Small Firms
House of Commons debates, 13 July 2001, 11:59 am

Mr Khalid Mahmood (Birmingham, Perry Barr, Labour)
Thank you, Madam Deputy Speaker, for calling me to make my maiden speech. I congratulate my hon. Friends the Members for West Bromwich, East (Mr. Watson) and for Dagenham (Jon Cruddas) and Annabelle Ewing, who is just leaving the Chamber, on their excellent maiden speeches.
I want to say a few words about my predecessor, Jeff Rooker. Before his retirement from this House, Jeff served as the Member for Perry Barr for 27 years. While I was campaigning, it became obvious how popular he was; he still has the great respect of many thousands of his former constituents. As the House knows, Jeff served the previous Labour Government as a senior Minister and, as a Member of another place, continues to serve the present Government. He will be a hard act to follow, and I wish him well in the other place.
My constituency is very much part of the fabric of the city of Birmingham. It is a large urban constituency which runs from a few hundred yards from the Hawthorns, the home of West Bromwich Albion, right down to Villa Park, the home of Aston Villa. It is also the home of the Perry Barr and Alexandra stadiums—the first for canine runners chasing hares, and the second for human runners chasing medals, where Birchfield Harriers produce many successes.
In many respects my constituency has prospered, thanks to Government initiatives, including the new deal. Because of the prudent running of the economy, unemployment has fallen considerably. However, there remain pockets of stubborn deprivation that need to be targeted with special initiatives. I welcome the new deal for communities in Handsworth and the single regeneration projects in both the Handsworth and the Sandwell wards.
There is another example of a place where special help involving a multi-agency approach could succeed by piloting special initiatives: the Perry Villa estate in my constituency. About 300 families live on the estate. Unemployment is higher than average. There is a high perception of crime, a lack of skills and a poor environment. We have set up a residents association, but we now need help to improve housing, set up play areas for children, give people opportunities to learn new skills, and reduce the fear of crime. That can be achieved only by a multi-agency approach, with the health authority, local businesses, the city council, further education institutions and the police—but above all, the community—all having their say. We must break down artificial agency barriers and work in a more integrated way.
Another example is the approach made to me by the Rookery road traders association. The traders very much want to play a part, working with local agencies, in improving that urban shopping area. However, like Perry Villa, they need help. The will of the people is there, but we need help from the bottom up for these initiatives to work. Let us give more and more encouragement to local people to improve their lives and environment with the help of joined-up local and national government.
There are many pensioners living in Perry Barr. Labour's first term did much for pensioners, with the minimum income guarantee, winter fuel allowances, the reduction of VAT on home energy and free television licences for the over-75s.
My constituency and Birmingham as a whole contain a huge number of small businesses, ranging from local newsagents run by families to small and medium-sized manufacturing companies. Although the city is synonymous with large industries—in particular, car manufacturing—Birmingham has, for more than a century, been a cradle of small businesses. Obviously, there are far fewer metal-bashing based companies now, but my constituency can boast of many new 21st-century businesses. It is still true today to say, "If it is not made in Birmingham, it is not made anywhere."
Small businesses in Birmingham are benefiting from new and more relevant support arrangements. The Small Business Service, working with the city council's economic development department, is leading in the provision of support to new and existing businesses. Small businesses need clear, usable support. They need access to help in developing financial and payroll systems, clarity in tax matters and in health and safety and environmental legislation, and simple and usable advice on grants and other start-up support.
A fresh spirit of enterprise exists in my constituency, and established businesses are being supported in better ways. In Perry Barr we have a business park, which extends over nearly a square mile, where growing companies are locating and state-of-the-art buildings provide the kind of accommodation that modern companies need.
Birmingham has the largest employment zone in the United Kingdom, and better links and pathways are being provided to get people into jobs. We must support our traditional manufacturers in engineering and the sectors that actually make things. Because of the current challenging market conditions and the need to improve productivity to global levels, we must ensure that the race to modernise and diversify our economy does not leave those firms behind. We must ensure that skills are further developed among our workers, in partnership with management, to meet the challenge of competition.
I applaud the work of our local universities in reaching out to businesses in new and relevant ways. The university of Central England at Perry Barr, together with those at Aston and Birmingham, has been showing the way, in partnership with the city council and the regional development agency, in providing first-class support to adopt new technologies. However, some sectors seem slow to adapt. The lesson is clear: we must help our businesses to take on board new technologies and economic change in a faster, better and smarter way. That involves building on the approaches that work best for our local businesses.
We have many examples of clusters of businesses, such as jewellery and new media. The design space 2000 project at our local university—UCE—is an example to the country of intelligent and joined-up working, with business, education and local government all working together in new fruitful ways.
I welcome the establishment of the Phoenix fund for Birmingham, which particularly focuses on women and support for ethnic minority groups. I hope that the Government's new initiative on the neighbourhood renewal fund, announced by the Minister for Housing and Planning recently, will be targeted, in part, towards helping small businesses to improve the quality of their outlets and workplaces.
Although this debate on small businesses is taking place at the end of the parliamentary week, I trust that that does not undermine its importance. Small businesses are vital to the economy of my city and to the country at large.
Today is Friday the 13th, so some may think that I am chancing my luck by speaking in the House on this day and date, but I cannot be that unlucky, as I was born 40 years ago. Some may say that life begins at 40; certainly my parliamentary life does. To represent Perry Barr in the House is a great honour, especially because from the age of nine I—like many of my good friends, such as Lord Hattersley and the former city leader, Sir Richard Knowles—have been an adopted Brummie. I hope that I can emulate them and achieve a fraction of what they achieved in their many years of service to the city.
There is another adopted Brummie to whom I owe so much—my late father, who came to the city in the late 1940s. My elation at being elected to Parliament for a seat in the city that so readily adopted me was tempered with sadness, because he did not live to see that day. I hope that I can honour him by serving my constituents with humility and determination in the years to come.
