Leaving the EU: Financial Services

Debate between Tom Tugendhat and Robert Neill

Thursday 3rd November 2016 Commons Chamber

[Tom Tugendhat (Tonbridge and Malling) (Con)]

The clock is back. The excitement! The hare is running!

I should briefly declare an interest. I have at times worked in the financial services industry. I draw Members’ attention to my entry in the Register of Members’ Financial Interests.

Like so many other hon. Members, I am here to talk about financial services outside the capital. I pay tribute to the hon. Member for Leicester West (Liz Kendall), who spoke very powerfully about that. In my constituency, I drive past the Fidelity asset management centre, which is based in Hildenborough and employs nearly 1,000 people. Financial services also support economies such as the legal economy, accountancy and various other innovators. As we have discovered from the success of start-ups in the United States, access to financial services is often a trigger for improvements in the tech sector.

[Robert Neill (Bromley and Chislehurst) (Con)]

I apologise for not being in the Chamber earlier because of Select Committee duties. Does my hon. Friend concede that it is important that we link access to financial services with access to other professional services including legal services, which are critical to building the infrastructure backing up the financial services sector?

[Tom Tugendhat]

My hon. Friend makes an extremely good point and I will let it rest there.

Access to financial services is not just about the financial services industry but about all industries. Finance greases the wheels of the whole economy. It is important that we maintain the access we have in the UK. I therefore urge hon. Members to see Brexit not just as a threat, which sadly so many people do, but also as an opportunity. The United Kingdom used to be extremely good at taking the opportunity to innovate. Too often we have limited ourselves. Many people will look at the potential loss from the eurobond clearing and various other elements, but we should also look at the potential openings in financial technology, where we have already seen such innovations in the UK, to which I hope we agree we can add.

Services here in the UK are built on the foundation of skills that support the current industry and that will support future growth. Tomorrow’s growth will be based on those same skills, which come from a highly educated, highly literate and highly open population of people across our islands, whose languages, ethnicity and cultural links tie them around the world. They are able not only to do deals but to finance and enable entrepreneurs and businesses around the world. That is why I am less concerned than some about the potential closing off in markets in the European Union. We must remember that the EU itself depends on the City of London and that the depth of asset pools in the City gives the industries of Germany, Italy and France a reach they would not get from their own domestic markets. It gives them an opening to other financial sources around the world, including east Asia, that they would not get from Milan, the Paris Bourse or the Frankfurt exchange. I know that the Minister, who is in his place, will see this as a good deal for both parties, as all good deals should be, because the EU and Britain have a common interest.

Having that common interest requires us to remember who we are. It requires us to remember that we, here in the United Kingdom, are in so many ways more than the sum of our parts. We define ourselves not by the nations we come from, but by what we give together. I mean this very seriously. In so many countries in the world, people define themselves as a “something-something”. In the United States, for example, people often define themselves as a Polish-American or an Irish-American. I, who am the son of a French woman, the grandson of an Austrian man and an Irishwoman, do not define myself by that. I define myself as British, as so many people here do. It is that openness and inclusivity that has made Britain the home for so many and the centre for so much.

That is why, when we look at the financial industry, we must not look at it alone, or indeed just consider the legal and accountancy aspect. We should not even consider its enablement of other industries. We should consider the ethos it requires. That ethos is the ethos that we have promoted on these islands for a thousand years. It is one that defines people by the breadth of their experience, skill and knowledge, and not in a narrow sectarian definition of origins or passports. It is much greater than that.

I will leave it there and urge the Minister, as he takes the negotiations forward and sits around the Government table, to see that the financial services around our whole country, particularly in the great kingdom of Kent, are not just a simple route to enrichment, but an avenue to openness, growth and the support of what the UK has always been: a beacon to other nations, an island of safety and in many ways an example to all to enrich all.

Southeastern Rail Services

Debate between Tom Tugendhat and Robert Neill

Thursday 28th January 2016 Commons Chamber

[Robert Neill]

I am sure we would all echo that. My hon. Friend is quite right. According to my information, well over 20 rush-hour trains from Kent to London were cancelled because of overrunning engineering works. Sometimes, the delays were over two hours, which affects my constituents at Bromley South station, many of whom use those trains into London. So there is a real problem here.

I have quoted from the official statistics, but people sometimes think them dry and remote, so I want to read out some of the experiences put to me directly, either on Twitter or by email, which I think capture the problem. These are people talking about their problems on Southeastern trains. In my constituency, people pay £1,600 to £1,700 a year for a season ticket. One reads:

“People’s lives are literally being made a misery by Southeastern trains”.

Another reads:

“The service I have personally experienced this month has been shocking, almost daily delays”.

A third reads:

“I got to the train on time, but the train itself seldom runs on time because of track problems, congestion, lack of stock, no drivers—not on”.

I cannot disagree with that. I use the service myself on an almost daily basis to come to Westminster, and I now factor delays into my journey. It is absolutely ludicrous.

A fourth quote reads:

“Weekend engineering works mean no trains and earliest bus doesn’t get me to work on time so no overtime for 5 weeks”.

This is somebody on low pay whose job is being made a misery by this poor performance. “Not value for money” says another—well, you can say that again! Another reads:

“There is not enough time to write all that is wrong”.

Even this Adjournment debate is not long enough to expand on all that is wrong.

I have two final quotes. The first reads:

“The delays happen on a daily basis. My train is delayed again…use the Hayes line for a week, you’ll see.”

That is in the constituency of my hon. Friend the Member for Beckenham (Bob Stewart), and is wholly within Greater London. One final quote, for those further into Kent:

“7.40 Dunton Green to London delayed this morning to let 2 fast trains through. Are Metro customers 2nd class citizens?”

That is the feeling actually. There is an inherent conflict or tension in the Southeastern trains franchise, as currently constructed, between the high-volume and frequent demands of the inner-suburban services, such as in my area, and the demands of those coming from further into Kent.

[Tom Tugendhat (Tonbridge and Malling) (Con)]

I assure my hon. Friend that the frustration of the inner-London customers is shared entirely by those a little further out. I have the great privilege of representing people who use the Tonbridge line, the Maidstone East line and the Medway Valley line. All three have had a woeful service for as long as I can remember. A survey I put out recently found that nearly 90% thought the service had gone downhill since Christmas, which is really saying something, because it was hardly uphill before then. I urge the Minister to do exactly what she has been talking about, which is to hold these people to account, get the money back off them when they fail and make sure that privatisation works by making the companies pay.

[Robert Neill]

My hon. Friend is absolutely right, although it is worth stressing that the failures are not just with the privatised train operating company, but with the publicly owned Network Rail. I draw a contrast between this line, which I now use, and the line I used before I moved to south-east London, the c2c line, which is also privatised but which has hugely improved its performance and satisfaction levels since it was privatised. So this is not an ideological issue; it is about sheer competence, and that involves enforcing the terms of the contract.