Kevin Hollinrake
MP for Thirsk and Malton · Conservative · United Kingdom
“That issue is one of the many things that the people who signed the petition are concerned about, Dr Huq. One of the big things that the Government promised, which I agree with them about, is the need to encourage faster growth in our economy. Of course that is right, but look at where that growth is.”
“The UK economy went through many challenges, of course, some of them caused by Brexit; the reality is that a change like that was bound to have a short-term effect—but only a short-term effect. The country grew faster than Germany and France during that period of time.”
“As I said before, governing is not easy; we had many challenges ourselves, and we did not get everything right, but what we did during that difficult period of time—those 14 years—was get 1.2 million more people employed in our economy. Unemployment was halved during our time in office.”
“Of course, many Government Members supported his leadership challenge. We are here now, looking forward to a general election coming down the track. We are ready for a general election when the Government are, because, unlike them, we have a strong leader—against their weak leader.”
“I was, absolutely. I thank my hon. Friend the Member for Berwickshire, Roxburgh and Selkirk (John Lamont) for his excellent opening speech. He made so many good points, not least about the level of support for this petition.”
“Members on the Government side of the House also feel betrayed and angry with their own leadership, for marching them up to the top of the hill and marching them back down again on many of these issues, but they do not feel as betrayed as the businesspeople in this country in particular.”
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“Finally, Labour’s education tax—the spiteful and ideologically driven decision to remove the charitable rate relief from private schools that are charities—sits alongside the utterly wrong-headed policy of charging VAT on private school fees. Regardless of people’s views on private schools, it is the view of the Opposition that we should never tax education. We are already seeing the gates of independent schools being locked indefinitely. That pushes more children into state education, increases class sizes and puts more pressure on the public purse, and on councils trying to find placements for students with education, health and care plans. Lords amendment 17 would retain rates relief for private schools in England, sparing them part of a cumulative burden that would otherwise send many of them beyond the brink.”
“Before we get to the real sting in the tail of this Bill, I will speak briefly to Lords amendments 13 and 16. Like Members of the other House, we have concerns about the cliff edge that the Bill will create in the business rates system, which the Minister referred to. A business crossing the £500,000 threshold, even by £1, could see a near 20% increase in rates payable. For instance, a business with a hereditament of £495,000 invested in their property—just enough to push them over the threshold—would potentially see an increase in rates from around £175,000 to £325,000 as a result of this Bill. The legislation will stifle investment and growth even further.”
“As we boost capital defence expenditure, it is important that we have a strong and resilient manufacturing base that can supply our brave armed forces. I urge the Government to reflect carefully on the impact of the new rates system on manufacturing, and we will listen carefully to the Minister’s responses on this issue. Turning to Lords amendments 1, 6, 7 and 12, given that the Government are raising taxes to invest in the NHS, it seems perverse for them to levy higher business rates on the hospitals and GP practices that provide the services that so many of our constituents rely on. It is just weeks since the Government shamefully voted to impose a jobs tax on hospices, pharmacies and GP practices—another double whammy. Labour is giving with one hand and taking with the other.”
“Is that relief also on the chopping block, maybe at the Chancellor’s emergency Budget tomorrow? Let us see what that brings; we may get clearer answers then. Tomorrow’s last-gasp attempt to go for growth comes after GDP falling by 0.1% in January. That was largely attributed to a 1.1% fall in manufacturing output. That brings me briefly to Lords amendments 3, 4, 9 and 10. They would make manufacturing hereditaments eligible for the lower multipliers when it comes to local ratings lists. That comes at a particularly important time for our manufacturing sector, which is a crucial part of our economy, whether we are talking about automotive manufacturing, aerospace manufacturing or precision engineering.”
“In fact, the British Retail Consortium has warned the Government that “The sheer scale of new costs and the speed with which they occur create a cumulative burden that will make job losses inevitable, and higher prices a certainty.” That contrasts with my party’s proud record of supporting businesses, including small businesses, on the high street by cutting business rates, as well as providing billions of pounds of support throughout the pandemic. While we are talking about high street businesses, can I once again push the Minister on a very important point—the retention of small business rate relief? Many businesses’ livelihoods depend on that relief, so will he say at the Dispatch Box that it will be continued? I have not had clarity, and clearly I will not get clarity today.”
“When people come into the town centre to use an anchor store, they might stop for lunch in a local café or pop into an independent business. Key anchor stores in the Secretary of State’s constituency will be hit by this Bill: Sainsbury’s in Ashton-under-Lyne has a rateable value of £1.24 million, while Marks and Spencer next door has a rateable value of £770,000. These decisions have real-world effects on companies that are not online giants. We have seen the impact on our communities when anchor stores leave a town. For many anchor stores, being dragged into the higher multiplier by this Bill could be the straw that breaks the camel’s back; those shops have already been hit by the jobs tax, and will be tied up with even more red tape through the Employment Rights Bill.”
“In reality, shops, restaurants, cafés, pubs, cinemas, music venues, gyms and hotels will all see their business rates rise as a result of the higher multiplier. We would support a rates regime that would genuinely level the playing field between online retailers and the high street, but this Bill does not deliver that. We therefore support amendment 14’s requirement that the Secretary of State conduct a review on introducing a higher multiplier for fulfilment warehouses. Such a multiplier would mean that important anchor stores for high streets would not be punished. That brings me to Lords amendments 1, 5, 8 and 11. We all know from our constituencies how important anchor stores, such as supermarkets and department stores, are for attracting footfall and supporting local economies.”
“The reason I challenged the Minister a couple of times during his remarks is that I do not understand how the Bill can be both a first step and a permanent change. That makes no sense, and if I were one of the business people for whose rude health we are all responsible, I would like to know exactly what the Government have planned beyond these changes. That is not clear. I turn first to Lords amendment 14, which would require the Secretary of State to review “the merits of a separate Use Class and associated multiplier for retail services provided by fulfilment warehouses that do not have a material presence on local high streets”— in other words, online giants. It is worth noting that the rates regime proposed by this Bill will mean that only around 10% of businesses paying the higher rate will be the warehouses of online giants.”
“Over 220,000 businesses closed their doors in the last three months of 2024. When considering the Lords amendments, it is important to remember that the Labour party promised to abolish business rates—another broken promise. The Minister, for whom I have a great deal of time, talks about the art of the possible; what he is saying is that a promise that he and his colleagues made to the electorate in the run-up to the election has been broken. In its manifesto, Labour promised to “replace the business rates system, so we can raise the same revenue but in a fairer way. This new system will level the playing field between the high street and online giants”. That is not what the Bill does, so that is also a broken promise.”
“My right hon. and learned Friend makes a very good point. These are difficult times. As she knows, I was in business for 30 years, and we go through some difficult times. Many people think that business is easy, but it is not, particularly at times like this, when confidence, including consumer confidence, has gone so low. It means that people are not coming through the door. My advice to businesses is to batten down the hatches and get through this where they can, but inevitably the consequence of these choices will be less employment, lower salary increases and higher prices in shops, public houses and other places. That is the consequence of the choices that this Government have made. The real-world effect of this historic drop in confidence is a 20-year high in business closures.”
“What would the hon. Gentleman say to businesses that are trying to make their numbers add up? In its manifesto and previously, the promise—the commitment—of the Labour party was to level the playing field between online giants and small businesses, but, as the hon. Gentleman can see, that is not what is happening here. Many different premises, including manufacturers and large bricks-and-mortar retailers, are being hit by these increases. What would the hon. Gentleman say to those businesses, given that while there is currently no sign of any increase in their rates, that is exactly what they will see as a result of the Bill?”
“Since 2010, we have delivered 2.5 million new homes and 750,000 affordable homes.”
“We will also highlight our concerns in a number of areas, including whether the Bill goes far enough to achieve its goals; the removal of a councillor’s ability to vote on individual applications; and the potentially toxic mix of disproportionately large increases to housing targets in rural areas, the grey belt “Trojan horse”, including the removal of any protection for villages, the move to strategic plans and of course the ambition to build 1.5 million homes. The Secretary of State is apparently keen on spotting elephants, but she seems to have missed a huge one, in that that target of 1.5 million homes is completely undeliverable.”
“I am pleased to lead the response on behalf of the Opposition, and I draw the House’s attention to my entry in the Register of Members’ Financial Interests, which includes more than 30 years of business experience and interest in the property sector. We support some of the principles, aims and ambitions of the Bill, some of which build on the work we undertook while we were in office—a time that included a record period for house building in this country.”
“Indeed, the joint report from Savills, the Home Builders Federation and the National Housing Federation said that the Secretary of State would fall short of her target by 500,000 homes. The Government have not yet set out how many social or affordable homes they will deliver, or what measures they will put in place to help first-time buyers on to the housing ladder, particularly when they have scrapped Help to Buy and the stamp duty discounts, which helped 1 million young people to buy their first home.”
“My hon. Friend is right to spot that requirement, and we will certainly be considering that when we table amendments to the Bill. We believe it is completely inappropriate that certain groups should get preference over other groups in consultations that might occur during the planning process. The ambition to build 1.5 million homes is all well and good, but the Government have not yet set out exactly how they will do that. There are many questions about its deliverability, certainly in the context of the February S&P Global UK construction purchasing managers’ index, which described one of the biggest monthly falls in house building and construction on record.”
“My hon. Friend is absolutely right to raise that point. The increase in this country’s population is part of the reason why we have a rising need for housing, as well as for temporary accommodation. That all impacts on the system.”
“The hon. Gentleman fails to acknowledge that there were quite a few different housing Ministers during Labour’s previous tenure as well, but he makes an interesting and important point that I am happy to answer. Of course we want to build more houses to tackle affordability problems. I say that in relation to social housing, because during those 14 years, as well as delivering 2.5 million new homes, we delivered 750,000 affordable homes.”
“Having inherited the fastest growing economy in the G7, the Chancellor proceeded to trash talk the economy recklessly for six months, before hitting it with £70 billion per annum of tax and borrowing. If that was not bad enough, the Deputy Prime Minister introduced the Employment Rights Bill—[Hon. Members: “Hooray!”] Wonderful. All Labour Members’ union supporters will applaud them for it. It will kill tens if not thousands of businesses, and potentially hundreds of thousands of jobs throughout our country.”
“As I said, there is no question but that there are underlying problems in the marketplace. We delivered 1 million homes, which was our target, in the last Parliament, but of course we agree that supply and demand is part of the equation. It is not the only part, so we support the ambition to deliver more homes. We had a similar commitment in our manifesto, and there is a context for that within the overall framework for a higher target. The Government must reflect on the fact that although the construction sector is an important part of the economy, it represents only around 6% of GDP. Growth in the other 94% has been killed stone dead by the twin human wrecking balls who are the Chancellor and the Deputy Prime Minister.”
“That is absolute nonsense. Talking of confidence, according to a monthly survey by the Institute of Directors, business confidence in this country has collapsed since Labour took over. A high of plus 5 in July last year has collapsed to a covid-level low of minus 65. The Deputy Prime Minister’s Government inflicted that on this country. There is a complete absence of business experience in the Cabinet. Having killed economic growth in most of the productive economy, the Government now resemble a clueless gambler at the end of a disastrous night in the casino—they are staking everything on a last-gasp gamble on the property market. From 2013 to 2023, we saw the highest sustained level of new home formations in the past 50 years, surpassing even the levels in the 1970s.”
“My right hon. Friend is absolutely right. What have the Deputy Prime Minister and the Chancellor got against first-time buyers? We helped 1 million first-time buyers to get on the housing ladder through Help to Buy and discounts on stamp duty. The Government scrapped both those schemes.”
“For example, on the infrastructure consenting process, measures to reduce decision times are welcome, but consideration should be given to removing specific critical projects, such as airports, reservoirs, nuclear power stations and national transport schemes from the judicial review process altogether. The nature restoration levy and environmental delivery plans to be delivered by Natural England could be welcome if they allow developers successfully to discharge the requirements of the habitats regulations, but there are key questions. What incentives are there for Natural England to set levies that are proportionate to the impact on the environment? Will they just become another tax and another deterrent to building?”
“I do not disagree that there were some flaws in the scheme. Nevertheless, around 340,000 people made it on to the housing ladder through that process. They include people in my constituency and probably people in the hon. Member’s constituency. We recognise the need to go further. That is why we commissioned work by Charles Banner KC on speeding up the planning and delivery of national infrastructure projects, and Nick Winser’s review on accelerating energy infrastructure. We are grateful to them for their work. When we compare their recommendations and others with the Bill, we believe that the Bill’s benefits have been significantly oversold.”
“I can guarantee that we will support measures that we think will be successful. The hon. Gentleman brings up some of the work we tried to do in the previous Parliament, some of which was successful. Other things were unsuccessful, including our solution on nutrient neutrality, which was blocked by his party by about 100 votes in the House of Lords. The impact of that particular measure is considered negligible. We want to ensure that where any levies are put in place by Natural England, if the impacts are considered negligible, they are also negligible for developers.”
“The Chartered Institute of Ecology and Environmental Management has stated that the Government’s approach means that our natural capital assets will be destroyed immediately, and it could take decades for any improvement.”
“Indeed, Sam Richards of Britain Remade states that it might set the bar even higher by requiring a net gain for that species. If an EDP covers one element of environmental impact but not others, the developer might have to pay into the levy and build the bat tunnel. Have the Government also considered changes to section 20 of the Environment Act 2021, which this legislation is subject to? I am interested to hear the Minister’s reflections. Overall, we believe that it will take at least two to three years from Royal Assent for these EDPs to have meaningful effect. I am very happy to seek assurances from the Minister if that is not the case. There are also understandable concerns about whether the route chosen will even deliver on its objective to protect the environment.”
“We could talk with the Minister for Housing and Planning, the hon. Member for Greenwich and Woolwich (Matthew Pennycook) about making such amendments to the legislation as it passes through Committee. I have other questions. Is Natural England sufficiently resourced to carry out its work? How long will it be before these plans are in place? Have the Government taken into account the inevitable delays due to judicial reviews of the environmental delivery plans? Is it not the case that the habitats regulations remain in place beneath this new system, so if a development does not show the overall improvement test for each identified environmental feature, as referenced in clause 55, the system will not apply and the developer will still need to build those bat tunnels and fish discos?”
“This is particularly extraordinary considering that when Labour was in opposition, the former shadow Housing Minister said in a debate in this House on 21 June 2021 that the previous Government should “protect the right of communities to object to individual planning applications.” —[ Official Report , 21 June 2021; Vol. 697, c. 620.] Clearly, the current Housing Minister is not doing that— he is doing the exact opposite through these rules—and he should be clear with the public about that, because sooner or later, that fact will hit home.”
“My right hon. Friend raises a very important point. Constituencies such as his and mine that include those protected landscapes do not seem to have that considered or catered for in the housing targets, particularly the new ones that we have before us. Again, I am very keen to discuss with the Minister how we might address that. On planning, we are very concerned about the national scheme of delegation, which will remove councillors’ right to vote on individual planning applications. If the Secretary of State does not believe that that is the case, I suggest that she reads clause 46 of her own legislation.”
“I am very happy to have a debate with the Housing Minister—he is welcome to intervene on me. I suggest that he reads clause 46 as well. Of course, it is also a fact that 14 Cabinet Ministers, including the Deputy Prime Minister, the Home Secretary and the Health Secretary, all campaigned to block housing developments in their own constituencies. What hypocrisy!”
“It is right to say that the vast majority of applications are consented to by planning committees. Removing councillors’ right to vote on them is absolutely the wrong thing to do, and Labour must be honest with the public that that is exactly what is happening.”
“I am concerned about the points that my right hon. Friend has raised. The Government talk about abolishing a layer of government, but they are actually introducing a new layer of government: the strategic authorities, which will have the ability to push housing from urban areas into rural areas such as my right hon. Friend’s and those represented by other Members in this House.”
“This is of particular concern in many rural areas, given the disproportionately high increases in targets for rural locations. The Secretary of State has increased the national target for house building by 50%, so the average rural resident might expect that their local housing target has increased by a similar amount, but that is not the case. According to the House of Commons Library, the targets for major urban conurbations are up by 17% on average, while the targets in mainly rural areas have increased by 115%. For example, London’s target is down by 12%, Newcastle’s is down by 15%, Birmingham’s is down by 38% and Coventry’s is down by 55%, while Wyre Forest and New Forest’s targets are up by 100% and Westmorland’s is up by almost 500%.”
“I agree that, in order to be fair to areas that include protected landscapes and national parks, that should be a consideration. The removal of powers from councillors will only become apparent to many residents when they see a green notice on a nearby telegraph pole and contact their local councillor to express their concern, only to be told, “I’m sorry, but I no longer have the power to ask for the application to be considered and voted on by the planning committee.” The Local Government Association itself strongly opposes these changes, saying that “The democratic role of councillors in decision-making is the backbone of the English planning system, and this should not be diminished.” We also have concerns that the imposition of strategic planning will be used as a vehicle to force rural authorities to absorb urban housing need.”
“Why has she scrapped all the work we did on design codes to move away from identikit housing towards building more beautifully? We welcome the greater emphasis on local plans, but we would like to see more ambitious requirements for sites to be made available for small builders and for self-build. Currently, it is a 10% requirement on local authorities, but we would like to see a 20% allocation, as requested by the Federation of Master Builders. We would also like to see Homes England’s remit extended to include micro-builders.”
“My right hon. Friend is right to express her concerns. What everyone wants to see is fairness. We would expect everybody to carry a fair share of the extra housing, but that is not what is happening. [ Interruption. ] Labour Members should go and have a word with the House of Commons Library if they do not agree. They can check the numbers out. The fact that housing delivery provided by new towns will not contribute to the targets will shock many councillors and local residents alike. Neighbourhood plans do not have to be consistent with the NPPF; they merely have to “have regard to” it. Can the Deputy Prime Minister confirm whether that will be changed? There is nothing in Labour’s plans about adequately resourcing or having process reforms of the Planning Inspectorate, which is clearly a key part of the system.”
“To conclude, we will not oppose the passage of the Bill this evening, but we will seek to amend it in ways that do not undermine the ambition to accelerate the delivery of new homes while ensuring that there are checks and balances that protect communities, rural areas, farmers and the environment and that deliver well-designed, affordable homes for everyone, not least those on lower incomes and first-time buyers.”
“So, farmers and landowners must be fully consulted every step of the way.” Can the Deputy Prime Minister confirm whether that will be the case? The grey belt, which was sold to the public as a few abandoned garage forecourts, has now been exposed as the Trojan horse we predicted it would be. Although not directly part of this Bill, it clearly interacts directly with it. It has been described as a death knell for the green belt due to the removal of parts of the definitions and protections of villages. Villages can now merge together or into nearby towns.”
“I agree with that, and I made the same point from the Back Benches on many occasions, including about Labour-run York, which has just put a local plan in place for the first time since 1956. There are understandable concerns that compulsory purchase orders are an extension of the Government’s attacks on farmers. Tim Bonner of the Countryside Alliance said that “giving councils more power to reduce the value of land is a step too far, especially in the context of…the inheritance tax fiasco.” The Deputy Prime Minister and her colleagues should heed the words of National Farmers Union vice-president Rachel Hallos, who said: “This Bill comes at a time when the UK farming industry is under immense financial pressure due to the loss of direct payments, extreme weather and the impacts of the family farm tax.”
“How is what the Minister is saying consistent with what he said on the Floor of the House on 9 December, when he said: “the changes are designed to… focus the time of elected councillors on the most significant or controversial applications” —[ Official Report , 9 December 2024; Vol. 758, c. 673.]— which he is going to dictate? Will he, at the very least, publish his draft regulations on what he intends through clause 46 alongside the passage of the Bill?”
“The Minister mentions local government reorganisation. On 5 February, the Deputy Prime Minister stated: “We are postponing elections for one year, from May 2025 to May 2026” —[ Official Report , 5 February 2025; Vol. 761, c. 767.] but on 17 February, the Minister, in a written parliamentary question, said that “new unitary…government will be established or go-live in 2027” or 2028. Will the Minister confirm that these elections are not being postponed, and that they are, in fact, being cancelled for up to three years, meaning that councillors will serve terms of up to seven years? Will he also confirm that the Deputy Prime Minister may have unintentionally misled the House, and will he correct the record?”
“Help to Buy helped 350,000 young first-time buyers and the stamp duty discount helped 640,000 first-time buyers get on the housing ladder with discounts of up to £11,000. Both are now scrapped. Is the Secretary of State pulling up the housing ladder behind her?”
“I will try again. The Government’s manifesto promised to preserve the green belt. Then grey belt came along, which was supposed to be a few garage forecourts. Now it turns out that grey belt will mean 640 square miles of green belt—the size of Surrey—are to be built on. Is this simply another broken promise?”
“Those who profited from cutting comers or were criminally negligent must face consequences—not just fines but criminal charges where evidence allows. Grenfell must be a watershed—a legacy of safety, transparency and respect for every resident. I make our clear commitment to work with the Deputy Prime Minister and the Government, on a cross-party basis, to meet that promise.”
“What discussions has the Leader of the House had with parliamentary colleagues on the establishment of a public inquiries Joint Committee to monitor the implementation of public inquiry recommendations? What is the timetable for the new publicly available record on all public inquiry recommendations since 2024? On social housing, the extension of Awaab’s law and new standards are positive, but the Government must go further to address the inquiry’s wider lesson. Residents’ voices were ignored. Tenant empowerment must be more than a panel or a campaign; it needs legal teeth to ensure landlords act on concerns swiftly. Justice demands accountability. The Metropolitan police investigation has our full support, but the pace must quicken.”
“The remediation acceleration plan is welcome, but its targets of assessing all buildings by July 2025 and completing works by 2027 relies heavily on developers stepping up voluntarily. What actions will the Deputy Prime Minister take if they do not comply? Will she work to deliver solutions for non-qualifying leaseholders and those at risk as a consequence of other fire safety defects? This House needs concrete assurances that no resident will be left behind. I question the phased approach to implementation stretching beyond 2028. Justice delayed is justice denied. The Grenfell community has waited long enough for change. Why must they potentially wait another parliamentary term for full delivery?”
“Unlimited fines and prison sentences for rogue executives and, where appropriate, Government officials, cannot remain mere rhetoric. Ambition must be matched by urgency and scrutiny. Nearly eight years have passed since Grenfell, yet thousands still live in buildings with unsafe cladding and other fire safety defects. Although I welcome the fact that the Deputy Prime Minister has accepted the majority of the recommendations, why has she not accepted the inquiry’s recommendation for a single regulator to oversee the testing and certification of construction products, leaving that instead with conformity assessment bodies? I remind her that the Building Research Establishment, which is itself a conformity assessment body, was strongly criticised for its conflicts of interest.”
“The inquiry’s findings—decades of systemic failure, dishonesty and negligence—are a damning indictment of successive Governments, regulators and industry. The Government’s response, with its acceptance of all 58 recommendations, is a step forward, and I welcome the commitment to action. The creation of a single construction regulator, the appointment of a chief construction adviser and the consolidation of fire safety functions under one Department are long overdue reforms. So too is the focus on professionalising fire engineers and reforming the construction products sector, which the inquiry exposed as riddled with systemic dishonesty from firms such as Arconic, Kingspan and Celotex. The Green Paper on construction products reform is a promising start, but it must deliver real accountability.”
“May I thank the Deputy Prime Minister for advance sight of her statement and the Government’s response to the phase 2 report? I echo the Deputy Prime Minister’s sentiments, which are shared across the House. The tragedy of Grenfell, which claimed 72 innocent lives—54 adults and 18 children—will always remain a scar on our national conscience. I thank Sir Martin Moore-Bick and his team for their work. I join the Deputy Prime Minister in offering my deepest apologies to the bereaved, the survivors and the Grenfell community for the failures that led to that horrific night in June 2017—we all remember where we were that night. I also thank them for their constant and constructive campaigning.”