Department for Business, Innovation and Skills (Performance)

Simon Kirby Excerpts

Wednesday 2nd February 2011 Commons Chamber

[Simon Kirby (Brighton, Kemptown) (Con)]

The right hon. Member for Southampton, Itchen (Mr Denham) is absolutely right when he says that the Government must take decisive action—decisive action to address the staggering deficit and huge public debt inherited from the Labour party; decisive action as a direct result of the previous Government spending more than they raised in taxation; and decisive action because the Labour party burdened generations to come with the liabilities incurred for the current generation. That decisive action will help to put in place the right macro-economic conditions for recovery.

[Mel Stride]

Does my hon. Friend agree that only the prompt action that the Government took in the emergency Budget shortly after the election ensured that we stabilised the markets, which in turn kept interest rates low, which in turn kept sterling low and encouraged manufacturing exports?

[Simon Kirby]

My hon. Friend is, as usual, correct. We inherited a very big mess indeed.

Coalition Ministers are driving forward a programme with one purpose—creating jobs. There is talk about what is happening. A raft of measures have been introduced, and those are designed to support economic recovery, boost business and help the private sector to create jobs. Corporation tax is falling for both small and large firms. The previous Government’s planned increase in employer national insurance contributions has been stopped. National insurance contribution discounts are being offered to encourage new start-ups to take on employees. Small-business rate relief has been doubled for a year, and the Government are getting to grips with the red tape that strangles so many of our small firms.

Let me be clear on this point—

[Ian Murray (Edinburgh South) (Lab)]

Will the hon. Gentleman give way?

[Simon Kirby]

I will not.

Business needs to be liberated, not submerged in legislation, not taxed out of existence, not immobilised by red tape. We must release the shackles and set business free.

Brand UK is strong, and it is important that we talk Britain up, not down. We must dispel any perception that the UK is a burdensome place to do business. We need to be aware of the huge competition from Asia. The Prime Minister, the Foreign Office, the Treasury and BIS have all given the highest priority to the business and skills agenda.

The coalition Government are ensuring that entrepreneurs and business owners are able to access the information and advice that they need. The Business Department is undertaking a number of reforms to Government-funded business support. The Work programme will provide personalised support for those with the greatest barriers to employment. The new enterprise allowance will help people to make the jump from unemployment to self-employment. Investment will ensure that workers have the skills that they need in a modern labour market. Young unemployed people will get much more help to access extended work experience opportunities.

[Mr Gyimah]

Does my hon. Friend agree that our skills strategy goes further than the previous Government’s in enabling people who want to reskill to gain funding to do part-time courses, and therefore get back into the workplace and get jobs?

[Simon Kirby]

I agree. Our policy is totally in keeping with the 21st century we all live in.

Let me tell the House something about my constituency of Brighton, Kemptown—somewhere that the Centre for Cities has once again singled out as performing strongly post-recession:

“Cities with strong private sector economies and limited public spending cuts, such as Brighton, will be well placed to drive the UK’s economic recovery.”

Just this week, recruitment specialists are reporting a surge in vacancies in Brighton and Hove, with firms returning to pre-recession staff levels. Amex announced last week that it is looking to expand still further in Brighton by relocating many hundreds of well paid and permanent jobs from Madrid.

Developers are still looking to invest in Brighton and Hove, and Brighton and Hove, with its Conservative-run council and its three new non-Labour MPs, is a place to do business. No wonder the right hon. Member for Doncaster North (Edward Miliband), the Leader of the Opposition, came down recently to see how it is done. Contrast that with the previous Government—the Labour party, which told us, “There is no money left.” We see in the new Government decisive action, both locally and nationally.

[Karl Turner (Kingston upon Hull East) (Lab)]

When Labour left office, growth was picking up, unemployment was falling, inflation was low and the deficit came in more than £20 billion lower than forecast. Under this Government, inflation is rising, growth has stalled and unemployment is rising. They really are facts, so will the hon. Gentleman accept them?

[Simon Kirby]

No, I will not accept those facts. I am often struck, looking at those on the Opposition Benches, by how few people have been in business, how few have employed people and how few have filled in a VAT return. I have employed more people than could fit in this Chamber, and I speak from some experience.

[Mel Stride]

On the point made by the hon. Member for Kingston upon Hull East (Karl Turner), does my hon. Friend agree that it is typical of the previous Government that they left office with unemployment higher than when they came to office—the case with every single Labour Government in history?

[Simon Kirby]

I agree with my hon. Friend. One of the sad things about unemployment is the youth unemployment element, which is particularly prevalent in my constituency. It is, frankly, a disgrace.

[Jim Shannon (Strangford) (DUP)]

Will the hon. Gentleman give way?

[Simon Kirby]

I will not, because I do not have much time left.

There is much more to do, and the times we live in are very difficult, but, taken together, the Government’s measures will create the right conditions for business to thrive, compete and create sustainable economic growth and employment. The coalition Government are doing a good job, getting us out of the mess left by the previous Labour Government—decisive action by a decisive Government. I, for one, applaud the progress made by the Government and wholeheartedly disagree with this very mean and inconsiderate motion.