PARLIAMENTARY DEBATE
Yorkshire Devolution - 9 January 2018 (Commons/Westminster Hall)
Debate Detail
That this House has considered Yorkshire devolution.
It is a pleasure to serve under your chairmanship, Mr Pritchard, and it is a pleasure to see the Minister still in his post—not that there was any doubt of that, I am sure. This debate comes at a critical moment for our region. I was struck by the words of Archbishop John Sentamu, who said this morning:
“Today, our elected leaders have an unprecedented opportunity to repay the trust vested in them by the people and to forge an exciting new future for this great county.”
He went on to say:
“I pray that we will live this out recognising that we have more in common spiritually, culturally, socially, economically, and politically than which divides us…Together we are Yorkshire.”
What eloquent and wise words they are. In delivering them, Archbishop John has set both the standard and the tone for this debate.
All of us here have a responsibility to work co-operatively together to best serve the interests of our region. In that spirit, today I will propose what I hope is a constructive way forward for a future devolved settlement for Yorkshire and the Humber. Before I do, let me say a word about how we got to where we are.
I was in the process of reflecting on how we got to where we are. All hon. Members will know that last year, as other parts of the country moved ahead with their devolution deals, we reached an impasse in Yorkshire. In response, the councils of Barnsley and Doncaster held a community poll on devolution.
I was explaining the fact that results in education and health outcomes mean that in our area we lag behind other more affluent parts of the country. I do not begrudge any other part of the country its affluence, but I do understand why people in our region are disillusioned and angry. That desire for Brexit, and the need for devolution, are symptoms of the same malaise. I believe that if we are to make Britain healthy again and heal its divisions, we need a new economic and political settlement that involves genuine devolution of political and economic power that will spread prosperity and opportunity to towns and counties of all regions.
In short, if we are serious about closing the north-south divide, piecemeal changes simply are not good enough. The solution must be as ambitious as the challenge is profound. That is why I believe that a wider Yorkshire deal is the way forward. By working together across the whole of our county and, like in the west midlands, not being confined to just one city, we would have the collective clout and the brand reputation to co-operate and compete not only with other parts of the UK, but with other parts of the world.
The economic case for the wider deal is profound. That is why it is supported not just by the Confederation of British Industry, but by the Federation of Small Businesses and the Trades Union Congress. When Carolyn Fairbairn, the director general of the CBI, told The Yorkshire Post that wider devolution would be
“good for jobs, good for growth”,
and for unlocking investment and building confidence, I could not have agreed more. When Bill Adams, regional secretary of the Yorkshire TUC, told The Yorkshire Post that we can
“combine the advanced manufacturing of South Yorkshire with the energy hub and ports of Humberside, the tourism and agriculture of the North with the financial and manufacturing centres of West Yorkshire”,
I could not have agreed more. Both nationally and internationally, a single Mayor would provide the single voice required to unlock the much-needed new investment. That is critically required in areas such as our transport system.
The inequality in transport spending between north and south has been well documented, but it is worth repeating just how bad the situation has become. London is set to receive 10 times more transport investment than Yorkshire. Because of that, Yorkshire’s transport system is out of date, unreliable and expensive. The separation of transport executives, each with its own precept and fares structure, makes short journeys, such as the 20-minute trip from York to Doncaster, prohibitively expensive. Twenty pounds for an anytime day return is too expensive for working people, and far too expensive to promote the growth that our region needs. A wider Yorkshire combined authority directing investment decisions and using its purchasing power to negotiate with transport providers would address that lack of integration, improve bus and rail services, promote growth and leverage further investment.
Devolution is about more than just transport infrastructure. It is about accessing funding for skills and training, building affordable homes, and preserving our unique culture, countryside and heritage by working together, harnessing our talents, combining our energies and maximising our influence, all of which is in reach.
The people of Barnsley and Doncaster identify with being part of Yorkshire, as do people across our region. The sense of place, community and belonging that comes from identifying with Yorkshire is, in many ways, our greatest asset. As such, we need to make use of it, but I accept that all that is easier said than done, because first we need a consensus between the Government and local authorities in our region. For that to happen, we need a new plan that is carefully considered and painstakingly developed and comes from listening to and understanding all the different views. That will take more time, so first we need an interim solution not only to preserve the goal of a wider Yorkshire deal, but to allow the Sheffield city region to begin to see the benefits of devolution and give everyone concerned the time and space needed to work on a deal.
With the right political will, I believe that holding a wider Yorkshire mayoral election in 2020 is entirely reasonable and achievable, but as things stand we are on course to elect a Mayor of the Sheffield city region in May. The newly elected Mayor would have so few powers that spending up to £2 million on this election would undermine not just his or her position, but the credibility of the whole devolution project. People in Barnsley and Doncaster would rightly feel further disenfranchised and ignored. Indeed, if we are prepared to ignore an 85% majority, what does that say about the state of our democracy?
Today, the leaders of Barnsley and Doncaster councils have written to the Secretary of State setting out a clear plan proposing that an interim Mayor of a Sheffield city region should be appointed for two years while negotiations for a wider Yorkshire deal proceed. That follows the precedent set by my hon. Friend the Member for Rochdale (Tony Lloyd), who at the time was the police and crime commissioner for Greater Manchester and was appointed the interim Mayor of Greater Manchester in 2015, with an election being held two years later.
That would mean that the Sheffield city region could access the money and powers sooner rather than later, and that the four councils could consult on a scheme in respect of the additional powers contained in the existing Sheffield city region deal. It would also leave those councils that wish to proceed with a wider Yorkshire deal—the so-called coalition of the willing—free to continue their negotiations and potentially to form a shadow combined authority in which they could work for a wider Yorkshire deal. Barnsley and Doncaster would then be free to join that wider deal as and when it is agreed. Sheffield and Rotherham would also be free to join it, or they could continue with their own city region deal and hold an election at the same time in 2020. That framework embodies both compromise and progress. It is a good offer.
In conclusion, I ask only that the Minister listens to the people of Barnsley and Doncaster. They were very clear in what they said, and it would be wrong for them to be ignored, not least because the Secretary of State was right when he told the Local Government Association that the driving force behind devolution is the desire to bring decision making to a more local level. Now that the people of Barnsley and Doncaster have made their decision—all we want is the very best for Yorkshire and the Humber—we need to put that decision into practice.
We now need a process of negotiation, which is why I very much welcomed the fact that the Secretary of State sent a letter to the leaders of Barnsley and Doncaster councils just before Christmas. It was a very good letter, which initiated a process of negotiation that we are developing further today. It is important that we do that while being mindful that we are working to achieve what is in the best interests of the people we are elected to serve.
What we are looking to achieve is an arrangement that would give Barnsley and Doncaster the flexibility to move into a wider Yorkshire deal in 2020 if that were an option, but would also not bind the hands of our good colleagues and neighbours in South Yorkshire, Sheffield and Rotherham. It would be for them, in consultation with the Government and other members of the combined authority, to take a view on whether they see their future as part of a Yorkshire deal or wish to proceed with their own Sheffield city region deal, which could include neighbouring parts of the country as well.
My one concern about his proposal—I have spoken to him about this—is whether it sends the right signal, given that devolution is ultimately about transferring powers to people. The first thing that we are saying to people is, “You can have a Mayor and an arranged devolution deal from May, but by the way, you can’t be involved in electing this Mayor; the political leaders will choose them.” I am not sure that that sends the right signals to people about what devolution is all about.
I will make one further point, which is the essence of the case that I am trying to make. I do not say for one moment that Yorkshire and the Humber should be a special case, but I do believe—I make no apologies for stating it in these terms—that it is a special place. There is something special about what John Sentamu described this morning as God’s own county. There is a huge strength in our diversity. If we could create an arrangement that brought together 5.3 million people into an economy bigger than 11 EU nations, we would truly be a force to be reckoned with, not just in this country but around the world. In the far east—China, Japan or wherever—people know about Yorkshire. It means something to them, and it means something to us. This is a once-in-a-generation opportunity to put in place an arrangement that could be really meaningful for the people we represent, and I very much hope that we will not miss out.
In conclusion, I reflect back on the decisive results delivered across the north of South Yorkshire just before Christmas. We need to put into practice the decision taken by those people. We need to find a solution and to seize this once-in-a-generation opportunity that we have been given to drive forward the northern powerhouse and give the Yorkshire region the chance to transform its economic and political future. I say to the Minister in all good faith that not many Ministers are given the opportunity to do what he has the opportunity to do now. I hope that he will take it up.
To respond to some of his points, I think that there is a clear feeling across Yorkshire that we are being left behind. On the status quo, nobody whom I have spoken to in Yorkshire who is interested in the economy or politics feels that the status quo is what we want. We know that we need to move forward as quickly as possible. It is about money and powers. It is also about attracting the right person to come forward to lead a Yorkshire devolution deal.
The hon. Gentleman talked about two options—well, one option, really: one Yorkshire or wider Yorkshire. We know that that deal is not on the table at the moment, because of the deal that has already been agreed, yet he proposes that we set conditions on the deal to tie it to another deal that might be agreed. Why do we not just move ahead with the other deal? The South Yorkshire deal can move ahead today, and we can move ahead with a greater Yorkshire deal—a Yorkshire-wide deal. Then we would have two devolution deals in place, and all the money can come in behind that—that is what people are interested in. They are interested in the money, the powers and attracting the right person, but the hon. Gentleman is putting roadblocks in the way of that. I am not saying he is doing so deliberately, but the reality is that we can move ahead today—
I want to make one very brief point. Devolution is about listening to local people, and the feeling in Doncaster could not be clearer. There was a unanimous view in the council—Labour, Conservative, Mexborough First and independent—in favour of the wider Yorkshire deal. The business community, through the chamber of commerce, said it wants a wider Yorkshire deal, and so did 85% of the public on a turnout higher than that for the police and crime commissioner elections. I appeal to the Minister not to impose on the people of Doncaster an election they do not want. Work with us, my hon. Friend and the coalition of the willing to create the deal we want, and go for my hon. Friend’s solution.
I want to make one very brief point. The Sheffield city region proposal, which has been part of this discussion for a number of years, has at times included elements of Derbyshire. Quite a number of us over the border in Derbyshire have had significant reservations about the proposal for many years. We were pleased when Chesterfield Borough Council finally withdrew from the Sheffield city region a number of months ago.
I will not take up more time than the minute that I have, given the obvious importance of this issue to all colleagues across the ridings of Yorkshire and their real passion. I just want to say that Derbyshire is and has always been different from Yorkshire, and it does not want to participate in a Sheffield city region if that continues.
I have three very quick points. The letter from the Secretary of State before Christmas was very significant, because for the first time the phrase “one Yorkshire devolution” was used in a ministerial letter. I have some questions about that concept. First, the letter talked about all other councils in Yorkshire agreeing an all-Yorkshire settlement. Does that mean that every council, including Wakefield, has to agree to it?
Secondly, why cannot talks on those proposals start now? In December, the press spokesman for the Department for Communities and Local Government said that so long as there is an agreed proposal, talks can begin. Will the Minister confirm, as my hon. Friend the Member for Barnsley Central (Dan Jarvis) suggested, that talks can begin immediately in January so we can have a settlement long before the Tour de Yorkshire in May?
Finally, will the Minister confirm that it is policy to schedule all mayoral elections across the country in 2020? If so, an all-Yorkshire election in 2020 would fit in very nicely with that.
Thinking big about the north was supposed to be the role of the northern powerhouse, and devolution was a central plank. We have not moved nearly fast enough towards Yorkshire devolution for too long now. It is the new year, so I implore the Minister to make a resolution to make 2018 the year that the whole of Yorkshire sees devolution.
As different authorities have moved forward in this process, it is important to assess where we are now and move forward in the way my hon. Friend set out. We desperately need investment. We will be leaving the European Union in just 14 months’ time, so we need the leverage of Yorkshire’s size. If it comes together, it can bring in the trade and inward investment we desperately need so we do not end up with not just a north-south divide but an east-west divide as we start to become the poor relative of the rest of the nation.
Yorkshire is demonstrably not a place with one metropolis around which the rest of the historic county revolves. It is simply not suited to the Government’s policy for devolution in the form of metro Mayors or city regions. My constituency is a case in point: it ties together the university, urban areas, rural areas, market towns and villages. A broad, county-wide deal that recognises the reality of our region’s identity, variety and strengths would be better for directing investment and spreading opportunity fairly. I cannot conceive that anything other than a single Yorkshire authority could have the muscle to deliver on such monumental challenges.
Aligning a single Yorkshire election with those for other devolved authorities in 2020 makes sense. Following the letter from Barnsley and Doncaster, we can see the Yorkshire Mayor taking their post in 2018 as a strength, and can look at how to retain the views of South, West, North and East Yorkshire and the Humber within a “one Yorkshire” model. Let us get a road map and move towards that model.
Advanced manufacturing is doing very well in Sheffield and Rotherham at present. We did not achieve that by going around the far east waving a banner saying, “Come to Yorkshire.” We did it by hard graft, with a local industrial strategy that is working and delivering on the ground. I am not sure that having a Mayor for Yorkshire will add value to that process at all.
I respect the fact that my hon. Friend the Member for Barnsley Central (Dan Jarvis) has brought some interesting ideas forward, based on the Secretary of State’s helpful letter about how to find a way forward for the four South Yorkshire districts, as part of the Sheffield city region, that want to move into a wider deal if one becomes available, and allowing them to do that without anyone being able to block that. That is helpful. It is also helpful that if Sheffield and Rotherham want to stay in their own deal, they will be able to do so.
It seems to be accepted that we will have some arrangement for two years, with a proper deal, properly funded, and with proper powers. The one issue of concern now is: how will that Mayor be elected or appointed? I do not think it conflicts in any way with the referendum that Barnsley and Doncaster have had to say, “Those districts still want to work towards a wider deal, in line with the referendum result, but, in the meantime, if we have a Mayor and have a deal, should the Mayor be elected or appointed?”
I have real reservations about saying to the public, “You are going to have a Mayor, and the political leadership is going to choose them.” I find it really difficult to square that part of the proposal with the whole issue of accountability and enfranchisement and the powerlessness that people feel.
I wonder whether we can have a discussion. Perhaps there is a way of saying that, if there is an election, it should be for just two years, to bring it in line with the 2020 deadline. That shorter period would give districts the opportunity to reappraise at that point whether they want to move on to another deal, if available, or stay with the existing deal. I hope that is a helpful suggestion about having an election, but doing it in that timeframe.
To some extent, there is a similarity between the campaign we had to achieve a devolved national Parliament in Scotland—and our campaign to go further and have devolution so complete that we have independent control of that Parliament—and the campaign for English devolution, inasmuch as they are about changing the constitutional basis of the governance of these islands. In terms of the political ambition that drives this debate, there is much that we share and very much support.
People often talk about devolution and the English regions in the same breath, but they are not the same thing. I want to make one important point of difference. The campaign for the establishment and extension of the Scottish Parliament is not about the decentralisation of public administration within a common political framework. It is about allowing the creation and evolution of a different political framework, which will allow a different set of choices to be made, whether that be within the United Kingdom or without the United Kingdom. That is slightly different from the campaign for English regional government.
However, we very much support the idea of devolution and decentralisation within England. We only have to look at a motorway map of the United Kingdom or the inter-city rail network map to see that, for far too long, strategic thinking and planning in the United Kingdom has been dominated by a desire to make the periphery connect to the centre, rather than the creation of sustainable regions of the country that can interconnect and achieve a much greater benefit. The debate is part of breaking that down, and we very much welcome it.
There ought to be some sort of national English plan. For far too long, central Government has ducked this question and, just because it is too difficult or there is not support in some areas, they have been unable to come up with a strategic plan into which these things could locate. I hope the Minister will say that that is somewhere on the horizon, because in the absence of that plan, the city deal, city region and city Mayor proposal is about pushing something ahead in an area where little resistance is expected. What seems to have happened in this instance is that resistance has come about both within the proposed city region area and in neighbouring areas.
Without wishing to take sides or make any particular prescription, it seems to me that surely the only thing Government can now do, given the level of dissent registered to their plan, is to press the pause button, bring people together and have a proper consultation about how decentralisation can go forward in Yorkshire on a basis on which all participants can agree. If it is pushed through without that consent and agreement, it will be ill-fated and will not work.
The real, lived experience for many people in this country is that their communities and families have been left behind. The industries that used to support our towns and that many of our towns and cities were built on do not exist anymore, and the well-paid, decent working-class jobs are not there for future generations as they were for the generations before them. People growing up and raising families in those areas have a right to say that they will not accept that settlement.
Government cannot continue to command and control from this place, misguidedly believing that that will change the way the country works in every community across our diverse and complex land. The problem with devolution as it stands is, first, that there is an absence of a clear national framework, which means it is anybody’s guess as to how these devolution deals have been constructed, how component authorities have been included and how they will be resourced in the future.
There have been contradictory approaches from the Government in terms of where power sits. In some areas, we see skills being devolved but educational powers taken away and centralised in this place. Local authorities’ involvement in local schools is completely taken away, but then they are told to sort out the schools’ problems and fix a broken system for young people who have been let down.
I am not one for regional assemblies and regional government. There is a tendency in the new structure for power to be taken from the ground upwards, rather than given away from the centre. That is not in the spirit of devolution. I was resistant to regional assemblies because I saw that taking place. Yorkshire is the exception to that rule. What is devolution meant to be about? Devolution ought to be about people and place. Before we construct any governance arrangement, we ought to pay proper consideration to the sense of belonging that people feel to their community.
Members will know from the areas they represent that many of our communities have not got over the 1974 reorganisation that created metropolitan boroughs. They will hark back to the days when their local district council used to exist and their sense of belonging. The one thing that would survive all that reorganisation in Yorkshire is the sense of being Yorkshire. We ought to take into account that very strong and powerful sense of belonging.
The other thing is that the foundations of devolution are extremely weak. The cuts that have been made to many local authorities across Yorkshire mean that their basic everyday survival is at risk. Adult social care and children’s safeguarding pressures are significant, and councils are looking to the future and wondering how they are going to make ends meet.
The deal that has been on the table so far has been crumbs off the table. The Government are saying, “If you’re willing to come round, there are a few million pounds for housing and for transport.” The regional imbalances will continue—London gets the lion’s share and our regions get left behind—but that cannot be the future.
From the Opposition Front Bench, I want to put an offer on the table. This is our position. We have heard from some parts of Yorkshire about an interest in looking at a “one Yorkshire” deal, but we have not yet tested the appetite across Yorkshire for what could be a comprehensive deal covering the whole region. My offer to the Minister is this: why do the Government not look, in a proactive way, at a Yorkshire-wide referendum to ask people what they want? If devolution means anything, it would be the community, from the grassroots, deciding for themselves. That will be a different devolution —I am not proposing the same devolution we see in Greater Manchester, Merseyside, the West Midlands and other areas.
That cannot be at the cost of local authorities. We need to properly work out what the role of those component local authorities is. I would strongly argue that the existing infrastructure of local government is more ready to receive greater powers, greater freedoms and greater funding to deliver local services than central Government, but that can happen only if the Government are committed. What is wrong with asking people what they want?
Before we talk about what can be done to unblock Yorkshire devolution—it is clear that there is a stalemate—it is important to point out that we are not starting from a green field. The negotiations on the South Yorkshire devolution deal started in 2015. The hon. Gentleman and many of his colleagues were in this House and had an opportunity to engage with their local authority and ask what devolution should look like in South Yorkshire. I accept that he would probably say that times have changed and that the poll with its massive 20% turnout—although the result was emphatic from that 20%—changes things.
I am grateful to get it on record that, as the hon. Gentleman correctly said, the Government set out a compromise solution before Christmas that could enable us to break the stalemate in South Yorkshire. The difference between his proposed solution and ours is that we believe that the best way to ensure that further devolution can take place anywhere else in Yorkshire is to fully implement the devolution deal for South Yorkshire first, including having an election. Back in 2015 and on two further occasions, the four South Yorkshire authorities came to Government and requested that that deal, together with the gain share, was legislated for in this House. It was voted through the House of Commons.
Given the poll in the hon. Gentleman’s constituency, that might not be the ideal solution, but we would face certain challenges in relation to his proposed solution. First, it remains the law of the land that the election for the South Yorkshire Mayor will take place in May. The process for delaying the date of that election would be to ensure that all the councils in South Yorkshire agreed to the election being delayed. As of today, I am not aware that all of them have.
Secondly, the Government would need to agree to a new proposed date for the election. We would need to have a draft order prepared, cleared through the Government’s legal adviser and laid before Parliament. We would then need time to approve it through motions in the House of Commons and the House of Lords and time for the order to come into force. To do that between now and May, given the parliamentary business that we have, looks extremely tight. That is why I hope that all the authorities of South Yorkshire will give proper consideration to the proposed compromise solution that was set out by my right hon. Friend, the Secretary of State for Housing, Communities and Local Government.
I want to set out the terms of that compromise on the record. It is proposed that the four South Yorkshire councils agree to do all that is necessary for the Sheffield city region deal to be implemented as soon as practicable after the mayoral election. That would require them to first undertake the consultation on the functions that should be devolved to the combined authority and to the Mayor and to give their consent to any order effecting that devolution.
The Government would then agree with Barnsley, Doncaster, Rotherham and Sheffield councils that if a “one Yorkshire” solution were to come forward or a deal were developed, and the Government and councils concerned were able to consent to it, the constituent parts of the existing South Yorkshire deal would be free to leave that deal at the end of the initial mayoral term, on the proviso that the transport arrangements covering South Yorkshire had been considered.
I understand from the hon. Member for Barnsley Central that that is not an ideal solution, but it may be a practical one. We have proposed the compromise to all the South Yorkshire authorities and it is ultimately for them, with the compelling result of the referendum in Barnsley and Doncaster in mind, to negotiate between themselves to see if a compromise can be reached. We have had a response from Barnsley, Doncaster and Sheffield; we have not yet had a response from Rotherham.
I make an open offer to the hon. Gentleman that I will work with him and his colleagues to see if such a compromise can be reached. I reiterate that the Government do not intend to undo the legislation of this House to change the date of the election for the South Yorkshire mayoral combined authority election, and even if we intended to do so, I do not believe that it would be possible in parliamentary terms to pass the necessary orders from where we are today.
The hon. Gentleman also asked when talks can begin. It is not for the Government to dictate when talks can take place between any authorities in Yorkshire. It is up to those authorities.
I absolutely welcome the letter from the Secretary of State before Christmas; its tone was very constructive and helpful. However, when the Minister raised concerns about the ability to legislate for any change, I thought he was being a little under-ambitious. Where there is political will to make changes, it should be entirely possible to do so.
I very much hope that the Government will look carefully at the detail of the letter. I accept that the Minister has received it only relatively recently, but it is a good offer that provides a sound basis for a further process of negotiation. That process must begin today and continue throughout the rest of the week, because the clock is ticking and it is in all our interests to work together to secure the best possible deal. That is what I am prepared to do, as I am sure everybody else here is.
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