Tulip Siddiq MP: speeches

Speeches

• 1 Jul 2025 · Refugee Citizenship Rights · Hansard source

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  It is a pleasure to serve under your chairship, Ms Butler. I thank my hon. Friend the Member for Alloa and Grangemouth (Brian Leishman) for bringing this important debate to the House; I am sure his constituents are very proud of the powerful speech that he made here today. I know that there are brilliant grassroots charities in his constituency offering sanctuary and support to new Scots from Syria, South Sudan and Ukraine. Our constituencies are hundreds of miles apart from each other, but we are united in the belief that we have to give refugees our compassion and support. I wanted to speak in today’s debate because my constituency of Hampstead and Highgate has had a proud history of supporting refugees for years and years. During the first world war, 250,000 Belgians fled to England to escape the invading Germans. It was in Kilburn in my constituency that synagogues, churches and homes opened their doors to families who faced persecution. I should say that Kilburn—or County Kilburn, as it is often called—was also a place of refuge for those fleeing the Irish famine in the mid-1800s. I am delighted to say that in Kilburn we now have the largest Irish community living in London. In Highgate, a new part of my constituency, Camden council provided refuge to families escaping the Taliban in Afghanistan. These are people who risked their lives and are now in Camden—our doctors, nurses, translators and civil servants. My constituency of Hampstead and Highgate has a proud legacy of welcoming refugees, and I intend to continue supporting that legacy. For many of us in this room, watching what is happening in Gaza, the war in Ukraine, and of course the violence between Israel and Iran, it feels like the world is in disarray. The unfortunate truth is that it is innocent civilians who often suffer the consequences of conflict. Of course we have to have an immigration system that is controlled, well managed and fair. I think everyone in this room would want that. However, we cannot lose the compassion that our country and my party prides itself on, and has done for many years. I am proud to represent constituents who made that dangerous journey to Britain, who claimed asylum and are now British citizens. I know they are of good character: they have made an incredible contribution to our country, to the constituency, to public life and to culture. One does not have to look too far to find them in my constituency. I want to talk about my friend Camron Aref-Adib, who you may know, Ms Butler. His family was forced to flee from Iran on foot in the dead of night after an arrest warrant was issued for his father because of his political affiliations. Their journey to Camden was marked by constant distress, fear and uncertainty, as they were smuggled from Turkey to Yugoslavia and eventually western Europe. Throughout that time, no safe and legal routes were available, but since reaching the UK Camron, his parents and sisters have given back more than 100 years of combined service to the NHS. I am pleased to say that Camron now serves as a Labour party councillor in Camden as well. These are the kinds of characters who have made Britain their home and who give so much back to our community. I wrote to the Immigration Minister about my concerns and was assured that, when assessing good character, immigration breaches are likely to be disregarded if the journey was outside the applicant’s control. That is likely to be the case if, for example, they were a child when they made the dangerous crossing to the UK. I thank the Department for that assurance. However, I believe that a person’s access to safe and legal rules is also out of the applicant’s control. Given the recent escalation of conflict in the middle east, Camron’s family story feels more pertinent than ever. I have heard directly from the Iranian community in Hampstead. They told me that they are frightened for their family members who are still in their country of origin. They also told me that they feel forgotten about and dehumanised by the lack of asylum routes available to them. On behalf of families such as Camron’s, I ask the Minister: when the Department is assessing asylum applications on a case-by-case basis, will the insufficient provision of safe and legal routes be considered as a compelling or mitigating circumstance? I thank the Minister in advance for her response and the time she will take to address this debate. As a House and a country, we need to think deeply about the fact that these refugees are people; they are not just statistics.

• 5 Jun 2025 · Police Presence on High Streets · Hansard source

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  It is a pleasure to serve under your chairship, Ms Furniss. I thank my hon. Friend the Member for Birmingham Erdington (Paulette Hamilton) for securing this important debate. She is a doughty champion for her constituents, who are lucky to have her. Whoever we are in this room, as MPs, we have probably at some point had an email from constituents asking about increased police presence on our high streets. I am very lucky. I have Kilburn High Road in my constituency, which I share half and half with my hon. Friend the Member for Queen’s Park and Maida Vale (Georgia Gould). Ms Furniss, if you have not been to Kilburn High Road, you are missing out. It is affectionately called County Kilburn because of the thriving Irish community; we have a thriving Somali community on the other side as well. We serve Afghan food from Ariana and we have the award winning Kiln theatre. We have community festivals at Kilburn Grange Park, which hon. Members are also very welcome to attend. But last month, we had six stabbings on Kilburn High Road and the community is shaken. I spoke to one of my residents, who says she never wanted to see what she saw—her neighbour being stabbed outside his corner shop, just because he tried to confront a shoplifter who was stealing food from the shop that he owns. One of the businessmen who I spoke to said, “It doesn’t feel like Kilburn any more.” A young mother who I spoke to said, “After 4 pm, I am scared to walk across and fetch my child from nursery because of the recent stabbings.” The truth is that stabbings are not just a physical thing. They undermine community spirit and community resilience, and have a huge impact on the mental health of our community. Yesterday, my hon. Friend for Queen’s Park and Maida Vale and I went to the One Kilburn meeting. The community has come together under the leadership of Ajay, Stephane, Alan and Josie to reassure the community that we are here for them. There is an increase in community police officers on the high street—they do a fantastic job—but that cannot be a temporary measure. We have to make the community in Kilburn feel safe all the time. I welcome the Government’s neighbourhood policing guarantee, because it could not come sooner for our constituents. I say to the Minister, who I know is excellent at her job, that we have to have a guarantee that the scheme’s funding will be protected not just for all hon. Members in this room, but for all my constituents in Hampstead and Highgate, especially on Kilburn High Road.

• 22 May 2025 · EU-UK Summit · Hansard source

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  My hon. Friend will know my views on Brexit—I represent a constituency in which 87% of people voted to remain and I represent 22,000 EU nationals, who are part of the fabric of our community—but I want to ask her about young people, who she will probably mention at some point. The statistics show that there has been a 30% drop in the number of schoolchildren going to Europe on school trips, and that disadvantaged areas have been hit the hardest—

• 29 Apr 2025 · Energy Efficiency: Council Leaseholders and Social Homes · Hansard source

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  I am pleased to see the Government’s commitment to provide thousands of low-income households with energy-efficient upgrades. This could not have come too soon for my vulnerable constituents who are living on housing estates with outdated energy systems that sometimes leave them without hot water and heating for months on end. Camden Council, which I know the Minister knows well, has plans to upgrade the energy efficiency of those estates, but in many cases it just does not have the resources to replace the heating systems with heat pumps, which would lower bills and carbon emissions even further. What assurances can the Minister give me that local authorities will be given the support necessary to deliver the energy upgrades to the highest possible level?

• 29 Apr 2025 · Energy Efficiency: Council Leaseholders and Social Homes · Hansard source

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  15. What steps he is taking to ensure that local authorities have adequate resources for energy efficiency upgrades for council leaseholders and social homes.

• 3 Mar 2025 · Ukraine · Hansard source

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  My constituency has welcomed hundreds of Ukrainian refugees into the community. I pass on their thanks to the Prime Minister for the strong leadership that he has shown over the past few weeks. The majority of these Ukrainians want to go back to their country when it is safe to do so, but a small minority of young Ukrainian refugees have approached me to say that they have laid down roots, built careers and started relationships here, but have no route to settled status. What consideration has the Prime Minister given to the lives of these young Ukrainians who want to make London their permanent home?

• 11 Feb 2025 · Youth Provision: Universal and Targeted Support · Hansard source

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  My hon. Friend is making a powerful speech. Everyone wants to intervene, and she is being very generous with her time. As she mentioned a few important local organisations, I want to do the same for my constituency. The redevelopment of Highgate Newtown community centre is an example of how an ambitious community space can serve as a welcoming hub that children and families look forward to visiting, and I thank Andrew Sanalitro and his team for making that happen. Does my hon. Friend agree that housing developers should not just retain community centres, but enhance them, in order to make provision for young people and families in our constituencies?

• 4 Feb 2025 · Children in Care · Hansard source

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  My hon. Friend is making a powerful speech based on his personal experience. He talks about the importance of support, and I want to talk about the importance of advocacy services that advise children on their rights when they receive social care services. Advocacy can be transformative to the lives of children, but the Children’s Commissioner found that many children do not receive support from an advocate, despite being referred by their local authority. Does my hon. Friend agree that if we are trying to protect the most vulnerable, which he is clearly passionate about, a good starting point is to prioritise advocates so that children feel like they are being listened to?

• 11 Dec 2024 · Finance Bill · Hansard source

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  I thank the right hon. Gentleman for his speech. I will be referencing everything; he should probably listen carefully, because I will be responding to all the points he has made about private rental markets and the impact this policy will have. I will turn to some of the new clauses tabled by the Opposition—I do not think the right hon. Member for Central Devon (Mel Stride) is present. New clauses 6 and 7 would require the Government to report on the impact of the changes introduced by clauses 50 and 51 on the cost and supply of private rental properties and on the housing market, respectively, in England and Northern Ireland. Although it is important to understand the impact that the measures could have on rental costs, supply and the housing market—and, in turn, tenants, who have been mentioned—the Government consider the new clauses to be unnecessary because the information is publicly available. The Ministry of Housing, Communities and Local Government publishes regular updates, as the House will know, on the level of housing supply in England, as well as the English private landlord survey, which provides data on supply in the private rented sector. In addition, HM Land Registry publishes extensive data on house prices in England, including regional and local authority area breakdowns. HMRC also publishes statistics and data on property transactions and stamp duty land tax receipts. On housing supply, the Budget set out a series of new investments to kick-start the biggest increase to social and affordable housebuilding in a generation. This is an important step to providing the conditions needed for the market to deliver 1.5 million homes—homes that are desperately needed by our constituents. The Government recognise that the rented sector is often a key part of someone’s home ownership journey. The Renters’ Rights Bill will improve the current system for both the 11 million private renters and 2.3 million landlords in England. It will give renters much greater security and stability, so they can stay in their own homes for longer, build lives in their communities and avoid the risk of homelessness. The measures in the Bill to increase the highest rate for additional dwelling are intended to support home ownership among first-time buyers and those moving home, giving them an advantage in the housing market. The OBR certified costing assumes that increasing the higher rates of SDLT by two percentage points is expected to result in 130,000 additional transactions over the next five years by first-time buyers and other people buying a primary residence. In summary, the Government have already considered the impact of clauses 51 and 52 on the private rented sector and housing market. We will continue to publish housing market statistics in the usual way, keep all tax policy under review and evaluate the impacts of all changes. Therefore, the proposed reports are unnecessary and I urge the House to reject the new clauses. I hope I have been able to reassure the hon. Members who tabled the new clauses that the additions and changes are just not necessary, for the reasons I have set out, and I urge the House to reject new clauses 6 and 7. Question put and agreed to. Clause 50 accordingly ordered to stand part of the Bill. Clauses 51 to 53 ordered to stand part of the Bill. New Clause 6 Sections 50 and 51: impact on private rental sector “(1) The Chancellor of the Exchequer must, within six months of this Act being passed, publish an assessment of the impact of the changes introduced by sections 50 and 51 of this Act on the private rental sector in England and Northern Ireland. (2) The assessment in subsection (1) must consider— (a) the effects of the provisions of sections 50 and 51 of this Act on the cost of private rent in each region within England and in Northern Ireland, (b) the effects of the provisions of sections 50 and 51 of this Act on the supply of private rental properties in each region within England and Northern Ireland, (c) any other implications of the changes introduced by sections 50 and 51 of this Act.” —(James Wild.) This new clause requires the Chancellor to review the impact increased rates of stamp duty for additional dwellings are having on the private rental sector in England and Northern Ireland. Brought up, and read the First time. Question put, That the clause be read a Second time.

• 9 Dec 2024 · Draft Financial Services and Markets Act 2023 (Addition of Relevant Enactments) Regulations 2024 · Hansard source

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  I beg to move, That the Committee has considered the draft Financial Services and Markets Act 2023 (Addition of Relevant Enactments) Regulations 2024. It is a pleasure to serve under your chairmanship, Ms Vaz. The draft regulations will add four pieces of legislation to the list set out in section 17(3) of the Financial Services and Markets Act 2023 so that legislation can be temporarily modified as part of financial market infrastructure sandboxes. The Treasury was granted the power to make provision for FMI sandboxes by section 13 of FSMA 2023, and the list of legislation that the Treasury can temporarily modify in an FMI sandbox is set out in section 17(3). An FMI sandbox is designed to provide a controlled regulatory environment in which existing legislation and regulation is temporarily removed or modified. FMI sandbox participants can test new and developing technologies and practices that would otherwise be inhibited by existing legislation outside of the sandbox. If activity in an FMI sandbox is successful, and only after laying a report before Parliament, the Treasury can make permanent changes to legislation by introducing a further affirmative statutory instrument. The testing of new technology and practices is inherently uncertain and will evolve over time, meaning that it is likely that the list of legislation in scope will need to be added to. For that reason, the Treasury has the power to add further legislation to the list in section 17(3) of FSMA 2023, as set out in section 17(6). Through the testing of new technologies and practices in an FMI sandbox, we are likely to identify additional legislative modifications, and the ability to add further legislation to the list is a way of ensuring that the FMI sandbox regime can be kept up to date. The draft regulations exercise the power set out in section 17(6) of FSMA 2023, so that the four items of legislation can be added to support two FMI sandboxes, namely the existing digital securities sandbox, which I will refer to as DSS, and the future private intermittent securities and capital exchange system sandbox, also known as the PISCES sandbox—we love acronyms in the Treasury. The DSS will enable firms to test new and innovative technology across financial market infrastructure activities, and the PISCES sandbox will allow private companies to have their shares traded on an intermittent basis on a new type of stock market. The draft regulations will bring the following legislation into scope of the power to make temporary modifications in FMI sandboxes: the Stock Transfer (Gilt-edged Securities) (CGO Service) Regulations 1985, which I will refer to as “STRs”; the Government Stock Regulations 2004, which I will refer to as “GSRs”; the Money Laundering, Terrorist Financing and Transfer of Funds (Information on the Payer) Regulations 2017, which I will refer to as “MLRs”; and regulation (EU) 2017/1129 of the European Parliament and of the Council, also known as the prospectus regulation, which we inherited from the EU. Temporarily modifying the STRs and GSRs will enable us to support the issuance of a digital gilt instrument through the DSS. I and the Financial Secretary to the Treasury set out further details of that pilot in written ministerial statements to both Houses on 18 November, which hon. Members may have seen. The MLRs will be modified to facilitate an exemption from the cryptoasset regime in the MLRs for DSS participants, on the basis that activity in the DSS will involve securities, such as bonds and equities, that are already regulated, so conventional anti-money laundering legislation will be applied in the normal way. The prospectus regulation will be modified as part of the PISCES sandbox so that prospectus requirements can be disapplied in favour of bespoke disclosure requirements in that sandbox. I should note at this point that the draft regulations do not make any temporary changes to the four specific items of legislation. Under the procedure stipulated by FSMA 2023, that will be done as part of further negative SIs to be laid before Parliament, which will provide all the relevant explanatory information for the changes being made to each enactment. The Government published a draft of the instrument that will set up the PISCES sandbox in November for public comment ahead of its being laid before Parliament in May. The DSS was established by a statutory instrument laid last December, although changes to the MLRs will require a further statutory instrument, which is to be laid before Parliament in January. I recognise that this is a very technical measure, but the draft regulations will make changes consistent with the powers established by FSMA 2023—the Conservative party led the introduction of that Act, and we supported it when we were in opposition—and support the continued development of the DSS and of future FMI sandboxes, such as the PISCES sandbox. The Government believe that this will help to support innovation through each of these FMI sandboxes. I hope that the Committee will feel able to support the draft regulations and their objectives, and I commend them to the Committee.

• 3 Dec 2024 · National Insurance Contributions (Secondary Class 1 Contributions) Bill · Hansard source

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  The best decision that we have ever made in government is putting money back into the pockets of working people. Questions were raised by the hon. Member for Isle of Wight East (Joe Robertson), the hon. Member for Yeovil (Adam Dance) and the Liberal Democrat spokeswoman, the hon. Member for St Albans (Daisy Cooper). The hon. Lady asked a number of questions about the NHS. The Government will provide support for Departments and other public sector employers for additional ER NICs costs only. That will apply to central Government, public corporations and local government. Primary care providers—GPs, dentists, pharmacies and eyecare provider—are valued independent contractors who provide nearly £20 billion worth of NHS services. Every year we consult each sector both about what services they provide and about the money to which providers are entitled in return under their contracts. As in previous years, this issue will be dealt with as part of that process.

• 27 Nov 2024 · Finance Bill · Hansard source

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  The right hon. Gentleman has spoken enough times in the debate, so I will not be taking yet another intervention from him. The hon. Member for Bognor Regis and Littlehampton (Alison Griffiths) raised questions about SMEs and high streets. The Government have been absolutely clear that we need to take difficult decisions to deliver long-term stability and growth, and that stabilising public finances is the only way to create long-term stability in which businesses can thrive. But we recognise the need to protect small employers, which is why we have more than doubled employment allowance—she may like to know that—meaning that half of businesses with mixed liabilities will either gain or see no change at all next year. The right hon. Member for East Hampshire (Damian Hinds) raised questions about VAT on private schools hitting SEND pupils. To protect pupils with special educational needs and disabilities who can only have their needs met in a private school, the local authorities and devolved Governments that fund those places will be compensated for the VAT they are charged on those pupils’ fees. I hope that reassures him. The right hon. Gentleman also raised a point about faith schools. Of course the Government value parental choice and recognise that some people want their children to be educated in a school with a particular faith ethos. My hon. Friend the Exchequer Secretary met the Partnerships for Jewish Schools and the Association of Muslim Schools during the consultation period on this policy. To ensure fairness and consistency between all schools that charge fees, faith schools will remain in the scope of the policy. It is worth noting for the right hon. Member that some faith schools are likely to be less impacted by the policy if some of their income is derived from voluntary donations from the community, because donations that are freely given and for which there is no obligation are outside the scope of VAT. As such, not all the income that small faith schools receive will necessarily be subject to VAT. I hope that reassures him a bit.

• 20 Nov 2024 · Financial Assistance to Ukraine Bill · Hansard source

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  I have listened closely to what the hon. Gentleman has said, especially with regard to other countries, and I am happy to have conversations with ministerial colleagues across different countries and find out what they are doing. This is our position for now, but this is an ongoing situation and things will move. I am happy to speak to Ministers from different countries who are using assets differently. The ERA is an innovative scheme. It will ensure that Ukraine receives vital support throughout 2025 and beyond. It will take the money generated from Russian sovereign assets and use it to support Ukraine in the best possible way. This is further proof for us that the G7’s support for Ukraine will not falter, and that the UK will stand shoulder to shoulder with Ukraine for as long as it takes. I echo the comments of my hon. Friends the Members for Lichfield (Dave Robertson) and for Rushcliffe (James Naish) in thanking the people of our country for all the support that they have shown Ukraine. Madam Deputy Speaker, I hope you will indulge me for one minute while I say that my own constituents of Hampstead and Highgate have opened their doors for Ukrainian refugees, giving them their homes, community spaces and education spaces, and I particularly pay tribute to my local synagogue, South Hampstead synagogue, which is providing free English lessons for Ukrainian refugees. I was very pleased to meet those people in Parliament last week. Question put and agreed to . B ill accordingly read a Second time. Financial Assistance to Ukraine Bill (Programme) Motion made, and Question put forthwith (Standing Order No. 83A(7)), That the following provisions shall apply to the Financial Assistance to Ukraine Bill: Committal (1) The Bill shall be committed to a Committee of the whole House. Proceedings in Committee, on Consideration and on Third Reading (2) Proceedings in Committee shall (so far as not previously concluded) be brought to a conclusion one hour after their commencement. (3) Any proceedings on Consideration and proceedings on Third Reading shall (so far as not previously concluded) be brought to a conclusion two hours after the commencement of proceedings in Committee of the whole House. (4) Standing Order No. 83B (Programming committees) shall not apply to proceedings in Committee of the whole House, to any proceedings on Consideration or to proceedings on Third Reading. Other proceedings (5) Any other proceedings on the Bill may be programmed. —(Anna McMorrin.) Question agreed to. Financial Assistance to Ukraine Bill (Money) King’s recommendation signified. Motion made, and Question put forthwith (Standing Order No. 52(1)(a)), That, for the purposes of any Act resulting from the Financial Assistance to Ukraine Bill, it is expedient to authorise the payment out of money provided by Parliament of any sums required by the Treasury or Secretary of State for the purpose of providing loans or other financial assistance to, or for the benefit of, the government of Ukraine as a result of— (a) the arrangements described as the Extraordinary Revenue Acceleration Loans for Ukraine announced on 14 June 2024 at the G7 summit in Apulia in Italy, or (b) any subsequent arrangements that are supplemental to or modify or replace those arrangements. —(Anna McMorrin.) Question agreed to. Speaker’s Committee for the Independent Parliamentary Standards Authority Ordered, That Marie Goldman, Leigh Ingham, Gordon McKee, Charlotte Nichols and Jesse Norman be appointed to the Speaker’s Committee for the Independent Parliamentary Standards Authority until the end of the present Parliament, in pursuance of paragraph 1(d) of Schedule 3 to the Parliamentary Standards Act 2009, as amended.— (Lucy Powell.) House of Commons Members’ Fund Ordered, That Holly Lynch, Sir Charles Walker and Peter Grant be removed as Trustees of the House of Commons Members’ Fund and Mark Tami, Chris Elmore and Dr Danny Chambers be appointed as Trustees in pursuance of section 2 of the House of Commons Members’ Fund Act 2016.— (Lucy Powell.)

• 18 Nov 2024 · Financial Services: Mansion House Speech · Hansard source

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  I thank the Opposition spokesperson for his comments. I think he welcomed the news, although I am not quite sure. He spoke a lot about the ex-Chancellor, the right hon. Member for Godalming and Ash (Jeremy Hunt), who did a lot of work in this space. I remind the House that the ex-Chancellor said that there was “Much to welcome in the Chancellor’s Mansion House speech today.” The Opposition have said that these are “broadly” good reforms; I thought I would remind the Opposition spokesperson of that. I also remind him that we are not interested in sticking-plaster politics. We have a long-term vision for the economy, which is why we are looking at using the national wealth fund and the industrial strategy to ensure that we grow the economy. I will answer a few of the hon. Gentleman’s questions, but if I do not get to all his pension questions, the Minister with responsibility for pensions is happy to meet him. I point out that our public services are crumbling, and that we inherited a £22 billion fiscal black hole from the previous Government. We had to make difficult choices to fix the foundations of the country and restore desperately needed economic stability in order to allow businesses to thrive. He pointed out that hospitality businesses were contacting him. More than half of employers will see either a cut to or no change in their national insurance bills. To support the hospitality industry, we are permanently cutting business rates for retail, hospitality and leisure from 2026. That comes alongside a 40% relief on business rate bills next year for thousands of premises. We are committed to delivering economic growth by boosting investment and rebuilding Britain, which is exactly what our Budget did. The interim report of the pensions investment review, which the hon. Gentleman had a lot of questions about, put forward proposals to drive scale and consolidation in the defined contribution workplace market. The Local Government Pension Scheme is still consulting. The final version will come out in spring next year, but as I said, the Minister for pensions is happy to speak to him. There is international industry consensus that the scale and consolidation benefit investment and savers, and that these measures could unlock around £80 billion of productive investment. On the hon. Gentleman’s questions about the reforms taking autonomy away from local authorities, under the proposals in the consultation, each administrating authority would retain control over the most impactful decisions by setting their investment objectives and strategic asset allocation. The consultation proposes that implementation of the chosen strategy be delegated to investment experts in the asset pool, who are best placed to execute the investment objectives to meet the desired investment outcomes. I hope that reassures him that we will not take autonomy away from the authorities. The hon. Gentleman talked about the overall package of boosting UK economic growth and benefiting pension scheme members. The objectives are complementary. Driving consolidation and tackling waste in the pension system ensures that schemes can achieve the necessary economies of scale and efficiencies to pursue diversified investment strategies. I reassure him that assets such as infrastructure and private equity are seen as part of the balanced portfolio, and can enhance savers’ returns. They will boost economic growth, so he does not need to worry about that, and we will benefit the communities where pension savers live. The hon. Gentleman spoke a lot about what the previous Government did. They talked a lot about pensions, but they actually never did anything. We have shown in the first few months of a new Labour Government that we mean business, and we have our action ready to go. By next spring, he will see the full details in the Bill.

• 18 Nov 2024 · Financial Services: Mansion House Speech · Hansard source

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  I know that my hon. Friend is an active member of the co-operative and mutuals movement. The Government have already taken the first step, with two statutory instruments laid on 14 October. We are committed to progressing the remaining changes to the Building Societies Act 1986 following Royal Assent of the Building Societies Act 1986 (Amendment) Act 2024. I will look at further SIs to try to further the work here, but I want to support the industry-led council, and I welcome the opportunity to work with it and discuss and test policy proposals with representatives and experts from across the sector. I know that view is shared across the Treasury, including by the Chancellor, who asked about it this morning in our ministerial meeting.

• 18 Nov 2024 · Financial Services: Mansion House Speech · Hansard source

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  I apologise on behalf of the Chancellor for the fact that she could not be here. If there are any specific questions for her, I will ensure that she knows what they are, and that she personally writes to Members. With permission, Madam Deputy Speaker, I will update the House on the Government’s work to support the growth of the UK economy. The financial services sector is the jewel in the crown of the UK economy, as I am sure everyone across the House will agree. It is one of our largest and most successful sectors, employing 1.2 million people and making up 9% of gross value added, and the UK is the second largest exporter of financial services in the G7. On Thursday night at Mansion House, the Chancellor placed the sector at the heart of the Government’s growth mission and, building on the economic stability and public investment that the Budget provided earlier this year, she set out a plan for investment and reform of the sector. The plan builds on the rapid work that the Government have already done to support the growth of the sector. One week into office, the Government welcomed the biggest changes in the UK’s listings regime in more than three decades; in our first month we launched the landmark pensions review and in September we delivered the final stage of the post-crisis capital reforms for banks, working closely with the Bank of England, strengthening our banking system while also protecting lending to the wider economy. The package that the Chancellor set out at Mansion House builds on those steps, beginning with a commitment to develop a comprehensive plan to grow our financial services sector. In spring next year, the Government will publish the first ever financial services growth and competitiveness strategy, giving the financial services sector the confidence it needs to invest in the long term by setting out our plans for the sector over the next 10 years. Published alongside our modern industrial strategy, it will be clear-eyed about our strengths, proposing five priority growth opportunities: fintech, sustainable finance, asset management and wholesale services, insurance and reinsurance markets, and capital markets, co-designed with voices across the financial services sector. From the base of long-term stability, the Chancellor also laid the foundations for getting even more investment into our country. The Government have already confirmed our plans to capitalise our flagship investment vehicle, the National Wealth Fund, to invest in the industries of the future. To support investment in our green industries, the Chancellor’s speech confirmed the Government’s next steps to deliver a world-leading sustainable finance framework. The Chancellor also set out our plans in another key area that I know has generated interest across the House: pension funds. The UK has one of the largest pension markets in the world, but pension capital is often not used enough to drive investment and growth in our economy. Thanks to the excellent work taken forward by the Under-Secretary of State for Work and Pensions, my hon. Friend the Member for Wycombe (Emma Reynolds), the Chancellor announced the interim report of the pensions investment review. The report sets out our plans to harness the collective size of our pension funds to create larger pools of capital for investment, supporting pension funds to invest at scale. To do that, we will deliver a significant consolidation of the defined contribution market and the Local Government Pension Scheme in England and Wales, providing better outcomes for savers while supporting investment for growth. Indeed, we could unlock around £80 billion-worth for investment in private equity and infrastructure through those actions alone, according to domestic and international comparisons. Alongside economic stability and higher levels of investment, the Chancellor’s Mansion House speech put reform at the heart of the Government’s growth agenda. The Government’s approach to regulation is a core part of that. Across our economy, we will upgrade our regulatory regime, reviewing the guidance we give to the Competition and Markets Authority and other major regulators to underline the importance of growth. That includes our financial services regulators. While it was right that successive Governments made regulatory changes after the global financial crisis to ensure that regulation kept pace with the global economy of the time, it is also important that we learn lessons from the past. Those changes have resulted in a system that sought to eliminate risk taking, and in some cases they have had unintended consequences that we as a new Government must now address. Regulation has costs as well as benefits. It has costs for firms when they are spending large sums on compliance and not using that money to innovate and to grow, and it can have costs for consumers, for example by restricting access to financial advice that could help them to plan for the future. While maintaining important consumer protections and upholding international standards of regulation, we therefore feel that now is the moment to rebalance our approach and take forward the next stage of reforms needed to drive growth, competitiveness and investment. To support that aim, the Government issued new growth-focused remit letters to the financial services regulators to make clear that the Chancellor and I fully expect them to support the Government’s missions on economic growth. The Financial Ombudsman Service plays a vital role for consumers in getting redress. That will not change, but reform is needed to create a sure environment. We will work closely with the Financial Conduct Authority and the FOS to develop a new agreement between the two institutions, with clear expectations on how they co-operate, including on historic market practice and mass redress events. The Government welcome the call for input that asks for views on how to improve the rules governing how the FOS operates. The Government’s ambitions for reform are much wider than regulation. Building on our work to improve the UK’s listing regimes, we are unlocking funding for our capital markets and legislating to establish, by 2025, PISCES—the private intermittent securities and capital exchange system—which is an innovative new stock market to support companies to scale and grow. We are also supporting innovation in the financial services sector by launching a pilot to deliver a digital gilt instrument using distributed ledger technology, as my written statement sets out. Insurance markets are pivotal to supporting growth and creating resilience by helping us to manage risk. The Government have launched a consultation on captive insurance, where a new approach could cement the UK’s position as a leading financial services centre. As the House will know, this Government prioritise the growth of the mutuals sector. We have launched a call for evidence on the credit union common bond, asking regulators to report on their mutuals landscape to support their growth, and welcoming the establishment of an industry-led mutual and co-operative business council. The Chancellor also published the national payments vision to set out the Government’s ambition for this vital sector, ensuring that our approach to regulation allows firms to grow and innovate, and including decisive action to progress open banking and to support our fantastic fintech businesses. Finally, we are working with tech platforms and telco networks to reduce the scale of fraud originating on their platforms. The Chancellor, the Home Secretary, and the Secretary of State for Science, Innovation and Technology, have written to leading tech and telecom companies, calling on them to go further and faster, with clear action to reduce the level of fraudulent activity that exploits their platforms and networks. We will be monitoring that closely in the coming months. This is a significant package to support the growth of the financial services sector and invest in the wider economy. I have heard lots of murmuring from Opposition Members while I have been speaking, which I hope shows their approval for our overall package. I look forward to working across the House to deliver these important reforms from the first Labour Mansion House speech in 14 years.

• 18 Nov 2024 · Financial Services: Mansion House Speech · Hansard source

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  As my hon. Friend knows, the Mansion House speech set out multiple new measures to unlock the full potential of the mutual sector. As he says, we welcome the establishment of an industry mutuals and co-operative business council, alongside our delivery of legislation to support the building societies sector last month. We want to ensure, through those measures, that the sector can grow, and to support inclusive growth across the UK. In the few months that I have held this position, the main complaint in the mutual and co-operative sector seems to be that it is difficult to operate within the current regulatory framework, as it is not set up to support mutuals and co-ops in the way it supports other businesses, so I am looking at that. I am very happy to continue that conversation, but this is about considering the regulatory framework to ensure that it is for fit for purpose in doubling the mutual sector, which was a commitment in our manifesto.

• 3 Sept 2024 · Economic Stability · Hansard source

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  I thank the hon. Gentleman for his question. Having served as a local councillor for many years, I very much recognise the problem that he describes. I am sorry to hear about this troubling situation, and I will refer his comments to the Secretary of State for Housing, Communities and Local Government and make sure that he gets the response he should have had before.

• 2 Sept 2024 · Banking Services: Rural Northumberland · Hansard source

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  I thank my hon. Friend for his intervention and associate myself with his comments about Nicky Gavron, who was my constituent and a great friend. She worked with us in London Labour when my hon. Friend was—dare I say it—a very young man. We worked with her for many years, and it was very sad to see her go. I can assure my hon. Friend that I speak to the banks every day to ensure that they know what our values are and how we want them delivered. Beyond banking hubs, I am saying to them that communities need key banking services to ensure that they have accessibility, cash withdrawal and deposit services—particularly our local businesses and charities, which often deal in cash and need convenient ways to deposit their takings, but also everyone who uses cash to make everyday purchases. According to UK Finance, cash remained the second most popular payment method last year, so it is not right to dismiss and question the idea that people still use cash. Overall data shows that cash coverage in the UK remains good. According to Financial Conduct Authority analysis, over 99% of the UK urban population is within one mile of a free withdrawal cashpoint, and over 98% of the UK rural population is within three miles of one. I hope that that reassures hon. Members. However, it is important that coverage is maintained, so I welcome the FCA’s forthcoming rules on access to cash, under which designated banks and building societies will be required to assess the impact of a closure on a community’s ability to access cash. If a closure results in a gap in provision, firms will be required to put in place a new service that meets the community’s needs. That could mean a new ATM deposit service or a banking hub. Where a new service is recommended, firms will need to ensure that it is place before they are able to close the existing service, to avoid gaps emerging in access to cash. Those rules will come into force on 18 September, which I am sure will be welcomed by Members across the House. We recognise that banking has changed through a shift towards online and mobile access, which mean that customers have more ways to access banking services conveniently and securely. Banking users have clearly taken up those opportunities; recent FCA data shows that almost nine in 10 adults bank online. However, that does not mean that everyone has the means, confidence and skills to use those services, as many hon. Friends have said. We recognise that although we live in an increasingly online world, part of the population, including in my constituency, remain digitally excluded. As a Government, we are committed to improving connectivity and digital access for all constituents. We will continue to support the roll-out of a modernised broadband infrastructure through Project Gigabit, closing the digital divide for remote areas of Britain. The Government have already started the renewed push to reach full gigabit coverage by 2030. This month we have announced funding of £800 million to improve broadband for over 300,000 rural homes and businesses. Thinkbroadband reported in August of this year that approximately 84% of the UK can now access a gigabit-capable connection. Although the majority of premises will be covered by commercial activity or Project Gigabit, the Government are considering alternative ways to improve connectivity for the parts of the UK where that is not possible. If constituents or Members write to me, we will bear their areas in mind. I thank everyone for their thoughtful contributions, but this will not be my last speech on this matter. I want to take my hon. Friend the Member for Hexham, and other Members who have spoken, along with me on my journey, working together with the financial services sector and the public to deliver financial services. I want to mention quickly the post office network— [ Interruption. ] I don’t have time, do I, Madam Deputy Speaker? You are looking at me. I will just say that the Government are committed to looking for ways to strengthen the post office network. The Secretary of State met the chair of the Post Office to discuss that and other important issues, and the Government protect the post office network by setting minimum access criteria to ensure that 99% of the UK population lives within three miles of a post office, with around 11,000 branches in the UK. Madam Deputy Speaker, you have been very kind and allowed me a bit more time, so I will finish by thanking my hon. Friend once again—

• 2 Sept 2024 · Banking Services: Rural Northumberland · Hansard source

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  No Adjournment debate would be complete without an intervention from the hon. Member, so I am glad he intervened; I was waiting for him to do so. I share his frustration about the slowness of the roll-out—I pushed for it when I was in opposition and asked why it was taking so long. I will address this point in my speech, but I can reassure him that with as much influence as I have in our office, we have been asking for the banking hubs to be set up and ready. We are hoping to achieve 100 banking hubs by the end of this year, but I am conscious that they take a long time to set up. It is to do with the planning process, but that is not an excuse. I would like to speed up the roll-out, because I feel it has been dragging on for a long time. I absolutely share his frustration. As the hon. Member might know, 60 banking hubs have already opened. As I said, we anticipate that 100 will be open at the end of this year, but I agree that it is frustrating to have to wait and watch. We want them to be up and running so that our constituents can make good use of them. We want to ensure that the hubs mean that people and businesses can withdraw and deposit cash, because we know that people still use it. They will deposit cheques, pay bills and make balance inquiries. They will also contain dedicated community bankers from the largest banks in the area on a rotating basis, to help people and businesses carry out wider banking services. The decisions on the locations of future banking hubs will be made by LINK, which is the banking industry’s cash co-ordinating body. It will consider criteria such as population size, the number of retailers in the community and the availability of alternative bank branches. Communities can ask LINK to carry out an assessment of the local area; I urge my hon. Friends the Members for Blyth and Ashington (Ian Lavery) and for Hexham to make to LINK the case that has so convincingly been made to me. At the end of the day, we have asked it to make the decisions, but I can help in the process as well. Looking forward, I expect the banks to consider carefully whether the needs of a local community are being adequately served when thought is given to where the banking hubs should be rolled out. However, I also want the industry to ensure that the range and quality of banking services provided in hubs are delivering for customers up and down the country. There is no point in having a banking hub if it does not meet the specific requirements of the town.