Oral Answers to Questions

Richard Graham Excerpts

Thursday 23rd January 2014 Commons Chamber

[Jenny Willott]

The hon. Lady is right and the Government are also concerned about the level of non-compliance. Since 1 July, HMRC has been prioritising complaints from apprentices about non-payment of the national minimum wage, and we are ensuring that every single case is investigated. We also started an awareness campaign in November that targets schools, colleges, jobcentres and so on, so that those starting apprenticeships are aware of what they are entitled to. From 1 October the skills Minister has been writing to all apprentices starting a Government-funded scheme to ensure that they know what they are entitled to and that businesses know what they must pay, so that we reduce non-compliance.

[Richard Graham (Gloucester) (Con)]

18. What assessment he has made of the potential for reshoring and import substitution in the UK economy.

[The Minister for Universities and Science (Mr David Willetts)]

There is great potential for business reshoring to Britain. We surveyed manufacturing small and medium-sized enterprises and found that 11% have reshored some production to the UK in the past 12 months. The Automotive Council has identified £3 billion of additional sourcing opportunities. Businesses are bringing activities back to Britain as we become a more flexible and competitive economy.

[Richard Graham]

I believe there is more we can do to help reshoring, for example by making cash contributions to regional growth funds, cutting business rates locally for manufacturers bringing back jobs and adding reshoring to the UK Trade & Investment job description. Does the Minister agree that on import substitution there is a real opportunity to encourage supply chains to get local suppliers to compete for business? For example, Gloucestershire-based ADEY Professional Heating Solutions recently gave a £1.5 million contract to Future Advanced Manufacture, business that was previously being done in China.

[Mr Willetts]

My hon. Friend is absolutely right. We are, of course, an open economy and we export and welcome companies from abroad that invest here, but we can do more to support our supply chains so that more prime manufacturers in Britain also purchase from SMEs across the country. Indeed, I remember visiting the company to which he refers. It is an excellent example of what we are talking about.