European Affairs

Debate between Baroness Chapman of Darlington and Phil Wilson

Wednesday 14th March 2018 Commons Chamber

[Phil Wilson (Sedgefield) (Lab)]

I want to raise two areas of European affairs this afternoon.

The first is the potential impact of Brexit on the north-east of England. Some 60% of north-east trade is with the EU and 50% of the cars manufactured in the north-east are exported to the EU. Nissan employs about 7,000 people and more than 30,000 jobs through the supply chain. I have never been one to say that, for example, after Brexit the Nissan plant will close, but I am concerned about future investment in the plant. As the Business, Energy and Industrial Strategy Committee said in its report on the impact of Brexit on the automotive sector:

“It is difficult to see how it would make economic sense for multinational volume manufacturers—the bulk of the UK automotive sector—to base production in the UK in a no deal or WTO tariff scenario. The shift of manufacturing to countries within the customs union and single market will be inevitable.”

The cost to UK jobs could be in the hundreds of thousands and to inward investment in the hundreds of millions of pounds. That is another example of why many of us on the Labour Benches call on the UK to remain a member of the single market and the customs union. The same report made it explicit that the UK cannot expect an expansion of trade overseas to outweigh the loss of trade to Europe arising from a hard Brexit. It seems senseless to me to walk away from one half of the north-east’s trade without a strategic means of replacing it other than through wishful thinking.

The impact assessments the Government tried to keep to themselves reveal the potential impact on the north-east. They identify that three of the major sectors to be hit by Brexit will be the automotive, chemical and pharmaceutical sectors—all major industries in the north-east of England. The impact assessments determine that of all the regions and nations of the UK, the north-east of England will be the worst hit. This is due to the region’s strong manufacturing and industrial base, which would be exposed most to the changes and trade barriers, and because we have the greatest dependence on exports as a proportion of the regional economy.

The impact assessments say that the north-east would see a decline in its GDP by as much as 16% over 15 years. We can talk about a new customs arrangement, frictionless borders and non-divergence as much as we like, but all we will end up doing is reinventing the wheel only to discover it will not be as round as the original. It is no surprise that the north-east of England chamber of commerce issued a statement following the spring statement. Ross Smith, director of policy for the chamber, said:

“the success or otherwise of negotiations and planning for Brexit could yet render these forecasts largely irrelevant and business still have little detail to base their planning on”.

The second issue, of great strategic importance not only to the UK but Europe, is our response to Russia’s flouting of basic international law and the international rules-based systems by which the community of nations should abide. I do not think we should doubt that Russia’s intent with the continent of Europe is to divide and rule. Putin wants a weak Europe. Brexit, I believe, plays straight into his hands. Russia wants to see Europe divided, introspective and prepared, ultimately, to play the international game by his and Russia’s rule.

Bully-boy tactics are always the result of the weak. The Russian state is weak, economically no larger than Italy. Its population is ageing. Its military strength may be perceived to be great, but it lacks depth.

[Jenny Chapman (Darlington) (Lab)]

I thank my hon. Friend and colleague from the north-east for giving way. I just wanted to point out that, although the north-east voted substantially to leave, it shares his concerns about manufacturing, jobs and security.

Transport in the North

Debate between Baroness Chapman of Darlington and Phil Wilson

Monday 6th November 2017 Commons Chamber

[Phil Wilson (Sedgefield) (Lab)]

There is obviously a big issue with the disparity between the investment in the transport infrastructure in the north-east of England and the investment elsewhere. We have bus networks that are dislocated, and in rural areas probably non-existent. The road networks are congested and the rail network is neglected. The Institute for Public Policy Research says that half of planned transport spending will go to London, with the north receiving £427 per person, compared with nearly £2,000 per person in London. In fact, over the past five years transport expenditure in the north-east was £3.1 billion, while in London it was £30 billion—in the north-east it is only a tenth of what it is in London.

On the road network, the two main north to south roads through the north-east are the A1, which goes through the centre of Sedgefield, and the A19. The upgrade of the A1 stops at Scotch Corner. It seems as if that upgrade has been going on for years—anyone just has to travel on that road to feel it. Ironically, the A19 is the most congested road. We desperately need a new A19 crossing over the River Tees. Councillor Bill Dixon, leader of Darlington Borough Council and Chair of the Transport Committee for the Tees Valley combined authority, said that, for far too long, residents of Tees Valley have suffered frustration and delays because our major roads are not equipped to deal with the volume of traffic. The A19 crossing is necessary.

There is also a need for a relief road, which is mentioned in the combined authority’s plans, at junction 60 on the A1, just outside Newton Aycliffe, home to the biggest industrial estate, down to Great Burdon on the A66 to give further access to Teesport. Companies such as Stiller, the road haulier company, say that there is a need for such access. It means that the road would cut past the small village of Brafferton. Any change that takes place must be done sensitively, with the views of the local people taken into consideration.

[Jenny Chapman (Darlington) (Lab)]

May I take the opportunity to congratulate my hon. Friend on his speech and to mention another reason for needing the road? The residents of Darlington have suffered large vehicles going very close to their homes, with big impacts on road safety and air quality.

[Phil Wilson]

Yes, I know that from going down North Road to the railway station to get to London. It takes a long time to get down there, so the congestion must be relieved.

On the railway infrastructure, there has been talk about the Leamside line, which runs down to Tursdale, just north of Ferryhill, which is in my constituency. There has been talk of refurbishing that line for decades now. I remember it being discussed back in the 1980s. To refurbish that route would alleviate a lot of pressure on the east coast main line, and help to ensure that commuters can get from the Tyne to the Tees, and vice versa. It could also lead to the reopening of a station at Ferryhill, which closed many years ago and which commuters could use to get to both the Tyne and the Tees. It would also help the local economy in Ferryhill.

Hitachi, the rail builders, are in my constituency. Although HS2 is a controversial project, Hitachi has been shortlisted to build the rolling stock, which is a £2 billion-plus contract and will create a lot of jobs for the local area. That is important for the north-east and we should not forget it. The actual factory has brought train building full circle. Locomotion No.1 was assembled there back in 1825, and the company is now building the bimodal trains. The Government asked for those trains to be built, because they knew that electrification of the railway would not go forward in the way that we expected.

The last matter I want to mention is Durham Tees Valley Airport, which is also in my constituency. Owned by Peel Airports, it has been through troubled times over the past few years. It only has two routes now: to Schiphol and to Aberdeen. Peel wants to ensure that the airport can be kept open into the future. The newly elected Conservative mayor of Tees Valley says that he wants to nationalise the airport. A few months ago, I asked the Transport Secretary about the plans for nationalising regional airports, and he said that there were not any, which I found interesting as it was the main campaign issue for the Conservative mayor.

Questions need to be asked. If the Minister has had discussions, perhaps he can help us. What kind of nationalisation are we talking about? Is it state-owned nationalisation or a workers’ co-operative? Are we talking about socialism in one airport or is this a Trojan horse? Is it a transitional demand that would lead to the full nationalisation of all the regional airports in the country? We need answers today. Maybe the main thing that should be considered for Durham Tees Valley airport is a third runway at Heathrow. We need investment in the north-east because we have a lot to say but we need the transport infrastructure to spread the news.

Local Government Funding: North-East

Debate between Baroness Chapman of Darlington and Phil Wilson

Tuesday 1st March 2016 Westminster Hall

[Jenny Chapman]

My hon. Friend has just encapsulated my argument, neatly making the point that I am sure all Labour Members present will be making to the Minister. We feel strongly that we could, with the right support and the right collaboration with the Government and our local authorities, make a real difference to those numbers. Things were going in the right direction—that is what we are trying to get across—but we cannot do it on our own. We know that all Governments fiddle with the formulae to suit their political ends—I am not naive about that. We called for the debate because this Government are doing that in such a blatant manner.

In my home town of Darlington, residents are united in their disgust at what the Government are doing to our town. In a borough of some 100,000 people, almost 9,000 have already signed a petition initiated by my trusty local newspaper, The Northern Echo. The petition reads:

“The Northern Echo is calling on the Government to reconsider its funding formula which has led Darlington Borough Council to implement savage spending cuts that threaten the fabric of the town. These cuts affect not only the most vulnerable but will impact on every corner of the borough.”

It is unusual to find a local paper quite so squarely in support of the local council, and how right The Northern Echo is. I am so proud that that historic campaigning title is based in my constituency and is campaigning for fair funding for the north-east. It used to give the Labour Government a hard time, too, but it is completely clear that the decisions that this Government have made are disproportionately and unjustifiably harming the people of the north.

[Phil Wilson (Sedgefield) (Lab)]

I congratulate my hon. Friend on securing this debate. I represent part of the rural area of Darlington borough. Will she explain how unsubtle the funding formula for local government has become? Surrey has received £24 million of the £300 million transitional grant, but Darlington Borough Council is facing cuts of £20 million to £22 million.

[Jenny Chapman]

It is extraordinary, and the debate on the funding settlement that we had in the main Chamber brought it home to anyone who still thought that the Government were acting fairly. Government Back Benchers were saying, “I was going to vote against this, but now we have got our transitional funding I think I will go through the Lobby with the Minister.” It was completely bare-faced. One might have thought that the Government would be more subtle.

[Jenny Chapman]

It cannot. The northern powerhouse as a concept is being roundly rubbished across the region. The Minister might like to take that back to his colleague. It is becoming a joke, and it is not a joke that I take any pride in. I want there to be a northern powerhouse. I am proud of my region, and I see its potential. I want a Government who are genuinely prepared to support it, and the northern powerhouse is nothing but a slogan. It is nonsense; it does not mean anything; it is hollow. He needs to take that back to his colleague and come back with a real strategy that works with local people, looks at skills and transport infrastructure, and works properly with combined authorities, rather than just handing them some delegated responsibility without any resources to do anything meaningful that will transform anyone’s life. People are losing faith and what little confidence they ever had in the Government’s intentions to do anything of any purpose in our region.

[Phil Wilson]

My hon. Friend mentioned transport infrastructure, and she will be aware just as much as I am of the effect that the public transport cuts have had in Darlington borough. Some communities that I represent in the borough, such as Brafferton and Sadberge, no longer have public transport, which is affecting places such as Hurworth, Heighington, Middleton St George and Piercebridge. That just goes to prove that to energise a local community, public transport is necessary for those who cannot afford a car to get to work.

[Jenny Chapman]

I completely agree. I am aware that while we are meeting here, the High Speed Rail (London – West Midlands) Bill Committee is also meeting. If the Minister takes one thing away from this debate, I would like him to take this point about buses. The number of people in the north-east who rely on bus services far outweighs those who need a train to commute to work. Their services are being decimated. Councils are no longer in a position to financially subsidise bus routes. The bus companies are under no obligation to provide the services that we so desperately need and communities are being cut off. That is already happening—it has already happened to areas of my borough.

--- Later in debate ---

[Jenny Chapman]

It is indefensible, as my hon. Friend says. The Minister really needs to reflect on the decisions he has made. While those councils and the residents in those areas will benefit from the additional money, it is the looked-after children and the older people—the people who rely on council services in our region—who pay the price, and that is wrong.

[Phil Wilson]

I do not know whether my hon. Friend is aware, but revenue spending per household in Darlington from 2011-12 to 2019-20 will be reduced by £1,642. In Durham the figure is £1,600 and in Gateshead it is nearly £2,000. Does that not prove how brutal and unsubtle the cuts are for the north-east of England, when we compare them with what is happening in the south?

[Jenny Chapman]

Absolutely it does—I have the same numbers here, which I am happy to give to the Minister.

In a previous debate, the Minister tried to imply that Darlington was getting £2,000 a year extra. If he makes that same claim again, he is completely wrong. I have checked, double-checked and triple-checked with my director of finance, and the Minister is completely wrong. I advise him not to say that again and to ask his officials to get back to the local authorities and find out what the actual numbers are.

Stockton to Darlington Railway

Debate between Baroness Chapman of Darlington and Phil Wilson

Wednesday 16th September 2015 Commons Chamber

[Phil Wilson]

I agree with my hon. Friend. He may have the first ticket office and waiting room, however, but the first one used was at Heighington Crossing.

The train run was successful enough for the Stockton and Darlington railway to open nine days later, on September 25. On that inaugural run from Shildon to Darlington and then Stockton, Locomotion No. 1 pulled the first train—full of coal, bands and people—along the track which today is on the boundary of the new Hitachi factory.

[Jenny Chapman (Darlington) (Lab)]

Further to the intervention of my hon. Friend the Member for Stockton North (Alex Cunningham), I would like to make it clear that we have the first passenger railway station at North Road in Darlington. Although the name of the line is “Stockton to Darlington”, it should be noted that it was the people of Darlington who raised the money and paid for the line. All but £1,000 was raised in Darlington.

[Phil Wilson]

Everything my hon. Friend said is absolutely right and I understand that the railway tavern is still used. It is the longest-used railway tavern in the world.

The 600 or so passengers on board—the directors sitting in the luxury of the Experiment while the world’s first railway enthusiasts clung to the sides of the coal trucks—could not believe their eyes as hedges and trees flashed by at unbelievable speeds. Now, the Hitachi Rail Europe factory had its official opening on 3 September this year, bringing 730 jobs, thousands more in the supply chain and train building literally full circle back to where it started. The new trains will enter the rail network by joining the exact route used by George Stephenson’s Locomotion No. 1, and where it was test driven to the outstanding speed of 15 mph.

The new inter-city trains will be a lot faster and more comfortable, but we must salute the energy, drive and ambition of the early rail pioneers. On 16 September 1825, Locomotion No. 1 did not just pull one railway train; it pulled the world into the mass transport era of the railway age. Such is the pride of the people of the north-east in the importance of the Stockton and Darlington railway that 50, 100 and 150 years after 1825, the opportunity to celebrate this gift to the world has been celebrated with processions, fairs, gatherings of locomotions and exhibitions. These anniversaries have been marked with major celebrations, with the casting of special medals and with great spectacle.

In 2025, the Stockton and Darlington railway will be 200 years old, and work has already commenced to ensure that local communities and visitors from around the world can visit and appreciate the surviving monuments, buildings and track bed of the line. This has already attracted action from Durham, Darlington and Stockton councils, engaged local people through a new charitable body, the Friends of the Stockton and Darlington Railway, and received initial funding from the Heritage Lottery Fund and Historic England.

The Stockton and Darlington railway was important to the economic success of the north-east and to community pride in 1825, and with the right support and action, this world-class heritage site can be as important again. Work has already begun, with huge community support, to rescue the remains of the 1825 line and give it the international recognition it deserves. Over the next 10 years, culminating in the bicentenary of 2025, there are aspirations to create a long-distance walking route along the original line. This will link up a number of excellent museums and provide heritage-led economic regeneration for the area. In that same year, 2025, the Tees Valley hopes to be awarded the capital of culture accolade. The case will also be made to ensure that the surviving elements of the Stockton and Darlington railway have appropriate statutory protection through designation either as a scheduled monument or as listed buildings. A case is also to be researched and made to seek the inscription of the 1825 line to ensure that it can become a world heritage site through UNESCO.

I hope that the Minister will recognise the great legacy of British engineering and enterprise that is exemplified by the Stockton and Darlington railway, and that she will offer Government support for our aspiration to seek appropriate status and conservation for the line. I also hope that she will join me in offering support to those community and public bodies seeking to protect the railway’s remains and use them to inspire heritage-led economic regeneration for the area, and to inspire the young of the region to seek careers in engineering and manufacturing.

On 17 June, I spoke at a conference held at Locomotion, the National Railway Museum, in Shildon in the constituency of my hon. Friend the Member for Bishop Auckland (Helen Goodman). The conference was organised by Durham County Council, Darlington Borough Council, Stockton Borough Council and the National Railway Museum. It was also lottery funded. The conference looked at how best to preserve the 26-mile route of the Stockton and Darlington railway. It is our ambition to submit a bid for world heritage status for the line because of its significance as part of the country’s industrial heritage.

The last time a bid was submitted to the Department for Culture, Media and Sport was back in 2010. A number of railway and wagon-way sites from the dawn of the railway era were collected into the bid by a committee chaired by Sir Neil Cossons, formerly the director of the Science Museum and then chairman of English Heritage. The sites included: the Causey Arch; the Tanfield railway; the Wylam wagon-way and Stephenson birthplace; the Stephenson locomotive works in Newcastle; the Bowes railway; the Liverpool Road station site; and the Stockton and Darlington railway between Etherley and Darlington.

The application, entitled “The Birth of the Railway Age: genesis of modern transport”, was submitted to DCMS in competition with 37 other bids. Although it was rejected in 2011, I understand that DCMS and the heritage agencies were requested to undertake a study to consider whether it would be possible to address the concerns that had been identified. However, no such study has been undertaken. Can the Minister say whether such a study could be undertaken now, because of the clear importance of maintaining these early examples of the country’s railway infrastructure? I know that UNESCO and DCMS place a lot of weight on community engagement, so will she also join me in thanking the community groups in south Durham and the Teesside area—including the Friends of the Stockton and Darlington Railway and the local authorities—that have engaged in maintaining the Stockton and Darlington railway route as best they can?

What advice can the Minister give, and what more can she do to ensure a successful bid for world heritage status for the Stockton and Darlington railway, either through a single bid or as part of a joint bid with other railway lines and wagon-ways?

As she knows, the heritage industry is an asset to the UK economy. Recent analysis shows that cultural heritage-based tourism accounts for £5 billion in GDP and some 134,000 jobs. When indirect effects are included, the figures rise to at least £14 billion and 393,000 jobs. I want some of that for Durham and the Tees Valley. I want to end by asking the Minister to come and see for herself the potential of the route and infrastructure of the Stockton and Darlington railway in heritage terms. It is only right that we protect the first of the railways as best we can. So please, Minister, visit us at any time.

Mowden Hall, Darlington (DfE Jobs)

Debate between Baroness Chapman of Darlington and Phil Wilson

Tuesday 11th December 2012 Westminster Hall

[Jenny Chapman (Darlington) (Lab)]

It is a pleasure to serve under your chairmanship, Dr McCrea. I thank my hon. Friends the Members for Sedgefield (Phil Wilson) and for Bishop Auckland (Helen Goodman) for supporting me in preparing for this debate.

Mowden Hall is the workplace of more than 400 civil servants who support the education and well-being of children and families across the country. On 13 November, I received a letter from the Department for Education describing Mowden Hall as being in poor condition and requiring significant investment to remain in use. The letter said that the Department would be selling the site and searching for an alternative in either Darlington or Newcastle, which came as a surprise although not as a bolt from the blue.

Before 2010, the Department had secured funding and planning permission to build new offices in the centre of Darlington. The relocation would have brought jobs into the centre of town, providing public transport access and much-needed trade. The coalition Government cancelled the project almost immediately after taking office, saying that they were committed to remaining at Mowden Hall. All seemed relatively well at the time, but it did not ring true to me, given that the feasibility study for the new building highlighted the poor condition of Mowden Hall. It seemed pretty clear that at some point, the Department would either have to move from Mowden or invest heavily in it.

To be helpful to the Department, I arranged for a discussion between officials and a local developer, John Orchard of Marchday, which owns Lingfield Point in Darlington. The Lingfield Point site was built immediately after the second world war to house a wool factory by Patons and Baldwins, a leading British manufacturer of knitting yarn. At 2 million square feet, the site became the largest wool factory in the world. It is now one of the largest employment bases in the Tees valley, employing more than 2,000 people. The award-winning site is also home to the offices of significant north-eastern organisations including Darlington borough council, the NHS, the Student Loans Company, NFU Mutual and the Navy, Army and Air Force Institutes. It is a stone’s throw from the Independent Safeguarding Authority and can truly be described as a public sector employment hub. The business park even runs its own bus service to and from the town centre every half hour, alongside local bus services running to the site every 10 minutes.

In March 2011, discussions with the then permanent secretary and his officials to assess the possibility of a move to Lingfield Point were positive. Shortly afterwards, however, it became clear that any move was on hold and that the Department’s strategy, at least for the time being, was to stay put at the deteriorating Mowden Hall. It is not my intention to argue that the Department should retain Mowden Hall; a move is clearly justified. Nevertheless, the surprising element of the letter I received on 13 November was not that the Department had decided to move from Mowden Hall, but that it was considering moving its 480 staff members to Newcastle instead.

About 60% of the work force at Mowden Hall live in Darlington. The rest commute from neighbouring Teesside, Durham and North Yorkshire. The Minister, being familiar with the geography of the north-east, will know that Newcastle is 40 miles north of Darlington along a busy stretch of motorway. To reach the centre, staff would either have to drive past the Metro centre, which is legendary locally as a congestion hot spot, or travel via the Tyne tunnel, which has lengthy queues at peak travel times. Increased regional congestion and carbon emissions would be the unwelcome consequence of a move away from Darlington. Alternatively, staff could take a packed train, but the journey time—about half an hour, in addition to travel time into and out of Darlington and Newcastle town centres—would add about two hours to their working day. Other travel options from Darlington to, for example, Longbenton in Newcastle and back include two hours and 20 minutes on the train, four hours on the bus or two hours and 20 minutes driving.

Those travel times would make family friendly working impossible. Parents would find it harder to fit their hours around existing child care arrangements, which would increase their costs dramatically. According to Tees Valley Unlimited, our local enterprise partnership, the older, highly experienced work force would be less likely to commute to Longbenton and less likely to find alternative employment locally.

[Phil Wilson (Sedgefield) (Lab)]

I congratulate my hon. Friend on gaining the debate. My constituency takes in part of the borough of Darlington as well as part of south-east Durham. The issue is important not just for the town of Darlington but for local and surrounding areas. I receive letters and e-mails from people who work at Mowden Hall and places such as Newton Aycliffe. They say that if Mowden Hall is moved to Newcastle, there is no way that they will be able to get there and have a family life. I agree with the point that she is making.

[Jenny Chapman]

I am grateful to my hon. Friend for his intervention. People who live in outlying areas of Darlington such as Newton Aycliffe would have to get into Darlington to catch the train. An hour and 10 minutes would be an optimistic travel time for someone in that situation.

I understand that the Department will be responsible for the relocation travel expenses of staff commuting to an alternative workplace in Newcastle. What provisions has the Minister made to cover those costs? I hear that the Department may be required to cover staff travel costs for some years. Can she confirm that that is the case?

Staff at Mowden Hall make a substantial contribution to my local economy. The most recent information that I have been able to obtain from Tees Valley Unlimited suggests that nine are senior civil servants, 60 work at senior management grades 6 and 7, 58 work in operational management, 240 are executive grade and 80 work at administrative level. Those are senior posts providing expertise to the education sector across the UK.

Darlington is an attractive area principally because of its low cost base and highly skilled work force. In addition, the town has an excellent quality of life and an easy commute to work. Its main advantage is a stable work force and very low staff turnover, allowing for continuity of the specialist knowledge that makes a difference to children’s education throughout the country. The expertise at Mowden Hall has been built up over decades and includes school formation and investment, improvement and performance, school standards, school resources, early years, extended schools, special needs, safeguarding, international adoption, audit and free schools and academies. I understand that a free school is to be created at the old Mowden Hall, which I support and look forward to.

Mowden Hall has a talented, motivated and dedicated work force with skills that cannot be acquired quickly. A move from Darlington resulting in large-scale staff departures would damage the Department’s ability to continue its business. Schools and children’s services departments across the country rely on those skills. They are not easily, quickly or cheaply replaceable, and they should be highly prized by the Department. It is particularly worrying that the current uncertainty surrounding the future location of the Department’s offices is causing some highly skilled staff members to consider departing from the service sooner than they otherwise would have. I would be grateful for an assurance from the Minister that staff at Mowden Hall will not be required to make decisions about early exit before gaining certainty about where they will have to work.

I am grateful to the permanent secretary for meeting me and representatives from Darlington, including council leader Bill Dixon and the leader of the Conservative group, Heather Scott. Ministers and officials understand the pitfalls of a move away from Darlington, and I know that they will be mindful of the potentially damaging impact of a move on the Department’s performance. I know from those discussions that business continuity is a key concern of the Department in considering where to move the jobs. Staff turnover at Mowden Hall is low. The site has played a leading role in Government initiatives, such as free schools and academies, and we are keen that that role continues in Darlington.

In addition to the 480 DfE jobs at Mowden Hall, there are a small number of Ministry of Justice and Department for Business, Innovation and Skills staff. Will the Minister say something about the future of those posts? Some 500 staff at Mowden Hall are employed by Capita, servicing a DfE contract. Can the Minister say what discussions she has had with Capita about its future accommodation needs?

My principal arguments for keeping the Department’s jobs in Darlington centre on the unnecessary costs of relocation and the potential loss of skills to the Department. Also of huge concern is the impact on the local economy of the loss of such a large number of highly skilled jobs.

Although it is more of an issue for me, as the local representative, than for the Minister, it is worth outlining that Tees Valley Unlimited’s economic model forecasts that the economic impact for Darlington is direct employees plus indirect employees times the median wage of £19,000 per annum, giving an annual economic impact figure for Darlington of up to £21 million. It is estimated that around 70% of that sum is spent in the local economy.

Darlington’s unemployment rate is historically and currently higher than other potential locations in Newcastle. The decision to leave Mowden Hall is the most important issue facing Darlington today. There is cross-party support to keep the jobs in the town. We are not making party political points about this. We have support from the borough council and the local business community, the Public and Commercial Services Union and all political parties. The foremost regional newspaper in the country, The Northern Echo, with its proud history as a campaigning title, has lent its support to the campaign to keep jobs at Mowden Hall. Its Save Our Jobs petition has already attracted more than 1,000 signatures. There is no doubt that the task of persuading the Department to stay in Darlington is a whole-town effort, undertaken with confidence in what we have to offer and an understanding that these jobs are critical to the future economic success of our area.

The case for remaining in Darlington is persuasive. There are at least two high-quality alternatives in Darlington. This is a critical decision for our town. For business continuity, integration with Capita, retention of skills and the sake of the local economy, I trust that the Department will decide to keep these jobs in Darlington.

Cost of Living

Debate between Baroness Chapman of Darlington and Phil Wilson

Wednesday 16th May 2012 Commons Chamber

[Phil Wilson]

Those are figures we do not recognise, but—[Laughter.] Let me answer the question. Tough decisions have to be made, but they are even harder when the amount of money given to local authorities is being cut drastically.

[Mrs Jenny Chapman (Darlington) (Lab)]

Darlington borough council has had £100,000 withdrawn from its bus operating grant and has made some very difficult decisions on adult social care. It has a responsible reserves policy. It is a sensible council, which shares a lot of its back office functions with neighbouring authorities. It is a low taxing council; we have the lowest council tax in the north-east. It is a well run council and there is not a lot of fat. These decisions are being taken—

The Economy

Debate between Baroness Chapman of Darlington and Phil Wilson

Tuesday 6th December 2011 Commons Chamber

[Phil Wilson (Sedgefield) (Lab)]

I would like to discuss the part of the autumn statement dealing with local public sector pay and the relationship with local labour markets—in other words, regional pay. As a Member of Parliament for the north-east of England, I know that unemployment in the north-east is 11.6%—the highest in the country—the average wage is just over £19,000 a year, and the average house price is £144,000. A 25% deposit on a mortgage will cost £36,000, and to obtain a mortgage for the remaining 75% someone would need an income of £31,000 a year. A house in the rural north-east costs 8.1 times income, whereas in the urban areas of the north-east it averages 7.3 times income. Average incomes in the north-east are 12% below the national average and are the lowest in England. Given those facts, introducing a regional wage structure in the public sector is the wrong thing to do, because it is short-sighted and it belies the facts on regional pay disparities. If the Chancellor were really serious about pay, he would join me, and many of my colleagues in the north-east of England, in calling for a living wage, not a regional wage.

I do not believe that national pay bargaining in the public sector suppresses pay in the private sector. Although regional pay does exist in the way allowances are paid, for example, for people who work in London and the south-east, the main differential is not between regions, but between London and the south-east and the rest of the country. Pay disparity between the regions is about £2,000, according to Incomes Data Services, and there is very little difference in the cost of living between regions. The largest disparity is between the north-east and London, where the cost of living varies by 10%. The Office for National Statistics states that the cost of living in the remaining regions varies by between 1.5% and 2.8%, depending on the goods compared. However, the wages of commuters in the London commuter belt are higher than those of the people living and working in the commuter towns.

The ONS and IDS believe that the only distinct labour market in the UK is in London and the commuter belt area around the city. Is that not another reason for investing in transport infrastructure projects, which will shrink distances between London and the rest of the UK, rather than encouraging a rush to the bottom in pay rates between the public and private sectors, and between regions?

[Mrs Jenny Chapman (Darlington) (Lab)]

My hon. Friend is making a superb point. I do not know whether he has served on the governing body of a school or on a board of a health trust, but I can tell him that recruiting good, able, ambitious and talented people in the public sector can be a real challenge in the north-east. As someone who lives there, I do not understand why that is, but it seems to be the case. We need to be able to attract those quality people, and enable them to move around the country and pursue their careers as they need to.

[Phil Wilson]

That is absolutely right. If a regional pay structure went ahead, in whatever variety it may take, it would just exacerbate that situation. The regions would become silos, and people would not be able to move around the country.

It is also a myth that there are major variations in the cost of living around the country. The reason why the variation is less explicit outside London is because major retailers have national pricing policies, and internet shopping is having a similar effect in ensuring that the cost of living is more convergent around the UK than it would otherwise seem to be. In addition, major private sector companies—BT, British Gas, Waterstone’s, First Great Western and Santander, to name but a few—have national pay structures, although they have, for example, allowances for workers in London. When the previous Government examined this issue they came out against regional pay bargaining for the following reasons, which were quoted in a Treasury guidance note in 2003. It said:

“At the extreme, local pay in theory could mean devolved pay…to local bodies. In practice, extremely devolved arrangements are not desirable. There are risks of workers being treated differently for no good reason. There could be dangers of leapfrogging and parts of the public sector competing against each other for the best staff.”

That illustrates the point that has just been made by my hon. Friend the Member for Darlington (Mrs Chapman).

The wage disparities do not arise from an overactive public sector displacing private sector jobs; that cannot be so, given that 700,000 public sector jobs are to be lost in the coming years. I want to see a vibrant private sector, with skilled jobs that are well paid and full time, but to achieve that we need growth.

School Sports Funding

Debate between Baroness Chapman of Darlington and Phil Wilson

Tuesday 30th November 2010 Commons Chamber

[Mrs Jenny Chapman (Darlington) (Lab)]

How ironic that a debate on cuts to school sport should follow the Health Secretary’s statement on public health. He recognises the problem of childhood obesity and health inequality, but it is unfortunate that on this issue, the Government’s left hand does not appear to know what the right hand is doing. This change is not a nudge, it is pitching school sports back into the rough of the 1980s.

In the words of one Darlington schoolteacher,

“hard pushed teachers do not have the time to replace or enhance the work of the Partnerships in organising competitions.”

He continued:

“I am dismayed at the state of democracy in this country if one self confessed hater of school sport”—

I think he means the Secretary of State—

“can scrap a decade’s successful work. Surely this man must listen to the outcry across the nation that this whimsical decision has caused.”

My concern is that without the innovation and expertise offered by school sport partnerships, the most able, motivated and enthusiastic young people will, quite rightly, be given the opportunity to play hockey, netball, athletics and basketball for their house and their school, but the rest will be left with the excuse of concluding that sport just is not for them.

School sport partnerships and specialist sports schools, such as Longfield school in my constituency, have succeeded in combining a growing excellence in competitive sport with activities designed to encourage those less inclined to don a bib and take to the hockey pitch. Selling the same old nostalgic product, as the Tories tried in the ’80s, simply does not work, and I speak as someone who played rugby union for my university. School sport partnerships understand the specific needs of different groups, particularly girls, and develop new activities and experiences that compete successfully with how girls previously chose to spend their time. They have been exceptionally good at listening to what girls want, and flexible in responding to what they have heard. Imaginative initiatives, such as a prom club to help girls feel fit and healthy before their prom night, grab the attention of girls who are so often left out of competitive sport.

However, school sport partnerships have also championed competitive sport. They have offered leadership courses, helping people to gain experience, qualifications and confidence in sport that they can share with their younger peers. Older girls have often inspired younger ones to give sport a go, and SSPs have often worked with primaries to produce a better quality offer. That is a good example of making public money go further.

Why are the Government not listening to young people? The campaign to save that value-for-money approach to school sport is growing daily. Those working in school sports, almost to a man and a woman, believe that that cut has not been properly thought through.

[Phil Wilson]

As I said earlier, I have received dozens of letters from children in my constituency who are concerned about those cuts. This is from Bradley Johnson, aged 10:

“Dear Mr Wilson…I am writing to ask Mr Gove to please change his mind on stopping the school sports partnership. Please I’ll even beg him if I had to”.

What has the world come to when young children desperate to play sport must beg the Government to do so?

[Mrs Chapman]

My hon. Friend makes a very good point. If the Government cannot listen to the Opposition, perhaps they can listen to Bradley from Sedgefield.

Alison, the school sport co-ordinator in Darlington, said:

“I believe passionately that we have an obligation to fight for what I feel is the right of every young person in a state school to have the equality of opportunity to find their physical spark.”

The Secretary of State needs to understand the anger, frustration and—frankly—the disbelief at such a rushed and ill-thought-through cut. It is a dog’s breakfast of a cut.