Commons Sense

House of Commons · Adjournment Debate

Small Businesses in Railway Arches

22 March 2023 · 1 other contributor

Opened by Helen Hayes Lab Dulwich and West Norwood

EconomyTransportBusiness & Trade

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Helen Hayes raised concerns about small businesses in railway arches in the House of Commons. A government minister responded. Other MPs also contributed.

Key points

  • MP raised concerns about doubled rents for car mechanic businesses in railway arches, causing financial strain.
  • Network Rail sold leases to the Arch Company Ltd without obligations to protect existing tenants or rental levels.
  • Minister acknowledged small businesses' importance and noted Network Rail earned over 1.4 billion from lease sales for railway improvements.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Helen Hayes Lab Dulwich and West Norwood

The MP raised concerns about the impact of rent reviews on car mechanic businesses in railway arches, highlighting that rents are being doubled, causing financial strain during a cost-of-living crisis. She noted that Network Rail sold leases to the Arch Company Ltd and that this sale did not place any obligations on protecting existing tenants or rental levels. The MP also discussed issues related to major works by Network Rail which have caused economic damage in Brixton town centre and left many railway arches vacant. She asked several questions of the Minister regarding protections for small businesses, support for car mechanic businesses transitioning to electric vehicle maintenance, and strengthening duties of Network Rail.

Other contributors (1)
  • [Intervention Name]

    The MP highlighted that Transport for London takes a different approach towards businesses in railway arches which benefits both the businesses and the landlord.

Government Response

Huw Merriman

The Minister acknowledged the importance of small businesses and their contribution to the UK economy. He noted that Network Rail sold leases for railway arches to generate funds for railway improvements, earning over £1.4 billion which was reinvested into the railway. The Arch Company plans to invest in refurbishing empty spaces and supporting 5,000 jobs through its Project 1000 initiative. While addressing issues faced by tenants, Network Rail covers rent payments during disruptions and provides support on a case-by-case basis for additional costs incurred. Rent reviews are tied either to market levels or the Retail Price Index (RPI). The Minister agreed to review the requirements of the tenants charter if necessary and offered to visit the affected areas in Dulwich and West Norwood with Helen Hayes.

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