Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to ensure wider access to Government support for small businesses during the covid-19 outbreak.
Answered by Paul Scully
The Government introduced an unprecedented and comprehensive package of business support measures to help as many individuals and businesses as possible during this difficult period. This support package included measures such as the small business grants, the coronavirus loan guarantee schemes, the Coronavirus Job Retention Scheme (CJRS), the deferral of VAT and income tax payments, and more. These measures were designed to be accessible to businesses in most sectors and across the UK.
Further measures were also announced by the Chancellor that build on the significant support already available as well as set out how current support will evolve and adapt. This includes the extension of the CJRS until the end of April 2021, the extension of the coronavirus loan guarantee schemes until 31 March 2021, and the introduction of Pay As You Grow measures, meaning businesses now have the option to repay their Bounce Back Loans over a period of up to ten years. Businesses who also deferred VAT due from 20 March to 30 June 2020 will now have the option to opt-in to a scheme to allow them to pay in smaller instalments up to the end of March 2022, interest free.
Business premises that are required by law to close during the current period of national restrictions which began on 5 January 2021 can also access grants of up to £4,500 per 6 weeks of closure under the Local Restrictions Support Grant (Closed). In addition, each closed business will be eligible for a one-off payment of up to £9,000 via the Closed Business Lockdown Payment. Local authorities have also been allocated a further £500 million in discretionary funding via the Additional Restrictions Grant to support businesses that are significantly impacted by the restrictions even though not required to close. This is in addition to £1.1 billion already allocated in November 2020. Local authorities have discretion to use this funding to support businesses in the way they see fit.
Further initiatives include the BEIS-led Small Business Leadership Programme and Peer-to-Peer networks, to help businesses build resilience and grow. In addition, the Ministry of Housing, Communities and Local Government (MHCLG) announced £20 million in July 2020 to help small and medium-sized businesses acquire new technology and seek advice on digital adoption in order to continue or diversify their business activities in light of the pandemic. This is provided through grants of between £1000 and £5000 and is fully funded by the Government with no obligation for businesses themselves to contribute financially.
Additionally, businesses are able to access tailored advice through our Freephone Business Support Helpline, online via the Business Support website or through their local Growth Hubs in England. The Government will also continue to work closely with local authorities, businesses, business representative organisations, and the financial services sector to monitor the implementation of current support.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what estimate he has made of potential job losses in the events and hospitality industry in 2021.
Answered by Paul Scully
Over the course of the COVID-19 pandemic the Government has worked closely with the hospitality sector to understand the impact of the pandemic on their businesses.
Hospitality and events businesses have been able to benefit from Government support, including the Coronavirus Job Retention Scheme, Government-backed loans, Local Restrictions Support Grants, additional funding provided to Local Authorities to support businesses and the Cultural Relief Fund.
On 5 January, when the new National Lockdown began, my Rt. Hon. Friend Mr Chancellor of the Exchequer announced a one-off top up grant for retail, hospitality and leisure businesses worth up to £9,000 per property to help businesses through to the spring. A £594 million discretionary fund has also been made available to support other impacted businesses.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to Government criteria on corporate sponsors for COP26, whether he plans to exclude companies involved in the extraction and production of fossil fuels as potential sponsors for that conference.
Answered by Kwasi Kwarteng
We are looking to partner with organisations at COP26 with strong climate credentials, particularly those who have set ambitious net zero commitments by 2050 or earlier, with a credible short term action plan to achieve this (e.g. Science Based Targets). We conduct due diligence on all potential sponsors, and will ensure compliance with rigorous government standards.
You can find details about sponsorship on the COP26 website here.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the potential for (a) job losses and (b) loss of union recognition as a result of the sale of Co-op Insurance to Markerstudy.
Answered by Paul Scully
The details of mergers and takeovers are primarily a commercial matter for the parties concerned.
The Employment Relations Act 1999 introduced a statutory recognition procedure that gave independent trade unions the right to apply to the Central Arbitration Committee (CAC) to be recognised by an employer for collective bargaining over pay, hours and holidays in respect of a group of workers in a particular bargaining unit.
Where an employer decides not to recognise or to derecognise a trade union, the union can use the statutory recognition procedure. The CAC can award recognition where a clear majority of the bargaining unit want it, and this is established in most cases through a ballot of the workforce.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what steps his Department is taking to improve energy standards in the private rented sector to help reduce fuel poverty affecting tenants in that sector.
Answered by Kwasi Kwarteng
We intend to consult on strengthening the Minimum Energy Efficiency Standards in due course, in line with our Clean Growth Strategy aspiration for privately rented properties to reach EPC Band C by 2030 where practical, affordable and cost-effective. Landlords will also be eligible for subsidised energy efficiency measures through the Green Homes Grant scheme this autumn.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what assessment he has made of the financial effect of the covid-19 lockdown restrictions on (a) businesses, (b) self-employed people and (c) people employed in the beauty industry; and what assessment he has made of whether there has been a disproportionate effect on women of the effect on that industry.
Answered by Paul Scully
The Government has considered the financial impact of COVID-19 on all parts of the economy throughout the pandemic and has provided unprecedented levels of financial support.
The Government will continue to monitor the impact of the restrictions, working closely with business groups including the beauty industry, to ensure it continues to consider the impact on all groups including women.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what conditions were attached to any financial support provided to Boots.
Answered by Paul Scully
The Government released an unprecedented package of support, including loan schemes, grant funding and wage packages, to help as many individuals and business as possible during the coronavirus (COVID-19) pandemic. For commercial confidentiality reasons, the British Business Bank cannot disclose whether companies are or are not in receipt of support without their approval. Any financial support provided (if provided) would be subject to the terms and conditions of the specific scheme.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, what estimate he has made of the proportion of businesses that have applied for loans through the Coronavirus Business Interruption Loan Scheme that have had their application declined.
Answered by Paul Scully
As of 6 May, in total over £5.5 billion worth of loans have been issued under the Coronavirus Business Interruption Loan Scheme (CBILS) to 33,812 businesses. Lenders have received 62,674 completed applications.
In order to minimise administrative burden and therefore facilitate the issuing of as many loans as possible, the British Business Bank’s system only gathers data from lenders when loans are offered and drawn. Decisions on whether to capture information relating to rejected loans are at the discretion of the lender.
We are working with the British Business Bank, HM Treasury and the lenders on the publication of regular and transparent data going forward.
Asked by: Nadia Whittome (Labour - Nottingham East)
Question to the Department for Business, Energy and Industrial Strategy:
To ask the Secretary of State for Business, Energy and Industrial Strategy, if he will take steps to ensure that small companies that pay business rates indirectly through rent payments to a multi-tenanted facility are eligible for support from the Small Business Grants Fund in the same way as if they paid business rates directly.
Answered by Paul Scully
The two existing business grants schemes have helped supported many thousands of small businesses. However, we are aware that many small businesses which are facing high fixed costs are finding themselves excluded from the existing grants schemes because the way they interact with the current business rates system means they are not eligible for the grants schemes.
To ensure that Local Authorities can help these businesses, on 1 May 2020 the Business Secretary announced that a further up to £617 million is being made available to Local Authorities in England to allow them to provide discretionary grants. This additional Local Authority Discretionary Grants Fund is aimed at small businesses with ongoing fixed property-related costs but not liable for business rates or rates reliefs. It is our intention that the following businesses should be considered as a priority for these funds:
Local authorities may choose to make payments to other businesses based on local economic need and subject to those businesses meeting the specific eligibility criteria.