Commons Sense

House of Commons · Ministers' Questions

Topical Questions

Tuesday 22 June 2021 · 17 questions

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

Read the full transcript on Parliament.uk

At a glance

Answered 3 Partly answered 12 Not answered 0

Key points

  • Margaret Ferrier asked about the status of current support measures for businesses and individuals post-lockdown, and the response indicated positive trends in household incomes and employment.
  • Margaret Ferrier inquired about full compensation for victims of Equitable Life, and the Treasury's response stated that the matter has been extensively discussed and concluded with no specific timeline for further action.
  • Rachel Reeves questioned the delay in publishing the net zero review and was told that the report will be published imminently, with the Prime Minister having already published a 10-point green plan with 12 billion investment.

Topics (select to filter)

Questions & Answers

Q1 Margaret Ferrier SNP
Economy Employment Business & Trade
Context

Post-lockdown economic recovery.

Question

Following the reopening of the economy post lockdown, I ask if he will make a statement on his department's ongoing responsibilities to support businesses and individuals. What is the status of current support measures?

Answer from Rishi Sunak

We have continued to provide extensive support through our £400 billion plan for jobs since reopening the economy. Early data shows positive trends in household incomes, employment, corporate insolvencies, and consumer and business confidence, indicating that our plan is working.

Answered
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Q2 Margaret Ferrier SNP
Economy
Context

Request for full compensation for Equitable Life victims following the announcement of up to 80% loss compensation for holders of mini-bonds with London Capital & Finance.

Question

Following the Treasury's announcement of up to 80% loss compensation for holders of mini-bonds from London Capital & Finance, I ask if full compensation will now be provided to victims of Equitable Life. The majority have received only 22% of their losses.

Answer from Rishi Sunak

The matter has been extensively discussed, debated and concluded. The Treasury's response to the net zero review is under consideration but no specific timeline was provided.

Partly answered

Not addressed: Providing full compensation for Equitable Life victims and publishing date of the final report on the net zero review.

How: Matter Has Been Concluded

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Q3 Jonathan Gullis
Taxation
Context

Support for a proposal to introduce a lower draft beer duty on beer sold in pubs from containers over 20 litres.

Question

More than 80 Conservative colleagues and I support the introduction of a lower draft beer duty. Will my right hon. Friend assure us that this proposal is being considered as part of the alcohol duty review? When will the review conclude?

Answer from Rishi Sunak

The proposal is being considered as part of the ongoing alcohol duty review. Updates will be provided in due course after consulting industry on practicalities and costs.

Partly answered

Not addressed: Completion date of the alcohol duty review.

How: Updates Will Be Provided

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Q4 Rachel Reeves Lab Leeds West and Pudsey
Economy Climate Northern Ireland
Context

Concern over the delay in publishing the final net zero review report despite the approaching COP26 climate summit.

Question

There is a growing gap between what is promised and delivered on social care, Northern Powerhouse Rail, and tackling climate breakdown. The Treasury's response to the net zero review was due last autumn but is still unpublished. When will it be published?

Answer from Rishi Sunak

The net zero report will be published imminently. Last autumn, the Prime Minister published a 10-point green plan with £12 billion investment to meet climate ambitions.

Partly answered

Not addressed: Publication date of the final report on the net zero review.

How: Published Imminently

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Q5 Rachel Reeves Lab Leeds West and Pudsey
Climate
Context

Urgent need to publish the net zero review report as it is crucial for climate strategy and economic planning.

Question

Why not publish the final report of the net zero review? Will he commit to ensuring that our net zero carbon targets are hard-wired through the forthcoming spending review?

Answer from Rishi Sunak

Meeting climate ambitions is at the heart of government actions. We have published the Dasgupta review on biodiversity and launched the UK Infrastructure Bank for net zero investment.

Not addressed: Commitment to ensuring net zero carbon targets are integrated into the spending review.

How: Changed Subject Entirely

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Q6 Andrew Griffith Con Arundel and South Downs
Economy Climate
Context

Welcoming the launch of the UK Infrastructure Bank last week.

Question

Businesses and local government welcome the launch of the UK Infrastructure Bank. Does my right hon. Friend agree that this is precisely the sort of intervention we need to deliver net zero?

Answer from Rishi Sunak

My hon. Friend is absolutely right. The UK Infrastructure Bank, capitalised with £12 billion from the Government, will unlock £40 billion of investment into tackling both levelling up and our net zero ambitions.

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Q7 Alison Thewliss SNP
Business & Trade
Context

Concerns have been raised about businesses not meeting the narrow criteria of the Business Banking Resolution Service, leaving many ineligible for support. Additionally, there are issues with limited bank participation in the scheme.

Question

Concerns have been raised that the narrow criteria of the Business Banking Resolution Service have left far too many ineligible, and also that not enough banks are participating in the scheme. With many businesses now at risk with covid-19 debt, can the Minister tell me what he intends to do about the situation?

Answer from Rishi Sunak

The hon. Lady is right in the sense that many businesses have taken on debt to get through the crisis, which is why we have implemented something called Pay as You Grow. More than 1 million businesses took bounce back loans, and they now have the ability, at their option, to turn those loans instantly into 10-year loans, doubling the term and reducing their monthly payments by around half, and to take further six-months holidays or interest-only repayment periods. They can take any of those options and it will not have any impact on their credit score, because we recognise the burdens on cash flow and we want to do our bit to ease them and support our recovery.

Partly answered

Not addressed: Did not address specific ask about eligibility criteria and bank participation directly; focused instead on Pay as You Grow scheme.

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Q8 Jamie Wallis
Economy Wales
Context

There is concern that introducing a tourism tax in Wales would put English businesses at a competitive disadvantage, especially those in Porthcawl.

Question

Will my right hon. Friend confirm that he will not introduce a tourism tax in England? Does he agree that if the Welsh Government were to do that in Wales, that tax bombshell would leave tourism businesses such as those in Porthcawl in my constituency at a distinct competitive disadvantage?

Answer from Jesse Norman

Of course, local taxation in Wales is a matter for the Welsh Government. The UK Government's primary focus, as my hon. Friend will be aware, has been on supporting recovery from the pandemic, and we recognise that the tourism sector has been particularly hard hit. That is exactly why we have provided more than £7 billion so far through the reduced VAT rate for the hospitality, accommodation and attraction industries across the UK; it is why we have extended the reduced rate until 30 September 2021; and it is why we have put in place a much wider array of support as we come out and play it long in relation to the pandemic.

Partly answered

Not addressed: Did not confirm no tourism tax in England, focused on recovery efforts instead.

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Q9 Mark Eastwood
Economy
Context

The youth investment fund is a manifesto commitment intended to support young people in Dewsbury, Mirfield, Kirkburton, and Denby Dale.

Question

The youth investment fund remains an important manifesto commitment and will be valuable in supporting young people. Will my right hon. Friend inform me of its intended launch day and briefly outline the benefits it will bring to young people in Dewsbury, Mirfield, Kirkburton and Denby Dale once it is launched?

Answer from Steve Barclay

My hon. Friend is right to highlight the importance of the youth investment fund. It was a manifesto commitment and it is due to launch in the coming months. He will recall that at the spending review 2020 we allocated some funding to inform pilots, as we shape that launch.

Partly answered

Not addressed: Did not provide exact launch date or detailed benefits for local young people; vague on specifics.

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Q10 Owen Thompson SNP
Benefits & Welfare
Context

Ministers have repeatedly mentioned support programs but not addressed the plight of those excluded from these supports.

Question

Almost every time that I, or others Members, have raised the plight of the millions of people excluded from covid support, Ministers reel off the various levels of support that have been made available to those who have access to it. Without again going through the list of supports that are available, will the Minister tell me when the Government are going to put in place some level of support for those who have had nothing so far, and when it will be backdated to?

Answer from Steve Barclay

The hon. Gentleman will know, as we have discussed it on many occasions, how we have absolutely bent over backwards to attempt to include as many people as possible and have leant into considerable discussion, both with excluded groups and with other related groups. As he will know, it is not a single picture; different groups are not included for different reasons. As a result, we have in part been able to evolve and extend the programmes, and he will be aware that we did so in the last iteration of the self-employed scheme.

Partly answered

Not addressed: Did not specify when additional support would be provided or if it would be backdated; focused on programme evolution instead.

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Q11 Angela Richardson
Economy Transport Energy
Context

The launch of the national infrastructure bank is welcomed, with concerns about road infrastructure funding for projects like Guildford's A3 tunnel.

Question

I welcome the launch of the national infrastructure bank. Road infrastructure projects are needed in my constituency to meet the additional 14,000 homes to be delivered in our local plan, which is why I am calling for the A3 to be tunnelled under Guildford to ease congestion. As we move towards our target of net zero and transition our vehicles to being electric and hydrogen-run, there will be a decrease in revenue raised by fuel duty. Will my right hon. Friend outline what steps he is taking to replace that revenue and to help fund road infrastructure projects such as my tunnel?

Answer from Kemi Badenoch

My hon. Friend is absolutely right to say that the Government will need to ensure that revenue from motoring taxes keeps pace with the change away from petrol and diesel vehicles so that we can continue to fund infrastructure such as the A3, which she mentions. I am sure that colleagues in the Department for Transport can speak about her petition specifically, but I would like to reassure her and her constituents that this Government will continue to focus on record, unprecedented investment in the strategic roads network over this Parliament, through the £27.5 billion road investment strategy, which will deliver about 70 major upgrades.

Partly answered

Not addressed: Did not specify concrete steps for replacing revenue from motoring taxes; focused on existing funding instead.

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Q12 Rosie Cooper Lab
Context

There are concerns about the Financial Conduct Authority's ability to regulate and sanction companies involved in fraudulent activities.

Question

Does the Chancellor have confidence in the Financial Conduct Authority's ability to appropriately regulate and sanction companies that defraud their investors? Furthermore, does he believe that if it is found that the regulator has failed to prevent this fraudulent activity, the Government have a duty to compensate?

Answer from John Glen

It is absolutely clear that there are significant lessons for the FCA to learn from the Gloster review, and I have regular conversations, including just last week, with the new chief executive on the transformation programme. He has employed five new senior executives to drive that programme forward urgently, and I look forward to seeing the results of that intervention.

Partly answered

Not addressed: Did not directly address confidence in FCA's regulation or compensation duty; focused on FCA's transformation efforts instead.

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Q13 Sally-Ann Hart
Economy Brexit Business Compliance
Context

An independent report by the taskforce on innovation, growth and regulatory reform highlights issues with EU expansion impacting economic competitiveness.

Question

The role of regulation has been in the spotlight recently in an independent report by the taskforce on innovation, growth and regulatory reform, which was welcomed by the Prime Minister. The report highlights that as the EU has expanded, its internal processes and regulation have become slower and more bureaucratic, impacting on economic competitiveness. What steps is my hon. Friend taking to reduce onerous regulation as regards UK Treasury matters to ensure that all such regulation reflects our national interest and ensures that the UK maximises its economic agility and competitiveness?

Answer from John Glen

My hon. Friend rightly recognises the value of the TIGRR report, which we received last week, and we will be looking very carefully at those recommendations. In addition, my right hon. Friend the Chancellor chairs the better regulation committee, which has been established to drive forward a new strategy to deliver better regulation outside the EU. There is a lot of work to be done, but progress is being made.

Partly answered

Not addressed: Did not specify concrete steps for reforming regulations; focused on reviewing recommendations and setting up committees instead.

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Q14 Emma Hardy Lab Kingston upon Hull West and Haltemprice
Business & Trade Local Government
Context

A constituent in Kingston upon Hull West and Haltemprice established a travel counsellor business nine years ago but was not eligible for government financial support due to missing the deadline for registering for business rates by six days.

Question

My constituent is a travel counsellor who established her home-based business nine years ago. She has been excluded from Government support because she is not registered for business rates, and when she tried to register for business rates in 2020, she missed the deadline by six days because of delays at the Valuation Office. What financial support can the Treasury give her and others like her, who remain excluded from support?

Answer from Jesse Norman

The hon. Lady will be aware that the Government have made available to local authorities, initially at least, £1.5 billion and a further top-up sum, in order precisely to meet hard cases that may fall between the cracks of the very wide-ranging support that we have given otherwise. I strongly encourage her constituent to talk to her local authority about that funding.

Partly answered

Not addressed: Did not provide specific financial figures or direct commitments for the constituent's business support

How: Discouraged Reliance On General Funds

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Q15 Robert Largan
Local Government
Context

High Peak was designated a top priority area for the £4.8 billion levelling-up fund but the local Labour council failed to submit a bid within four months despite urging from the MP.

Question

On 3 March, when the Chancellor announced the £4.8 billion levelling-up fund, High Peak was designated one of the top priority areas, and the Government committed to giving more than £100,000 to the council to help it deliver a world-class bid. However, despite my urging, and having had nearly four months, I regret to inform the House that my Labour council has failed to submit a levelling-up fund bid in time. Can my right hon. Friend assure the House and my constituents that there will be a second round for further bids and that High Peak will still be considered a top priority area in any future rounds?

Answer from Steve Barclay

I understand my hon. Friend's frustration. He will know from the announcement at the Budget that the prospectus set out the process, the types of projects, and indeed how bids will be assessed. To reassure him, there will be further opportunities for local authorities to submit bids to the fund. One of the things that we are encouraging those local authorities to do is to work with elected Members of Parliament in the shaping of those bids, and I hope that they will now take the opportunity to do so.

Partly answered

Not addressed: Did not explicitly confirm second round for High Peak but promised future opportunities

How: Promised Ongoing Support Without Specifics

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Q16 Rushanara Ali Lab Bethnal Green and Stepney
Employment
Context

Over half a million young people are out of work, and the delay in easing restrictions without associated support for businesses is expected to further increase unemployment by 300,000.

Question

More than half a million young people are out of work and thousands are on furlough. The delay in easing restrictions without associated support for businesses is set to further increase unemployment by 300,000. In the event of a third wave that triggers further restrictions, will Ministers commit to extending the coronavirus job retention scheme and other support that has been vital for our constituents and businesses in our constituencies?

Answer from Rishi Sunak

The hon. Lady talked about outcomes in the labour market. She will know that we have now had six consecutive months of more people in work, which is something to be celebrated. Vacancies are now running higher than they were at the start of the pandemic, which is a fantastic sign of things to come. The unemployment rate, as I highlighted earlier, is now half what was forecast: 2 million fewer people are forecast to lose their jobs, which is lower than most of our major competitor countries. She is right to highlight, as we have discussed previously, the plight of young people. Our interventions, such as the kickstart scheme and the apprenticeship incentive, will continue to provide opportunity for them up and down the country.

Not addressed: Did not commit to extending job retention scheme or other support during a third wave

How: Highlighted Positive Trends In Employment

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Q17 Richard Holden Con Basildon and Billericay
Economy Employment Business & Trade
Context

Elddis caravans and motorhomes in Basildon and Billericay benefited from the Chancellor's removal of the EU's motorhomes tax but is struggling with job vacancies.

Question

Elddis caravans and motorhomes—owned by Erwin Hymer—on Delves Lane, Consett, in my constituency, has benefited hugely from the Chancellor of the Exchequer's removal of the EU's motorhomes tax. It is now growing as a business and struggling to get candidates to meet job vacancies. Will the Chancellor visit Elddis with me to meet the workforce and management and to see the impact that his tax cut has had? Will he also look at what more support can be provided for that vital manufacturing firm in my constituency?

Answer from Jesse Norman

I congratulate Elddis, and I congratulate my hon. Friend on giving Elddis profile, on fighting the campaign that he has, and on the outcome and its very successful results in this case. I have it on very good authority that the Chancellor would be delighted to visit Elddis, so I am in a position to make a binding commitment from the Government side, and I am sure that he looks forward to it very much.

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