Session 2014 - 15
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Other Bills before Parliament


 
 

Public Bill Committee:                               

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, continued

 
 

(b)    

permitting finance platforms to charge fees to small and medium

 

sized businesses.

 

(9)    

The regulations must make provision for the designation of banks and

 

finance platforms by the Treasury, and the regulations may in particular

 

provide for—

 

(a)    

conditions that must be met for a bank or finance platform to be

 

designated;

 

(b)    

considerations that the Treasury may take into account before

 

deciding whether to designate a bank or finance platform;

 

(c)    

the Treasury to consider the advice of another person before

 

making a designation;

 

(d)    

the procedure for designating a bank or finance platform;

 

(e)    

how the list of designated banks and finance platforms must be

 

published;

 

(f)    

the revocation of a designation.

 

(10)    

In this section “specified” means specified or described in the

 

regulations.”

 

Member’s explanatory statement

 

This new clause enables the Treasury to make regulations requiring certain banks to pass

 

information about small and medium sized businesses which make unsuccessful applications for

 

credit to online platforms, and requiring those platforms to share the information with finance

 

providers. The provision of information would be subject to the agreement of the business.

 


 

Matthew Hancock

 

Jo Swinson

 

NC2

 

To move the following Clause—

 

“Sections 4 to 5: interpretation

 

(1)    

For the purposes of sections 4 to 5, a business is a small or medium sized

 

business if—

 

(a)    

it has an annual turnover of less than £25 million,

 

(b)    

it carries out commercial activities,

 

(c)    

it does not carry out regulated activities as its principal activity,

 

and

 

(d)    

it is not owned or controlled by a public authority.

 

    

Regulations under those sections may make further provision for the

 

purposes of determining which businesses they apply to (including

 

provision about the calculation of turnover and the determination of

 

control).

 

(2)    

In sections 4 to 5 and this section—

 

“designated bank” means a bank that has been designated by the Treasury

 

by virtue of section 4(7) or (Small and medium sized businesses:

 

information to finance platforms)(9);

 

“designated credit reference agency” means a credit reference agency that

 

has been designated by the Treasury by virtue of section 4(7);


 
 

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, continued

 
 

“designated finance platform” means a finance platform that has been

 

designated by the Treasury by virtue of section (Small and medium sized

 

businesses: information to finance platforms)(9);

 

“finance platform” means a person that provides a service for the exchange

 

of information between finance providers and businesses that require

 

finance;

 

“finance provider” means a body corporate that lends money or provides

 

credit, or arranges or facilitates the provision of debt or equity finance, in

 

the course of a business (and regulations under sections 4 and (Small and

 

medium sized businesses: information to finance platforms) may make

 

further provision for the purpose of determining which finance providers

 

they apply to);

 

“public authority” has the same meaning as in the Freedom of Information

 

Act 2000 (see section 3 of that Act);

 

“regulated activities” has the same meaning as in the Financial Services and

 

Markets Act 2000 (see section 22 of that Act);

 

“subordinate legislation” has the same meaning as in the Interpretation Act

 

1978 (see section 21 of that Act).

 

(3)    

The Treasury may by regulations change the figure for the time being

 

specified in subsection (1)(a).

 

(4)    

Before making regulations under subsection (3) the Treasury must

 

consult such persons as they consider appropriate.

 

(5)    

Regulations under subsection (3) are subject to negative resolution

 

procedure.”

 

Member’s explanatory statement

 

This new clause defines terms used in clauses 4, 5, the new clause in amendment NC1 and this new

 

clause.

 


 

Matthew Hancock

 

Jo Swinson

 

NC3

 

To move the following Clause—

 

“Small and micro business regulations: further provision

 

(1)    

The small and micro business regulations may make provision—

 

(a)    

about the calculation of the headcount of staff, turnover and

 

balance sheet total of an undertaking, including provision about

 

the period (“assessment period”) in respect of which they are to

 

be calculated;

 

(b)    

for the headcount of staff, turnover and balance sheet total, or a

 

proportion of such, of any undertaking which satisfies such

 

conditions as may be prescribed in relation to another

 

undertaking (the “principal undertaking”) to be treated as part of

 

the principal undertaking’s headcount of staff, turnover and

 

balance sheet total.

 

(2)    

Conditions which may be prescribed under subsection (1)(b) include, in

 

particular, conditions relating to—


 
 

Public Bill Committee:                               

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, continued

 
 

(a)    

the extent of ownership (whether direct or indirect) of one

 

undertaking by one or more other undertakings;

 

(b)    

the degree of control exercised (whether directly or indirectly)

 

by one or more undertakings over another.

 

(3)    

The small and micro business regulations may make provision about—

 

(a)    

the assessment period or periods in respect of which an

 

undertaking must meet the small business size conditions or the

 

micro business size conditions in order to be a small business or

 

(as the case may be) micro business;

 

(b)    

the circumstances in which an undertaking which has been

 

established for less than a complete assessment period is to be

 

regarded as meeting the small business size conditions or the

 

micro business size conditions.

 

(4)    

Provision made by virtue of subsection (3) may, in particular, provide

 

that—

 

(a)    

an undertaking is a small business or a micro business if it meets

 

the relevant size conditions in respect of each of its two most

 

recent assessment periods;

 

(b)    

where there has been only one complete assessment period since

 

an undertaking was established, the undertaking is a small

 

business or a micro business if it meets the relevant size

 

conditions in respect of that period;

 

(c)    

an undertaking which is a small business or a micro business

 

does not cease to be such unless it fails to meet the relevant size

 

conditions in respect of two consecutive assessment periods.

 

(5)    

The small and micro business regulations may make provision for one

 

undertaking (“undertaking A”) which satisfies such conditions as may be

 

prescribed in relation to another undertaking (“undertaking B”), to be

 

treated as being undertaking B (whether or not undertaking B is still in

 

existence) for such purposes as may be prescribed.

 

(6)    

Conditions which may be prescribed under subsection (5) include, in

 

particular, conditions relating to—

 

(a)    

the transfer of a business from undertaking B to undertaking A;

 

(b)    

the carrying on by undertaking A of a business on undertaking B

 

ceasing to carry on the activities, or most of the activities, of

 

which the business consists in consequence of arrangements

 

involving both undertakings;

 

(c)    

the existence of some other connection between undertaking A

 

and undertaking B.

 

(7)    

The purposes which may be prescribed under subsection (5) include, in

 

particular—

 

(a)    

determining the date on which undertaking A was established

 

(and so the number of assessment periods there have been since

 

it was established);

 

(b)    

determining which periods are assessment periods in respect of

 

undertaking A;

 

(c)    

calculating the headcount of staff, turnover and balance sheet

 

total of undertaking A.


 
 

Public Bill Committee:                               

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, continued

 
 

(8)    

The small and micro business regulations may provide that an

 

undertaking of such description as may be prescribed is not a small

 

business or a micro business even if it falls within the relevant definition.

 

(9)    

In this section—

 

“micro business size conditions”, “small business size conditions” and

 

“undertaking” have the same meanings as in section 30;

 

“prescribed” means prescribed in the small and micro business regulations.”

 

Member’s explanatory statement

 

This new clause sets out the permitted content of regulations under amendments 22 and 23

 

supplementing the definitions of “small” and “micro” business. This includes provision about

 

calculating staff headcount, turnover and balance sheet totals, aggregating data of connected

 

undertakings, assessment periods, anti-avoidance and exceptions.

 


 

Toby Perkins

 

Mr Iain Wright

 

Ian Murray

 

NC4

 

To move the following Clause—

 

“Government impact on small business performance: duty to report

 

(1)    

The Secretary of State must provide for the making of an annual report to each

 

House of Parliament setting out steps the Government has taken to support British

 

small and medium-sized businesses over the previous 12 months.

 

(2)    

The statement mentioned in subsection (1) must be made no more than 10 sitting

 

days before, or after, the end of each financial year following the coming into

 

force of this Act.”.

 

Member’s explanatory statement

 

Clause 14 gives the Secretary of State a duty to report on progress towards achieving the objective

 

in clause 13. This new clause builds on this principle by creating a new duty on the Secretary of

 

State to report to Parliament on what the Government has done to support British small and

 

medium-sized businesses.

 


 

Toby Perkins

 

Mr Iain Wright

 

Ian Murray

 

Debbie Abrahams

 

NC5

 

To move the following Clause—

 

“Companies: dealing with suppliers

 

(1)    

The Secretary of State may make regulations—

 

(a)    

imposing a limit on the number of days after receipt of a supplier’s

 

invoice a company can seek to challenge that invoice;

 

(b)    

prohibiting the practice of a company seeking to change the payment

 

terms of a supplier company unilaterally; and


 
 

Public Bill Committee:                               

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, continued

 
 

(c)    

prohibiting a company from requiring a supplier company to make a

 

payment in order to join that company’s list of suppliers.

 

(2)    

The regulations may make provision for a prescribed breach by a prescribed

 

description of person of a requirement or prohibition imposed by the regulations

 

to be an offence punishable on summary conviction—

 

(a)    

in England and Wales by a fine;

 

(b)    

in Scotland or Northern Ireland, by a fine not exceeding level 5 on the

 

standard scale.

 

(3)    

The regulations may specify the size of company and supplier company to which

 

they will apply.

 

(4)    

Before making regulations under this section the Secretary of State must consult

 

such persons as the Secretary of State considers appropriate.

 

(5)    

Regulations under this section are subject to the affirmative resolution procedure.

 

(6)    

For the purposes of this section—

 

“company” has the meaning given by section 1(1) of the Companies Act

 

2006;

 

“prescribed” means prescribed by the regulations.”.

 

Member’s explanatory statement

 

This new clause gives the Secretary of State new regulation-making powers to impose a limit on

 

the number of days after the receipt of a supplier’s invoice a company may challenge that invoice,

 

to prohibit companies from seeking to change the payment terms of a supplier company

 

unilaterally or requiring supplier companies to pay to join that company’s list of suppliers.

 

 

Order of the House [16 July 2014]

 

That the following provision shall apply to the Small Business, Enterprise and

 

Employment Bill—

 

Committal

 

1.    

The Bill shall be committed to a Public Bill Committee.

 

Proceedings in Public Bill Committee

 

2.    

Proceedings in the Public Bill Committee shall (so far as not previously

 

concluded) be brought to a conclusion on Thursday 6 November 2014.

 

3.    

The Public Bill Committee shall have leave to sit twice on the first day on

 

which it meets.

 

Consideration and Third Reading

 

4.    

Proceedings on Consideration shall (so far as not previously concluded) be

 

brought to a conclusion one hour before the moment of interruption on the

 

day on which those proceedings are commenced.

 

5.    

Proceedings on Third Reading shall (so far as not previously concluded) be

 

brought to a conclusion at the moment of interruption on that day.

 

6.    

Standing Order No. 83B (Programming committees) shall not apply to

 

proceedings on Consideration and Third Reading.

 

Other Proceedings

 

7.    

Any other proceedings on the Bill (including any proceedings on

 

consideration of Lords Amendments or on any further messages from the

 

Lords) may be programmed.


 
 

Public Bill Committee:                               

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, continued

 
 

 

Order of the Committee [14 October 2014]

 

That—

 

(1)  

the Committee shall (in addition to its first meeting at 8.55 am on Tuesday 14

 

October) meet—

 

(a)  

at 2.00 pm on Tuesday 14 October; 

 

(b)  

at 11.30 am and 2.00 pm on Thursday 16 October;

 

(c)  

at 8.55 am and 2.00 pm on Tuesday 21 October;

 

(d)  

at 11.30 am and 2.00 pm on Thursday 23 October;

 

(e)  

at 8.55 am and 2.00 pm on Tuesday 28 October;

 

(f)  

at 11.30 am and 2.00 pm on Thursday 30 October;

 

(g)  

at 8.55 am and 2.00 pm on Tuesday 4 November;

 

(h)  

at 11.30 am and 2.00 pm on Thursday 6 November;

 

(2)  

the Committee shall hear oral evidence in accordance with the following

 

Table:

 

TABLE

 

Date

Time

Witness

 
 

Tuesday 14 October

Until no later than

Confederation of British

 
  

10.15 am

Industry; Federation of Small

 
   

Businesses; British Chambers of

 
   

Commerce; Institute of

 
   

Directors

 
 

Tuesday 14 October

Until no later than

Thompsons Solicitors

 
  

10.45 am

  
 

Tuesday 14 October

Until no later than

Forum of Private

 
  

11.25 am

Business; Institute of Credit

 
   

Management

 
 

Tuesday 14 October

Until no later than

The Law Society

 
  

2.30 pm

  
 

Tuesday 14 October

Until no later than

GMB; Unison; Unite

 
  

3.15 pm

  
 

Tuesday 14 October

Until no later than

Toynbee Hall; Met Police

 
  

3.45 pm

International Corruption

 
   

Division

 
 

Tuesday 14 October

Until no later than

Trades Union Congress;

 
  

4.15 pm

Chartered Institute of Personnel

 
   

and Development

 
 

Thursday 16 October

Until no later than

British Beer and Pub

 
  

12.30 pm

Association; Association of

 
   

Licensed Multiple Retailers;

 
   

Campaign for Real Ale; Fair

 
   

Pint

 
 

Thursday 16 October

Until no later than

Ofsted

 
  

1.00 pm

  
 

Thursday 16 October

Until no later than

R3: Association of Business

 
  

2.30 pm

Recovery Professionals

 
 

Thursday 16 October

Until no later than

Family and Childcare Trust;

 
  

3.15 pm

National Day Nurseries

 
   

Association; National

 
   

Association of Head Teachers

 
 

Thursday 16 October

Until no later than

Department for Business,

 
  

4.00 pm

Innovation and Skills; Her

 
   

Majesty‘s Treasury

 

 
 

Public Bill Committee:                               

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, continued

 
 

(3)  

proceedings on consideration of the Bill in Committee shall be taken in the

 

following order: Clauses 1 to 35; Schedule 1; Clauses 36 to 66; Schedule 2;

 

Clauses 67 to 70; Schedule 3; Clauses 71 to 73; Schedule 4; Clauses 74 to 82;

 

Schedule 5; Clauses 83 to 85; Schedule 6; Clauses 86 to 99; Schedule 7;

 

Clause 100; Schedule 8; Clauses 101 to 121; Schedule 9; Clauses 122 to 132;

 

Schedule 10; Clauses 133 to 149; new Clauses; new Schedules; remaining

 

proceedings on the Bill;

 

(4)  

the proceedings shall (so far as not previously concluded) be brought to a

 

conclusion at 5.00 pm on Thursday 6 November.

 

 

NOTICES WITHDRAWN

 

The following Notices were withdrawn on 17 October 2014:

 

Amendment 38.

 


 
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