18 Michelle Donelan debates involving the Department for Business, Energy and Industrial Strategy

Wed 18th Jul 2018
Fri 11th May 2018
Parental Bereavement (Leave and Pay) Bill
Commons Chamber

3rd reading: House of Commons & Report stage: House of Commons
Mon 30th Apr 2018
Domestic Gas and Electricity (Tariff Cap) Bill
Commons Chamber

3rd reading: House of Commons & Report stage: House of Commons
Fri 16th Mar 2018

Space Policy

Michelle Donelan Excerpts
Wednesday 18th July 2018

(5 years, 10 months ago)

Commons Chamber
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Sam Gyimah Portrait Mr Gyimah
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Very shortly.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I welcome today’s statement. This really is an exciting time for the UK’s space sector. Will my hon. Friend tell me what else the Government are doing to benefit the space industry, as this will be of particular interest to my constituents who work at the Corsham Airbus site?

Sam Gyimah Portrait Mr Gyimah
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There is a huge amount of investment. I have mentioned the space sector deal and other investment in R&D that companies across the country with the expertise to benefit our space sector could do well out of.

Oral Answers to Questions

Michelle Donelan Excerpts
Tuesday 17th July 2018

(5 years, 10 months ago)

Commons Chamber
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Claire Perry Portrait Claire Perry
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My understanding is that there have always been differentials for different age groups. We will continue to review this because we are the party that nationally—right across the UK—wants to make sure that productivity and wages increase, rather than using the rhetoric we hear from other Members.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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7. What steps his Department has taken to tackle the challenges set out in the industrial strategy.

Julian Sturdy Portrait Julian Sturdy (York Outer) (Con)
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13. What steps his Department has taken to tackle the challenges set out in the industrial strategy.

Claire Perry Portrait The Minister for Energy and Clean Growth (Claire Perry)
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Blimey, Mr Speaker, I am getting through them today.

As my right hon. Friend the Secretary of State laid out at the northern powerhouse business summit, the industrial strategy is encouraging innovation across the UK, developing those high-quality jobs and wages we all campaign for. Sector deals are about building long-term partnerships and businesses, and the grand challenges in areas such as clean growth will equip the UK to seize opportunities and be a world leader in the industries of the future.

Michelle Donelan Portrait Michelle Donelan
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One of the biggest challenges we face is the STEM skills gap, something that I repeatedly mention in this place, given that Wiltshire is a hub of engineering design and technology. What work is my right hon. Friend doing with the Department for Education to ensure that we are developing the skills needed by businesses?

Claire Perry Portrait Claire Perry
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I thank my hon. Friend and neighbour for the work that she has successfully done in her constituency promoting the importance of STEM skills. We are working with the Department for Education to grow STEM skills in the UK through initiatives such as T-levels, by investing more than £400 million, and I am particularly keen that that work focuses on harnessing the huge potential of women, a group who are very under-represented in the sector. That is why initiatives such as POWERful Women are so important.

Construction Sector Deal

Michelle Donelan Excerpts
Thursday 5th July 2018

(5 years, 10 months ago)

Commons Chamber
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Lord Harrington of Watford Portrait Richard Harrington
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We have another horse analogy. I said that I would trot, and I have been accused of cantering, but now I will try to gallop. I note the hon. Lady’s point about the local sector deals, and her area is one of our higher priorities. I cannot answer her question about renewables because that is not one of my sectors, but perhaps I can drop her a line or meet her to discuss it.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I strongly welcome the construction sector deal. With productivity in the construction sector on average 21% lower than in the rest of the economy, it is vital that we tackle that to increase our housing stock. Does the Minister agree that investing in digital and off-site manufacturing technologies will also boost our STEM sector? That is vital for constituencies such as mine, which is a hub of engineering, design and technology.

Lord Harrington of Watford Portrait Richard Harrington
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The sector deal shows that those types of skills will be adapted to building. Digital technology, artificial intelligence and precisely the STEM skills that my hon. Friend mentions are an important part of the sector deal and of the future construction industry.

Oral Answers to Questions

Michelle Donelan Excerpts
Tuesday 12th June 2018

(5 years, 11 months ago)

Commons Chamber
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Lord Harrington of Watford Portrait The Parliamentary Under-Secretary of State for Business, Energy and Industrial Strategy (Richard Harrington)
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As you may well be aware, Mr Speaker, highland products are absolutely excellent and should well be distributed to all parts of the UK. The Government’s policy, with the industrial strategy to develop business by helping with research and development and through keeping fuel prices low, without the troughs and peaks that the Secretary of State mentioned, will help significantly.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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T8. Each year, I organise the Wiltshire Festival of Engineering, and this October’s event is set to reach thousands of young children. What will the Department be organising for this year’s Year of Engineering?

Sam Gyimah Portrait The Minister for Universities, Science, Research and Innovation (Mr Sam Gyimah)
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The Festival of Engineering is particularly important for students because we want to encourage and inspire people to take engineering subjects and follow engineering careers. A lot of activity is planned and I will be delighted to share this with my hon. Friend.

Parental Bereavement (Leave and Pay) Bill

Michelle Donelan Excerpts
Kevin Foster Portrait Kevin Foster
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I think that my hon. Friend’s interpretation is correct, but perhaps the Minister will cover that when he sums up so that we are absolutely clear about the Treasury’s position. My understanding is that the Bill makes clear the minimum—the statutory pay—but that employers are of course welcome to pay more. As we have heard, most employers—some 90%—are doing the right thing. I should be clear that most employers are already doing exactly what we want them to; we are legislating for the 10% who do not.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I echo hon. Members’ comments about the Bill setting the minimum, but it is important that we also recognise that some very small businesses and microbusinesses simply cannot afford to continue to offer full pay because they have to get somebody else in to do the job in the interim. The statutory element is about giving them the ability to be compassionate and let their staff take the time off with some kind of income. It is not just about some employers not getting it; it is a “needs must” thing, too.

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Michelle Donelan Portrait Michelle Donelan
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I am delighted to have the opportunity to speak. My heart goes out to everybody who has been affected by a bereavement. I take my hat off to all Members who have contributed to the debate who have personally endured loss themselves. It is a very brave and remarkable thing to share with the House. Their experience will enable others to have a better experience.

I cannot imagine going through parental bereavement, but if my constituents or I were to do so, I would expect employers to be generous. The Bill is meant to ensure the minimum of what employers should give to their employees. It is important to note, however, that some microbusinesses or small businesses just do not have the capacity to pay staff for a period of leave, and a member of staff might not be able to afford unpaid leave, so the provision of a statutory element is a great step forward. It will give employees more freedom to take the time to grieve and to deal with their loss. It will also give employers the benefit of knowing that they will be able to facilitate that while keeping their business afloat. I think that that is the right thing to do. It is right for taxpayers to be contributing. We have heard today that the cost will be £3.2 million, and I would argue that this is a very good use of that money. I know that my constituents will be delighted as I have already received a number of pieces of correspondence from them echoing that view.

Antoinette Sandbach Portrait Antoinette Sandbach
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For those who lose a child in childbirth or before birth—for example a stillbirth—there would have been a cost to the taxpayer, had the pregnancy gone as planned, through payments for maternity or paternity leave. I would therefore argue that although the Bill will involve a small additional cost for the taxpayer, the burden would have been borne by the taxpayer had there been a birth without complications. This measure is a very important way to support parents during an utterly tragic time in their lives.

Michelle Donelan Portrait Michelle Donelan
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I completely agree. The state and the taxpayer have a responsibility to contribute. If someone is given the amount of time they need to recover, the long-term benefit for businesses and the economy will more than pay back any financial cost.

The Bill is a modern and compassionate measure. It is surprising that most countries do not already make such provision. The Lullaby Trust says that the UK will lead the way with this legislation, and I hope that other countries will follow suit, because this is the right thing to do.

James Cartlidge Portrait James Cartlidge
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I have been looking for information about international comparisons, and the reason why there is not much of it is because no one else does this. It is heartening to think that we will be leading the way, and that will be in no small part due to those Members on both sides of the House who have fought so hard for these changes.

Michelle Donelan Portrait Michelle Donelan
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I completely echo my hon. Friend’s comments. I pay tribute to my hon. Friends the Members for Thirsk and Malton (Kevin Hollinrake) and for Colchester (Will Quince), as well as everybody else in the House who has contributed to the Bill, including all members of the Public Bill Committee. The Bill commands cross-party support, as well as support from the public, who will note today’s debate and see that Parliament sometimes really is in touch with people and their needs.

I echo comments about the fact that when employers are very generous towards their employees, it fosters a sense of loyalty and respect among them. I am sure that employers’ ability to offer this additional support will go some way towards developing that even further. Some of the amendments relate to the amount of leave that can be given. I honestly think that we can never quantify the length of time that it takes to get over a loss—in fact, we never really do get fully over a loss, be that of a child or anybody else who is significant in our lives—so I question whether the time being allowed is enough, although it is a good start. The whole point is that the Bill is supposed to set out the minimum, and we might revisit this and look to increase the time through secondary legislation.

We have discussed when people can take leave. There is a strong argument that an eight-week period is too arbitrary and very strict, because of such things as inquests, anniversaries and the dates when it really hits home. We must also remember that the Bill offers statutory pay, and people who only get that might not be able to afford to take time within those eight weeks. They might have to save up or make provision as a result of debts or the unexpected bills that people have to pay when someone dies. They might also not be ready for those losses. We cannot expect that somehow their financial burdens will suddenly disappear—that can take time.

We have heard an interesting discussion about the age of the child. It is important to remember that no matter how old someone’s child is, they are still that person’s child. Whether someone is 18 or 40, the loss is still huge, and Members have mentioned their personal experiences of that today. There is an argument for increasing the age from 18. We might not be able to do that in this Bill, but perhaps we can look at the position again. I echo the comment from my hon. Friend the Member for Mid Dorset and North Poole (Michael Tomlinson) that the burden would probably not increase fivefold, because a lot of people will be retired by the time their child is lost. It is important to remember that not everybody will take up the offer, and some employers would offer their own scheme, so their employees would not be looking at the statutory benefit. We can explore this area more, and I think that further research and investigation needs to determine the cost to the taxpayer if the provision were extended.

Kevin Hollinrake Portrait Kevin Hollinrake
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My hon. Friend is making some excellent points. As I am sure she is aware, there is a consultation on many of the issues to which she refers. I absolutely accept that we need to consider the eight-week window, for example, and that is one matter that is subject to consultation. I urge her and any Members who may have an interest in this, as well as constituents and charities, to submit evidence to the consultation, which I believe expires at 11.45 pm on 8 June.

Michelle Donelan Portrait Michelle Donelan
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I thank my hon. Friend for his intervention and for clarifying that very specific time of 11.45 pm. I will urge all my constituents to contribute to the consultation, especially those who can bring their own experience to it.

Kevin Foster Portrait Kevin Foster
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Does my hon. Friend agree that the priority is that the provisions do not become a cliff edge, meaning that we do not have people’s 18th birthday as the absolute marker? Actually, when we read the Bill, we see that it could apply not only to someone under 18, as the parent of someone who dies on their 18th birthday may end up qualifying. However, the issue is making sure that this age is seen as a bare minimum, not a ceiling.

Michelle Donelan Portrait Michelle Donelan
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I thank my hon. Friend for his contribution. He made that point earlier and he is right that we need a law that is compassionate yet workable so that we can interpret it in an orderly fashion and implement it for everybody.

The consultation will also look at the definition of a parent. That is needed in today’s society more than ever before, as we have different types of families and family dynamics. Sometimes people have more than one mother and more than one father, and we need to be flexible when defining parents and understanding of the different roles that people play as primary care givers.

Another important area is the self-employed, and I know that we will look at that as part of the Taylor review. I regularly speak in Parliament about making provision for the self-employed because although they are the lifeblood of our economy, they are too often forgotten and missed out from these types of benefits. Self-employed entrepreneurs are driving our economy forward, so it is important that we show just as much compassion and understanding to them.

I hope that this fantastic, modern, forward-thinking Bill will inspire other countries to follow suit. I hope not only that its provisions will set out the minimum that we expect from companies, but that we will revisit the Bill in the future and try to expand and build upon it.

Chris Philp Portrait Chris Philp (Croydon South) (Con)
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It is a great pleasure to follow the hon. Member for Chippenham (Michelle Donelan) and to speak in such an important and moving debate. I start by congratulating my hon. Friend the Member for Thirsk and Malton (Kevin Hollinrake) on piloting this private Member’s Bill through the Commons—I hope it will conclude today—with such skill and deftness, which we have come to expect from him.

I also pay tribute to members of the Bill Committee, who clearly improved the Bill with such diligence and thoroughness. I gather from comments that have been made today that the hon. Member for North Ayrshire and Arran (Patricia Gibson) served on it, along with my hon. Friends the Members for Eddisbury (Antoinette Sandbach), for Torbay (Kevin Foster), and for Colchester (Will Quince). I apologise if I have missed any Committee members out—[Interruption.] How could I possibly forget my hon. Friend the Member for Charnwood (Edward Argar), who is certainly nothing if not unforgettable. I thank and congratulate those hon. Members for their work, and my hon. Friend the Member for Torbay has clearly given this matter extremely careful and diligent thought in tabling so many detailed amendments.

Before speaking to some of those amendments, I observe that the measures are extremely welcome. They strengthen protections and rights. One occasionally hears people claim, particularly as we think about leaving the European Union, that there may be some sort of race to the bottom on regulation and that we somehow plan to have less stringent employment rights in this country than in the rest of Europe. This Bill proves conclusively that that is not the case, and that this Parliament is willing and eager to legislate to strengthen employment rights and the rights that our citizens enjoy in ways that go far beyond anything contemplated by European Union legislation. This Bill is evidence that we are doing more, not less, when it comes to employment rights and other rights.

I turn to the first group of amendments—amendments 1, 2, 12 and 14—tabled by my hon. Friend. Amendment 1 would extend the definition of parents in this context beyond simply biological parents to include people who are acting as the deceased child’s principal guardian. Amendment 2 would include grandparents when they act as the child’s principal guardian. Those amendments are absolutely right in spirit. I am interested to hear whether the Minister thinks that these things need to be in the Bill—these amendments would do that—or whether they can be dealt with in regulations. Whichever approach is adopted, the spirit and thrust of my hon. Friend’s amendments are absolutely right. It is clear that whoever is caring for the child—the biological parent, a grandparent or a foster parent—they have an equally close connection to the child and would suffer the same level of anguish as a biological parent would. I therefore agree very strongly and wholeheartedly with the amendments that my hon. Friend has wisely tabled.

Domestic Gas and Electricity (Tariff Cap) Bill

Michelle Donelan Excerpts
Bill Grant Portrait Bill Grant (Ayr, Carrick and Cumnock) (Con)
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It is a pleasure to follow the hon. Member for North Ayrshire and Arran (Patricia Gibson).

It is clear that the energy market is not working for the consumer, and with that in mind, I am pleased to support the Bill. However, I firmly believe that these additional measures must be temporary. Permanent Government intervention in the energy market of the kind that is proposed in new clause 1 is, I believe, unnecessary. Indeed, things are already changing. As recently as 2010, there were only 13 energy suppliers in the United Kingdom; now there are well over 60. Independent suppliers are growing and, rightly, posing new challenges for the big six. They already account for some 20% of the dual fuel market.

The basis of healthy competition is enabling consumers to go elsewhere with relative ease if they find a better deal. Nearly 20% of households a year already switch suppliers. By making switching quicker and easier, we can make that figure even higher and force big suppliers to stop taking long-standing customers for granted as they have done for many years.

There are now about 10 million first-generation smart meters in operation in the United Kingdom. While the roll-out is progressing, there is a long way to go to meet the ambitious target of 53 million by 2020. In the context of the Bill, a key element is the roll-out of the SMETS 2 meters, which is due to begin this year. SMETS 2 consumers will benefit from quick and easy switching, and the meters should be intelligent enough to identify the lowest tariff. They have the potential to be a real force for competition in the energy market. At that point, there will be no need for the price cap, which is why it would not be prudent to introduce a permanent relative cap. It would be bad for customers, and it would work against the positive changes that will be made over the next few years.

New clause 1 is the product of a belief that markets simply do not work. As a Conservative, I believe that they can work. I note the progress that we have made, and the progress that we will make in the coming years. I acknowledge that the market needs the temporary cap, and I support the Bill as a means of protecting consumers, not only in my constituency but throughout Scotland and throughout the United Kingdom. I am sure that it will contribute to a reduction in the very real fuel poverty that some people endure.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I am delighted to speak about the Bill, having supported it throughout this Parliament and having been a member of the Bill Committee. I think it important that, when considering the new clauses and amendments, we consider the fundamental aim of the Bill, which is to guarantee protection for the 11 million households that are currently on the highest energy tariffs—as well as the 5 million vulnerable households that are already protected by Ofgem’s prepayment meter safeguard tariff cap—by introducing a measured temporary intervention to correct a market that is currently letting down and ripping off thousands of people in my constituency, and millions throughout the country.

New clause 1 would allow the Secretary of State to make requirements in relation to a differential between the cheapest and the most expensive rates offered by suppliers: in other words, a relative price cap. In practice, that would mean that once effective competition was in place in the market—or by the end of 2023 at the latest —and that tariff cap was removed, a maximum differential between the most expensive and the cheapest tariffs would be introduced. That goes against the principle of the Bill, which is to ensure that it is temporary. This should be a temporary measure to correct the market, and it should not allow Government intervention to remain permanent. This Bill is based on a mandate that came out of the Conservative manifesto, which set out a temporary intervention.

Higher Education

Michelle Donelan Excerpts
Monday 23rd April 2018

(6 years ago)

Commons Chamber
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Angela Rayner Portrait Angela Rayner
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I absolutely agree with my hon. Friend, who makes some excellent points, as he did throughout the Committee stage of the Higher Education and Research Act 2017. It seems ironic that many of the organisations or individuals listed under the NUS’s no-platform policy have been banned by the Government themselves. Is it still the Government’s policy to fine universities for the actions of autonomous student unions? If so, will the Minister explain how high the fines will go?

While the Government are prepared to dictate student union speakers lists, they have shied away from the real issues, such as the soaring pay of vice-chancellors, while staff pay continues to fall in real terms. The Labour party has set out a plan to tackle pay inequality and accountability, but the Minister seems strangely shy about using the sweeping powers of the Office for Students. Instead he has said he is “intensely relaxed” about runaway pay packets.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I thank the hon. Lady for being so generous with her time. However, it is not true that the Government are shying away from the issue of vice-chancellors’ pay. I have raised it during Prime Minister’s Question Time, and we are working on it in the Education Committee, looking into value for money. The Government commissioned a review of higher education, and the Office for Students will be focusing on value for money as well as choice and transparency. I think we should get our facts straight in this debate rather than misleading the public.

Angela Rayner Portrait Angela Rayner
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I thank the hon. Lady for her intervention, and I pay tribute to the Education Committee for its work in holding the Government to account, but I will believe what she has said when I see action. The Government have taken no action whatsoever against vice-chancellors’ pay. It is all warm words and no action. Will the Office for Students be concerned with the real issues, or simply with scoring cheap political points? [Interruption.]

The simple fact is that the Government have created a regulator in which it is hard for the sector, let alone the rest of us, to have any confidence, and the regulations simply entrench the problem. Today, we cannot turn the clock back and unpick the entire regulatory framework that the Office for Students establishes. That is not what will happen if the motion is passed. Instead, the Government will be forced to think again about the problems that we have raised, and come up with genuine solutions that will create a regulator that has the confidence of those whom it regulates. That is all that I am asking them to do.

Industrial Strategy

Michelle Donelan Excerpts
Wednesday 18th April 2018

(6 years, 1 month ago)

Commons Chamber
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Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I am delighted to speak briefly in this debate on a topic that is so important to our country and economy. I welcome the industrial strategy, which highlights the fact that the Government appreciate the need to be an engine for change. That is more important now than ever before, with Brexit, the technological revolution and the changing nature of the labour market.

The industrial strategy sets out five foundations of economic policy, but perhaps the most important foundation is people. People are the backbone of the economy and business and the inventors and engineers of technology. We need a flexible workforce in today’s economy and tomorrow’s, so we need to ensure that the labour market has the correct skills to be flexible and progress our economy.

Currently, though, we have a skills gap, as Members in all parts of the House have recognised. I am passionate about tackling the skills gap in Wiltshire and the UK, having called it “the ticking time bomb” previously in this place. In fact, research from the Open University has found that the skills shortage means that there is a cost to UK business of more than £2 billion a year in higher salaries, recruitment costs and temporary staffing. The skills gap is particularly stark in the STEM and engineering sector. According to EngineeringUK, about 1.3 million workers are required each year to replace the ageing workforce and those leaving the sector. That is particularly pertinent in Wiltshire, which is a hub of engineering, design and technology. Every year, I hold my own festival of engineering. Last year, more than 3,000 students attended, and I hope to do it again this year in the Year of Engineering.

I welcome the investment of an additional £406 million in maths, digital and technical education, which will help to address the shortages in the STEM sector, but I believe that T-levels will prove the key to tackling the skills gap. The UK currently ranks 16th out of 20 OECD countries for the proportion of people with technical qualifications across STEM areas, whereas T-levels will provide a qualification that is academically regarded as well as being backed by industry. It will be relevant, applicable and without stigma. For too long, the technical pathway has been littered with confusion and with various different routes.

I also welcome the ability for us to foster a flexible workforce through the creation of a national retraining scheme by the end of the Parliament, including a £64 million investment in digital and construction retraining. In essence, the beneficiaries of all this will be people. It will help to create highly skilled and better-paid jobs for the next generation, improving living standards across the country.

A core mission of the industrial strategy is to tackle our productivity lag. That is a real problem, and the industrial strategy provides us with real solutions. It is a huge opportunity. The national productivity investment fund will provide an additional £31 billion of investment over six years, which will enable us to seize this opportunity, rather than talking down our country and our economy, as Opposition Members have done today.

This is a long-term strategy. It is not a theory but an action plan, involving more than £460 billion of projects currently sitting in the infrastructure and construction pipeline. Most importantly, it will tackle the skills gap and the productivity lag that for too long have impeded our economic growth.

Unconditional University Offers

Michelle Donelan Excerpts
Wednesday 28th March 2018

(6 years, 1 month ago)

Westminster Hall
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Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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I congratulate my hon. Friend the Member for Boston and Skegness (Matt Warman) on securing the debate. I want to talk briefly about the impact of unconditional offers in restricting opportunities.

The first problem with unconditional offers is that they tend to come with conditions, mainly that students must place that university as their first choice. In 2017, less than one fifth of unconditional offers were down as insurance offers. Students are therefore often encouraged to pick a lower-performing university or a course that is not ideal for them. In other words, they hedge their bets. We are inadvertently encouraging them to underestimate themselves, yet universities are supposed to open doors, not close them. In the past, unconditional offers were often made on the basis that students were perfect matches or star pupils, but that is not the case anymore. UCAS found that predicted grades of BBB were more likely to get unconditional offers than straight As. With an increase in fees, we have seen an increase in unconditional offers. Some 50,000 students last year were made an unconditional offer. That is an increase of 1,629% since 2013.

A second way that unconditional offers can restrict opportunities is through the knock-on effect they can have on A-level results, as we have heard. Unconditional offers encourage students to take their foot off the gas, which can have important long-term ramifications because those A-level results stay on students’ CVs for life. When I am seeking to employ someone—I am sure colleagues do this—I look at their A-level results and give them due diligence and consideration. Some colleges have reported that up to 75% of students given unconditional offers have failed to meet the expected grades. Again, that is not opening doors but closing them.

I sit on the Education Committee, and in December the chairman of Ofqual admitted that the situation is very concerning. I agree with the head of UCAS, who said that we need an “open and honest debate” about unconditional offers and their impact. We need to halt the rising tide of unconditional offers, which are closing doors and opportunities for young people in Chippenham and across the country.

Unpaid Trial Work Periods (Prohibition) Bill

Michelle Donelan Excerpts
2nd reading: House of Commons
Friday 16th March 2018

(6 years, 2 months ago)

Commons Chamber
Read Full debate Unpaid Trial Work Periods (Prohibition) Bill 2017-19 View all Unpaid Trial Work Periods (Prohibition) Bill 2017-19 Debates Read Hansard Text Read Debate Ministerial Extracts
Chris Philp Portrait Chris Philp
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I will come to that point, but first I want to put two other facts about enforcement on the record. First, HMRC has a team of 400 people working on this. I am very sorry that the brother of the hon. Member for Brighton, Kemptown (Lloyd Russell-Moyle) did not feel able to report the matter to one of those 400 HMRC staff. Secondly, the budget for enforcement was recently doubled from £13 million to £25 million, which I hope gives some confidence that HMRC and the Government are taking this very seriously.

I turn now to the point just raised by my hon. Friend the Member for Torbay (Kevin Foster). There is clearly an issue with enforcement. My understanding of the law is that excessively long unpaid work trials are currently unlawful and should be paid. We have heard three examples in the Chamber today, two from the hon. Member for Glasgow South and the one we heard a moment ago from the hon. Member for Brighton, Kemptown. All involved periods of work—two days in the last case and periods of two or three days and 40 hours in the other two—that strike me as clearly far in excess of what is reasonable and ought to fail the test of not being excessively long unpaid work trials. I would welcome the Minister’s confirmation that those three examples do indeed contravene existing regulations and that, in his view, had they been reported—I think one or two were—the company would likely have been found against.

Michelle Donelan Portrait Michelle Donelan (Chippenham) (Con)
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Current legislation states that a job should be intended at the end of a trial period, but in some of the examples we have heard that is not happening. There is a potential problem with the enforcement of current legislation, so perhaps we need a review of that, rather than to duplicate our laws.

Chris Philp Portrait Chris Philp
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If trials are taking place with no certain job at the end, or no vacancy, that is an outrageous abuse.

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Chris Philp Portrait Chris Philp
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In a sense, all of us here have done a gigantic free trial shift: it is called being a parliamentary candidate. I was first selected in December 2006 and ran in the 2010 election. I then proceeded to lose by 42 votes, so that was a pretty extended unsuccessful four-year unpaid trial period.

Michelle Donelan Portrait Michelle Donelan
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Does my hon. Friend agree that a trial period can be beneficial for those trying out for a job, so they can see if they want and like the job? When I was younger, I did a trial period for a few hours. This is about getting the balance right between rights and responsibilities. We do not want to exploit anybody; we want to create and facilitate opportunities and jobs.

Chris Philp Portrait Chris Philp
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A short trial period—just be clear again, I mean one to two hours—can give an employer the confidence to give someone a job, perhaps someone from a disadvantaged background who does not necessarily come across very strongly in interview. That might give an employer the confidence to employ that person when they might not otherwise do so.

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Alan Whitehead Portrait Dr Whitehead
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I think the point of the Bill is that it is intended to close gaps in legislation in order to make it clear what people are doing when they are working and what constitutes trial work, and to ensure that that is much better defined and protected.

The Bill would require employers to pay applicants undertaking trial work periods at least the national minimum wage. Equally important is the clarity that it will provide about what a “work trial” is, and what is the relationship between the employer and the worker at that point. I am sure we all agree that many unscrupulous employers have taken advantage of that grey area to use unpaid labour when there has not been a job on offer, simply to cut staff costs. There is an element of coercion as well. A widespread response to the call for evidence was that many people who had undertaken unpaid work trials had felt that they could not refuse to do so or speak up because of a fear of jeopardising their chances of getting a job.

Michelle Donelan Portrait Michelle Donelan
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Does the hon. Gentleman not accept that there is a difference between exploiting people by employing them to do shifts when jobs do not exist, and trying people out for an hour or two and giving them an opportunity to prove themselves?

Alan Whitehead Portrait Dr Whitehead
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Of course there is a difference, and this Bill does not fundamentally change that position: it is my understanding that it seeks to clarify what it is to actually do work and, following that definition, get paid for that work. The principle is that if someone does work—defined as serious work, which I am sure the hon. Lady agrees the arrangements she mentions would not be—they should get paid for it. It is as simple as that.

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Michelle Donelan Portrait Michelle Donelan
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Madam Deputy Speaker, I think that I have already made my views clear in my interventions.