Lisa Nandy
Main Page: Lisa Nandy (Labour - Wigan)
Mr Laurence Robertson (Tewkesbury) (Con)
I, too, am surprised that so many Members do not want to hear this timely and important debate. I am pleased to have secured it and grateful to the Minister for staying behind to reply to it. I am also grateful for his genial and informed approach to all the horse racing issues that the Government have to deal with.
I wish to declare two non-declarable interests. I have the honour of being joint chair of the all-party group on racing and bloodstock industries, which is one of the most active, well-attended and important all-party groups in Parliament. I have the honour of being joint chair alongside the hon. Member for Mansfield (Mr Meale), whom I am pleased to see in the Chamber this evening. I also have the honour of representing the great race course at Cheltenham, which by a quirk of the boundaries falls within my constituency of Tewkesbury. It is looking forward to one of the greatest national hunt racing festivals in the world in a couple of weeks’ time.
The debate is timely because the Government have announced their intention to finalise the status of the Tote. It was set up in 1928 to benefit horse racing, and benefit horse racing it has done. Last year, it provided almost £19 million to horse racing through the statutory levy and sponsorship. The Tote sponsors the Cheltenham gold cup, one of the greatest steeplechase races in the world, which will take place in a couple of weeks’ time. It also pays a lot of money in rent to around 60 race courses across Great Britain, and that money is absolutely crucial to racing. The Tote is more than that, however; it is an institution, and it provides the friendly face of bookmaking.
It is 10 years since the right hon. Member for Blackburn (Mr Straw), then Home Secretary, announced that the Government of the day would change the status of the Tote. At the time, it looked as though it would be transferred to a racing trust. Indeed, a shadow trust was set up with its own chairman, Lord Lipsey, but the transfer was never made. One of the big questions that we must ask before getting too far into the detail is this: who actually owns the Tote? That is not an easy question to answer. It was for that reason that in 2004 the then Government passed an Act of Parliament that nationalised the Tote, with a view to moving it on to the racing trust, but they never included that intention in the Bill, which was a problem. My submission is that, if the Government had to nationalise the Tote and obviously did not own it, they in some way had a responsibility to racing, so it would be wrong for them to do anything with the Tote that would deprive racing of its annual income from the Tote.
Lisa Nandy (Wigan) (Lab)
The hon. Gentleman will know that I have the privilege of representing Wigan, where the Tote has its headquarters, and the staff there have lived with uncertainty about their futures for a long time. Does he share my concerns about how their jobs and, in particular, their pensions will be protected, and would he welcome some clarity from the Minister on that?
John Penrose
I have a very short amount of time left. I will take the hon. Lady’s intervention because I have already taken one from the hon. Gentleman.
Lisa Nandy
Will the Minister at least tell us what relative weight he has given to the continuing employment of existing Tote staff?
John Penrose
I apologise. I did not mean to gloss over that and the hon. Lady is quite right to pick me up on it. I am afraid that I cannot quantify the relative weights, but the Government will apply three crucial criteria: return to the taxpayer; return to racing; and pledges on the future of staff, including those in Wigan. Those three factors will be crucial in our evaluation of the different bids. As I said, the structures of the bids are widely different, and we must calculate carefully if we are to make like-for-like comparisons.
To return to my point, we have a strong, wide and powerful range of people who are through to round 2. They are currently involved in due diligence, crawling through the books with a fine-toothed comb and ensuring that they understand all the issues. In due course, we will whittle the bidders down still further to a final smaller group, which we will endeavour to take through to completion.
The good news is that because we have such a strong field of runners and riders, we stand a very good chance—although one can never be sure of these things—of bringing this to a successful conclusion. All in our collection of bids are of high value in respect of all three of the main criteria that I just described. That is our best guarantee of a successful outcome. If we have a good choice between those three different values, we stand an excellent chance of success.