PARLIAMENTARY DEBATE
Topical Questions - 12 March 2026 (Commons/Commons Chamber)

In the face of global uncertainty, the Government are acting with boldness, creativity and urgency to back British business. We will soon publish our steel strategy to secure an internationally competitive, investible and sustainable future for British-made steel. We are making highly significant interventions on energy. The supercharger discount will increase next month, further cutting costs for around 500 of the most energy-intensive businesses. The British industrial competitiveness scheme will slash electricity bills for 7,000 businesses by up to 25% from 2027.

We are helping businesses to scale and grow, with the British Business Bank making the largest ever equity investments and UK Export Finance working with banks to generate £11 billion-worth of support for small businesses to export. We are opening new markets, with the India free trade arrangement now through both Houses of Parliament. Just last week, I was in Brussels to sign a new competition co-operation agreement. I expect my Department to match the dynamism of the best of British entrepreneurs, and I am proud to report that with this Labour Government, it is.

Soul Farm, which delivers organic and sustainable food, is an example of a co-operative business in my constituency that benefits its community. I also have the “Save the Stag” campaign in Ponsanooth, which is trying to take over and run the local pub, as has already been done at the Ship Inn at Portloe. Setting up or transitioning to a co-op model can be difficult. Will the Minister update me on what support the Government are providing to help new co-ops to start up and existing businesses to transition to employee ownership?

I am grateful for my hon. Friend’s important question. She will know that our manifesto committed to double the size of the co-op and mutual sector, and we are well on the way to doing so. She will also know that a consultation on this issue closed very recently. We are analysing the results and we will make further statements very soon.

I call the shadow Secretary of State.

The Government do not create jobs; business does. With unemployment rising, this is the last chance to ask the Secretary of State a question ahead of the start of April when a tsunami of business rate rises will hit. Shops and restaurants will see a 50% increase on average and the business rates of hotels will double. He and I both represent wonderful Sussex constituencies full of hospitality, high street and tourism businesses, but young people need those jobs. For their sake and for others, will he finally postpone his business rate rise?

I enjoy these exchanges with the shadow Secretary of State. I note that Reform’s self-styled shadow Secretary of State—or, as I call him, the shadowy Secretary of State—is not in his place, despite being just next door in the Tea Room a few minutes ago. I think that speaks volumes.

The shadow Secretary of State knows that the private sector has created 380,000 jobs under this Government. We will continue to grow the economy and the number of people in work, and make sure that people benefit from all the rights we are delivering, which are pro-business and pro-worker. He spent 14 years letting down Britain. Now he has spent 18 months talking it down.[Official Report, 13 May 2026; Vol. 786, c.2WC.] (Correction)

The Secretary of State forgets that I have not even been here for 14 years. Some days it feels like that, but I can assure him that it is not the case. There was no answer to that question, so let me try another. Does he agree that there is something pretty badly wrong with employment law in this country when Peter Mandelson, the friend of a convicted paedophile and leaker of classified Government documents, walks away with a £75,000 pay-off? The permanent secretary thinks that is good value for money. Will the Secretary of State review Labour’s policy of uncapping employment tribunal payouts for the highest earners?

As is so often the case when we have these exchanges, the shadow Secretary of State spends a lot of his time slagging off his own record in office. The Conservatives had 14 years to reform tribunal rights—they did not even touch it. They had 14 years to update workers’ rights and employment status in this country—they did not do it. The economy moved forward; they failed to move forward.

Turning to the issue of Peter Mandelson, I start by recognising that there are victims at the heart of this debate and the issues surrounding it. Those victims are in my mind today as I answer this question, and they have been all the way through. We will make sure that those victims get the justice they deserve. When it comes to the issues surrounding Peter Mandelson, there are multiple inquiries under way. Thames Valley police is leading on a criminal inquiry, and I will leave it at that.

I thank my hon. Friend for her work in this area. The Government believe that trade unions are absolutely essential for tackling insecurity, inequality, discrimination, enforcement and low pay. We are providing a legal framework for businesses and unions to negotiate access to the workplace. We recognise that for the framework to effectively facilitate that access, it has to be supported. That is why we are consulting on this. Officials are reviewing those responses, and we will publish a response in due course.

Fuel duty is currently frozen. The key thing we can do to make sure we deal with this instability in energy prices is de-escalate in the region. I remind the hon. Member that his party has been calling for us to join the war.

My hon. Friend is absolutely right. Co-operatives create a really important sense of connection at a time when people feel disconnected, but co-ops and mutuals are also more resilient and more productive. That is why we have made the commitment she references. Our call for evidence has closed, and we are working on the proposals that will flow out of that. I really welcome the news this morning that the John Lewis bonus is returning and congratulate it on its results.

Our small business strategy sets out the range of measures we are taking to support small businesses. That includes an increase of £4 billion in the finance available to businesses, so that they can invest to take advantage of those opportunities. We will also bring forward the strongest proposals on late payments, to improve cash flow to small businesses, as well as cutting red tape, so that they can take advantage of the opportunities the hon. Member describes.

I thank my hon. Friend for standing up for the business in her constituency, and she is absolutely right. The Trade Remedies Authority is investigating, as she knows, and I urge industry to participate in that, although I cannot comment on the precise details of the investigation because it might eventually come to my desk. Importantly, we need to make sure that dumping is not acceptable, because it makes it impossible for British businesses to prosper. We will do everything in our power to make sure that we use the remedies available to us to protect British businesses.

I am always grateful for invitations to drinks with the right hon. Gentleman. I might well ask him to come to Hove, though; I have been to his constituency a number of times over the years and it is about time he visited mine. When he is there, he will see a thriving hospitality sector, but one that does need support to meet its full potential. We accept that, which is why we have introduced so many support packages since we came into office. What the hospitality sector needs is what every other sector in the economy needs: a stable industrial strategy—

Order. Secretary of State, we have a lot of Back-Benchers who are desperate to get in and who want to hear from you.

For years scotch whisky has faced sky-high import tariffs in India—as high as 150%. The Scotch Whisky Association has described the tariff cuts as “transformational”, and the Scotch whisky industry supports thousands of jobs in my constituency. Does the Minister agree that the increased bilateral trade with India is set to grow the Scottish economy by £190 million a year and is a massive win for the whisky industry, West Dunbartonshire and Scotland?

My hon. Friend is absolutely right, and I commend him for supporting his constituents. Equally importantly, there are many Scottish products in respect of which we need to ensure that British businesses can take the opportunities the India FTA affords, and build on those so that we can build strong British businesses. We also have geographical identification for Scotch whisky in Argentina. We need to build on these gains around the world.

I recently had the pleasure of visiting Ionoptika, a fantastic local employer in Chandler’s Ford. It told me that UK small and medium-sized enterprises are being impacted by export licence turnaround times, which are taking up to six months for non-controlled goods. Will the Minister confirm when we will see a significant improvement in turnaround times?

I am happy to meet the hon. Member if she wants to take me through some of the specific issues in her constituency; I have done that for several hon. Members, and we had a roundtable last week to try to get the timelines down. Sometimes it is difficult. The median time in which we sort them out is 14 days, but if the hon. Member has problems, I am happy to tackle them with her.

From Kingswood accountants to Automated Analytics and our young traders market, Doncaster is home to many businesses run by ambitious entrepreneurs. Will the Minister update the House on how Government support, such as the start-up loan scheme and the growth guarantee scheme, are helping young entrepreneurs and start-ups, and on what more we can do in this policy area?

I am grateful for my hon. Friend’s advocacy on this issue. Britain is the start-up capital of Europe. We are doubling down to ensure that once businesses are started up, they can scale up, stay and build their innovation here, which is why we are also the unicorn capital of Europe. We will double down and make sure that all that innovation, job creation and wealth creation remain here benefiting Britain, including my hon. Friend’s constituency.

The Government have a commitment to reduce the regulatory burden on business by 25%. My Department led on almost £1 billion of regulatory reform for company reporting in just the first weeks of our taking office. The small business plan and strategy will deliver for small businesses, on top of the industrial strategy, of course, which is getting our economy facing the future and into solid growth for now and the future.

I add my voice to that of my hon. Friend the Member for Bexleyheath and Crayford (Daniel Francis) in calling on the Government to publish the review of market access for small breweries as soon as possible. I was delighted that Moot Brew brewery from Halling in my constituency produced the guest ale for the Strangers’ Bar in the House of Commons before Christmas. Will the Secretary of State support a national guest beer agreement policy, so that more fantastic local brewers such as Moot are represented in my local pubs?

My hon. Friend is a real champion for her local breweries, especially Moot Brew in Halling, which produces excellent beer—I know she visits regularly. We recognise the importance of independent breweries and pubs, and we are of course committed to ensuring that the sector remains diverse, competitive and rooted in local communities. We have reviewed the beer market to assess any barriers, and I will keep my hon. Friend updated.

Small-volume business manufacturers in the automotive sector are having a terrible time at the moment. They rely on exports, and exports to the US are critical. Although I welcome the agreement the Government struck, costs are still four times what they were before President Trump introduced his tariffs, and those businesses are also being squeezed by business rates and national insurance at home. Will the Secretary of State make urgent representations to the Chancellor? The market is very delicate, and something must be done to reduce costs.

The right hon. Gentleman raises an issue that is close to my heart. The Government and I care deeply about the future of the automotive sector. Exports are incredibly important to it, but so is the security of supply chains. I have raised this issue not only with our US counterparts and other export markets but with the EU, to protect supply chains. My ministerial colleague chaired the Automotive Council just yesterday; we are listening, gauging and acting on behalf of the sector. Automotive production fell by 50% when the Conservatives were running the country. We are trying to get it back up to where it deserves to be.

I call the Chair of the Business and Trade Committee.

The Select Committee recently flagged that small businesses in our country now face pandemic-level pressures. In April, standing charges for energy are set to rise by 60%, with no price cap protection. Now, soaring oil and gas prices threaten to be the final straw for thousands of SMEs. Will the Secretary of State make an urgent assessment of the risk of soaring energy prices, and give a clear account of how we will keep the SMEs that keep this country running in business?

My right hon. Friend is absolutely right. We have taken action through the British industrial competitiveness scheme, which is a downpayment on exactly the sort of support he describes. We are constantly working on ways to cut costs for small businesses, and I am sure we will work with the Select Committee on that.

Last time we were here for Business and Trade questions, I asked about exports of paraquat—the use of which is forbidden here—to other countries, and I live in hope that I will get an answer to that question. To update the ministerial team, Syngenta—the company that makes paraquat—put out a press release on 3 March to say that it would stop production this year. May I therefore expand my previous question to ensure that the response includes the export of pesticides and other products whose use is banned in the UK?

Yes.

The UK economy needs more and more critical minerals, and in Cornwall we have loads of them. Private capital has flown into the duchy on the back of the Labour Government’s investments of about £100 million through the national wealth fund and the Kernow industrial growth fund, but will the Minister update the House on Government plans to unlock more private investment in our critical minerals sector to unleash the Cornish Celtic tiger?

My hon. Friend is right: Cornwall has loads of critical minerals. They will be beneficial in driving not only the UK economy but great businesses and export opportunities. As we have said before, we want companies to scale and grow in the UK, to be headquartered and listed in the UK, and to provide great jobs in the UK. That is why I am working with my hon. Friend and his Cornish Labour colleagues, and with the industry and capital markets in the UK, to corral capital into Cornish critical minerals.

Since part of Grimsby falls in my constituency, I join my Member of Parliament, the hon. Member for Great Grimsby and Cleethorpes (Melanie Onn), in celebrating Great Grimsby Day. I recently attended a meeting with the hon. Member for Scunthorpe (Sir Nicholas Dakin) and a group of potential investors in the steel industry, who I know have made approaches to the Secretary of State. Can he give me an assurance that all potential private sector investments in the industry will be given serious consideration?

I congratulate the hon. Member on Great Grimsby Day, and I can give him that assurance.

I thank the Minister for speaking to me about the poor postal service in Dargavel Village in Bishopton. I know he is working hard to resolve matters and answer questions and had meetings yesterday, and I thank him for that. However, as he will appreciate, this matter is of particular importance in Scotland due to the elections on 7 May, because postal votes will be issued soon. In Scotland we have an NHS with significant waiting lists, and we cannot have people missing medical appointments, so on behalf of residents of Bishopton in particular, may I stress the urgency of this matter?

My office manager lives in Dargavel Village, so I have a person incentive to ensure that the service improves in the area my hon. Friend represents. We spoke about it yesterday; we have called in Royal Mail, we have brought together unions and management and we had a meeting yesterday with Ofcom to stress that things have to improve. Specific meetings are taking place on postal votes in Scotland, and we have sought assurances that they will not be impacted by the problems with the quality of service.

Yesterday I met representatives of the British Chambers of Commerce, who relayed the profound concerns of the UK automative industry that it might be excluded from the European Union’s proposed industrial accelerator Act. Nissan and Honda have already broken cover to say that their futures may be uncertain unless they are included in the “made in Europe” rules. What is the Secretary of State doing, with his Front-Bench team and across Government, to ensure that the UK automotive sector is not placed at a competitive disadvantage as a consequence of those measures?

The hon. Member’s question is incredibly important. He will know that my ministerial team and I have been very active on this issue. Just a couple of weeks ago in Brussels I raised it directly with Commissioners. He will also know that in the proposed Act, which has not yet been introduced, there are potential challenges for the automotive sector. We are working with our EU colleagues to make sure that voices of the business community are being heard loud and clear and that the automotive sector—in which 86% of the components assembled in this country come from EU countries—is respected, valued, and secure in the future.[Official Report, 13 May 2026; Vol. 786, c. 2WC.] (Correction)

The sudden shift in steel import policy has created uncertainty for firms that have invested heavily in expanding their operations based on previously stable trading conditions. Will the Secretary of State commit to working with affected businesses in Scotland, including Central Rebar in Alloa, and provide clarity to prevent further disruption and to ensure that companies vital to the Scottish industrial base are not placed at a competitive disadvantage?

The Government are incredibly concerned about the gradual erosion of UK domestic steel production compared with imports. I ask my hon. Friend to wait a very short time until the steel strategy is published, and after that he might like a further discussion with me.

High streets are a key concern for us all in this House. On the Promenade in Cheltenham we have Cavendish House, which was a cherished retail centre for 200 years. [Interruption.] The hon. Member for Rhondda and Ogmore (Chris Bryant) remembers it. Now it is empty; Mike Ashley’s Sports Direct left and now we have a big, empty building owned by Canada Life. Does the Minister agree that the big pension and investment companies need to pay more respect to our high streets and bring forward planning applications to redevelop and regenerate as soon as they possibly can? We should not be left waiting for as long as we have been.

My hon. Friend the Member for Halifax (Kate Dearden) mentioned a moment ago that we are working on a new high street strategy, which will seek to deal with some of the issues the hon. Member mentioned. We want investors to step up, but we also have a responsibility, through planning reform, to make it easier to regenerate the types of areas he described.

Given the global energy crisis, manufacturers reliant on gas will struggle with the recent spikes in energy costs. Will the Secretary of State confirm whether his Department is considering a transitional dual fuel discount, alongside the British industrial competitiveness scheme, for industries that will continue to use gas for the foreseeable future?

My hon. Friend will know that the impact of BICS is essential, and it will be fundamental in getting growth into the economy and sustainable businesses into the future. We are looking carefully at how the learning from that can be applied in other areas.