Public Health

Debate between Tim Farron and Lord Mackinlay of Richborough

Monday 15th June 2020 Commons Chamber

[Tim Farron]

I am grateful for that relevant intervention. The point is that we need to do what is safe and compensate those people who are unable to go about their normal business if it is not safe. I am not one of those people who says, “We just follow the science.” A judgment still needs to be made on the basis of the science, but we need to have the guidance up front and early. As the hon. Member for Strangford (Jim Shannon) said, Northern Ireland is opening up on 3 July and perhaps England will open on 4 July, but we need the information on which to base those decisions.

In the Lake District national park—the most populated national park in the country—80% of the working-age population works in tourism and hospitality, an industry that has basically closed down for the past three months. It is not the case in every part of the country, but the tourism in the national parks and in the coastal zones of the UK is largely cyclical. Visitors rely on the feast of the summer to see them through the famine of the winter. Lockdown turned our summer to winter. Even if businesses are permitted to open in a limited capacity, the restrictions on customers will continue to prevent them from making up all that lost income. If the tourism economy is able to fully reopen only in the autumn, we condemn people to three winters in a row: three winters of making a loss; three winters of financial hardship. As the Government ease the lockdown restrictions, it is entirely sensible for the Chancellor to begin the slow unwinding of the furlough scheme for many businesses. After all, there is light at the end of the tunnel and hope for the future—but not for everyone. We must not fall into the trap of thinking that the ending of the lockdown will mean that business can begin to make profit again; being open for business is no guarantee of having business. A business cannot pay its staff even 10% if it is not making any income to pay them with, and that is going to be the case for a good number of businesses in the tourism and hospitality sector. If the Government insist on no exemptions to the phasing out of the furlough from August, many businesses in Cumbrian towns and villages will be forced to lay off huge swathes of their staff or to fold altogether.

As well as the huge increase in job losses on my patch, 37% of the working population are now on furlough—that is the fourth highest level in the country and the highest by far in the north of England. If we do not recognise that the tourism and hospitality industry is in a unique and precarious position, we will simply end up killing hundreds of otherwise healthy businesses in the autumn, in which case, what would have been the point of the Government’s expenditure so far? The furlough scheme would just become a waiting room for unemployment, and I will not settle for that.

[Craig Mackinlay (South Thanet) (Con)]

The hon. Gentleman is making a powerful point about tourism. It is worth £3 billion to Cumbria, and £320 million lands in Thanet—North Thanet and South Thanet as a whole—because of it. Would he now consider it appropriate that people should be able to sleep on their boats, and use their caravans and campervans, because these family units could be spending money on things locally, although not in the pubs and restaurants, obviously? Would he consider that to be sensible at this time?

[Tim Farron]

The hon. Gentleman makes a good point, which is that we should be considering intelligent ways of unlocking. The industry could reopen in phases, and I have been encouraging people involved in the hospitality industry in the lakes and the dales to get the breakdown of what is possible for their business and their industry to the Government early, so that it informs the Government’s decision making. Many of the things he suggests should be considered, and I am sure they are being. As I will discuss in a moment, we could have done with the guidance on what is permissible significantly sooner—that is, we do not have it at all, even with only 19 days to go.

It is not right for us to simply accept that for many people in hospitality and tourism the furlough scheme may just end up being that waiting room for unemployment, if no support is provided to take them beyond the autumn, because of the cyclical and seasonal nature of our hospitality and tourism industry. I will not settle for that. I am sure I speak for dozens of colleagues from right around the country, from all parties, who recognise this problem in their own communities. I urge us all to work together to make sure the Government see the need for a special package for the hospitality and tourism industry, in Cumbria and across the whole country.

In Cumbria, we pride ourselves on our warm welcome to visitors and the strength of our communities. Not only will the impact of this on hospitality and tourism be catastrophic for those directly involved, but untold damage and hardship will be caused to other industries and businesses that are tied into and utterly inseparable from the tourism economy. I am talking not only about the restaurants, pubs and attractions, but about the retail industry, entire supply chains, the maintenance industry, and those involved in furnishings and fittings. We provide a first-class welcome for our visitors and we are proud of it. From the awesome pubs and vibrant retail industry to the fantastic hotels and cosy homestays, our communities are a credit to the awesome part of the world we get to call home, but our visitors experience only the tip of the iceberg. Below the surface an enormous amount of work goes on to maintain and supply the visit that people enjoy; these are the businesses caught in the tension of being both desperate to get back to work and concerned to keep themselves, their families and their customers safe. Keeping restrictions in place is absolutely right to protect lives and prevent a second spike, which would be even more damaging to our economy, but we also have a responsibility to protect Cumbria’s families from hardship and destitution.

There is still no sign of the Government guidance, which it was promised would arrive last Friday, on the reopening of some of the tourism and hospitality industry. There is still no clarity on which parts of the hospitality industry will be able to open from 4 July in England or what the timetable for any gradual reopening might be. We are now just 19 days away from 4 July, and the tourism industry is still completely in the dark. Businesses not only need the guidance to ensure that they are meeting all the Government criteria; they also want to know how they can market with confidence to attract customers safely ahead of time. The lack of clarity from Government on which parts of the industry will be able to open from 4 July continues to hamper business planning, prevent bookings and stifle potential income opportunities.

There are three simple things that the Government could do to ensure the survival of the tourism industry through to the spring of 2021. The first is to publish the guidance today. Thousands of people are living in considerable anxiety day to day, having been robbed of even the small amount of certainty that a road map would provide. If the restrictions are to be eased in a way that will maintain health protection, businesses need the maximum time available to prepare and put appropriate measures in place.

Secondly, the Government must be flexible in their phasing out of the furlough scheme for tourism and hospitality and recognise that if they phase out the scheme for businesses with no income at this stage, they will needlessly kill off many of our local businesses that would otherwise be able to thrive and prosper in the future.

Thirdly and finally, the Government must introduce a bespoke support package for the tourism and hospitality sector, to see it through to the spring of 2021. Our lakes economy exists on feast and famine. The lockdown came at the end of the winter famine, and then the feast was cancelled. If they dump us out in the cold on our own as we approach the next winter famine, they will kill an industry and plunge thousands of my constituents into hardship. I am not having that—not when a support package through to next spring could see us come out fighting, ready to bounce back as the high season begins.

We take seriously our responsibility to care for the lakes, the dales and the whole of Cumbria’s spectacular landscape. We cannot wait to welcome visitors back to enjoy the fells, the food and the finest places on the earth, from Dent to Coniston, Grasmere to Kirkby Lonsdale and Windermere to Kendal, but without financial support there could be barely any tourism and hospitality sector there to welcome them. Will the Minister and her colleagues show that they are serious about protecting lives and livelihoods by announcing those measures to protect the tourism industry today?