Contribution
I declare my interest as a member of the Union of Shop, Distributive and Allied Workers.
I am deeply concerned about the uncertainty surrounding Poundland’s future, and the impact that could have on its thousands of staff and their families, who are at the forefront of my mind, especially in the run-up to Christmas. Poundland is not currently in administration and the business continues to trade, but this is a worrying time for employees, suppliers and communities. We are establishing the facts, keeping in close contact with those involved and monitoring developments closely.
The Secretary of State and I continue to engage closely on this issue. We have met and are in ongoing contact with the trade union USDAW, which I know is extremely concerned about the jobs and livelihoods of its members, and I thank it for its work and engagement. We will be meeting Barry Williams, the managing director of Poundland, this week. Earlier this week, officials met Gordon Brothers, and the Secretary of State is due to meet it to continue to press our concerns and establish the facts. However, there are ongoing commercial negotiations concerning this private business, and it would not be appropriate for the Government to seek to influence the outcome or comment on the merits of individual bids.
The owners should act in the best interests of their loyal UK staff and stores. We want the best possible outcome for Poundland’s workforce and the future of the business. The 12,000 staff and many thousands of suppliers are at the forefront of our minds, and we want to see an outcome that protects as many jobs as possible and keeps as much of the business trading as possible. The Government stand ready to ensure that affected employees can access the appropriate support, should it be needed.
The Prime Minister has set out his aspiration to bring good growth to every postcode, including by making high streets a new symbol of Britain’s renaissance. Last week, the Government published our high streets strategy, which goes further and sets out the principles for high street success, practical support for businesses with the business rates system and more policies to support vibrancy and footfall. That includes establishing a “high streets first” principle to ensure that public estate locations drive footfall and opportunities to co-locate public services.
The fundamentals for doing business in the UK are strong. Our economic strategy to deliver growth is investment across the public and private sectors and in every postcode. Our industrial strategy, trade strategy, small business strategy and plan to make work pay address long-standing barriers to growth. Retail is vital to employment and the economy, and we recognise that the sector has been through a significant period of change. We want all types of retail to thrive, now and in the future, so we are working closely with businesses to understand what they need to succeed and grow. The Minister for Employment and I are providing a briefing for Members of Parliament in this House this afternoon on the support available to employees who may be impacted.
I want to emphasise that in the event that a retail company enters administration, my officials will work, where appropriate, with the administrators, the Department for Work and Pensions, the Insolvency Service and local partners to ensure that appropriate support is available to affected employees. We stand ready to support them if they need to move into new employment. However, our priority is always protecting jobs, and the Secretary of State and I will continue to engage with the company to secure the best possible outcome.