Budget Resolutions and Economic Situation

Debate between Mark Pawsey and John McNally

Monday 13th July 2015 Commons Chamber

[Mark Pawsey]

Absolutely. The shift of power from the centre out to the regions is massively important and I will talk about the importance of local enterprise partnerships shortly, but first I want to talk about the impact of combined authorities in my part of the country.

Even though Rugby is right in the middle of the country, under the old regional development agency model we were placed in the west midlands because Warwickshire was put in the west midlands. However, my town’s economic links are much closer to places such as Lutterworth and Leicester in Leicestershire and Daventry and Northampton in Northamptonshire. In so many instances we in Rugby look east rather than west. That is one reason why I have some concerns about the developments in the west midlands. It is entirely right that the urban area of the west midlands—Birmingham, Solihull, Walsall, Dudley, Sandwell and Wolverhampton—comes together. I ran a business in Rugby, and we looked at that block of authorities as one big market. In fact we did not know where one authority ended and the other started because to us it was one big market.

[John Mc Nally (Falkirk) (SNP)]

Will the hon. Gentleman give way?

[Mark Pawsey]

I will carry on, if I may, as other Members wish to speak and I only have a little time left.

It is entirely right that those authorities come together in the midlands engine, but I note that Coventry, a city almost in the centre of Warwickshire and surrounded almost entirely by Warwickshire, wants to join that combined authority. I do not think the people of Warwickshire have made a sufficiently strong case to both the people and local politicians of Coventry for the merits of Coventry remaining within Warwickshire. To take up the comment made by my hon. Friend the Member for Portsmouth South (Mrs Drummond) about the role of the local enterprise partnership, my local LEP is called the Coventry and Warwickshire LEP. It is a natural economic unit, and I would like more thought to be given to the possibility of Coventry and Warwickshire working together as a combined authority. I say to the people of Coventry—to Coventrians—that it is not too late and there is no automatic reason why Coventry needs to join the west midlands combined authority. One of my selfish reasons for having concerns about that is that if Coventry joins that combined authority, Warwickshire may feel a need to do so, too. I have already explained that my authority’s links are closer to the east midlands than to the west midlands. I hope it is not too late to have a further look at this matter.

All that raises the issue of the role of two-tier authorities within the move to combined authorities. Some challenges for government will emerge where we have a two-tier authority and the upper tier wishes to go in one direction and the lower tier—the district councils—wishes to go in a different one. It is entirely right that both tiers are talking to the emerging west midlands combined authority, but I am keen that in my part of the world, Rugby, we continue to talk also to the districts and counties on our eastern flank, because our relationships with that area are so strong.

I wish to make one or two quick remarks about the changes the Government are making to the planning system. It is entirely right that we make it easier for businesses to grow. Housing development is a very substantial part of economic growth and we want to make it easier for people to build new houses. I am very proud that in my constituency we are doing entirely that, with two substantial housing development sites coming forward.