General matters

Matt Hancock Excerpts

Tuesday 21st December 2010 Commons Chamber

[Peter Aldous (Waveney) (Con)]

May I wish you, Madam Deputy Speaker, and the House a happy Christmas and a peaceful new year?

As a chartered surveyor and an East Anglian representing a Suffolk constituency, the provision of infrastructure takes up a lot of my time. That has been the case not just over the past seven months, but over the past 27 years. Two things that I find myself saying with great regularity are, “We don’t do infrastructure well in the UK” and, in an East Anglian context, “We talk about infrastructure a lot because we don’t have any.” The nearest motorway to my constituency of Waveney is in Holland, and Lowestoft has been waiting 75 years for a third crossing over the water that divides the town.

Infrastructure and job creation go hand in hand. A good transport system is a prerequisite for sustained economic growth and, conversely, poor infrastructure and congestion hold back growth and the creation of jobs. Historically over the centuries, Britain has had a great record of inventing and building world-class infrastructure that underpinned economic growth, whether the creation of the canal network, the engineering work of Brunel, or the building of the railways and the London underground. More recently, our track record has been poor. There has been no long-term strategic framework, projects have the gestation period of an elephant, and to many it appears that Britain has ground to a halt, as we sit in traffic jams and wait for trains that never arrive—and, at present, planes that do not fly.

In the past, local highway authorities pursued an ongoing programme of continually improving the local road network such as through regularly building bypasses and relief roads around market towns. They stopped pursuing such an approach 20 years ago. The result, in East Anglia at least, is that there is a large backlog of work to be carried out on such schemes as the Beccles southern relief road in my constituency, the Brandon bypass in the constituency of my hon. Friend the Member for West Suffolk (Matthew Hancock), and the Long Stratton bypass in south Norfolk.

[Matthew Hancock (West Suffolk) (Con)]

The Brandon bypass was mentioned in my predecessor’s maiden speech in 1992 as an urgent priority for the link between Suffolk and Norfolk. Although some progress has been made since, no ground has been dug. Does my hon. Friend agree that this is an awful long time to wait?

[Peter Aldous]

My hon. Friend very much proves my point. There is a need for local highways authorities to be given greater autonomy to carry out local projects. The geography of East Anglia is such that, in many respects, the provision of good infrastructure is not easy. Ours is a sparsely populated area, with relatively small regional centres, such as Norwich, Ipswich and Colchester, interspersed with coastal and market towns, and myriad villages. Today, the case for providing good infrastructure in East Anglia is compelling. There is a need for good roads, as East Anglia has a greater reliance on private vehicles than any other UK region. The area is relatively inaccessible compared with similar regions around the world with which we are competing for inward investment. Despite those drawbacks and the relative inadequacy of infrastructure in East Anglia, its economy performs extremely well. In terms of gross domestic product, it is the third top performing region after London and the south-east, and is a positive contributor to the Exchequer. With proper investment, East Anglia could contribute a great deal more.

The time is right for Britain to resume its role as a world leader in the provision of infrastructure. I have read the Treasury’s national infrastructure plan, which was published in October, so I know that the Government’s policies appear to be pointing in the right direction, but they now need to see them through. The UK is one of the most expensive countries in which to build infrastructure, with engineering works here costing 60% more than they do in Germany. In East Anglia, we have the opportunity to provide a 21st century infrastructure model, and I will conclude by outlining its main features.

First, we need to tackle the pinch points on the roads and railways. I welcome the support that the Government have already given to the dualling of the final 9 miles of single carriageway on the A11 and the improvements to the Felixstowe to Nuneaton freight railway line. Both those projects will bring undoubted benefits to the region and will lead to the creation of new jobs. Other projects, some of which are in my constituency, will have similar benefits. The Beccles loop on the east Suffolk railway line, which the Government are supporting, will improve accessibility, as will the other two schemes that I have mentioned—the Beccles southern relief road and the third crossing in Lowestoft. The southern relief road will open up commercial land for development and will remove lorries from the town centre, thereby enhancing the town’s attraction as a shopping centre. The third crossing will have similar benefits for Lowestoft; it will open up commercial sites and help the regeneration of the town centre by reducing congestion. It will act as a catalyst for increased regeneration activity and for further investment in Lowestoft, providing an opportunity to create a perception of a positive and business-friendly location. It will enable Lowestoft to realise its full potential as an international centre for renewable energy.

There is also a need to invest in the infrastructure necessary for the energy sector to thrive. That means upgrading the electricity network, with a new offshore grid, greater interconnection with Europe and a smart grid and smart metering. The provision of superfast broadband across Suffolk and the rest of East Anglia is of crucial importance to the creation of jobs, particularly in hard-to-reach rural areas. The Government’s broadband strategy, which was published last month, goes a long way in setting out how that can be achieved. Suffolk needs to be in the next round of broadband pilots and I, like my fellow Suffolk MPs, will be campaigning hard for its inclusion.

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[Ms Stuart]

That is very true. Having grown up in Germany, I can vouch for the fact that the weather there is more regularly as fierce as it has been here. I would not advocate compulsion; the last thing that people want these days is to be forced to do anything more. It is a question of persuasion.

The Dutch managed to increase the use of winter tyres from 0.5% to more than 10% over 10 years through simple awareness campaigns. People here just do not think about the issue. I am glad to say that the Secretary of State for Transport seems to have changed his view between 2 December, when he thought that winter tyres were inappropriate, and now, when he says that those who can afford them should use them.

[Matthew Hancock]

The hon. Lady says that it is a matter of persuasion. After listening to her speech, I have also changed my mind. I am extremely persuaded and know what I shall ask for for Christmas.

[Ms Stuart]

I am absolutely delighted to hear that—[Interruption.] As my hon. Friend the Member for Birmingham, Erdington said, we approve of that provided it is a Dunlop tyre made in Erdington.

The key thing is for people to behave in a manner that is appropriate to the weather conditions and to think ahead and order a set of tyres—whichever ones they choose—now, so that they have them in the winter. People should not make a fuss about it. Such an approach will save people money, save lives and save the economy. It is the right thing to do and we all ought to do it.

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[Matthew Hancock (West Suffolk) (Con)]

It is a pleasure to speak after such erudite speeches from both sides of the House. I will speak on a matter that is specific to Suffolk and Newmarket and that affects the racing industry across the country.

Charles II was the first to make Newmarket the headquarters of the horse racing industry, and it is now its global headquarters. I will speak briefly about Newmarket’s position as the headquarters of that great sport. In Newmarket, there are 2,500 racehorses in training, 70 miles of gallops, 62 studs, the world leader in equine sales in Tattersalls, 79 training yards and 5,000 people who are directly or indirectly associated with the industry. Many of those people and organisations support me because I am an unambiguous supporter of the racing industry. The industry contributes to the economy across the country, making £3 billion and employing 100,000 people.

The future of the sport is tied intimately to gambling and the people who place bets on races—that includes many Members in this Chamber. We know that people love to bet. [Interruption.] Members are shaking their heads, but I think that it is an honourable and enjoyable thing to do, rather than something to query. Money from betting makes up 50% of prize money in racing, and that prize money attracts owners to race their horses and attracts some of the biggest international names to invest money in Britain. Heads of State, international business men and sportsmen, and punters who can afford to own a whole or part of a horse, love to race. Part of the thrill of racing is the potential for a prize.

The sport is not without its problems. The amount of money from the horserace betting levy that is transferred into prizes has fallen from £115 million to £75 million over recent years. Prize money in Britain is, on average, the 37th in the world. The levy, which was first put in place in 1961, is highly bureaucratic. Each year, it depends on the decision of the Secretary of State for Culture, Olympics, Media and Sport on how much money should be transferred from the gambling industry to racing, to reflect the product that racing provides for people to bet on, and therefore for the gambling industry to profit from. The transfer of value is a policy response to the value provided by racing, which everybody can bet on. That bureaucratic solution, which ends up with a decision by the Secretary of State, is extremely old-fashioned.

[Peter Aldous]

I speak as a racing enthusiast who often makes his way across Suffolk to visit the race course in my hon. Friend’s constituency. Does he agree that there is something very wrong in the way in which racing has been financed for the past 50 years, in that other sports, such as football and cricket, sell their television rights to television companies, whereas racing has to pay Channel 4 to show it?

[Matthew Hancock]

I am glad that my hon. Friend raised that important point. Sorting out the pictures from racing and where the money from those pictures goes to is an important part of having a sustainable future for racing. There is an issue with the sale not only of the pictures, but of the product upon which so many bets are laid. We must consider the future of the transfer of value from the product.

In the short term, the Secretary of State has a consideration to make over the coming months. I urge the Government to find in racing’s favour on the grounds that for a sustainable and successful racing industry, on which the gambling industry depends, there must be a reasonable transfer of value from gambling to racing. I also urge them to examine long-term solutions—for instance by removing the threshold under which betting shops pay no levy, by ensuring that offshore betting on UK races is levied upon, and by examining betting exchanges in which an ordinary punter lays the bet rather than an organisation. Such bets escape the levy, but the laying of a bet in any circumstances, whether by a corporate organisation or a punter, is still part of the turnover of betting.

In Ireland, a 1% levy on all wins has just been introduced, to recognise the transfer of value involved. That applies across all sports, so that racing is not separated out in the way that my hon. Friend the Member for Waveney (Peter Aldous) alluded to. The French have a system of a 1% transfer of value, plus saleable rights to bet on the industry. I urge the Government to consider all such options.

Everybody involved in the debate, whether on the racing side, the gambling side or in between, would agree that there is a desperate need for the levy to be modernised. In an environment in which money is tight and a bureaucratic system has existed for many decades, there is great pressure to get it right. That pressure is increasing, because racing is increasingly a world sport rather than merely a domestic one. The amount of money that is bet offshore is recognition of that. It is critical that we seize this moment to secure for Britain global leadership, in the future as we have had in the past, in this golden sport on which my constituency thrives.

[Guy Opperman (Hexham) (Con)]

May I start by wishing everyone here in the House of Commons a very happy Christmas? The staff do an amazing job, and I am deeply grateful to them for their last seven months of work.

I must declare an interest as a former jockey who, for his sins, still rides as an amateur. I probably would not have got through my school days were I not also a former bookmaker. I financed a large part of my school days by running an illegal book when I was aged about 12 and 13, and I avoided the law very impressively. It is a wonder I ever survived.

I have also been lucky enough to have ridden upsides a wealth of great jockeys, and I know Tony McCoy, for example. I congratulate him on winning the BBC sports personality of the year award. He once got off a horse of mine at Fontwell Park, which is a weird and wonderful figure-of-eight track unique in this country, and he said, “Do you know, you should have ridden this horse. You would have probably done better, the two of you.” People cannot comprehend what a compliment that was from the man who has won 15 champion jockey’s titles and has been undefeated as champion jockey since 1995. He was clearly wrong in his estimation of my abilities as a jockey—he was always very charitable when off the horse, but uncompromising when on it.

[Matthew Hancock]

I, too, warmly congratulate Tony McCoy on his victory in the sports personality of the year award, and of course on his grand national win this year. Does my hon. Friend agree that that sports personality of the year victory shows just how highly the nation values racing, and therefore the urgency and importance of the Government’s decision?

[Guy Opperman]

I endorse that comment entirely, and I see that my hon. Friend is wearing his royal purple, from the outfit that he is going to wear to Newmarket or wherever the next race will be.

We are dealing with one of the most impressive, successful and world-renowned sports, and we must do everything we can to support it. I speak as someone whose father rode in the grand national, and who represents the wonderful constituency of Hexham. It has many assets, not least the amazing race course that sits high above the town. From there, one can see Hadrian’s wall and three or four counties, and it is worth going there. I rode there in June 2009 and I confess that I am trying to persuade someone else to give me a ride again. But it is proving a little difficult as most people do not regard an ageing politician as their ideal jockey.

It is a sorry tale that the betting levy has been in such dispute for so long—in the House and in the racing forum. We are one of the few world leaders, on many levels and, if we fail to support racing, it will be the worst kind of short-sightedness. Both sides of the dispute accept that they have to run their organisation better and that the product must be improved. Many people are improving it—there is now much more diversity to the racing product. For example, 10 or 15 years ago, the idea that one would go racing and, at the end, watch Madness or Girls Aloud would not have been believed. Yet 20,000 people come to see them, and get everything going. That is a great credit to racing, but not enough is being done.

The overwhelming impression is that far too many have the bookmakers’ interests at heart. Since I became a Member, I have been struck by the might of the bookmaking industry. The truth is that bookmaking could not survive in its current form without horse racing. I therefore urge Ministers to do everything possible to support the work of trainers and the Jockey Club to sustain racing.

We are considering a small amount of money. One must not forget that in 2008, the levy was £115 million and in 2010, it was just over £75 million. That is the difference between total success and abject failure. None of the businesses, trainers, owners, jockeys—none of the infrastructure—would survive without adequate support from the levy.

It is a crucial decision. We are world leaders in so few things. One could argue that we were best at being unable to cope with snow until the great arrival of German winter tyres to bring us through. However, we are world leaders in one brand—horse racing. Clearly, investment needs to be made in the future of that great product. We need only look at the breeding that supports the infrastructure, and the hundreds of thousands of people who work day in, day out. I have been a stable lad and done my three horses.

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[Andrew Selous]

We can learn a lot from countries such as Australia, which has a much more shared parenting approach, uses much more mediation and is generally more successful.

Another of my constituents is a young father who has a valid contact order in place. He previously had full custody of his little girl. He is not in any way dangerous—indeed, he is a devoted dad. He last saw his daughter in July. She cries out when she sees him and her grandmother in the local shopping centre, longing to be with him. He has tried since July to get a court date to see her before Christmas, but that has not been possible. He left my surgery in tears after I had updated him on what the family court service had said about his case.

Another constituent also had a valid contact order and on 21 June, the Monday after fathers’ day, he received a text to say that the mother of his child had disappeared, leaving no address. Even after a court seek-and-find procedure, no address was provided. A first court date was set in a court a long way away from where my constituent lives, but it was adjourned. When the case did get into court on 4 October, the proceedings were shambolic, the judge was not well briefed and the appropriate file was not there. The case was adjourned again until 30 November and, on 28 November, the mother succeeded in getting that hearing adjourned, as—allegedly—a medical report on the child was not ready. When my extremely persistent constituent finally got the case into court earlier this month, he found that the medical report was dated 18 November and had been available for the earlier court hearing, but of course there was no sanction on the mother. The courts allow difficult parents to deprive their children of a relationship with their father.

I am proud to be an MP for a Government who are radical and reforming in many ways, and I put it to the House that we need radical reform of the family justice system. We need a system that is much less winner takes all, less confrontational and less expensive; and we need a system that provides proper enforcement of court-sanctioned contact orders.

[Matthew Hancock]

Has my hon. Friend seen the Public Accounts Committee and National Audit Office reports into CAFCASS, showing that the extremely moving examples that he has highlighted today are not isolated cases but part of a wider problem in the family court system?

[Andrew Selous]

I am grateful to my hon. Friend for raising that issue. He is right. The problem affects every single one of us in the Chamber and is an issue on which we need urgent progress. The input of mothers and fathers, where safe—that is the vast majority of cases—is hugely beneficial to children.

The language we use in these cases is extremely unhelpful. I really dislike the terms “non-resident parent”, which suggests some sort of absentee parent forced to leave their own home, and “parent with care”—why should one parent have to do all the caring? Is that not unfair to mothers, to whom it often applies? The term “contact” is a cold and unfeeling term for what is the strongest of all human bonds. Would “daddy time” or “mummy time” not be more appropriate?

On the point made by my hon. Friend the Member for Birmingham, Yardley (John Hemming), Australia takes a much better approach. Its approach, which was introduced hand-in-hand with reforms to the child maintenance system, is to regard a separated couple as two single parents, with the emphasis, wherever possible, on as much shared parenting as possible, not on one “parent with care” and a distant “non-resident parent”. That matters greatly, because there are very positive results for children when separated parents are involved in their children’s lives. Earlier this year, one of the most recent academic studies on this subject, by Fabricius et al, showed that when separated parents are involved to a greater degree with their children, it produces better school results, fewer suspensions and lower drop-out rates. There are clearly positive results to be had, so we need a real change of emphasis in this area. We need people in the public sector, such as general practitioners and teachers, to take the rights of non-resident parents seriously where the latter want to be involved in their children’s lives.

I would commend Australia again. In Perth in western Australia, it was found that one of the reasons parents with care were giving for not allowing contact time with children was their concern that the fathers would not be able to look after the children properly. As a result, courses in child health were set up for fathers to facilitate greater shared care—a very practical suggestion. I put it to the Minister, therefore, that on this issue we have made too little progress for far too long, causing far too much heartache to too many of our constituents. As I wish you, Mr Deputy Speaker, and all Members and staff of the House a very happy Christmas, I ask everyone to reflect briefly on those good parents who long to be with their children this Christmas but who will be denied that opportunity.