Gareth Thomas
MP for Harrow West · Labour (Co-op) · United Kingdom
“Local councils such as Harrow need to invest more in youth facilities that divert young people away from crime. Some of the CCTV projects in my constituency that Harrow council has turned down—in Wealdstone, south Harrow and central Harrow—should get funding.”
“I congratulate my hon. Friend the Member for Pendle and Clitheroe (Jonathan Hinder) on securing the debate and on the way in which he approached the subject. I join him and my hon.”
“I also want to suggest that the Metropolitan police does not get recognition across the whole of the UK for its hugely important work in tackling national and international crime, and that perhaps more recognition of that is required in the funding formula.”
“In particular, in Harrow, we recently saw enforcement teams contracted out to an organisation called Kingdom. The responsibility for that contract was with Harrow council. There was widespread criticism of the way some of the staff employed by Kingdom tried to levy fines on a number of young people in south Harrow, in my constituency.”
“One way we can further support the Metropolitan police is by allowing it to keep more of the proceeds from successful operations, such as recovering stolen funds hidden in bitcoin assets. I congratulate my hon.”
“Mayor of London Sadiq Khan has done a huge amount to try to redirect funding from other parts of his budget to minimise the impact of that cut.”
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“Member for Mid Buckinghamshire (Greg Smith), that I heard some impressive speeches from Members on this side of the House, but I none the less recognise the significance of the contributions from those on the other side. Such was the range, I fear that I will not be able to do justice to all the different points that were made. I recognise that one or two contributions were as much about getting me to deliver messages to other parts of Government as they were about my own Department. Rural businesses are without doubt the lifeblood of our countryside. More than half a million businesses are registered in rural areas, contributing over £315 billion a year to the economy in England alone. The diversity of the rural economy is striking: 86% of rural businesses span sectors beyond just agriculture, forestry and fishing.”
“It is genuinely a pleasure to serve under your chairmanship, Mr Western—thank you for your reminder of the etiquette at the end of the debate—and to respond to what has been an extremely important debate on supporting the many remarkable rural businesses across the country. In the usual way, I take this opportunity to thank the hon. Member for North Norfolk (Steff Aquarone) for securing this debate, and for what I understand is a long-standing interest in this vital issue for our rural community. If there were any doubt about the importance of the rural economy, the sheer numbers of hon. Members who have contributed to this debate have surely put that to bed. I say gently to the Opposition spokesperson, the hon.”
“Meanwhile, our nationwide network of growth hubs offers free, impartial guidance to rural enterprises on everything from start-up to scale-up. I hope that the business growth service, which my right hon. Friend the Secretary of State for Business and Trade has announced, and which we will say more about shortly, will also help to make a significant difference to rural businesses in terms of the quality of advice that they can access.”
“I hope that the fact that the Government are investing over £1.9 billion in broadband and 4G connectivity will help to give confidence across rural and urban communities that the crucial issue of digital connectivity is being taken forward in a way that supports residents and small businesses. Good digital and transport connections are essential for rural businesses to access markets, suppliers and talent. As well as taking steps to improve rural infrastructure, we are backing rural entrepreneurs and businesses with finance and advice. The British Business Bank has supported more than 200,000 businesses, in every constituency of the UK, to grow over the past decade. Its regional funds provide vital debt and equity finance to firms outside London and the south-east.”
“I am disappointed to hear that my hon. Friend’s local county council is not liaising about roadworks more effectively with small businesses in the rural areas that he represents, and I hope that it will hear his intervention and take action. He is right that we need to ensure that we are investing not just in buses—I will come back to that point—but more generally in the roads that serve rural and urban areas. We have committed more than £2.3 billion for local transport links in smaller towns and villages, which I hope will make a real difference in all the communities where hon. Members have expressed concerns about the quality of bus services. A key theme that has surfaced in this debate—certainly a lot of Government Members were keen to stress it—is digital connectivity.”
“Again, I recognise the critical role that post offices play in rural communities, and indeed, the potential for the Post Office to do more. As some hon. Members will know, we are bringing forward a Green Paper on the future of the Post Office shortly, which I hope will give further confidence about the potential for the Post Office to do more in rural areas, as well as more generally.”
“Our £2.7 billion a year for sustainable farming ensures continued investment in environmental land management and nature recovery, underpinning the agriculture sector. We are also working to enhance access to banking, particularly in rural areas, including through the roll-out of banking hubs across the UK by the end of this Parliament. Rural businesses can also look forward to benefiting from measures such as reforms to the apprenticeship levy, helping them to invest in skills—a key concern that was raised in this debate. I know that rural businesses, as well as businesses in urban areas, are really concerned about that. We also heard a couple of contributions from hon. Members about the significance of post offices in their communities.”
“The hon. Gentleman underlines the need for significant investment in green energy. Other hon. Members referred to the need to support renewable energy, particularly community renewable energy schemes, as part of the solution to issues around rural prosperity and to tackle the energy challenges that we are all familiar with. We are investing directly in rural areas through schemes such as the rural England prosperity fund, which is worth £33 million this year. That funding will provide capital grants for new business facilities for product development and community infrastructure improvements that benefit local economies. We are committed to sustaining vital services and amenities in rural areas.”
“If we are to provide, as we rightly should, the schools, teachers, hospitals and police forces in rural communities, difficult decisions had to be made about the finances going forward. Lastly, we also want to make sure that we are opening up new markets for businesses in rural communities to access, which is why the trade deals that we have agreed with the United States, India and—crucially, too—the European Union are so significant. I welcome the opportunity to discuss the importance of rural businesses to growth across the UK. We know that there is more to do in this space and we are determined to do it.”
“I thought the hon. Gentleman was going to invite me to come to Wick, but I will certainly pass on the invitation to my officials. We are keen to learn from the experience of the banking hubs that have worked, that are up and running, and that are now seen as being effective. There is more that the Post Office can do to provide more of the services that banking hubs provide, and we are keen to work with the financial services industry to make sure that that happens. Hon. Members asked a series of questions about tax and I suspect that we will come back to those issues in a number of forms. I just say gently to the Opposition spokesperson that we inherited a very difficult financial situation—a £22 billion black hole.”
“The Government continue to support entrepreneurs through start-up loans via the British Business Bank and through programmes such as growth hubs in England and “Help to Grow: Management” training across the UK. Later this year we will publish our small and medium-sized enterprise strategy, one key element of which will be to signal our determination to do even more to champion our entrepreneurs, including through a new vision for business support, built around the coming business growth service.”
“I welcome my hon. Friend’s commitment to championing entrepreneurs on the Isle of Wight. We know that there is huge untapped potential in the entrepreneurial talent across the UK, and we are determined to do even more to unlock it, including on the Isle of Wight. As he will know, the Department for Transport, which leads on cross-Solent travel, has been clear that ferry services to and from the Isle of Wight are vital for islanders and for business. I know he has already had some contact with ministerial colleagues at the Department for Transport to discuss these issues, but if he thinks I can be helpful, I will be happy to meet him.”
“I welcome my hon. Friend’s commitment to championing entrepreneurs in his constituency. He may know that we already have some 41 growth hubs across England, including the Coventry and Warwickshire growth hub, which provides a bespoke service for first-time entrepreneurs, tailored advice and support to start-ups and those wanting to scale up a business. We are determined to do more to help entrepreneurs and will set out our plans in our SME strategy, which is due to be published relatively shortly.”
“The hon. Gentleman will not be surprised to know that we receive representations on the VAT threshold from a number of small businesses, and we ensure that they are heard by Treasury colleagues. He will recognise that VAT raises a significant sum of money for the public finances, and given the mess that we inherited, we had to take some difficult decisions about those public finances to protect funding for hospitals in his constituency, and indeed other public services across the country.”
“We have been talking to businesses about what they can do in the light of the new regulations, and we are in the process of improving significantly the range of support available to businesses online. The Secretary of State recently set out our plans for a new business growth service, which will significantly improve the speed and quality of advice that businesses can get from the Government.”
“Just last month, we relaunched the Board of Trade to focus on the targeted support and help that small businesses need to take up opportunities from the UK’s free trade agreements. The recent trade deals with India, the United States and the European Union aim to reduce red tape, improve customs processes, slash tariffs and open new markets for small exporters up and down the UK.”
“I thank my hon. Friend for her question and for the opportunity to attend a wide-ranging roundtable with local businesses in her constituency, at the end of last year. Our new workshop, “Introduction to Export”, is in collaboration with the North East combined authority, and is aimed specifically at helping local small businesses that are thinking about exporting to new markets for the first time. A range of other support is available on the Government website, and that will be significantly improved as a result of the coming business growth service.”
“We have announced plans to reform business rates, launched high street rental auction powers for councils that will help businesses to access currently vacant properties, worked with industry to open over 150 banking hubs, and introduced the Crime and Policing Bill to provide retailers with greater protections from assault and shoplifting. Our forthcoming small and medium-sized enterprise strategy will set out our further plans to help businesses on the high street and beyond.”
“I say gently to the hon. Lady that when she had the conversations that she says she had with businesses in her constituency, I am sure she pointed out the huge economic mess that this Government inherited and the £22 billion black hole in public finances. That is why the Chancellor of the Exchequer had to make some very difficult decisions in last year’s Budget. We have set out a series of plans that will make a genuine difference on our high streets, including new opportunities to persuade landlords to open up premises for rent. We will set out further plans in the coming small business strategy, and our industrial strategy will also help to generate growth in high streets and beyond.”
“My hon. Friend is absolutely right to focus on the need for face-to-face banking in communities and high streets up and down the country. We are committed to working with the banks to roll out 350 banking hubs by the end of this Parliament, but we also think that the Post Office can do more to help to improve access to banking services. On the particular issue in his constituency, if it would be helpful, I would be very happy to sit down and talk to him about what else he might be able to do to secure a banking hub for his constituents.”
“Once upon a time, the Conservatives supported business rates reform to help the high street; the hon. Gentleman now seems to be shifting his party’s policy. Indeed, time after time his Government promised that they would reform business rates, but one of the reasons they lost the confidence of British business at the last election was because they did not act to reform business rates. We have said that we will introduce permanently lower business rates for retail, hospitality and leisure. The Chancellor of the Exchequer set out our initial thoughts on that in the Budget in October, and we will publish an update on where we are on that issue in the coming months.”
“I think the hon. Gentleman, in his own way, is congratulating the Government on increasing police numbers in his constituency, and he is certainly right to do so. We have committed to an extra 3,000 police officers over the course of this financial year and a total of an extra 13,000 by the end of this Parliament. We are also taking action to end the immunity that his party introduced for shoplifters and taking steps to increase the powers that the police have to take action when shoplifters and others are violent against retail staff.”
“Our small business strategy will be published later this year and will set out our plans to champion entrepreneurs, improve access to finance and help small and medium-sized enterprises to reach more markets and adopt new technology. As I alluded to earlier, we are developing our plans for our new business growth service, simplifying access to support and advice for small businesses. We are also tackling the challenge of late payments, including the introduction of a new fair payment code and upcoming legislation requiring large companies to report annually on their payment performance.”
“I very much enjoyed my visit to my hon. Friend’s constituency and the roundtable we had with some of the fantastic businesses there. I very much hope that Conservative-controlled Buckinghamshire council will finally get its act together and sort out some of the traffic and parking issues she mentioned. We will set out our plans to do more to help small businesses across the country, including in Aylesbury, in our SME strategy. One particular measure that we will be able to take action on is to improve access to finance for small businesses, following the Chancellor of the Exchequer’s significant increase in the capacity of the British Business Bank yesterday.”
“I recognise that my hon. Friend has been very persistent on this issue, and he is entirely right to be so. We have been working with colleagues in the Home Office and the National Crime Agency to take action to crack down on illegitimate businesses that threaten to undermine the legitimate ones that exist on all of our high streets. In March, the National Economic Crime Centre co-ordinated a three-week crackdown on barbershops and other cash-intensive businesses where there were concerns, visiting almost 400 premises and securing freezing orders over a series of bank accounts totalling more than £1 million.”
“My hon. Friend is right to say that this is not just an issue for our high streets, such as those mentioned by our hon. Friend the Member for Kensington and Bayswater (Joe Powell), but a concern up and down the country. The National Crime Agency and Home Office colleagues are seeking to take action against illegitimate businesses, and my hon. Friend will recognise that the announcement in yesterday’s spending review of additional police officers, with more to come over the spending review period, will help us with that activity.”
“It is a little while since I have been called a hero by the right hon. Gentleman, but I am glad that I have finally had some recognition from him. I do not think that the Chancellor of the Exchequer is a villain at all; indeed, I think the spending review she announced yesterday will help to unlock investment in our high streets and our small businesses up and down the country. The record investment in research and development and in infrastructure, and the additional capacity for the British Business Bank, will help to unlock billions of pounds of new investment and many more job opportunities across the country.”
“We will always work across Government with the Treasury to look at issues that affect businesses, whether on the high street or beyond. In the discussions the hon. Member has had with the particular businesses in her constituency, I am sure she will have noted our plans to reform business rates, which will help many businesses in the retail, hospitality and leisure sector. She will also have noted that more than 40% of businesses will pay no business rates in the coming year.”
“I am sure that the hon. Gentleman— I say this gently to him—will have explained to that particular business that we inherited a very difficult economic situation because of the decisions that his party took, including on tax, but our small business strategy will set out more plans to help small businesses, such as the one in his constituency. Our business rates relief package will make a significant difference for retail, hospitality and leisure. [ Interruption. ] He asks when we will publish the small business strategy—it will be shortly.”
“I thank the hon. Lady for her question, and she is absolutely right to draw attention to the continuing need to speed up compensation to sub-postmasters. Since we came into government, we have increased fourfold the amount of compensation paid to sub-postmasters, but there is an awful lot more to do. On the issues that Sir Alan Bates raised, the hon. Lady will know that under the group litigation order scheme, through which his compensation issues are being addressed, there are various independent points on the journey at which to consider the offer—”
“I thank my hon. Friend for his question. Through our small business strategy, we will set out very shortly further plans to support businesses to get on the high street. The increase in money in the British Business Bank, announced yesterday by the Chancellor, will also significantly increase access to finance for such businesses.”
“The hon. Gentleman will understand that I do not have the details of that specific case, but if he wants to write to me I will happily look into it.”
“The Office for Budget Responsibility’s forecast for growth has been revised up for future years, and the latest forecast from the International Monetary Fund predicts that the UK will see the third highest growth in the G7 over the course of this year. This Government have a plan for change, and it is working.”
“Although that felt like a very long 50 minutes, it is always nice to see the hon. Member for Arundel and South Downs (Andrew Griffith) taking centre stage for the Conservative party. As one of the authors of the Liz Truss Budget, he is a constant reminder of the fiscal mess the Conservatives very kindly left this Government to confront. Once again, the Opposition are trying to make us all believe that we are living in an alternate reality where the economy is shrinking, not growing, and investment is low, not high. There is only one problem with that analysis: none of it is true. Figures published last week showed that the economy grew by 0.7% in the first quarter of this year—the fastest growth of any G7 economy.”
“Far be it from me to give advice to the Opposition, but the party in opposition is still allowed to support measures that are obviously in the national interest.”
“They wanted a trade deal with the US—indeed, they had four years to do a trade deal with President Trump—but they could not; we have managed to do one in just four months. The deal they did with the EU was the worst trade deal in history; every opportunity they had to minimise red tape and border checks, they rejected. What was the result? Businesses stopped exporting to Europe in their thousands. Our deal with Europe sticks to our red lines, will save businesses thousands of pounds, will cut the cost of food in our supermarkets, and will help to get great British food products—from sausages to shellfish to seed potatoes—back into European markets. Once upon a time, the Conservatives were in favour of free trade and trade deals. Now, they are against just about everything.”
“I say gently to the hon. Lady that the current rate of inflation is an awful lot lower than the 11% it rose to under her party. I was a bit surprised that there was nothing in the shadow Secretary of State’s lengthy speech on trade until my hon. Friend the Member for Peterborough (Andrew Pakes) provoked him. We have secured three massive trade deals: with India, the United States and, this week, the European Union. That will slash the cost of doing business abroad, reduce border checks, cut tariffs and axe red tape. Those trade deals will support jobs for British people, and create opportunities for Great British businesses in our biggest current markets, and in one of the world’s biggest future markets. The Conservatives tried to do a deal with India, but could not; it has taken us just 10 months.”
“Well, I am grateful to the hon. Gentleman for confirming once again that he is against the India trade deal, against the deal with the US and against the deal with the European Union. I turn now to business investment. The Opposition’s motion claims that “investors and entrepreneurs are being driven overseas”. I hate to break it to Opposition Members, but the facts tell a rather different story: business investment actually rose by 5.9% in the first quarter of this year, the fastest quarterly growth in two years. In other words, business investment is higher than when the Conservative party left office.”
“One way that the hon. Gentleman could help businesses in Scotland would be to call for the Scottish Government to do what we are doing in this country and extend business rates relief to hospitality and leisure. Investors from across the globe are choosing to put their money in the UK. Our international investment summit last year saw £63 billion committed to the UK—double the amount secured by the previous Government, when the Leader of the Opposition was the Secretary of State for Business and Trade—which is set to generate 38,000 new jobs. Crucially, the leaders of companies that committed to invest in our country at our international investment summit have hailed our pro-business approach as a driving factor behind their decision.”
“I can assure the right hon. Gentleman that we are always talking to businesses in the hospitality sector and across the economy. I say gently to him, though, that we had to take those difficult decisions in the Budget because of the mess that we inherited from his party. Businesses in the hospitality sector and beyond need to ensure that our schools, hospitals and police are properly funded.”
“He said that he has more confidence in the UK economy than he did a year ago. Meanwhile, the chief executive of JP Morgan, Jamie Dimon, has told the Financial Times that he backs this Government’s economic reforms, noting that there is much to like about the new Government’s pro-growth agenda. Our forthcoming industrial and trade strategies are further steps to support businesses and accelerate growth in the sectors of our economy with the most potential. There has not been a strategy to help small businesses for more than a decade. The Conservatives cut support to small businesses to get into new markets. They cut support to help businesses to adopt new technologies and they failed to tackle the scandal of late payments from big businesses.”
“Those assessments were published in the Red Book at the time of the Budget. The right hon. Gentleman can do his own research and look those figures up. Turning back to the international investment coming into our country and the support from business leaders for our measures, Iberdrola’s executive chairman said at the time of our international investment summit that “the clear policy direction, stable regulatory frameworks and overall attractiveness of the UK” have led the company to double its investments over the next few years, reaching up to £24 billion. We have seen more ringing endorsements of this Government’s approach since the summit. In April, the CEO of BlackRock, Larry Fink, praised our pro-growth agenda and said that investment in Britain is “undervalued”.”
“With due respect, the hon. Member is wrong. The OECD says that we will have the second fastest growing economy in the G7. Let me come back to small businesses. Since taking office, we have sought to hardwire the views of small businesses into everything that we do. Together with the Federation of Small Businesses, we have announced robust measures to tackle late payments. Large companies will soon have to include their payment performance in their annual reports—a massive incentive to pay their suppliers more quickly. We have also launched our new fair payment code, overseen by the Small Business Commissioner. We intend to go even further, developing a strong package on late payments, including stricter maximum payment terms and strengthened powers for the Small Business Commissioner.”
“All of this work is having a positive, tangible impact: the newest ONS statistics revealed that the number of businesses set up in this first quarter is up 2.8%, compared with quarter 1 last year.”
“We are also scrapping the Conservative party’s policy of immunity for low-value shoplifting, and providing additional funding to crack down on the organised gangs who target retailers. We know that this has plagued businesses for years, with both staff and store owners feeling powerless. That changes now. At the same time, we are reforming the British Business Bank to free up precious capital for businesses to expand. This includes our start-up loans and the growth guarantee scheme, so that, if people want to set up a new shop or business, the support is there to help them. It is why my Department launched a call for evidence on access to finance for SMEs last month, as part of our work on our upcoming small business strategy.”
“With due respect to the hon. Gentleman, he needs to track these things over a period of time. The Bank of England has revised the growth numbers up for this year, as a result of the measures that we have been taking. As I said earlier, we have had to take some difficult decisions in the Budget to fill the £22 billion black hole left to us by the previous Government to tackle record NHS waiting lists, to invest in schools and to invest in our police. But we have been making headway to deliver on our manifesto pledge to reform business rates. One reason the Conservatives lost the confidence of the business community is that, time after time, they promised to reform business rates and never actually did. We are delivering lower tax rates for retail, hospitality and leisure properties from 2026-27.”
“As I understand it, the hon. Lady actually supports the investment that those tax changes are delivering—she supports every penny of that investment coming into our economy. I wish the Conservative party—perhaps the hon. Lady has some influence with the shadow Chancellor—would set out its plans to raise a similar amount of money, if it does not like our spending plans. I was reflecting on the newest ONS statistics, which show a 2.8% increase in the number of new businesses during this first quarter. Despite what Conservative Members have claimed, business closures are actually down 4.4%. The latest business confidence index of the Institute of Directors showed a significant rise in economic confidence, with their members stepping up recruitment and investment plans for a second month in a row.”
“The ONS numbers on employment show an extra 200,000 jobs in the economy since the general election, so I gently encourage the hon. Gentleman to look at a slightly wider range of statistics. The shadow Secretary of State once again turned to the making work pay and Employment Rights Bill agenda of the Labour party. Let me remind the House that the reforms are about increasing job security for working people. They are about raising both the national minimum wage and the national living wage so that more than 3 million eligible workers receive a pay rise of up to £1,400; ending exploitative zero-hour contracts; and bringing an end to unscrupulous fire and rehire policies.”
“These indicators suggest a labour market that remains robust and responsive, not one being held back, as the Opposition contend. Let there be no doubt: this Government are delivering on our plan for change with investment and reform to deliver growth, put more money in people’s pockets, rebuild Britain and realise a decade of national renewal. We are the party of entrepreneurs and wealth creation. We are the party of workers, the party for economic growth and the party of social justice. The Conservative party has no ideas, no imagination, just a dismal record that it does not have the courage to face up to. We are delivering for British workers and for British businesses, so I urge the House to reject the motion before us.”
“With due respect to the hon. Lady, it is not one or the other: a pro-worker economy is a pro-business economy. That sentiment has been echoed by experts such as Simon Deakin, a professor of law at the University of Cambridge. He says that, on average, strengthening employment laws in this country has had pro-employment effects. He said that the consensus on the economic impacts of labour laws is that, far from being harmful to growth, they contribute positively to productivity. Right now, it is worth noting that optimism among business leaders is rising, with improved expectations for investment, hiring and costs. Employment has risen by nearly 200,000, as I have said, since we took office. Payroll employment remains near record highs at around 30.3 million, and wage growth has been consistently outpacing inflation.”