Small Business, Enterprise and Employment Bill

Grahame Morris Excerpts

Tuesday 18th November 2014 Commons Chamber

[Jo Swinson]

I am saying that we have had plenty of negotiations and discussions about all the different options, but specific round tables have not been reconvened with the industry since the Committee stage. We know where the industry stands on this. My officials are in regular contact with the industry and with campaign groups, who have been making their cases fervently. Many Members represent tenants and also have pub companies and family brewers in their constituencies. Ministers have had many discussions with those hon. Members on behalf of their constituents who have raised these issues over the past couple of weeks since the Committee stage. Indeed, we also had such extensive debates in Committee. There has been plenty of consultation.

[Grahame M. Morris (Easington) (Lab)]

In relation to the Minister’s discussions with the Federation of Small Businesses, it estimates, according to the information that I have, that implementing the market rent only option would boost the economy by £78 million, and that over 90% of pubco tenants would have much more confidence to invest in their businesses, helping local economies to grow.

[Jo Swinson]

The hon. Gentleman makes a powerful point. As I have said, a range of different of views and issues have been raised and it is impossible to please everybody. Although some of the larger companies oppose the introduction of a market rent only option, organisations such as the FSB, as the hon. Gentleman points out, are campaigning to implement it.

--- Later in debate ---

[Andrew Griffiths]

Once again the hon. Gentleman talks about big business as if it is a bad thing. I like big business. I like small business. I like successful business. Just because a business is big does not mean it is acting inappropriately.

[Grahame M. Morris]

The hon. Gentleman is speaking for big brewers and I understand his perspective, but what about consumers? If a tenant is paying 60% or 70% more for the product, surely the consumer is getting a bad deal as well?

[Andrew Griffiths]

The hon. Gentleman has read up on this subject. I refer him to the Office of Fair Trading report of 2009 and its recent interventions in this debate—it has said this has had no impact on consumer costs and the price the consumer is paying for a pint. In fact it could be argued that, because of the big distribution models, beer is actually cheaper. The statistics show that beer across the country is cheaper in a tied house than in a free house. I hope I have answered the hon. Gentleman’s concern.

--- Later in debate ---

[Andrew Griffiths]

I think I found a question in the hon. Gentleman’s intervention. Given that he spoke for only 40 minutes earlier, I quite understand why he wanted to have another go.

I should like to get back to the point made by my hon. Friend the Member for Tewkesbury (Mr Robertson) that people often find they have signed up for things that they did not expect. They find that they have been hoodwinked because they were not given all the details, and that they have not got a fair deal. That is what we want to outlaw. I want briefly to consider what, under this legislation, someone wanting to take on a tenancy today would have to do. First, they would have to have a business plan, which would have to be assessed. They would have to have an accountant and a lawyer, and they would be told what they are paying for their rent, their beer, their whisky and for everything else. They would also be told how many barrels of beer and bottles of whisky the pub sold in the past year, in the previous year and in the past five years. All that information would have to go before their accountant before they could sign. I do not know what other Members think, but I think these people are grown ups and business people. If they are provided with all that information calmly and clearly so that they can make a decision, it is not for government to intervene to tell them they cannot engage in a business agreement that is perfectly legal.

[Grahame M. Morris]

rose—

[Andrew Griffiths]

I have given way enough, so I will move on, because I want to make the following point to allow colleagues clearly to understand what new clause 2 would do. Let us suppose I am a tenant with Marston’s in my constituency, a company that brews magnificent beer and would be affected by this legislation. Let us suppose I go to Marston’s asking to become one of its tenants and I go through all the procedure—it could take up to six months to do the due diligence on me—to take on that pub. Let us suppose I do all that and sign on the dotted line. Under new clause 2, I could then say to Marston’s, “Excuse me, Marston’s, I have changed my mind and decided I don’t want to sell Marston’s beer. I want to sell Greene King beer so I would like to go free of tie. Not only am I not going to sell your beer, but I would like the Government to tell you what rent you can charge me.” That is what is being proposed. To all those who have signed new clause 2 and are thinking of backing it, I say that that does not sound like a Conservative proposal to me. I do not know what some of my colleagues think, but it does not sound like a very Conservative approach to business. I want protection and clarity, but I do not want mummy state interfering and telling people how they can run their businesses. That is very important.

We have heard a little about people being able to buy their beer elsewhere under new clause 2, so let me just enlighten the House as to what it would do. New clause 2 states that brewers could still stipulate the sale of their brands but the tenant must be free to buy them from someone else. I could stipulate that people had to buy Marston’s, but they would be able to buy it from anywhere. In essence, Marston’s would no longer be able to sell its beer at a lower rate to large wholesalers who are buying 10,000 barrels than to the Dog and Duck which is buying 10 barrels—and this would come with full brewery technical support and reduced dry rent. This new clause is a serious market intervention; we would be interfering in a market in a way unlike anything that happens in any other industry in this country. These are the unintended consequences that colleagues need to consider when they vote for this new clause.

Let me discuss the facts. They are that the industry is desperately concerned about the implications of new clause 2 and this free-of-tie provision. We are talking not only about the pubcos, which people might hiss at and not like, but about the family brewers, who will be exempt. We are talking about the microbrewers and the Society of Independent Brewers; the people who are not even affected by this legislation are concerned about the knock-on effects and the consequences for the industry and the market. We should be desperately concerned about that. The Minister will know that the Department for Business, Innovation and Skills commissioned a report from London Economics, which estimated that if we scrapped the tie and introduced something like this new clause, 1,800 pubs would close and 8,000 jobs would go. Nobody here wants to see that happen to our pubs. We saw what happened under the previous Government, when 52 pubs a week were closing and the hated beer duty escalator increased duty by 48%. We have seen the consequences of legislation for our industry. We should hold our nerve. We should vote for the statutory code and for the adjudicator, and we should give power to our publicans, but we should not throw the baby out with the bathwater—we should not vote for new clause 2.

--- Later in debate ---

We have today raised the standards of the family brewers: the lion rampant of Camerons brewery in Hartlepool; the black swan of Donnington’s of Stow- on-the-Wold; the griffin of the Fuller’s brewery of Chiswick; and, most notably of all, the eagle of Charles Wells of Bedford. To these standards, to my Conservative colleagues, to the principles of family and small business, I say be steadfast and stand against Saruman. Let us ensure that our principles are firm and yield not one quarter in defence of family businesses.

[Grahame M. Morris]

I do not know whether I can take on one of the characters from “The Lord of the Rings” and better that finish from the hon. Member for Bedford (Richard Fuller).

I want to speak in support of new clause 2, and I declare an interest as vice-chair of the all-party save the pub group. I pay tribute to my fellow officers, the hon. Member for Northampton South (Mr Binley), the hon. Member for Leeds North West (Greg Mulholland), who has done such a sterling job of researching new clause 2, and the hon. Member for Romsey and Southampton North (Caroline Nokes). Like other Members, I acknowledge the important role played by Fair Deal for Your Local, the Campaign for Real Ale, the Fair Pint campaign, my union Unite, the GMB, various support groups for tenants and the Punch Tenants Network.

New clause 2 is about stopping exploitation by large pubcos of pub landlords up and down the country. The situation has not come out of the blue. We have been discussing the issue for some years now, and it has been known about for a long time. The hon. Member for Burton (Andrew Griffiths) gave an example from his constituency, and the point I sought to make, although there was not time for me to do so during his speech, was that I can think of many cases in my constituency where a tenant of one of the large pubcos has effectively invested their life savings, and often their redundancy money, in taking over a business and turning it around. They have built it up and taken on additional responsibilities, such as opening a restaurant or providing bed-and-breakfast rooms, but when the review of the tenancy has come around, the pubco has doubled the rent, so that it is not viable for those people to continue.

[Andrew Griffiths]

rose—

[Grahame M. Morris]

I will give way to the hon. Gentleman, even though he would not give way to me.

[Andrew Griffiths]

I think that I was pretty generous in giving way. The hon. Gentleman has done a lot for beer and pubs, and I acknowledge his support in scrapping Labour’s hated duty escalator. I agree that it would be absolutely unfair of a pubco to do what he has described, but does he not accept that under the statutory code, the tenant could take the case to the adjudicator, who could rule on whether it was fair, and get the decision overturned? The tenant would have protection under the code.

[Grahame M. Morris]

I think that the best protection is offered by new clause 2, with the market rent only option. Time is short, but I shall try to explain why. We have heard from the respected Chair and former Chairs of the Select Committee on Business, Innovation and Skills. We have had debates, and the all-party save the pub group is certainly aware of the four reports produced by the Committee that concluded that there had been abuse of the tied system, and that recommended time and again the market rent only option.

During her opening remarks, the Minister was harangued by Government Members with prophecies of doom about the consequences for local economies and regional brewers, but in truth the Federation of Small Businesses suggests that there will be a considerable benefit to the economy of offering this option. CAMRA estimates that large pub companies force their tenants to buy beer at prices that are inflated by as much as 50% or 70%; that is on top of rent that is already excessive. Anyone who believes in fairness would support new clause 2, which would correct that.

[John Healey (Wentworth and Dearne) (Lab)]

My hon. Friend makes a powerful case. Does he agree that tied tenants, such as those of the Monkwood tavern in Rawmarsh, The Crusty Pipe in Goldthorpe and The Bull’s Head in Cortonwood, simply want a fair basis on which to run their pubs as a business for them and their families?

[Grahame M. Morris]

Absolutely. All we are arguing for is fairness—[Interruption.] The hon. Member for Burton asks from a sedentary position why this has not been done before. We have an opportunity to do something now, and I cannot be answerable for things that happened before I was a Member of this House.

As a result of excessive behaviour by the pub companies, an estimated 57% of tied landlords earn less than £10,000 a year. That is a disgrace. Anybody who, like me, frequents pubs regularly will realise what an incredible effort goes into running a public house—the hours put in bottling up after customers have gone home, the huge commitment it takes, and the toll it takes on the owners’ personal life. For them not to have the opportunity to earn a decent living is a disgrace.

[Mr Jim Cunningham (Coventry South) (Lab)]

Does my hon. Friend agree that the tied pub concept is old-fashioned and antiquated in the 21st century? We had the same issues with tied housing in the past. Surely big brewers inflicting on landlords a certain label of ale, for want of a better term, is one of the factors that led to the demise of the working men’s club. Those clubs ended up in a lot of debt.

[Grahame M. Morris]

The demise of the Club and Institute Union, and the working men’s clubs, is a huge issue, certainly for me. New clause 2 does not propose the end of the tie; rather, it seeks to make it work more effectively and fairly. If a pub landlord agrees to a tied arrangement in relation to the purchase of alcoholic drink from the pubco, they should get a lower rent, especially if they are paying as much as 70% over the top for those beverages. That is the way the tie should work. If the landlord does not want to be tied to a company in respect of beverages, they should pay the market rent, or have that option. I am not suggesting that the tied system should be done away with—just that it should work in a manner that is fair to both the pub company and the tenant. At the moment, it certainly does not.

Members have suggested that the impact is not huge, but there are lots of villages in my constituency of Easington, such as Hawthorn and High Heselden, where only a single pub is left. These communities are really feeling the effects. If landlords are compelled to pay as much as 70% more for their alcoholic beverages, despite what the hon. Member for Burton says, the tenant will be absorbing some of that cost, but when there is only a single pub in the village, it is basically passed on, and the customers pay a lot more than they need to.

It is no coincidence that thousands of pubs have closed in recent years. In some cases, profitable, popular pubs, beloved by local communities, have been sold off by big pubcos to developers and supermarkets. Pubcos have sought to cash in on the real estate or land value, with little or no thought for local people, or the effect of the loss of a community hub. As the hon. Member for Leeds North West pointed out, that is often because these pubcos have saddled themselves with huge debts. There is a suspicion that the rents they charge are deliberately high to get rid of landlords, so that it is easier for them to sell.

Those landlords who opt for the market only rent can purchase drink supplies from elsewhere, leading to better and fairer access to the pub market for smaller local brewers and cider producers. It would also increase the choice for all our constituents. I would like Members to support new clause 2 because it would help to deliver increased licensee profitability, increased investment in pubs, greater consumer choice and fewer pub closures. If avaricious pubcos are stopped from exploiting their tied landlords, hiking up rents and charging up to 70% more for a pint, the price of a pint can only fall. I am sure that I speak for all hon. Members on both sides of the House and their constituents—I certainly speak for myself and my constituents in Easington—when I say that such a move would be warmly welcomed. For that reason, for fairness and for the benefit of the economy as a whole, I commend new clause 2 to the House.

[Sheryll Murray]

I thank my hon. Friend the Minister for not pressing amendments 41, 43 and 44. However, I want to put on record my surprise that the amendments were tabled by the Secretary of State as recently as 14 November, and the explanation was:

“This amendment, and amendments 43 and 44, reverse amendments made at committee and bring pub-owning businesses with fewer than 500 tied pubs back into the scope of the Pubs Code.”

The Secretary of State has continually led the House to believe that it was his intention not to include small family brewers with fewer that 500 tied pubs in the statutory code. When the Bill appeared, it included those small family brewers, with top-heavy bureaucracy.

I thank my hon. Friend the Member for Newton Abbot (Anne Marie Morris), who is no longer in her place, my right hon. Friend the Member for Faversham and Mid Kent (Sir Hugh Robertson), my hon. Friends the Members for Bedford (Richard Fuller), for Burton (Andrew Griffiths) and for St Austell and Newquay (Stephen Gilbert), and the hon. Member for Chesterfield (Toby Perkins) and his colleagues on the Opposition Benches for seeing sense and supporting my amendment, which would simply have put back into the Bill what the Secretary of State has always led the House to believe he intended to have in the Bill.

Oral Answers to Questions

Grahame Morris Excerpts

Thursday 26th June 2014 Commons Chamber

[Vince Cable]

Mid-sized companies are absolutely central to the Government’s industrial strategy. We are working with them to develop supply chains in the car industry, aerospace and the various energy sectors, and to support access to finance, training and innovation. They have a great deal of potential, as they do in countries such as Germany, where the Mittelstand are better developed than they are here.

[Grahame M. Morris (Easington) (Lab)]

T4. May I draw the Minister’s attention to the excellent “The state of the coalfields” report produced by the Coalfields Regeneration Trust? The report has highlighted particular problems, including a legacy of high and persistent youth unemployment, especially in the NEETs group of those not in education, employment or training. I also draw to his attention an excellent organisation in east Durham, the East Durham Employability Trust. What additional support can be put in its direction?

[Matthew Hancock]

I have seen the report on the future of the coalfields. On the issue of NEETs, I would point out that yesterday’s figures show that the number of people not in education, employment or training is at a record low since the series of statistics began in 1994. I have no doubt that there is much more to do, because any young person not in education, employment or training is one NEET too many. The fact that the number of NEETs is at a record low shows that the economic plan is working.

Vocational Qualifications

Grahame Morris Excerpts

Wednesday 5th March 2014 Commons Chamber

[Matthew Hancock]

Yes, I do agree, but I would caution that more than half of apprentices are in SMEs, and we must make sure that SMEs—as well as us in this House—know about the value of apprentices.

[Grahame M. Morris (Easington) (Lab)]

I appeal to the Minister not to forget the needs of NEETs. I thank him for meeting the Employability Trust, which is based in Peterlee; he may recall meeting Bill Marley. Will he commend its excellent work and the need to support its activities?

[Matthew Hancock]

I remember the meeting very clearly, and I commend the trust’s work. It is vital to tackle the problem of NEETs—those aged 16 to 18 not in education, employment or training—but we must also recognise that their number hit a record low last week, and we should all celebrate that fact.

Free Schools

Grahame Morris Excerpts

Tuesday 19th November 2013 Westminster Hall

[Grahame M. Morris (Easington) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Gray, and I congratulate my hon. Friend the Member for Gateshead (Ian Mearns) on securing an important and timely debate.

I want to respond to some criticisms by the Secretary of State for Education of the schools in my area. I believe that they are an attempt to garner support for a free school in an adjacent area. I am not by nature boastful, but I want to begin by boasting about the achievements of schools in my constituency. We have seen year on year improvements, which have continued in 2013 with the academy at Shotton Hall, the Seaham school of technology and Easington academy achieving record results. Dene community school, which continues to improve year-on-year, also saw record-breaking results, and St Bede’s Catholic comprehensive school achieved its best-ever results, with more students exceeding the Government’s benchmark of making three and four levels of progress in both English and Maths from year 7.

We would all agree that the achievements of east Durham’s schools constitute something of a success story and are testament to the ambition and hard work of the teaching staff and students and to the drive of head teachers in my constituency. The success of east Durham’s schools ought to be cause for celebration and Ministers ought to congratulate them on their efforts. Sadly, that has not been the case. For some unexplained reason, the Secretary of State for Education launched an inexcusable and unfounded attack on east Durham’s schools earlier this year, saying:

“When you go into those schools, you can smell the sense of defeatism.”

He added that the schools had a “lack of ambition”. He was quick to condemn the schools, but he will not visit them, despite having been invited.

The Minister for Schools does not share the Secretary of State’s unduly pessimistic view of the schools in my constituency. Following Easington academy’s latest results, the Minister wrote a letter of congratulation, in which—I will read out the highlights only—he identified that the school stood out in two ways:

“First, you were ranked number one in your table. Second, over 10 per cent more of your pupils achieved five good GCSEs including English and Maths than is typical of a school with your intake. This is a fantastic achievement that you should be very proud of.”

He continued:

“You are also one of the 56 top performing secondary schools in England on this measure.”

That is praise indeed.

I pay tribute to the hard work of the students, teachers, parents and the head teacher of the Seaham school of technology, which has had some fantastic results in the face of real challenges, given the condition of the school building. Those results have come in spite of the fact that the much-needed new building, which had been promised by the previous Labour Government, was withdrawn by this Government to divert, I believe, funds towards the Secretary of State’s pet free schools project.

I want to compare the capital and revenue funding of schools in my area with that of free schools. The Durham free school, which at the last count employed nine members of staff but had only 30 pupils, is one such school. According to the Secretary of State, it represents excellent value for money. According my calculations, however, that is a ratio of nearly three students to every teacher. How does that represent excellent value for money?

[Ian Mearns]

I understand my hon. Friend’s chagrin at the criticism levelled at schools in and around his constituency, but I wonder whether it may have something to do with the fact that one of the Secretary of State’s special advisers, Dominic Cummings, was connected through a family member to the establishment of the Durham free school.

[Grahame M. Morris]

I am grateful to my hon. Friend, who makes an interesting and serious point. If the Secretary of State seeks to promote a political ideology in the form of a free school with political backing and in so doing is undermining the education opportunities and funding for pupils in my area, quite frankly, it is an outrage.

How much better would the results have been at the Seaham school of technology, which has more than 640 pupils, if it had enjoyed the fantastic ratio of one teacher for every three students or if it had at least received the much-needed new building that it had been promised? The Secretary of State’s free school pet project is motivated neither by achieving better results, nor by the desire to obtain better value for money. Such schools are free only at the expense of the success of existing local authority schools. I therefore do not understand how they can be considered to be cost-effective.

The truth is that the free schools project is ideologically motivated and free schools are being driven to succeed, with teachers and students everywhere else being made to pay for it. Free schools have been unaffected by budget cuts and receive a disproportionate share of capital and revenue funding, as pointed out by several hon. Members, at the expense of local schools, despite the fact that they educate only a tiny proportion of all pupils.

The Secretary of State has turned down several invitations to visit east Durham, but it would be instructive if he came and listened to students and teachers at schools in my constituency. They would ask him for just a little of what he is spending on free schools to improve students’ learning experiences and life chances. Through the Minister, I urge the Secretary of State to wake up to the facts. Free schools mean less oversight, less democracy and poorer value for money. They are failing the taxpayer, teachers, parents and, most importantly, children. If the Secretary of State does want to come down to earth from his ivory tower, there is no better spot for him to land than in east Durham.

Finally, I ask the Minister to pass on one more invitation to the Secretary of State to come and see how things are being done, to witness the state of the building at the Seaham school of technology, to speak to the pupils, teachers and head teachers and to change the habit of a lifetime by listening to those doing the hard work. A person is never too old or too clever to learn—even a Secretary of State for Education.

--- Later in debate ---

[Mr Timpson]

I will come to the quid pro quo of accountability against the freedom given to academies and free schools.

The hon. Gentleman made a particular point about the Al-Madinah free school. As he said, the Minister, my noble Friend Lord Nash, is currently up there talking to the school governors to decide what the next steps will be, so it would be wrong and inappropriate for me to comment specifically on the details of the case. Nevertheless, it is important that although there is clear evidence of success and achievement in free schools by virtue of the freedom provided to them, it is also right that there is tighter accountability as the balancing side of the equation.

For free schools, the need to demonstrate educational and financial rigour starts from the very moment when they submit an application to open a school. Every application is assessed against rigorous, published criteria. Free school proposers need to show how their school will drive up standards for all pupils as well as demonstrating financial resilience. The criteria also cover governance, an issue raised by a number of hon. Members. We need proposers to show that they have the capacity, skills and experience to set up and run an effective academy, as well as showing demand from parents.

Proposers are rigorously tested at interview against all those criteria, and testing continues once they are approved into pre-opening. As proposers refine their plans and are able to gauge with increasing accuracy the number of pupils that they expect to secure in their first year, we test their financial assumptions, challenging them to ensure viability. When we are not happy with the progress made, we can rightly require groups to bring in more expertise or make other changes. However, we are also not afraid to cancel or defer projects when we do not think that the new school will provide the very best for its pupils or provide good value for money for the taxpayer.

The hon. Member for Easington spoke about value for money. He may be aware that under paragraph 2.5 of the academies financial handbook, there is a requirement to complete a value-for-money statement each year explaining how the trust

“has secured value for money”.

That is both sent to the Education Funding Agency and published on the DFE website. The hon. Gentleman can find that information for himself and do with it what he wishes.

Before every free school opens, it is inspected by Ofsted against the independent school standards. Although it is impossible for Ofsted to make a judgment on the educational delivery of a school that has not yet opened, the inspectorate looks closely at all other aspects of the school’s policies and procedures covered by the standards. The quality of the premises of a free school has been mentioned. Hon. Members may be interested to know that under part 5 of the Education (Independent School Standards) (England) Regulations 2010, on premises and accommodation, there are set minimum standards for premises for free schools that are identical to those for maintained schools, so there is no differentiation in the standards required.

Ofsted’s pre-registration inspection also considers how well the school is set up to ensure the spiritual, moral, social and cultural development of its pupils, as well as to secure their welfare, health and safety. The inspectors will check the school’s safeguarding policies as well as health and safety protocols, and ensure that procedures for checking the suitability of staff are appropriate. Ofsted will also make recommendations to the Secretary of State on conditions that it believes free schools should meet before opening their doors, in order to meet the independent school standards that I referred to.

The Secretary of State will not enter into a funding agreement to open any free school unless satisfied that the school will provide a good standard of education and be financially viable. No free school has opened without satisfying the Secretary of State that the school has addressed, or is on track to address, the issues raised by Ofsted. I challenge any hon. Members present to put forward any maintained school, including even recently established provision, that has been subjected to the same breadth and depth of scrutiny as we now apply to every free school before they even open their doors.

[Grahame M. Morris]

The Minister is being generous in giving way, and he has responded to the points that have been raised. He quoted the relevant paragraph that relates to scrutiny of whether a free school offers value for money, but does he believe that a school with 31 pupils and six staff offers value for money for the public purse?

[Mr Timpson]

Every school is free to decide the right ratio of pupils and staff, whether it is a special school or a particular type of school. If the result is that those children are achieving high-quality standards of education, that is a good outcome.

The hon. Member for Cardiff West, with his usual “Morecambe and Wise” approach to such debates, asked some serious and specific questions, particularly about correspondence in the Al-Madinah case. He asked whether there had been any correspondence from the police on Al-Madinah before it opened. I am not aware that there has been any correspondence, but I will make further inquiries and endeavour to write to him in the usual way. He also asked about the Barnfield Federation in Luton and the publication of investigation reports. We have a commitment to publish investigation reports, but we have to publish them at the right time. In the case of Kings science academy, for example, that was when the disciplinary action was complete. It is worth remembering, of course, that Barnfield is not only a free school, but a multi-academy trust. Nevertheless, the commitment remains, and it will be done with due diligence and in a timely fashion.

In terms of where the oversight continues with free schools, we do not back away once a free school opens. First, and most importantly, every free school is inspected by Ofsted under the same section 5 inspection criteria applied to every maintained school and academy. We know that there is no sharper tool available to us in securing proper scrutiny of schools than Ofsted, so it is essential that every free school is inspected.

Inspections typically take place in the school’s second year of opening. Before their Ofsted inspection, free schools will receive at least two visits by the Department’s education advisers, who are individuals with a proven track record of delivering school improvement. Those visits, which take place in the school’s first and fourth terms, allow us to ensure that the schools are delivering a high standard of education.

In the overwhelming majority of cases, free schools and academies succeed and standards rise, but the Department is not short of options should they fail. When there is sustained poor academic performance at an academy, Ministers can issue a warning notice to the relevant trust, demanding urgent action to bring about substantial improvements.

A question was asked about the number of warning notices sent by the Secretary of State. One warning notice has been sent to Kings on finance—it is the only one—and there are no notices to improve on education. Ultimately, failure to improve can lead to termination according to the provision set out in each trust’s funding agreement.

Oral Answers to Questions

Grahame Morris Excerpts

Monday 9th September 2013 Commons Chamber

[Michael Gove]

My hon. Friend is right. One of the many reasons why Sir Michael Wilshaw is proving an outstanding chief inspector is that he has moved away from the rigid prescription that forced methods of teaching on schools which were not in the best interests of children, and he has ensured that we now have an approach that encourages teachers to teach, and that once more says that direct instruction, and the pedagogy that concentrates on knowledge, should be at the heart of what happens in our schools.

[Grahame M. Morris (Easington) (Lab)]

It has been reported that the Durham free school has nine staff for 30 pupils. Does that, in addition to its unlimited capital, represent good value for the taxpayer or is it an act of political folly?

[Michael Gove]

I think it represents excellent value, because for far too long, as the hon. Gentleman knows, schools in County Durham, particularly in the east of the county, have not been good enough. The fact that parents at last have a challenger school, helping to raise standards in an area where, frankly, working-class children have been let down for far too long by a complacent Labour party, is to be welcomed. A genuine progressive would welcome it instead of carping and reading from the NASUWT National Union of Teachers hymn book.

Oral Answers to Questions

Grahame Morris Excerpts

Monday 4th March 2013 Commons Chamber

[Michael Gove]

In design and technology, we absolutely need to listen to those sections of our economy that will generate prosperity for the future and that want people to be well trained. However, cooking is not just important, but critical as a life skill and as a means of ensuring that Britain remains a wonderful and attractive place for visitors and our own citizens. I pay tribute to Henry Dimbleby and John Vincent for the fantastic work they have done on the school food plan.

[Grahame M. Morris (Easington) (Lab)]

I hope that the Secretary of State will reflect on the inaccurate and deeply offensive remarks about teachers, pupils and parents that he made at a conference in London on Thursday. Given his own culpability and the unlimited finance available to his pet project of free schools, will he think again about the funding for schools such as Seaham school of technology in my constituency, which serves one of the most deprived communities in the country? I have a Latin motto for him: sublimiora petamus, or “We must do better.”

[Michael Gove]

I am grateful to the hon. Gentleman for the fair way in which he made his point. My comments were reported from a conference that I spoke at last Wednesday on educational underperformance. It is the case that east Durham performs less well than the rest of the county of Durham and that Durham county council has itself acknowledged that with its East Durham area action partnership. It is also the case that half the secondary schools in east Durham are rated by Ofsted as “requires improvement” or “inadequate”, which is worse than the national average, and that, whether at A-level, AS-level, GCSE or English baccalaureate, these schools are underperforming. I always enjoy my visits to the north-east, but we must work together to help these children secure a better future.

Oral Answers to Questions

Grahame Morris Excerpts

Thursday 27th October 2011 Commons Chamber

[Vince Cable]

As my hon. Friend knows, there is a mechanism for dealing with official debt, through the Paris Club, but I will certainly undertake to speak to my colleague, the Secretary of State for International Development, to ask what concessional assistance we are giving to Egypt. The matter does not directly bear on my Department, but I accept that there is a link with the promotion of trade.

[Grahame M. Morris (Easington) (Lab)]

Does the Business Secretary believe that tax evasion and tax avoidance is having a negative impact on economic growth?

[Vince Cable]

Absolutely. I am resolute, and I hope that my colleagues on the Opposition Benches will work with me in combating both.

Building Schools for the Future

Grahame Morris Excerpts

Monday 14th February 2011 Commons Chamber

[Michael Gove]

I am grateful to the hon. Gentleman for his point. I have had the opportunity to visit with him many of the outstanding schools in Hammersmith and Fulham, including Phoenix high school, which we both hold in high regard. The new free school that is likely to be opened, the West London free school, is being opened at a significantly lower cost than that for which schools were built under BSF. It will be in a handsome building adjacent, I believe, to the fee-paying independent school Latymer Upper, where he enjoyed such a great education.

[Grahame M. Morris (Easington) (Lab)]

I hoped that the Secretary of State would be able to bring us sunshine today in relation to some of the schools that have been affected, particularly Seaham school of technology, which suffers from terrible problems of dilapidation. The opportunity cost of not replacing the school and having to fund the repairs is considerable. It is the only school serving quite a large town, and it has rising demand. Will the Secretary of State consider the case for that school?

[Michael Gove]

I am grateful to the hon. Gentleman, not only for proving that he is a reader of The Times, and a fan, as I am, of Sarah Vine’s writing, but for making the case for investment in east Durham. I have had the opportunity in the past couple of months to visit the north-east twice, and I always enjoy doing so. He makes an impressive case. I know that with Building Schools for the Future gone, we must all look at how we can get money to the schools that need it in the best way. I also know that in Seaham and Easington there are schools that desperately need investment at some point in the future.

Oral Answers to Questions

Grahame Morris Excerpts

Thursday 13th January 2011 Commons Chamber

[Mr Willetts]

I have ministerial responsibility for the financing of universities in England only, but the right hon. Gentleman is absolutely right, and we do keep in close contact with the devolved Administrations, because there are significant connections between decisions that we take in England and decisions that they take affecting Scotland and Wales.

[Grahame M. Morris (Easington) (Lab)]

6. What assessment he has made of the prospects of establishing a single local enterprise partnership in the north-east; and if he will make a statement.

[The Minister of State, Department for Business, Innovation and Skills (Mr Mark Prisk)]

We have received two proposals for establishing local enterprise partnerships in the north-east—one to cover the Tees Valley, which was cleared to proceed last October, and a second that was received recently for one to cover the remaining local authority areas. I can tell the House today that the second proposal meets the Government’s expectations, and we are today writing to the partners to confirm that. This means that just 16 weeks after we sought applications, there is complete coverage in the north-east.

[Grahame M. Morris]

I welcome that announcement and thank the Minister for that information. The Business Secretary controversially abolished our regional development agency, One NorthEast, and the Government parties have cut funding for regional development by two thirds. I welcome the good news for my area, but there are concerns among Opposition Members that in the transition period between the RDAs going out and the LEPs coming in, there will be a problem or a vacuum, and we will not be able to encourage investment or secure the regeneration jobs that we require.

[Mr Prisk]

Let me assure the hon. Gentleman that we are working very closely both with the outgoing RDA teams, to whom I am grateful for their co-operation and collaboration, and with the incoming local enterprise partnerships. There might be stumbles along the way, because this is a complex path, but I am determined to ensure that we do our best to encourage growth and remove the barriers to growth, especially in the north-east.

Oral Answers to Questions

Grahame Morris Excerpts

Monday 20th December 2010 Commons Chamber

[Michael Gove]

I am very grateful to my hon. Friend for raising that issue. There is a recognition across the House that we need to strike a sensitive balance between the need to protect the innocence of young people and the need to equip them for the modern world. To my mind, that means that sex education needs to be both inclusive and rigorous, and ultimately subject to parental veto. Parents must have the right to withdraw their children from sex education if they consider it inappropriate, and a right to be informed on a local basis how that curriculum is generated. It is right that sex education is a compulsory part of the national curriculum. My Department wants to look at the guidance it provides, in consultation not just with faith groups but with other organisations such as Stonewall, to ensure that the correct balance between inclusivity, tolerance and respect for innocence is maintained.

[Grahame M. Morris (Easington) (Lab)]

In September, I raised concerns on behalf of my constituents about Seaham school of technology, and the Secretary of State kindly wrote back indicating the criteria that would be applied to replace schools cancelled under the Building Schools for the Future programme—notably those in the worst state of dilapidation and where there are pressures on school rolls. May I remind him that Seaham school of technology is in a serious state and is the only school serving a population of about 26,000 in the town of Seaham? He indicated in his letter that he would try to respond by the end of the calendar year, and I am now looking for that response.

[Michael Gove]

That is a fair constituency case. As I pointed out in reply to an earlier question, I am interested in supporting schools in County Durham and the north-east that have faced difficult circumstances, and I have had the chance to see schools in Consett and Stanley that are also in a bad way and need support. They have embraced academy solutions, and if the hon. Gentleman wishes to explore such a solution for Seaham, I would be delighted to explore that. In any case, I will look closely at the situation he described to see what can be done.