Covid-19: Aviation

Debate between Kelly Tolhurst and Gavin Newlands

Wednesday 3rd June 2020 Commons Chamber

[Mr Speaker]

I call Gavin Newlands, the Scottish National party spokesperson, who has 1 minute.

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

Back in March, the Chancellor said he was working on a specific package of help for airports and airlines. We are still waiting for that support. Will the Minister press the Chancellor at least to follow the Scottish Government’s lead in giving the industry 100% business rates relief for a year? Will she also echo what the Chair of the Transport Committee said about the despicable behaviour of Willie Walsh and IAG? In the short term, we all understand and accept that the industry needs to reduce in size, but the manner in which Mr Walsh is choosing to do this should be illegal, if it is not already.

This affects the supply chain too. Sadly Rolls-Royce has today confirmed it intends to cut 700 jobs at Inchinnan in my constituency. The company is looking to offshore yet more work, despite having taken UK Government research and development money and job retention scheme money. The UK, but particularly Inchinnan, is being disproportionately affected. Are the Government engaged with, or have they offered any support to, Rolls-Royce to mitigate job losses? Finally, will the Minister join me in urging Rolls-Royce to engage meaningfully with the Scottish Government on supporting jobs at Inchinnan?

[Kelly Tolhurst]

The hon. Gentleman has raised several of these points with me previously, and I have tried to articulate to him before the support being offered to the aviation sector. Once it has looked at all the Government schemes and exhausted all other possibilities, such as going to shareholders to see whether they can support their businesses, businesses in the sector can come to the Government to discuss bespoke support. As he would imagine, those discussions are ongoing.

On business rates, which the hon. Gentleman has, rightly, mentioned before, the Chancellor was clear about where those business rate alleviations would happen and that is obviously a matter for the Treasury. On the impact of the reduction in aviation on the wider jobs market in the aerospace industry, and particularly on Rolls-Royce, as I have outlined, the furlough scheme was not introduced in order for businesses to put people on notice of redundancy while they were on furlough. As hon. Members would expect, we will work across Government, including with colleagues in the Department for Business, Energy and Industrial Strategy, to assess the significant impact that will be felt across the economy, and particularly in the wider aerospace sector. We will do whatever we can to ensure that we engage with those businesses and protect as many jobs as possible.

Oral Answers to Questions

Debate between Kelly Tolhurst and Gavin Newlands

Thursday 12th March 2020 Commons Chamber

[Kelly Tolhurst]

Yes.

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

The climate emergency concerns us all, and the aviation sector faces a particularly tough challenge to decarbonise, whether or not additional airport capacity is added in the south-east. However, we cannot shirk that challenge, so I am proud that Loganair, based in my constituency, is currently working to provide passenger services using electric planes to help to tackle our climate change targets. In Scotland, these targets include aircraft emissions. Will this Government match that level of transparency and honesty, and include emissions in their targets?

[Kelly Tolhurst]

I thank the hon. Gentleman for outlining his particular interest and his understanding of the situation within Scotland. As he will know, Sustainable Aviation has committed to delivering on its net zero target.

[Gavin Newlands]

As the Minister has outlined, progress has been made with new engine technology continually setting new standards of efficiency and reducing carbon emissions, and there is huge research and development in the sector right now. Given that background, plus the fact that it may cost up to 10 times more, and that it is one of just two bodies whose regulations are followed the world over, replacing the European Aviation Safety Agency properly may take up to a decade, and recruiting the expertise required will be extremely difficult. Does the Minister not realise that leaving EASA is an act of sheer folly that is putting Brexit politics before passenger safety?

[Kelly Tolhurst]

I thank the hon. Gentleman for his question. He will know—I believe he spoke about it last week—that we will potentially see the first electric flight this year. We have invested £300 million in the future flight challenge fund. We are committed to working with everyone across the industry to ensure that we have the technology and the skills and can deliver on our target.

Flybe

Debate between Kelly Tolhurst and Gavin Newlands

Thursday 5th March 2020 Commons Chamber

[Kelly Tolhurst]

I thank my hon. Friend for his question and note his particular interest as Chair of the Select Committee. He is right that we announced in the Queen’s Speech that we would legislate to enhance the Civil Aviation Authority’s oversight of airlines and its ability to mitigate the impact of failure. I am keen to move that legislation forward as soon as possible, and I am happy to give him further updates.

[Gavin Newlands (Paisley and Renfrewshire North) (SNP)]

First and foremost, this is horrendous news for the employees of Flybe, who have lost their jobs in an abrupt, public and distressing manner. Of the 2,000 Flybe staff, about 300 were based in Scotland, with 130 of them in my constituency at Glasgow airport. My thoughts are with all of them, and my constituency office stands ready to assist any local staff affected.

This is also terrible news for passengers, airports and, in particular, regional connectivity. I need not remind the Minister how important regional connectivity is to Scotland. Flybe operated over half the UK’s domestic capacity outside London—that is a huge gap to fill. That said, I am hopeful that some of these routes can be backfilled relatively quickly. I know that Glasgow airport has already had productive discussions with airlines, and in particular Loganair.

There is no doubt that Flybe management have questions to answer; the warning signs have been clear for many years. While I do not blame the UK Government for Flybe’s demise, they, too, have some serious questions to answer. The Secretary of State stood at the Dispatch Box and spoke of the “rescue” of Flybe, yet here we are. I am sure that some passengers bought tickets as a result of the apparent strength of the Government intervention. Will the Government refund those passengers? The Secretary of State also made great play of the regional connectivity review—where is it? It was deemed urgent then, yet we have seen nothing. Moreover, many warned of the consequences of the Government failing to bring forward airline insolvency plans following the collapse of Monarch. It took Thomas Cook to go bust before this Government leapt into action, sadly all too late. If they had acted, we could have avoided the scenes at airports last night, with passengers and Flybe staff alike stranded.

I understand that the Secretary of State is to speak with Michael Matheson. What assurances can the Minister offer Scottish regional passengers? Will she consider extending public service obligations to key regional flights, which are lifeline services in parts of Scotland? The next few months will be extremely challenging for the entire travel and holiday sector. What assurances can she give that no more businesses will go to the wall, as this statement contains merely warm words and no actions?

[Kelly Tolhurst]

I understand the distress and concern in the hon. Gentleman’s constituency and region about the flights operating out of those airports. We have had some good news: Loganair has already committed to ensure that 16 of the routes stay in place. We are hopeful that we will be able to work with industry to pick up some of those routes, and I can assure him that the Department is determined to backfill those routes and maintain the viability of regional airports. He asked me a number of questions. I am more than happy to speak with him afterwards if he wants to go into detail and to speak with Scottish colleagues about the particular effect on Scotland and the PSO routes.