Commons Sense

House of Commons · Ministers' Questions

Support for High Street Businesses

Thursday 30 January 2025 · 3 questions

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

Read the full transcript on Parliament.uk

At a glance

Answered 1 Partly answered 2 Not answered 0

Key points

  • Minister acknowledges concern over closure of bank branches in Bromsgrove.
  • Increase in employment allowance to 10,500 to help small employers with national insurance.
  • Business growth service being established to support Scottish businesses in conjunction with the Scottish Government.

Topics (select to filter)

Questions & Answers

Q1 Bradley Thomas Con Bromsgrove
Housing Business & Trade Local Government
Context

The Bromsgrove town centre is set to lose both its Lloyds and Halifax bank branches, a decision that could have significant impacts on local small businesses.

Question

Yesterday, Bromsgrove received the devastating news that it is about to lose both its Lloyds and Halifax bank branches in the town centre. Those banks are a lifeline to many small businesses, particularly those run by independent small entrepreneurs, as well as many residents who use their banking facilities on probably a weekly or daily basis. Does the Minister agree that banking hubs can be part of an ongoing solution to retain banking services in our towns? Will he support my campaign for a banking hub in Bromsgrove? Will he meet me to make that a reality?

Answer from The Parliamentary Under-Secretary of State for Business and Trade (Gareth Thomas)

I recognise that there will be a lot of concern in the hon. Member’s constituency following that news yesterday. I agree that banking hubs can make a significant difference, which is why we have been quick to roll out more than 100 of them. Plans for another 76 have already been developed and we are committed to rolling out 350 in total. In the spirit of one Thomas trying to help another Thomas, I am happy to meet him.

Answered
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Q2 Sarah Bool Con South Northamptonshire
Employment Business & Trade
Context

A local small business owner in the constituency is facing difficulties due to increased employer national insurance contributions and changes to business rates.

Question

Our small businesses are the lifeblood of our high street and often give young students their first opportunity for a job on a Saturday or in the holidays. However, one of my local small business owners says that she can no longer afford such roles because of the increase in employer national insurance contributions and changes to business rates, among other things. What will the Government do to support our young people into jobs when small businesses are left in that awful position?

Answer from The Parliamentary Under-Secretary of State for Business and Trade (Gareth Thomas)

The hon. Lady might want to check again with the business she refers to, because, in the most recent Budget, the employment allowance was raised to some £10,500, which will help every small employer’s national insurance bill every year, and should ensure that more than 1 million firms benefit. That is a very practical measure; more broadly, on the point about national insurance contributions, she will know that Labour inherited a very difficult financial situation because of mistakes made by the Conservatives, and difficult decisions have had to be taken.

Partly answered

Not addressed: The increase in employer national insurance contributions and changes to business rates were not directly addressed with specific mitigations or support measures beyond the employment allowance.

How: Difficult Financial Situation Because Of Mistakes Made By The Conservatives, Difficult Decisions Have Had To Be Taken

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Q3 Euan Stainbank Lab Falkirk
Housing Business & Trade Local Government
Context

Local small businesses in Falkirk face hardship due to cost rises and changes in utility, rent, parking increases over years.

Question

Falkirk High Street is the beating heart of our district, with recent additions including Barracuda chippy, El Toro Gaucho steakhouse, Greek Theory restaurant and Rock Bottom beer hall. Many Falkirk town centre businesses still raise with me the hardship they have faced because of cost rises and utility, rent and parking increases over a number of years, as well as rental value threshold changes by the Scottish Government, which have contributed to decreased footfall and failing business over a number of years. While I welcome the Government’s commitment to shifting the burden away from the high street, will the Minister outline what further steps he is taking to support my high street, and what engagement he has had with the Scottish Government to support shifting the rate burden away from Falkirk High Street taxpayers?

Answer from The Parliamentary Under-Secretary of State for Business and Trade (Gareth Thomas)

I referred to the establishment of the business growth service in answer to an earlier question. We are working with the Scottish Government to begin to think through how that service can support businesses in Scotland and complement the support already provided by the Scottish Government. We are clear on the need to reform business rates to support retail, hospitality and leisure businesses on the high street. I am very happy to meet my hon. Friend if he thinks there are further initiatives we can take to help small businesses in Falkirk.

Partly answered

Not addressed: The engagement with the Scottish Government was not detailed and specific measures beyond general support services were not outlined.

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