As usual, it is a great pleasure to serve under your chairmanship, Madam Deputy Speaker. I congratulate my hon. Friend the Member for Waveney (Peter Aldous) on securing this important debate. The fact that so many hon. Members stayed late tonight shows that flooding is always taken extremely seriously, and that was also demonstrated by the fact that others intervened.
My hon. Friend has been passionate in speaking up for this flood scheme and its meaning for his local community and for Lowestoft, which, as we have just been made aware, is the country’s most easterly town. He is also committed to the future of the East Anglian fishing industry, about which he talks a great deal in Parliament, and I cannot let this opportunity pass without mentioning the amazing Lowestoft kipper that I had the other day on a ministerial visit to Great Yarmouth. It might have been in a neighbouring county, but the kipper came from Lowestoft, and it was the best I have ever tasted.
I recognise the work that has been done. We have heard a lot of history tonight. Back in December 2013, there was a tidal surge that affected approximately 160 residential properties and 233 commercial properties across Lowestoft and Oulton Broad. There were also significant impacts on local infrastructure, including road and rail transport, electricity, gas and water utilities. It was serious, and I commend East Suffolk Council for taking a long-term view on managing flood risk and recognising how flood risk management infrastructure can contribute to Lowestoft’s future prosperity.
I am mindful, of course, of the challenges faced by the town and of the port’s importance as a crucial offshore wind farm construction site that maintains this hugely important industry. Flood and coastal risk management is a high priority for this Government and, coming from Somerset, where we have had many of the dire consequences of flooding over the years, I well know the impact that flooding can have.
Compelling evidence suggests that climate change may lead to increased sea levels by the middle of this century. There are both present risks and future risks, so we have to support our coastal communities and manage these things carefully.
The Lowestoft tidal barrier scheme is the crux of tonight’s debate. I acknowledge the work that East Suffolk Council has already done in leading and managing the delivery of the project, with help from the Environment Agency throughout its development and assurance. The scheme is in two stages, as we have heard, and will reduce the probability of tidal flooding. It will support 22,400 jobs and safeguard 402 households.
It is heartening to hear that stage 1, which includes work to protect against river and surface water flooding, as well as the construction of the tidal walls in preparation for a tidal barrier, has been approved and is fully funded. Construction is scheduled to start later this year, with an estimated cost of £16 million, of which I am pleased to say that £2 million will come from DEFRA’s flood and coastal erosion risk management grant in aid funding—that is a big mouthful, but it is an important fund—and £1.9 million will come from the local levy raised by the Anglian Eastern regional flood and coastal committee. The remaining £12 million will come from partnership funding contributions, which includes £10 million from the local enterprise partnership. I commend them all for their work to secure these partnerships and contributions. This is a good example of how flood defence projects should operate.
Stage 2 relates to the construction of the town’s tidal flood barrier, about which we have heard much. This clearly has implications for residents and businesses. I understand that an additional £43 million of funding is required to enable this phase to be delivered. It is due to the need to maintain an operational harbour—Lowestoft port is a vital hub for offshore wind—that the programme will now be divided into three short windows over the winter months. That is what has caused the escalation of costs. The outline programme shows the tidal barrier works provisionally starting in 2022 and completing in 2025.
I am heartened to hear that this is a low-carbon project, and I welcome the news that East Suffolk Council has formed a dedicated team to work on phase 2 with a focus on securing partnership contributions, particularly in relation to the infrastructure and all the other developments. Protecting transport networks and the economic prosperity of the region is clearly important, and it ties in with the Government’s wider aims. I hope the council and this partnership will attract more funding.
As floods Minister, I am aware that flood risk management systems not only protect communities but create confidence, enable local economies to expand and grow, and deliver environmental improvements. These things are all important in taking a long-term view of the environment, particularly with respect to our 25-year environment plan.
I want to talk more widely about the Government’s commitment to dealing with flooding and to flood spending. We are investing £2.6 billion over the six years until 2021 better to protect 300,000 homes from flooding. This will see the delivery of more than 1,000 schemes and is projected to save the economy more than £30 billion in avoided damages. So the Government are taking flooding extremely seriously, and the effects and future effects of climate change are very much interwoven with this. That is why we have also committed a further £4 billion in the next funding programme. I must just correct my hon. Friend on this—I am sure he did not mean to say it—because although it would be brilliant if that were £40 billion, the sum is actually £4 billion. Optimism is always a good thing though.
Our programme of investment aims to maximise the economic benefits and number of homes protected, in terms of the potential damages of flooding or coastal erosion avoided, taking account of local choices and priorities. Further decisions are made on the basis of a rigorous assessment of local needs and the value for money of proposed schemes, and the funding of all projects is allocated according to the rules that govern DEFRA’s existing six-year capital programme. DEFRA’s £2.6 billion investment is allocated in accordance with the partnership funding policy, which clarifies the level of investment communities can expect from DEFRA, so it is clear what levels of partnership funding they need from other sources. [Interruption.] I am being told that I need to get a move on, but I hope I am making it clear that DEFRA does not have a policy whereby it is just there to fill funding gaps in individual projects; there is no provision for that. It is not possible to deliver every single scheme and reduce flood risk in every single area, and it is my duty, as the Minister, to look at the national perspective on flood risk management and ensure that the available funding is fairly and consistently distributed. I am sure my hon. Friend fully understands that.
The next steps will be to encourage the partnership in Lowestoft to attract the partners and funding it needs.
I thank my hon. Friend for raising this issue. The Government and the Environment Agency fully understand the challenges in Lowestoft, which I know he will continue to raise. The Government are fully committed to addressing climate-affected flooding issues, and I very much look forward to hearing how the project goes. Whatever the Environment Agency can do to support this, with Government advice, we will always listen to my hon. Friend.
Question put and agreed to.