20/02/2017

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:00:00. > :00:00.in the Department always have the opportunity to ask for a call back

:00:00. > :00:07.if they do not wish to continue with the call and wished the departments

:00:08. > :00:17.to make the call. I understand this point of order flows directly from

:00:18. > :00:22.questions. Specifically to call upon the answer given a few moments ago

:00:23. > :00:26.about the work-related, the minister said nobody would be affected by

:00:27. > :00:30.this change before the summer but in fact the DWP website says and we all

:00:31. > :00:33.understood that this change takes effect from April, I wonder if you

:00:34. > :00:41.can invite the Minister to clarify or correct the record. The Minister

:00:42. > :00:45.is itching to appear at the bar 's. The policy change happens in April

:00:46. > :00:49.but it will not start impacting people until later in the year and

:00:50. > :00:55.because of the process they will be going through. But all of the

:00:56. > :00:59.elements of the personalised support package, and all of the other things

:01:00. > :01:06.we are seeking to do to help that individual's liquidity will be in

:01:07. > :01:17.place by April. Urgent question, just in matters. Thank you Mr

:01:18. > :01:26.Speaker, he will make a statement on the proposed takeover of Vauxhall

:01:27. > :01:32.and overall by PSA. Secretary Doctor Greg Clark. Voxel is one of our

:01:33. > :01:38.oldest and most valued motor manufacturers, making cars in

:01:39. > :01:41.Britain for 113 years and owned by an overseas investor, General

:01:42. > :01:46.Motors. There are over 40,000 people employed directly by GM or in

:01:47. > :01:53.voxel's retail or supply chain in this country. News emerged that GM

:01:54. > :01:59.were in discussions with the French company PSA about the future of GM's

:02:00. > :02:04.European operations. I spoke to the president of GM and communicated the

:02:05. > :02:08.importance we attach to the presence of Vauxhall in the UK and its

:02:09. > :02:12.workforce. I am grateful for him travelling to meet me in my office

:02:13. > :02:15.on Thursday. In my meeting he told me no agreement with PSA had been

:02:16. > :02:19.reached and that discussions were ongoing. He shared my assessment of

:02:20. > :02:25.the success of the Vauxhall plants in Britain and the brand. GM's

:02:26. > :02:30.intention was that any deal should be building on the success of these

:02:31. > :02:34.operations. Following on my meeting with GM I travelled to Paris to meet

:02:35. > :02:38.my counterpart in the French government and following these

:02:39. > :02:42.discussions I met with PSA board members for two hours late on

:02:43. > :02:46.Thursday night. I emphasise once again the importance I attached to

:02:47. > :02:51.the continuing success of Vauxhall in Britain and the recognition of

:02:52. > :02:56.its workforce. The PSA executives said they greatly valued the

:02:57. > :02:59.Vauxhall brand and that any deal would build on the strengths. They

:03:00. > :03:04.emphasise that their operational approach has not been to engage in

:03:05. > :03:08.plant closures but to focus on continuous improvements in plant

:03:09. > :03:12.performance. On behalf of the UK Government I emphasised our

:03:13. > :03:14.commitment to securing continued and mutually beneficial excess to

:03:15. > :03:24.European markets and our intention as part of an industrial strategy to

:03:25. > :03:28.enhance the British economy including the automotive sector. My

:03:29. > :03:33.Minister of State spoke to his German counterpart. We remain in

:03:34. > :03:40.close contact with GM, PSA, the French and German governments. And

:03:41. > :03:45.of course I have met and will continue to meet with the trade

:03:46. > :03:48.unions, and members of this house with constituency interests. I will

:03:49. > :03:53.do everything I can at all times to secure the best possible future for

:03:54. > :03:56.Vauxhall and its workforce. Our unity of purpose in seeking this

:03:57. > :04:02.good future should be a source of strength in this house and I will

:04:03. > :04:06.keep the house involved at every opportunity. I'd like to thank the

:04:07. > :04:09.Secretary of State for his response and a helpful way he has kept myself

:04:10. > :04:14.and other interested parties informed as matters have unfolded.

:04:15. > :04:16.As he said, not only are their thousands employed directly at the

:04:17. > :04:21.plants but there are tens of thousands of other people working in

:04:22. > :04:26.the associated supply chain, sales network. I want to make it clear

:04:27. > :04:29.Vauxhall is a British success story. The plants benefit from dedicated

:04:30. > :04:33.and highly skilled staff who are among the most efficient anywhere in

:04:34. > :04:37.Europe. If this takeover goes ahead we need to get the message out that

:04:38. > :04:40.risking the closure of either facility would be a retrograde step,

:04:41. > :04:46.not just for the UK economy but also the new owners. Will the Secretary

:04:47. > :04:51.of State confirm the government will use all tools at its disposal to

:04:52. > :04:54.protect British jobs that Vauxhall? This is not a new experience, there

:04:55. > :04:58.have been threats to the plants in past but they have been seen off by

:04:59. > :05:02.industry-leading collaborations between union, workforce, management

:05:03. > :05:06.and government. Can the Secretary of State confirm he will work closely

:05:07. > :05:10.with everybody at every stage? Whilst I think it would be an

:05:11. > :05:14.oversimplification to characterise the deal as being entirely down to

:05:15. > :05:17.Brexit, there are understandable concerns about its impact,

:05:18. > :05:21.particularly if tariffs were imposed. Will the Secretary of State

:05:22. > :05:26.ensured the future of the automotive industry is put front and centre of

:05:27. > :05:30.negotiations and the red line will be no tariffs, not only on the

:05:31. > :05:33.finished product but also components in the supply chain? We are very

:05:34. > :05:37.proud of our automotive sector and we know we cannot take it for

:05:38. > :05:41.granted. I will do everything that I possibly can to fight for the future

:05:42. > :05:46.of Vauxhall and I expect nothing less from the government. Can I

:05:47. > :05:50.commend the honourable gentleman and I'm grateful to him for giving us

:05:51. > :05:54.the opportunity to update the house on these matters. I completely agree

:05:55. > :06:00.with him about the importance and the success of the workforce. At

:06:01. > :06:04.both the Ellesmere Port constituency plant and Luton. And of course the

:06:05. > :06:09.supply chain and the retail network across the country and the call

:06:10. > :06:16.centre and the customer service centre. Every part of Britain has a

:06:17. > :06:17.stake in Vauxhall and so I completely agree and we will do

:06:18. > :06:26.everything that we can. My personal commitment at the moment

:06:27. > :06:29.of this government will be unbounded to ensure that the future building

:06:30. > :06:34.on the success of the plant in his constituency of the workforce will

:06:35. > :06:39.be maintained. That is my purpose. I am grateful for his support for that

:06:40. > :06:43.and I will of course work with all of the groups, including the trade

:06:44. > :06:50.unions and workforce to make that case, if new owners the right to be

:06:51. > :06:56.the those new owners. Vauxhall has been a huge name in Beds for over a

:06:57. > :07:03.century and that continues with the IBC plant in Luton building the

:07:04. > :07:10.excellent Vivaro van. Can he say a little bit about the pensioners in

:07:11. > :07:12.this country, many of whom are in my constituency and across Beds? They

:07:13. > :07:16.will be worried for the future of their pensions. Can he say a little

:07:17. > :07:23.bit on that issue as well as the jobs? In any prospective takeover,

:07:24. > :07:29.the continued welfare of pensioners is of great importance and I

:07:30. > :07:34.mentioned how important that would be in my discussions both with GM

:07:35. > :07:39.and PSA. As I say, no deal has been concluded yet, but both

:07:40. > :07:42.organisations are well aware of the importance that I as well as my

:07:43. > :07:54.honourable friend attached to that. Thank you, Mr Speaker. I thank the

:07:55. > :07:57.Secretary of State for his response and indeed the honourable Mulumba

:07:58. > :08:03.the Ellesmere Port and Neston. Rock-solid flows over 40,000 people

:08:04. > :08:06.as the Secretary of State stated, including 4500 at its manufacturing

:08:07. > :08:09.plants in els airport and Luton, and tens of thousands in its retail and

:08:10. > :08:14.support arms and within the supply chain. It is, as we have heard, a

:08:15. > :08:19.great dish success story and there are in above questions I would like

:08:20. > :08:23.to raise. Firstly, the French government owns a 14% share in

:08:24. > :08:29.Peugeot, which has prompted many to suggest that any jobs cuts are

:08:30. > :08:32.likely to fall on Oprah's six plant in Germany, the UK and Spain. The

:08:33. > :08:36.German government has already demanded they must be no job losses

:08:37. > :08:42.or plant losses as a result of the deal. Yesterday German papers

:08:43. > :08:48.reported that PSA had pledged to continue operating all four of

:08:49. > :08:53.Opel's German production sites. Can the Secretary of State state what

:08:54. > :08:59.actions the government is taking to ensure the same in the UK, and can

:09:00. > :09:05.she say that no jobs will be lost when she meets PSA executives? At

:09:06. > :09:07.the 2016 Conservative Party conference, the Prime Minister

:09:08. > :09:11.stated we are the party of workers. Can the Secretary of State confirm,

:09:12. > :09:16.therefore, he will demand equal treatment of UK workers, compare the

:09:17. > :09:22.workers in France and Germany, in any final deal package to make good

:09:23. > :09:25.on that package? And finally, the UK's automotive industry is

:09:26. > :09:32.dependent on the EU for both sales and components. Nissan's special

:09:33. > :09:37.deal provided assurances of unencumbered EU market access, more

:09:38. > :09:41.UK suppliers, support for more green vehicle are handy and the jobs and

:09:42. > :09:44.training. Can the Secretary of State confirm reports PSA have been

:09:45. > :09:49.offered the same deal and weather in return they have assured that no UK

:09:50. > :09:53.jobs or plants will be lost? Was it not the case that all UK industry is

:09:54. > :09:58.however require certainty and stability, and would he agree with

:09:59. > :10:01.me that a haphazard and crisis led approach is quite simply the very

:10:02. > :10:08.antithesis of an industrial strategy? Can I first of all

:10:09. > :10:11.welcomed the honourable lady to the dispatch box and congratulate her on

:10:12. > :10:16.her appointment. She will find there is no one more prepared than I am to

:10:17. > :10:18.be active in supporting the employment aspects at every

:10:19. > :10:25.constituency in the country, wherever that may be. And in our

:10:26. > :10:30.discussions with industry including the automotive industry and overseas

:10:31. > :10:33.investment, there is tremendous enthusiasm, warm encouragement for

:10:34. > :10:39.our industrial strategy, and this is something that in other countries

:10:40. > :10:43.has been pursued for some time. So I think in terms of haphazard and

:10:44. > :10:52.random, or whatever she described, I am not sure, crisis led and

:10:53. > :10:54.haphazard, I am not sure the honourable A.D. Speaking from her

:10:55. > :10:57.front benches in the Bezus position to talk about that batch you make

:10:58. > :11:01.some important points. She mentioned the fact that the French government

:11:02. > :11:04.to own a significant stake in PSA, which is why I thought it was

:11:05. > :11:08.important immediately to have a meeting with my French counterpart.

:11:09. > :11:14.I did, it was very constructive and he recognised the importance in

:11:15. > :11:20.making sure that the whole of Europe is treated fairly in these

:11:21. > :11:26.discussions, and we agreed to stay in close touch on that. I was very

:11:27. > :11:31.grateful to him seeing me. In terms of the treatment of plants across

:11:32. > :11:37.Europe, one of the points that the PSA executives made to me was that

:11:38. > :11:45.since the new management of PSA has been in place, they have taken some

:11:46. > :11:49.pride in having part of their strategy not to close plants. As I

:11:50. > :11:53.say, these the sessions are clearly continuing, there is no deal that

:11:54. > :11:57.has been done, but I share her view and the view of her colleague and

:11:58. > :12:02.our friends across the house, that it is very important that what our

:12:03. > :12:05.successful enterprises with successful workforces should be able

:12:06. > :12:12.to continue that success in the future. As for questions about the

:12:13. > :12:17.European Union, of course many of the operations of GM in Europe are

:12:18. > :12:24.in Germany, and Germany is not about to leave the European Union, so this

:12:25. > :12:30.is not a Brexit related transaction. What I said very clearly is our

:12:31. > :12:34.commitment, evidenced in black and white in our industrial strategy, to

:12:35. > :12:38.build on our strengths and advanced manufacturing, including in the

:12:39. > :12:42.automotive sector, are available to all players in that sector through

:12:43. > :12:45.the automotive council. That is laid out in our industrial strategy, we

:12:46. > :12:50.mention electric vehicles, battery storage and training. These are very

:12:51. > :12:55.important for all members of the sectoral, and as I began by saying

:12:56. > :13:05.they have attracted enthusiastic support from fans all over the world

:13:06. > :13:09.are. I recommend my honourable friend's speedy response to the

:13:10. > :13:12.situation. Can my right honourable friend recommend that it is not just

:13:13. > :13:14.important for our industrial strategy but will also play a

:13:15. > :13:22.vitally important role in shaping our future relationship with trade

:13:23. > :13:26.with other EU member states, post-Brexit? Honourable friend, one

:13:27. > :13:29.of the strengths of our automotive sector is that it is particularly

:13:30. > :13:35.international. It benefits from and is strengthened by trade to and from

:13:36. > :13:41.not only the rest of Europe but the whole of the world. And it is, I

:13:42. > :13:45.think, a reflection of the fact that at Boxall has been owned by GM to

:13:46. > :13:51.such a long time that actually the motor industry has long been

:13:52. > :13:55.international beyond Europe, so I think there will be very prominent

:13:56. > :14:00.in our discussions Trasch Vauxhall has been owned. , I congratulate the

:14:01. > :14:03.member fails me a port and welcoming his colleagues the honourable lady

:14:04. > :14:09.to her front bench position, look forward to working with her -- for

:14:10. > :14:13.Elsner point. Our thoughts are with her is affected in the plant at

:14:14. > :14:16.Elsner port, Luton and those working in the supply chain and for the

:14:17. > :14:20.company in other ways and can I welcome the fact the Secretary of

:14:21. > :14:25.State has led from the front, in terms of his interactions with the

:14:26. > :14:29.French and others on this. Can I ask what assurances he has sought and

:14:30. > :14:33.received from the French government or from PSA around about the plans,

:14:34. > :14:35.employment and particular terms and conditions of employees and the

:14:36. > :14:41.issue around about pensions around about there? I do not think we can

:14:42. > :14:46.ignore the impact that Brexit may have in this going forward. This fit

:14:47. > :14:49.is a direct accommodation between a plant and a UK plant, regardless of

:14:50. > :14:53.the undoubted strength of the UK plant, when they have 75% of their

:14:54. > :14:57.components and 80% of their exports going to the single market, they

:14:58. > :15:01.will be at a comparative disadvantage with European

:15:02. > :15:05.counterparts. So can take this opportunity to ask the Secretary of

:15:06. > :15:08.State, given he will say he will do everything he can at all times to

:15:09. > :15:12.rule out the hard Brexit that is being proposed, reassessed the

:15:13. > :15:15.single market than the ship. We can leave the EU but we don't have to

:15:16. > :15:21.leave the single market and doing so would protect employees at Boxall

:15:22. > :15:25.and right across the economy. I am grateful to the honourable gentleman

:15:26. > :15:29.for his kind words. I thought it was important to have discussions

:15:30. > :15:37.immediately with both parties to the negotiations. It is fair to say that

:15:38. > :15:41.since a deal has not been concluded and discussions are continued, the

:15:42. > :15:49.prospective purchaser is clearly not in a position to give contractual

:15:50. > :15:54.guarantees, but one of the important reasons for meeting was to have a

:15:55. > :15:57.clear understanding of their purpose, and to commit to having

:15:58. > :16:01.further meetings as the discussions continued, and I will be having that

:16:02. > :16:10.later in the week. Of course the conditions for workers and for

:16:11. > :16:15.pensioners are uppermost in that. In terms of the context of Brexit. I

:16:16. > :16:18.made very clear, as the Prime Minister did in her speech at

:16:19. > :16:26.Lancaster house, that we want to negotiate the best possible access

:16:27. > :16:29.to the single market and free of tariffs and bureaucratic impediments

:16:30. > :16:33.was that it is also important to reflect that we have a very strong

:16:34. > :16:37.mastic market and Boxall has a particularly strong share of that

:16:38. > :16:44.domestic market, something that was mentioned to me by both parties, by

:16:45. > :16:50.GM and PSA. They are very aware of that and we will emphasise that in

:16:51. > :16:54.the days and weeks ahead. Is the government considering its policy of

:16:55. > :16:58.when, why and how to intervene in mergers that could be damaging to

:16:59. > :17:04.British jobs and the public interest? In the context of the

:17:05. > :17:12.Hinkley Point C decision, we did say we would come forward with measures

:17:13. > :17:15.to govern the critical of structure regime, and also when we have made

:17:16. > :17:25.some proposed changes to our corporate governments regime, and we

:17:26. > :17:28.will be making some suggestions. In an earlier answer the Secretary of

:17:29. > :17:32.State said this will not become entangled in Brexit. But the concern

:17:33. > :17:38.will be that this is to this important company's future in

:17:39. > :17:41.Britain will become collateral damage in wider negotiations and

:17:42. > :17:45.deals regarding Brexit, and in the face of elections in France and

:17:46. > :17:50.Germany this year, does he think nations will have to engage in an

:17:51. > :17:54.ever rising game in order to maintain production facilities in

:17:55. > :17:58.their own countries. If so, what will differ British manufacturing?

:17:59. > :18:03.If the honourable gentleman should reflect a bit more positively on the

:18:04. > :18:07.success of Vauxhall in this country. The two plans we have been talking

:18:08. > :18:11.about are amongst the most efficient in Europe and therefore amongst the

:18:12. > :18:15.most efficient in the world. So this is not about altruism, these are

:18:16. > :18:18.successful plants, a tribute to their workforce, and they are

:18:19. > :18:23.competitive. The other side of the equation, as I said a few moments

:18:24. > :18:26.ago, is the box -- the Vauxhall brand is very successful in this

:18:27. > :18:30.country. We start from a position of strength, and I will come as he

:18:31. > :18:37.would want be to come to be vigorous in promoting those strengths, and to

:18:38. > :18:40.influencing the negotiation so that the excellent workforce we have

:18:41. > :18:47.there can continue and go from strength to strength in the future.

:18:48. > :18:51.My right elbow friend will be unaware of the importance of this

:18:52. > :18:55.plant to the Cheshire economy. Will he ensure the house that he make

:18:56. > :19:00.sure you understands the skill and efficiency of this plant and indeed

:19:01. > :19:06.its workforce? I will indeed, from my additional conversations I think

:19:07. > :19:10.this is well understood. It is a matter of pride that our automotive

:19:11. > :19:13.industry in general and those two plants in particular are such

:19:14. > :19:22.high-performance, and there will be no one more vigorous in all parties.

:19:23. > :19:29.Does the Secretary of State believe that it is going to be much harder

:19:30. > :19:32.for companies that are looking at the integrated European operations

:19:33. > :19:38.to want to base themselves in the United Kingdom because of the

:19:39. > :19:41.uncertainties surrounding leaving the single market and the customs

:19:42. > :19:46.union? And does he agree that in their circumstances they are going

:19:47. > :19:50.to need some very attractive sweetness? What sweeteners has he

:19:51. > :19:54.offered, and are those is also going to be available to the medium and

:19:55. > :20:00.low priority areas the government have identified, such as fisheries

:20:01. > :20:04.and steel and telecoms? I would say what I said to the honourable

:20:05. > :20:09.gentleman who chairs the select committee. He should reflect on the

:20:10. > :20:13.competitiveness of our automotive industry. The reason that companies

:20:14. > :20:20.choose to invest in Britain is because we are a competitive place

:20:21. > :20:24.from which to do business. We have a skilled and flexible workforce. We

:20:25. > :20:28.have fantastic research and develop facilities. We have been absolutely

:20:29. > :20:31.clear in the industrial strategy consultation that these strengths

:20:32. > :20:38.will be extended, so that we continue to be a beacon of success

:20:39. > :20:41.in this and other industries. The Secretary of State has clearly made

:20:42. > :20:45.some reassuring noises to the firm. We need transparency on these. So

:20:46. > :20:50.will the Secretary of State now respond to the Treasury committee

:20:51. > :20:56.request to publish the letter that he sent Nissan on 21st of October,

:20:57. > :21:01.giving reassurances to them? My right honourable friend may not have

:21:02. > :21:06.noticed that, sometime ago, we said that of we would release the letter

:21:07. > :21:18.that was sent to to Nissan have the time that it is no longer

:21:19. > :21:20.commercially confidential. I commend the Secretary of State for his fast

:21:21. > :21:25.action in meeting all of the parties, and I speak as someone who

:21:26. > :21:32.represents people who work in the Ellesmere Port factory. We are all

:21:33. > :21:38.as local MP is justifiably proud of the work that they have done, which

:21:39. > :21:46.has kept this production one of the most efficient in the world. We do

:21:47. > :21:49.not bow to anybody in the world for our efficiency and productivity in

:21:50. > :21:54.the Ellesmere Port plant. But given that it is much cheaper,

:21:55. > :21:59.effectively, to get rid of British workers, because of the nature of

:22:00. > :22:03.the employment rights in this country, compared to Watt France and

:22:04. > :22:11.Germany, what can he do to insure that when it comes to potential

:22:12. > :22:12.cost-cutting, that equation is evened up and can support British

:22:13. > :22:19.correction and British jobs? I am proud of the performance of the

:22:20. > :22:28.two plants and the other plants we have in our automotive sector. What

:22:29. > :22:33.the PSA executives communicated was that performance is the guide to

:22:34. > :22:37.strategy. I think that those two plants we have very effective

:22:38. > :22:44.performance so I would want and expect them to be major parts of the

:22:45. > :22:49.future of an expanded group if the transaction proceeds. May I welcome

:22:50. > :22:57.the action of my right honourable friend in this incredibly important

:22:58. > :23:02.issue of retaining the plants. Most investment into motor Manufacturing

:23:03. > :23:06.in this country comes from overseas with the possible exception of Aston

:23:07. > :23:10.Martin and Triumph. Would my right honourable friend say what he's

:23:11. > :23:13.doing to encourage British-based investment into motor manufacturing

:23:14. > :23:19.so we don't always rely on overseas investment? I'm proud that we

:23:20. > :23:23.attract the world's best automotive companies and that they see Britain

:23:24. > :23:30.as a place to prosper and to succeed in. So I'm always encouraging that

:23:31. > :23:36.level of investment. But of course it's not just the major

:23:37. > :23:40.manufacturers. The supply chain is increasingly important in all

:23:41. > :23:46.advanced manufacturing including the automotive industry. And we have an

:23:47. > :23:50.increasingly good record in attracting small and medium-sized

:23:51. > :23:55.businesses either to come and locate here from overseas or to grow them

:23:56. > :24:00.from the bottom-up, as it were. And he will know that industrial

:24:01. > :24:08.strategy makes great focal point of the need and the opportunity to grow

:24:09. > :24:12.our supply chains. The Secretary of State I think understands how

:24:13. > :24:17.important the plant at Ellesmere Port and its suppliers and retailers

:24:18. > :24:21.are to the north-west, the wider North West's automotive sector which

:24:22. > :24:26.includes Jaguar, Land Rover in my own constituency. What is he going

:24:27. > :24:34.to do to make sure that we don't lose some of these essential skills,

:24:35. > :24:36.jobs, firms and that our sector in the Northwest does not shrink as a

:24:37. > :24:42.consequence of these factors which are completely out of control of the

:24:43. > :24:46.government and of the people who work at the Ellesmere Port plant?

:24:47. > :24:52.The honourable lady knows from work we have done together that I think

:24:53. > :24:56.it is possible to make a case for attracting investment and

:24:57. > :25:00.commitment. She is absolutely right that it is important, not just for

:25:01. > :25:05.the north-west but for the entire country, if you take the dealership

:25:06. > :25:08.network into account. I ambition is for our automotive sector, like the

:25:09. > :25:13.rest of the advanced Manufacturing, to be more successful and employee

:25:14. > :25:17.more people in the future. That doesn't happen by accident, it

:25:18. > :25:20.involves being engaged with the sector, they can sure that

:25:21. > :25:26.facilities for research and development, claiming, establish our

:25:27. > :25:29.reputation as the best place in the world for motor manufacturing. I

:25:30. > :25:34.will work with her and others to make sure that message is loudly

:25:35. > :25:39.understood. Leyland in my constituency has a long and proud

:25:40. > :25:42.history in the automotive sector, can my right honourable friend tell

:25:43. > :25:47.the house what support there will be for the automotive sector in the

:25:48. > :25:50.industrial strategy? Indeed. The automotive sector has been one of

:25:51. > :25:55.our most successful sectors in recent years and that partly comes

:25:56. > :26:01.from the effective arrangement through the automotive council put

:26:02. > :26:04.in place whereby the firms including the small and medium-sized suppliers

:26:05. > :26:11.can work together to support each other. There was an example of this

:26:12. > :26:16.in the national automotive innovation Centre I visited recently

:26:17. > :26:21.that is making new facilities available for people with new ideas,

:26:22. > :26:27.with setting up new businesses, so that that can reinforce and continue

:26:28. > :26:35.the success of one of our most effective industrial sectors. My

:26:36. > :26:40.constituents work for Vauxhall at Ellesmere Port and Unilever, so if

:26:41. > :26:44.there are members of this house who think everything is rosy in our

:26:45. > :26:48.economy, I would invite them to come to Wirral South and say that. When

:26:49. > :26:51.it comes to the high-value manufacturing that he has talked

:26:52. > :26:55.about, does he realise the importance of the customs union and

:26:56. > :26:59.has he made great and important contribution to the Prime Minister's

:27:00. > :27:04.strategy on Brexit in keeping us inside the customs union? The

:27:05. > :27:10.automotive sector and others trade a lot across borders and it is one of

:27:11. > :27:13.the reasons the Prime Minister has been clear that we need to be able

:27:14. > :27:19.to negotiate a trading arrangements that maintain our access across

:27:20. > :27:23.those borders without tariffs or bureaucratic impediments, that is

:27:24. > :27:28.clearly understood. Those negotiations have some way to go but

:27:29. > :27:31.it is important, I think, to emphasise, as I have done, and the

:27:32. > :27:38.Prime Minister has done, what our intention is. What guarantees might

:27:39. > :27:46.be required from General Motors USA to General Motors GB with respect to

:27:47. > :27:51.the pension deficit before any dispersal can take place? As my

:27:52. > :27:54.right honourable friend knows, the independent pensions regulator is

:27:55. > :28:01.the arbiter of any changes, were there to be any, and it is

:28:02. > :28:06.absolutely right that the robust independence is in place. I would

:28:07. > :28:10.emphasise that discussions are continuing, there is no agreement

:28:11. > :28:14.yet that has been made. As I said to a number of colleagues across the

:28:15. > :28:21.house, the future of pensioners is of course very important. I was

:28:22. > :28:26.involved in the discussions last time GM considered selling its

:28:27. > :28:31.European friends in the wake of the financial crisis and at that time we

:28:32. > :28:36.had a successful resolution in that the company decided to retain the

:28:37. > :28:41.brands. The secretary of State is right, Vauxhall is extremely

:28:42. > :28:46.successful, the Astra and the course are among the top ten bestselling

:28:47. > :28:50.cars in the UK. But the cars are made as part of a European wide

:28:51. > :28:55.company and a European wide supply chain. Can I ask the Secretary of

:28:56. > :29:00.State, in any of the discussions that he has had over the past week,

:29:01. > :29:06.have exchange rate movements over the past year been raised? In

:29:07. > :29:13.discussing the context of Brexit, of course we have discussed all aspects

:29:14. > :29:20.of it. And one of the features of decisions that are being made on

:29:21. > :29:24.investment is the opportunity, for example, to locate more of the

:29:25. > :29:31.supply chain nearer to the production facilities. And across

:29:32. > :29:37.the board, I think it is important to emphasise the commitments that we

:29:38. > :29:41.have two negotiate the best possible access to the single market but also

:29:42. > :29:48.the intrinsic competitiveness of the UK that make it attractive to

:29:49. > :29:54.overseas investors. If I was on the board of directors and had a very

:29:55. > :29:57.successful vehicle manufacturing output in the fifth biggest economy

:29:58. > :30:02.in the world and that economy was about to leave the EU, I think I'd

:30:03. > :30:07.want to invest more in that facility and make sure that I don't put all

:30:08. > :30:13.my eggs in one basket. Doesn't the future of Vauxhall look rather good,

:30:14. > :30:16.not the reverse? I would agree with my honourable friend in saying that

:30:17. > :30:22.we have, in Vauxhall, a very successful firm that is well

:30:23. > :30:29.regarded in the domestic market and across the continent. It is building

:30:30. > :30:32.on the success that I think is the prospect. It is important that

:30:33. > :30:43.through the discussions that is secured in the future arrangements.

:30:44. > :30:48.Many of the thousands of people employed at Vauxhall are

:30:49. > :30:55.understandably concerned about the future of their jobs. 80% of cards

:30:56. > :31:02.may get Pepper are exported to EU states, and 75% of the value of the

:31:03. > :31:05.car is imported. There has been meeting request from the Chief

:31:06. > :31:12.Executive the PSA group which Downing Street has said it will take

:31:13. > :31:15.in principle subject to diary. We'll be Secretary of State suggest that

:31:16. > :31:21.the Prime Minister makes space in her diary as a matter of urgency?

:31:22. > :31:27.The deal has not been done. The second thing is, no one could be

:31:28. > :31:31.under any illusions as to the vigour of our response. Of course the Prime

:31:32. > :31:35.Minister will need to find the time in her diary to meet. We are very

:31:36. > :31:42.keen to continue this close contact that we have had. The various

:31:43. > :31:46.takeovers talked about over the weekend have shown the importance of

:31:47. > :31:50.having a robust, enforceable set of rules on takeovers and mergers. When

:31:51. > :31:54.will the government come forward with their new policy in this area

:31:55. > :32:01.so that we can know, not only when we leave the European Union, how we

:32:02. > :32:04.will handle takeovers? It is important to reflect on the context

:32:05. > :32:08.that our reputation for being an open economy that attracts overseas

:32:09. > :32:15.investment is one of our foundations of success. So we need to maintain

:32:16. > :32:21.the success and that reputation. But we have said that we will bring

:32:22. > :32:28.forward proposals and will do that in due course and I will update the

:32:29. > :32:32.house at that time. As a trade union official three times I supported

:32:33. > :32:34.management and workers at Ellesmere Port through new model bidding

:32:35. > :32:38.processes and each time they demonstrated themselves to be

:32:39. > :32:42.productive, efficient, flexible and their plant to be profitable.

:32:43. > :32:48.Unfortunately those attributes don't cut any ice with Peugeot as the

:32:49. > :32:52.honourable member for Coventry will attest. Can I suggest to the

:32:53. > :32:56.Secretary of State that he uses this opportunity to beef up his

:32:57. > :33:00.industrial strategy and suggest that any public procurement of motor

:33:01. > :33:04.vehicles by police forces, local authorities, government department

:33:05. > :33:07.'s, only procure cars by companies that built in the UK and that those

:33:08. > :33:16.who choose not to build in the UK will not be considered? What I would

:33:17. > :33:24.say is that of course I discussed with PSA the context of their

:33:25. > :33:28.closure of the plant in Coventry. It is a new management of the company

:33:29. > :33:33.and what they described to me is a different approach. These are early

:33:34. > :33:40.stages but that was a better message to receive than the alternative. But

:33:41. > :33:44.like him I want to make sure that is reflected in practice. On

:33:45. > :33:49.procurement, it is obviously important that we get good value for

:33:50. > :33:52.money. One of the things we have done is to change procurement rules

:33:53. > :34:04.to allow some of these wider impacts to be taken into account. We know

:34:05. > :34:08.that Opel has not made a profit in the EU since 1999 and the Chief

:34:09. > :34:13.Executive of PSA has a record of drastically reducing costs. But I

:34:14. > :34:17.wonder whether my right honourable friend could tell us what further

:34:18. > :34:21.tours in his armament he has to make sure that PSA do not move the

:34:22. > :34:27.factories and the supply chain out of the UK? What I would say to my

:34:28. > :34:33.honourable friend is again, the discussions are at an early stage,

:34:34. > :34:38.the leak of these discussions only came out in the past week, and I

:34:39. > :34:43.think I've had a number of meetings since then and been very clear with

:34:44. > :34:46.the house, but my view is that the successful operations and we have in

:34:47. > :34:53.this country need to be maintained to continue. The PSA side of the

:34:54. > :34:58.discussions have pointed out quite reasonably that this is not their

:34:59. > :35:03.company yet to make contractual statements about. But it is clear

:35:04. > :35:09.that direction that the discussions are going in, and I will continue to

:35:10. > :35:15.be vigorous in extracting the best possible agreements about the future

:35:16. > :35:21.of Vauxhall. Can I also welcome the ministers statement and the content

:35:22. > :35:26.of what he's said so far. It is clear the UK plants at Vauxhall are

:35:27. > :35:30.run to a high standard. Can the Minister outlined what support he

:35:31. > :35:36.will be offering to ensure the plants are maintained, enhanced, and

:35:37. > :35:39.jobs secured in any takeover, and what influence including financial

:35:40. > :35:43.assistance does the Minister believe the government can exert? I am

:35:44. > :35:47.grateful for what he said. I come back to the fact that the Vauxhall

:35:48. > :35:53.operation in the UK is successful, it is efficient and effective. And

:35:54. > :35:56.that is, as with other car companies, the reason that

:35:57. > :36:02.investments come to this country. We have had a very successful programme

:36:03. > :36:06.of joint working with the automotive sector in areas like research and

:36:07. > :36:12.development and in training and obscuring the workforce. That

:36:13. > :36:19.continues and is available to any manufacturer that participates in

:36:20. > :36:23.the sector. Thank you Mr Speaker. The UK car sector and the

:36:24. > :36:26.manufacturing of steel are inextricably linked, so what role

:36:27. > :36:31.does my right honourable friend see the industrial strategy having to

:36:32. > :36:35.the betterment of both? The benefit of an industrial strategy is that

:36:36. > :36:41.you can look at the connections between areas and between different

:36:42. > :36:48.sectors. And of course a thriving automotive sector in this country is

:36:49. > :36:54.good for the steel industry. Does the Secretary of State agree that

:36:55. > :36:58.weaker protection against dismissal afforded to EU workers makes them

:36:59. > :37:05.more vulnerable relative to their European counterparts, and given his

:37:06. > :37:08.parties, version into a party of the workers, what plans does he have two

:37:09. > :37:15.strengthen protections for UK workers? First of all, the standards

:37:16. > :37:20.that we have for workers in this country are very exacting, and we

:37:21. > :37:24.have made a commitment to maintain them as we leave the European Union.

:37:25. > :37:31.The second thing is that our record of employment is one that we should

:37:32. > :37:36.be proud of. Just in the last few days we were able to report

:37:37. > :37:43.employment of record numbers. And I think that shows that the

:37:44. > :37:48.environment that we operate in is attractive to investors, and the

:37:49. > :37:53.consequence of that is good jobs for British workers.

:37:54. > :38:00.Has the Secretary of State has said, the UK automated manufacturing

:38:01. > :38:05.sector has been extremely impressive than the last decade, but what is

:38:06. > :38:08.striking is that the one advanced industrial nation that hasn't

:38:09. > :38:16.invested in the UK manufacturing sector is France. Does the Secretary

:38:17. > :38:21.of State really believe that the French business, like PSA, will

:38:22. > :38:27.choose to invest in the UK outside of the European Union, or will

:38:28. > :38:33.invest in France and Germany? And will they therefore urgently look at

:38:34. > :38:39.a British solution to the future of this excellent plant which provides

:38:40. > :38:45.work in North Wales and Merseyside and right across the Northwest? I

:38:46. > :38:53.would say that notwithstanding and in many cases as a result of the

:38:54. > :38:59.successful partnership with other overseas car manufacturers, 2016 was

:39:00. > :39:05.a record year for carpet action in this country. It was at a 17 year

:39:06. > :39:11.high. So I think that providing the arrangements are right, we should

:39:12. > :39:16.welcome the confidence of the countries have in this country, and

:39:17. > :39:22.of course the conversations I have heard with PSA lead me to believe

:39:23. > :39:26.that the intentions as communicated to me are to invest in performance,

:39:27. > :39:37.and we have a very proud record of that. The Secretary of State

:39:38. > :39:44.approaches this with great calm and carefulness. I am sure he has looked

:39:45. > :39:49.at the impact on the firm of being inside and outside the customs

:39:50. > :39:54.union. I know he wants to have a zero turf regime with Europe, but we

:39:55. > :39:59.have heard what a high proportion of the components are imported. Does he

:40:00. > :40:05.know whether the Vauxhall cars which are exported would actually meet the

:40:06. > :40:14.threshold for made in the UK under the rules of origin? The little lady

:40:15. > :40:18.takes us further ahead than these preliminary discussions about a

:40:19. > :40:22.prospective scale -- sale of GM 's assets to PSA has got to. I have

:40:23. > :40:27.been very clear, not just with PSA but with every auto company, and

:40:28. > :40:31.every manufacturer, that our intention in the negotiations is to

:40:32. > :40:37.pursue constructive negotiations, to have the best possible access to the

:40:38. > :40:45.single market, respecting the need to avoid bureaucratic elements as

:40:46. > :40:49.well as tariffs. I was born and spent the first 40 years of my life

:40:50. > :40:54.in Luton Soi know-how losing the Vauxhall plant would absolutely rip

:40:55. > :40:59.the heart out of the town but it is a much older issue than that, and

:41:00. > :41:03.the anxiety felt by Vauxhall workers now is being shared by other workers

:41:04. > :41:08.in the manufacturing sector as we face Brexit. What assurances can the

:41:09. > :41:12.Minister give that he is building into the strategy is something that

:41:13. > :41:15.will embed those manufacturing jobs in our communities? I am delighted

:41:16. > :41:20.the honourable lady made that point and I hope she will respond to the

:41:21. > :41:26.consultation, because it is very clear it reflect on and proposes

:41:27. > :41:30.ways to strengthen what are already pillars of success, including our

:41:31. > :41:33.excellent research and of element in terms of the efficiency of

:41:34. > :41:38.industrial processes, and the skills of the workforce. You can't stand

:41:39. > :41:42.still. You need to prepare for the future. And that is precisely what

:41:43. > :41:45.the industrial strategy, which has been warmly welcomed by

:41:46. > :41:51.international investors, is setting out to do. Mr Speaker, this deal

:41:52. > :41:55.inevitably would lead to job losses around Europe. The Prime Minister

:41:56. > :42:00.has said we might have to leave the EU without a deal, so tariffs on

:42:01. > :42:05.vehicles and components are now a possibility. Doesn't that mean that

:42:06. > :42:08.the UK employees inevitably will be at a disadvantage, relative to their

:42:09. > :42:14.colleagues elsewhere in the European Union? What I think the right

:42:15. > :42:18.honourable gentleman has missed out of that analysis is the efficiency

:42:19. > :42:25.and the success of our operations here, and also the strong domestic

:42:26. > :42:31.market that we have in this country. It is necessary to negotiate and to

:42:32. > :42:35.get the best possible terms for our Brexit arrangement, everyone is

:42:36. > :42:39.clear about that, but you should not underplay the strengths we have that

:42:40. > :42:48.attract businesses to invest in this country.

:42:49. > :42:55.Just for one moment, it would appear that there has been no change in the

:42:56. > :43:01.processes of the house as a result of the change of the table, no wigs,

:43:02. > :43:06.which I certainly much welcome. I wish it had happened a long time

:43:07. > :43:12.ago. But can I ask you this, and I do so with respect to the message

:43:13. > :43:17.which is received from the Queen to the head of state, what -- from the

:43:18. > :43:21.head of state, I am just wondering whether the message could be

:43:22. > :43:27.communicated to the house by you, sir, instead of the whip coming in

:43:28. > :43:33.with a stick and the rest of it. No, Diyas.

:43:34. > :43:38.I am very grateful to the honourable gentleman for his point of order.

:43:39. > :43:45.The answer is that the message that is the livered comes from the

:43:46. > :43:48.government, and so I don't myself see that there would be an obvious

:43:49. > :44:01.logic about it being delivered by me. LAUGHTER

:44:02. > :44:04.I'm extremely grateful, but Her Majesty communicates through

:44:05. > :44:07.ministers, that is what has happened. With respect to the other

:44:08. > :44:12.observation the other honourable gentleman has made, I note what he

:44:13. > :44:14.has said, and without rehearsing the Holebas you, the honourable

:44:15. > :44:22.gentleman will know that the request for change came from the clerk of

:44:23. > :44:27.the house and his senior colleagues, and it was agreed to unanimously by

:44:28. > :44:30.members of the House of Commons commission. I made no bones about

:44:31. > :44:35.the fact when I responded points of order that I welcome that change,

:44:36. > :44:45.that it was a change proposed by others, and agreed by the commission

:44:46. > :44:49.chaired by me. Very briefly, Mr Speaker, I agree internally what you

:44:50. > :44:54.said about the weeks and the rest of it. I just wonder whether the

:44:55. > :44:57.procedure we have at the very beginning, despite the explanation

:44:58. > :45:02.you have given on the advice I understand of the clerk, whether you

:45:03. > :45:06.could be so altered so that there would be more emphasis on the

:45:07. > :45:11.message from the head of state from the Queen, rather than all the sort

:45:12. > :45:18.of attention to the whip coming in, and whether he will be able to march

:45:19. > :45:22.backwards without any difficulties and the rest. It doesn't give the

:45:23. > :45:27.impression of a modernised House of Commons. I am very grateful to the

:45:28. > :45:33.honourable gentleman. I have made a point before and I think most people

:45:34. > :45:39.will accept this, that change in this place comes about by Will of

:45:40. > :45:43.the house, and it is right that that should be the case. If the

:45:44. > :45:49.honourable gentleman wishes to initiate a process of attempted

:45:50. > :45:53.change, it is absolutely open to him to do so, and for the case to be

:45:54. > :46:02.argued either way. I think we will leave therefore today. We come now

:46:03. > :46:07.to the programme motion. The Minister to move? The question is

:46:08. > :46:11.the proper is on the order paper, the number

:46:12. > :46:26.two motion. Well, I allowed the scope, and the

:46:27. > :46:32.momentary weight, and the honourable gentleman has taken his opportunity.

:46:33. > :46:35.Mr Peter Bone. Mr Speaker, I just wondered if the Minister could

:46:36. > :46:43.explain why we are changing the programme motion? I am extremely

:46:44. > :46:50.grateful to the Minister for a succinct speech. She does not seem

:46:51. > :46:55.to wish to take advantage. The question is is on the order paper in

:46:56. > :47:00.respect of the programme motion. Say I? On the country say though, the

:47:01. > :47:05.ayes have it, the ayes have it. De Klerk will now proceed to be of the

:47:06. > :47:14.day. Cultural property bill not prevented in the public bill to be

:47:15. > :47:18.considered. Now. Thank you. We begin with amendment four, with which it

:47:19. > :47:26.will be convenient to debate the other amendments. The move amendment

:47:27. > :47:30.four I called Mr Kevin Brennan. Thank you very much. I rise to move

:47:31. > :47:35.amendment four which turns in my name in order to probe the

:47:36. > :47:41.government not thinking on whether digital attacks on cultural property

:47:42. > :47:43.which take a digital form would be considered as damaging cultural

:47:44. > :47:49.property under this bill. If I could just say in passing that we are

:47:50. > :47:52.broadly in support, very much in support actually, of the bill,

:47:53. > :47:57.having judges to do ourselves and sadly run out of time in the last

:47:58. > :48:02.parliament, prior to 2010, because of course this is a bill that will

:48:03. > :48:06.bring into domestic law the offence created by Article 15 of the second

:48:07. > :48:10.protocol to the 1954 Hague Convention, so it is not before time

:48:11. > :48:16.we are doing this and I am glad there are support across the house.

:48:17. > :48:21.We want to during the remaining stages just probed to make sure the

:48:22. > :48:26.government was my position is clear and on the record before the bill is

:48:27. > :48:34.sent off for its royal assent. During previous stages of debate, we

:48:35. > :48:38.had many discussions regarding the Digital reach of this legislation,

:48:39. > :48:44.considering that the original convention as I said was written in

:48:45. > :48:48.1954, with a subsequent protocol of fiercely long before the issues of

:48:49. > :48:53.digital property would have been actively considered. The government

:48:54. > :48:57.during the course of the bill has provided numerous assurances that

:48:58. > :49:01.cultural property which is in digital form could be protected, and

:49:02. > :49:06.we very much welcome the assurances that the minister gave us during

:49:07. > :49:10.committee stage to that effect. And of course if that is true it would

:49:11. > :49:15.be natural therefore if digital property itself is protected under

:49:16. > :49:20.the bill that digital attacks on that digital property would also be

:49:21. > :49:25.covered. And the purpose of this amendment is to get the government

:49:26. > :49:30.to confirm whether or not that is the case, and that our understanding

:49:31. > :49:34.of that is correct. It would not be reasonable to recognised as the tour

:49:35. > :49:41.cultural property but not digital attack upon such digital cultural

:49:42. > :49:46.property. But since this bill involves creating criminal offences,

:49:47. > :49:53.having the government's thinking on the record is very important. The

:49:54. > :49:57.government's response to a different amendment highlights the need for

:49:58. > :50:01.clarity here. In committee we debated whether the cultural emblem,

:50:02. > :50:09.which is introduced in the bill from the convention, the blue shield,

:50:10. > :50:13.which marks are a protected out, could be shown in digital form. The

:50:14. > :50:21.Minister acquired at Columbine on 15th November 2016 in committee and

:50:22. > :50:24.I quote for modern born digital material, such as films and music,

:50:25. > :50:27.in practice we would expect the emblem to be displayed on the

:50:28. > :50:32.physical object on which the material is stored, or on the

:50:33. > :50:38.building in which the physical storage object is kept. Rather than

:50:39. > :50:43.being displayed digitally. That would help to ensure that the emblem

:50:44. > :50:48.is readily visible. That is not to say that it cannot also be depicted

:50:49. > :50:53.in digital form. Now that could be interpreted potentially Mr Deputy

:50:54. > :50:57.Speaker to assume that cultural property, even that which is

:50:58. > :51:02.digital, would only be attacked in a physical sense. That is that it

:51:03. > :51:07.could be interpreted as an assumption that any attacker would

:51:08. > :51:10.be in physical proximity to the item, or in close on a physical

:51:11. > :51:17.proximity to the item to be able to see the blue shield on its casing.

:51:18. > :51:22.However, of course, in reality, digital content is more likely to be

:51:23. > :51:28.attacked by way of hacking. In which case, the question of how the blue

:51:29. > :51:34.shield could flag digital cultural property to a potential attacker is

:51:35. > :51:37.relevant. You won't see the shield on the hard drive's casing if you

:51:38. > :51:39.are hacking into a database of some