House of Commons · Westminster Hall
22 September 2021 · 7 other contributors · 11,125 words
Opened by Royston Smith Con Southampton, Itchen
Responding minister: Robert Courts
Summarised by AI from the official record, so it can contain mistakes.
Royston Smith raised concerns about cruise industry in Westminster Hall. A government minister responded.
Key points
Key requests to Government
I ask the Minister to use his influence with the Chancellor and Treasury to secure a seafarers earnings deduction waiver, temporarily waiving the requirement to be outside the UK for a period of time in order to qualify. Our seafarers must feel valued and receive recompense for their sacrifices during the pandemic.
MPs spoke in turn to share their views and ask questions. Here's what each person said.
Opened the debate
The cruise industry is of huge significance to the UK's economy, particularly in Southampton where it accounts for 83% of all cruise passengers. Each turnaround visit for a cruise ship brings £2.7 million to the local economy and supports thousands of jobs. The pandemic resulted in significant losses, with an estimated £6.7 billion lost expenditure and 52,000 job losses between March and September 2020.
Carmichael highlighted the importance of the cruise industry to Orkney and Shetland's visitor economy, noting its growth over the years. He expressed a need for strategic engagement between communities and cruise operators to better accommodate diverse opportunities across different regions. The capacity for cruise ship passengers to spend money when in port is very often determined by the terms of the contract that they have with the cruise ship. We need a sense of partnership between communities and the ships, enabling influence on both sides.
Caroline Nokes highlighted the significant economic impact of the cruise industry on her constituency, noting that even without a coastline or port within its boundaries, there are hundreds of jobs reliant on the sector. She mentioned that small suppliers in her area saw their income from £11.9 million to just £6.9 million during the pandemic, illustrating the devastating effect on local businesses. Nokes praised efforts made by cruise companies like Carnival for repatriating 19,000 UK nationals and 13,000 international crew members last year. She emphasised the importance of safety measures being put in place to ensure a safe return to cruising and highlighted improvements in environmental sustainability. Responded with 'It is Southampton.' in reference to a previous speaker's comment about the location of ports.
Pays tribute to the cruise industry's resilience during the pandemic, noting its quieter approach compared to aviation. Mentions seven ships docked at Tilbury due to restrictions and praises recent efforts by the Minister for restarting sailings.
Jim Shannon emphasised the significance of the cruise industry in his constituency of Strangford and highlighted its potential to boost the local economy. He cited the growth of the sector in Belfast, noting a 136% increase between 2016 and 2019, with an estimated £15 million contribution to the local economy from cruise visitors. Shannon also mentioned significant investments made by the Belfast Harbour Commissioners for portside facilities, including the opening of a dedicated cruise terminal in 2019 and upgrades at the quayside facility. He invited the Minister to visit Mount Stewart and Greyabbey to see their historical and cultural significance.
Between 2014 and 2019, Scotland saw a 90% growth in cruise ship calls and passenger numbers. The industry supports over 800 employees and generates £23 million gross value added for the Scottish economy. However, sustainable development must be prioritised to ensure local communities benefit. I am pleased with the focus on net zero and the cruise industry's efforts. I raised employment issues, particularly about paying the real living wage or at least the national living wage for workers on British-docked ships.
Mike Kane highlighted the importance of the cruise industry to the UK economy, noting that each ship docking in the Solent contributes £2.7 million to the economy. He praised the industry for its efforts during the pandemic and called for investment in green technologies and infrastructure.
Mr Cowan highlighted the local, national and international importance of the cruise industry for his constituency. He noted that Scotland hosted 817,000 cruise ship passengers in 2019, with Greenock hosting 144,000, second only to Invergordon. He also emphasised the need for environmental responsibility within the sector and mentioned plans for fuel cells to provide energy for cruise ships.
Government Response
Robert CourtsIt is a pleasure to serve under the chairmanship of Mr Efford. The minister congratulated Royston Smith for securing this debate and highlighted the cruise industry's significant impact on the UK economy, supporting over 82,000 jobs pre-pandemic with £486 million spent at ports annually in 2017. He noted the sector's comprehensive protocols to ensure passenger and crew safety, which were recognised globally by the International Maritime Organisation (IMO). The minister acknowledged the devastating impact of the pandemic on cruise operations but praised the swift restart of domestic cruises from May and international cruises since August. He emphasised the financial challenges faced by ports, supply chains, and local communities due to the industry's suspension. The minister discussed investments in new facilities like the fifth cruise terminal at Southampton, equipped with shore power to reduce emissions, and mentioned the £350 million expansion project in Aberdeen designed for cruise vessels. He stressed the importance of making UK waters an attractive place for investment through levelling up initiatives, supporting environmental goals, and ensuring fair wages for workers. The minister addressed concerns about seafarer earnings deduction eligibility during the suspension period, promising to work with industry on further data collection to inform future policy decisions.