real fear across the industry is that the Government are not acknowledging the importance of the sector, and certainly have not over recent years. Until a few years ago, the right hon. Member for Tunbridge Wells (Greg Clark) had an industrial strategy, which was recognised by the industry, but that has, of course, fallen by the wayside. Indeed, I attended the SMMT international conference a year ago. A collection of industry heads from around the world, as well as UK bosses from right across the sector, were assembled for a full day’s conference. The keynote speech was given by the Prime Minister, who was then Chancellor. Sadly, it lasted a minute and 40 seconds.
I will not put words into the mouths of others, but the reality is that, that day, the industry felt utterly disrespected by this place. The Government are the Government, but the industry thought, “Well, what does Parliament really think about the contribution we are making to the UK economy?” Such a short keynote speech was felt, by Japanese or European colleagues who came over here to listen to the UK Chancellor, to devalue the industry’s work, as well as its investment. Unfortunately, those signals are very badly read in boardrooms across the world because, of course, the UK industry is made up of companies that are headquartered in Japan, Paris, Munich or wherever, and they listen carefully to the messages coming out of this place. That is important.
To give credit where it is due, Margaret Thatcher actually recognised the importance of the UK industry by bailing out British Leyland back in the day, which saved brands such as Jaguar Land Rover and Mini, as well by attracting inward investment from the likes of Honda, Toyota and Nissan. Sadly, we have lost investment from Honda, Ford and others in the past few years. That is why we are at a challenging point for the industry’s future.
We are blessed to have some great companies here, including Jaguar Land Rover, Stellantis, as we have heard, and BMW Mini. Then, of course, we have luxury and performance manufacturers such as Rolls-Royce, Bentley, McLaren, Aston Martin—just down the road from me—and all the other myriad specialist companies, including Lotus, Caterham, Morgan and so on. The sector is even wider if we include the likes of Norton, Triumph—about which we have heard—JCB and Caterpillar, as well the bus and coach manufacturers that have a presence here and in Northern Ireland, such as Wrightbus, which are doing some superb product development and addressing the need to get to net zero.
The sector is so valuable. It can contribute £67 billion in turnover and £14 billion in added value to the UK economy, and it typically invests £3 billion a year in research and development. However, the industry has been so reliant on fossil fuels that the transition to net zero is a critical point in its history. I will outline some of the issues, one of which is the political stability—or the lack of it—to revive and attract the business investment that we need. Of course, I welcome this morning’s announcement by Renault-Geely, but we are really behind the curve. I will also pick up on a few challenges such as the ZEV mandate and the new trading relationship with Europe, including, of course, the rules of origin issue, which is so critical. I will then touch on energy and the other import costs that are a real drag on investment in the UK, as well as the need for an EV and hydrogen infrastructure mandate if we are to get the sector going.
The transition needs a clear industrial strategy; it needs to become a political priority. Sadly, the words “industrial strategy” have not really been part of the Government’s vernacular over the past few years, as we have heard. Make UK said that, under this Government, we have had a decade of “flip-flopping” on industrial strategy. Do they back business or not? Boris Johnson clearly did not, going by his immortal words. Of course, we had the kamikaze Budget of last autumn. That is all damaging to the way in which the global industry perceives the UK. This is not talking down the UK; it is the reality of the messages coming out of this place. Businesses want security and stability before they invest for, say, 30 or 40 years. Think about the Toyota plant at Burnaston, which has just celebrated its 30th year—that is a fantastic achievement. Nissan, of course, is that bit older, but those are really prized assets that we have.
Turning to net zero and the Government’s ambitions with electric vehicles, we need to press on that issue and ramp up battery manufacture. As we have heard, we are way behind compared with other countries, but we also need to support wider adoption of vehicles. The plans we have—offering interest-free loans and potentially trialling a national scrappage scheme—are important. However, as I said, the charging point network for EV is way behind schedule. My hon. Friend the Member for Worsley and Eccles South (Barbara Keeley) made the point that more EV charging points are being installed in Westminster than in the north of the country. That is quite a sobering statistic, and where we do have those few chargers, they are all too often poorly maintained. There needs to be a mandate to ensure that that infrastructure is delivered, not just for EV but for hydrogen hubs. We have made something like a tenth of the investment in hydrogen hubs that Germany has, which of course will be aimed at future heavy goods vehicles and other mass transport systems. Until recently, we had 12 hubs; that number has now fallen to six, I think, so we are going backwards when it comes to hydrogen hubs.
We have talked about battery production, and heard the passionate speech from my hon. Friend the Member for Wansbeck (Ian Lavery). As someone who went to his constituency 40 years ago, I know how important that gigafactory would be for his constituents, and I would love to see that happen. The technologies are moving on rapidly: we can look at the work being done by Warwick Manufacturing Group, which is leading the development of battery technology, or by UKBIC, which is the industrialisation centre just outside Coventry. The UK absolutely could be at the forefront of that work, but we need the investments to make it happen, and as demonstrated by Britishvolt, that has just not been happening. There are some questions about what is happening with Recharge Industries as well.
I touched on hydrogen; Members have also made points about sustainable fuels, and there is something to be said about what could be done in that sector. The motorsport industry is doing a huge amount of work exploring those technologies, and again, we are very much at the forefront of what can be done in that space—how existing internal combustion engines could be used with that kind of fuel to bring them close to net zero. That innovation is so important, whether it be through motorsport or our higher education institutions. We heard about HORIBA MIRA from the hon. Member for Bosworth (Dr Evans) and we have motorsport valley down the M40, but the Advanced Propulsion Centre at Warwick is also doing some fascinating work, supporting new companies with emerging technologies to make them commercially viable.
As the Government will know, there are some real concerns about the ZEV mandate, certainly about the tradeable element and what it will mean if manufacturers miss their targets, as well as what those targets will be after 2030. Then, of course, we have the rules of origin, which—as we have heard from colleagues, particularly “the Stellantis three”—are a real and critical hit to the sector. I am not sure whether I am a Stellantis fourth in disguise.
Matt Western
Maybe in spirit, yes—that is exactly what it is. Those tariffs will be real tariffs, going both ways, but they will particularly impact on battery electric vehicles. That is why Labour would prioritise an agreement with the EU, because we have to deliver a modern border and customs framework that will facilitate smooth and cost-effective trade.
I will make a couple of other points. We need the skills to make this all happen, both in the network of our dealers and in our factories and our manufacturing sector, but we also need clean energy. We have such a cost disadvantage in this country compared with France and a lot of Europe, but particularly when compared with Spain, where energy costs something like a tenth of what it does here. That is why Labour will launch an urgent mission for a fossil fuel-free electricity system by 2030, because we have to reduce the cost to businesses and to EV drivers as well. When we see the work that President Biden is doing through the IRA, we realise just how much can be done with a vision, and that is what I think is frustrating so many want-to-be investors in this country.
In closing, I come back to the speech of my hon. Friend the Member for Stalybridge and Hyde (Jonathan Reynolds), which I thought was a clinical dissection of the challenges facing the sector. This is a really important sector—from e-mobility to motorbikes and diggers—for the value it provides not just in the abstract to UK plc, but as I cited in my opening remarks, to communities and constituencies up and down the country. When I speak to businesses in the sector, which is virtually every week and certainly every fortnight, they impress upon me the desperate need for some clarity because they want to make long-term decisions. These are companies such as JLR, Stellantis, Toyota, Nissan, BMW, Mini and others, and decisions have been made by boards elsewhere around the world. That is why, with colleagues, I will always talk up this industry. It is an industry that I think is so important to our future, and an industry at the point of transition. However, we will be honest about the challenges. We must champion the prospects and what this country can provide to them, because we want the investment, and the industry wants us to provide regulatory, political and economic stability.
Bishops in the House of Lords
Rachel Hopkins Excerpts(1 year, 5 months ago)
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Tommy Sheppard
Absolutely. The hon. Member again pre-empts what I will say. I shall come on to that, because I want to be clear that I am not suggesting that people of faith, or faith leaders, should not play a major role in our public life and public discourse and be representatives in Parliament. What we are concerned about here is the automatic right of one Church—one institution—to a privileged position and guaranteed representation at the heart of power.
Rachel Hopkins (Luton South) (Lab)
I thank the hon. Member for securing this debate, and for his really good speech. The UK is an increasingly diverse place when it comes to religion and belief. I speak as a humanist —I declare that as an interest. That is my belief, but I champion the rights of all religions and beliefs. On the point about one particular branch of one particular belief being represented, does he agree that that is not really where we should be in a pluralistic society?
Tommy Sheppard
I do; again, the hon. Lady pre-empts what I will say. I am coming on to exactly that point. However, I wanted to say, just in case anyone thinks otherwise, that we are not talking about a ceremonial arrangement; there is nothing cosmetic or decorative about the situation of the bishops in the House of Lords. We are talking about real, effective, political power. The bishops vote on matters in the legislature, and there are plenty of occasions when their votes have been decisive. It does not really matter—in answer to the hon. Member for Newcastle-under-Lyme (Aaron Bell)—whether I agree or disagree with the position that a bishop takes in any vote; the question is whether they should have an automatic right to that vote.
Generally, of course, the bishops’ influence is what one might call socially conservative, particularly when it comes to controversial and passionate arguments about equalities, same-sex marriage, assisted dying and many other issues that have a moral dimension. That element of the legislature tends to create an in-built conservative majority, which places the legislature and Parliament at odds with the attitudes of the general public.
Also, of course, in the House of Lords, the bishops are effectively a group. They have their own chair, and they are treated as a political party, in terms of the information and consultation that they get on the framing of legislation. Some people probably do not know that they even have priority and privilege over other Members of the House of Lords. By convention and protocol, when a bishop stands up to speak, whoever is speaking must shut up, sit down and give way, whereas in the House of Commons, a speaker has discretion to decide whether to take an intervention. That is not the protocol in the House of Lords.
Oral Answers to Questions
Rachel Hopkins Excerpts(1 year, 6 months ago)
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Rachel Hopkins (Luton South) (Lab)
As it is Armed Forces Week, may I first take the opportunity to thank our armed forces, veterans, reservists and family members for their service to our country and today, on Windrush 75, particularly those from Commonwealth countries who serve?
We have heard that the latest Government data shows that the number of veterans claiming universal credit has increased every month in the last year, representing a 50% rise in the last 12 months. I heard what the Minister said, but our heroes should not be relying on benefits and charitable support to get by. Amid the current cost of living crisis, can the Minister elaborate a bit more to the House how his Department has been helping veterans to find well-paid employment?
Johnny Mercer
I would be delighted to. What we are creating are clear, defined pathways into different sectors across the UK economy—sector initiatives, whether in renewables, finance or construction. We are designing clear pathways that deliver an equity of access across the United Kingdom, so it is not just who you know or relying on charities; everyone can access them. Having a job remains the No. 1 factor in improving life chances for veterans across the country. We are delighted to see employment at 87%, but we always want to do more and will continue to drive away at that.
Rachel Hopkins
I heard what the Minister said, but is what the Government are doing on employment support sufficient when we have heard that the number of armed forces champions in jobcentres has halved? That is less capacity across the country. In contrast, the Labour party is ready to deliver across Government the support our veterans deserve with our plan to fully incorporate the armed forces covenant into law. Will the Minister do the same: yes or no?
Johnny Mercer
I am so sorry. I desperately want to be challenged in this space, but that is incredibly feeble. I would never try and do maths with anybody in this place, but if we have part-time armed forces covenant champions in jobcentres replaced with full-time champions in the regions, we will have more coverage, which is what we have delivered across the country. On incorporating the armed forces covenant into law, I was the first Minister to do that, in my role as the Minister for Defence People and Veterans. Look, we can always do more, but we need to make sure we are not doing down where we are with veterans. How it feels to be a veteran has changed fundamentally. I look forward to proposals from the Labour party going into the election that are realistic, deliverable and will improve what it means to be a veteran.