The Economy

Debate between David Linden and Vicky Ford

Thursday 22nd March 2018 Commons Chamber

[Vicky Ford]

I refer the hon. Lady back to what my right hon. Friend the Prime Minister said at Prime Minister’s questions yesterday, when she reaffirmed that the top 1% of earners are paying more tax than ever before.

Skills are absolutely vital to our future. I remember that under the last Labour Government over 1 million young people—those under the age of 25—were not in employment, education or training. It was completely shocking, but now youth unemployment is at all-time lows, and that is not by accident. In my constituency, 5,350 young people have started apprenticeships since 2010.

[David Linden]

I take an interest in this as someone who was an apprentice, and I am also probably the youngest Member taking part in this debate. I absolutely support whatever we can do to get young people into work—[Interruption.] The Chief Secretary suggests that the Exchequer Secretary is younger than me. I support getting people into apprenticeships, but does the hon. Member for Chelmsford (Vicky Ford) agree that we need to pay them a proper, real national living wage? At the moment under UK law they can still be paid as little as £3.50 an hour. How does it help to build a country that works for everyone when some get paid so little?

[Vicky Ford]

The benefit of apprenticeships is that apprentices are earning as well as learning. When I met some of those 5,350 young people who are doing apprenticeships in my constituency—especially those in financial services, which I will talk about later—they told me how happy they were to be earning while also learning.

I also recognise that enabling small businesses to take on apprentices is key in some areas. That is why I was so pleased to hear the Chancellor mention in the spring statement new measures to help unlock the opportunities for small businesses to offer apprenticeships.

We must also remember that apprenticeships are not for everyone. Britain is home to some of the world’s leading universities—more than any country other than the US. Our universities are the jewel in the British crown. I am a member of the Science and Technology Committee, and we have been hearing from some of those universities. We bring students, researchers and ideas-generators from all over the world here, and it is absolutely key that they can continue to collaborate and work together and with leaders in other worlds. That is why I was so pleased that the Prime Minister talked in her Mansion House speech about a science and innovation pact between the UK and Europe after Brexit. There is still work to do on the detail, but we must ensure that that detail is focused on, which is why it is great that the negotiations in Brussels this week are going to mean we can start the next stage of our discussions.

I want to mention a couple of sectors, the first of which is financial services. It is probably the largest contributor to the tax-take in this country, accounting for about 11% of total tax, with £72 billion paid in tax by the sector last year. It is also really important to remember that this is not just about jobs in London. Even in my constituency of Chelmsford, there are about 2,000 jobs in the insurance sector. That is probably the largest sector there. I travelled to Canary Wharf to listen to the Chancellor’s speech on the future trade agreement on financial services. It is key that we get this right, and I am really pleased that we are now focusing on this. The Prime Minister said yesterday how important it will be to have a bespoke deal on services and financial services.

Another sector that I want to mention is the life sciences sector. We are the world leader in many areas of medical research, which makes a £30 billion contribution to the economy and provides 480,000 jobs. None of this has happened by accident. It was here that the human genome was discovered, and the human genome campus is here. The previous Prime Minister’s visionary 100,000 Genomes Project signalled the start of a massive revolution in medical research. There are, however, a few areas in which we could do a bit more to unlock the benefits of that research. The first involves unlocking the benefits of medical research for the NHS. There is still a bit more that we could do to get the synergies working together there.

I should like to advertise something to the House. Immediately after this debate, I am going to be leading the Adjournment debate, in which I will be looking at a very rare disease that affects one of my constituents. No other Member has debated this before. To help medical research in our life sciences sector, we need to ensure that new treatments are not only discovered here but trialled, tested and prescribed here. That is what I shall be discussing with Members later.