Barnsley, Doncaster, Rotherham and Sheffield Combined Authority (Election of Mayor) (Amendment) Order 2017

Debate between Lord Blunkett and Lord Scriven

Thursday 16th March 2017 Lords Chamber

[Lord Blunkett (Lab)]

My Lords, I have a great deal of sympathy with the points just put by my noble friend Lady Hollis and the noble Lord, Lord Cormack. I shall address the order before us in relation to the Sheffield City Region. I obviously have no objection whatever to the order that is being laid. It makes sense in the light of the decision of Derbyshire County Council to take the judicial review. In this case, with some reluctance, the combined authority has agreed to an elected mayor and Chesterfield Borough Council wished to join the city region, as did Bassetlaw. Unfortunately North East Derbyshire District Council does not appear to have taken the same decision, even though travel to work, travel to leisure and the whole synergy of economic, social and cultural life would lead to the conclusion that it might in the future. Although I understand Derbyshire County Council’s desire not to see its bailiwick confined, my concern this morning is to seek confirmation from the Minister, who I have known for a very long time, that the Government will continue providing the necessary support, encouragement and facilitation for the combined authority to be able to get on with the job, both with those aspects that have been devolved and those which would follow through from a mayoral election for the city region in 2018.

There are two reasons for this. First, it is really important that the vision strategy that was published on 17 February this year should be carried into fruition rather than languish on a shelf. Secondly, as some of us east of the Pennines have recognised, the difficulty that the Leeds City Region has been having with progression means that the north of England, Greater Manchester and to some extent Merseyside are now taking the lead on what the Government came to pronounce as the northern powerhouse.

There was a great deal going on before the northern powerhouse was “invented”, including One North and combined activity on transport and economic development. But there is a real danger that having the north-west of England as the driving force—even though it is clearly welcome and flows from very sensible bottom-up drivers, particularly from Greater Manchester—will imbalance the north of England. Yorkshire has a population slightly greater than Scotland, yet because we do not have a devolved block grant, its investment from national government is confined. It is really important that the inevitable delay spelled out in this order should not preclude government working with the city region to ensure that the driving force of not just economic change but also social change is encouraged and supported rather than being held back by the inevitable delays spelled out in the order.

[Lord Scriven (LD)]

My Lords, I draw the House’s attention to my interests as laid out in the register, particularly as a member of Sheffield City Council. It is always a pleasure to follow the noble Lord, Lord Blunkett. He may not agree with everything I am about to say, but he may agree with some of it. First, I welcome the devolution deal to Sheffield, even though it does not go as far as it should do and particularly, as other noble Lords have said, even though it is predicated on a mayor—I wish it was not, and was based on another model, but we are where we are and we have to go forward with the deal that has been negotiated between the leaders in South Yorkshire and the Government. But I thank the Minister and the Government for keeping their confidence in this, and for keeping going and being patient despite the most frustrating of circumstances, which are destabilising the confidence of some in South Yorkshire about whether the deal will actually go ahead under the leadership that has been shown so far there.

I will remind your Lordships how we got here. There has been infighting and dithering—and, as one businessperson said to me, complete incompetence—among the local leaders back in South Yorkshire about this deal. First, we thought it was signed, sealed and delivered, but then the leader of Sheffield City Council decided either that she had not read it or had not understood it, and that there were things in it which she wished to change. That slowed down the process and caused disruption and, again, misunderstanding among South Yorkshire businesses about what was happening. We then had the botched consultation, which I shall return to, and more recently the four leaders fighting about whether they are going to be in a Yorkshire deal or a South Yorkshire deal. All this undermines business confidence in the deal going forward, and it must stop. It does not instil confidence in local business, and it shows a lack of clear local leadership to deliver the devolution deal.

The botched consultation was a basic mistake. It did not ask the people in the consultation whether Chesterfield Borough Council should be a member of Sheffield City Region. Why did Sheffield City Region, the combined authority or the four local leaders of the councils in South Yorkshire not see this basic mistake? The error, for which no one has apologised, taken responsibility or been held to account, has cost the South Yorkshire taxpayer dearly. I thank BBC Radio Sheffield for putting in a freedom of information request that has shown exactly how much taxpayers in South Yorkshire are paying for that mistake. The consultation cost just over £104,000. The legal costs to Sheffield City Region to defend Derbyshire County Council’s judicial review are £130,000. Furthermore, the taxpayers of Sheffield City Region have had to fund Derbyshire County Council’s costs of £161,000. That is over £430,000 of taxpayers’ money wasted on a consultation that has stopped, or at least stalled, the devolution deal that is about empowering our local area to deliver greater economic impact. The costs do not include the 500 hours of officer time at both Derbyshire County Council and Sheffield City Region, or the London fees. It is estimated that overall the deal will cost taxpayers £500,000.

I have three simple questions for the Minister. First, does he agree that local leaders in South Yorkshire, who have wasted £500,000 of taxpayers’ money on this botched consultation, should be held to account and apologise? Secondly, does the in/out dithering approach to this £1 billion deal not undermine confidence locally and should it not stop immediately? Thirdly, what message are the Government sending to local leaders back in South Yorkshire that this kind of dithering and incompetence must stop to get the deal over the line so that business and our local economy can move forward?