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The European Commission has confirmed that member states may partially suspend EES checks for up to 90 days at peak times, extendable for a further 60 days. Can the Minister confirm whether there have been conversations with European counterparts about applying that flexibility at Dover, Folkestone and St Pancras this summer?
The European Commission has confirmed that member states may partially suspend EES checks for up to 90 days at peak times, extendable for a further 60 days. Can the Minister confirm whether there have been conversations with European counterparts about applying that flexibility at Dover, Folkestone and St Pancras this summer?
I thank the hon. Member for raising the important issue of passenger flows relating to EES through the juxtaposed controls. I confirm that the Secretary of State has met her French counterpart and the relevant commissioner at the European Union to discuss a range of issues relating to EES. As part of that, we continually discuss what easements or adjustments are necessary to ensure that flows are appropriately managed.
That was a lot of words for the Secretary of State to use to say that she believes the Canadian high commission was correct in the answer that it gave.
May I ask an important question about the proposed UK carbon border adjustment mechanism? Labour very much supports the introduction of a UK CBAM, but we are concerned that the Government will do so a year after the EU, resulting in the UK potentially being flooded with carbon-intensive products originally destined for Europe, including steel, cement and fertiliser. Do the Government recognise that danger? If they do, what is their plan?
That was a lot of words for the Secretary of State to use to say that she believes the Canadian high commission was correct in the answer that it gave.
May I ask an important question about the proposed UK carbon border adjustment mechanism? Labour very much supports the introduction of a UK CBAM, but we are concerned that the Government will do so a year after the EU, resulting in the UK potentially being flooded with carbon-intensive products originally destined for Europe, including steel, cement and fertiliser. Do the Government recognise that danger? If they do, what is their plan?
Just on the first point, if the hon. Member still wants to believe Canada before the UK, that is his business, but we on the Conservative Benches know who we are working for, and we are working for British businesses.
On the hon. Member’s second point, carbon leakage is a global problem facing all countries that are ambitious in tackling climate change, and we are working with international partners on how we tackle it together. We are following developments on the EU CBAM closely, and we are engaging with the European Commission to discuss technical considerations relevant to UK manufacturers. We share its concerns on carbon leakage, but we need to make sure that the UK response, whatever it is, is tailored to what the UK needs, not just a copying and pasting of what others are doing.
Last month, the Secretary of State said at the Dispatch Box that she could state explicitly that trade talks with Canada had not broken down. However, the Canadian high commission has since contradicted that in writing, saying that neither negotiations nor technical discussions with respect to any of the outstanding issues have occurred since the UK unilaterally broke them off on 25 January. Mr Speaker, I just want to know who is telling the truth.
Last month, the Secretary of State said at the Dispatch Box that she could state explicitly that trade talks with Canada had not broken down. However, the Canadian high commission has since contradicted that in writing, saying that neither negotiations nor technical discussions with respect to any of the outstanding issues have occurred since the UK unilaterally broke them off on 25 January. Mr Speaker, I just want to know who is telling the truth.
I am very happy to expand on what I said last time I was at the Dispatch Box on this topic. I repeat that our engagement with Canada on trade issues has been extensive across multiple Departments covering the free trade agreement, cheese quotas and rules of origin. On 25 January, the UK confirmed to Canada that we would pause FTA talks on the basis that cheese access had been removed and that Canada had signalled that rules of origin provisions would not be extended. That is how negotiations work.
I can tell the hon. Member that there was a meeting on 8 February between the Foreign Secretary and his Canadian counterpart where the cheese issue was discussed, and I raised cheese and rules of origin directly with the Canadians in Abu Dhabi last week. I must say to the hon. Member that chasing headlines based on things he has been told by the people with whom we are negotiating is not helpful to achieving the outcomes that our businesses, farmers and auto industry want to see.
To ask the Secretary of State for Business and Trade, if she will make an assessment of the effectiveness of the UK Tradeshow Programme.
To ask the Secretary of State for Business and Trade, if she will make an assessment of the effectiveness of the UK Tradeshow Programme.
The Government announced the UK Tradeshow Programme as a pilot programme and feasibility study in November 2021. The programme did not yield the successes we might have hoped, and was closed in March 2023.
The Minister knows that we are willing to work with the Government on a way to exonerate the sub-postmasters and get them compensation as quickly as possible. The proposals will have to be imperfect, but they represent a clear option for resolving this terrible issue. As a way to ensure safeguards against any potential future misuse of precedent, could cross-party agreement be established as an essential provision for the exercise of powers of this kind?
The Minister knows that we are willing to work with the Government on a way to exonerate the sub-postmasters and get them compensation as quickly as possible. The proposals will have to be imperfect, but they represent a clear option for resolving this terrible issue. As a way to ensure safeguards against any potential future misuse of precedent, could cross-party agreement be established as an essential provision for the exercise of powers of this kind?
I thank the hon. Gentleman for the constructive way he has engaged with us on this issue. I know that the Justice Secretary spoke to the Leader of the Opposition this week on this very matter, and we are very keen to engage with the hon. Gentleman too. He is right to say the solution is imperfect. We believe it is the least worst option, but of course we will engage with him and make sure that he feels the legislation is in the right place.
I am grateful to the Minister for that answer, and I hope that exchange gives some reassurance to all colleagues in the House. Will he confirm that all prosecutions that arise from the Horizon pilot scheme will now also be included in the exonerations, given that, although people were technically prosecuted without official Horizon data, it is very much the same issue?
I am grateful to the Minister for that answer, and I hope that exchange gives some reassurance to all colleagues in the House. Will he confirm that all prosecutions that arise from the Horizon pilot scheme will now also be included in the exonerations, given that, although people were technically prosecuted without official Horizon data, it is very much the same issue?
Again, the hon. Gentleman raises a very important point, similar to one made earlier. The circumstances were similar, so we feel there is no reason to exclude people who have been convicted in similar circumstances. Again, I am happy to work with him on that issue.
This is the Department in charge of growth, investment and exports. In the latest figures, following the autumn statement, growth has been downgraded. Business investment is still forecast to be the lowest in the G7, and goods exports have declined, both to the EU and to non-EU countries. Given that there are so many amazing businesses and sectors in the UK, how do the Government account for their poor performance?
This is the Department in charge of growth, investment and exports. In the latest figures, following the autumn statement, growth has been downgraded. Business investment is still forecast to be the lowest in the G7, and goods exports have declined, both to the EU and to non-EU countries. Given that there are so many amazing businesses and sectors in the UK, how do the Government account for their poor performance?
I will not allow the hon. Gentleman to spin his way out of what is actually a very good news story for the Government. The fact is that the UK has overtaken France to become the world’s eighth-largest manufacturing nation. We are the world’s fifth-largest exporter. We are growing faster than Germany and France, and have received more investment than them combined. We are the top investment destination, certainly
for financial services. We are doing well. Perhaps this is the moment for me to tell him what businesses told me at the global investment summit: that they were unimpressed by the Labour shadow Ministers they had met; that their offer was unimaginative; and that they were repetitive, and had no vision for the future of business in the UK.
We follow the Secretary of State’s Twitter feed, and quite simply, we do not believe her.
I want to ask the Secretary of State about late payment. In the nine years that the Government have spent consulting on late payments, 450,000 businesses have gone under while waiting to be paid. Why do the Government’s new plans on late payment apply only to firms contracting with the Government? Why do they not rather follow our proposal to make sure that all public companies disclose their payment practices?
We follow the Secretary of State’s Twitter feed, and quite simply, we do not believe her.
I want to ask the Secretary of State about late payment. In the nine years that the Government have spent consulting on late payments, 450,000 businesses have gone under while waiting to be paid. Why do the Government’s new plans on late payment apply only to firms contracting with the Government? Why do they not rather follow our proposal to make sure that all public companies disclose their payment practices?
I have been working with the Federation of Small Businesses and others on late payments. The hon. Gentleman will have heard the measures announced in the autumn statement; this is an issue that the Government take very seriously. I disagree that we are implementing our plans in a partial way. We will resolve this issue, but I am afraid that I completely disagree with the Opposition: have done quite a lot on this, and many businesses have praised the measures that we announced in the autumn statement.
To ask the Secretary of State for Business and Trade, with reference to the answer of 19 April 2023 to Question 180116 on Audit: Reform, how many hours officials in her Department have worked on legislative proposals on reform of audit and corporate governance since the publication of the Restoring...
To ask the Secretary of State for Business and Trade, with reference to the answer of 19 April 2023 to Question 180116 on Audit: Reform, how many hours officials in her Department have worked on legislative proposals on reform of audit and corporate governance since the publication of the Restoring...
The Department does not keep records of work assignment at a project level, nor on an hourly basis. The table below sets out estimates of the number of officials in the Department who were working on legislative proposals for reform of audit and associated legislative reforms of corporate governance, in September of each year since the publication of the White Paper in 2021.
September 2021 | c. 21 |
September 2022 | 19 |
September 2023 | 15 |
To ask the Secretary of State for Business and Trade, how many civil servants in her Department are currently working on negotiations for (a) free trade agreements with (i) India, (ii) Canada, (iii) Mexico, (iv) Israel, (v) the Gulf Cooperation Council and (b) memoranda of understanding with US states.
To ask the Secretary of State for Business and Trade, how many civil servants in her Department are currently working on negotiations for (a) free trade agreements with (i) India, (ii) Canada, (iii) Mexico, (iv) Israel, (v) the Gulf Cooperation Council and (b) memoranda of understanding with US states.
The Department for Business and Trade operates a flexible resourcing model to maximise efficiency across negotiations. The Department is currently delivering seven trade negotiations, alongside work on the US. The number of staff working on these will change depending on the stage and scale of the deal. Staff work across multiple negotiations so it is not possible to quantify the number for each workstream.
With the Machine of Government, Trade Negotiation Group increased its responsibility to cover wider trade policy and FTA implementation. In September 2023, DBT had 724 staff in the newly named Trade Policy, Implementation and Negotiations Group.
To ask the Secretary of State for Business and Trade, how many civil servants worked on legislative proposals relating to audit reform in each of the last five years.
To ask the Secretary of State for Business and Trade, how many civil servants worked on legislative proposals relating to audit reform in each of the last five years.
The table below gives the number of officials in the Department working on legislative proposals relating to reform of audit and associated legislative reforms of corporate governance, in September of each of the last five years. Figures for 2019-21 are estimates based on information readily available.
September 2019 | c. 20 |
September 2020 | c. 15 |
September 2021 | c. 21 |
September 2022 | 19 |
September 2023 | 15 |
To ask the Secretary of State for Business and Trade, whether it is her Department's policy to support the renewal of the WTO e-commerce moratorium beyond 2024.
To ask the Secretary of State for Business and Trade, whether it is her Department's policy to support the renewal of the WTO e-commerce moratorium beyond 2024.
My Department supports the renewal of the WTO e-commerce moratorium. We are working with WTO Members and interested stakeholders to deliver this outcome at the 13th WTO Ministerial Conference. The moratorium underpins global digital trade and provides certainty that electronic transmissions will not be subject to customs duties. My Department is clear that we support a permanent prohibition of such duties, as outlined in our Digital Trade Objectives and the G7 Digital Trade Principles developed under the 2021 UK Presidency.
My Department is also committed to agreeing rules against customs duties on electronic transmissions in the UK’s bilateral trade agreements.
The loss of Wilko is a significant blow to the nation’s high streets. However, more concerning is that no rescue has proved possible because several bidders have said that town centre retail is no longer a viable business model. In the light of that, do the Government really believe that their current policy environment is sufficient for British high streets to thrive?
The loss of Wilko is a significant blow to the nation’s high streets. However, more concerning is that no rescue has proved possible because several bidders have said that town centre retail is no longer a viable business model. In the light of that, do the Government really believe that their current policy environment is sufficient for British high streets to thrive?
We are very concerned for the families affected by Wilko’s demise. The world of retail is a very competitive marketplace. I do not accept the hon. Gentleman’s premise that the high street is dead—not at all. It is reshaping itself, and while it does so we will help it, such as with the £13.6 billion of rates relief over the next five years.
Ministers’ answers do not match the scale of the problem; 12,500 Wilko workers alone are at risk of redundancy. Labour’s plans for the high street are about reforming business rates, tackling late payment, cracking down on antisocial behaviour and stopping premises being left empty, with councils having more powers. The problem demands a response from Ministers. Based on their answers today, this Government have simply given up on the British high street.
Ministers’ answers do not match the scale of the problem; 12,500 Wilko workers alone are at risk of redundancy. Labour’s plans for the high street are about reforming business rates, tackling late payment, cracking down on antisocial behaviour and stopping premises being left empty, with councils having more powers. The problem demands a response from Ministers. Based on their answers today, this Government have simply given up on the British high street.
That is complete nonsense. This week, I met Helen Dickenson from the Retail Sector Council to discuss this matter closely. There are certain situations in certain companies of course. I guard the hon. Gentleman against political opportunism on the back of those 12,500 jobs, many of which have been picked up by other retailers such as Poundland in rescues of stores. On his point about business rates, which I hear time and again, all the Labour party has
done is say that it will cancel £22 billion of business rates, without saying how it will replace those taxation receipts. Where is the money coming from?
It is now over 12 months since the audit reform Bill was promised in what was then the Queen’s Speech, and it is over two years since the Business Department’s final consultation on these matters closed. There is widespread agreement on the need for reform, which began following the devastating collapse of Carillion five years ago, yet the draft Bill has not even been published, despite Parliament regularly rising early due to the Government’s light agenda. Does the Secretary of State support reform, and does she accept the recommendations of the Kingman review, the Brydon review and the CMA market study? If she does, when will we finally see some action?
It is now over 12 months since the audit reform Bill was promised in what was then the Queen’s Speech, and it is over two years since the Business Department’s final consultation on these matters closed. There is widespread agreement on the need for reform, which began following the devastating collapse of Carillion five years ago, yet the draft Bill has not even been published, despite Parliament regularly rising early due to the Government’s light agenda. Does the Secretary of State support reform, and does she accept the recommendations of the Kingman review, the Brydon review and the CMA market study? If she does, when will we finally see some action?
We do support reform and are keen to take forward primary legislation when parliamentary time allows. In the meantime, there are measures that we can take through secondary legislation, which we are taking forward. We are also looking to take forward insolvency reform, which is something else that we committed to do.
To ask the Chancellor of the Exchequer, how many officials in his Department work on policies relating to mutual societies.
To ask the Chancellor of the Exchequer, how many officials in his Department work on policies relating to mutual societies.
The Treasury allocates resources based on the priorities of the department, and officials within the Financial Services Group of HM Treasury provide advice to ministers on issues related to the mutuals sector. Resourcing is kept under regular review to ensure priorities are delivered.
The government recognises the value that mutuals bring to the UK economy. That is why we are taking appropriate steps to ensure that the legislative framework in which mutuals operate under is both a modern and supportive business environment.
As part of the Financial Services and Markets Bill, the Government is amending existing legislation so that credit unions in Great Britain can offer a wider range of products and services. In due course the government will also bring forward legislation to amend the Building Societies Act 1986, which will give building societies further flexibility in raising funds and modernise corporate governance requirements.
In addition, the government is supporting Sir Mark Hendrick’s Private Member’s Bill which would allow co-operatives, mutual insurers, and friendly societies further flexibility in determining for themselves the best strategies for their business, relating to their surplus capital and restrictions on the use of these assets.
Furthermore, the government is in active discussions with the Law Commission on options to proceed with a review of both the Co-operative and Community Benefit Societies Act 2014 and the Friendly Societies Act 1992 with a view to launching the reviews in the next financial year.
To ask the Secretary of State for Business and Trade, how much of the automotive transformation fund has been distributed to businesses.
To ask the Secretary of State for Business and Trade, how much of the automotive transformation fund has been distributed to businesses.
As of May 2023, the total value of offers made under the Automotive Transformation Fund (ATF) is £278.5 million. In addition, we are in active discussions with investors on a wide range of exciting new projects for the UK's electric vehicle supply chain.
It has now been 100 days since we first welcomed the right hon. Lady to her new post. In that time, we have seen steel production fall to record lows; the automotive sector has issued warning cry after warning cry that Government policy risks shipping jobs overseas; and the US has seen incredible sums invested under the Inflation Reduction Act and the EU has put forward its own significant response. Meanwhile, the UK remains trapped in the Conservatives’ low growth, high tax loop, with the lowest business investment in the G7. This morning, three of her predecessors, each from a different political party, have said that the Government need an explicit industrial strategy. Does the current Business Secretary agree with them?
It has now been 100 days since we first welcomed the right hon. Lady to her new post. In that time, we have seen steel production fall to record lows; the automotive sector has issued warning cry after warning cry that Government policy risks shipping jobs overseas; and the US has seen incredible sums invested under the Inflation Reduction Act and the EU has put forward its own significant response. Meanwhile, the UK remains trapped in the Conservatives’ low growth, high tax loop, with the lowest business investment in the G7. This morning, three of her predecessors, each from a different political party, have said that the Government need an explicit industrial strategy. Does the current Business Secretary agree with them?
I thank the shadow Minister for highlighting that we have had 100 days as the Department for Business and Trade, during which we have been able to launch the biggest free trade agreement that the UK has seen since we left the EU and since the trade and co-operation agreement. He also mentions a lot of systemic issues, which have been faced globally. He rightly talks about the US IRA and the EU green deal industrial plan, but it is good for me to mention that we are doing a lot in this space. For example, the issue that the automotive industries are talking about relates to rules of origin. This is something that the EU is also worried out, because the costs of the components have risen. This is not to do with Brexit; it is to do with supply chain issues following the pandemic and the war between Russia and Ukraine. I have had meetings with my EU trade counterpart; we are discussing these things and looking at how we can review them, especially as the TCA will be coming into review soon.
To ask the Secretary of State for Business and Trade, pursuant to the Answer of 22 February 2022 to Question 146960 on Small Businesses: Billing, when she plans to publish the findings of the Prompt payment and cash flow review.
To ask the Secretary of State for Business and Trade, pursuant to the Answer of 22 February 2022 to Question 146960 on Small Businesses: Billing, when she plans to publish the findings of the Prompt payment and cash flow review.
As set out in the published terms of reference (www.gov.uk/government/publica-tions/prompt-payment-and-cash-flow-review/payment-and-cash-flow-review-terms-of-refer-ence), we will publish a conclusions document in 2023 which will:
• summarise our findings in response to the engagement undertaken, and next steps;
• respond to the consultation on the Payment Practices and Performance Regulations 2017;
• set out the findings of the statutory review on the performance of the Small Business Commissioner.
To ask the Secretary of State for Business and Trade, with which trade unions her Department has had discussions on legislative proposals relating to employment since she became Secretary of State.
To ask the Secretary of State for Business and Trade, with which trade unions her Department has had discussions on legislative proposals relating to employment since she became Secretary of State.
The Government is supporting six Private Members Bills to increase workforce participation, protect vulnerable workers, and level the playing field, ensuring unscrupulous businesses do not have a competitive advantage. Relevant trade unions were consulted prior to and throughout the development of these reforms.
The Government regularly discusses legislative proposals with the trade unions and has recently engaged with unions on the Strikes (Minimum Service Levels) Bill, which is currently progressing through the House of Lords.
I recently met with Trades Union Congress, and the Secretary of State is also scheduled to meet with the General Secretary of the Trades Union Congress in April to discuss shared interests.