Supporting Small Business — House of Commons, 2021-10-19
Topic: Mixed Topics
Christopher James Evans (Labour, Centre-left): Having listened to the speeches from the Labour Benches, I have put Bradford, Liverpool and Hull at the top of the places that I would like to visit. I would caution Conservative Members about some of the things they have said about the constituencies that they represent. When they talk down their constituencies they are not giving a very good advertisement to visit these places. They may be beautiful and there may be fantastic people living there, but it is no good if the Member of Parliament is standing there talking about the night-time economy, antisocial behaviour and what a bad visit it would be to go to the high street To me, the high street is the lifeblood of the British community. I have childhood memories of my mother dragging me around the shops to get shoes from the local shoe shop when we had to go back to school. I remember, when I was older and got into music, buying my first vinyl from the local record shop. As I got older and wanted to go out, I went out and got the latest fashions from the menswear shop. I remember that high street thriving, full of people and bustling. When I went back there a couple of years ago—I took my wife there once—I could not believe the transformation of that small high street that I remember so well. The banks had closed down and the cashpoints were concreted up, as people did not use them anymore. It was full of derelict shops I was interested to hear from my hon. Friend the Member for Pontypridd and Taff-Ely (Alex Davies-Jones). I remember venturing sometimes down to her constituency to go shopping. I remember the Woolworths being there, and I remember the Marks and Spencer at the top end of Taff Street as well. They have gone. I worry about those high streets, because I believe that the health of a constituency and a community can be judged by the high street In the constituency I represent, there are three major high streets: Risca, Newbridge and Blackwood. If anyone wants to visit Blackwood, it has a number of unique boutique shops. It has the Maxime cinema. If anyone wants to see the new James Bond film, "No Time to Die", they will not find a cheaper ticket in town than at the Maxime cinema in the middle of Blackwood. We are not without our problems, however, and they come down simply to business rates. We have all heard from Members on both sides of the House that there must be some sort of reform. I have been in the House for 11 years. From the moment I came into this House, there have been campaigns on both sides of the House to save our high street. The former Chancellor George Osborne talked about tax simplification, yet here we are 11 years later, and still we face the problem of business rates, and they are still not being reformed I was interested in those contributions from the Government Benches that said that the Labour party in opposition must come up with an innovative solution to sort the business rates problem. I say to those Members: they are in government, so they have to come up with the solutions. I see some Government Members nodding to say that they have come up with solutions, and I will come to the points they raised. The simple fact is that we all know business rates need to be reformed I want to talk about a company in my constituency: Tidal’s Store, a fantastic family-run business that sells high-class, high-quality furniture. If any Member of the House wants to deck out their flats in London, or their houses—or, dare I say, for some Conservative Members, their mansions—they could not do better than going online and buying from Tidal’s Store. It is a fantastic shop in the middle of Blackwood. However, I went there three years ago, and the problem it had was business rates. At the top end of the town, it pays £330 a square foot for business rates. Go further down the town and businesses pay £300. At the bottom of the town, businesses pay £275 a square foot. They are all on the same high street. It does not make sense to me. To top it all off, there is a business park just below the high street where businesses pay just £50 a square foot. Those businesses taking advantage of those business rates are not the small, family-run, innovative companies, such as Tidal’s Store; they are the huge companies that can afford the business rates in town. It seems extremely unfair I touched on this issue with the Minister earlier. I went to the council. In fairness, I will give credit where credit is due to Caerphilly County Borough Council, its chief executive Christina Harry and their leader Philippa Marsden. They know this is a real problem for their high street and have been very supportive, but there is nothing they can do. All they do is collect the tax, yet if there is a complaint, it is Caerphilly Council that is taking the blame. I then went to the valuation office. It said to me, "Oh, we just set the rates, Mr Evans. We do not do anything about appeals. We cannot change the rate. The rate is set in stone." Then I thought, "I will write to the Minister." The Minister at the time, as a matter of coincidence, was the now Chancellor of the Exchequer. He wrote to me saying that there was nothing he could do. Is anything more frustrating than seeing a family-grown business, which I want to thrive, crippled by business rates that sometimes cost more than its rent? There is nothing I can do and no one we can go to. That is the frustration with business rates at the moment It is all very well for the valuation office to say that rates are set in stone, but in times of economic crisis or in a pandemic, we need flexibility. I say to the Minister, please, set up a system whereby businesses can appeal. They are crying out for help. We have already heard that there will be a review, but reviews take time. Many of these businesses are struggling and need help right now The other shopping centre in my constituency, Newbridge, is home to Newbridge rugby football club and world champion boxer Joe Calzaghe. Anybody who wants to visit an example of an art deco theatre would do well to come to Newbridge Memo and see for themselves how a working men’s institute has been taken over and become a thriving, beating heart of the community. But Newbridge faces the same problem: many shops are boarded up, which looks terrible when people walk down the street. Next Saturday, the Co-operative store in Newbridge will close its doors for the last time, which is very sad. We have campaigned to keep it in place. The next nearest Co-ops are in Oakdale, which is two miles away, and then further down in Machen in the constituency of my hon. Friend the Member for Caerphilly (Wayne David). People will not be able to shop for their groceries locally in Newbridge I was pleased when a local businessman contacted me and said, "I want to take over the business." He owns a number of businesses so it would be an excellent move, but the one thing that was holding him back was, yet again, the business rates. As many hon. Friends have said, business rates in Wales are frozen currently, and I hope, for my English counterparts, that the Government take on board that example. There will come a time, however, when business rates will be unfrozen and will have to be paid. What future do people have when they know that time bomb is ticking The Government need to look again at business rates. People need help now. Right hon. and hon. Members on the Government Benches have talked about increasing VAT. There was a very good speech earlier about increasing it by 3p in the pound, but that is wrong for two reasons. First, VAT is an inherently regressive tax, because people are taxed on what they spend, which means that the poorest people in society pay it. Secondly, the packet of measures that was put in place in 2008 after the financial crash by the then Chancellor, Alistair Darling, included a reduction in VAT to ensure that people got out there and started spending in shops so that money flowed through the economy. Increasing value added tax is asking the poorest people in society to bear the burden When I was a child, as I said at the start of my speech, going to the high street was an event. We need to make it easier for people to go there. I ask the Government to put in place measures for local councils to offer free parking and, when shops are boarded up, short-term lets and business rate holidays to ensure that there are thriving businesses in the high street. There is much to be done. The high street—that feature of British society—is on the critical list. We have to do something now.