Sarah Olney

Sarah Olney

Liberal Democrat — Richmond Park

Speaking in the House of Commons on 21 October 2025

Debate

Co-operative Sector: Government Support

Contribution

That is really good to hear, as it is a good example of how the co-operative movement promotes innovation, particularly in promoting wider social participation. However, the fact that we have to have innovative schemes driven by the co-operative sector points to the challenges that so many people find in using the apprenticeship levy. The Liberal Democrats would like to see a much broader range of potential uses for the apprenticeship levy, which would benefit the co-operative sector as well as the rest of the economy. More broadly, co-operatives, like many other kinds of business across the country, are struggling under decisions made by the Government, such as the increase in national insurance contributions imposed at the last Budget. Small businesses in particular have been left struggling under the heavy burden of this jobs tax. The Government must take steps to support those businesses, which are at the centre of communities and local economies. Thousands of local businesses, including many in the co-operative sector, which often provide community services, are feeling the damaging impact of the national insurance increase and many other changes. That is why I and all my Liberal Democrat colleagues have repeatedly called on the Government to reverse the employer NICs increase and will continue to campaign for them to scrap that damaging policy. We also call on the Government to introduce vital reform to the business rates system. In 2019, the Conservative Government promised a fundamental review of business rates, but they failed to deliver it. Labour pledged in its manifesto to replace the system, but still no action has been taken. A year into Labour’s time in the power, will the Minister say whether the Government plan to keep their word on that commitment? Critically, as we look at measures that will boost growth, the Liberal Democrats will continue to be proud advocates for a closer relationship with Europe. Liberal Democrats want to see a bespoke UK-EU customs union to reduce red tape and allow all businesses the freedom to grow without heavy regulation and huge export costs. The co-operative sector generates a combined annual income of £42.7 billion. Its significant contribution to the economy and defiance of current business trends highlights its resilience and stability in a challenging economic landscape. In 2025 there are 7,400 co-operatives in the UK, with 16.6 million memberships, employing around 240,000 people. I am glad that in my constituency of Richmond Park, co-operative enterprises exist not only for the services that they provide, but as community spaces to bring people together. I thank the hon. Member for Oldham West, Chadderton and Royton for securing the debate and hope the Government will go further in supporting the co-operative sector.

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