Debates between Edward Miliband and Nigel Evans during the 2019 Parliament

Wed 20th Jan 2021
National Security and Investment Bill
Commons Chamber

Report stage & 3rd reading & 3rd reading: House of Commons & Report stage & Report stage: House of Commons & Report stage & 3rd reading
Tue 17th Nov 2020
National Security and Investment Bill
Commons Chamber

2nd reading & 2nd reading & 2nd reading: House of Commons & 2nd reading
Mon 29th Jun 2020
Business and Planning Bill
Commons Chamber

2nd reading & 2nd reading & 2nd reading: House of Commons & 2nd reading

National Security and Investment Bill

Debate between Edward Miliband and Nigel Evans
Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Wednesday 20th January 2021

(3 years, 2 months ago)

Commons Chamber
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Edward Miliband Portrait Edward Miliband (Doncaster North) (Lab) [V]
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May I begin by adding my congratulations to the new Secretary of State? Promotion to the Cabinet with such an important role as Secretary of State for Business, Energy and Industrial Strategy must be a proud moment for him, and it is in the interests of the country that he succeeds, so I offer him my warmest congratulations. I also take the opportunity to pay tribute to his predecessor, the right hon. Member for Reading West (Alok Sharma). We all wish him incredibly well in his important job as the full-time president of COP26. He and I approached our exchanges in a constructive spirit, meeting, I hope, the mood of the times, and I hope that I can have the same relationship with the Secretary of State.

If you will allow me to, Mr Deputy Speaker, I extend our congratulations to President Biden and Vice-President Harris; I think it is right to, as they came to office only in the last hour. The world already feels a better, fairer, and safer place than it did yesterday.

In this Third Reading debate, let me make it clear that we welcome and support the Bill as a necessary step in protecting our national security interests. It is important that we legislate to ensure that our national security is preserved in the face of evolving geopolitical, economic and, in particular, technological threats. Our country has been behind the curve on this issue and behind our allies, so action is long overdue. The Bill represents a belated recognition that the country requires a stronger regime to protect its national security.

Protecting national security is the essential, first duty of any Government, but it is only the first building block of an industrial policy. Before I discuss the Bill in more detail and how I hope it will be improved in the other place, I emphasise to the Secretary of State that while it is welcome, it forms only one part, though a particularly important part, of protecting, developing and nurturing key sectors of our economy. There are much wider lessons on which we still need to act on industrial policy. That forms the essential context for the Bill, and I flag it to the Secretary of State, as it is early in his tenure.

I say this in the constructive spirit that I mentioned at the beginning of my speech: I gather that the Secretary of State has said that he is a convert to industrial policy after, if I can put it this way, his wilder, free-market days. The days of his notorious pamphlet, “Britannia Unchained”, are apparently over, but there are important lessons that we have to draw on; the most fundamental is that good words from Government on strategic, mission-led industrial policy are welcome, but too often they are still not matched by deeds. That has been clear during this economic crisis.

One example is the scale of support provided to our manufacturing sector. Time after time, I have spoken to manufacturers who look enviously at support in other countries and say that the Government are simply not in the same league. We see it, too, in plans for a green recovery; I am afraid that the stimulus offered by France, Germany and others puts us in the shade. Indeed, while we have been debating the Bill, President Biden has, on being inaugurated, made a $2 trillion commitment to the green economy.

Our takeover regime is not fit for purpose when it comes to matters well beyond national security, either, as events over the last decade have shown—for example, there was Pfizer’s attempted takeover of AstraZeneca, and SoftBank’s takeover of Arm.

It is clearer than ever that when it comes to the big challenges facing this country, from national security to the climate emergency and our future prosperity, an active industrial policy will be one of the most important tools in our arsenal. The challenge for the Secretary of State is to match his words on industrial policy with deeds, and we will judge him on that. We certainly need to drop the tired, failed cliché that all the state can do to support the economy is get out of the way, deregulate, and cut workers’ rights. If that is the Secretary of State’s view of how best to support our economy, let me tell him that we will fight him every step of the way.

On the Bill, we have approached the task of legislating constructively, and I am grateful to the Secretary of State for acknowledging that. I pay tribute in particular to my hon. Friend the Member for Newcastle upon Tyne Central (Chi Onwurah) for the brilliant job she has done in taking the Bill through the House on behalf of the Opposition. I also put on the record my thanks to my right hon. Friend the Member for North Durham (Mr Jones), and my hon. Friends the Members for Southampton, Test (Dr Whitehead), for Ilford South (Sam Tarry), for Warwick and Leamington (Matt Western), and for Aberavon (Stephen Kinnock), for their work on the Bill. I acknowledge the role of the Under-Secretary of State for Business, Energy and Industrial Strategy, the hon. Member for Stratford-on-Avon (Nadhim Zahawi), who has a big and important task relating to public health, and has also done an assiduous job on the Bill.

As we saw on Report, there are three particular ways in which Opposition Members believe that the Bill needs to be improved. I will briefly put them on the record, because they represent unfinished business for the other place. First, there is the issue of the definition of national security, and how it can be clarified for use in the Bill. We recognise, as we have said on a number of occasions, the difficulty of providing a comprehensive definition, given the evolving nature of the threats we face as a country. However, the Bill can and should provide greater clarity, not least for potential investors in the UK. I agree with the Secretary of State that it is important that our country be open for business.

That definition could be provided in the Bill or in other ways, and would be an essential source of reassurance for inward investors. The Foreign Affairs Committee published an excellent report on this yesterday, and as we saw on Report, there is agreement between the Opposition and that Committee on these issues. We hope the Government will continue to listen, and will act on this in the other place.

Secondly, support for business, particularly small and medium-sized enterprises, is vital if they are to navigate this new regime. As my colleagues said on Report, SMEs will account for an estimated 80% of mandatory notifications under the new system, according to the Government. Many small firms will struggle to navigate this new system. This comes at a time when hundreds of thousands of SMEs across the country are in perilous circumstances. That is why we called for dedicated help and support for SMEs—to ease the burden as this new system comes into effect. If we are serious about nurturing cutting-edge businesses in sectors such as robotics and quantum technologies, it is critical that SMEs in these industries are supported through the process.

Thirdly and finally, there is the crucial issue—it is worth spending time on this—of the resourcing, accountability and scrutiny of the newly created unit in the Department and its work. We all know from the experience of both parties in government that good intentions can be overwhelmed by challenges of practical delivery. Under this regime, the Government expect that there may be up to 1,830 notifications by businesses and individuals, with a further 70 to 100 being called in by the Secretary of State. The number could well be higher than that as businesses adjust to the new system. The Secretary of State has a big, profound responsibility, as I am sure he recognises, to make sure this system works.

It is also vital that the new regime be scrutinised and monitored. As we have said throughout the passage of the Bill, that should include a role for the Intelligence and Security Committee in providing an oversight mechanism, through which there is regular reporting to the House, and regular scrutiny of the working of the new unit. Secretary of State, our international allies do exactly that. The US, for example, requires oversight of CFIUS in exactly this way. The Chair of the ISC, the right hon. Member for New Forest East (Dr Lewis), said that the Committee is open to this idea. It is not about simply saying to the ISC that it can have a look at this if it wants to. It needs a proper, acknowledged role in this. It is in all our interests, and indeed the Secretary of State’s, that the ISC performs this role. That would reassure businesses in this country that there is proper scrutiny—undertaken in the right way, given the constraints around national security—of the working of this new regime. I hope the Secretary of State will ponder this matter and keep it under review. I am sure that it will be raised in the other place.

To conclude, we support the Bill as a necessary measure to protect our national security interests from evolving threats. We do so hoping that the Government have heard the constructive concerns that we have raised throughout the passage of the Bill and will continue to raise and that Members in the other place will raise, because I believe we can build on and improve the Bill as it progresses. We believe—I emphasise this point—that this is the first step for the active industrial policy that our country needs. It only marks the start of what is required.

Nigel Evans Portrait Mr Deputy Speaker (Mr Nigel Evans)
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I would like to add my congratulations to the 46th President of the United States of America. In the past, I have worked on three presidential elections. I congratulate both Joe Biden and his Vice-President, Kamala Harris. I am certain that when they visit the United Kingdom, they will be guaranteed a very warm welcome.

National Security and Investment Bill

Debate between Edward Miliband and Nigel Evans
2nd reading & 2nd reading: House of Commons
Tuesday 17th November 2020

(3 years, 4 months ago)

Commons Chamber
Read Full debate National Security and Investment Bill 2019-21 View all National Security and Investment Bill 2019-21 Debates Read Hansard Text Read Debate Ministerial Extracts
Edward Miliband Portrait Edward Miliband
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My right hon. Friend makes a very important point. Indeed, my hon. Friend the Member for Newcastle upon Tyne Central and I were discussing this very issue last night—that these issues can interact.

I will just say this and then I will conclude, Mr Deputy Speaker, I promise. I think the public are in a different place from some of the Government Members who have spoken. I think the public really recognise this issue. We have many great companies, but some of them have been subject to takeover, and the public do not really understand why and they do not really understand why the Government have not played more of a role. I can see some hon. Members nodding.

Updating legislation to protect national security is long overdue, and we welcome it. We will support the Government as they seek to protect national security and defend our country. We will push them to go further on industrial strategy and the takeover regime. We think this is the moment to be bold and develop the industrial strategy that 21st century Britain needs, but we want to see this Bill pass through the House. We will engage on it constructively, and I know from the Secretary of State and the way he operates that he will do the same.

Nigel Evans Portrait Mr Deputy Speaker (Mr Nigel Evans)
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As Members will notice, the call list is quite extensive and it is top heavy on the Government side, so please be mindful, particularly on the Government side, of the length of your contributions.

Business and Planning Bill

Debate between Edward Miliband and Nigel Evans
Edward Miliband Portrait Edward Miliband
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I do not disagree with the hon. Gentleman that it is important that we have had the furlough, but I disagree that it should be cut off at the end of October, because I really worry about the economic impact. We have 2.8 million people already claiming unemployment-related benefits, and I worry about the implications for these other industries.

The tragedy is that the Government have spent £22 billion on the furlough, but I fear that we will throw away some of that investment  by not recognising that specific sectors face specific challenges. I urge the Business Secretary —he knows this, as he talks to the same people that I do—to use all the powers of his office to make representations to the Chancellor to find a way of fixing that, so that we have a sector-specific approach to the furlough, including an extension beyond October.

Just as I do not believe that the furlough should be abruptly ended, I believe that there are issues of access to loan finance. As I have said, the bounce back loans scheme has been successful at getting money out of the door, but the same cannot be said of the other small business loan scheme, the coronavirus business interruption loan scheme. In the case of CBILS, only half of all applications have been approved, and the supposed freeing up of the scheme as a result of bounce back loans being made available is yet to materialise. We still do not know why 48,000 out of 98,000 CBILS loans are stuck in a holding pattern, and we do not know how many have been rejected and how many are still in the queue. One of the things we are asking for in the Bill is for the Government to publish data on the true number of rejections and the total number of inquiries.

The problem is not just with the small loan scheme. We have seen a wave of job losses in manufacturing, from Rolls-Royce to McLaren to Jaguar Land Rover. Make UK is predicting that as many as 170,000 jobs could be lost this year in the manufacturing sector alone. Any talk of levelling up will come to nought if we lose those jobs—I am sure that sentiment is shared across the House—and I urge the Secretary of State to look at the international comparisons of France and Germany, which have protected and supported strategic sectors of the economy, such as steel, aerospace and automotive, in a number of different ways. That is why our amendment to the Bill calls on the Government also to publish the true number of rejections in respect of the larger loan scheme, the coronavirus large business interruption loan scheme, and explain why 400 larger businesses have not been able to access support through the scheme. Again, we do not know whether they are stuck in a holding pattern and still waiting in the queue or have just been rejected. These sectors are calling for tailored Government support to help them through the crisis, but it has not been forthcoming. The big point is that, from hospitality to leisure to manufacturing, this is a general recession, but it was also much more acute in specific sectors, and the Government need to recognise this far more in their response.

If one part of the Government’s strategy is about shielding sectors of our economy from the sectoral recession, the other part must be about job creation and employment. We are to have a speech tomorrow from the Prime Minister. It is a shame that we do not have a Budget; I do not really understand why we do not have a Budget in what is potentially the worst recession in 300 years. If now is not the time for a Budget, I do not know when is the time for a Budget, but there is a speech tomorrow and big promises are being made about it.

The Bill rightly talks about what can be done in the construction sector. The way to help the construction sector is not just to tweak the operational hours, although that is important, but also to deliver on some of the promises the Government have made. Again, I think this view can be shared across the House; I do not often quote the Conservative manifesto approvingly—[Interruption.] —or at least not enough, but it promised £9.2 billion for energy efficiency in public and private buildings. Conservative Members all stood on that manifesto and I am sure that they support it.

We know how behind the Government are on building retrofits. The Committee on Climate Change recently said that there has been “negligible progress since 2015” and that the challenge of retrofit and renovation has gone “largely unaddressed.” We know that investing in retrofit is the ultimate win-win. This is the ideal opportunity —it would help the construction sector, not just in relation to operational hours, and could create tens of thousands of jobs—but today there are reports that it is being blocked by none other than Dominic Cummings. Apparently, he is uninterested and thinks it is “boring old housing insulation”. The Secretary of State and I have a good relationship, and I am happy to give way to him so that he can say that the £9 billion is going to happen. We need the £9 billion, so I am happy to give way. He has overruled Dominic Cummings on Sunday trading; now is the time to overrule him on this.

Let us also bring forward the £12 billion of social housing spending that has been promised. All these things are important, and they are also part of job creation. I think the idea that we need a green recovery is shared throughout the House, as least at the level of principle. Some people—assiduous readers—will have read over the weekend the Chancellor of the Duchy of Lancaster’s rather long speech, which mentioned Franklin Roosevelt 17 times. [Interruption.] I see Members nodding. Let me tell the House about Roosevelt: he put 3 million people back to work in the Civilian Conservation Corps. We need that kind of ambition on retrofit; on manufacturing low-carbon engines; on adapting our towns and cities to walking and cycling; on creating green spaces; and on reforesting and rewilding. We need what I call a zero-carbon army as part of a youth jobs fund.

We should see all these things as part of the green new deal because—this is the point—we face an unemployment emergency in this country. We should be under no illusions: a million young people are forecast to be out of work this year. We need a scale of action that matches that. That is my point. The Government measures we have supported over the past few months have recognised the power of active government in a crisis like this. My appeal to the Government is not to shrink from that now, because we are just at the beginning.

To conclude, we welcome the Bill as a step to help the hospitality and construction industry to reopen, but it is not nearly enough. The Government have shown that they are willing to take action, but we face the deepest and sharpest recession, possibly for hundreds of years, and Government power has to be continued to be used. The decisions taken by the Government in the coming weeks will determine how many jobs are lost and how many businesses survive. The commitment to do whatever it takes cannot be a hollow promise. We are calling for an extension to the furlough for specific sectors; an urgent job-creation programme with a green recovery at its heart; and real action on infrastructure, not just words. I urge the Government not to step back when our economy, our businesses and our workers desperately need support.

Nigel Evans Portrait Mr Deputy Speaker (Mr Nigel Evans)
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To make her maiden speech, I call my constituency neighbour, Katherine Fletcher.