Levelling-up and Regeneration Bill (Seventh sitting)

Alex Norris Excerpts

Committee stage
Thursday 30th June 2022 Public Bill Committees

[The Chair]

Before we begin, I have a few preliminary reminders for the Committee. Please switch all electronic devices to silent mode. No food or drink, except for the water provided, is permitted during Committee sittings. Hansard colleagues would be grateful if hon. Members emailed their speaking notes to hansardnotes@ parliament.uk. It is a little muggy, so I am happy for hon. Gentlemen to remove their jackets, if they so wish.

Clause 7

Combined county authorities and their areas

[Alex Norris (Nottingham North) (Lab/Co-op)]

I beg to move amendment 46, in clause 7, page 7, line 5, at end insert—

“(3A) Condition C is that the public in the area have been consulted.”

This amendment would require public consultation to take place before the establishment of a CCA.

[The Chair]

With this it will be convenient to discuss the following:

Amendment 48, in clause 22, page 18, line 33, at end insert—

“(c) the public have been consulted.”

This amendment would require public consultation to take place before the amendment of a CCA area.

Amendment 49, in clause 23, page 19, line 35, at end insert—

“(c) the public have been consulted.”

This amendment would require public consultation to take place before the dissolution of a CCA.

[Alex Norris]

It is a pleasure to serve with you in the Chair, Mrs Murray. We had a very good first day of line-by-line consideration on Tuesday. We had interesting debates, held in good spirits, and where we differed, we were able to do so well. I am sure that we will do similarly today. I hope that we may have a little more luck moving the Minister, and even if we do not in substance, we may at least establish some agreements in principle.

Today we start our consideration of part 2, the final half of the levelling-up provisions in the levelling-up Bill. There is a certain oddness to the fact that we will be considering the Bill well into September but will finish the levelling-up bits shortly. That pushes me back to the point I made at the beginning on Tuesday: this is not wholly a levelling-up Bill anymore. Nevertheless, the bits that we have in front of us are very important.

Clauses 7 to 70 establish combined county authorities, which will be the essential building blocks of sub-regional devolution. If done well, they will be the foundations of local place-shaping architecture that will drive forward levelling-up across our nations and regions. We do not have an issue with the establishment of CCAs—indeed, we support their development—but we think there are various ways of improving them, and those are covered by these amendments and amendments to come.

Some basic principles govern the amendments. First, we want to see greater public involvement. Secondly, we want to see strengthened local leadership. Thirdly, we want to see access for all communities to the highest level of powers. Fourthly, we want the Government to be non-prescriptive on the governance model. I might add as an addendum that I hope to hear from the Minister that the Government really intend to let go; they do not want to devolve powers but then still keep their hand in to guide communities when they do not get from them the answers they want. Where the Government can meet those tests, we will support them, and when they do not, we will seek to enhance the provisions.

Clause 7 establishes new bodies corporate, the combined county authorities. I will say a little on the distinction between CCAs and their sister organisations, combined authorities—as established by part 6 of the Local Democracy, Economic Development and Construction Act 2009—when we debate amendment 15. At this stage, it is important to understand our amendments by understanding what these new regional, or presumably sub-regional, structures will do. They will be at the heart of the levelling-up agenda when it comes to leadership. These bodies will receive power and money from the centre and use them to drive forward the development of their communities. If it turns out that levelling-up has succeeded, as we all hope it will, it will be because these bodies have succeeded. We have already seen the success of those rather similar, although in law distinct, bodies in parts of the country. Examples are the Greater Manchester Combined Authority and the West Midlands Combined Authority. We could list them all, but I will not do so. However, we can see that success across the country.

That said, we have to be clear that these bodies must be structures that work for communities. They are not conveniences for central Government or regional leaders. They must be bodies that drive collaboration across the public, private and voluntary sectors and, critically—this is the spirit of our amendments—that connect the public to the process of levelling up and improving their communities, getting the public involved in the decisions that shape their communities and lives. Amendments 46, 48 and 49 would start that process. If we fail to connect the public to the process then, despite the promises made in the White Paper on communities shaping their own futures, that just will not happen. We will be stuck in the progress paradox, whereby things get better but people feel worse, because change in their community happened to them rather than in partnership with them.

I put it to the Minister that one of the biggest risks of this entire programme is that, the Government having told local communities that levelling up will mean a shift of power from the centre to communities—from Whitehall to town hall—some power moves instead from the centre to the sub-region. That sub-region, which is currently an alien concept to most people, will be a new tier of politicians and public figures who are at a level even further away from people than their local council and who are harder for them to engage with, and certainly harder for them to remove. I do not think that will meet the public expectation test. It is really important that we demonstrate that the public are equal partners in the process and that it is done with their consent and commitment; otherwise, the new bodies will sit in isolation and will not deliver what they are supposed to deliver.

Amendment 46 makes a simple but important point. If the Minister wishes to secure for the Secretary of State, as in clause 7(1), the power to establish the new bodies, we really ought to establish whether the public want them, understand their value and understand their role in them. Currently, clause 7 allows for the formation of combined county authorities should two tests be met: condition A is that the area consists of

“the whole of the area of a two-tier county council”

combined with either

“a unitary county council, or…a unitary district council”;

and condition B is that the area is not already part of another CCA, an integrated transport area or a combined authority. The amendment would add condition C, which is that

“the public in the area have been consulted.”

That is a low bar—indeed, I have lightly prescribed it and would recommend then tightening the mechanisms in the guidance that follows the legislation—but it is nevertheless a crucial test to ensure that the body is set up in the public interest and is actually what people want.

My own local community is a pertinent example. It is no secret—it is in the White Paper—that the Minister and the Secretary of State hope to form county deals that lead to CCAs for Nottingham and Nottinghamshire and for Derby and Derbyshire. From all the coverage, I understand that those two deals are likely to come together. As a Nottinghamian I have doubts about that as a natural geography, but it is not necessarily about my views, or indeed the view of my constituency neighbour, the hon. Member for Broxtowe, who I am sure has his own views, or indeed the views of the Minister, as the initiator from the centre; it is about the views of the million-plus people who live in our community and whose future will be shaped by such deals. It is important that it happens with their consent and understanding, that the case is made for that geography, and that their views are properly and meaningfully tested and given due prominence in the discussion. That is a reasonable thing to ask and, if we are to get the bodies off on a good footing, a good idea and a good place to start.

Amendment 48 is a counterpart to amendment 46 and would amend clause 22, under which the area of a CCA might be amended in future. It mandates public consultation on a non-prescribed basis. It is even easier than the requirement for public consultation under amendment 46, because currently that would mean talking to people in the abstract: “You currently have a central Government, a local government, and you may have town and parish councils, a county council, two-tier local government or a unitary authority, as in the city of Nottingham. We are going to create this new body about which you do not know yet because you do not have a combined authority yet.” That will involve a certain amount of explanation and high-quality information. With amendment 48 it would be a bit easier, because at the relevant stage CCAs will already be established so it will be easier to ask the public whether they wish to enter or leave an established one.

Similarly, amendment 49 would amend clause 23, under which a CCA might be dissolved. Again, that is rather easy to explain to the public or for them to understand: “You have a CCA; do you wish to still have one? Here might be the reasons either way.” I have a lot of confidence that the public are more than capable of properly engaging in those decisions. In fact, I think there is significant public expectation of that engagement. As leaders in this place, we should look with some concern at the polling every couple of months on public trust and confidence in Parliament as a whole, and in our ability to enact the changes that they want. There is a high degree of scepticism. People are actually more confident in local government.

The strand that comes through all that polling is that people want to have a say. If we establish such important bodies, which will have a significant say on levelling up, we need to ensure that the public have been engaged at the earliest point.

[Tim Farron (Westmorland and Lonsdale) (LD)]

It is great pleasure, Mrs Murray, to serve under your guidance. I will say a brief few words, broadly in support of what the hon. Gentleman said about consultation.

Devolution is not devolution if it is done on the terms of central Government, by definition; nor is it really devolution if it involves hoovering up the functions of lower-tier councils. It is not devolution if it is done for the convenience of people in Whitehall and does not involve listening to the people in the communities directly affected. Setting up combined council authorities may indeed be an important building block in delivering what the Government see as levelling up, and I can see the merits in it, but although consultation needs to happen—it is right that it is written into the Bill—it also needs to be meaningful.

Twelve months ago, the Government had not settled on any kind of reorganisation for Cumbria—I speak from not bitter, but rich, personal experience—and we are now two months into a new authority, which was elected at the beginning of May and on which, I am pleased to say, the Liberal Democrats have a majority. Westmorland and Furness Council was but a twinkle in the Secretary of State’s eye only a year ago, however. There was a consultation, but less than 1% of the population of Cumbria responded to it. Generally, most people were of the view that the proposals were meddling top-down reorganisation for national, rather than local, purposes.

Remember that Cumbria itself was established in the early 1970s, when the historic counties of Westmorland, Cumberland, Lancashire over the sands, and the West Riding of Yorkshire were put together. That county kind of worked, but someone who went to Sedbergh would have to talk about cricket in a very different way from if they went to Grange. The reality of local identity is hugely significant. A consultation in which a few engaged people fill in a form on the internet is not consultation. It is a consultation in name, but the majority of people are not actually listened to.

If consultation is to be formally included in the Bill, that is fine, but I want it to be deeply embedded so that communities actually get a say about the boundaries that may be formed by any new combined council authorities. I am fortunate that every single blade of grass in my constituency is parished, but not every part of the Westmorland and Furness Council area is parished. It is important that voices in each part of the new authorities are able to express the views of those communities.

Consultation is vital, but it should be more than just a word. Arguably, as a society, we have never been more consulted but less listened to. Let us make sure not just that consultation is included in the Bill, but that it is ingrained in the practice of developing the new authorities, so that communities’ cultural identities are reflected and the wishes of the people on the ground go towards building those authorities, which should be built not for the convenience of Whitehall, but for the empowerment of communities in Cumbria and across the rest of the country.

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[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Neil O'Brien)]

It is a pleasure to serve under your chairmanship, Mrs Murray. I echo the comments from those on the Opposition Front Bench about the quality of the debate on the first day of line-by-line scrutiny. I hope to continue that tenor and interesting dialogue.

We completely agree with much of what Opposition Members have said, which is why we have provided for exactly what they want in the Bill. Let me expand on that. In the levelling up White Paper, we announced a new institution that we believe can provide the strong leadership and effective and coherent collaboration needed for a strong devolution deal in certain circumstances. This new institution is the new combined county authority model, referred to in the Bill as a CCA.

As Opposition Members have said, the appropriate circumstances for that model is where a county deal covers an area with two or more upper tier local authorities. Those upper tier local authorities will be the constituent members of the CCA. Although we have not yet of course established any combined county authorities, because we are legislating for them here, we need to look to the future, as Opposition Members have said, and anticipate a scenario where an established CCA wishes to change its boundary. Since there is no benefit in a shell institution existing in perpetuity, it is only right that the legislation provides for such an institution to be abolished.

Wherever a CCA is planned to be established, its boundaries changed, or is to be abolished, we absolutely want to see the local public being consulted on the proposal, but the amendments are unnecessary, because the requirement for a consultation on a proposal to establish, amend or abolish a CCA is already provided for in clauses 42(4)(a) and (b), and 44(3)(a) and (b). Those provide an opportunity for local residents, businesses, organisations and other key stakeholders to have a say on the proposal, exactly as my hon. Friend the Member for Keighley pointed out. A summary of the consultation results must be submitted to the Secretary of State alongside the proposal and have regard taken of it.

There is a further safeguard in clauses 43 and 45, which provide that the Secretary of State has to undertake a consultation before creating, amending the boundary of, or abolishing a CCA, unless there has already been a consultation in the affected areas and further such consultation would be unnecessary. That will ensure that there has been sufficient public involvement in the consideration of whether it is appropriate to establish, change the area of or abolish a CCA. As such, I hope that I have given sufficient reassurance that the amendments would be purely duplicative for the hon. Members to withdraw them.

To touch on a specific point, the hon. Member for Nottingham North talked about initiators of devolution at the centre, we are the initiators of the devolution process in one sense. However, we are not the initiators of devolution deals for particular places. Ahead of the levelling-up White Paper, we called for expressions of interest, and we only move forward—we can only move forward—with a devolution deal if it has the support of locally elected leaders. In that sense, we are not the initiators; it takes two to tango, and that is the nature of devolution. In this Bill, it comes with what I hope for Opposition Members is sufficient requirement to engage in deep public consultation, and for that consultation to be listened to properly, as said by various people.

[Alex Norris]

I am grateful for colleagues’ contributions. They were good ones. Briefly, the example given by the spokesperson for the Liberal Democrats, the hon. Member for Westmorland and Lonsdale, was a salutary tale. Again, there is the idea that something so significant might be engaged in by only 1% of the population; if that is where we end up with these structures in future, it would be really problematic and almost undermine their ability to perform from the outset.

On the points made by my hon. Friend the Member for York Central, I have not quite found the right moment in the debate to talk about integrated care systems, but that is a good example of another very significant body that will have to engage with the county combined authorities in some way. The footprints do not sit elegantly, and they do not in life—I understand that. It is easy in countries such as the US perhaps, where they have defined, existing state borders—okay, everything can fit elegantly around that, but it can still get confusing at the margins.

There is a challenge there, but I think that it gives greater strength to the case for public involvement, rather than saying we ought to sit here with a map and carve things up. The people who know that best and how the sensible natural geographies work are the general public. The answers lie there, and it happens naturally—people know at what point they start to look, say, northwards to the hospitals in the north of the county, rather than to the one in the south, as happens in Nottinghamshire. That is a strong case for greater public involvement.

I am, however, reassured by what the Minister said about the provisions in clause 42(4)(a) and so on—the hon. Member for Keighley mentioned them, too. The reason for the separate amendment was my concern for the process to be one that happened not as an ABC condition right at the beginning, but as a co-equivalent term of engagement. Clearly, from what the Minister said, the intent is not to come alongside a proposal: “Have you brought your consultation with you? Right, that is ticked, therefore it is done.” On that basis, I will not press my amendment to a Division.

I will finish on the point the Minister made about initiating devolution. I am not sure that I quite agree with what he said. First, of course the centre is the initiator, in the sense that we could not have these bodies if we did not have the Bill, and we could not have the Bill if a Minister of the Crown had not presented it—so the centre is the initiator in that sense.

Also, I love the idea that the Government’s view is that local communities of a natural geography would come together to ask for county combined authorities and, most importantly, the powers that come with that, and the Government would respond on the quality of that application, but the White Paper already tells us the 10 areas that the Government are prioritising. That is “initiating” in any sense of the word; those are the areas chosen and the geographies for those areas have been chosen. There is no sense that this is a “come one, come all” process, as the Prime Minister has previously said— come to him or the Minister with ideas and “We will give you the powers you need.” That is not what is in the White Paper—it is very clear who it is who is being called forward. So I challenge the Minister’s point on that, but I am grateful for the comfort he has given on the amendment and I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

[Alex Norris]

I beg to move amendment 15, in clause 7, page 7, line 7, at end insert—

“(4A) “The Secretary of State must commission an independent evaluation of the merits of establishing CCAs as distinct from combined authorities and must lay the report of the evaluation before Parliament within 12 months of this Act coming into force.”

This amendment would require the Secretary of State to conduct an independent evaluation on the merits of the new Combined County Authorities established in Clause 7 and to report the findings to Parliament.

As we have discussed, the clause establishes county combined authorities if conditions A and B are met. The latter is the most pertinent. CCAs are different, though complementary, to combined authorities, which already exist under part 6 of the Local Democracy, Economic Development and Construction Act 2009. The clause essentially rolls out combined authorities so that all communities can have access to devolved powers, which is of course a very good thing.

That raises the question of why we need this clause, as we have the power on the statute book already. We need to be very clear, because this is a significant policy change. The Government feel that there is a need for CCAs alongside combined authorities. The decision to form such a combined authority can be decided at the upper tier, which essentially removes what the Minister termed, in the evidence session, the district council “veto”—we will get into that point more when we reach clause 16. This is a significant moment, a significant distinction and a significant divergence from current policy, which will have a significant impact for all those areas with two tiers of local government. I have no doubt that it will elicit strong feelings about whether district councils should be a formal partner in the process; the powers included here mean that, in the future, they will not be.

Amendment 15 is perhaps slightly less exciting. We will now have essentially two sets of organisations that basically do the same thing, or which will be used largely interchangeably in this place, the media and in public conversation. I expect that Ministers will engage with both types of organisation similarly—there is nothing in the White Paper to suggest otherwise. I understand the value in getting them going, but—I am leaning on the expertise that the Minister has access to—does he have no anxieties that that different legal status may lead to unintended consequences down the line in terms of what the organisations can and cannot do? We might end up with a divergence that we are not seeking. As far as I have had it explained, the only reason for divergence is for the ability and convenience of getting these things going.

The amendment asks that within a year of the Act coming into force, the Secretary of State commissions a report that establishes whether it is desirable to have this technical difference for things that are substantively the same.

[Rachael Maskell]

I can already hear what the Minister is going to say in response, because we rehearsed some of these arguments on Tuesday. The importance of the independence that the amendment points to should also be drawn out. If we are building confidence between communities and Government and establishing a new tier of power and of democracy, having rigour and independence is also important, to ensure that we can progress proposals on CCAs. Does my hon. Friend agree that that is a vital element of what the amendment proposes?

[Alex Norris]

Yes, that independence and transparency will be the theme of a lot of our discussions. I make no apology for that. In this case “independence” was carefully chosen because we need to be clear that the reason for setting up a new class of combined authorities as distinct from those cited in the 2009 Act is one of convenience, because it means that something will be done. The broad agenda has been stuck, spinning its wheels, and there are no more combined authorities in the works because those who were able to form consensus have done so and the rest, presumably, are unable to do so. The Government of the day have the right to bring forward proposals, as they have done, but the amendment is designed to provoke a clear response from the Minister that there is no danger of separate treatment for those bodies that is not intended at the outset.

--- Later in debate ---

[Neil O'Brien]

In my earlier comments, I set out the CCA model and talked about the rationale for it. Some areas that we are discussing a devolution deal with are considering adopting that CCA model. But even with those first areas, it is highly unlikely that the deals will be negotiated, announced and implemented via secondary legislation, and CCAs established and up and running within the 12-month period of this Bill receiving Royal Assent. That would render the report’s evaluation no different in 12 months’ time from today.

Opposition Members rightly want to have a debate in Committee about the CCA model. I have said a bit in our previous sessions about why we are doing it, but let us take the discussion a bit further. The purpose of the CCA model is to make devolution practically possible in two-tier areas without requiring unitarisation. The hon. Member for Westmorland and Lonsdale talked about districts coming under the aegis of a CCA, but that is not quite right. It could easily be that only top-tier authority powers are devolved to the top-tier authorities in a CCA. If they do not want to, the districts may choose not to take part. They are not having their powers or responsibilities changed, but the difference is that they are not able to veto their neighbours from getting devolution or making progress.

I am perfectly happy to stand here and make an argument about fairness, because I do not think it is fair that one district can veto progress for a large number of neighbouring districts and boroughs for top-tier authorities, particularly if it is not being forced to do anything, as is the case under the Bill. It is simply unfair for such a district to be able to stop their neighbours going ahead.

The Opposition sort of alluded to the practical reality in that although I would not rule further mayoral combined authorities in the future, in a lot of a country that currently does not have a devolution deal, the CCA model will be the practical way of delivering that. In practice, if we do not have that model, we will just not make progress. I can think of one area that we currently discussing that has a very, very large number of district councils, and it is exceedingly unlikely that we would be able to agree a sensible agreement if every single one of them were given a veto.

In a sense, the amendment is to push us, not unreasonably, to talk about the whether the CCA model is the right one. The proposed evaluation is in one sense called for so that we can now discuss whether this is the right thing or not. I think we have been clear. There is no back door. I am standing here telling Members why we are doing it right now and what it does and does not mean. We will discuss some of the nuances when we consider further clauses, and we absolutely have to get that right. However, the amendment and the evaluation proposed would essentially not add anything to our conversation this morning, whether one believes that the CCA model and the removal of that veto is right or not. That is why I ask the hon. Gentleman to withdraw the amendment.

[Alex Norris]

I share a lot of the views expressed by the hon. Member for Westmorland and Lonsdale about districts, which we will have the opportunity to discuss further in the debates on future amendments. I also agree with what he said about parishes. I hope the Bill is the single biggest step forward for parish and town councils in terms of the community powers that they can exercise, closest to the lowest possible level, to give communities a real say in what happens in their area. The Bill does not currently say that but we will seek to add it in due course.

I have a number of points to make about what the Minister said. I appreciate his candour, which reflects well, as it would be easy for him to obfuscate. I take him at his word, but I am surprised that there is a sense that within a year of the Bill achieving Royal Assent, which itself is some months away and probably nearer to Christmas, we will not have had any future deals agreed under these provisions. That genuinely surprises me, and I suspect it will surprise quite a few people who are currently negotiating such deals. I understand that the Minister has May 2024 in mind for elections; that timescale does not give us an awful lot of time, which poses its own desirability problems.

I disagreed with the Minister’s point that rather than this being about circumventing districts it is about making combined authorities possible without requiring unitarisation; that is not quite right. Deals have been made that involved district councils and they did not require unitarisation; they required consensus and understanding. I do not think it follows that it is either what is in the Bill or unitarisation, which leads to the point about districts not losing power. We will test that later, but I am glad that the Minister has put that on the record because it is important.

The Minister made a point about fairness, which I understand. He alluded to an example in which a deal with perhaps 15, 18 or 20 partners could not go ahead because one partner was able to say no to the whole process; I agree with him that that is probably not a good thing. Possibly, that is a point about fairness, but there would be other ways around it, such as to allow districts to exit a process and others to carry on. Again, there are benefits and disbenefits to that. Rather than a single district being able to veto the whole process, it could be done by a super-majority, given the significant nature of the decision.

[Neil O’Brien]

The hon. Gentleman has touched on a really important point. He has encapsulated in a very neat way what we are trying to establish here, which is the ability of districts to participate if they want to and not to if they do not want to.

[Alex Norris]

I am grateful to the Minister, but I do not think that will be the effect of the legislation. The reality is that a combined authority area can be formed for the area that includes the district council, whether it wants that or not. Indeed, the district council will have limited say. I do not want to prejudge the discussion we will have when we come to clause 16. It is welcome that the Minister has nailed his colours to the mast, but the reality is other mechanisms could have been chosen. The Government have chosen this mechanism, so it is right that we probe it. We have been able to do that and, as I am at risk of moving ahead of the discussion, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 7 ordered to stand part of the Bill.

Clause 8

Constitutional arrangements

[Alex Norris]

I beg to move amendment 16, in clause 8, page 7, line 24, after “about the” insert “initial”.

This amendment, together with Amendment 17 would give the power to vary the constitutional arrangements of a CCA to the CCA alongside any elected Mayor.

[The Chair]

With this it will be convenient to discuss amendment 17, in clause 8, page 7, line 25, at end insert—

“(1A) After regulations containing those initial arrangements have been made, the responsibility for varying the constitution lies with the CCA in conjunction with any elected Mayor.”

See explanatory statement for Amendment 16.

[Alex Norris]

The amendments would alter clause 8, which allows the Secretary of State to establish constitutional arrangements for a county combined authority, which are important and establish the terms of engagement. We Members know as well as anybody else that the basic rules by which a body corporate operates can have a significant impact on decisions and outcomes—although they might not be codified in one place, lots of significant rules and conventions guide our activity—so it is possibly not a surprise that we may be the type of people who get very interested in these sorts of things.

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[Rachael Maskell]

My hon. Friend is making an important point about the autonomy of CCAs to control their destiny. We recognise that we are on a journey of devolution. In her evidence, the West Yorkshire Mayor, Tracy Brabin, spoke about how she sees the intersection between her role and that of overseeing the police and taking a public health approach, which shows how things can evolve. As she does that, other authorities will be looking on and looking to replicate such opportunities. Does my hon. Friend agree that CCAs have to be given latitude so that they can make determinations about their own evolution and, as time goes by, get more powers to fulfil the aspirations and opportunities that need to come to local communities, let alone do anything to address the inequalities?

[Alex Norris]

I share my hon. Friend’s view. That point was made very clearly in Tracy Brabin’s evidence. Having said that we in this place have an interest in constitutions and the rules of the game, my strong belief, as someone who wants to see change happen in my community and to see my community improve in a vast range of areas, is that form should follow function. What are we trying to get out of these bodies? The structures—the bodies and committees that need to be in place—should then flow from that. I strongly believe that the people best able to decide that will be those who operate locally in the combined authorities.

The Government have to set the broader parameters, but I am hoping to hear from the Minister that those are likely to be de minimis involvement and that, instead, they will positively cut the link and allow county combined authorities to drive action forward without worrying about that tap on the shoulder telling them that even though they said they wanted to do that, they cannot.

[Neil O’Brien]

In our response to this amendment, it is crucial that we hold in our minds the distinction between local standing orders for combined authorities on the one hand and the statutory instrument setting out things such as voting arrangements on the other. It is essential for the stability and the establishment of combined authorities that things such as voting rights can be set out in secondary legislation to ensure a stable institution. Of course, the CCA can set out its own local constitution by itself, but those two things are very different.

We have talked already about the county combined authority model; clause 8 is vital to permit the effective operation of a CCA. Before making regulations under this section, the Secretary of State needs the consent of the constituent councils and, where it already exists, the CCA. In other words, the arrangements cannot be imposed against the local area’s will.

To answer the point made by the hon. Member for Nottingham North, the clause closely mirrors the provision for combined authorities, which has supported the establishment of 10 combined authorities, each approved by Parliament. In this instance, “constitutional arrangements” means the fundamental working mechanisms of the CCA, including things such as its constituent membership and voting powers. It is vital that those things are set out in secondary legislation and approved by Parliament. That ensures that CCAs are stable institutions with good governance, in line with agreed devolution deals. It is only right that the core design and operating model of the CCA, such as the constituent membership and the voting arrangements on key decisions, remain in line with the devolution deal agreed by Government and local partners at the outset, with the secondary legislation establishing the CCA being approved by this Parliament.

A CCA can set out its own local constitution or standing orders with additional local working arrangements. It might, for example, set out meeting procedures, committees, sub-committees and joint committees of the CCA. That is done locally, at the right level consistent with our position on localism, and does not require secondary legislation. The Mayor of West Yorkshire pointed out that they were making changes to go from one to three scrutiny committees, which is quite right.

The amendment is really inappropriate and potentially quite dangerous to the devolution process. It is inappropriate because it would allow a CCA to change elements of its constitution that are rightly approved by Parliament and part of the initial devolution deal agreed by all parties locally. It is unnecessary because all the other elements of a constitution can already be changed by the CCA locally. I hope to have given sufficient explanation for why we will ask Members to withdraw amendments 16 and 17.

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[Alex Norris]

I am grateful for that response. I take slight exception to the idea that the constitutions cannot be imposed without will. Yes, of course, all the members of the county combined authority will have had to have signed up to it—I understand that—but it will presumably be an indispensable part of the wider package, so we would be asking for local areas to turn down possibly many millions of pounds’ worth of funding, plus transport powers, extra housing powers and powers on skills, because they do not like the shape of the constitution. Of course they are not going to do that. I would not characterise that as them entering into it with the freest of free wills.

[Neil O’Brien]

Perhaps it would help if I were to expand a little. If I were a local government leader considering joining a CCA, I would want to know that the key arrangements for it, such as voting arrangements, would be stable over time and could not suddenly be changed by a potentially transient majority of local authority leaders who are members of it. To be honest, if I felt that that could happen to my local authority, I would be wary about signing up to a devolution deal on that basis. That is why certain core functions of these things are rightly set in secondary legislation, while other elements are rightly for local decisions so that they can make arrangements work for them and make things work locally.

[Alex Norris]

I am grateful to the Minister. I understand that, but I would like to know that local authorities will not fall victim to a one-size-fits-all arrangement. One could argue either way, which is fine.

The Minister’s point about local standing orders has addressed most of my concerns. He said that the arrangements remain in line with the original deal, but that cuts both ways. If he is saying no to local variation but yes to the idea of local standing orders, that must also mean that the Secretary of State will not make such changes. If we start to see variation between those deals, that becomes challenging, but I am getting ahead of the amendment before us. I am grateful for the clarification on local standing orders, and I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 8 ordered to stand part of the Bill.

Clause 9

Non-constituent members of a CCA

[Alex Norris]

I beg to move amendment 18, in clause 9, page 9, line 30, at end insert—

“(7) The Secretary of State must publish an annual report on the non-constituent members appointed to each CCA. This report must include:

(a) the age of all non-constituent members,

(b) the gender of all non-constituent members, and

(c) the ethnicity of all non-constituent members.”

This amendment would require the Secretary of State to make the age, gender and ethnicity of non-constituent members of CCAs publicly available.

[The Chair]

With this it will be convenient to discuss amendment 19, in clause 10, page 10, line 3, at end insert—

“(5) The Secretary of State must publish an annual report on the associate members appointed to each CCA. This report must include:

(a) the age of all associate members,

(b) the gender of all associate members, and

(c) the ethnicity of all associate members.”

This amendment would require the Secretary of State to make the age, gender and ethnicity of associate members of CCAs publicly available.

[Alex Norris]

Clause 9 allows county combined authorities to designate non-constituent members—presumably other bodies such as integrated care boards, chambers of commerce and others—as nominating bodies. Clause 10 allows CCAs to designate associate members. I presume that those provisions are designed to enhance discussion and collaboration, which is a good thing for which we have argued throughout proceedings. CCAs ought to be partnerships between those sectors, and it is right that that is reflected in the Bill. Good examples abound throughout the country, and it is quite interesting to see the different approaches that combined authorities have taken.

Liverpool city region has a local economic partnership representative and a Merseytravel representative; West Yorkshire has a local economic partnership representative; and West Midlands has a tremendous range of observers or co-opted organisations, such as the Midlands Trades Union Congress, and representation from the young combined authority. In evidence, I asked the Mayor of the West Midlands about how that worked in practice, and it was clear that that combined authority had built an admirable cross-sector culture. I hope we will foster such a culture across the piece.

We are establishing a new tier or class of politician and public figure—especially when adding elected Mayors—and those people will make significant decisions that affect those they serve. They will have their own organisational mandates—elected or otherwise—and will come together to make significant decisions. However, they will be some way away from the public.

It is crucial—I hope there is general agreement among all parties on this—that our democratic organisations and public bodies strive to reflect the communities that they serve, and that we acknowledge the challenges and imbalances when they do not. Poor representation is a bad thing not just for those who are under-represented and suffer the consequences of a decision-making process that does not reflect their needs or interests, but for the institutions themselves. When they do not represent considerable parts of the population, they lose their legitimacy.

I do not think such problems could be amended at the stroke of a pen, but they can be understood, and an understanding of them is what we seek to achieve with amendments 18 and 19. Amendment 18 would add to clause 9 a requirement for an audit on the age, gender and ethnic composition of non-constituent members. Amendment 19 would amend clause 10 so that a similar audit happens for associate members. That information would be updated annually, would be produced by the Secretary of State and would be public and accessible to all.

There are examples of the positive role that legislation can play in empowering us to reveal inequalities and promote change. The Equality Act 2010, one of the final pieces of legislation of the previous Labour Government, is a case in point. It has been transformative, and building on elements of that Act would really enhance our work here. For example, section 106 of that Act requires the publication of diversity data on candidates, but the power has yet to be commenced by the Government, which is a real shame. That weakens our ability as a Parliament to represent the country we serve. Perhaps the Minister can tell us when that power might be turned on.

[Rachael Maskell]

I am conscious that the most recent census information, which is just coming out, shows a significant change in the demographics of our country. It is important that we not only look at the three protected characteristics mentioned in the amendment, but consider wider protected characteristics—for example, disabled people in positions of authority. As well as reflecting communities, seeing that leadership is often an encouragement.

[Alex Norris]

Yes, that is right. The suggestions in the amendments form a basis—I would be very keen to build that out across the protected characteristics.

That provision has worked with gender pay gap reporting and has driven a public conversation. I envisage the changes we are seeking to introduce working in a similar way; at the moment of publicity, the reports would create reasoned and informed public debate about how to change some of the inequalities that exist. Diversity data is a really good way of doing that. This is about being honest and having the conversation, so that we might change things. We should start this new class of bodies, which are going to be really important in our communities, on the best footing, with best practice.

Of the Mayors who have been elected so far, only one has been a woman and only one has been from a black, Asian or minority ethnic background. We would not want any new arrangements to exacerbate existing gaps in representation. Of course, ultimately it is up to voters to select who they wish to be their Mayor, but when CCAs have the power to choose associate and non-constituent members, I hope that we would say from the outset that we want to see a diversity of representation.

[Rachael Maskell]

Does my hon. Friend agree that the act of carrying out an equality assessment and looking at the diversity of the people who are appointed focuses the mind to consider who is being appointed to these posts?

[Alex Norris]

I think that is right. That has been the experience of the provisions of the Equality Act, and would be the experience here, too. We want these issues to be at the front of CCAs minds at the outset. We want them to speak and work with legitimacy for their communities. They do that by being representative of the communities they serve.

These changes are not onerous. I dare say the report could be done quite quickly. I hope the Government think this is important, that we will hear from the Minister that he thinks it is important and that he will therefore be minded to add them to the Bill.

--- Later in debate ---

[Neil O'Brien]

I am grateful to the hon. Member for taking the point, because I agree with the tenor of the argument, that we do not want to have major strategic decisions made by a quango. That is what we spent the past eight years fixing—starting in the coalition years, in fairness. We are on the case with his concerns.

Let me take a step back for a moment and set out what the clauses are doing. Clause 9 provides a flexible framework for combined county authorities to appoint non-constituent members, who are representatives of a local organisation or body, such as a district council, a local enterprise partnership or health body. Clause 10 provides for CCAs to appoint associate members, who are individual persons with expertise, such as a local business leader or an expert in a particular policy area.

Combined authorities have appointed commissioners with specific expertise to focus on a challenging local policy area and drive change—for example, the Greater Manchester Combined Authority appointed Dame Sarah Storey as a commissioner on active travel. It is a way of bringing in experts and other institutional stakeholders locally to complement the core of, ideally, directly elected local leadership so that everyone works together as well as possible.

It is only right that those nominations, or appointments, are the decisions of local leaders, who best know their areas. The clauses set out transparent processes for the nomination and appointment of both types of members. For a non-constituent member, the CCA designates the local organisation or body as the “nominating body”, which then selects a person to represent it at the CCA. It is for that nominating body to make that decision. For example, the CCA might designate the district council as a nominating body and then the district council selects its leader, for example, as its non-constituent member representative at CCA meetings—ex officio, as it were.

The clauses provide a way for local experts and key stakeholders to have a seat at the table of a CCA, bringing their local expertise and knowledge to facilitate better action to tackle local challenges. Those are vital public roles and transparency on them is equally vital. That is why clause 11 enables the Secretary of State to make regulations about the process of designating nominating bodies, the nomination of non-constituent members and the process of appointing associate members. We expect that all appointments of associate members will be undertaken through an open and transparent process, of course.

By their very nature those roles will be public roles—for example, a public body such as a district council nominating its leader to a role in another public body. In the Bill’s spirit of localism—a key word—this is a matter to be decided locally by the CCA and nominating bodies. They are independent of central Government and it is right that they make the decisions about how and with whom to collaborate.

The amendments seek annual reporting regarding the persons selected by the nominating bodies to be non-constituent and associate members. The Government do not believe that they should prescribe to CCAs that they should be informing Government of the specific make-up of their non-constituent and associate members. As with all good public bodies, a CCA should promote equality and diversity in the organisation. What is more, non-constituent and associate members are only one part of the membership of the CCA. The amendment calls for a report on one group of members of a CCA and does not reflect the CCA as a whole, including its constituent members, which is slightly odd. It is also slightly concerning that, as the hon. Member for York Central mentioned, the amendment mentions only some but not all of the protected characteristics. That would open up some potential legal questions that I am not really qualified to opine on.

The core point is that non-constituent and associate members of CCAs have an important role to play, but the amendment is unnecessary. It fails to consider the independence of CCAs and nominating bodies and does not reflect the fact that the positions of associate members and non-constituent members will, by their very nature, be public; these are not secret roles. I hope that the hon. Member for Nottingham North will agree to withdraw the amendment.

[Alex Norris]

I am grateful to hon. Members for their contributions. I agree with the hon. Member for Westmorland and Lonsdale, who expressed the hope that we are not establishing a quango. We are definitely establishing a new class of leadership, however, and it is less local and less directly accountable.

I am slightly disappointed by the Minister’s response, because I did not get a sense—

[Neil O'Brien]

I have to take issue with the hon. Gentleman’s comment about the process being less local. If I think about the devolution of powers over a number of things that are already done through combined authorities, such as the devolution of adult skills spending, if an authority is not in a CA, that decision is made in Whitehall. The decision is made here. In the combined authorities, such a decision is made more locally, for example by the West Midlands Combined Authority, which I visited the other day. Such authorities are making better decisions; because they are more local, they can create the co-ordination between local colleges. I take issue with the idea that decision making is less local as a result of what we are doing for devolution.

[Alex Norris]

The Minister is of course right that such decisions are more local than central Government, but that goes back to my argument on the first set of amendments. Having told people that communities will get the power to shape place, if what comes through the process is devolution to a new level of politics consisting of politicians and public figures who are further way from those people than their local councils, I do not think we will have passed the localism test. That may be a point of difference but that is certainly my view.

I had hoped to hear the Minister offer a slightly stronger commitment from the Government that the new bodies really ought to represent the communities they serve in terms of their make-up. I am surprised that was not said. We were left to believe that the make-up was for local decision making. Just as in the Health and Social Care Act 2014, I fear that we will end up with Schrödinger’s localism: when there is a difficult decision to be made, “That’s a local decision”; and when the decision is something that the Government want to reserve to themselves, “Of course we have to set the rules of the game, because otherwise it is dangerous”—as the Minister argued in response to the debate on the previous set of amendments. The Government are in danger of falling into some cakeism, but I hope that is not the case.

[Neil O'Brien]

This is an opportunity for me to repeat that, like all good public sector bodies, the CCA should promote equality and diversity within the organisation and it is for the CCA to do that locally. On the point about cakeism, these are two very different things. In the case of the voting arrangements for a combined authority, allowing them to be changed locally by a transient majority might cause a lot of local authorities to simply not join in the first place.

[Alex Norris]

I am grateful to the Minister for clarifying that; I would never want to misrepresent what he has said. On the second point, we are likely to test it considerably over the next however long.

I struggled with the Minister’s criticism that the amendments excluded the constituent members of the CCA. That would be a valid criticism had he put in a provision that included them, but he has chosen not to. Similarly, his criticism that I have not included all the protected characteristics would be valid had he put in a provision covering them all. I do not believe that he wants to do those things, so I think that was slightly unfair. On the question of legality, he has access to more lawyers than I do, but I spoke to the Equalities and Human Rights Commission and it did not have a problem with this, so I do not think legality would be an issue.

I am willing to accept the Minister’s point about non-constituent members, pertaining to amendment 18, in that, as he says, they are appointees of their own organisation. I remember chairing my health and wellbeing board and my discomfort at the fact that it fitted the characteristics the hon. Member for Westmorland and Lonsdale described more than it ought to have in a community that was very diverse, but when it came to trying to do something about that, the point was made to me that the board members were representatives of organisations, including the police, the council, the universities and so on, which themselves had diversity challenges that led to that common challenge, to which there was no elegant solution. On that basis, I will not press amendment 18, but amendment 19 involves choices—direct choices—whereby a county combined authority decides who to put on. I want to know whether we are trying to address inequities or just repeating the same failings. That is an important point of substance, so I will withdraw amendment 18 and press amendment 19 at the appropriate time. I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Clause 9 ordered to stand part of the Bill.

Clause 10

Associate members of a CCA

Amendment proposed: 19, in clause 10, page 10, line 3, at end insert—

“(5) “The Secretary of State must publish an annual report on the associate members appointed to each CCA. This report must include:

(a) the age of all associate members,

(b) the gender of all associate members, and

(c) the ethnicity of all associate members.” —(Alex Norris.)

This amendment would require the Secretary of State to make the age, gender and ethnicity of associate members of CCAs publicly available.

Question put, That the amendment be made.

--- Later in debate ---

Regulations about members

[Alex Norris]

I beg to move amendment 20, in clause 11, page 10, line 37, at end insert—

“(2A) Where provisions made under subsection (2) vary between CCAs, the Secretary of State must publish the reasons for this variation.”

This amendment would require the Secretary of State to explain their reasoning for making regulations about CCA membership that differs between CCAs.

Clause 11 permits the Secretary of State to make regulations relating to constituent members of a CCA, a Mayor’s role in a CCA, the nominating bodies of a CCA, and non-constituent and associate members of a CCA. Furthermore, it allows the Secretary of State to decide all sorts of ways in which a CCA operates: votes, numbers and types of nominating bodies, the appointment and removal of members, maximum numbers of certain types of members, and so on.

That broad range of provisions might lead to a risk of micro-management. I have doubts about how desirable it is to be so involved in the detail; it feels a little as though central Government are not quite willing to let go. The Minister said that there is a risk of divergence, certainly at the outset. Although we have taken that interesting point on board, it seems a little odd that the Government are willing to devolve transport functions—and, presumably, no little sum of money—to a group of people, but are unwilling to let them choose whether to have substitute members in the place of associate members. I hope that amendment 20 will help in that regard.

The clauses we have debated so far have established county combined authorities, and given them constitutions, as a uniform class of organisation with a uniform set of rules to play by—or, at least, a uniform set of circumstances under which regulations will set those rules. I will probe the Minister on how he thinks that will work for individual CCAs. Ten new devolution deals were mooted in the White Paper—happily, Nottingham and Nottinghamshire were in one of them. Will those deals be set up with the same constitution? I cannot see why they would not be.

Amendment 20 would give the process some teeth, so that should the Nottingham and Nottinghamshire deal, for example, be different from the others, the Secretary of State would have to explain why those deals have been set up with different constitutional arrangements. That would not stop any differences, but it would be a recognition that the default position should be alignment and that any divergence should be explained.

The reasoning behind the amendment—I think this is a theme that we will cover in later amendments—lies in the history of combined authorities. I have a real personal discomfort with the idea of asymmetric devolution. I lived the first half of my life in Manchester, where my family still live, and I have lived the second half of my life in Nottingham. At some point during the last decade, a judgment was made in the Department that Greater Manchester could have a greater say over its future than Nottingham could over its own. Of course, that might have formally ended in proposals being submitted and deals being struck, but in reality, there were an awful lot of conversations about Nottingham’s readiness and Greater Manchester’s readiness. Ministers—not this Minister, but his predecessors—made the judgment that we in Nottingham would be unable to wield such powers. Of course, local circumstances can make that challenging, but I think our common personhood means that we ought all to have access to the same powers. We will pursue that theme in our amendments.

That is the basic principle, and although it can look different in different places, it holds firm. Instead, we have been left with a mishmash of different devolution settlements and deals. If we sought to explain to someone from outside the country our 10 current devolution deals—never mind the areas that do not have anything at all—we would struggle to explain them with any kind of criteria other than evolution over time. I do not think that CCAs should perpetuate that. The welcome direction of travel that the Minister and Secretary of State set out in the White Paper was that they did not want it to be that way in future, but that instead there were tiers of power to which everyone had access and that communities sought to take on, so that is a start.

The amendment would provide a check, so that if the governing document that drives the CCA—its constitution —does not start on the same basis, there must be really good reasons why not and a public account of those reasons, whereas what we have now is this rather inexplicable variance.

[Tim Farron]

I will be brief, given the time. Personally, I have no problem with asymmetrical devolution. A contrived central devolution is perhaps why Lord Prescott’s proposals in the ’90s and noughties did not work and were not popular. I have no problem with asymmetrical outcomes, but I have a serious problem with asymmetrical autonomy. Each community should have the same access to powers, even if gained in a different way. This is an important probing amendment, and I am interested to hear what the Minister has to say. For example, a rural community such as Cornwall, Northumberland or Cumbria should not have a Mayor forced on it if it does not want one, yet it should still have the same access to the same levels of power that the Government are offering through devolutions to those communities that do have a Mayor.

[Neil O’Brien]

The amendment brings us to a series of other amendments bound together by a particular philosophy encapsulated in the statement by the hon. Member for Nottingham North that the default should be alignment. The amendment is a particular and bleak way into this philosophical debate, and amendments to some later clauses—in particular amendment 26—make the Opposition’s position much clearer: that things should move in lockstep and that there should be more one-size-fits-all.

Fundamentally, we pretty profoundly disagree with that philosophy for a number of reasons. Devolution agreements should be different in multiple different ways, because there are different local wants. Simply, the point of devolution is that different people in different places want different things, and devolution makes that possible. Pragmatically, there are also different readiness levels. In some places, a process has been going on— for example, the Healthier Together work in Greater Manchester, which had been going on for a decade before health devolution in Greater Manchester. Also, different places are set up with various partners that they work with at different readiness levels.

On a pragmatic point, my great fear about adopting the one-size-fits-all, lockstep approach of the convoy moving at the speed of the slowest is that we will just not make significant progress. Were the hon. Gentleman to find himself in my place and I in his, he would discover that he could not make much progress in getting Whitehall to devolve powers. That is no small thing—to ask the elected Government of the day to give up control of the things for which they will be held accountable by the electorate to local politicians, who in many cases may be of a different political party. That is no small thing to agree. If it were said that a power could not be offered to a particular place unless it was offered to all—like the most-favoured-nation principle—I promise that devolution would grind to a halt extremely swiftly.

There is a framework. The basics are set out in the levelling-up White Paper, but variation is intended. Variation is a feature, not a bug of our devolution agenda. We believe in localism, in particularism, and in adapting things to the particular needs and particular local politics of different places—I agreed at least partly with what the hon. Member for Westmorland and Lonsdale said, which in some ways chimed with our view of this.

The hon. Member for Nottingham North asked us to explain why that might be so, in particular in relation to the amendment, which is about membership. Simply put, there might well be different numbers of members in different CCAs. We could have one with two members or one with a lot of members. Or we could have ones where the members were relatively similar authorities, or one where one member had radically different characteristics from the others—we might imagine a load of urban authorities and one that was more rural, or something like that. However, this amendment is the start of a series of amendments, so I will not labour the point at this stage.

Something else that the hon. Member for Nottingham North said that chimed with me and stuck out was that the centre should let go. That statement is very much our intention, in practice, with the desire for uniform devolution. We do have to let different places do different things because, fundamentally, they have different priorities. One place might care a lot about housing issues, but another might care about its innovation strategy. These things should be different, reflecting different wants.

To recap why we still want voting arrangements, for example, to be in secondary legislation, it is not primarily us in central Government that that arrangement is protecting; it is protecting local leadership from someone joining something only to find that they have been stitched up and then have their powers taken away due to a particular alignment of local leaders. Some things must be certain for local leaders and should be locked down and made safe for them in order for them to make progress, but in other ways there should be diversity, variation and localism.

This amendment represents just one aspect of that philosophy in practice, and we will talk about it again under other amendments, but the Opposition spokesman called on me to be direct, and I will be. There is just a difference in philosophy here about how we should approach devolution.

[Alex Norris]

There is a difference of philosophy, but the Minister slightly misrepresents the point I am trying to make, or perhaps I am not explaining it well. Our intention is not, as he characterises it, a lockstep, one-size-fits-all movement forward or, as he says, that the convoy must move at the same speed; it is that divergence, where it exists, should be the choice of the local community, not central Government. That is what we have today. The Minister is reserving for himself the ability to pick and choose who the Government feel is able and willing to exercise certain powers in certain ways in certain contexts. I do not agree with that, and that is the difference.

We are not saying that the settlement will be the same in every part of the country. The Minister says that this is a feature rather than a bug. I agree with that, and that is the point that we will be probing in subsequent amendments. We do not need to fight things out on constitutions at this stage. We will need to return to that, but on the principle that we are not saying that one size fits all, rather that the Government should not get to pick the winners. I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Ordered, That further consideration be now adjourned. —(Miss Dines.)

Levelling-up and Regeneration Bill (Fifth sitting)

Alex Norris Excerpts

Committee stage
Tuesday 28th June 2022 Public Bill Committees

[The Chair]

Before we begin, I have a couple of reminders. Colleagues should switch off telephones, or at least switch them to silent. No food is allowed, although Members are allowed liquid refreshments. Our Hansard colleagues would be delighted if Members emailed their speaking notes to [e-mail].

We are about to begin line-by-line consideration of the Bill. The selection list for today’s sitting is available in the room, here in front of me. The selection list shows how the selected amendments have been grouped for debate. Grouped amendments are generally on the same or a similar issue. Please note that decisions on amendments are taken not in the order in which the amendments are debated, but in the order in which they appear on the amendment paper.

The selection list shows the order of debates. A decision on each amendment will be taken when we come to the clause to which the amendment relates. Decisions on new clauses will be taken once we have completed consideration of the existing clauses of the Bill. I hope that is clear.

Members wishing to press a grouped amendment or new clause to a Division should indicate when speaking that they wish to do so.

Clause 1

Statement of levelling-up missions

[Alex Norris (Nottingham North) (Lab/Co-op)]

I beg to move amendment 3, in clause 1, page 1, line 14, at end insert—

“(c) the independent body that Her Majesty’s Government proposes to use to evaluate progress in delivering those levelling-up missions (“the independent evaluating body”).”

This amendment would require the Government to commission an independent body to scrutinise their progress against levelling-up missions.

[The Chair]

With this it will be convenient to discuss the following:

Amendment 5, in clause 2, page 2, line 37, at end insert—

“(aa) include the independent evaluating body’s assessment of the progress that has been made, in that period, by Her Majesty’s Government to deliver each of the levelling-up missions.”

This amendment would require annual reports on the delivery of levelling-up missions to include the evaluation that the independent evaluating body has made of the Government’s progress in delivering each of the missions.

Amendment 10, in clause 5, page 5, line 18, at end insert—

“(ca) state whether the independent evaluating body considers that pursuing the levelling-up missions in that statement is effectively contributing to the reduction of geographical disparities in the United Kingdom,”

This amendment would require the report on a review of statements of levelling-up missions to include the assessment of the independent evaluating body.

Amendment 12, in clause 5, page 5, line 31, at end insert—

“(iii) so that it includes the guidance from the independent evaluating body on this decision”

This amendment would require the Government to publish the guidance from the independent evaluating body on this decision.

New clause 1—Independent body to monitor levelling up missions—

“(1) The Secretary of State must assign an independent body to assess the Government’s progress on levelling-up missions and make recommendations for improvements to delivery of them.

(2) The body must prepare parallel independent reports for each period to which a report under section 2 applies.

(3) Each parallel independent report must—

(a) assess the progress that has been made in the relevant period in delivering each of the levelling-up missions in the current statement levelling-up missions, as it has effect at the end of the period, and

(b) make recommendations for what the Government should do to deliver each levelling-up mission in the following period.

(4) The Secretary of State must lay each report under this section before Parliament on the same day as the report under section 2 which applies to the relevant period.”

This new clause would require the Secretary of State to establish an independent body that can provide reports on the Government’s progress on levelling-up missions and outline recommendations for their future delivery.

[Alex Norris]

It is a pleasure to begin our line-by-line consideration with you in the Chair, Mr Paisley.

The first two parts of the Bill deal with levelling up. I think it is safe to say that levelling up is an area in which there is considerable public interest. It has been at the core of the Prime Minister’s agenda and was at the heart of the 2019 Conservative manifesto, but, many years on, there remains considerable interest in what it really means. In February, we received the White Paper, “Levelling Up the United Kingdom”, which has 297 glossy pages comprised of broad missions that all of us could support, such as addressing inequalities in health and life expectancy, and in pay and productivity, and boosting local pride and more. I think there would be broad political consensus on those things.

The White Paper was heavy on narrative—lots of history, although some of it seemed to be directly from Wikipedia—but there was little clarity on how those worthy goals would be met. That was set against the frequent negative briefing we have seen in the media by ever-present Government sources about levelling up, as well as a clear reduction in commitment from the Treasury with little or no new money being made available to power the programme. We meet at an important point at which there is a lot of public interest in what levelling up is going to mean, but no little cynicism about whether anything is really going to change.

The Bill was supposed to represent the moment when that cynicism would be arrested, and the Government would demonstrate beyond doubt that they really were committed to levelling up the United Kingdom and were going to deliver their promises. I fear that the Bill has not yet met that moment.

As I said on Second Reading, the levelling-up Bill is now the Levelling-up and Regeneration Bill. Essentially, the Bill has been bulked out with a planning Bill, which is a sign of what we are going to be doing here over the next three months. If that point is contested, the doubt could be erased by considering how much time the Minister for Levelling Up and I, as his shadow, have spent talking compared with the Minister for Housing and his shadow. Today, tomorrow and next week, I am afraid that we might hear more from me. However, we have a duty—we also have lots and lots of time—to make the Bill better, so that it might serve this important agenda. With that in mind, I have tabled amendment 3, which I shall turn to now.

The amendment is about independent scrutiny of this important agenda. We on the Labour Benches are concerned that the Government will seek to demonstrate levelling up not as hard-and-fast, real and meaningful change that unlocks the potential of the United Kingdom, across all the nations and regions, but in a political sense. We are concerned that they will seek to write up whatever happens as a huge political success, but nothing will really get better. We see that as a stock in trade for this Government; every Prime Minister’s Question Time is an exercise in hearing how well our economy has done and is doing, but we know the reality. We see in our communities anaemic growth, real-terms wages stagnating and rampant inflation. We are constantly told how great things are, but the reality is anything but. That cannot happen with levelling up, and the Government should be keen from the outset to show that they do not intend for it to. Our amendments would help them considerably in that.

Clause 1(2) requires the Government to establish levelling-up missions through a statement from a Minister of the Crown. It says that the statement must include the Government’s objectives in tackling geographical disparities and the metrics they intend to use to measure progress. That leaves the Government to mark their own homework—they can say what they are trying to do and how well they are doing it. Amendment 3 would improve that by requiring the statement also to detail an independent body to evaluate whether the Government are achieving what they say they will.

Independent oversight is a cornerstone of good governance. Clear, trusted and impartial analysis makes better policy, delivers better outcomes and is a good thing for democracy. An independent body that can sit alongside the programme could be a real anchor for the development and progress of the agenda. Such a body is not a particularly unimaginable prospect, as we already have good examples of such independent oversight. I will draw briefly on two of those examples: the Office for Budget Responsibility; and the Select Committees in this place.

In different ways, but with similar impacts, the OBR and the Select Committee system have been vital in holding the Government of the day to account by providing analysis and reports on issues such as the state of public finances in the case of the OBR, and for various policy matters across every Government Department in the case of Select Committees. They can act without fear or favour, and since their introduction they have significantly improved debate on policy, the development of good policy and the proper implementation of good policy.

Governments, as is their wont, seek to drive their agenda forward each day with announcements of different policies or achievements, but Select Committees in particular have been important forums for us to step back, assess the evidence, evaluate what has worked, take evidence from around the world or from different systems to see what has worked, and to reach informed conclusions about how to improve outcomes. The Government, with their legislative mandate, can then choose whether to accept those conclusions.

I am sure that the recent Public Accounts Committee report into levelling up so far will come up during the proceedings. It was made clear by the Minister for Local Government, Faith and Communities, the hon. Member for Saffron Walden (Kemi Badenoch) in questions yesterday that the Government have no intention of taking that report on board. That is fine; there is independent scrutiny, and then the Government must make their decision, as they have a mandate to do. The scrutiny process also takes some of the partisanship out of situations, which is always a good thing.

During our final evidence session, Will Tanner, who on political matters would normally be closer to the Minister than to myself, said:

“The area where I think the Committee could make a real difference is around the levelling-up missions and the overarching framework around the Bill. I am not sure the Minister will necessarily thank me for saying this, but I think the reporting requirements and the architecture around the levelling-up missions could be strengthened considerably in two primary ways. First, we have seen through the Office for Budget Responsibility and the Climate Change Committee the importance and strength of an independent body to hold the Government to account for delivering against its own targets, and I think the levelling-up missions would benefit from that level of scrutiny and accountability. At the moment there is a bit of a risk of the Government setting out its own interpretation of progress rather than us having an independent view.”––[Official Report, Levelling-up and Regeneration Public Bill Committee, 23 June 2022; c. 144, Q179.]

That is the first of two points Will Tanner made; I will raise the second under the clause 2 stand part debate. That first point is right, and it is a view shared by the Local Government Association. We are keen to avoid the issue that Will Tanner finished with in that quotation: the risk of the Government setting out their own interpretation of progress. There is a risk of that in the Bill currently.

We know that the Government are in that space to an extent; they value external voices through the Levelling Up Advisory Council. I hope the Minister might make some references to its work and how he sees that following Royal Assent. The body brings together respected individuals from their fields to advise on levelling up. The Minister can tell us how useful that has been so far. I trust it has been very useful. The amendment gives the Government significant discretion. I have offered an OBR model and a Select Committee model. The advisory council itself could be a model, provided the Government could demonstrate suitable independence. I see no harm—only positives, in fact—in maximising the process of, say, the advisory council and building on its independence and distance from Government.

The timescale, size and importance of levelling up necessitates independent scrutiny. As we have heard from the various speeches from Ministers setting out to define levelling up, this is a vast project that cuts across various Departments. Policy in the White Paper concerned economy, crime, health, education, devolution, employment and much more. Indeed, the White Paper spoke of how Government decision making would have to be “fundamentally reoriented” and that wide-scale system change was required in Government for levelling up to succeed. It says:

“System change is not about a string of shiny, but ultimately short-lived, new policy initiatives. It is about root and branch reform of government and governance of the UK. It is about putting power in local hands, armed with the right information and embedded in strong civic institutions.”

That is a very noble pursuit—titanic, I might say. Clearly, purely in policy terms, it is going to be very big. Some independent support would be welcome. That quote from the White Paper recognises that levelling up is not a project for Government alone, neither in the execution nor the analysis. That is why we think the introduction of an independent voice would add to that.

It is not just about size. Levelling up will take some time to deliver. The Government’s levelling-up missions in the White Paper set targets for 2030. I do not want to open a political debate this morning—yet—but such a target is likely to outlive the Government. Having an independent and constant scrutineer, which would be part of the process, whether Ministers moved on and Governments changed, would help with the implementation of long-term policy objectives. It would provide a sustained focus, unencumbered by changes. We are well placed to do that, because the principles of levelling up happily enjoy cross-party support and are here to stay. Certainly, we will find much common ground in these sessions on the broad principles of what we are seeking to achieve. Why not embed those principles in an overarching independent body?

Amendment 5 mirrors amendment 3. We will have opportunities to debate clause 2 fully subsequently, but it requires annual statements on the Government’s progress towards the levelling-up missions. A Minister of the Crown has to make those statements each year. That is a very good thing. There is a danger with medium-term goals; I am always a bit sceptical about them. I remember that at the turn of the century, we always had to have 2020 visions. I was always quite sceptical of 20-year programmes. It is often the work that is done in the first years that is as important as the work done in the last years, and the last thing we want is to get to 2030 and realise we have not achieved what we have set out to do. Annual reporting is therefore a good thing to ensure that we are on track. If we are not, we can evaluate why and make some changes to get back on track. That will give us a good tool to hold Ministers to account.

Clause 2(2) says that the annual reports must include the Minister’s view of progress so far, description of actions taken so far and plans for the future. In short, the Government mark their own homework—getting the chance to trumpet the actions they have taken and herald the future actions they will take. If we judge the Government on their current standards, we are likely to see a cycle of subterfuge and self-congratulation. Amendment 5 would remove that risk by requiring annual reports on the delivery of levelling-up missions to include an independent evaluating body’s assessment of the Government’s progress. As I said, independent oversight is a really important factor in good governance, and clear and trusted analysis would lead to better policy and outcomes.

We should look to Budget day, and to the OBR, as a model. Why should a Minister’s annual reports on the progress of levelling up not be accompanied by a booklet featuring clear, factual information and independent analysis? That is what we get on Budget day from the OBR, so why not replicate it with levelling up? Levelling up is a transformative economic project that is supposedly at the centre of the Government’s domestic policy, so its profile could be seen as equal to that of major annual economic events. If we are to be transformative, let us try to raise the significance of levelling up.

We would all agree that debates on the Budget and financial events are enriched by the information provided by the OBR. In this case, the debate around levelling up—whether we are going in the right direction and whether we will get there in the time we have set for ourselves—would only be enriched by providing similar information. Again, it would give Members opportunities to scrutinise, to give real-time feedback on how things are feeling in their constituencies, and to create a conversation with the public. I think all hon. Members would agree that we do a better job—on making policies or scrutinising them—when we have a bit of independence supporting the system.

I dare say that a theme of these debates will be that levelling up will not be a success if it is something that central Government do to the nations and regions. There will have to be a partnership. Part 2 of the Bill seeks to establish sub-regional bodies. Again, that will be a partnership between the Government and the sub-regional bodies. Sub-regional bodies, their councils and communities—the whole family; all of us—all have a stake in things getting better. There therefore needs to be some impartial assessment in the Bill, certainly for the public—it is their money, after all—to be able to see the progress that is being made, so that there can be a conversation. Sometimes that conversation will be about holding central Government to account and saying, for example, “We don’t think you’re making the right resourcing decisions to drive changes in crime,” but it is also about saying to local communities, “What is your part in that?”

Impartial assessment is not just about having something with which to evaluate the Government, but about holding ourselves—mutually, in partnership—to account, but we cannot do that if the only assessment of progress and impact is made by the central player in the field. The Public Accounts Committee report commented on the wisdom or otherwise of, or the lack of criteria in, the way in which a significant sum of public money has been spent. Impartial analysis, including of the finances, would help us to build trust that levelling up is something that the Government want to do in and of itself, not for any other purposes.

I turn briefly to amendment 10. We are discomfited by clause 5, which allows Ministers to revise the levelling-up missions. If Ministers do not think the missions serve levelling up, they can be dispensed with. That offers a mechanism for the Government to dodge accountability when the reality of their lack of success fails to measure up to their press releases. That is a huge power for the Government to ask for. The White Paper is full of lofty rhetoric, and there is supposedly a stake in the ground about the centrality of the levelling-up missions, but we now see in the Bill that there is an asterisk saying that the Government might want to change the missions later. We are being asked to accept that, and we will probe that issue fully when we come to the clause 5 stand part debate.

The intention behind amendment 10 is to say that if the Government want to reserve a pretty significant power to diverge from what they have said they are planning to do—presumably, they built the missions based on the evidence, and on conversation and engagement with the public—an independent body should report on whether it thinks the Minister’s decision is sound.

--- Later in debate ---

[Rachael Maskell]

Will the Minister give way?

[Alex Norris]

Will the Minister give way one more time?

[Neil O'Brien]

We are going to have to make progress this morning, I am afraid, because we have a lot of clauses to get through. The Opposition amendments are well intentioned—given who the shadow Ministers are, it could not be otherwise—but they are unnecessary and that is why we must resist them.

--- Later in debate ---

[Neil O'Brien]

indicated dissent.

[Alex Norris]

I start by saying—given that one of my Whips is in the room, I should not say this—that, for the reasons mentioned, I enjoy these Bill Committees. I am not sure whether I will enjoy them in a few weeks’ time, because we will have been at it for a long time.

[The Chair]

This is day one.

[Alex Norris]

Exactly, so I am very much enjoying it at the moment because we can fight these battles outside the rarefied atmosphere of the Chamber. However, one consequence of my liking these Committees is that I have frequently volunteered to take Bills on—something is not quite right with me, probably. The one thing I have learned from them, which is particularly interesting for a Bill with 200 clauses, is that a person can tell from the first amendment to the first clause how the rest of the discussions are going to go and how minded to take on change the Government are going to be. With that in mind, I am disappointed to hear that the Minister is not minded to accept the amendments.

Our discussion has been good. My hon. Friend the Member for York Central made excellent points about the impact of the Climate Change Committee and COP26. The points about arm’s length bodies and the broader partnership involved in levelling up are important. This legislation is not just about holding the Government to account, but holding to account all parties involved in levelling up, including all of us in this room, in whatever guise—be it as Members of Parliament, as volunteers in our communities, or in local government, as a number of us have been. We all have different stakes in and must hold each other to account on what is a shared endeavour rather than an endeavour of the Government of the day.

[Rachael Maskell]

My hon. Friend is making an excellent point. This is not just about Government, but about the whole of our society, across party lines, including mayoralties and local government. Does it not make sense therefore to have a framework that all partners can buy into and have confidence in when scrutinising their functions?

[Alex Norris]

That is very much the spirit in which I tabled the amendment, which is the first Opposition amendment to the Bill. That might be construed as the Opposition wanting to make life hard for the Government or wanting a stick with which to beat them, but far from it. The amendment would ensure that partners all have a mutual responsibility to each other, and that is partly about holding each other to account and having difficult and supportive conversations about why we have not been able to do things that we have sought to do.

The Minister made a point about unconscious bias being woven out with independence, and that is important. The listed regulators—Ofsted, Ofgem, Ofcom and so on—are good comparisons for this space. We have offered the Government a kind of menu of comparisons, and I am surprised that none of them is seen as the right one. My hon. Friend the Member for York Central finished her remarks by addressing the particularly pertinent point about inequalities. It is hard to understand why those inequalities are not considered to have same level of importance as the other agendas. That is disappointing.

The hon. Member for Westmorland and Lonsdale made an interesting point, which I hope will come up later in the debate. Part 1 of the Bill is a bit unusual. We have not yet had the clause 1 stand part debate, but I am not sure why those provisions have to be in the Bill. Usually, Ministers argue that things do not need to be in the Bill and the Opposition argue that they do. I will not argue against them, but it is unusual that the Government should have chosen to include the provisions.

I dare say that what is involved is the trick of planting a stake in the ground and saying, “We are going to deliver on these important things.” However, when we consider the point made by the hon. Member for North Ayrshire and Arran, we see that there is an asterisk against this part of the Bill: the Government still want the flexibility to mark their own homework and change it if they want. Those two things are a little oddly juxtaposed. The Government want to put their head above the parapet and make the legislation central to what they want to do. That is quite a brave and risky thing to do, so I am surprised that they are not able to go a tiny bit further.

The Minister mentioned the Levelling Up Advisory Council and the esteemed people on it. We are lucky that they have chosen to take part in public life in that way, and we are grateful to them. I completely agree with all that has been said about their independent-mindedness and capability to speak for themselves, but I say gently to the Minister—this is not a point against him personally, but against the Government—that it is not those people who we do not trust. Of course we trust their independence, but how on earth can we know what they are saying and what their views are? That is the problem.

As we have seen before with various such advisory bodies, in reality the Government will sit on the difficult things and trumpet the good things. Perhaps there is an element of human nature in that—there is huge element of sadness in it—but that is what will happen. If the Government are really committed to delivering on this matter, why not go that little bit further?

I accept the point about the technical annex and, as the Minister put it, the unprecedented detail. This is a saddening thought in many ways, but I would probably go so far as to say that if I thought he was going to remain in his Department until 2030, a lot of my anxieties would disappear—although, I would have anxieties about how we had managed to lose another two elections. Putting that to one side, because I do not think it is likely to happen, I have no doubt about the Minister’s personal commitment to the agenda, his personal probity, and his willingness to have difficult conversations and to explain on the record where things have not gone as they ought to. However, I would argue strongly that that is not a characteristic that applies across Government—I do not think anybody could say that is really a feature of this Government. He says that I could go through and update each technical annex every year—I am surprised that I should have to do that on the Government’s behalf. The problem is that what we will see overtime is the booklet getting thinner, because the difficult ones will drop out or they will be replaced by another one—that is what we normally see. The Government will say, “We have got advanced metrics now that better understand the nature of life in the UK.”

[Matthew Pennycook]

Housing need.

[Alex Norris]

Housing need, as my hon. Friend says, is a good example. The metrics change to suit the outcome. The Minister knows that, which is why it needs to be in the Bill. He said that these sorts of things will accompany a statement from the Government, and that that will do in place of independent scrutiny. Those two things are not the same. There should not be the level of trust that means we would solely, on the word of Ministers, take what they say they have done as read. When our positions are swapped, I do not think the Minister would take that from us—and I do not think he should either. The need for a level of independence is obvious and clear.

I will not press the amendment to a Division, because I really want Ministers to think again about this. There will be other opportunities in this process to look for a proportionate level of independence. The Opposition have been non-prescriptive. I offered three different versions of independent scrutiny, and my hon. Friend the Member for Bradford South offered a fourth—there may well be other versions. I hope that Ministers will reflect and come back, either at the next stage or in the other place, and put a provision in its place. The case for that is a very good one. I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

[Alex Norris]

I beg to move amendment 13, clause 1, page 1, line 14, at end insert—

“(c) the resources made available by Her Majesty’s Government to nations, regions, sub regions and local areas in order to level-up.”

This amendment would place a responsibility on the Government to publish the resources made available to communities in order to level-up.

Clause 1 requires a Minister of the Crown to establish levelling-up missions for the Government. This amendment proposed a new paragraph that would require them to publish alongside those missions what resources are being made to the nations, regions, sub-regions and local areas in order for them to level up. The point that the hon. Member for North Ayrshire and Arran made about the current trajectory of departmental resources, with those in 2025 being less that their 2010 levels, is a very good argument for the provision.

The work of levelling up will not be done alone—certainly not by central Government. From Whitehall, we cannot command and control our way to a more balanced country. Indeed, that model of development is a huge part of why we have such an imbalanced country. The proper allocation of money will have a large say—probably the largest say—on whether levelling up can be a success and be a truly transformative project for the whole country.

As the Government’s White Paper identified, the deep-rooted problems in the UK economy, which are holding back our regions, towns and villages, create greater imbalance than in most other comparable countries. Our country’s economic and social geography demonstrates that imbalance, and it can also be seen across multiple measures, whether pay, educational attainment or health—they light it up like a Christmas tree. As the White Paper outlines, our urban areas and coastal towns suffer disproportionately from crime, while former mining areas and areas with outlying urban estates, such as my constituency, are often communities of high deprivation, with poor opportunities for younger generations. The imbalances in our country are plain to see. The current economic settlement just does not work.

In order to rectify that, the devolution of power back to local communities will be vital, so that they have a proper say over decisions that affect their lives. In blunt terms, levelling up will have to be a targeted return of money, funding and resources back into the parts of the UK that need it. Without that investment, levelling up has no hope of succeeding. The stakes are really high. We need to get good jobs back into home towns, so that young people do not have to get out in order to get on. We need to have our high streets thriving, by kick-starting local economies with good local businesses and money back in people’s pockets. We need to better connect our towns and villages through good transport, digital infrastructure and affordable housing. All of that needs power to be taken out of Whitehall and put into the town hall, because local communities will make better decisions. All those things require significant resources alongside that hard, local graft.

--- Later in debate ---

[Neil O’Brien]

We are the Government who are creating—literally, through the Bill and the clauses we are debating this very morning—a mission to close the gap in healthy life expectancy between local areas, and between the highest and lowest areas, and to raise it by five years by 2035. These are the missions that the Bill will be getting us to report on every year to Parliament, so we are addressing the hon. Lady’s point. Through the health disparities White Paper and the other things the Government are doing, we are addressing as one of our central priorities the underlying causes of lower life expectancy and the inequalities she mentioned.

To summarise, while we are completely with the spirit of the Opposition’s amendments—we are trying to get better data and have processes in place that are generating better data, because we recognise its importance to the levelling-up agenda—there is, in truth, no hard and fast difference between levelling-up resources and the rest of Government resources. Indeed, philosophically, it is important to recognise that one should not think just about levelling-up funds. Much as one can rattle off an impressive list, one should think about how we reform the totality of Government spending.

That is one of the novel aspects of the White Paper’s approach. For a long time, people thought of science funding in a science policy silo, and thought that it should be allocated to science excellence, with no spatial dimension. We are the first Government to set regional targets for science spending, recognising its importance to potentially addressing some of the inequalities that the Opposition have mentioned this morning. We have changed the Treasury Green Book. We have started to allocate housing and regeneration spending differently so that we can get out of the cycles that Tom Forth and other regional economic policy experts have talked about: some bits of the country are overloaded and people cannot get on a train or buy a house, while other parts are crying out for investment and have lots of scope to take on growth.

I hope that I have given the Opposition at least an honest account of why we are resisting the amendment, even though we absolutely agree with its spirit.

[Alex Norris]

I am really grateful for the contributions to what has been a good debate. I will cover some of the points made by my Opposition colleagues and then move on to what the Minister said. Turning to my hon. Friend the Member for York Central, Great British Railways is a brilliant example of what we are talking about. We remember the press release on, I think, 5 February, which came shortly after the White Paper and was seen very much as an element of the levelling-up agenda—indeed, it says that on the Government’s website. The location of Great British Railways will be determined through an online public vote. It is like “Love Island”, Mr Paisley. Anyone watching this series knows that we badly need a vote to try to shake things up, but I do not think it is how we should determine the location of—

[The Chair]

The hon. Gentleman is going slightly off-piste here. [Laughter.]

[Alex Norris]

I apologise, Mr Paisley. I will get straight back to Great British Railways and levelling up. My hon. Friend the Member for York Central made a strong case for York and, if the hon. Member for Broxtowe promises not to tell my constituents, I might make a strong case for Derby. We are generally not allowed to do such things, but that is my one for the year—[Laughter.]

[Neil O’Brien]

There is some confusion on the Opposition Benches.

[Alex Norris]

Happily, it does not look like the hon. Member for Broxtowe is going to grass me up.

The whole process—we can already see this because people are being encouraged to use a hashtag—will involve TikTok videos and be nauseatingly modern. I know that the Minister does not like things as nauseatingly modern as that, so I cannot believe it for a second—he is sitting sphinx-like, which is of course fine. The constant beauty parade and artificial competition just take energy out of things. Of course, someone will win, and that will be wonderful news, and I will be very pleased for them, but multiple places will lose as a result. That cannot be the best way to level up. I know the Minister talked about a balanced diet, but I will cover that shortly.

My hon. Friend the Member for York Central spoke about where she sees the future for her community and her region, with an emphasis on biotech, rail and the creative sector, and that will be different in Nottingham, Leicestershire or West Yorkshire. That is a good thing. Part of levelling up will be about, as we understand it, sub-regions taking control of where they think their local economies are going to go and the skills they will need to ensure they get that. Getting the resources to make sure they can do that, which is what this amendment is about, is fundamental. This is about resource going to those communities so that they can make those decisions for themselves. I think that the people of York and the sub-region in which my hon. Friend works will have a better say about that than Ministers themselves.

--- Later in debate ---

[Neil O’Brien]

The PAC reported on the levelling-up fund. Are there any particular levelling-up fund bids that we are funding that the hon. Gentleman would like to say represent bad value for money and should be withdrawn?

[Alex Norris]

The Minister knows that is unkind. I am not going to stand here and pick at one. We could go down the entire list of 157 local authorities, virtually all of which are significantly worse off, by tens of millions of pounds; I am not going to turn around and say that one of their projects should not happen. Please—of course I am not going to say that. The Minister says that the Public Accounts Committee picked up on the levelling-up fund, but that is not true: it has reported on the towns fund, too. This is a long-running issue and there are more than three years-worth of reports.

[Rachael Maskell]

It is not just about money that is coming from the centre into individual projects. The Government need to take note of the point that it is surely about enabling and empowering local authorities and bodies to make their own determinations about where the money is best prioritised. Whether it is from the shared prosperity fund, the levelling-up fund or the future high streets fund, a local authority might be in the best position to determine how the pot is spent in its local economy to drive up and level up, as opposed to the Government making a central determination about the governance of that funding.

--- Later in debate ---

[Alex Norris]

That is exactly the argument we have been making. We want that to be locally determined. I would be surprised if the Government in general really want to defend what they see from the Public Accounts Committee. We of course await the Government’s response, and if the Minister wants to debate it, we would be very keen to—if he makes a statement, we will all be there—but I suspect that will not happen. The reality is that the basic checks have to be passed, and I am not sure we are fully assured of that yet.

In the spirit of what the Minister said and of ongoing co-operation, I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

Ordered, That further consideration be now adjourned. —(Miss Dines.)

Oral Answers to Questions

Alex Norris Excerpts

Monday 27th June 2022 Commons Chamber

[Mr Speaker]

We now come to shadow Minister Alex Norris.

[Alex Norris (Nottingham North) (Lab/Co-op)]

The recent report from the Public Accounts Committee was a huge blow to the way in which the Government are seeking to level up and it exposed once again the debilitating impact of beauty parades and unclear allocation criteria. If the Secretary of State thinks that was praise, then goodness me! This can be resolved in future by the Government accepting our calls for proper, sustained funding that is targeted at need. Therefore, to make sure that we are never in this situation again, will the Minister commit to accepting amendment 13 to the Levelling Up and Regeneration Bill, which will start this process?

[Kemi Badenoch]

No, I will not commit to that. While we hold the Public Accounts Committee in high esteem, we reject much of the criticism and we will publish our response to its report in the summer.

Levelling-up and Regeneration Bill (Fourth sitting)

Alex Norris Excerpts

Committee stage
Thursday 23rd June 2022 Public Bill Committees

[The Chair]

Thank you. We will go straight to the Opposition. Shadow Minister.

[Alex Norris (Nottingham North) (Lab/Co-op)]

Q117 Thank you, Mr Bone, and thank you, Mayor Andy Street, for your time this afternoon. It is much appreciated.

I will start with a simple question: with the experience you now have of being Mayor of a huge part of the country, and of the powers you have been exercising, what do you see next for the powers of the West Midlands Mayor?

Andy Street: Thank you for the question. I think there are two ways of answering it. In some of the areas where we have been exercising powers already, we are looking for them to be deepened—so housing, transport and skills. Then, of course, in some policy areas, we have not had any powers and are looking for them, and we might talk about inward investment as an example of that.

The other way of answering the question is to talk about the fiscal deal. At the moment, we have really been applying to Government for funding and then allocating it using all our knowledge—the whole idea that decisions taken next to people are better—but we have not had our own fundraising power. There is a real moment as to whether this next trailblazer devolution deal is going to begin a process of fiscal devolution.

[Alex Norris]

Q Thank you, that is really helpful. I am hoping that you might pull back the curtain, in so far as you are willing to, on the operations of a combined authority. Your membership is very big, so how does that work in practice? How do you work with those who have democratic mandates and with others who have been selected, because they are involved with your local enterprise partnerships? I believe you also have a trade union representative—I would always suggest that people join trade unions, because it seems a good idea to me. I wondered how that works in practice, how you try to build consensus and how you work with your combined authority?

Andy Street: Yes, you are right—interesting question. The remarkable thing about this area of the country —I think what I am about to say is true, and it is in contrast to every other combined authority—is that we are completely balanced politically: 14 Conservative MPs, 14 Labour MPs, four Labour councils, three Conservative councils and a Tory Mayor. That means that there has to be a model of working across party and consensually.

The way the decision making works is that our board takes the decisions. That is the seven local authorities, obviously balanced. The executive will be responsible for all the preparation of all the policy areas, all the proposals, but it will be that board that formally takes the decisions. One thing that I often talk about and am very proud of is that every single major financial decision that we have taken over the past five years has been taken unanimously by that board, across party. So, actually, an enormous amount of work has to be done to find what we might call regional interest and that consensual point, rather than—dare I say it on this call—the more conventional Westminster approach, the partisan approach.

[Alex Norris]

Q Moving on, there has been some interest, in both oral and written evidence, in clause 140, on compulsory purchase orders. Do you think that the powers go far enough? If not, what more would you want to see, perhaps in a Government amendment? Would it be an opportunity to address the issue of hope value in the legacy of the Land Compensation Act 1961?

Andy Street: To be very honest, you are taking me beyond my level of knowledge with that last clause. I do not see it as a critical part of this Bill. I am quite comfortable with the CPO powers that we have at the moment. We use them infrequently, but when we have needed to use them, they have been powerful. We have also used them almost as a deterrent. I am not sitting here thinking that that is the thing that I must get out of this legislation. That is not a dodge of the question; it is my honest view. But I am not equipped to give you a detailed answer on that bit in your question.

[Alex Norris]

Q That is absolutely fine. I appreciate your candour. I have just one very quick one to finish, Mr Bone. The written evidence for this Bill is starting to trickle through. There seems to be more with particular reference to the West Midlands. Obviously, we had the chief executive of the combined authority here on Tuesday. We seem to have had more interest in police and fire functions in the West Midlands than on any other issue. Some of that evidence is contradictory. Can you express your definitive position, as Mayor of the West Midlands, as to what the future is in this area, what level of interest you have, and how that might be shared, or not shared, with other Mayors that you work with?

Andy Street: I think the reason you have had a lot of interest in this is that we are in a different position to the other very large combined authorities. It is interesting why that has come about. You thanked me for my candour earlier on; I will give you my candour again on this. The situation here, unlike in Manchester, London and Leeds, is that the Mayor does not have the police and crime commissioner responsibilities. It was obviously imposed—I shall use that word—on those three areas through their deals. When our deal was struck, it was subject to local agreement. Despite a public consultation that came out overwhelmingly in favour of a merger of the two roles, the board decided that that was not what was going to happen. I regret the fact that that board decision was split on party lines. I said earlier that we always try to find consensus, but this is the one issue where we did not find it. That is, I think, why you have had input, because it remains a contentious issue. My personal view is, as it has always been, that there is enormous advantage to the model of one single accountable person. There is clear evidence that that has worked in other areas, and where we have not yet achieved that, we are slightly weaker for it.

Having said that, we have done two things here. Both the police and crime commissioner and myself, although from different parties, have committed that we will work as effectively as we can together. The second thing is that I have always committed that, so long as the rules were the same, we would not reopen this issue. Of course, the Bill changes the rules, and therefore it will, potentially, give an opportunity for this issue to be reopened. Hence the correspondence you have received.

[The Chair]

For the Government side, I call the Minister.

--- Later in debate ---

[The Chair]

I should have said to the witnesses at the beginning that you might be surprised that you are getting questioned by the Minister, but the advantage of these evidence sessions is that we can have a wider debate and get more information, which feeds into the process later on, so Ministers are taking the chance to get your evidence for that purpose. We are now going to go to the shadow Minister.

[Alex Norris (Nottingham North) (Lab/Co-op)]

Q Thank you, Mr Bone, and thank you to our witnesses this afternoon. Your time is much appreciated. I also want to turn to heritage. It is an area of the Bill about which there is a high degree of consensus on its importance. As you say Lizzie, it is important that it is seen as a levelling-up issue and a place issue, and I think that gives us exciting scope to build on. I will turn to clause 92, and I will go to you first, Lizzie, but I hope the other panellists might put their views in, too. I will just ask you to expand on your written evidence, in which you say that there is scope to go a little bit further. What sorts of things did you have in mind?

Lizzie Glithero-West: We are very pleased to see the list of assets. While this table does cover many of the key asset groups we would expect to see—it has been pointed out that the inclusion of registered battlefields could be a little clearer—it would be good to address a couple of gaps at this stage. To be clear, they are not major gaps, and we really welcome this clause being in the Bill.

One such gap would be around the setting of conservation areas. A number of my members are supportive of the idea of inserting a clause to allow the protection of a small number of nationally important archaeological sites that cannot now be designated because they lack structures. These are things that would have gone into other Bills. It is a very small number of sites, but they are very important. They cannot currently be designated but they could be designated, so there is a great opportunity to address that.

The point about setting is around conservation areas and the impacts of, for instance, tall buildings nearby and so on. Our briefing refers to that not currently being in the Bill. The other thing we would like to probe a bit for parliamentarians is how these designations will interact with other natural environment designations—for example, ancient trees, ancient woodlands, veteran trees and ancient hedgerows. There is such a symbiotic relationship between the natural and historic environment. Often, a few different designations will be in the same area, and it is important that there is clarity around that. It has also been noted that there should be consideration of maritime archaeology—perhaps looking at the Protection of Military Remains Act 1986 in addition to what is already in this list.

One other point I want to make is about the clarification of some of the wording. If the wording has been chosen to align the Bill with the national planning policy framework, it should be noted that the NPPF talks about preserving and enhancing significance, which is subtly but importantly different from preserving and enhancing assets. A related amendment should replicate the intent of the NPPF, which would ensure that the process of undertaking archaeology, which, by its nature, can be destructive but enhance knowledge and significance, is covered by the duty and not inadvertently excluded. The concern from some in the sector is that unless enhancement of significance is properly defined, it could lead to unintended consequences. Those were the main points on my list. I hope that is helpful.

[Alex Norris]

That is very helpful. Do the other panellists have anything to add?

Nicholas Boys Smith: I will make a point very quickly; I will not comment on those detailed points. This does not actually need to come through primary legislation, but, building on what I was saying earlier, there is an important opportunity and need in the criteria for listing, as set out by the Department for Digital, Culture, Media and Sport and Historic England, to put more focus on issues such as townscape quality, pride in place and local popularity as well as—not instead of—issues of architectural importance.

An architectural historian might say about a building, “Oh, there are 50 of those around the country” or “Well, that is the 15th of those, and there are earlier ones over there.” Actually, if that were a town hall, it would be very significant to the people living in that town. It comes back to the wider debate about levelling up and pride in place. There is an important need to gently weave those things more clearly into the guidance for listing, but as I say, that does not actually have to come through the Bill. I do not get invited to this kind of thing every day of the week, so I have taken the opportunity mention this today.

Adrian Dobson: I do not think I have anything to add on this particular point.

[Alex Norris]

Q Turning to clause 93 on the stop notices, are you confident that they are rigorous and strong enough to beat back unscrupulous developers? Lizzie, you mentioned your concerns about the period between now and Royal Assent; I think you were making a point about greater risk. Could you cover that in your answer? I am interested to hear the views of all the panellists on that.

Lizzie Glithero-West: It is a very short answer from me. Clause 93 is supported by our membership. Private owners of heritage will want to be sure that it is very clear, but the clause is welcome. My only point would be that in any transitional system between Bills, you want to ensure clarity and that there is no confusion.

Adrian Dobson: I have just a general point. One of the challenges for the planning system is that, inevitably, things get concentrated on development management and that can be, initially, at the expense of what you might call proactive planning and also enforcement activity. There is just a concern that the proactive planning and enforcement activity can become the Cinderella element of the planning system if you are not careful.

[The Chair]

Nicholas?

Nicholas Boys Smith: I think I am done on heritage.

Levelling-up and Regeneration Bill (Second sitting)

Alex Norris Excerpts

Committee stage
Tuesday 21st June 2022 Public Bill Committees

[The Chair]

I will move over to the Opposition. I call Alex Norris.

[Alex Norris (Nottingham North) (Lab/Co-op)]

Q Thank you, Sir Mark. I am grateful to the witnesses for being with us this afternoon. I will start with a basic question that is probably best answered by the chief executives of the combined authorities, but Joanne, please do contribute if you want to.

Your two combined authorities are seen as very much at the forefront of devolution to combined authorities and Mayors. Much of what we talk about in the context of the Bill is about how to push the rest of the country up to having similar levels of responsibility. What more do you want yourselves? What more do you want to build on your current settlement? Where might devolution go in the future for you?

Eamonn Boylan: We have significant ambition for further devolution and we are working to develop propositions that we will be discussing with officials over the coming weeks in response to the Government’s call for us to step forward with a trailblazer devolution deal, which was contained in the White Paper. The asks would be for greater power and influence in areas such as housing, transport, skills—you will be unsurprised to hear that—because we believe that there is a need for us to be able to shape local skills offers and opportunities to the local jobs market more effectively than currently happens.

The other major ask we have, consistent with a number of other places and some recent think-tank reports, would be for a greater degree of certainty over the funding framework and the outcomes framework that we agree with the Government over a period of time, whether that is a spending review period or some other period. At the moment, we are hampered by the number of separate and completely bespoke competitive processes that we go through to resource an awful lot of our activity. Having greater certainty over funding—not necessarily more funding, although that would be welcome—and greater flexibility over its deployment, for which we would be very willing to be held directly accountable to yourselves in Parliament, would be the real goal for us and a real step forward in terms of the current devolution journey.

[Alex Norris]

Q Laura, what is your response from the West Midlands perspective?

Laura Shoaf: In a lot of ways, our position is very similar. Again, there is a big focus on skills and a want to go further and faster to have more control over budgets and particularly to look more at employment support and careers. It is similar for transport and housing, but for us, it is very specifically housing retrofit, as we have some of the worst levels of fuel poverty in the country. Another area that is slightly more bespoke to the West Midlands is around digital inclusion, where we have some quite unique circumstances.

We are also interested in flexibility. I would reiterate all the points about funding simplification, funding certainty and funding flexibility and the willingness to be held accountable, and how important it will be through this process to have transparent and accessible local and regional data so that we know whether we are levelling up. That is something we are really keen to work with the Department on. In general, more certainty around funding, which is simplified, and, please, more accountability. Like Greater Manchester, our Mayor is keen to be accountable and held accountable for delivering.

Joanne Roney: The point I would make is that the devolution settlement needs to be alongside the multi-year local authority funding settlement and sustainable funding for the wider social infrastructure issues that we are trying to tackle, which Laura mentioned.

To pick up that point about fragmented funding, in 2020 the Local Government Association recognised that 448 different grants were paid to councils, with different initiatives and different timescales on them. When at a combined authority level we are trying to tackle delivery of some of those big, wider ambitions, as outlined in the 12 missions, I think that stability and flexibility of funding for local authorities and the wider public sector plays into the mix to make the effect of the devolution changes that we want. So, core funding for public services, alongside the devolution asks, is important.

[Alex Norris]

Q Thank you, Joanne. That leads me nicely into my next question, which is to you, perhaps with your Solace hat on, but obviously in your day-to-day leadership role in a local authority as well. How do your members feel about their current capacity to deliver what they need to as a council? How would they react to being asked to do more things?

Joanne Roney: Capacity is a huge challenge for local government and for my members, up and down the country. That is capacity in terms of not only workforce and expertise but stable funding. As Eamonn said, it is not necessarily more money, but an understanding of the long-term planning that we need, and multi-year settlements so that we can start to work collectively.

To answer the question about how my members feel about doing more, as Eamonn said, in Greater Manchester we have been at the forefront of working together, as 10 local authorities, with these wider ambitions, for a considerable amount of time. One of the key features of Greater Manchester’s original devolution deal was public sector reform. We were very mindful of the fact that we think we can do more collectively, in particular in that space around prevention, to start to make best use of public sector resources.

My members would say, “More power to devolution to Greater Manchester,” and that, importantly, the resources, reform agendas and public sector expenditure should be dealt with at the lowest possible level to get the changes we need to make the difference to coincide with the 12 missions. That is what they would say.

[Alex Norris]

Q I have one more brief question, if I may—a final point on compulsory purchase orders, to ensure that I understood what was said in the previous answer. Notwithstanding issues of cost and capacity, which link to what Joanne just said, given what is on the face of the Bill on CPO, would you like to see anything further in the Bill, or do you think anything needs to be added or subtracted? Eamonn, you mentioned permitted development. That question is to any or all of the panellists.

Eamonn Boylan: The measures contained in the Bill in respect of CPO are eminently sensible and supportable. There will always be issues—this goes back to Joanne’s point about certainty of funding—with the availability of funding and the ability to manage what is still a complex legal framework, but the reforms set out in the Bill are an essential prerequisite for making CPO more applicable and useful in delivering place-based regeneration.

[Rachael Maskell (York Central) (Lab/Co-op)]

Q To start, I have a question for Ms Roney. There are proposals to move from section 106 funding to a new infrastructure funding model. How will that be helpful in releasing funding to generate affordable and social housing? Where do you see the risks in that funding proposal?

Joanne Roney: We have gone around the loop on a number of these different measures for a considerable time. If the outcome is to deliver more affordable housing, I think the challenge is still the variances between different parts of the country and the ability to deliver affordable housing because of the value of the land and the cost of build. So I am not sure that that will necessarily fix it, but then I am not sure that section 106 fixed it either. I think we should be having a different conversation—about how we provide affordable housing in different areas.

I will call on my colleague Eamonn to help me here, because one of the successes of the combined authority has been the revolving housing investment fund that we have used and the different models we have created to try to get better value out of all our developments and translate that into affordable housing numbers. We have had a range of success, but some of that has come from the ability to use flexible funding that we already have to support some schemes.

Overall, I think we would support the proposal in the Bill, but we need to do more to look at affordable housing provision in different parts of the country, and different innovative and flexible ways to drive value in order to provide truly affordable homes.

Eamonn Boylan: I echo Joanne’s comments, but I will just make the point—I know a number of Committee members will be well aware of this—that section 106 is far less potent in northern parts of the country than in others because of the issues around viability, particularly where we are dealing with brownfield land. Most of my brownfield land has the periodic table underneath it, and therefore the costs of remediation are significant.

We really welcome the Government’s initiative on the brownfield land fund, which has really helped us to unlock development, but section 106 or a replacement levy will not provide us in the north with sufficient resource to deal with the challenge of affordable housing. We need to go beyond that. That is part of the devolution ask that we will be making around how we might work more effectively with Homes England in delivering programmes—particularly on affordable housing, and particularly on affordable low-carbon or zero-carbon housing, which is a very significant challenge.

Laura Shoaf: I mentioned earlier that one of the things we wanted to do in a trailblazer devolution deal was to look at how we can use the housing and brownfield funding that we have more flexibly, to address some of the wider regeneration challenges but also to help us to increase levels of affordable housing. The brownfield funding, as Eamonn said, has demonstrably made a difference in our ability to assemble sites, to remediate sites, to bridge the viability gap and then, ultimately, to do what we all want to do, which is to deliver more housing, affordable included.

--- Later in debate ---

[The Chair]

I understand that Government Members started the questioning last time, so I ask Alex or Matthew to start.

[Alex Norris]

Q I will, if that is all right, Sir Mark. Good afternoon, panellists. I am really grateful for your time. I will direct my first question to Rich and Sacha. Your campaign is about community power. What do you think about what is in the Levelling-up and Regeneration Bill?

Rich Bell: Our basic sense is that there are positive individual measures in the Bill to strengthen the agency of local authorities and communities, but we have some worries about the way that local leadership is conceived of in the Bill. Andy Haldane, who led the Government’s levelling-up taskforce, said that if we are to make a reality of levelling up, local governance has to be a team sport involving local government, local finance, community organisations and local people, yet local leadership seems to be conceived of, both in the levelling-up White Paper and in the Bill, as being restricted to elected metro Mayors, potentially county mayors and governors. We do not think that that fulfils the need for meaningful control at community level. Giving people control of the services, spaces and spending decisions that shape our places will be absolutely pivotal to fulfilling levelling-up missions related to pride in place—as will local leadership, obviously.

[Alex Norris]

Q Sacha, did you want to expand on that?

Sacha Bedding: Teesside is well known for what our metro Mayor, Ben Houchen, is doing. If you were to ask people in my community what that means to them—the purchase of an airport; the decarbonisation of industry; carbon capture and storage—they would say that they are good things, and the macroeconomic circumstances arising out of them could be a positive, but it feels as though they are a million miles away from having an impact on their life. When we talk about local leadership, I would like us to move beyond the sub-regional. From a Westminster perspective, that is more local, but from a community perspective, to really feel for those people in left-behind neighbourhoods, of which ours is one, it needs to be most local leadership. Giving people agency and control over more decisions, more often, would be beneficial.

The Bill is a start, and a step in the right direction. As Rich says, there are elements that you can get behind, but probably more needs to be done, so that people can feel that they benefit from some of the levelling-up opportunities in the paper.

[Alex Norris]

Q This might be a good moment to go to you, Parth. In your research, you have looked at democracy and decision making. What does that tell you about who people are confident in, where they want to make decisions, and what involvement people in general want in decision making?

Dr Patel: At their simplest, questions of constitutional reform and devolution are questions about whose voice is heard, which we should not detach from the question of who has a voice in the first place. There is minimal engagement in Bill with local politicians at certain scales, or with community and civil society organisations and citizens. There are some allusions to public consultation, but without much detail about what it involves. That is a problem, because when you are implementing a tier of local governance without having come bottom up, there is a risk that the link between the citizenry and this new tier of state will be weak. Then you get low political engagement, of all sorts, and local opposition to certain new tiers of government, and it feels like a wasted opportunity.

At the same time, clauses 43 and 45 grant the Secretary of State new powers to impose a combined county authority, change the constitution in a CCA or impose a mayoralty unilaterally—with a public consultation, although that is not quite defined. That purely top-down approach to constitutional reform risks being at best a little bit of a waste and at worst democratically not very legitimate.

[Alex Norris]

Q Thank you. Graeme, we spoke a little in this morning’s sitting about the missions. As you know, whether the missions should be set out in the Bill, or whether the Bill should say instead that there should be some missions, is something of a politically contested space. We also talked a little about how we will understand progress. From your research in your unit at the university, how best can we as decision makers and legislators monitor levelling up and understand the impact of the various levelling-up missions and programmes?

Professor Atherton: One of the first things is that the missions differ significantly in precisely how they can be measured. For some missions, you see targets that one could see progress against in a quantitative way; for others, that is less so. Consistency across the missions would seem a good starting point. Then, if we are indeed to look for progress, there need to be quantitative and possibly other measures alongside each mission.

Inevitably, one of the challenges with levelling up is that the White Paper is so broad and encompasses so many different policy areas. We found over 120 different policy targets or policies mentioned in the White Paper, alongside £250 billion-worth of spend. Refining that down to a number of missions will be difficult. First, you need to make the missions consistent, and there needs to be a rationale for why certain things are included as missions and others are not. For instance, we consistently have things on skills, but not on other aspects of education—we have things for younger groups, at primary level, but not for those at a level between the two.

The important point is: what is and is not the mission? In defining it and looking for progress, we need to be as precise as we can be for each mission. We should possibly go beyond the time scale in the White Paper, and look at what happened prior to that, because although the medium term is good, you need to consider the short, medium and long-term progress you are looking to make on the missions.

[Tim Farron]

Q Thank you to all the panellists; it is brilliant to see you here. My first question is to Dr Patel. Rural communities face inequality in accessing health services, given the geographical distances that people need to travel to receive healthcare. Thinking about cancer treatment, A&E and GP access, what evidence can you call on to indicate whether those large geographical distances have an impact on health outcomes?

Dr Patel: It is an excellent question. I cannot call on a precise study that will give me an exact scientific answer to what you are asking. The thing about health outcomes is that they are a point of convergence for a whole array of economic, social, cultural and political factors, including access to public services of all kinds, not just health services. That is why health outcomes are quite a good thing to look at. Within the 12 missions, it is sort of the mission of the missions. The other 11 all basically feed into whether or not we achieve the health mission, so it is a good thing to look at. There are no two ways about it: public services are a key determinant of health distributions and health patterns, and they make a massive difference to cancer outcomes, for example. At the same time, they are not the be-all and end-all. The local economy matters, and things like pride in place and social relations also matter.

Zooming out a little bit, do I think this Bill and the proposed funding pots around it will achieve the health mission? The evidence tells me I should be sceptical. A really good example is if we look at east and west Germany in 1990, when there was a four-year life expectancy difference between east and west Germany. Two decades later, that had closed to three months. In those two decades, we saw radical constitutional reform, sweeping political change, €2 trillion of investment and a massive upgrade in public services and access to the services you described. In relation to that, what this Bill proposes is certainly more symbolic than substantial, and that is where my scepticism originates.

Levelling-up and Regeneration Bill (First sitting)

Alex Norris Excerpts

Committee stage
Tuesday 21st June 2022 Public Bill Committees

[Neil O'Brien]

Q One of the missions takes forward the Government’s ambition to increase our public domestic R&D spending outside the greater south-east by a third over the spending review period. How do you feel about that mission? On the level of ambition, are there things you would change about it; is the balance right; should we be doing things in a different way; should we be locking it in more tightly? Given all those different sorts of questions, is that balance between that objective and other priorities for UKRI right? How do you feel about the mission broadly speaking?

Professor Dame Ottoline Leyser: It is good to have those kinds of clear targets and goals. That is helpful. I think it is a long-term ambition, and that is another critical element of both the Bill and the missions, having those clearly articulated long-term goals to steer towards. The SR element of it is obviously much more rapid, and made in the context of the rising R&D budget across the SR, so I think it is achievable.

From my point of view, it is important to stress that our spend distribution does not meet the target from the Department for Business, Energy and Industrial Strategy. There is the broader Government target for the whole of investment, of 30% and 40% set out in the missions, and then there is a specific BEIS target of 55% outside the greater south-east. Our spend does not meet that at the moment—we are only part of the BEIS spend—but the critical element from that point of view is that in our open competitions for funding, we have flat success rates across the country. The news that we are investing more in the greater south-east than outside that area is because we do not receive the applications.

A lot of what we need to do is capacity building. We need to think hard about how we support the excellent research and innovation that we see right across the country to galvanise and bid into our schemes, making sure that the schemes we put forward are equally open to everyone right across the country and that the targeted interventions that we put in place, of which there are some—they are only going to be a small proportion of our overall investment—are carefully considered in the context of the wider capacity-building activity to drive up opportunity for everyone right across the country.

There is excellence everywhere, however, and we can see that, for example, in parts of the recent research excellence framework. One hundred and fifty-seven universities across the UK made submissions to have their research assessed in that exercise. There is world-leading research in 99% of them, according to the assessment process, which can lead activity. Harnessing the benefit of that will be critical to the levelling-up agenda and to the wider economic recovery from the pandemic that we need to drive.

Getting back to your question—are those the right ambitions?—I suppose I am inherently more in favour of outcome and output ambitions than I am of input ambitions but, none the less, I think having those clear targets behind which we can align our activity in UKRI and more broadly across Government is very helpful in embedding this agenda right across everything that we do. That will be critical to success.

[Alex Norris (Nottingham North) (Lab/Co-op)]

Q Thank you, Professor Leyser, for your time this morning. In your role as a member of the Levelling Up Advisory Council, with respect to levelling up, do you think that at the moment things are getting better, or are they getting better quickly?

Professor Dame Ottoline Leyser: That is quite a difficult question to answer. At the moment, things are very challenging right across the country. We have the inflationary pressures caused by a combination of the tail of the pandemic and the war in Ukraine. That has come on the back of the pandemic, which also caused a lot of economic and social shockwaves across the country. Both those things, if anything, amplify disparities for a whole variety of reasons. Because of those factors, it would be difficult to argue that things are getting better.



Having said that, and looping back to what I said at the beginning, I am very encouraged by the ambition—reflected in the Bill and the White Paper—to take on some of the really big, long-standing and multifaceted problems; to get to the root of them and tackle them through this concerted, aligned action. That is not typical, because we have tended to work in silos when dealing with particular aspects, which does not work as well as integrated, concerted actions. A lot of the important problems, such as health inequalities, are multifaceted, and we do not solve them by simply looking at, for example, the health system. I am encouraged by the new approaches that are being taken to try to address some of the problems, but I do not think they are yet biting.

[Alex Norris]

Q You mentioned the importance of the missions in your first answer. The missions themselves do not appear in the Bill in explicit form, as they do in the White Paper; rather, it is stated that there should be missions. You will have heard the concern from the Opposition, and indeed from others, that that approach will give Ministers a lot of freedom and perhaps the ability to mark their own homework. How do you think we could get some independence into the system?

Professor Dame Ottoline Leyser: I think that, because these are really long-term missions, writing them into the Bill has a lot of risk. As we have just discussed, maybe the missions are not ambitious enough in some contexts; as time moves on, that gap might widen and it may be important to increase the ambition in a mission. There need to be embedded mechanisms to keep under review the success of the missions and then to increase them, for example, if that is the appropriate response, or to respond to an entirely new opportunity that was not envisaged when the missions were set. So not writing the missions into the Bill is actually a sensible approach.

Having said that, I agree with you that the whole point about missions is that they have to be really clear, identifiable and quantifiable targets that we are driving towards through multiple, concerted actions, and there has to be continuous monitoring of the progress being made. That has to be a key element of how the missions are run. I would absolutely hope that there would be external scrutiny, as well as transparency in the publication of the progress towards these goals, and then at least parliamentary scrutiny, which I am sure will be rigorous, of that progress and of the actions that need to be taken if the progress is not as robust as one would like.

Should there be some completely independent external body? In the spirit of the missions, only if it has a really clear purpose and remit beyond what can be achieved through the transparent publication of progress towards the targets and the scrutiny that there will already be on those targets. I agree that what is happening needs to be really clear, as does what needs to be done if progress does not happen fast enough. There are many options for how that is achieved and I am sure the Committee will have the expertise to make choices about which of those options is preferable.

[Alex Norris]

Q Thank you. I have just one more question, turning to your work and your previous response on regional growth. You have been part of a really successive triangle of work in Cambridge that brings together business and academia and has had great development success—success that we are seeking to see elsewhere in the country. What are the features of a local economy that really motors like that? What do we need to have elsewhere in order to see that success?

Professor Dame Ottoline Leyser: This is a topic of tremendous interest in UKRI: how do you build clusters of activity that create self-sustaining positive feedback cycles that really grow things, anchored in a place? A lot of work has been done examining this over the years, in many places. As usual, it is a combination of factors. In many cases there is a lot of evidence that anchor institutions seed a lot of that activity, be that an excellent university, some kind of prime industrial presence or an excellent research institute—for example, a public sector research establishment or a catapult. Some kind of anchor activity fuels a critical element of the cycle, which could be on the research side or the innovation side, or hopefully a combination of the two. That is one of the key components.

The other absolutely critical element is about people—skills and people. A local environment anchors people there by providing the kind of living and working environment that attracts people to a region. Anchor institutions contribute to that, but so does the skills environment—the skills, training and opportunities that are available. For me, joining all those things up is particularly important. In the context of people, such an environment is one in which people go for a particular reason for a particular job, but the opportunities around that environment are such that there are other jobs that are also exciting.

It is about getting that dynamic mobility of people between, say, the university sector, the SME sector—small and medium-sized enterprises—and the more prime business sector, with people moving around and all the allied activities needed to fuel that, such as the local policy and the investment communities that go with that. Joining all that stuff up in the local ecosystem, through strong leadership locally—a critical element—and those key anchor institutions, provides exciting opportunities for people to build a whole variety of careers, working through that ecosystem.

Those are the key ingredients, and UKRI obviously has a role in supporting several of those, but they can only be successful in the context of that broader alignment between local leadership and the wider attractors needed in a local environment to bring people in and keep them there: transport networks, cultural institutions—those kinds of things.

[Patricia Gibson (North Ayrshire and Arran) (SNP)]

Q You will be aware of the allegations—the suspicions in certain quarters—about how transparent and impartial the allocation of the towns fund awards were. Given that similar concerns have been expressed by the Public Accounts Committee about the potential for this with levelling-up funds, what measures do you think would be helpful to allay the fears that distribution of levelling-up awards might be open to similar charges of lack of transparency and of impartiality?

Professor Dame Ottoline Leyser: I am not sure exactly which funding you are referring to. From the point of view of the funds that are being allocated through UKRI, as I mentioned earlier, the funds that are explicitly placed—targeted—are not a very large proportion of our overall funds. For me, the key goal is to think about it in the context of the capacity-building element that I said is so important. There should be local empowerment and local consideration about what would be the best interventions in those places.

We have run the strength in places programme for a while, and it has run on a fully open competition. One of the advantages of fully open competitions is that they provide an equal opportunity for everybody to begin with, which is good. On the other hand, they are slower and more bureaucratic, in that you have to run the open competition. There is an interesting balance to be struck between that process and the ability more rapidly and fluidly to allocate money to places, so that they can use the money in a way that targets their local priorities.

We are in the process of working out how best to work to deliver the new funds that have come through the recent spending review, which are being targeted specifically at three regions. Those regions were selected based on evidence that that kind of injection of cash could really drive the capacity building that I described. There are very high-quality objective measures of how you can consider that capacity in different places and, therefore, the impact of the funding that goes in. I would absolutely agree with you that it is really important, in the context of a levelling-up agenda, that funding is seen to be allocated fairly with the opportunity for everyone to access the benefits of those funds.

--- Later in debate ---

[The Chair]

We will now hear oral evidence from Tracy Brabin, Mayor of West Yorkshire. Should I say welcome home, Tracy, or welcome back? The panel has until 10.50 am. For the record, will you please introduce yourself formally?

Tracy Brabin: Hello everybody. It is good to be back, even if it is virtually. I am Tracy Brabin, the Mayor of West Yorkshire, and I am joined by—

Ben Still: Hello everybody. I am Ben Still and I am managing director of West Yorkshire Combined Authority.

[Alex Norris]

Q It is lovely to see you again, Tracy. It is a little different with all the screens, but we are really grateful for your time this morning. My first question is quite an open one. You, as Mayor of West Yorkshire, have similar powers to lots of other Mayors, but different powers from some others. What more would you add to your role—whether that is powers that other Mayors currently have or other things done by central Government—that would mean you could do what you are seeking to do in West Yorkshire?

Tracy Brabin: Thank you so much, Alex. Let me open by saying how welcome the Bill is. Finally, we have got to a point where it feels like it is going to be a real thing. The mission statements are also very welcome. I chair the M10, which is the group of Mayors around the country, and we are very positive about this next step and the opportunities for us to work with Government to really understand what devolution is about. The idea of more Mayors across the country joining the M10 is incredibly welcome.

When it comes to more powers, I think there is a more fundamental question: where do we want to get to with this Bill, and what is the strategic relationship that we want to build with Mayors and with Government? If we are taking powers from Whitehall and giving them to regions and elected Mayors, what freedoms are we then giving to those Mayors to deliver? In the Bill, there seems to be a focus very much, and quite rightly, on the accountability of Government, but there does not seem to be that equivalence of the accountability of Mayors to deliver.

We have said all along, in every meeting we have been in with Ministers, “We can help you deliver on your missions.” For example, on climate change, we have met the Government and the M10 has met the Government to talk to them about more powers and how we could help hit the zero carbon target of 2050. In our region, our target is 2038, so we could be outliers for Government to help deliver. However, there is not that detail and that understanding of who is going to deliver these outcomes. I think the Committee will wrestle with that over the next few months. Whose responsibility to deliver the outcomes?

I have always said that the way to level up in West Yorkshire is to have that London-style transport system, which is one of the mission statements. Unfortunately, the integrated rail plan meant that we were not able to benefit from the billions of pounds of investment that would come with that strategic project. It is really important, as an attractive region to international investors and inward investment, that we have a skilled workforce. At the moment, we are a bit hamstrung on delivering the types of skills we need in an agile way in response to business, because we are being told by Westminster, “This is the project; this is what you have to deliver” without the understanding of the complexity of delivering skills training for those furthest away from going back to college.

On climate change, we have to get away from the beauty contests and the way we have to bid for funding for projects—for example, for electric vehicle charging points. We have to be given the autonomy to help the Government to deliver on their mission statements. There are a number of points there, Alex, but we will get into a little bit more detail as we go further into the session.

[Alex Norris]

Q I appreciate that, Tracy. Given the company that you have this morning, this is probably a pertinent question: can you talk to us—from your own personal experience and having talked to your colleagues in the M10—about what it is like to work with a combined authority and about the features of a good local collaboration?

Tracy Brabin: I have been pretty blessed in that the combined authority has been in existence since 2014. Although we took a wee while to get to the actual landscape and the footprint of a combined authority, we got there. It has been incredibly efficient, because I landed in a position where a lot of work had already been done to set up the mayoral combined authority. Now, that is not the same across the country. When our colleague Dan became Mayor of South Yorkshire, that infrastructure was not set up. We are, I would hope, one of the most efficient and progressive MCAs; that is my target—to be the most progressive MCA in the country.

Certainly, there is lots that we are already doing that is reflected in the Bill. For example, there is the extra scrutiny. We were determined to ensure that we had proper scrutiny in place, so we went from one scrutiny committee to three. We also pay our scrutiny members for their time. However, the Bill could go further and have that commonality across the regions—really investing in our scrutiny members and allowing them to meet remotely. The current expectation that people have to meet in a room means that quorum is sometimes challenging. During covid, we managed to make it secure—and look at us now, doing governmental business remotely. I would really hope that this Bill could ensure that we could have that scrutiny locally, and delivered in a more modern way.

Fundamentally, the idea, for us as a combined authority—we are five regions with Labour council leaders—is that we have a combined mission of delivering for the people we represent and who elected us, but there is a challenge in that when we come to the Government with our vision, there is this beauty contest and these funding streams. There is also a churn of Ministers and a churn of ideas from Ministers. It would be really empowering to have a direct relationship with the Treasury and could get the funding pot, with the delivery assessed on the outcomes. We could then have extra scrutiny from not just our own colleagues here in West Yorkshire but, potentially, the Public Accounts Committee and Committees like yourselves. We could be part of the outcome story, rather than just waiting for the Government to open up the floodgates on things we have to bid for, in which case it is all about the scrutiny of the process rather than the outcomes.

Ben Still: The partnership for an MCA to be successful must be deep, and there must be a strong sense of shared endeavour. As the Mayor has said, the five West Yorkshire leaders and the Mayor work very hard to develop that sense of shared endeavour. We can see that in the fact that the combined authority has specific sub-committees dealing with individual sectors, each of which is chaired by one of those local authority leaders.

We also have cross-party representation on the combined authority, so that—I think we will come back to this theme—ideas and policies that are developed through the CA can stand the test of time and be long term, as was discussed with the last witness. We completely agree that the long-term nature of these policies means that they have to be sustained over successive Parliaments and successive mayoralties.

Tracy Brabin: It is unusual to have cross-party membership of the combined authority. In parallel, we have our local enterprise partnership board, which is one of the most diverse in the country. We have a strong relationship with that LEP board too. As I say, the structures are here in West Yorkshire to deliver. The history of delivery is there from previous funding streams, where we have delivered and spent every penny—

[The Chair]

Tracy, I am going to have to cut you off, because we need slightly shorter answers. I will ask the Minister—who does not believe in “churn of Ministers”—to ask you a question.

--- Later in debate ---

[Neil O'Brien]

Q That is very helpful. In your earlier answer you drew attention to the lack of UK-wide indices of multiple deprivation. We know that in the first round of the levelling-up fund, the 50% of local authorities that had the lowest median pay got roughly three quarters of the investments—it is targeting poorer areas. Would it be attractive, as part of the data drive in the levelling-up White Paper, to create more UK-wide indices of deprivation and other things?

Mairi Spowage: Yes, I would be very supportive of that. We can see in the sorts of metrics that are used—not only those related to indices of multiple deprivation but educational outcomes or transport connectivity—that some of them are focused on England-only measures; sometimes they are GB only. We do not want to fall into the trap of, in some cases, using GB and UK inter-changeably here. It is really important that we think about the metrics that we are going to use to capture the reduction in regional inequalities across the UK. Wherever possible, we should invest in developing UK-wide measures.

In some cases I can see that there are data sources in the devolved nations that are very similar to those being used for England. I think there is work that could be done to develop more consistent measures right across the UK, for which, as I said earlier, there is a clear policy need for the UK Government’s programme.

[Alex Norris]

Q Thank you for your time this morning, Professor. Can you expand on an element of a previous answer you gave about the work that the Office for National Statistics, of which you are a fellow, is doing on developing a dataset in that area?

Mairi Spowage: I am not here to speak for the ONS, but I am a fellow, so they ask me and a group of other expert academics for advice on their work programme. They have published a subnational data strategy, which was worked up not just by the ONS but across the Government’s fiscal service, to think about how we can develop more sophisticated metrics across the UK to capture different levels of needs and progress. That would be to support not only the levelling-up agenda but things more broadly. In partnership with the Department for Levelling Up, the ONS is looking to develop more metrics across the UK. Some of that will be working closely with the devolved Administrations to develop data sources and think what might be comparable.

We have done a significant amount of work with the Economics Statistics Centre of Excellence. We published a paper recently on developing a suite of sub-national indicators across the UK. We made recommendations there, which included working closely with the devolved Administrations to develop data that was consistent across the UK, particularly on educational and environmental outcomes. A recent example would be something like fuel poverty, which is obviously a live discussion. It is measured differently in all four nations of the UK, so it is very hard to compare differential rates of fuel poverty in different parts of the UK at the moment.

[Alex Norris]

Q Do you feel that the outcome of that work might be a definitive set of statistics and measurements that we could use in this space, that we could perhaps seek to build consensus around? Is this particularly contested space in your community? It is in ours, as you may have noticed.

Mairi Spowage: It is always difficult to come up with a set of metrics that everybody is going to agree with. One of the most challenging things, particularly if you compile them in an index, is how you weight them together, which things you give most prominence to, because if you are weighting metrics that are more focused on, perhaps, income deprivation and you are focusing less on rurality, you will get quite a different allocation of resources from the one that you will get if you are giving more weight to lack of connectivity, or rurality, than income deprivation. That is just one example. Most of the indices of multiple deprivation have income and employment, education, health, crime, and access to services, as well as housing. The weights that you give to these things can be contentious and, depending on the weight that you give to things, there can be quite a different outcome in your allocation.

It is obviously possible to come up with a consensus on things like the indices of multiple deprivation. The different nations show that you can come up with something that broadly everybody agrees is sensible, but even with the indices of multiple deprivation, which are well established, policy makers in rural areas would say that they do not capture rural disadvantage very well at all, because the geographic areas that tend to be used for rural areas are very large and do not capture pockets of deprivation within rural areas. Even with those established metrics, people in rural areas have argued for many years that they do not serve them well. I think it is difficult to get a consensus, but there is a good basis to start from, in terms of the long-established 20 or 30-year discussions about indices of multiple deprivation and how to measure that across the UK.

[Alex Norris]

Q That is a very handy caution for us with regard to using these statistics for allocation purposes. When it comes to measuring progress, would it be a little easier if we were not seeking to aggregate and to weight them but instead to use them as some sort of dashboard such that we would be able to form some sort of consensus on what indicators would show whether we were levelling up across the UK? Would we be able to reach a kind of breadth there, certainly in your community?

Mairi Spowage: Yes, I think that is possible. In terms of the sorts of metrics that we could use, it will be important that the metrics used capture the outcomes of what we are trying to achieve and not just inputs or outputs, but I do think it will be possible, and I agree with you that it makes much more sense, when we are thinking about whether the interventions that we are pursuing are making progress on the outcomes that we are interested in, to look at those as a suite or a dashboard of indicators, rather than trying to come up with some index overall. Yes, absolutely, it should be possible to come up with a suite of indicators that are broadly agreed upon. However, there are things like the Scottish national performance framework, trying to measure the 11 national outcomes that the Scottish Government have set out through consultation with Scottish public life and communities about what is important. Just be aware: 81 indicators are used to capture that, and having 81 indicators makes it quite difficult to say overall whether we feel we are progressing to the sort of Scotland that we want to see. It can be difficult to come up with something that is comprehensive enough and that does not become unwieldy.

[Tim Farron]

Q Hi, Professor; good to see you with us. You mentioned earlier the situation regarding a tight labour market. Thinking about rural communities in Scotland and England in particular and elsewhere in the UK, to what extent you think an absence or a lack of workforce is hampering those economies. In the Lake district, 63% of hospitality businesses last year reported that they were working below capacity, because of the lack of workforce. To what extent do you think that workforce problems—or lack of workforce—are hampering economic growth in certain areas? What is the cause? Does the Bill do anything to solve those problems?

Mairi Spowage: It is a massive problem. For all the businesses we talk to on a regular basis right now, it is their No. 1 issue. They are very concerned about their energy, fuel and input costs going up hugely, but their biggest problem is sourcing staff, particularly businesses in rural areas. It means that they do not open as much in many cases, particularly when we talk to hospitality businesses—they are not serving non-residents for dinner, or they are not opening on all days of the week. That seems to be quite common across the Scottish businesses we talk to on a regular basis, so it is an absolutely huge problem.

What is causing it? Well, for many years, there has been a movement—within Scotland at least, which I am more familiar with—from rural to more urban areas. In Scotland, there has been movement from most areas to Edinburgh and its surrounds, to be honest. That is projected to continue. If it does, that has some pretty huge consequences for rural areas. Obviously, housing plays into it as well, with young people in an area being attracted away, perhaps to study, but also for employment, and not being able to afford to buy houses in the local area. Certain parts, particularly the highlands, have huge issues with second-home ownership dominating particular settlements.

Those are all issues. With some of the pressure valves that we used to use a lot in rural areas in Scotland around EU labour, it is not quite the same situation any more, so we are not seeing the same supply of labour from that sort of source that we did in the past. That definitely seems to be causing issues, particularly in hospitality and social care.

Levelling-up and Regeneration Bill

Alex Norris Excerpts

2nd reading
Wednesday 8th June 2022 Commons Chamber

[Alex Norris (Nottingham North) (Lab/Co-op)]

It is a pleasure to close this debate on behalf of the Opposition. When it comes to levelling up, we have had a few rounds of departmental questions, the White Paper, the Bill and, today, nearly six hours of very good debate. There is only one question left in front of us: when it comes to levelling up and the Government’s approach to levelling up, is this it? With our huge regional inequalities, is what is in the first third of this Bill really it? When it comes to the wasted potential of the nations and regions in our country, is this it? When it comes to the over-centralisation of this country, is this really it? The Minister for Housing seems to think that maybe it is, but I say gently to him: if this really was a comprehensive Bill aimed at tackling the regional inequalities that are holding us back, it would not have been necessary to bulk it out with a planning Bill as well. That is the reality: the first third of the Bill is levelling up, and two thirds are about planning. The reality, too, is that there are no answers in here either to the immediate cost of living challenges we face, or to the long-term structural questions that we as a country must address—more evidence that this Government are out of touch and out of ideas.

Hon. Members should not take my word for it: the Office for National Statistics report clearly shows that, far from levelling up, things are getting worse, and the excoriating report from the Public Accounts Committee shows that the approach so far has been a very poor one indeed. Is this really it?

This debate has been a good one. I know the Minister is a listener and will reflect on the contributions that have been made, but he will certainly have heard a lot that would improve the Bill. The Chair of the Select Committee, my hon. Friend the Member for Sheffield South East (Mr Betts), should have been drafted in to help to write it because his speech was about two fundamental things: first, more money, ending the beauty parades of small pots of funding, as my right hon. Friend the Member for Birmingham, Hodge Hill (Liam Byrne) and my hon. Friend the Member for Cynon Valley (Beth Winter) said, and properly funding our communities so they can build their futures; and secondly, new powers for existing Mayors and access to those powers for communities that do not currently have them. That was a really good starter for where we could go with the Bill.

Some reality was injected into the debate by my hon. Friends the Members for Denton and Reddish (Andrew Gwynne) and for Wansbeck (Ian Lavery), who talked movingly about just how hard things are for people right now and the struggle people are facing just to make the bills work, finding that there is too much week or too much month left at the end for their paycheques to cover. There is not enough in the Bill to address that. Again we see the promise of jam tomorrow, but there is no value in jam tomorrow when there is not bread today.

My hon. Friends the Members for Sheffield, Brightside and Hillsborough (Gill Furniss) and for Wirral West (Margaret Greenwood) also injected some reality around cuts to local authorities. We talk about this on the Labour Benches a lot, but we used to see Government Back Benchers standing up to say how much they had been winning out of levelling up so far. The reality, as my hon. Friend the Member for Wigan (Lisa Nandy) said in her opening speech, is that even those winners, through the levelling up fund, the towns fund or the future high streets fund, are losers because of the cuts to their local authorities. She made those points very well.

My hon. Friends the Members for York Central (Rachael Maskell), for Sheffield, Hallam (Olivia Blake) and for Birkenhead (Mick Whitley) also made moving points about decent housing. I hope that we can feature that in Committee, because it is impossible for people to build a life and to build communities, to have that solid foundation to reach their potential and to help their family to reach theirs, if they are worried about their housing, or if their housing is of poor quality or a detriment to their health. We must aspire to much better for our fellow citizens.

Finally on the Labour Benches, I must refer to the contribution from my hon. Friend the Member for Battersea (Marsha De Cordova), and the points she made about London. Hon. Members on the Government Benches also said this, but it is important to understand that across every community there are pockets of deprivation. Levelling up fails if it becomes a conversation of north versus south or the rest of the country versus London. That does not serve anybody, and my commitment to her is that she will never see us do that.

There were an awful lot of very good contributions from those on the Government Benches, particularly those that majored on planning—I counted 27, and I think I got them all—but there were also good contributions in interventions on the Secretary of State and the shadow Secretary of State. For the moment, I think there was contentment that, broadly, the Secretary of State largely seemed to think that he could accommodate all those significant and strongly felt views about local decision making. We want to see that too. I think it will get harder. I say to the Minister, and I know this is his instinct, that he will have to bring people with him on this. There is inevitably a trade-off at some point between reaching the volumes we need to address our housing crisis and having respect for communities and local decision making. Nobody thinks that is easy, and that ought to be dealt with. We will have plenty of time in Committee to do that. If we are not going to do levelling up, we might as well do that in its stead.

To make a few points of my own, four months ago, the Secretary of State presented the levelling up White Paper to this House. After all the big promises and slogans, before elections and after, it offered little other than the usual: governing by press release, with the reality never quite matching up. The one thing in there was that levelling up, which, as the Prime Minister has reiterated, was defined as the core mission of this Government, would have 12 missions. The hon. Member for Burnley (Antony Higginbotham) made an excellent case for them, although I would gently say to him that they also served to highlight the failings of this Government over the past 12 years on education, housing and crime— 12 admissions of failure to cover 12 years of wasted time in Government.

[Antony Higginbotham]

One of those missions relates to healthcare. It was the Labour Government before 2010 who closed Burnley’s A&E. It was the same Labour Government who forced our schools to have new PFI buildings, which has seen money taken away from educating children and instead paying for expensive contracts. So the hon. Gentleman might just want to think about whether a Labour Government have all the answers.

[Alex Norris]

I will always think carefully about the contributions the hon. Gentleman makes, but I am afraid that he will struggle to win an argument with Labour on NHS investment. [Interruption.] Conservative Members are all back then—nice to see you. I will take you all on if you want. [Interruption.] Even the Under-Secretary, the hon. Member for Harborough (Neil O’Brien) —but I shall save him for Committee.

On the 12 new levelling-up missions, which are the centrepiece of the White Paper, and so important to the Government that they want to place a statutory duty on Ministers to report on their progress—what a big and bold claim that is—we now see that they come with a rather crucial addendum, which is that, if the Government decide that they do not like them any more, or perhaps think that they will not meet them, they can just do away with them altogether: when they fail, they can move the goalposts. Measured by actions, I am afraid that that is how important those missions actually are to the Government, who cannot even commit themselves to them. In that sense, as my hon. Friend the Member for Wigan said, they are not worth the paper they are written on.

We are told today that those missions are a core part of, and a key moment in, levelling up this country. I find that hard to believe, for the reasons that I have stated. But if they are going to be so impactful that they will create the change on which there is, I think, a universally held view across those on all Benches, why is there no impact assessment? Why is there no impact assessment on regions either? I hope that the Minister will give a commitment that before we enter Committee we will have the chance to see that so that we can debate the facts of the matter.

Levelling up was supposed to be about getting all parts of the country firing on all cylinders, but yet again we do not see that. Another key example: where is the community power in this? If the levelling-up portion of the Bill is really about saying to people, “We want you to have greater control over the state of your community and its future”, why does that stop at a sub-regional level? That is still a very long distance away from communities. We will certainly seek to add to that in Committee, and I hope Ministers will be in listening mode on it, because there is a great deal of expectation beyond this place that we are going to see more devolution to communities. We want to see powers and funds devolved from Whitehall to town hall, and beyond, so that communities are empowered to make these decisions for themselves.

One of the things in the levelling-up section of the Bill that we are pleased to see is further devolution of power and all communities having the chance to access those highest levels of power. However, I cannot quite understand why that comes with the caveat that they must accept the Government’s preferred model, which is a Mayor. The message from the Government seems to be that they are willing to devolve power but only on their own terms. That does not feel like proper devolution. The hon. Member for Mansfield (Ben Bradley) and I frequently talk about devolution of power to Nottingham and Nottinghamshire. I agreed with much of what he said but, in our access to tier 3 powers, which we both want and is wanted universally across Nottingham and Nottinghamshire, I do not see why we should have to take a Mayor as well. I do not see how those two propositions are linked, and I have not heard anything in the debate that has moved me further on that.

The Minister will also, whether in closing or in Committee, need to address the important points made by the hon. Members for Gloucester (Richard Graham) and for Sevenoaks (Laura Trott) about provisions in the Bill that allow powers currently held by district councils to be drawn up from them to combined authority level without their consent. That is a really challenging provision that will not hold for much longer.

As I say, this Bill is not enough, but it is what is now in front of us, and we will seek in Committee to make it better. We will also, I warn the Minister in advance, help the Government by adding back into the Bill some previous Government commitments that are missing from it. I hope greatly that they will want to take them on.

Let me turn to the planning side of the Bill. We welcome planning reform. We want to see the building of genuinely affordable housing. We want communities with good services and thriving town centres. We are glad to see the back of some of the worst excesses of previous policy. This is a much better version than what was publicly announced a year-plus ago. But the reforms could go further to change the system to provide greater support for planning authorities, and to deliver more say and power back to communities. Again, we will seek to do that in Committee. I hope that in his closing remarks, the Minister for Housing might do slightly better than the Secretary of State did on the infrastructure levy. It is an area of significant interest that has come up in a number of colleagues’ contributions, and when the Secretary of State was pressed on it, he was unable to say at what level he thought the levy would be set. That will not do. I understand that that is a complex calculation, but the Opposition ought at least to have heard an assurance that it would not be less than current section 106 moneys, because I do not think that anyone has argued for less money for infrastructure. This “We will tell you later” approach does not work. We do not want to have to get through the whole Bill process only to be told that the level will be set in regulation later.

[Mr Betts]

I want to raise with my hon. Friend an issue about local democracy and local plans, which the hon. Member for The Cotswolds (Sir Geoffrey Clifton-Brown) mentioned. A local plan must be consistent with national planning policies, and correctly so. However, if there is a conflict between a local plan and national development management policy, national policy holds sway and is given priority in any determination. How can it be that a local plan can be drawn up in full consultation with the local community, but if the Secretary of State later decides to change the national policy, it will override the consulted-upon local plan?

[Alex Norris]

I thank my hon. Friend for that important point. There are 200 clauses in this Bill, so if there are 20 words in each, that is 4,000 words, give or take. On the planning side, however, only three words really matter: “to any extent”. They mean that the national plan overrides the local plan under any circumstances if that is what the Secretary of State wishes. I hope the Minister will say in summing up that he does not think that that is the right thing to do, that it is not the Government’s intention and that it will be changed in the Bill. I do not think that that can hold.

We will not seek to stand in the way of the Bill at this stage, but significant changes and additions will be necessary if it is to deliver the change that communities up and down the country are waiting for. After the long wait, it is no great surprise that the Bill is so symptomatic of the Government’s whole approach to levelling up—high on rhetoric, low on delivery. The Government just cannot seem to follow through and deliver properly on levelling up. Perhaps that is because deep down, they are not sure whether everyone on their side really believes in it. They are hamstrung by the Treasury—that is a matter of record—riven by division and drifting towards no defined point. But the Opposition feel this in our bones. It is why we are here, and we will fight tooth and nail to make sure that the Government do not waste this opportunity to deliver power back to the people and communities that we all represent.

Oral Answers to Questions

Alex Norris Excerpts

Monday 16th May 2022 Commons Chamber

[Mr Speaker]

We come to the shadow Minister.

[Alex Norris (Nottingham North) (Lab/Co-op)]

A new study by the Centre for Business Research shows that by the end of next year, more than half the UK’s slowest-growing economies will be in the north of England. So much for the Government’s commitment to levelling up the country! If we want true levelling up, we need proper regional investment. Instead, we have a rolling series of beauty parades: the levelling-up fund, the towns fund, the high streets fund, the buses fund, the brownfield fund and all the others. Do Ministers really believe that levelling up is best served by making communities come cap in hand to Whitehall, where only some can win, and most must lose?

[Kemi Badenoch]

Competitive funding has its place, and we think that it has been an effective tool for protecting value for taxpayers’ money. The hon. Gentleman knows that, as I said in answer to his colleague the hon. Member for Ellesmere Port and Neston (Justin Madders), that is not the only funding that we are providing. We have increased funding for local government by £3.7 billion.

[Alex Norris]

The hon. Lady knows that the story for local government over the past decade has been a devastating one. Even if an area is successful in the bids that I have talked about, it will still be worse off overall as a result of Government cuts. With this Government, the reality never matches the press release, and we see that once again with the shared prosperity fund: the Tory party promised, in its 2019 manifesto, that the amount in the fund would match the what used to be received, but now we can see that the fund is worth hundreds of millions less. So I ask the Minister what I asked the Secretary of State last month, when I received only a grammar lesson in response: levelling up is a sham, is it not?

[Kemi Badenoch]

I completely reject the hon. Member’s assertion. It is not true that the shared prosperity fund is less; it is more. The Opposition are looking at different sources of funding to arrive at their inaccurate figures. If he would like us to explain how it works, I would be very happy to provide him with a letter.

Local Enterprise Partnerships

Alex Norris Excerpts

Wednesday 16th March 2022 Westminster Hall

[Alex Norris (Nottingham North) (Lab/Co-op)]

It is a pleasure to serve with you in the Chair, Ms Rees. I congratulate the hon. Member for Hastings and Rye (Sally-Ann Hart) on securing this important debate and on the case she made, particularly for the value of LEPs. Many of her points about the role of LEPs in skills, business development and attracting inward investment were well made, but I particularly liked her point about their power in terms of convening. That is one value that has been harder to quantify, but it is absolutely important, and when the Minister closes, I hope he will talk about the need for greater certainty —I will make some points about that myself—because that is a clear message that is coming back to all of us. LEPs have shown the value of bringing business together and giving it the chance to help shape a place and the future of local economies. That has been a real success of the model.

I tried to keep pace with the hon. Member for Buckingham (Greg Smith). In the end, I wrote down “sheer volume” for the wonderful achievements in the Bucks LEP. I was struck by 55% of new starts being in the enterprise zones, which really shows the impact in that community. That relates to the point made by the hon. Member for Stroud (Siobhan Baillie) about getting things done, which is what our constituents want and what we all want for our communities. We talk about long-term projects, but we want to get things done, get the economy moving, get people in work and get them the right skills. Those points were well made.

The hon. Member for Northampton South (Andrew Lewer) sold himself short. My LEP is Derby, Derbyshire, Nottingham and Nottinghamshire—D2N2—and the hon. Gentleman was a founder director. It is widely accepted across the patch that it has done a very good job. Those things were very difficult at that time; looking back, it seems a lot easier. He made some points about geography, which was a contested issue in our part of the world at the time, as was the structure. The transition from regional development agencies to the LEP model was quite painful. The hon. Gentleman is widely considered to have done a very good job. That shows that, as well as the value of business in these bodies, there is still, and always will be, an important place for local politicians in shaping a place, whether that is leaders of councils or economic development leads on councils. We should always want them to be part of the work, because the value is in the rich partnership between the public and private sector. There is real opportunity in that.

I do not want to go past the point about geography and overlaps and underlaps, because we are going to go through that now—on steroids—as we move now into the next phase of the levelling-up White Paper and the different plans around devolution. There was some interest when it was about local economic partnerships, but in reality we knew that most of our constituents would not particularly connect with the issue. But they are going to when it starts being about mayoralties and combined authorities, and we are really going to have those conversations, so some of that insight and experience will be very welcome.

Local economic partnerships have been an important forum. In my own community, D2N2 covers 2 million people with an output of £45 billion, and it aims to add another £9 billion. That is the scale of the ambition. The LEP has brought real expertise, and a co-ordinating role, as the hon. Member for Stroud said. That has been particularly clear during the pandemic, where it has pulled the partners together to assist people back into work, to steer local investment and to support businesses to grow. We have been very lucky to have it.

It would be remiss of me not to mention the predecessor bodies. For us, that was the East Midlands Development Agency. In general, regional development agencies were good bodies. I know that the hon. Member for Northampton South does not like the ROI stats, but the evidence for RDAs was very good in that regard, and I feel that the changes were a false economy—a cost-cutting measure. I am not advocating a return to that system, but the governance model we have today, with a partnership between local politicians and local business, plus the heft of the support that RDAs had, might be a better way forward. I would be interested to hear what the Minister foresees.

We face significant challenges in our economy. We have had anaemic growth for a decade. We can have a big argument about why that is, but it is still the reality. When we look at wage growth, I do not even think it would qualify even as anaemic. The Bank of England is predicting economic growth to be as low as 1% by 2024. Whatever our economic plans, LEPs have to be there to jump-start our economy. There are elements of the levelling-up White Paper that start to address the situation, in concept and rhetoric, and there is lots that we would all agree with, but we now need to hear from Ministers about more than the concept, and about how we are going to tackle the failed model of over-centralisation and genuinely shift power from the centre—from Whitehall to town hall, and then from those town halls to communities themselves. We know that that is what communities want and that when people are treated well and are given the opportunity, they do well. I fear that, in the long journey between now and 2030, if we go on another trip around the deal-making process and the piecemeal model of devolution, it will be very slow and will frustrate progress. I think we can go faster and I hope the Minister might reflect on that.

The White Paper says that the Government are

“encouraging the integration of LEPs and their business boards into MCAs, the GLA and County Deals”.

Many LEPs have welcomed that but, very much in the spirit of the comments of the hon. Member for Hastings and Rye in opening the debate, they want to know more about that transition. The White Paper said that further detail would be provided in writing to LEPs, Will the Minister say when that happened or will happen?

I will finish with a couple of quick questions. We are moving into an age of more individual, personalised government. I have to say, that is not to my taste. I think the superman model of leadership is a dated and failed one—and they are virtually always men. I like a Cabinet Government; I think more heads are better together. The value in the LEPs was that they brought together a rich mix of partners. They are very busy people with very important day jobs, and they are going to need to know that their work is valued. If they are downgraded to a business sounding board for a Mayor, then that will be a challenging process. Otherwise, if we are putting all accountability on an individual personage, where will LEPs fit in to that? I am keen to hear what the Minister has to say about that.

The White Paper announced three new innovation accelerators. Can the Minister provide some detail on how LEPs and local government are expected to interact with those? Will they have genuine power and a say in them? Similarly, how will LEPs engage with the new levelling-up directors and the Levelling Up Advisory Council, and how will they provide feedback? We have seen a general sense of enthusiasm for sub-regional business and political leadership on important matters of developing the economy. Saying that sounds almost facile, but that is what we are all saying. We are now moving into a new context through the levelling-up programme. There are many questions that need to be answered, so I hope that we might start to hear answers from the Minister today.

Oral Answers to Questions

Alex Norris Excerpts

Monday 7th March 2022 Commons Chamber

[Mr Speaker]

I call the shadow Minister.

[Alex Norris (Nottingham North) (Lab/Co-op)]

The reality is that the rhetoric is just not matching up to what the Government say they want it to deliver, but those analysts at Oxford Economics are not fooled. They say the levelling-up White Paper contains

little that is new or significant.

They say that there is nothing to cause them to revise their national and regional growth forecast, and they call its targets and missions either “pre-existing or “vague”. That is a damning indictment. What we needed was a plan to bring good jobs back to all communities to breathe life into our high streets and to transfer power from Whitehall to local communities. This White Paper is not going to address regional inequalities, is it?

[Michael Gove]

The hon. Gentleman said that the rhetoric is not matching up to the delivery, which suggests, actually, that we are underselling what we are doing. I think what he meant to say, if he had written out his question more clearly, is that the delivery is not matching up to the rhetoric. I have to disagree with him on that, because a plethora of organisations from Onward to the Institute for Public Policy Research have pointed out that everything in the levelling-up White Paper is what Labour should have been doing when it was in power.