Oral Answers to Questions

Lord Wharton of Yarm Excerpts

Monday 8th February 2016 Commons Chamber

[Dr Philippa Whitford (Central Ayrshire) (SNP)]

6. What recent discussions he has had with Ministers of the Scottish Government on the Aberdeen city region deal.

[The Parliamentary Under-Secretary of State for Communities and Local Government (James Wharton)]

On 28 January, the Government, along with the Scottish Government and the local leadership in Aberdeen were able to announce the Aberdeen city deal heads of terms. The deal includes an investment fund of up to £250 million. This shows the investment going in and the support being delivered for our economy in Aberdeen, just as it is across the country as a whole.

[Dr Whitford]

With the Treasury having received more than £300 billion from North sea oil revenue over the past 40 years, and given that the current low oil price is being aggravated by deliberate under-pricing, including by our “friends” in Saudi Arabia, does the Minister not think that the UK Government should at least match the £250 million given by the Scottish Government, instead of offering just £125 million to help the region through this difficult time?

[James Wharton]

Most people welcome the Aberdeen city deal, the significant investment that is going in and the joint working that it demonstrates between the British Government and the Scottish Government to make a real difference and to drive forward the economy in Aberdeen, which faces some of the challenges of which the hon. Lady speaks. It underlines the fact that we really are better together.

[Alison Thewliss (Glasgow Central) (SNP)]

I would first like to offer the condolences of the Scottish National party to the family and friends of Harry Harpham. He was passionate about housing, and he would no doubt have wanted to be here today to question the Government.

The Aberdeen city and shire deal submitted a bid for £2.9 billion of investment, but that ambition was not matched by the Tory Government, who stumped up only £125 million for the deal. Can the Minister understand why the people of Aberdeen city and shire feel disappointed and let down by this Tory Government?

[James Wharton]

Agreeing a city deal, with £125 million added to the other money that is going in, which is wanted by local people and delivered in co-operation with local partners, should be welcomed. It will drive forward growth, and it is something that a number of other areas would be very keen to secure if they could do so.

[Alison Thewliss]

This Government are not providing a 50:50 basis for this deal. In fact, the Scottish Government are contributing £379 million to it. Will the Minister and his Government respond to calls from the Cabinet Secretary for Infrastructure, Investment and Cities and stump up the additional £200 million that Aberdeen so clearly needs?

[James Wharton]

When I saw that this was an area of questioning with which we would be dealing today, I had hoped the questions would focus on the great positivity that has surrounded the announcement, which is characteristic of the working together that has got us to a place where the heads of terms on this deal have been announced. This deal will make a real difference and it is only possible because of the contribution the British Government have made, alongside the Scottish Government, working with local partners. It is a welcome deal—it is a welcome deal in Aberdeen and it should be welcomed by Scottish National party Members rather more than it appears to be at the moment.

[Martyn Day (Linlithgow and East Falkirk) (SNP)]

7. What progress has been made on the Edinburgh and South East of Scotland city deal.

[The Parliamentary Under-Secretary of State for Communities and Local Government (James Wharton)]

This question underlines the point I was making about how other areas would like city deals, too. We have to work together to deliver city deals and we have to ensure that they are properly thought through, but we will continue to have those discussions and continue to work together to deliver something that can make a real difference. I am sure the hon. Gentleman will continue to be a passionate advocate for it.

[Martyn Day]

This city region deal was submitted in September, with further information being submitted to both the UK and Scottish Governments on 18 December. Local government received a draft set of terms of reference from the UK Government, which was responded to in early January, but despite follow-up, it is still to hear anything further back. Can the Minister confirm whether a deal will be in place prior to the purdah period for the Scottish Parliament elections?

[James Wharton]

The Edinburgh and South East Scotland city deal is another important area of potential growth. The discussions are important, as this has to be done properly. The discussions have to be detailed, going through the opportunities as well as the costs. Given what has been achieved in Aberdeen, it is no surprise that the hon. Gentleman is keen to secure a city deal for his area, too. We will continue to have those discussions, and if the right deal can be reached, we will look to deliver on it.

[Deidre Brock (Edinburgh North and Leith) (SNP)]

The Government committed £500 million to the Greater Cambridge city deal—or 50%. Following the news that only 25% of Aberdeen and Shire’s deal was funded by Whitehall, may I ask what percentage of the Edinburgh and regions deal the Minister will be committing?

[James Wharton]

As I said, those discussions are ongoing and we will see what conclusion they reach. What is welcome is the recognition across the House that city deals can make a real difference and the recognition in those communities and economies of the value they can bring and of the growth they can generate. We will continue in those discussions. I hope we will reach a conclusion that will be welcomed by hon. Members from across the House, but I am confident that the city deals, as a whole, are making a real difference and will continue to do so.

[Wendy Morton (Aldridge-Brownhills) (Con)]

8. What support his Department is making available for the use of brownfield sites.

--- Later in debate ---

[Karen Lumley (Redditch) (Con)]

T8. Will my hon. Friend confirm that if the people of Redditch want to be a full member of the west midlands combined authority, they will also be able to take part in directly electing a mayor?

[The Parliamentary Under-Secretary of State for Communities and Local Government (James Wharton)]

I thank my hon. Friend for that question. She is a passionate advocate for the people of Redditch. Whenever I see her, she does a very good and effective job of explaining why she has a desire to pursue this matter and ensure that her constituents will get a say if appropriate and at an appropriate time. I can confirm that were Redditch to become a full member of the combined authority, then yes, people would have a vote in the mayoral election, although of course it would be done only by local agreement. As this Government have pursued matters throughout devolution, we want to build consensus and work with local people to find deals and structures that meet their ambitions.

[Kirsty Blackman (Aberdeen North) (SNP)]

T6. Aberdeen has supported oil, with our residents having to put up with the bad and the good that comes with this. The UK Government have tried to tell Aberdeen that their £125 million of investment will inspire hundreds of millions of pounds of investment from currently hard-pressed Aberdeen businesses. What will the UK Government be doing to encourage businesses in Aberdeen that are suffering, along with the rest of us, to stump up cash?

[James Wharton]

I thank the hon. Lady for her important question, which ties in with the discussion we have already had about the Aberdeen city deal and the significant amount of money that is going in from the British Government in Westminster and the money that is going in in partnership with the Scottish Government, local authority leadership, and the local leadership of the business community in Aberdeen. We intend to ensure that the deal brings real growth and benefit to Aberdeen. We recognise the challenges that it faces because of the price of oil and other factors that affect its local economy, but we are determined, with local people who understand what is needed, to drive change and to do everything we can to support its economy.

[Bob Blackman (Harrow East) (Con)]

T9. Under Mayor Livingstone, the number of new housing starts in London plummeted as a direct result of developers walking away from unaffordable sites, thanks to the 50% affordable housing target. What does my hon. Friend think would happen if the new Mayor were to introduce a 50% affordable housing target?

[Drew Hendry (Inverness, Nairn, Badenoch and Strathspey) (SNP)]

T7. The Inverness city deal from Highland Council is based on the idea of a region for young people. The Highlands area has, over many decades, seen a drain of young people. Much work has been done to address this, including the opening of the Inverness campus, but more needs to be done to attract and retain young people. A plan such as the one put forward can help to rebalance the population demographic. Does the Minister agree that the aims of the plan and the statement of intent are worthy of support?

[James Wharton]

The hon. Gentleman is diligent in raising this issue, which we have discussed in the Chamber before. I think he recognises, as I do, the value that these sorts of deals can bring and the difference they can make. I recognise his comments and the importance that he attaches to this as a diligent local Member of Parliament, and I will certainly take it away and look at it. I cannot pre-announce deals at this Dispatch Box today. However, we continue in discussions and we are determined to deliver where the deal is the right one, and his effective advocacy is helpful in pursuing that ultimate objective.

[Helen Whately (Faversham and Mid Kent) (Con)]

T10. Only 94 of 1,600 asylum-seeking children and care leavers in Kent have been taken in by other areas under the voluntary dispersal scheme. With more refugee children coming, how will my hon. Friend’s Department get local authorities across the country to accept their share of the asylum-seeking children who are already here?