Independent School Fees: VAT

Neil O'Brien Excerpts
Wednesday 21st February 2024

(1 month ago)

Westminster Hall
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Helen Hayes Portrait Helen Hayes (Dulwich and West Norwood) (Lab)
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It is a great pleasure to serve under your chairmanship today, Mr Henderson. I congratulate the hon. Member for Northampton South (Andrew Lewer) for bringing forward this debate on independent schools and VAT. Many Members have made contributions about the role that independent schools play in their communities. In my own constituency, thousands of children receive a high-quality education at independent schools including Dulwich College, James Allen’s Girls’ School, Herne Hill School, Alleyn’s School and others besides.

I will address some of the comments made by hon. and right hon. Members this afternoon. On the analogy made by the hon. Member for Northampton South about private schools and the difference between private jets and jacuzzis, we would want every school to represent and fulfil the aspirations that parents have for their children. That is at the nub of this debate, which is about the quality of education received by the 93% of children who attend state schools in relation to the quality of education received by a privileged 7% of children. [Interruption.] I am going to make some progress, I am afraid—I will not take interventions right away.

We all want the best education for our children; every single parent wants the best education for their child. That is why the next Labour Government will do what previous Labour Governments have done: drive up standards in our schools and put education back at the centre of our national life so that we can break down the barriers to opportunity across our country. This debate is focused specifically—[Interruption.] I do not know who was chuntering from a sedentary position about what happened last time, but as a London MP I can tell them exactly what happened last time: it was called the London Challenge and it transformed education in the state sector in my constituency and across London. We went from a situation where our schools were failing under the Conservatives to a situation where they are now delivering brilliantly for all our children.

As many hon. Members have mentioned, the Labour party is committed to levying VAT on independent schools and ending their business rates exemptions. We have committed to doing that because we believe in driving high and rising standards in all our schools. Across this country, more than nine in 10 children attend state schools. The independent Institute for Fiscal Studies reported last year on policies in relation to VAT and tax exemptions for private schools. In brief, it found that our proposals would have little effect on the number of children being educated in private schools, but would lead to a net gain to the public purse of at least £1.3 billion per year. I appreciate some of the concerns raised in the debate today, but I urge right hon. and hon. Members to look in more detail at the IFS report’s findings.

Neil O'Brien Portrait Neil O'Brien (Harborough) (Con)
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I just want to press the Opposition Front Bencher on a specific point. There are some brilliant special schools in my constituency. The Opposition are saying that they will exempt children with an EHCP from their tax, but they are not saying that they will exempt all children at special schools from the tax. Why not?

Helen Hayes Portrait Helen Hayes
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There is a very simple reason for that. It is the way we avoid a loophole whereby any school can claim that it is a special school. Without there being an independent test of the places that are provided, any school could claim that it was a special school, and that would provide a loophole that we do not—

Helen Hayes Portrait Helen Hayes
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I will not give way again. It would provide a loophole that schools could use to evade the policy.

The share of pupils being educated in private schools has consistently remained around 6% to 7%, despite fees increasing above inflation year on year for many years. Indeed, independent school fees are 55% higher in real terms now than 20 years ago. Although we do not believe the scaremongering that there will be an exodus of pupils into the state sector, our state schools would be able to cope with an increase in their numbers. Across England, overall pupil numbers are due to decline by at least 100,000 per year until 2030; the total drop is higher than the number of children currently attending private schools.

0.7% Official Development Assistance Target

Neil O'Brien Excerpts
Tuesday 8th June 2021

(2 years, 9 months ago)

Commons Chamber
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Neil O'Brien Portrait Neil O’Brien (Harborough) (Con) [V]
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The last year has had unprecedented effects on our economy, our public services and the world, and it has left us facing some profound choices this autumn. For all the reasons that numerous Members have mentioned in the debate, none of us wants to have to make these changes to international aid spending, but if we look at the promises we have made, we will see that we face some very difficult choices this autumn. We have promised to help children catch up on their education, and tomorrow we will have a debate in which numerous Members will say that they want to spend more on that. We have promised to catch up on the NHS backlog, which has inevitably built up during a year in which nurses, doctors and everyone working in the NHS have worked overtime and worked their socks off. They have been under an unprecedented level of strain, which has caused a large backlog in NHS demand.

We also face long-standing questions such as the crisis in social care in local government. Again and again in my surgeries, people come to me to complain about squalid conditions, the difficulty of accessing care and the impossible burdens of paying for care. Last but not least—and I declare an interest here—there is the whole question of levelling up and the many things that we promised to do to change the grotesque inequalities in life expectancy and the grotesque differences in income levels and opportunity around this country.

We have many, many promises to keep. Over the last year, we have done unprecedented things to save jobs and livelihoods—we have spent like never before—and because of that, we now face some very difficult choices. I am not somebody who decries the value of aid. I can see that it does much good around the world, and we will continue to be one of the world’s biggest spenders. None the less, I think that to be in government is to make choices. We face difficult choices, and we have many promises to keep on lots of fronts.

Ultimately, all of us are elected to serve the people and to be servants of the people. It is clear to me from every poll I see and every conversation I have that the public know that we have to make choices. They know that we have to prioritise, and the things that they tell me they want to prioritise the most are our health service and giving opportunities and jobs to the places that need them. These are horrible choices to have to make. I salute all colleagues on the other side of this argument who have come to a different view from mine. None the less, with a heavy heart, I think that this is the right thing to do because of the difficult choices that we face.

Commission on Race and Ethnic Disparities

Neil O'Brien Excerpts
Tuesday 20th April 2021

(2 years, 11 months ago)

Commons Chamber
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Kemi Badenoch Portrait Kemi Badenoch
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I thank the right hon. Lady for her question. I think I should again clarify what the commission says on the existence of racism. It states:

“Overt and outright racism persists in the UK. Examples of it loom larger in our minds because we witness it not just as graffiti on our walls or abuse hurled across our streets,”

but even in private settings.

On the over-representation of minority groups in stop-and-search, the commission looks at the causes and at where stop and search happens. It happens in London, which is where the vast majority of ethnic minorities live, compared with the rest of the country. That does have an impact on the data. The commission also puts forward recommendations on things we can do to build trust in the police to reduce the number of stop-and-searches that are required. I have forgotten the second point that the right hon. Lady raised, but I think it was in a similar vein.

Discrimination is not explained by disparities alone. Sometimes it is the case; sometimes it is not. Where it is the case, the commission has identified that; where it is not, it has put forward other potential explanations.

Neil O'Brien Portrait Neil O’Brien (Harborough) (Con) [V]
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One of the refreshing things about the report is the careful balance between acknowledging the challenges that are still very real and the progress that is happening. Here in Leicestershire, that progress is very visible on wages and employment. Does my hon. Friend agree that if we are to make further progress it is essential to acknowledge the progress that has been made and to understand the causes—how, why and where this is happening—so that we can go further and make more progress?

Economic Update

Neil O'Brien Excerpts
Monday 11th January 2021

(3 years, 2 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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The Scottish Government obviously have control over their tax-raising powers and indeed have the ability to top up and design benefits, so if that is something that they are keen to do, they have the ability to raise the tax to fund a permanent uplift in the welfare system. I am sure that that is an opportunity that the Scottish Government can take up if they want to and see fit to do so.

Neil O'Brien Portrait Neil O’Brien (Harborough) (Con) [V]
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As well as the 18,000 people in my constituency who benefited from the furlough, businesses here have benefited from more than £50 million-worth of loans. As we move into the recovery, we need to make sure that they are creating jobs and are not held back by excessive debt repayments. What will the Chancellor do through pay as you grow or other schemes to make sure that they can get on with the business of creating wealth and creating new jobs?

Rishi Sunak Portrait Rishi Sunak
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My hon. Friend is absolutely right about the importance of cash flow, and he is right to highlight pay as you grow, which means that the 1.3 million businesses that have benefited from bounce back loans will have the opportunity significantly to reduce and extend their repayments for those loans. By extending the repayment term to 10 years from five, we have cut the average monthly payment by almost half from just over £500 to just over £300. Businesses also have the option to move to interest only, which further reduces the payment to around £60 or £70 on a typical loan. That extra cushion will ensure that businesses can save their cash for driving their businesses forward as they reopen after these restrictions.

Future of Financial Services

Neil O'Brien Excerpts
Monday 9th November 2020

(3 years, 4 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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Obviously the Welsh Government will make their own decisions on supporting their own local economy. The issuance of sovereign bonds is obviously a reserved capability and it is appropriate that it remains that way.

Neil O'Brien Portrait Neil O’Brien (Harborough) (Con)
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Short-termism in financing public companies has long been a concern in the UK, so I welcome the measures my right hon. Friend is taking today, which build on the work of the patient capital taskforce. I welcome the review of Solvency II, which is potentially deterring long-term investment, and I welcome the long-term asset fund, too. Will my right hon. Friend set out what he hopes it will achieve and what metrics he will use to assess whether it is working or not?

Rishi Sunak Portrait Rishi Sunak
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My hon. Friend is absolutely right. To give him a sense of what we are trying to achieve, we know that today defined-contribution pension schemes in particular are not particularly well invested in long-term illiquid instruments—roughly 1% of their portfolios compared with about 10% for defined benefit schemes. If we can unlock that difference it is worth tens and tens of billions of pounds of extra investment in long-term infrastructure and assets in this country. I think that is a valuable prize and we will make a start on making that a reality next year.

Black History Month

Neil O'Brien Excerpts
Tuesday 20th October 2020

(3 years, 5 months ago)

Commons Chamber
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Neil O'Brien Portrait Neil O’Brien (Harborough) (Con)
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I start by paying tribute to some really fantastic speeches we have heard in this debate, including an absolutely inspirational speech from my hon. Friend the Member for Windsor (Adam Afriyie) and a brilliant speech from my hon. Friend the Member for Hitchin and Harpenden (Bim Afolami), who really brought home the point that advantages and disadvantages are characteristics of individuals, not the colour of their skin. There were some brilliant speeches—I do not always agree with the hon. Member for Newcastle upon Tyne Central (Chi Onwurah), but I always think she speaks very well.

It is very important that people understand our history and how Britain over the decades came to be a multiracial society, as it is now. It is very important that people understand that history goes back further than we might think. I was in a pub just north of Corby the other day, which turned out to have had Britain’s first black pub landlord back in the 17th century. The history of ethnic minorities in the UK goes back a long way. It has many distinguished people in it and great contributions. From Olaudah Equiano in the 18th century, the great abolitionist, to Johnson Beharry, VC, today, people from ethnic minorities have served this country in important ways.

In my constituency, 68% of secondary school pupils are white, 23% are Asian and 3% are black, and this month, they will all be studying black history. I would like to see Black History Month evolve into something new—to become mainstreamed, not to be held off on the end of a pair of tweezers anymore, but to be forged into part of our common national story. It seems odd and alienating to me to try to single out one group at a time, because fundamentally, there is no black history. There is no white history. There is just British history.

Do not get me wrong; the story of the American civil rights movement was referred to by my hon. Friend the Member for Northampton South (Andrew Lewer), and the story of the black civil rights struggle in America is inspirational—it has absolutely incredible figures in it and everyone should learn about it—but it is different from our story. It is important that we do not constantly import wholesale these ideas from America, like we are the 51st state of America. Our story is quite different. Black people who came to this country came not as slaves. They came here of their own choice and to work—and to work hard—often in quite difficult working-class jobs. Black people in this country do not have one story. They have many different backstories and they come from all over the world and many different cultures.

I put down that marker because sometimes I listen to this debate, and something about it just makes me wonder. I hear people talking about decolonising the curriculum, as if the curriculum of Britain’s state schools is colonialist or imperialist today. This may be a generational thing, but it certainly was not when I was at a comprehensive in 1980s Huddersfield. There was a conversation about many of the bad things as well as our country’s more positive history. I worry that it is part of an agenda that is part of identity politics, increasingly not seeing us as a single society—a single people—but trying to treat people primarily as members of groups. I worry about that.

There was a headteacher in Sheffield who wrote to all his parents to say that Britain is a society founded on white supremacy and white privilege. That is just not true. Apartheid South Africa was a society founded on white supremacy. The confederacy in the US was a society like that. Britain is not that society. It is incredibly damaging to young people, whether they are Asian or black, to tell them that it is, because it is a lie. I worried about that again when I was walking down Whitehall, with all the graffiti after the BLM protests, and I saw the statue of Churchill, and someone had written “was a racist” on it. Let us be clear: if it was not for that man, there would be an enormous great swastika flying from this building. I worry about the poison that the young man who wrote that had been fed, and I worry that we cannot allow Black History Month to be sucked into that. We do not want this country to be polarised into Balkanised, small groups. That would be a future very different from the one that I grew up expecting and hoping for from this country—one where we would increasingly not see each other as members of groups, where we would increasingly be colour blind and where everyone would fit into our common culture. But I worry that the new woke agenda and identity politics are telling people that they must be on their guard at all times because Britain is a horrendously racist society, and that people cannot assimilate into society because it is completely different from—or incompatible with—them. I worry that that agenda does more to divide people than to unite them.

Britain is a country where there are still problems. There is still real racism; people suffer from real racism every day in this country. But it is also a country in which we have made huge progress. Over the last 20 years, for example, the employment rate for black men and women has not just grown, but has grown faster than the employment rate for white men and women. The gap has been closed. Median earnings in this country are highest for people of Indian backgrounds, lowest for people of Pakistani and Bangladeshi backgrounds, and black and white people are in the middle. Indian pupils who are on free school meals are as likely to pass their English and maths GCSEs as black pupils who are not. That is a troubling statistic, but, then again, the situation is more nuanced. For example, poor black and Asian girls who are eligible for free school meals are more likely to go to university than white and black boys who are not. There is nuance; it is literally not a story about black and white. There are important things that we have to understand in this story.

I pay tribute to the people, and I understand the great motivations behind Black History Month, and the importance of making everybody feel that they can achieve and are part of this country’s story. I went to an averagely performing comprehensive in an averagely performing area. I saw how people’s culture can sometimes keep them down—that people do not believe that they can do certain things. When my careers teacher asked me how many GCSEs I would pass, I said, “All of them”, and he laughed. All I can say is, I hope you’re watching this now! I worry that the same is even more true for young black people. It is very important that they have role models, can see the wonderful people in this House and can achieve anything they want to, but I also want this to be a unifying agenda. In the end, as I said before, there is no black history and no white history; there is just British history.

Covid-19 Economic Support Package

Neil O'Brien Excerpts
Wednesday 14th October 2020

(3 years, 5 months ago)

Commons Chamber
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Anneliese Dodds Portrait Anneliese Dodds
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I am very pleased and grateful that she has. She will then understand SAGE’s prediction that the infection is rising across the country, including in rural areas and coastal areas. Unless we take action and deal with that now, the problems that we are experiencing around business confidence, which are costing jobs and forcing businesses to the wall, will only continue. We need to give ourselves a fighting chance that we can approach Christmas, which is so important for businesses in this country, without the current rising levels of infection. I am concerned about the future of this economy, and I want a Government who have that long-sighted approach, rather than one who lurch from crisis to crisis.

We should have had a back-to-work Budget in July, but, instead, we got a summer statement, including a last-minute bonus scheme that will see £2.6 billion of public money handed over to firms that do not need it. In September, Labour set out three steps for a better, more secure economic future to recover jobs, retrain workers and rebuild business. Instead, after we summoned him to the House, we got the Chancellor’s winter economy plan and a wage support scheme that does not meet the core test of incentivising employers to keep staff on part-time rather than let them go. Two weeks later, the Chancellor was back trying to fix problems with that scheme, as it became rapidly apparent that the health crisis was careering away from the Government and economic support was not keeping pace. Last Friday and this Monday, we had yet more announcements, which create as many questions as the answer.

I regret that these issues were not faced up to largely yesterday during the urgent question that I brought to the House, so I will try again. This time I can ask the Chancellor directly. Why have the Government adopted such an inconsistent approach to financial support for businesses in affected areas? Leicester, Oadby and Wigston had to wait a month to get the £7.30 per head in support that they were belatedly provided with. The initial funding for Liverpool City Region, Warrington, Hartlepool and Middlesbrough was, in contrast, £3.49 a head, but not for businesses; that was for covid-related action.

Last Friday, the Chancellor rebranded £100 million of funding for local councils as surge funding, with no details of how it would be allocated and the admission that £20 million had already been spent. On Monday, the Prime Minister spoke of more funding to local authorities, but again without details of how that money would be allocated—although apparently not to support local businesses. This situation is a mess. When local leaders are crying out for certainty, they need to know that if additional restrictions are coming, there is a clear and agreed formula for how much economic support they receive and how it will be deployed.

Neil O'Brien Portrait Neil O’Brien (Harborough) (Con)
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The hon. Lady mentioned Oadby and Wigston in my constituency; the Chancellor moved incredibly quickly to provide extra business support to my constituency. We had a different lockdown from that everywhere else and it worked: we have brought cases down from 160 to 25 per 100,000. That is an example of why the local approach is the right one and why her colleague the shadow Secretary of State for Health and Social Care, the hon. Member for Leicester South (Jonathan Ashworth), was right to say yesterday that what the hon. Lady is now suggesting would be disastrous.

Anneliese Dodds Portrait Anneliese Dodds
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I regret to say that the hon. Member, for whom I have a lot of respect, is sadly confused. It would have been useful if he had listened to the point that I just made, which was to provide contrast to the support that was provided to the Leicester area, specifically focused on businesses. I believe that negotiation occurred through the local business improvement district, the local enterprise partnership and local authorities, to ensure that that support was there for businesses—for his area, yes. Can he please intervene on me now to say which other areas of the country subject to additional restrictions have received funding specifically focused on businesses of that type? No, he cannot, because that support has not been provided to other places in the same manner as it was provided to Leicester. This lack of consistency is causing enormous problems for local authorities.

Anneliese Dodds Portrait Anneliese Dodds
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Perhaps the hon. Member has discovered another area; I am happy to take his intervention.

Neil O'Brien Portrait Neil O’Brien
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The hon. Lady invited an intervention; I thought it would be unchivalrous not to provide one. Money was provided for my constituency because pubs had been shut. Yesterday, the Labour party voted against shutting pubs at 10 pm, but in favour of shutting down the entire economy instead. The idea that that is a proportionate response is absurd.

Anneliese Dodds Portrait Anneliese Dodds
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I regret that the hon. Member did not answer the question that I asked him, which was whether he knew of any other area of the country that had been treated in the same way as his constituency by being provided with business-related support. He could not answer that question; the reason why is that it appears that no other area has been. A radically different approach is being taken to different parts of the country, so local leaders and local businesses cannot plan because they do not know whether or not support will be there.

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Neil O'Brien Portrait Neil O’Brien (Harborough) (Con)
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It is a pleasure to follow such a good and impassioned speech.

Let me start with two important bits of context. The first is that this country and this Government are providing much more support to the economy and to preserve jobs and livelihoods than comparable countries. According to a report by the Institute for Fiscal Studies earlier this week, while France, Germany and the US are spending about 7% of GDP to support jobs, the UK is spending about 12% of GDP, so it is a much more powerful intervention to help people and preserve livelihoods. That is quite right, because, of course, we want to avoid the scarring effects of unemployment and to keep businesses that are viable together.

The second bit of context leads on from that, which is that, according to the IFS, we will borrow £350 billion this year, or 17% of GDP. It is the case not only that we have never borrowed so much before in our entire peacetime history, but that it is more than we have often borrowed in wartime—more than we borrowed in the first year of the second world war. Although the vigorous action that the Chancellor and his Ministers are taking is quite right, we would be wrong to think that this is consequence free. We must spend on a grand scale and we must spend quickly, but we must also spend wisely.  

Although many Members may suggest different things we could do additionally, it is important to take stock of what we have done so far. We have had the furlough scheme and its equivalent for the self-employed, which have helped 18,300 people keep their jobs in my constituency alone. That is an amazing achievement: a huge public sector IT project delivered by civil servants without any problems. We should be thankful to them for that fantastic achievement. We now have the job support scheme, which is more generous than the equivalents in France and Germany. Unlike in the US, where no such scheme exists and people are just on their own, we are going to help people to keep their jobs. In addition, there are all the other things we are doing to keep jobs: the £57 billion-worth of loans across the different schemes, with £51 million handed out in my constituency alone; the VAT cut for hospitality and the deferment of VAT across the board, which has put £30 billion into businesses’ cash flow; the grants of up to £25,000 for businesses, and £20 million going to businesses in my constituency in hospitality alone; the business rates holiday; and the eat out to help out scheme, which has pumped half a million pounds into cafés in my constituency alone.

As well as protecting jobs, we have also protected incomes. We have boosted universal credit by £1,000 a year; we have spent £8 billion in total on extra welfare and a hardship fund; we have introduced a mortgage holiday that has helped one in six people with a mortgage in this country; and, most importantly of all, we are taking steps to create new jobs, with £2 billion for the kickstart scheme and a £1,000 bonus to take on new trainees. We are also abolishing stamp duty to get the housing market moving and creating new green jobs with home insulation schemes. We have the brilliant, visionary policy of giving every adult over the age of 23 the opportunity to get an A-level qualification wherever they are in their life course and not writing anybody off any more. That is a huge levelling up policy that we can be proud of.

A recent report for the think tank Onward pointed out that schemes such as the coronavirus business interruption loan scheme and the job retention scheme had helped to keep one in eight businesses in this country going and avoided a rise in unemployment of 5 million people. The Treasury can be rightly proud of averting that disaster, and I encourage the Chancellor, who has been so unorthodox in response to this unorthodox situation, to keep being unorthodox and keep thinking about ways in which we can create jobs. A lot of young people have lost out on their education and a lot of young people are looking for jobs, and perhaps we could bring the two of those things together. There is still more we can do to create employment and new opportunities.

The last thing I wish to say is about the big picture. Local lockdowns do work. Leicester’s did work, as we brought the cases down from 160 per 100,000 to 25 per 100,000. If we can make that work, it is much the best way for this country to go in order to avoid real hardship. There have to be real lockdowns. We have to crack on with it and act quickly, and I am frustrated that some leaders in the north are not doing that. If we can make a targeted approach work, that is must the best way to go and that is the best future for this country.

Public Health Restrictions: Government Economic Support

Neil O'Brien Excerpts
Tuesday 13th October 2020

(3 years, 5 months ago)

Commons Chamber
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Urgent Questions are proposed each morning by backbench MPs, and up to two may be selected each day by the Speaker. Chosen Urgent Questions are announced 30 minutes before Parliament sits each day.

Each Urgent Question requires a Government Minister to give a response on the debate topic.

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Steve Barclay Portrait Steve Barclay
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I know through his local responsibilities that the hon. Member is in conversation with my ministerial colleagues in the wider discussions on our response. The reality is, as I said earlier, that one cannot be satisfied that every job in the area will be protected. It is about having a balance of measures that enables those businesses to be open that can be and takes action on the virus to suppress the increase. The previous question from one of his own parliamentary colleagues was to say that we should not be going as far as we are. He is saying, as I understand it, that we should be going further, but with wider support. That points to the fact that even within our own parties we have these debates.

It is about getting the balance. We have brought forward what is by international standards a very supportive package that combines the additional billion pounds to local authorities and the extra £500 million to localise track and trace, which the hon. Member and other local leaders have called for. We have listened to those representations, and that is reflected. I hope he welcomes that, and I look forward to working with him constructively in the days and weeks ahead.

Neil O'Brien Portrait Neil O’Brien (Harborough) (Con)
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Oadby and Wigston in my constituency was the first place in the country to receive extra support because of our local lockdown. I pay tribute to Treasury officials and Ministers for putting it in place so quickly, but what is being done through the kickstart scheme and other schemes to create new jobs and to fight unemployment?

Steve Barclay Portrait Steve Barclay
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My hon. Friend raises a good point, and it speaks to the point raised on youth unemployment a moment ago. We have invested £2 billion in the kickstart scheme. We are tripling traineeships. We have the £2,000 for firms taking on apprenticeships. That is something that the Secretary of State for Work and Pensions is particularly focused on, as well as the doubling of work coaches. Linked to that is our investment in green jobs through net zero and the package that was announced by the Chancellor, including the decarbonisation of public buildings and homes and the creation of green jobs. We are bringing forward the £5 billion infrastructure package that the Prime Minister announced the week before the summer economic update. We then need to link those jobs to skills through schemes such as the kickstart, so that for those who are not able to retain their jobs, we are able to get them into the new jobs of the future.

Covid-19: Economic Package

Neil O'Brien Excerpts
Tuesday 12th May 2020

(3 years, 10 months ago)

Commons Chamber
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Rishi Sunak Portrait Rishi Sunak
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Regardless of the industry in which companies operate, they are able to benefit from our furlough scheme. That is something that we were keen to do. It is not necessarily replicated by every scheme around the world, but we thought that that comprehensive approach was the appropriate one. Many of the companies that the hon. Lady mentioned will be able to benefit from that scheme. Beyond that, my right hon. Friend the Business Secretary engages regularly with all sectors regarding their particular concerns, and I will continue to liaise closely with him.

Neil O'Brien Portrait Neil O’Brien (Harborough) (Con) [V]
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I strongly welcome the extension of the job retention scheme. It is the most generous in the world, and is saving a huge number of jobs here in Harborough, Oadby and Wigston. One of the great successes of policy in recent years has been a huge reduction in youth unemployment, but the virus is inevitably going to disrupt a lot of apprenticeships and work placements. Is my right hon. Friend thinking hard about how we can limit or stop any rise in youth unemployment?

Rishi Sunak Portrait Rishi Sunak
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My hon. Friend is absolutely right. I know that he has put a lot of thought into this particular issue, and I look forward to hearing his ideas on it. As we emerge from this situation, we need to be cognisant of having the right support available for those who are most affected by this issue, especially those who are young and entering the labour force for the first time who will face this challenge, but also younger people who work in the disproportionately affected sectors of retail and hospitality; and that support might include skills, retraining and a dynamic labour market. This is about the economic impact on us all, and especially on those individuals; not having a close connection with the labour market at that early stage in their life is very damaging for their long-term prospects. I look forward to working with my hon. Friend to ensure that that does not happen.