Oral Answers to Questions

Tom Blenkinsop Excerpts

Thursday 24th October 2013 Commons Chamber

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

The Minister needs to talk to her colleague, the Minister for Skills and Enterprise, the hon. Member for West Suffolk (Matthew Hancock), as well as her hon. Friend the Member for Redcar (Ian Swales). When I raised with the Minister for Skills and Enterprise the issue of the USO being reduced from six to five days, he said at the time that that would need primary legislation on the Floor of the House. He later wrote to inform me that it would need only a statutory instrument to be passed upstairs for that to change. Would the Minister like to correct the record on behalf of her colleague?

[Jo Swinson]

The Postal Services Act 2011, which the House voted for, puts in place a universal service obligation of six days a week. It is therefore something over which Parliament has control. I do not know whether the hon. Gentleman is suggesting that were there to be a Labour Government again, they would in some way threaten that universal service, but I assure the House that the Government are certain that the universal service obligation should stay as it is.

Oral Answers to Questions

Tom Blenkinsop Excerpts

Monday 9th September 2013 Commons Chamber

[Elizabeth Truss]

We are rightly ensuring that all students who do not achieve a C in English and maths at GCSE continue to study them at FE colleges and beyond, so that they get the results that they need for their future careers.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

7. What his policy is on academies; and if he will make a statement.

[The Secretary of State for Education (Michael Gove)]

I am in favour of academies.

[Tom Blenkinsop]

I welcome the Secretary of State’s comments. Academies have had freedom over the curriculum that they teach for some time. When is he going to extend that to all schools—and if he is not going to, why not?

[Michael Gove]

It is perfectly possible for any school to apply for academy status, but we need to make sure that the leadership team are capable of taking advantage of all the freedoms. I am grateful to the hon. Gentleman for endorsing academies; I wish that more of his colleagues, such as the hon. Member for Easington (Grahame M. Morris), who is no longer in his place, would do so.

I hope that the hon. Member for Middlesbrough South and East Cleveland (Tom Blenkinsop) will recognise, as I and academy sponsors do, that it is not only freedom over the curriculum that matters, but freedom over staffing and freedom to pay good teachers more. I hope that the hon. Gentleman will join me in condemning the strike by the NUT and the NASUWT, which his Front-Bench colleagues have so conspicuously failed to do.

Oral Answers to Questions

Tom Blenkinsop Excerpts

Thursday 18th July 2013 Commons Chamber

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

8. In how many of the past 24 months net lending by banks to British small businesses has (a) risen and (b) fallen.

[The Secretary of State for Business, Innovation and Skills (Vince Cable)]

The Bank of England now publishes monthly estimates for lending by UK banks to small and medium-sized companies. Those figures show for the 24 months up to May 2013 an increase in net lending in two months and a decrease in the others. The Government are working to increase the lending available to SMEs through the new business bank and, with the Bank of England, through the funding for lending scheme.

[Tom Blenkinsop]

Does the Secretary of State agree with the Minister of State, Department for Business, Innovation and Skills, the right hon. Member for Sevenoaks (Michael Fallon), that there is no evidence that the funding for lending scheme is helping small business?

[Vince Cable]

The funding for lending scheme primarily benefits mortgage lending, but changes were made in April to make it accessible to asset-based finance, for example. Several of the new challenger banks are now taking advantage of it, and it is beginning to make an impact on SME lending.

Child-care Ratios

Tom Blenkinsop Excerpts

Thursday 9th May 2013 Commons Chamber

[Elizabeth Truss]

Of course, there will be different requirements for different children, depending on their age and their level of development. Our policies are about increasing the level of professional judgment that child care workers are able to exercise to cater for the different ages and the different stages of development of the children they are looking after. I would point out to my hon. Friend that many parents in other countries where more flexibility is given to local providers are extremely happy with the quality of care they receive—in fact, they are happier than parents here.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

Obviously, whoever was babysitting the Deputy Prime Minister this morning did not do a very good job, as on LBC this morning, he apparently insisted that the Government’s child care policy will be reversed. Is the Minister sure that this policy will be implemented?

[Elizabeth Truss]

As I said, we have outlined our policy in “More great childcare”, and we are currently consulting on the level of qualifications required to put those ratios in place.

Asbestos in Schools

Tom Blenkinsop Excerpts

Tuesday 7th February 2012 Commons Chamber

[Ian Lavery]

The hon. Lady makes a number of very important points, which I hope to clarify in my speech.

The current system is difficult to remedy and, as such, Government policy is to manage the asbestos in schools and try to reduce the exposure incidence. So long as the asbestos is in good condition and is unlikely to be disturbed, it is thought that managing the asbestos in a prescribed manner is preferential to its removal.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

I congratulate my hon. Friend on securing this important debate. Laurence Jackson school in Guisborough in my constituency, built at the time of the Macmillan Government, has about six or seven boilers whose piping is lagged with asbestos. Due to the antiquated boiler system, constant work is needed, meaning that the pipes are constantly being interfered with, increasing the likelihood of asbestos contamination. The school has a plan, but its capital requirement for dealing with the ongoing situation is only about £25,000. The likelihood of asbestos contamination increases every time the system is tampered with. Would he not say that even schools that have a plan can get into tricky situations like that?

[Ian Lavery]

My hon. Friend makes an important point. That is one reason we can no longer agree to leave asbestos in schools virtually until they are knocked down. We need a strategy in place for the immediate phased removal of asbestos. Yes, it will take time, but we need a strategy.

Oral Answers to Questions

Tom Blenkinsop Excerpts

Monday 16th January 2012 Commons Chamber

[Mr Gibb]

I have just explained that section 77 of the Act is still in force and there is no intention to change that legislation. In fact, in 2011 just eight applications for the sale of school playing fields were allowed.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

3. What recent assessment he has made of the provision of youth services.

[The Parliamentary Under-Secretary of State for Education (Tim Loughton)]

Local authorities have made significant reductions in funding for out-of-school services for young people this year. However, many authorities are prioritising early intervention to help disadvantaged young people, and are working closely with the voluntary sector to maintain open access youth services. In December, the Government published the Positive for Youth strategy, which sets direction and gives examples of how councils can reform youth services, particularly in challenging and difficult financial times.

[Tom Blenkinsop]

I thank the Minister for his answer. According to Experian, after the Government’s autumn statement the third hardest-hit borough was Middlesbrough. Due to the Secretary of State’s cuts, 13 to 19-year-olds in Middlesbrough will receive 15% less spending per head for youth service provision after the top-heavy cuts imposed on the town. Are they a lesser funding priority than a royal yacht?

[Tim Loughton]

As I said, many areas have seen some of their spending for youth services cut, but many areas have actually established new smarter partnerships with the voluntary sector, social enterprise and commercial organisations. The neighbouring constituency to the hon. Gentleman’s is a beneficiary of a myplace, with investment of £4.5 million from the Government. That is a hub for lots of varied activities for young people to take advantage of, helping them with careers, training and many other things.

Oral Answers to Questions

Tom Blenkinsop Excerpts

Monday 21st March 2011 Commons Chamber

[Michael Gove]

My hon. Friend makes a good point, and I should be delighted to accept his generous invitation.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

T2. Laurence Jackson school in Guisborough is in the top 100 schools for sustained improvement at GCSE level, but, like Kilton Thorpe special school, its Building Schools for the Future budget has been cut, as has its harnessing technology grant, its extended schools grant, its gaining ground grant, its sports specialism funding, and its devolved capital funding grant. Have not Laurence Jackson and Kilton Thorpe school funds been redistributed to ideological free schools?

[Michael Gove]

Once again, that was a beautifully scripted and delightfully read question from a Labour Back Bencher. There is only one word that we need to hear from Labour politicians about cuts, which is “sorry” for the economic mess they bequeathed us. It is monstrous hypocrisy and intellectually inadequate to prate about cuts when the Government they supported were responsible for them.

Department for Business, Innovation and Skills (Performance)

Tom Blenkinsop Excerpts

Wednesday 2nd February 2011 Commons Chamber

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

I am sure that the Minister is aware of the great success story of the North East of England Process Industry Cluster: it made £1 billion, gross value added, in six years with just £3 million of public support. It was set up by One North East, the local regional development agency, and has an ongoing portfolio of 62 projects worth £8 million. One particular project, the Tenergis project, which is worth $5 billion, could rejuvenate the local economy and, in turn, attract further world-scale investment.

Chemicals contribute to more than 30% of the nation’s industrial economy, and the sector attracts some of the chemical and process industry’s world leaders. Teesside’s process industry contributes about £10 billion to the north-east’s economy—almost a third of regional GDP—but has seen a series of job cuts and plant closure announcements in recent months, despite having grown in the past five years.

What has that sector seen from the Department since May? The Government have put much emphasis on export-led growth—pretty much a statement of the bleeding obvious. A friendly voice from the Government Benches will no doubt state that manufacturing growth in general has increased amidst a sea of GDP decline, but such statements will not be followed with the caveat that the majority of that growth is in inventory spending, meaning the restocking of raw materials for production. It is a restocking at a time when raw material and commodity prices are at a real high, inflating the costs per measure of materials purchased. I fear that that will be demonstrated in the second and third quarters of this year as domestic demand unfortunately wanes, especially if domestic interest rates are raised. That is combined with the VAT increase, the increased national insurance contributions, wage cuts, fuel costs and the fact that although the world function is based on the retail prices index, the Government function is based on the consumer prices index. We are looking for a domestic multiplier here.

Any policy that is reliant on export-led growth ignores reality as the EU’s internal problems continue and Asian markets become increasingly protectionist and insular in their dissemination of vital raw materials. NEPIC’s vision in its industrial plan is to seek out other clusters like itself and send its industrialists there to win the crucial research and development contracts that will hugely benefit our economy. Getting £l billion in six years from £3 million is good business in anyone’s book. It is a clear example of how public investment can and does attract private investment, both domestic and from abroad.

As well as the scrapping of One North East, the body that helped set up and support NEPIC, we have now seen the abrupt end to the emergency package devised for Teesside in the wake of steel job losses. It targeted jobs growth in the chemicals sector as an alternative to steel jobs. That scheme has been axed, even though it is still allocating work and has £18 million in uncommitted funds that could have been used to support and enhance the objectives of NEPIC member companies.

Now we hear that a long-standing and successful job-creation fund, which over the past decade has helped to create many hundreds of thousands of jobs in areas such as the north-east, is to be axed by stealth. That fund, the grants for business investment scheme, has been—under its own name of regional selective assistance—responsible in the north-east for pumping £112 million into poorer parts of the region and for helping to create 25,000 jobs.

[Jim Shannon]

Does the hon. Gentleman agree that we need to foster opportunities for young people, especially when unemployment among young people has reached 951,000, the highest it has ever been? One in four people between 16 and 25 years old are out of work, and there is a need to create opportunity for young people.

[Tom Blenkinsop]

I wholeheartedly agree. Indeed, the grants for business investment scheme helped deal with that problem.

In various forms and under successive Governments, the scheme has been in place since the late 1960s. It survived the Heath years, the 1970s Labour Governments and even the Thatcher and Major years and the most recent round of Labour Government. Despite differences on economic policy, all those Administrations recognised the value of regional selective assistance. It was a genuine central-local partnership, handled by the Department for Trade and Industry and then by Department for Business, Innovation and Skills’ offices in London, but its decisions were guided by a regional evaluation board made up of regional businessmen and women. A measure of its success was its crucial role in bringing Nissan to the north-east in the 1970s. More recently, it helped Teesside to secure jobs in the offshore engineering sector and underpinned the decision to rebuild the SABIC Wilton site catalytic kraken, currently the single-most important plant on the Wilton site.

What is worse, and what puts us at even more of a disadvantage, is that the scheme will close only in England; Scotland and Wales will keep it and be able therefore to compete directly with the north-east for a position of advantage. It is tragic that the scheme will go, because it will only put more pressure on the hopelessly oversubscribed and underfunded regional growth fund, which seems to be the Government’s sole contribution to regional economic growth. The RGF, which has about £300 million to allocate, has already had bids from throughout the region, from Berwick in the north to Boulby in the south, topping £3 billion.

The Government cannot keep relying on a weak pound or ignore industry’s need for direct investment in research and development and for partnership with them. I asked the Secretary of State where his influence on the feted local enterprise partnerships is in the Localism Bill. Why has he handed the European regional development fund over to the Secretary of State for Communities and Local Government?

Does the Business Secretary not acknowledge that the Office for Budget Responsibility told him explicitly that unemployment would increase as a result of his policies? Only 3% of people who have achieved work since the recession have gained full-time work. Could he not have reformed RDAs rather than destroy them, or at least asked industrialists in the north-east what they thought? Does he not find it bizarre that more money will be spent on post offices than on the entire English RGF? Why is he allowing long-term timber deals between biomass generation plants and the Forestry Commission to be undermined by Ministers in the Department for Environment, Food and Rural Affairs, who want to sell off cash-crop forests?

The Department for Business, Innovation and Skills and its Secretary of State are summed up by his magical mystery tour last year of the beam mill at Tata’s Redcar plant, which is part of the long products division, not of Teesside Cast Products, the actual plant in question. His party and his Government promised that they would not stand by while steel jobs were lost. In fact, they did more than that. At Forgemasters in Sheffield, a site where I was the union official, Labour put pen to paper when money was requested to help industry. The Secretary of State’s Government ripped it up.

When my right hon. Friend the Member for Wolverhampton South East (Mr McFadden), the Business Minister in the previous Labour Government, contacted the former chief executive officer of Corus Europe, Kirby Adams, a personal friend of the Prime Minister and much mentioned in the leaders’ television debates, he literally put the phone down on a Labour Minister offering help.

The Secretary of State has metaphorically put the phone down on Teesside’s manufacturing, cutting almost one third of the funds set aside for the Tees valley industrial aid package. Standing idly by? No, I could not accuse him of that. Turning his back on Teesside? Yes, I could certainly say that. It was again evident when he was dictated to by his colleagues in DCLG, the Treasury and the Departments of Energy and Climate Change and for Environment, Food and Rural Affairs.

The Secretary of State’s colleagues at DECC refer to high-energy manufacturing as sunset industries. Why on earth is he allowing a rammed-through consultation on carbon price support and energy market reform with no impact assessment on energy-intensive industry in either case? Why does the consultation have a short time scale? He says he wants to take away regulation. That is utter nonsense: he is allowing far more complex and damaging regulation through that programme; and he is attacking workers, particularly those in the steel industry, who kept their patience over two and a half years when they had more than a few good reasons to take industrial action. I know, because I led them alongside colleagues, but we restrained ourselves to ensure that we had an industry in Teesside and an industry for this country.

--- Later in debate ---

[Gavin Williamson]

As hon. Members say, the name was changed to the Department for Education because that is what it is. I am very proud that the Department for Business, Innovation and Skills is not about to change its name again for about the fourth or fifth time in as many years.

While the Labour Government focused on name and branding, they ignored the importance of our manufacturing base, which is much talked about. As has been pointed out, 4.3 million people were employed in manufacturing in 1997, but only 2.5 million were employed in 2010. That is a catastrophic decline. Opposition Members might say that there was an increase in output, but the reality is shown in OECD figures. In the industrial sector, which covers manufacturing, mining and energy production, UK gross value added was 25% in 1997—the same as in Germany. However, the figures for 2008, which are the latest figures, show that gross value added was 26% in Germany, but only 18% in the UK. That is decline in anyone’s judgment, and it is the dreadful legacy of Lord Mandelson, the Labour party and their inaction.

[Tom Blenkinsop]

Is the hon. Gentleman aware that in 1987, 26,000 worked at British Steel and Redcar Teesside Cast Products, but by 1992, fewer than 5,000 worked there?

[Gavin Williamson]

I was unaware of that but I thank the hon. Gentleman for saying so. We need a revival of all manufacturing, right across the country.

Opposition Members might say that lower corporation tax will not encourage growth, but actually, lower taxes do encourage growth. They encourage people to invest in this country, and encourage people both in this country and abroad to bring jobs and investment here.

I welcome the Government’s move to introduce the enterprise allowance, which will encourage those who are unemployed to create new jobs and to seize the opportunity to create wealth.

Education Maintenance Allowance

Tom Blenkinsop Excerpts

Wednesday 19th January 2011 Commons Chamber

[Mr Gibb]

That is the first of Labour’s policies to be put on to its blank sheet of paper; no doubt it will be one element in its debate.

The question for the Opposition is this: would they take this money from the schools budget?

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

rose—

[Mr Gibb]

I will not give way now, as the speech by the hon. Gentleman’s Front-Bench colleague, the hon. Member for Hartlepool, went over time slightly.

We have been determined to protect the money that goes to schools and the front line, and we have managed to ensure that school funding is protected in cash terms and will rise to cover increases in pupil numbers.

Perhaps the Opposition are arguing that there should be no cuts elsewhere, however. Perhaps they are arguing that they would cut the deficit more slowly, and allow it to remain a little longer—another half a billion pounds here, another billion there—so ensuring that we continue to pay enormous interest charges, which now stand at £120 million every day. That could be the Labour party’s approach: challenging the capital markets and calling the bluff of the people who invest the pension funds in sovereign debt to pull the plug or downgrade Britain’s credit rating.

That is not a risk that the coalition Government are prepared to take. Greece provides an example from not too far away, and Ireland is nearer still. We are not prepared to risk this country’s future. We are not prepared to plunge Britain into a currency and debt crisis, and we are not prepared to delay our economic recovery by failing to take the action that is necessary to get the public finances back under control. If we were to do so, young people—the people whom the Opposition purport to be representing today—would bear the brunt of the consequences of this failure. It is young people who suffer when companies freeze recruitment, and it is ensuring that our recovery happens sooner rather than later that lies at the heart of every difficult decision on spending taken by every Minister in this Government.

The overriding tenet of the coalition Government is to close the attainment gap between those from the poorest backgrounds and those from the wealthiest, so in making these changes to EMA we have been determined to ensure that no student is prevented from staying on in education because of genuine financial hardship. The hon. Member for Wigan made a passionate and thoughtful speech, but all her arguments can and will be addressed by the replacement support that we intend to put in place. It is wrong to undermine the research that was commissioned by the last Labour Government and carried out by the highly respectable National Foundation for Educational Research. It had a representative sample size of more than 2,000.

--- Later in debate ---

[Mr Gibb]

I will not.

At the moment, EMA is paid to 45% of all 16 to 18-year-olds who stay on in education. That is not a properly targeted system and it is an inefficient use of taxpayers’ money in the current economic climate. Our intention is to focus resources on those in real financial hardship to ensure that every young person can continue their education. We are consulting the Association of Colleges, the National Union of Students, the Sutton Trust, my right hon. Friend the Member for Bermondsey and Old Southwark (Simon Hughes), and college principals and others to work out the best way to use those funds.

We are putting in place measures to ensure that the least well-off receive the support they need to stay in education, and the determination of the coalition Government to close the attainment gap between those from the wealthiest backgrounds and those from the poorest lies at the heart of all our education policies. That is why we are focusing on raising standards of behaviour in our schools; it is why we are tackling reading and literacy in primary schools; it is why we have introduced the baccalaureate to ensure that more children receive a broad education; it is why we are expanding the academies programme and free schools, particularly in deprived areas; and it is why we have introduced the pupil premium.

[Tom Blenkinsop]

rose—

[Mr Gibb]

I will not give way.

My hon. Friend the Member for Mid Dorset and North Poole (Annette Brooke) made a thoughtful and constructive speech, reflecting her expertise and passion. Her comments about the most vulnerable and disadvantaged students were right. She said that some groups have to be protected come what may, and they will be. It is precisely those groups that we intend to target with our support fund.

My hon. Friend the Member for North Cornwall (Dan Rogerson) was right when he called for support for poorer students and said that we need to work with local authorities on their transport duties. He asked a number of questions, and I can tell him that we are working with other Departments, particularly the Department for Business, Innovation and Skills and the Department for Transport. I take on board his point about the lack of timely scheduled transport in rural areas. He is also right to ask about young carers, looked-after children and young people, because they are some of the very vulnerable groups that we are particularly concerned about. Many other hon. Members also raised the issue of student transport costs, and we are going to build those into the discretionary part of the support fund.

The Government have a duty to tackle this country’s record budget deficit, which is the largest in the G20.

Financial Support (Students)

Tom Blenkinsop Excerpts

Wednesday 15th December 2010 Westminster Hall

[Lisa Nandy]

I thank my hon. Friend; I was not aware that the scheme had been piloted first in Hackney. I urge the Minister to take heed of those words and also look at places such as Wigan where the scheme has had considerable success. My hon. Friend touched on an incredibly important point. Last Friday I went to my local college, Winstanley college, and heard from students. They said that not only was EMA incredibly important for them to get through college, but that they were now facing the double whammy of thinking that even if they get through college and face considerable hardship in order to do that, they will then have to pay incredibly high tuition fees. Those students feel that barriers are being put in their way over and again, and many of them are wondering whether it is worth enduring such a level of hardship because even if they get the opportunity of going to university, that will not be a realistic option. We must consider that point.

A vast range of research shows that EMA has actually been incredibly successful. I have examples from the Manchester college, CfBT education trust, the Learning and Skills Council and Wigan and Leigh college, which sent me an incredibly powerful set of evidence based on surveys and interviews with students. The point made powerfully by students and the principal of that college was that EMA is not only about alleviating hardship, but it is a bargain between the state and the students. That bargain says that if someone works hard and tries hard, it does not matter what sort of background they come from and they deserve to do well and be supported. It is outrageous that those students should now be asked to face financial hardship in order to achieve at the same level as their peers. It is also outrageous that 50% of students who receive EMA in my local college have a 99% retention rate, yet they are now being told by the Government that it does not matter that they have stayed on, worked hard and kept their side of the bargain. That is particularly urgent for those students who are in their first year of college. They have recently been told in responses to questions asked by myself and my hon. Friends, that they will now lose their EMA halfway through their course. Of the 1,000 students currently in the first year of study at Wigan and Leigh college, 75% say that they will drop out at the end of this year. That is horrifying, and I hope that the Minister will listen to that.

[Tom Blenkinsop (Middlesbrough South and East Cleveland) (Lab)]

Apart from Askham Bryan campus in Guisborough, and Prior Pursglove college and neighbouring FE colleges in Middlesbrough, Redcar and Cleveland, a number of small and medium-sized enterprises are concerned about the withdrawal of EMA. EMA funds a number of apprenticeships in engineering and other skilled trades that have traditionally been sceptical and scared of investing in apprenticeships, unlike bigger former companies such as Imperial Chemistry Industries and British Steel in Teesside. The new SMEs have not been as proactive, and are only now beginning to increase the number of apprenticeships. By getting rid of the EMA, we may undermine those skill programmes.

[Lisa Nandy]

I thank my hon. Friend for his intervention. I agree with him. One of the worst things that we saw under the previous Conservative Government was that a range of young people throughout the country were left with no sense of hope for the future. Seeing people without hope for the future is devastating, but seeing young people without hope for the future is even worse. We must not return to that situation.

I have three final points. First, colleges urgently need to know what will replace the EMA. The details of the discretionary learner support fund are sketchy. Colleges need to know whether, in reality, this will be a £500 million cut. Yesterday, the Secretary of State, appearing before the Select Committee on Education, could not confirm the position to hon. Members.

We need to know urgently whether travel costs will be taken into account and what else the discretionary hardship fund will be able to cover. In my constituency, like many other constituencies, travel is one of the prohibitive factors to attending college. Despite a number of people living in the town centre, Wigan is essentially a rural seat, and students would not be able to travel to college without the EMA.