South-west Growth Charter
Debate between Chi Onwurah and James Heappey(8 years ago)
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Chi Onwurah
I thank my right hon. Friend for that intervention. It is absolutely clear that the economic failure of the previous Government to recognise the importance of counter-cyclical state investment has been rejected—in words at least—by the current Government. We will see tomorrow whether that rejection is made solid.
The previous Government’s abolition of the regional development agencies, which supported growth outside London, exacerbated the problem. Growth in the regions of the UK, particularly the south-west, faced economic hardship from austerity, particularly in the way in which it drained demand and reduced income for those in the public and private sectors. The Government have an opportunity to address those failings. I understand the sense of disappointment expressed by many MPs about the current indications that the local LEP will be materially disadvantaged in terms of regional funding because it does not have an elected mayor model. Now is the time for the Government to show they recognise that regions can achieve greatly without necessarily having a big man, a mayor, to meet the Government’s requirements.
The need for the charter is urgent. The south-west received €1.5 billion from the European structural funds throughout the 2014 to 2020 funding cycle and that stimulates development in the region. In fact, the south-west received the second highest amount of money from the European Union, second only to nearby Wales. Business in the area must be concerned about the Government’s toxic combination of indecision, doubt and confusion about Brexit. A commitment to a growth charter would be the first step in providing some answers for companies in the south-west.
Investment in physical infrastructure is one of the very important points in the charter. I must say I admire and respect the south-western Members of Parliament for making it to Parliament today, given the extraordinary lengths that some had to go to to make the journey from the south-west. For proper investment, we need long-term patient funding rather than the current short-term free market approach. For example, as has been mentioned, the A303, A30 and A358 corridor between Taunton, Honiton and Amesbury is key to reducing journey times to markets, promoting the inward investment that will help make the south-west’s economy more self-sustaining, as well as strengthening the already vibrant tourism in the area.
As hon. Members have said, rail links are equally important. The 20-year plan will bring jobs and growth to the region, as well as faster connections to the London airports. Businesses in the south-west should have better access to Bristol, London and the midlands, as well as to Heathrow and Gatwick. Rail links are key not just to link the south-west to other English economic hubs, but to support British industry and manufacturing. This investment should be brought forward and considered a priority. How will the Minister ensure that the Infrastructure Commission is independent and fully funded to make the much needed investment in our regional infrastructure?
However, physical infrastructure is not the whole story. As Member after Member has pointed out, in the face of the fourth industrial revolution, digital connectivity is just as important, so the plan for an ultra-fast south-west is welcome. The Labour Government left office with fully costed plans for universal broadband by 2012. As has been said today, we still have many businesses and individuals who cannot even get access to broadband speeds of 2 megabits, never mind the ultra-high speed mentioned in the announcements made today; and the universal service obligation is still four years away.
The European Union investment that was so welcome in Cornwall will not be available post-Brexit, and yet Ofcom researchers showed that in rural areas 48% of premises are unable to receive speeds above 10 megabits. I look forward to the Minister saying specifically how his Government will invest in rural broadband.
James Heappey
The shadow Minister is obviously aware of the speech delivered by the then Prime Minister and Chancellor in January last year setting out the long-term economic plan for our region. Her speech today has reflected that Conservative vision for our region. Should we assume she supports it?
Chi Onwurah
I thank the hon. Gentleman for that intervention. I support regional economies that are strong and sustainable, where investment is in people, skills and infrastructure. I support economies that deliver high-quality jobs that enable his constituents to make plans for their own futures, rather than being at the whim of short-term, zero-hour, low-skill, low-value jobs. That is the vision for the future economy of the south-west, and indeed for the country, that I wholeheartedly support.
I look forward to the Minister setting out exactly what his industrial strategy is. The Prime Minister has created a Department with industrial strategy in its title—I have yet to hear what the strategy is. The Prime Minister’s speech yesterday did not set out how the Government will, for example crowd in investment from the private sector in innovation, new opportunities and skills. As a Member of Parliament for the north-east, I too regret the skills brain drain from our regions to the capital because of its stronger economy.
I particularly look forward to the Minister setting out how the Government’s industrial strategy is not simply an ever-growing reduction in corporation tax but one that takes our whole country with it to invest in increased industry, shifting the centre of gravity away from London to support our great regions, such as the south-west. The south-west growth charter is to be welcomed. I look forward to the Minister demonstrating that he will support its implementation.
Superfast Broadband
Debate between Chi Onwurah and James Heappey
Chi Onwurah
It is possible, as the last Labour Government demonstrated, to have a telecoms network that includes competition if there is a strong regulator and a Government who are committed to ensuring that competition delivers services for consumers. Unfortunately, that is no longer the case.
The internet provides social benefits, as we have heard. Online shopping is often cheaper, and the internet opens up access to public and private services. It is not right that some people cannot access Government services for which they pay or, even worse, that they are penalised for not being able to access them online, whether they are farmers or people on benefits trying to sign on and do their job hunting online. The internet opens up a world of free education and is a window on the globe. It is absolutely ludicrous that the Government have not been able to provide what has become the fourth utility.
The Government attack the right to strike for working people, but they have effectively withdrawn their labour when it comes to superfast broadband. Underneath the polite tone of the motion, Members in all parts of the House know that anger is growing among their constituents, especially in rural areas. The truth is that it will take more than a summit to reverse a failure by the Government to deliver on their promises, which lacked ambition to begin with. When the Labour Government left office they left fully funded plans for basic broadband—[Interruption]; I am sorry, it is the truth—to be delivered in two years and superfast broadband to be delivered to 90% by 2017. The remaining 10% would be covered by mobile broadband.
Now we are falling further and further behind our competitors. Australia is aiming for 100 megabits for 93% of premises by 2021, and South Korea will have 1 gigabit by 2017, yet we do not have a target this decade for getting everyone online.
Instead, we have had five years of ad hoc funding announcements and vanity projects whenever the Chancellor has wanted to sweeten the latest round of punishing austerity—a series of disconnected policy initiatives that were never very ambitious, but that have suffered from delays nevertheless.
The crown jewel in all those projects—the £790-million rural superfast broadband programme—was handed entirely to one company because of a badly designed, monopoly-favouring procurement programme that has been panned by every Committee to have considered it in this House and the other place and criticised by anyone who has taken a passing interest in it. That is the fault not of BT, but of Ministers.
What we need from the Government is a vision for a market-led, future-proof, universal digital infrastructure. Ultimately, that means fibre going to premises and real investment. It will not come along on its own. Ministers need to set out a vision for our digital infrastructure. They need to tell us how we will get there and ensure that it happens. Instead, all we have is complacency and chutzpah. Demand in this debate has outstripped supply, as is the case with broadband in the UK. I urge hon. Members to remember the importance of digital skills and digital inclusion, as well as digital infrastructure. There are still 5 million households that have no access to the internet and 1 million more who do not feel confident using it.
The Government have no coherent strategy. There is a lack of vision and a staggering level of incompetence in implementation. There has been a super-slow crawl-out, rather than a roll-out, to just 2 million premises so far, with constant delays.