Roger Mullin
Main Page: Roger Mullin (Scottish National Party - Kirkcaldy and Cowdenbeath)
Anna Soubry
As I said, I will not name any individual. Investigations are being conducted—quite properly—so before we rush to judgment in this place or anywhere else, let us wait for those full investigations to conclude. Then we can see if we need to take matters forward.
Roger Mullin (Kirkcaldy and Cowdenbeath) (SNP)
I thank the Minister for early sight of the statement, and I particularly welcome her robust comments about pursuing any wrongdoers—that is entirely the right thing to do. If ever there was an unacceptable face of capitalism, it comes in the form of Sir Philip Green and his like.
The BHS store in Kirkcaldy, in my constituency, is one of 16 stores affected in Scotland, many of them in middle-sized towns such as Kirkcaldy, Livingston and Falkirk where the loss of employment will create considerable problems. These employees have contributed to their pensions at BHS over a lifetime and now find that, because of Green’s failure as a businessman and his naked greed, which may have been legal, they face redundancy and great anxiety about their pensions, even if they are guaranteed the 90% of accrued pensions, subject to a cap.
Furthermore, to have sold off BHS for personal convenience for £1 to Retail Acquisitions—led as we have heard by Dominic Chappell, who has been declared bankrupt three times as of the end of last week—is, to say the least, scandalous, even more so as we now know that Green rejected the opinion of Goldman Sachs, his own advisers. This raises profound questions about the due diligence process, which the Minister may wish to reflect on. Many will be thinking that Green is little better than a corporate crook. He cannot be allowed to sail off in his third yacht, a £100 million luxury “gin palace”, as one newspaper put it. The SNP stands with the communities, families and individuals affected by this dreadful situation. We believe there is a fundamental need to readdress the regulation of the pensions industry to ensure the protection of workers.
I end with three brief questions. First, in Scotland the Partnership Action for Continuing Employment initiative will respond to assist all those made redundant. What are the UK Government’s plans to mirror the breadth of action undertaken by PACE? Secondly, what action do the UK Government contemplate to address the ease with which unscrupulous chancers such as Green can denude businesses of their financial assets? Finally, does the Minister understand why many employees will feel that the Pensions Regulator should seek the entire £571 million actuarial deficit from Green himself?
Anna Soubry
May I thank the hon. Gentleman and say that it is a long time since I had the great pleasure of going to Kirkcaldy? It is a few years now, but I know it is a great town. As on many high streets, wherever they might be in the United Kingdom, the role of BHS has been critical. Unfortunately its fortunes have not been good for some considerable time. Perhaps that is the fault of us all for not paying a visit and buying in its shops—I suspect I am guilty of that from the time I used to go up to Kirkcaldy as a regular visitor.
The hon. Gentleman makes a good point about greed. It does not matter who it is, it is certainly not acceptable, whatever one’s faith may be—I am helpfully reminded by the Deputy Leader of the House that it is apparently a deadly sin. The hon. Gentleman makes a number of points. As I say, there are a number of investigations. We have to await the outcome and if we need to take further action, we will not flinch from doing that.