British Steel

Debate between Greg Clark and Jim Cunningham

Wednesday 22nd May 2019 Commons Chamber

[Greg Clark]

It is not a question of having the funds available; it is a question of the legality of being able to deploy them. The right hon. Gentleman will know, as the House will, that I have a good record of being able to invest alongside private businesses where this secures jobs and innovation. That is absolutely something that I would do in the steel sector. One legal requirement—we are meeting the legal requirements—is to show that there is co-investment from a private investor. In the situation in France, there was substantial investment on both sides. The same was not available in this case, which was one reason why the advice that I was given was of the nature that it was.

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

We have been here on two or three occasions, including with GKN and Bombardier, so one wonders where we are going, as the steel industry is vital to manufacturing in this country and, more importantly, to the defence industry. I thank the Secretary of State for his statement, but I can tell him that I worked at Rolls-Royce when it collapsed in 1971 and there is no worse situation an employee can find themselves in; that situation went on for weeks, until eventually the Heath Government had to semi-nationalise it. I have the feeling that you may be back here in a couple of weeks’ time if you cannot find a buyer, so you will really have to consider that. I hope you will consider that, because if you do not, you will be inflicting a lot of pain on a lot of good employees who work very hard. Once you have experienced something like that, you never forget it.

[Mr Speaker]

The hon. Gentleman raises a very serious point, but I just gently observe that I will not find a buyer and I will not be giving any consideration to this matter whatsoever.

Budget Resolutions

Debate between Greg Clark and Jim Cunningham

Wednesday 31st October 2018 Commons Chamber

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

As the Secretary of State knows, a lot of developments are taking place in the automobile industry, for example in Coventry on electric cars. He will also know that there are a lot of concerns in companies including Jaguar Land Rover in relation to the diesel tax on the one hand and Brexit on the other, and the Secretary of State has been very good in meeting us on those subjects.

[Greg Clark]

I am grateful to the hon. Gentleman for what he says. I am a regular visitor to the west midlands and to Coventry, and of course it is vital for one of our proudest and most successful industries that we should be able to build on that success by seizing the initiative in the years ahead. Every country in the world is moving to electric and autonomous vehicles and, including in the hon. Gentleman’s constituency, we have some of the best brains on the planet in developing that new technology. I am absolutely determined that we will not do what happened in the past—we invent the technologies yet see them deployed elsewhere—but that instead we will manufacture these batteries and these vehicles, and that we will do so in every part of the country.

Rolls-Royce Redundancies

Debate between Greg Clark and Jim Cunningham

Thursday 14th June 2018 Commons Chamber

[Greg Clark]

My hon. Friend makes an important point. In fact, the demand for engineering skills is increasing right across the country, including in both the east midlands and the west midlands. Rolls-Royce itself plays an important role in training engineers. I met some of the young engineers in Derby, and they can look forward to a wonderful career in engineering.

Through the industrial strategy, as my hon. Friend is aware, we are placing greater emphasis on science, technology, engineering and maths skills in schools and colleges, and we are creating institutes of technology. With the aerospace and automotive sectors in the east midlands and west midlands, we are now creating more places for apprentices through those joint initiatives so that we can supply the growing order books, based on the skills that are needed.

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

I worked at Rolls-Royce when the company collapsed in 1971, and I can tell the Secretary of State that a lot of people at Rolls-Royce will be very worried indeed about their future. We have a plant just outside Coventry, as the hon. Member for Nuneaton (Mr Jones) mentioned. What will be the impact on, for example, the Ansty plant in Coventry and the Bristol plant, and on other plants across the country? Equally, this will have an impact on the supply chain, because I do not believe Rolls-Royce has 4,000 managers.

[Greg Clark]

The announcement was made at 7 o’clock this morning that there is a proposal to reduce the headcount. Rolls-Royce has specified that the reduction will be in the management and support functions, rather than in the engineering and operational aspect. When further information is made available, I will make sure the hon. Gentleman, as the Member for a constituency with a great interest in the matter, shares in that information.

It is important to emphasise that the aerospace sector is characterised by growth. The proposed redundancies at Rolls-Royce—I make no bones about it—are clearly devastating news for those who may be affected but, overall, aerospace, including Rolls-Royce in this country, is enjoying higher order books. We will work together to make sure that, including in the test beds we have established together, we are at the forefront of the latest technologies in the future, as we have been to date.

Oral Answers to Questions

Debate between Greg Clark and Jim Cunningham

Tuesday 1st May 2018 Commons Chamber

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

The Minister will know that I have Jaguar Land Rover in my constituency. What will be the impact on Jaguar Land Rover of the changes to tax on diesel engines?

[Greg Clark]

The hon. Gentleman knows, and the House knows, that there has been a fall in sales of diesel engines, not just in this country but across Europe. That has been the reason for some of the termination of the contracts there. We will be setting out, as a Government, the future regulatory path to clean up our roads of emissions. In doing that, we will be consulting with the industry.

Industrial Strategy

Debate between Greg Clark and Jim Cunningham

Wednesday 18th April 2018 Commons Chamber

[Greg Clark]

I do indeed. In using that expression, as I think was evident from the context, I was praising the contribution that has been made from all parts of the United Kingdom. I am looking forward to being in Edinburgh tomorrow to give evidence on the industrial strategy to the Scottish Parliament. The work that we have done with the Government in Scotland has been very important. We had a very effective consultation session in Edinburgh. Many colleagues in Scotland contributed to it, and they see the results of it there.

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

The Secretary of State talks about an industrial strategy, which, in general terms, we welcome, but running alongside that we need to have an investment strategy, particularly in new technological developments and in energy areas such as electric cars. Will he say something about an investment strategy as well, because the regulator plays a big part in this?

[Greg Clark]

I am coming on to talk about that, but I will say now that one of the major breakthroughs in the industrial strategy is to recognise the utmost importance of investment in research and development, not only on the part of the private sector but on the public sector side as well. All around the world, advanced nations are investing in the future through R&D, and we have in the industrial strategy the biggest increase in research and development that we have ever seen in this country. It is a matter of pride that we were able to achieve that.

GKN: Proposed Takeover by Melrose

Debate between Greg Clark and Jim Cunningham

Tuesday 27th March 2018 Commons Chamber

[Greg Clark]

It is paramount that the interests of pensioners should be secured. I have said very clearly that I expect the Pensions Regulator and the trustees to be satisfied in relation to both camps—GKN or Melrose—that pensioners’ interests are being considered and protected, and that must of course come before the pay of executives.

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

Has the Secretary of State received a commitment from this particular company, which is well known for short-term investments, on longer-term investments? In the defence industry and in manufacturing in general, everybody—and I have worked in the defence industry—knows that any project runs beyond five or possibly 10 years, so such a commitment is needed to guarantee employment in this area. Has he been given any such commitments?

[Greg Clark]

I agree with the hon. Gentleman, who knows the industry well and with whom I have discussed this matter. That is why I consider it important to request and advise the company to be clear about its commitment to research and development. In its reply to me, it has made some statements about that, which he and others can evaluate, along with some specific commitments about the level and nature of R&D. His description of the need for such a commitment to research and development is absolutely right.

Oral Answers to Questions

Debate between Greg Clark and Jim Cunningham

Tuesday 13th March 2018 Commons Chamber

[Greg Clark]

I certainly will. The Jaguar and the London taxi are iconic images, and to see them leading the way into the future is a matter of great delight. I congratulate both companies on choosing to manufacture those vehicles in the UK.

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

What is the Secretary of State doing to help development in the transition from diesel to electric vehicles? In particular, how is he helping with infrastructure?

[Greg Clark]

We are working very closely with the industry to ensure that as it develops the new technologies of the future, it is able to plan a smooth transition to a world in which all vehicles will be compatible with our climate objectives.

Smart Meters Bill

Debate between Greg Clark and Jim Cunningham

2nd reading: House of Commons & Money resolution: House of Commons & Programme motion: House of Commons & Ways and Means resolution: House of Commons
Tuesday 24th October 2017 Commons Chamber

[Greg Clark]

Yes, I have. Again, I am grateful to the right hon. Gentleman for asking that question. It is essential that the upgrade is available so that the smart meters that are installed under the SMETS 1 standard will be operable under the SMETS 2 standard. That has been a key part of the development and testing for exactly the reason he mentioned.

Smart metering upgrades the interactivity of the energy system in general. One big advantage of it is that if the system is fully interactive, less unneeded generating capacity needs to be invested in, with consequent savings to consumers. Even in the initial operation, it is estimated that by 2020 consumers can make net savings on their household bills to the tune of £300 million. In addition to the bill savings, smart metering will deliver benefits to the energy industry and to the economy more widely. It seems to me to be essential that if we want to plan a prosperous future, building on our strengths, this country should be the place in the world that can best integrate renewable energy and battery storage—not least in electric vehicles—with the consumer. Smart metering is an important element of that.

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

Has the Secretary of State considered people in the poorer sections of society who might have difficulty paying?

[Greg Clark]

Yes, and it is important that all consumer groups should be able to access the benefits, including lower bills. That has been an important requirement, and the Bill addresses it by extending the necessary powers to ensure that we have the regulatory ability to insist that the roll-out goes to all consumers and is not restricted to the more affluent.