PARLIAMENTARY DEBATE
Levelling Up - 2 February 2022 (Commons/Commons Chamber)
Debate Detail
The White Paper we are publishing today sets out our detailed strategy to make opportunity more equal and to shift wealth and power decisively towards working people and their families. After two long years of covid, we need to get this country moving at top speed again. We need faster growth, quicker public services and higher wages, and we need to allow overlooked and undervalued communities to take back control of their destiny.
While talent is spread equally across the United Kingdom, opportunity is not. Our country is an unparalleled success story, but not everyone shares in it. The further a person is from one of our great capitals—whether it is London, Edinburgh, Cardiff or Belfast—the tougher life can be. For every local success, there is a story of scarring and stagnation elsewhere, and that must change. We need to tackle and reverse the inequality that is limiting so many horizons and that also harms our economy. The gap between much of the south-east and the rest of the country in productivity, in health outcomes, in wages, in school results and in job opportunities must be closed. This is not about slowing down London or the south-east, or damping down animal spirts, but rather about turbocharging the potential of every part of the UK. This country will not achieve its full potential until every individual and community achieves everything of which they are capable. Our economy has been like a jet propelled by only one engine, now we need to fire up every resource that we have.
The economic prize from levelling up is potentially enormous. If underperforming places were levelled up towards the UK average, unlocking their full potential, this could boost aggregate UK GDP by tens of billions of pounds each year. So, how do we achieve success? First, we do so by backing business. The economic growth that we want to see across the UK will be generated by the private sector, by businesses and entrepreneurs investing, innovating, taking risks and opening new markets. We will support them every step of the way, by cutting through the red tape, by making it easier to secure investment and, as our White Paper today outlines, by creating the right environment on the ground for business.
As the Chancellor laid out in our Plan for Growth, we need to invest in science and innovation, improve infrastructure and connectivity, and extend educational opportunity to underpin economic success. This White Paper makes clear our commitment to improve education, investment and connectivity fastest in those parts of the country that have not had the support that they needed in the past. We have set out clear, ambitious missions, underpinned by metrics by which we can be held to account to drive the change that we need.
On productivity, science and innovation, our mission one is that, by 2030, we pledge that pay, employment and productivity will have risen in every area of the UK, with each containing a globally competitive city; closing the gap between top performing areas and the rest. Mission two will see a massive increase in domestic public investment in research and development outside the greater south-east, increasing by at least a third in the next three years, and we will use the shift in resources to leverage private sector investment in the areas that need it most.
On infrastructure and connectivity, we will have better local transport, bringing the rest of the country closer to the standards of London’s transport system. We will also improve digital connectivity, with billions of pounds of investment, bringing nationwide gigabit-capable broadband and 4G coverage to the whole UK, and we will expand 5G coverage to the overwhelming majority of the population.
On education and skills, we will effectively eradicate illiteracy and innumeracy, with investment in the most-underperforming areas of the country. There will be 55 new education investment areas in England alone, driving school improvement in the local authorities where attainment is weakest. Our sixth mission is to have new high quality skills training, targeted at the lowest skilled areas, with 200,000 more people completing high quality skills training annually.
We know that, to achieve these missions, we will need smart, targeted, Government investment. That is why we are investing more than £20 billion in research and development to create a science and technology superpower. Today, we are allocating £100 million specifically to three new innovation accelerators in the west midlands, Glasgow and Greater Manchester. It is also why we are investing £5 billion in bus services and active travel, with new bus investment today in all our mayoral combined authorities and the green light for bus projects in Stoke-on-Trent, Derbyshire, Warrington and across the country. It is also why we are investing in new academies, new free schools and new institutes of technology. Today, we are establishing a new digital UK national academy—just as the UK established the Open University to bring higher education to everyone, we are making available to every school student in the country high quality online teaching, so geography is no barrier to opportunity.
We will also use the freedoms that we now have outside the EU to reform Government procurement rules to ensure that the money that we spend on goods and services is spent on British firms and British jobs. We will unashamedly put British workers first in the global race for investment. Economic opportunity, spread more equally across the country, is at the heart of levelling up, but levelling up is also about community as well. It is about repairing the social fabric of our broken heartlands, so that they can reflect the pride we feel in the places we love. That is why we are investing in 20 new urban regeneration projects, starting in Wolverhampton and Sheffield and spreading across the midlands and the north, with £1.8 billion invested in new housing infrastructure to turn brownfield land into projects across the country like Stratford and King’s Cross in London.
By regenerating the great cities and towns of the north, we can relieve the pressure on green fields and public services in the south. A more productive, even prouder and faster-growing north helps improve quality of life and wellbeing in the south, which is why we are refocusing housing investment towards the north and midlands.
Our housing mission is clear: we will give renters a secure path to greater home ownership, we will drive an increase in first-time buyers and we will deliver a tough focus on decent standards in rented homes. A new £1.5 billion levelling-up home building fund will give loans to small and medium-sized builders to deliver new homes, the vast majority of which will be outside London and the south-east. Our housing plans will set a decent minimum standard that all rented properties must meet.
Our White Paper this spring will include plans to cut the number of poor-quality rented homes by half, address the injustice of “no fault” evictions and bear down on rogue landlords, thereby improving the life chances of children and families up and down the country.
We will also take action in law to tackle the problem of empty properties and vacant shops on our high streets. Building on the work of my hon. Friend the Member for Stoke-on-Trent North (Jonathan Gullis), we will ensure that properties cannot remain unloved and unused for months, dragging down the whole high street. Instead, we will put every property to work for the benefit of the whole community.
Also central to improving quality of life for all will be further investment in sport, culture, nature and young people. That is why we are investing £230 million extra in grassroots football and using the community ownership fund to help fans take back control of clubs such as Bury FC. It is also why every extra penny of Arts Council spending will now be allocated outside London, from celebrating ceramics in Stoke to supporting pride in British history in Bishop Auckland. There will also be another £30 million allocated to improving parks and urban green spaces, as well as plans to re-green all of our green belt.
We will also invest an additional £560 million in activities for young people, and we will invest in reversing health disparities, tackling obesity and improving life expectancy. We will also ensure that the communities in which we are investing are safer and more orderly. Fighting crime and antisocial behaviour is essential to giving communities new heart, so we will invest an additional £150 million in our safer streets fund and ensure that those who drag down our communities through vandalism, graffiti and joyriding pay back their debt to those communities. They will be set to work on improving the environment, cleaning up public spaces, clearing away the drug debris in our parks and streets and contributing to civic renewal.
Critical to the success of our missions will be giving communities not just the resources but the powers necessary to take back control. That is why our White Paper sets out how we will shift more power away from Whitehall to working people. We will give new powers to outstanding local leaders such as Andy Street and Ben Houchen—[Interruption]—and, indeed, Dan Jarvis. We will create new Mayors where people want them, we will give nine counties including Derbyshire and Durham new powers as trailblazers in a programme of county deals and we will strengthen the hand of local leaders across the country.
We will also take back control of the money that the EU used to spend on our behalf, ensuring that local areas can invest in their priorities through the new UK shared prosperity fund. With power comes responsibility, so we will also ensure that data on local government performance is published so that we can hold local leaders to account.
Central Government will report back to this House on our progress against our missions and on the impact all our policies have on closing geographical inequalities. Because building long-term structures matters, we will also create the institutions, generate the incentives and supply the information necessary to drive levelling up for years ahead.
This White Paper lays out a long-term economic and social plan to make opportunity more equal. It shifts power and opportunity towards the north and midlands, Scotland, Wales and Northern Ireland. It guarantees increased investment in overlooked and undervalued communities, in research and development, in education and skills, in transport and broadband, in urban parks and decent homes, in grassroots sport and local culture and in fighting crime and tackling antisocial behaviour. It gives local communities the tools to tackle rogue landlords, dilapidated high streets and neglected green spaces, and it demonstrates that this people’s Government are keeping faith with the working people of this country by allowing them to take back control of their lives, their communities and their futures.
I commend this statement to the House.
Seriously, is this it? The sum total of ambition for our coastal and industrial towns, our villages and our great cities is a history lesson on the rise of the Roman empire, and Ministers scurrying around Whitehall, shuffling the deckchairs and cobbling together a shopping list of recycled policies and fiddling the figures. Is this really it?
For some of us, this is personal. We have lived these failures every single day. We have watched good jobs go, our high streets boarded up and young people who have had to get out to get on. The Secretary of State talks about Bury FC. My step-dad was a lifelong supporter of Bury FC, a regular at Gigg Lane and his last words to my step-brother before he died were, “What’s the score?” If he were alive today, he would never forgive the Government for standing aside while this asset at the centre of Bury’s community was allowed to collapse.
This system is completely broken, and the Secretary of State has given us more of the same. This was meant to be the Prime Minister’s defining mission of Government. I am not surprised he was too embarrassed to come here today and defend it himself. It is so bad that even the Secretary of State has privately been saying that it is rubbish. They tell us to wait till 2030, but where have they been for the last 12 years? I will tell them where—in Whitehall, turbocharging the decline of our communities, and cutting off choices and chances for a generation of young people.
The Secretary of State talks about 12 missions, but this is 12 admissions of failure. Let us take one of them. Only two thirds of children leave primary school with the basic skills to get on. Forgive me if I have missed something, but was he not the Education Secretary for four years? What about this? The Government want to tackle crime, but on their watch fewer than one in 10 crimes are solved and nearly all rapes go unprosecuted. No one listening to this would think that he had been in charge of the Ministry of Justice.
This is a Government in free fall—out of ideas, out of energy—with recycled, watered-down ambitions. None of this is new. In fact, some of it is so old that one of the better announcements that caught my eye was actually made in 2008 by Gordon Brown and has been running ever since. Across our home towns, we have seen good jobs disappear and far too many young people who have had to get out to get on. This does nothing to address that.
The Secretary of State talks about a Medici-style renaissance, but can he not see what is happening in front of his eyes? Our high streets are struggling because the local economy is struggling. People do not have money to spend in our shops, our businesses and our high streets, and the Government are about to hike up their taxes. This does nothing to address that. What we needed was a plan to connect our towns and villages to jobs, to opportunities and to our family and friends, but they have halved the funding for buses and scrapped the rail promises to the north, and where is the digital Britain we were promised?
We do not need to look to Rome, Jericho or renaissance Florence for inspiration, because in Preston, Wigan and Grimsby, people are delivering real change for themselves, not because of their Government, but despite them. Imagine what we could do if they would get out of the way and give us back the power that we demand to make decisions for ourselves. [Laughter.] Well, Conservative Members laugh. They do laugh—they have been laughing at us for years—and here it goes again.
It is absurd that we have to go cap in hand to Westminster to do things that we know will work for us. Do not believe me; believe the former Mayor of London, who in 2013 demanded powers that are nowhere to be seen in this report. We asked for powers, and we got a process. Where are the powers we were promised? Seriously, we have the arrogance of a Chancellor sitting in Whitehall, drawing lines on a map, choosing which of us have earned the right to have some say on the decisions that affect not their lives, but our lives, our families and our communities.
The Secretary of State talks about London-style regeneration. My colleagues in London will talk proudly about the London they call home, but not every part of this country wants to be the same. We have our own identities. We are proud of our own places. We believe in our communities and we believe in our people, and we deserve a Government who back us, not the smoke and mirrors that we have been handed today.
The Government have given more to fraudsters than they have given to the north of England. For every £13 they have taken from us, they have given us £1 back. We get a partial refund and they expect us to be grateful. [Interruption.] I will give the House an example. The Mayor of Greater Manchester today raised broken promises on rail, and he was told by one of the Government’s MPs, “Don’t bite the hand that feeds you.”
It is not their money; it is ours. Imagine what we could achieve if we had a Government with an ambition for Britain that matched the ambition of the people in it. We could build good jobs in every community. There is a global race to create these jobs, and we will bring them here so that young people in our coastal and industrial towns can power us through the next generation, like their parents and grandparents powered us through the last. In every community in this country, people know that we can do so much better than this, with well-paid jobs and money back in people’s pockets to genuinely transform our high streets. We can reform business rates to back our bricks and mortar businesses. We can be buying, making and selling more in Britain and have an educational recovery plan that stands as a testament to our commitment to the young people who make this country what it is. That is our mission, and today we have learned one crucial thing: for all the spin and all the gloss, the Government will not do it, because they do not believe in this country—we will. [Interruption.]
“lots to be pleased about”
in it, and the Mayor of South Yorkshire, who said on Sunday that he warmly welcomed the support that we were giving to Sheffield and that it was
“much needed recognition of the potential”
of that great city. I am glad that the hon. Lady is in good Labour company in welcoming the White Paper.
The hon. Lady mentioned Bury FC, and she suggested that this Government had stood aside. I am sorry, but this Government provided £1 million to the fans of Bury FC so that they could take back control of the club. It was not Labour Bury Council but Tory Ministers who saved that football club for its fans.
She asks where we have been over the past 12 years and about my time as Education Secretary. My mother said self-praise is no honour, but since the hon. Lady asks, there were more good and outstanding schools as a result. We closed the gap between rich and poor, we extended opportunity and we ensured that illiteracy and innumeracy were tackled.
The hon. Lady also says that we need more good jobs. I completely agree. That is why we have a plan for growth and she has no plan. She says that we need to revive our high streets. I completely agree. That is why we have a plan for investment, and the Opposition have no plan. She says that she wants improved connectivity. That is why we have ensured that gigabit connectivity has gone from 10% to 60% in the past two years, and they have no plan. She says that she believes in devolution. We have nine county deals and powers for Mayors. The only devolution in England that Labour ever offered was to London. It did nothing for the north and midlands when it came to devolution. She said she wants safer town centres. Why is it, then, that every time we have brought forward policies for tougher sentences in this House, Labour has voted against? It has no plans, no idea and no answers.
The Opposition also ask about new money. Do they not remember that Liam Byrne wrote in 2010 when the Labour Government left office that there was no money left? Now, they are so fiscally inconstant that they say they want simultaneously not to have a national insurance increase and to cut other taxes, and at the same time to increase public spending. Our commitment to abolish innumeracy cannot come quickly enough, starting with the Labour Front Benchers. My right hon. Friend the Chancellor has committed £500 million to tackling adult innumeracy; we know where that funding should go first. If they had their way, borrowing would go up, interest rates would go up, and the poorest in the north and midlands would lose out; instead of levelling up, they would bring the economy crashing down. That is why we never need to have those Front Benchers in power in this country ever.
It is going to require a lot of self-discipline if we are to have any chance of getting everybody in, so I ask for very short questions. The Father of the House will provide a marvellous example of that, I am sure: Sir Peter Bottomley.
Meanwhile, in Scotland we have another Brexit betrayal: the replacement funds for the EU structural funds are falling £900 million short, and control is being centralised to Whitehall. That is what we are receiving from this Government, and that is why more and more people are turning to the option of political independence for their country.
My central question is this: how does this square with the rest of the Government’s policies? We have a chronic and increasing problem with inequality in Britain, yet everything this Government do seems to make it worse: the decision to cut universal credit and the below-inflation increases in other benefits are driving the gap between rich and poor even higher; so, too, is the decision to increase basic rate taxes and not to increase taxes for those who can most afford them; and so, too, is the Government’s inaction and unwillingness to do anything about the cost of living and spiralling energy bills. So my question, Secretary of State, is this: given all of that—given the Government’s policy in the round—is this not just a piece of meaningless window dressing?
Today, we have announced additional funding for an innovation accelerator in Glasgow. In Glasgow University and the University of Strathclyde, Glasgow has two of the United Kingdom’s leading research universities. We are supporting and backing them. I explained to the First Minister last night how important it was that we worked together, and we will seek to work together.
When it comes to inequality, the Scottish Government have presided over growing inequality in education outcomes in schools in Scotland. We want to work with them to reverse that. When it comes to devolution, rather than devolving more powers to local government in Scotland, as we are doing in England, the Scottish Government have centralised powers. The Convention of Scottish Local Authorities has been eloquent in complaining about that. Again, that is a devolved matter, but if the critique from the hon. Gentleman is to carry force, it is vital that he recognises the beam in his own eye before pointing out the mote in others.
Does the Secretary of State recognise that building on such successful policy innovations is the best way to go, rather than needing to start from scratch in every case? In that context, does he recognise that the role of universities and scientific institutions, which are strong in the regions, is a good place to invest and to drive further prosperity across the UK?
When the Select Committee has looked at this issue in the past, we have agreed that local councils have to be key to delivering a levelling-up agenda, and that means a devolution framework, with all councils getting real new powers and real new resources to deliver. When I looked at page 140, I saw the words “devolution framework”, and I was encouraged. Will the Secretary of State confirm, however, that in that list of powers, there is not a single new power? All the powers in there are already available to at least some local authorities, and all this framework does is enable more local authorities to have those powers. What is certainly not set out is a list of new resources that will be available to enable the spread of existing powers to more local authorities to be delivered in practice. Will he confirm those two things?
I should also say that the UK shared prosperity fund prospectus that we are publishing today makes it clear that lower-tier local authorities especially will have additional resources, through the UKSPF, to enhance their ability to serve their citizens.
One page that appears to have already been detached, however, is the bit that refers to rural Britain. I am really concerned that there is very little concern in the document for levelling up the rural parts of our country. In Cumbria, we have three-hour round trips for cancer treatment and a threat to our local A&E department, and our villages and communities are being cleared by second homes and Airbnb. I would be delighted to work constructively with the Secretary of State, and I would love if it he agreed to meet me so that we can talk about some answers to the housing catastrophe affecting not just Cumbria, but the rest of rural Britain.
More broadly, I think that if we look at the success of great industrial towns in the past, we see that figures such as Joe Chamberlain were driven by the spirit of private enterprise, but by civic pride as well. Chamberlain provided an example of great local leadership, and also of ambition to improve education. The mission that he led in Birmingham to ensure that universal education was extended even to the poorest was the perfect complement to the drive that he showed in generating wealth through the market.
“By 2030, local public transport…will be significantly closer to the standards of London”.
That is eight years not even to catch up with London buses. What kind of ambition is that?
“the government is planning to spend less on English regional development than was the case under Theresa May or David Cameron.”
It said that true levelling up would need long-term financial backing from the Chancellor. When will we see that?
“the happy south stamps over the cruel, dirty, toothless face of the northerner”.
Is he proud that he has managed to do exactly the same again today?
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