Tag: Jim Paice

  • Jim Paice – 1987 Maiden Speech in the House of Commons

    Below is the text of the maiden speech made by Jim Paice, the then Conservative MP for Cambridgeshire South-East, on 3 November 1987.

    In rising to address the House for the first time I am mindful of the honour and privilege of being a Member of it. The trepidation with which I make my first speech is tempered only by the knowledge that even the greatest statesmen who have served the country have had at some stage in their careers to rise and address the House for the first time.

    Indeed, I follow in the footsteps of a great statesman: Francis Pym represented the old constituency of Cambridgeshire and, more recently, Cambridgeshire, South-East, for some 26 years. During that time he occupied many of the highest offices in the land, and for all that time he served both his constituency and country to the very best of his ability. He did so in a way which is an example to us all, and which I shall find it very difficult to emulate over the years in which I hope to represent my constituency. It is only right and proper that Francis Pym has now taken his place in the Upper House, where his counsel can still be heard.

    The constituency that I am proud to represent includes many of the features that are at the forefront of Britain’s revival. In it have taken place, and are taking place, many of the technological developments and the advances in research that are at the forefront of our economic recovery. The enterprise culture has blossomed and boomed there perhaps more than in any other part of the country. The very atmosphere seems to breathe and encourage success. However, it is a very large constituency and, geographically, a very rural one—stretching from the Essex-Suffolk border to around Newmarket and taking in the vast majority of that great centre of the British bloodstock industry, and extending upwards into the Fens and the city of Ely, including the magnificent cathedral that makes it the centre of tourism in that part of Britain.

    However, the area has its problems. Fortunately. they are the problems of success. The pressures of development. if not handled properly, threaten to destroy the very fabric of our community. There is a further problem: the businesses that are currently booming, expanding constantly and providing massive numbers of extra jobs face an even greater threat to their continued development. The great perversity of our current economic scene is the shortage of skilled staff. That is why I am addressing myself to the Bill, and particularly to part II, which deals with training. I am sorry that much of the vehemence of the Opposition is concentrated on part I. I can only assume that they support most of the section on training, which, in my view, is of much longer-term importance to the country. I welcome the clauses on training and the greater emphasis placed on it by my right hon Friend in appointing a Training Commission.

    Before I was elected, I was general manager of a company specialising in training and management development. My duties included running a substantial youth training scheme and many other MSC schemes. I also served for a time as a member of an area manpower board, and I have seen many of the MSC schemes from different perspectives. In my view, the youth training scheme that my right hon. Friend has already developed is one of the Government’s greatest achievements over the years since they were elected in 1979. However, I have a few caveats.

    First, and probably most important, if, as we all hope, the number of young people in strict unemployment is coming down, partly because of the improving employment picture and partly because there are slightly fewer school leavers, the challenge to us all to ensure that the youth training scheme continues to develop is even greater as the necessity for it appears to diminish. The YTS is not concerned merely with keeping people out of the dole queue, which is the accusation thrown at it by those who wish it ill. More important, it is a means of ensuring that all young people who leave school at the age of 16—or, now, at 17—whatever their level of academic ability or achievement, can go into work and gain the skills that are necessary for work. That does not mean only the manual and practical skills, essential though they are. It also means the skills of working discipline—personal skills, which are equally important to holding down a job and doing it well. All those skills are vital if young people are not only to obtain jobs in the future, but to play a full and lasting role in Britain’s economy.

    Many firms and businesses with which I have been associated understand that and use YTS as the normal route of entry for 16-year-olds, not simply as a means of paying only £28.50 a week. It is, of course, open to an employer to pay any figure above that minimum, and, in my experience, many do so. The framework of YTS provides an opportunity of training in a combined programme lasting for up to two years, to ensure that when young people reach the age of 18 they have learnt many of the basic skills that will stand them in good stead for the rest of their working career. That is a good basis on which to build, and I hope that in the next few years the Training Commission will take steps to develop it into a three-year scheme. It would then compare favourably with the apprenticeship schemes that it is now replacing in many industries. It is a pity that only about 10 per cent. of trainees have formal employee status, as opposed to trainee status, and I hope that the commission will set an increase in that figure as one of its chief targets over the next few years.

    My second caveat is that we must ensure that industry takes up its own responsibilities for training. One of the sadnesses that I faced in my career, until my election, was the low level of importance attached by some industries to training. They pay considerable lip service to it, but when it is time to come up with the goods they are found wanting. That is their loss and the loss of the country and the economy.

    It is no use threatening to institute massive levies on every business so that the Government, through some different arm, can redistribute and dispense those levies as they see fit. Contrary to what we have hard, and no doubt will hear again, it just does not work. Seen from the grass roots, it is not a good use of resources. What we have to do is to encourage, persuade and cajole industry to recognise its own responsibilities for the development of its staff — to recognise that it must make a major investment, which is worth every penny. The most important investment that a company can make is in training its staff for the future.

    As the number of people on the youth training scheme declines, the Government and the Training Commission will be tempted to begin to reduce the financial input. I know that it is the Government’s policy to move the burden of training more to the employers. That is right, and is as it should be, but we must be careful to ensure that we do not go too fast too soon. We must make sure that the slack is gradually taken up by industry so that the developments that have been at the forefront of the advances in the youth training scheme in the last few years are not lost.

    Even with inflation down to its present highly satisfactory level, the costs of training, especially in rural areas, where YTS trainees can be spread over many square miles, are considerable. Like everything else, the costs keep rising and I hope that my right hon. Friend will recognise the great cost and only gradually shift the burden to the employers. The burden should be shifted, but we must not do it too quickly, because if we do something will be lost in the middle.

    My final caveat is that the development of YTS in the last few years has spawned a number of private training operators. I listened to the speech of the hon. Member for Oldham, West (Mr. Meacher), who has left the Chamber, and noted the cynical way in which he spoke about privatised training. One of the major factors in the success of the scheme has been the development of private training operators, often in competition with established colleges of further education. Many colleges succumbed to the temptation of simply tacking the YTS on to their existing courses of study. Over and over again that failed miserably, because the very ethos of YTS and its concepts of integrating work and training into a combined package and of appraisal and assessment were new and could not simply be tacked on to existing programmes.

    Fortunately, professional trainers were there, as opposed to professional educators. They were able to take up the opportunities offered and in many cases they forced colleges of further education to recognise the great differences. The colleges now understand that if they are to run the youth training scheme and provide the level of service that young people deserve and require, a rethink is necessary. The results of that rethink are now beginning to show in the efforts of many of those traditional providers.

    In the proper shifting of the burden that is bound to come, I urge my right hon. Friend to make sure that private providers are not put at risk. We have already heard expressed the great antipathy of the area manpower boards, the trade unions and the established institutional providers against the private sector. It would be a great shame if private sector competition were lost. The private sector has taken great steps towards moving the whole ethos and understanding of the skills of training forward into the future. It is not good enough for the Opposition to say that we should hark back to 1974 when the Manpower Services Commission was first developed. Today, everything to do with training is totally different, because training is a different ball game. The skill training profession has moved a whole street ahead of where it was in 1974. We must recognise that. There is no point in looking back, because in those days training did not do half the job that it professed to do.

    I welcome the clauses in the Bill to ensure that every young person will have the opportunity to train and to make a responsible choice. They will be able to go into the planned programme of training and work provided by the Government, or choose to be unemployed. The social security changes that were given their Second Reading yesterday are welcome. It is estimated that about 6 per cent. of young people refuse YTS and that about 7 per cent. pull out of the scheme because they believe that it is doing them no good. That is about 40,000 people a year, and we must try to reduce that figure. If the young people who dither and wander, or who become sceptical or disenchanted with YTS, are to be persuaded that the scheme has something to offer, we must make sure that the developments that have taken place in the last four or five years continue at the same pace.

    The opportunities are there and the importance of the YTS has not diminished even though, perhaps, its original purpose begins to fade. We must ensure that industry takes up the challenge of using YTS as the normal route for training and accepts the responsibility for gradually paying a greater share of the costs. We must ensure that young people will accept the concept of YTS as being in their best interests. We are already moving fast down those roads. If we can do those things we will have taken the first step towards ensuring that the successful, booming industries and businesses in constituencies such as mine are not continually faced with the problem of a shortage of skilled staff. Sadly, such shortages are even now beginning to hamper development. That is not in Britain’s interests, and I urge my right hon. Friend to ensure that the skills are available for the future.

  • Jim Paice – 2012 Speech at the Dairy UK Dinner

    Below is the text of the speech made by Jim Paice at the Dairy UK Dinner on the 15th June 2012.

    Thank you, as ever to Dairy UK, for the invitation to speak for the third year running. We seem to have a long-running contract despite our ups and downs.

    This last year has been quite active in the industry, regrettably some closures in hard economic times but also many investments, new ventures, take-overs and now mergers afoot.

    I will always welcome and congratulate those who have invested in the British dairy industry. It has to be a good sign for the future for British dairying that such huge sums of money are being ploughed-in.

    Isn’t this the kind of positive sign that shows at least some have got a strategic plan – and plans should bring confidence – which is so important for this industry – if you are ‘down’ you are really ‘down’ – but if you can be ‘up’, you can really be ‘up’.

    This is very different to what I inherited over 2 years ago. There was no clear, common, ground – beyond perhaps the Dairy Roadmap as it now is. As an industry you are building collaboration. We now have Dairy 2020 and I know you are edging closer to a voluntary Code of Practice.

    That was one of the challenges I laid down last year, but I’d like to look at the others first.

    I am committed through my Dairy Supply Chain Forum to get the most appropriate senior industry representatives around the table – it is the place where the industry can debate key issues with me and set the course for ‘what industry can do for itself’.

    I have been really encouraged by the commitment the industry has shown to work together since I took over and how far it has come already, with links to the growing Dairy2020 industry sustainability initiative – which I wholeheartedly support – and work on the Green Food Project which will report in July.

    However, I have also noticed how important it is to have the active engagement from everyone at the Forum if it is to develop solutions to key issues and see them delivered to secure the future of British dairying.

    A future for the hugely important UK dairy sector – it is our single largest agricultural sector, and part of our very fabric – and yet we import a quarter of our needs and we barely export our quality products.

    Why, when we have one of the best climates for grass-based production in the EU, do we have a £1.27 Billion dairy trade deficit?

    You know I have banged the table about import substitution. We’re only about 80% self sufficient and have room to expand against quota whilst it lasts for three more years. Let’s put more British products on British shelves.

    And let’s export: there are huge opportunities out there for the dairy industry – some of which I saw recently for myself in China.

    It demonstrated to me that the UK has many competitive advantages in its high quality and safe produce which is exactly what Chinese consumers want.

    Current consumption in China is just one quarter of the global average, but it is rapidly catching up. Just think what that means in terms of the extra volumes of dairy products. Yet when two of my team from the IGD visited 16 Chinese retail outlets – no UK produce. Only Dutch, Danish and Irish!

    I asked last year – what are the barriers to taking advantage of these opportunities? Over time everyone has blamed everyone but themselves. Can’t we take strength from our domestic market for liquid milk, but stop it dominating our thoughts, and use it instead as the constant from which to explore other exciting markets?

    Maybe these investments that have been going on over the last year will start to unlock some of this potential.

    Before I move to what was the key challenge, I should touch on one or two other issues of relevance to you all.

    I cannot make a speech on dairying without mentioning TB. The coalition Government committed, as part of a package of measures, to developing affordable options for a carefully managed, science-led badger control policy in areas of high and persistent levels of TB in cattle.

    But badger control is only one part of the package needed to rid us of this disease. Cattle measures are absolutely essential and it is vital that every single farmer plays their part by fully adhering to the cattle testing and movement requirements and we will come down hard on anyone who does not and who risks spreading TB within their and other people’s stock.

    Measures to reduce the risk of bovine TB being spread between cattle are to be strengthened as part of the Government’s plan to eradicate the disease in England.

    From 1 July amendments to the rules on cattle movements will come into force, alongside changes to compensation policy, including reduced payments for owners of TB affected herds with overdue tests.

    You will all be aware that the CAP reform negotiations are progressing following the publication last October of Commission’s proposals for CAP post 2013.

    We are seeking a CAP that delivers improved value for money through the provision of public goods such as protection of the natural environment and climate mitigation.

    We are also seeking a CAP that is able to increase the competitiveness of EU agriculture, with the scope to encourage a real improvement in productivity and innovation in the agriculture sector, in order to prepare for a future without income support.

    Pillar 2 plays a pivotal role in delivering environmental benefits, improving agricultural competitiveness and supporting rural vitality across the EU.

    This is why we are arguing that Pillar 2 should receive an increased share of a smaller CAP budget and should be allocated more objectively. This could open the door to funding to improve farm infrastructure and performance, to provide farm business development and advisory services and perhaps even the setting-up of producer groups.

    And whilst I speak of environmental benefits, I’ve said before how much I welcome your sector’s leadership on sustainability.  With Rio +20 coming up,  we’ve an opportunity to show how dynamic food and farming businesses are meeting the challenges of climate change and working through their supply chains to reduce emissions.  Agriculture can’t meet its aim to reduce GHGs without the active support of your businesses, and I’m counting on you within both Dairy UK and your own supply chains to collaborate and deliver on the GHG Action Plan.

    I’m confident that you’ll rise to the challenge of climate change, just as you’ve adapted and responded in your contribution to the sector’s Dairy Roadmap since it was first launched four years ago.  Continue to be a model for other sectors and other industries in both celebrating your achievements and pushing yourself further.

    The Dairy Roadmap shows the potential that exists for achieving real progress and recognition as an industry in dealing with the pressing environmental issues of the day.  I don’t know of any group that hasn’t welcomed what you’ve achieved, and I look forward to welcoming in the autumn the new goals you’ve set for yourself.

    I had also sincerely hoped to be welcoming today the adoption of your own voluntary Code of Practice on contractual relationships. I know that processor and producer representatives have met today but that you are not quite there yet.

    Whilst the EU Dairy Package brings farmers some hope of stronger contracts and bargaining power, processors fear it will unsettle the supply chain and threaten competitiveness. You will know in any case that we prefer not to legislate. Indeed under MacDonald we’re seeking to reduce the burden of legislation where possible.

    And you as processors and farmers will all know that I believe that a code of practice is the best solution to current relationship problems.

    It would allow the industry to find an agreed way forward on a number of issues which the Dairy Package will not, including the management of price changes and notice periods for contracts, which are critical to both producers and processors. The code can also deal with exclusivity of supply.

    But it cannot and will not affect prices specifically. However, it should improve the trust in your relationships to a point where you are genuinely working together.

    I am not aware of anyone disagreeing just now that a voluntary code is preferable to where we are today and is the best solution.

    I have been impressed by and would like to recognise tonight the degree of engagement and commitment that industry representatives involved in these negotiations have shown in driving this forward for themselves.

    I know that it is not easy achieving such changes at industry level, but I also recognise the need for the entire supply chain to achieve a successful outcome.

    You are not quite there yet – but I implore you all to recognise the benefit you could bring this iconic British industry if you can just reach agreement on a sensible compromise.

    We all know, from recent weeks, that market prices are a real concern – but volatility of world markets will affect both processors and farmers in the UK.

    Price peaks don’t reach us because we don’t trade enough internationally, but price drops do hit us because of the risk of cheaper imports of any tradable products – albeit we see less impact than elsewhere in the EU, thanks in particular to our strong domestic liquid market.

    But the real problem in contractual relationships isn’t the price, it is really about the terms and conditions of contracts – and particularly the manner of any changes to them which can be hard to justify.

    As I understand it, what farmers really need is a contract that is fair and a price that is more transparent. It doesn’t have to be a formula or static price – it simply has to be something they can understand, believe in and can trust.

    Farmers understand that more revenue could be secured by trading more broadly. We know farmers would love more income – but they also understand that the market in which we trade will be the major influence.

    They can however have far more say on achieving a better balance to contractual terms, but need to be realistic about what this will achieve.

    A key element which farmers seek is the ability to resign from contracts within a reasonably short timeframe, particularly in the event that they don’t like a price change.

    This room is full of milk processors. In all your time, how many of you have received resignations from farmers because of a price change?

    All of you and lots of resignations I expect. But how many of those farmers who put in their resignations actually moved?

    Very few – and why? Quite simply because the prevailing market didn’t offer them anything better to go to.

    Greater freedom to move between processors does not guarantee farmers a significantly better price. Nobody likes being told they’re going to be paid less, but ultimately, if the prevailing price goes down, are farmers going to be able to secure a better price elsewhere? Frankly, no.

    How come businesses have succeeded in keeping the vast majority of their farmers despite operating with the shortest notice periods amongst major processors?

    Given this history, I ask you – why is there so much concern about farmers changing their processors? Is it not rather more simple?

    It is a two way street – I know processors need to be able to respond to market conditions such as changes in market prices or demand, but you also need security of supply.

    Processors who treat farmers properly have nothing to worry about. And this is what you should be aiming to achieve through the voluntary Code of Practice.

    The dairy industry is important to Britain’s rural economy and the manner of recent cuts to farm gate milk prices has been a real concern for many people.

    However, in a volatile market everybody knows prices will go up and down. The key is for us to build trust and transparency, so that farmers and processors can work together and take advantage of the huge business opportunities both here and abroad.

    A voluntary code of practice will mean people having to do things slightly differently – but it will ultimately benefit the industry as a whole – and I implore all sides to make a final push and agree a workable compromise.