My intervention in the Subsidy Control Bill

Rt Hon Sir John Redwood MP (Wokingham) (Con): Would it not in future be possible for the Government, when offering a subsidy to companies, to specify that they need to meet certain labour standards so that the subsidies regime would apply?

Paul Scully, Parliamentary Under-Secretary of State, Department for Business, Energy and Industrial Strategy: Again, that is up to the public authorities. The whole point about this regime is that it is a loose, permissive framework, rather than something more onerous which adds layer upon layer to recreate the EU state aid system. None the less, I would expect that, again, because of value for money and good governance, any public authority, whether national Government, local government or another public body, would expect to have exactly that kind of criteria—

 

Comment A lack of clarity over the  terms of public procurement

 

8 Comments

  1. Shirley M
    April 28, 2022

    Is it true that P&O are due to receive huge grants from the UK relating to free ports? If true, then I hope those grants can be withdrawn. Will we be told or will £m be given to P&O and not a word mentioned?

  2. Narrow Shoulders
    April 28, 2022

    I fear you are barking up the wrong tree here Sir John.

    If the checks you require were introduced it would be more box ticking on an online form that no one checks. If you stipulate that no company found guilty of malpractice towards employees is eligible then you may catch companies who have not been malevolent in their treatment of staff but have fallen foul of a single zealous tribunal. If you rely on online tick boxes then then malicious employers can just tick “No”.

  3. Narrow Shoulders
    April 28, 2022

    Better, as Covid subsidies demonstrated well, to concentrate on checking if the companies exist.

    Government intervention is an invitation for fraud.

  4. Nottingham Lad Himself
    April 28, 2022

    Well said, Sir John, a very important question.

    It would appear that its point was ignored, therefore.

  5. a-tracy
    April 28, 2022

    Hold on Mr Paul Scully “that is up to the public authorities” we are regularly told by NLH etc on this blog that the public authorities just do as they are told by Ministers. It is not the public authorities’ decision it is a government decree that is to be followed and having ministers that think like Mr Scully is part of the problem. You set the standards, you are the people judged if things go wrong not the public authorities. Just because you think quangos are there to take the heat off you they don’t!

  6. glen cullen
    April 28, 2022

    If, as its being reported, that the sales and current demand for EVs is increasing month on month why do they need a taxpayer subsidy

  7. alan jutson
    April 28, 2022

    I would have thought it par for the course that any organisation receiving Government money was a bonafide organisation, operating within all known and sensible rules and protocols.
    Has this not been the case?

    1. Narrow Shoulders
      April 28, 2022

      (:

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