Jim McMahon

The fact is that those of us who believe in co-operatives as a movement and as a principle get it, but we can be quite selfish about it, and we quite enjoy co-operatives and mutuals being the best-kept secret in the UK economy. Well, I am sick and tired of their being a secret and I want them to be mainstream. When somebody is setting up a business in this country, I want them to look at co-operatives and say, “That is the obvious choice for us and for our community.” I do not want co-operatives to be a sideline any more. That is why co-operative development agencies and the whole of Government approach are important. It is also why education, access to finance, the surrounding legislation and, of course, creating a level playing field so that co-operatives can thrive are all important, too. We need to mainstream the idea of co-operatives and spread it out. If we do that, the economy will benefit even more, because co-operatives are more resilient and survive longer than many other businesses, and they return more to the UK economy, which can be reinvested in the community. The barriers to co-operatives are well known; my hon. Friend the Member for Leeds Central and Headingley (Alex Sobel) touched on some of them in his intervention. There is difficulty in accessing finance; obviously, there are issues around equity investment and the barriers that exist there. There is an outdated and fragmented legal framework, and there is limited awareness of co-operatives among banks, businesses and advisers, and even in Government itself. So, I would be grateful if the Minister, when he responds to the debate, could update us on Government plans: first, to progress the Mutual and Co-operative Sector Business Council; secondly, to work to improve access to finance for co-operatives; thirdly, the Government’s response to the Law Commission’s review of the Co-operative and Community Benefit Societies Act 2014; and finally, the plan to establish the co-operative development agency within Government. Beyond that, on building societies and credit unions, we need action on the Building Societies Act 1986 (Amendment) Bill, on fair limits for individual savings accounts or ISAs, and on reforming the common bond, so that more people can join building societies and credit unions. On community ownership, we need clarity about the future of the Community Ownership Fund, so that local people can secure the assets that matter to them the most. On housing, co-operative models must play their part in delivering the Government’s promised ambition for 1.5 million new homes by providing homes that people do not just live in, but have a stake in. On agriculture, we should recognise that food security is national security, and support co-operation among farmers in the same way as the US Government do. This is about delivering a level playing field and doing what is needed to deliver on Labour’s pledge to double the size of the sector. Growth is critical, but growth must be shared by everyone who contributes, in every community across the country. The co-operative model was born when ordinary people said that enough was enough, chose to build something better for themselves and their community, and recognised the benefit of the shared dividend that would follow. That same spirit of collective action is exactly what our country needs again. Last week, alongside Joe Fortune from the Co-operative party and Paul Gerrard from the Co-operative Group, I joined the Co-operative Group’s national members’ council in Manchester, chaired by Denise Scott-McDonald. The sense of purpose, partnership and hope was absolutely inspiring. People across the country want to do more to collaborate and to create new enterprises, not because it is fashionable but because it is instinctive to them. Let us make this the decade when co-operation again becomes a defining force in rebuilding Britain from the bottom up: politics done with people, as it always should be.