Oral Answers to Questions

Sara Britcliffe Excerpts

Tuesday 29th March 2022 Commons Chamber

[Kwasi Kwarteng]

As the hon. Gentleman knows, my right hon. Friend the Chancellor of the Exchequer announced an extensive package of support only a few weeks ago worth £9.1 billion—that included a £150 council tax rebate for bands A to D and £144 million in discretionary funding for local authorities—which affects everybody in this country. I am also very happy to engage with him on the specific issue of oil prices.

[Sara Britcliffe (Hyndburn) (Con)]

I have been contacted by many pensioners across Hyndburn and Haslingden who are concerned about the cost of their energy bills. Will the Secretary of State set out what measures are in place to support my residents, and will he continue to work with other Departments to keep those measures under review?

[Kwasi Kwarteng]

As I said, the Chancellor announced a £9.1 billion package of support only a few weeks ago. That included the £150 council tax rebate for bands A to D and £144 million in discretionary funding added for local authorities—spending to help the most vulnerable. We announced a £500 million extension of the household support fund last week, but I would be happy to engage with my hon. Friend on what more we can do in the next few months to assuage the burden.

Commercial Rent (Coronavirus) Bill (First sitting)

Sara Britcliffe Excerpts

Committee stage
Tuesday 7th December 2021 Public Bill Committees

[Ruth Cadbury]

Q Is there anything else to add about the arbitration processes in the Bill?

Dominic Curran: No, I think it is a reasonable set of stages. There is a helpful flowchart in the revised code. The only point I would make is that we have a situation where the arrears, at least in retail, are historical in that they go up only to April 12 or the end of March, given rent payment dates. We want the legislation to be passed as quickly as possible, the arbitrators to be announced as quickly as possible and the process to start sooner rather than later, because it is the uncertainty that is particularly damaging for any business.

Kate Nicholls: I agree with Dominic that the key thing is that we need to have confidence from both parties to be able to and want to use the process to resolve these outstanding matters as rapidly as possible. I am therefore more attracted to using a multiple variety of arbitration bodies, rather than just one, because we need to make sure that there is no delay in appointing arbitrators and their being able to take on the work. I also agree with Dominic that it is hugely important that they have broad-based financial and business understanding and sector-specific—in our case—understanding of the businesses.

This is not necessarily a legal issue or a dispute resolution issue. This is a financial issue that centres on viability and affordability, and therefore an understanding of the nature of the business, the way it operates, the cost of business and the costs coming down the line, as Dominic alluded to, is critical to an understanding of affordability and ability to pay. Those are the key elements that we want to see. Confidentiality, given that you are effectively opening books and sharing financial information, is really important because tenants clearly need confidence that that will be protected. However, I do not see any problems with the Bill as it is currently drafted.

[Sara Britcliffe (Hyndburn) (Con)]

Q Ms Nicholls, you touched on templates earlier. What more can we do to make sure that commercial tenants are aware of the arbitration process available to them?

Kate Nicholls: As soon as we have got the legislation through, we need the communication out there as rapidly as possible that this is coming, so that the scope of the Bill, as it goes through the House, is clearly understood. We are doing a wide range of outreach through the trade press and through our own communication channels to cascade that information out, not only through the trade association but more broadly. We are working closely with BEIS and MHCLG to make sure that that communication goes out there.

I think it is then about making sure that we have a communications plan post the Bill being enacted to ensure that there is confidence in the arbitration process and the arbitrators, and that we encourage people to use it. It will then be down to the industry to make this work. We will work flat out to do that, and to facilitate the tools that people need to enter into confidential negotiations, using the code of practice, and then arbitration if they absolutely need to as a last resort. Arbitration should be a matter of last resort in this case. Success for the Bill and the trade associations helping commercial tenants through this will be if a small number of cases actually need to go to arbitration to be resolved.

[Sara Britcliffe]

Q If further restrictions were to come in, what effect would that have on businesses?

Kate Nicholls: Clearly, it affects our ability to pay and it affects viability. It is quite clear, and Ministers have been quite clear about this over the course of the last week, that we now know and understand in full the economic effects of any restrictions on businesses, such as in hospitality, which have been asked to bear a disproportionate burden over the course of the whole pandemic. It is quite clear that businesses would not survive without further additional support if additional restrictions were imposed. That would be one measure that would be necessary. Your ability to pay your rent on time a quarter in advance is significantly impaired if your ability to trade is restricted. Trading remains quite soft, and consumer confidence remains fragile, so restrictions would have an immediate and significant effect on ability to pay, viability and affordability—all the tests we are talking about. As a minimum, you would need to extend some of these protections going forward.

[Sara Britcliffe]

Dominic, do you want to add something?

Dominic Curran: Kate said exactly what I would have said; if you just replace “hospitality” with “retail”, you are more or less there. The only thing I would add to Kate’s comments is that, just as at the peak of the pandemic, with the business rates holiday and restart and reopening grants, when retail and hospitality were able to reopen, you would need to see a package of measures to support businesses in the event of any further restrictions.

[Peter Dowd (Bootle) (Lab)]

Q An early-day motion tabled on 27 April 2020 expressed concern—I will not go into the details—about some large pub companies charging rents. You can have a look at it after the meeting. Partly in relation to that, I just want to get a feel of the differences you may have seen between small and large tenant and landlord businesses and how they have handled rent arrears. Have you seen any differences at all?

Kate Nicholls: If you look at the pub-owning businesses and the tied pub companies, there has been a far greater degree of forgiveness of rent among those businesses. It might not be 100% for all of them, but significant rent concessions have been granted throughout the periods of closure, and immediately granted. There has also been a greater willingness to defer rent, allowing rent debt to be accrued and rescheduled over a longer period of time.

If you look at the commercial sector, there has been a variety of different approaches, and there is not anything that really reflects the size of landlord or of tenant businesses in terms of a willingness to negotiate and to reach agreement. Some very small landlord companies have been very willing to give rent holidays, concessions and deferments, and some large commercial companies have been very difficult and intransigent in coming to the table and negotiating, and are taking further enforcement action. It is less to do with the size; it is more the nature of the landlord that has caused the biggest challenges, and the ones that we have found taking enforcement action tend to have been the larger commercial landlords, who have taken a more robust line.

--- Later in debate ---

[Paul Scully]

Q In the last sitting, Melanie Leech expressed concern about having a system like this set up for small landlord and tenant issues, compared with some of the bigger and more complex ones. How do you think arbitration services could cater for both sides?

Lewis Johnston: I understand the intention is that it would be the simpler, perhaps smaller party cases going through to the scheme, and I think that is correct. Given that the emphasis is on simplicity, accessibility and managing the costs, any scheme that had to accommodate the intricate, large-scale cases would encounter some problems in terms of balancing the two. Again, I point to precedents with things like the business arbitration scheme. It is difficult at this point to assess exactly what the appropriate fee level would be, because you would have to properly assess exactly how much work will be involved in each case—obviously not until they had come through—but I think that in the simpler cases that could be set at a level that was affordable. As some of Melanie’s members had made clear, it needed to be at quite a modest level for it to be accessible to them.

In terms of how the arbitration bodies would manage a variation in the complexity of cases, even it was perhaps the smaller, more simpler end of the spectrum, there will still be variation. We would maintain—this would apply to other bodies as well—lists and databases of arbitrators who would be suitable. Based on the nature of the case that came through, there would be a shortlist drawn up based on who had the requisite skill sets to handle that case. The pool that we would draw from should be broad enough to be able to cater to different types of cases and different sectors and so on.

[Sara Britcliffe]

Q In the simple case that you talked about, from your perspective what is the likely cost of that, including the legal fees of the tenants and landlords?

Lewis Johnston: I would not want to commit to exactly what it would involve until we got to that stage, but I refer again to the precedent set by our own business arbitration service, which is designed to produce an award within 90 days. It is meant to be documents only, and that is £1,250 plus VAT per party. If it was a very straightforward case—if it was documents only and it followed the same processes—I imagine it could be in the same ballpark in terms of fee level. The best thing would be to have real clarity around what the fees were and how they apply to each case, and for there to be perhaps an assumption against having a hearing, and, if there was a hearing to be requested, very clear guidance on what fee that would entail. Perhaps for a half-day hearing, a certain level. For the business arbitration scheme, there is an option for that. It is £500 for a half-day hearing. Again, the assumption is that the cost could be fixed at those initial costs per party, and that a hearing would not be necessary. It would be documents only.

[Sara Britcliffe]

Q Can I clarify that, in answer to a previous question, you stated that you would want documents only?

Lewis Johnston: I think so. I think that would be the assumption. I think it is right that there is an option to go for a hearing if it is requested, but I think that the default assumption should be that it is documents only. That is most in keeping with the intention and aim of the Bill, which is to have very clear, rapid-fire means of redress.

[The Chair]

Q Given that there are no further questions and we are not pressed for time, Lewis, do you have any other observations that have not been drawn out in the questions that you have received so far?

Lewis Johnston: No, that has covered most of it. The Chartered Institute of Arbitrators will be making a written submission to the Committee later this week as well, so that might clarify or refine some of the points that I have raised. We are very pleased to have been invited to give evidence here today, and we will be pleased to engage with the Committee as you continue with the work of refining exactly what the scheme and the process will be.

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

Sara Britcliffe Excerpts

Friday 22nd October 2021 Commons Chamber

[Sara Britcliffe (Hyndburn) (Con)]

In fact, my hon. Friend the Member for Newbury was suggesting that we did not need legislation for this. That is why she said that she was opposing the Bill.

[Gavin Newlands]

I fundamentally disagree—[Interruption.] It would be useful if the hon. Lady would allow me to finish my response to her intervention.

In fairness, most of the speech made by the hon. Member for Newbury was not setting out that view; that is certainly not how it came across at the time. I appreciate that that is the conclusion that the hon. Member for Newbury reached, but she could have worked with the hon. Member for Brent North and others across the House to help with legislation that would appease all of us, and the workers of this country.

Ministers, however, have done what they have done every time fire and rehire has been raised with them: they have clucked sympathetically, wrung their hands at how horribly ungentlemanly these companies are being, and said how much they sympathise with the workers who are being blackmailed, and have then proceeded to do absolutely nothing to address this in legislation. Every Minister from the Prime Minister down seems to have forgotten that it is the Government who speak from the Dispatch Box, and that they have the power to act to protect workers rather than murmuring sympathy for the benefit of Hansard and no one else.

The Government should understand that this issue is not going to go away. It will certainly not go away as a result of guidelines. My Bills failed to make progress; the hon. Member for Brent North is having another crack. Until and unless the law is changed to protect workers, this issue will come back to haunt the Government time and again.

Budget Resolutions and Economic Situation

Sara Britcliffe Excerpts

Tuesday 9th March 2021 Commons Chamber

[Sara Britcliffe (Hyndburn) (Con)]

I draw the House’s attention to my entry in the Register of Members’ Financial Interests.

In the most difficult economic circumstances we have faced for generations, the Chancellor has struck a careful balance between the difficult and necessary measures to recover our public finances from covid-19 and the need to protect the most vulnerable and the lowest-paid in society. From the support for businesses, the freezing of alcohol duty, the super deduction—my brilliant business of Emerson and Renwick told me this week that it was welcome news—to the continuation of the universal credit uplift, this Budget truly is a road map to recovery. This comes just after Hyndburn received £2.3 million from the Government from the public sector de- carbonisation scheme, which I called for very early on in my term, when we looked at our economic recovery and a green one to give Hyndburn and Haslingden the incentive to be at the heart of it—secured.

There is one aspect of the Budget I would particularly like to place a focus on today, and that is the levelling up fund. As many hon. and right hon. Members may know, my area has historically struggled to attract investment and has not been given the opportunities it has deserved. I was elected to change that. That is why the levelling up fund is so transformative for my area. I have spent a long time campaigning for the regeneration of my local high streets and for significant investment to be made in our town centres. The Prime Minister has supported my campaign and on a recent visit he reaffirmed that. The Budget begins to truly deliver on this not in the form of some temporary handout, as we have seen from previous Labour Governments, who have failed to invest in my area, but as an important part of building prosperity in our region.

With the whole of Hyndburn and Haslingden in the highest category for accessing the levelling up fund, we are now near the front of the queue for accessing this money. That means our chance to transform our area has now come. We need to work together to develop the bid and to ensure that the £125,000 is used most effectively. On top of this, Rossendale has been given extra funding from the community renewal fund. When I speak to residents in Haslingden, the same message is repeated, which is that they have been forgotten about and left behind. I want to change that and I urge Rossendale council to make sure that this is not the case any more.

I was sent to Westminster in December 2019 to make sure that our local voices were heard in Government. By lobbying the Chancellor and the Prime Minister, I have done all that I can to get our area into the priority group for investment and to get money to support it in putting forward a bid to the Government, which is what has been secured. Now it is time for our local councils to make sure that they truly take up this opportunity and develop a successful bid, so that we can make sure that our once forgotten towns truly are forgotten no more. I can certainly assure my residents that, while I am here, that certainly will not be done by me.

UK Internal Market: White Paper

Sara Britcliffe Excerpts

Thursday 16th July 2020 Commons Chamber

[Alok Sharma]

The UK internal market is about preserving jobs across the United Kingdom. It is about making sure that investment can come in, confident in the knowledge that we have a level playing field—an internal market in which businesses can sell services and products across the United Kingdom.

The right hon. Gentleman talks about the powers that will be coming back at the end of this year—at the end of the transition period. It will be the biggest transfer of powers in the history of devolution. I do, though, agree with him that it is not going to be 70 powers coming back to Scotland; I think it is closer to 111. His colleagues in the Scottish Parliament will have an opportunity to set rules and regulations. The problem, of course, is that SNP Members are not interested in that—they are not interested in taking control; they are interested in being ruled by the European Union. The right hon. Gentleman should spend more time talking to businesses and to people whose jobs would be at risk if we did not have this seamless internal market in the United Kingdom.

Finally, the right hon. Gentleman talks about standards. I have already explained to the right hon. Member for Doncaster North (Edward Miliband) that we have some of the highest standards in the world, and we are not going to compromise on that. The right hon. Member for Ross, Skye and Lochaber (Ian Blackford) talks about wanting to have a dialogue. I respectfully remind him that it was the Scottish Government who walked away from the discussion that we were having on the UK internal market last year, so, in the spirit of co-operation, I hold out my hand to him and say, “Let us talk. Let us continue the discussion. Come back to us on the consultation and continue to work with us on the common frameworks programme.”

[Sara Britcliffe (Hyndburn) (Con)]

Will my right hon. Friend assure me that Scotland, England, Wales and Northern Ireland will also see more powers coming back to them as a result of these proposals when the transition period ends?

[Alok Sharma]

Yes, indeed. My hon. Friend is absolutely right: powers will flow back to all the devolved Administrations—around 70 to Wales and around 150 to Northern Ireland.

Rolls-Royce (Redundancies)

Sara Britcliffe Excerpts

Wednesday 10th June 2020 Commons Chamber

[Sara Britcliffe (Hyndburn) (Con)]

Over 200 job losses are proposed at Rolls-Royce in Barnoldswick. Rolls-Royce is a jewel in the crown of manufacturing in east Lancashire, and it is important to everyone, not least my hon. Friend the Member for Pendle (Andrew Stephenson), who has worked extremely hard on this. Does the Minister agree that supporting the small modular reactors programme would help protect jobs at Rolls-Royce?

[Nadhim Zahawi]

I thank my hon. Friend for her question. I was going to come to small modular reactors later on. Supporting that programme will mean that Rolls-Royce will have another product line which could become a world beater in a market that we estimate to be worth about £300 billion a year.

Corporate Insolvency and Governance Bill

Sara Britcliffe Excerpts

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

[Alok Sharma]

There are, of course, other methods for shareholders to question directors of a company. There will be shareholders’ days, for example. The reality is that businesses will be reacting and doing their best to try to get information to their shareholders. I am sure that the hon. Lady’s point will be noted, but the intention of this Bill—and, I think, of the business community—is not in any way to use these measures to restrict shareholders’ access to information. This is actually about making sure that we can get past the pandemic and be in a position to bounce back.

The flexibility in terms of these meetings and filings will apply from 26 March—retrospectively, obviously—until 30 September. The measures also enable AGMs to be postponed until 30 September this year, where necessary.

[Sara Britcliffe (Hyndburn) (Con)]

I am encouraged that the measures for AGMs and other meetings are temporary. Does my right hon. Friend share my belief that in-person AGMs provide the best opportunities for shareholders to hold their directors to account?

[Alok Sharma]

My hon. Friend makes an important point. We would all like to get back to those face-to-face discussions, just as we are doing in the House today. These are temporary measures, and I hope that when we get through to the other side there will again be that opportunity for shareholders to meet and ask questions face to face, because that is right and appropriate.

Covid-19: Business

Sara Britcliffe Excerpts

Tuesday 12th May 2020 Commons Chamber

[Alok Sharma]

We have put in place the sort of measures that we have precisely because we want to support as many businesses as possible. We want people to be ready, and to be retained in the workplace so that when we get past this pandemic we can bounce back. In an earlier answer, I talked about a discretionary fund to support businesses that local authorities will administer. If the hon. Gentleman writes to me, I will be happy to provide further details.

[Sara Britcliffe (Hyndburn) (Con) [V]]

I know that my right hon. Friend will join me in thanking all businesses in Hyndburn and Haslingden for their work in responding swiftly and efficiently to the lockdown. Many of them have adapted their services to support those who need it. Can he assure me that the businesses and workers in Hyndburn and Haslingden will be both supported and utilised in the recovery process and that their safety will be paramount in the decisions made?

[Alok Sharma]

I thank my hon. Friend for everything she is doing to support businesses in her own constituency of Hyndburn and Haslingden. I have already set out a whole range of measures of support that the Government are providing, and I know that she will welcome what the Chancellor said at the Dispatch Box earlier about further support for the furlough scheme.