Industrial Strategy: North-East of England

Debate between Alex Cunningham and Phil Wilson

Wednesday 5th June 2019 Westminster Hall

[Phil Wilson (Sedgefield) (Lab)]

It is a pleasure to serve under your chairmanship, Mr Betts. I thank my hon. Friend the Member for North Tyneside (Mary Glindon) for introducing this debate.

Sedgefield is home to the largest business park in the north-east. Between 10,000 and 12,000 people work there, in about 500 companies, from small sole traders up to massive manufacturers, such as Gestamp, Husqvarna, 3M and, obviously, Hitachi, which is now producing the rolling stock for the east coast main line. Trains for Darlington, Durham, Newcastle and Edinburgh will enter service in August this year. Everybody is looking forward to that—we have been waiting about 40 years for it.

Another manufacturer, Roman, produces showers and bathroom furniture and is now the biggest supplier in Europe. We have a very good story to tell. We are home to a university technical college, which opened two or three years ago. It has been graded good by Ofsted and is going from strength to strength. It has a great future. It is sponsored by Gestamp and Hitachi, who want to see a throughput of apprentices, and it is bringing young people into engineering and electronics and all the manufacturing industries that we want to see maintained in Sedgefield and the north-east.

I want to talk a little about the past, as my hon. Friend the Member for Stockton North (Alex Cunningham) did. We have a sound tradition of manufacturing and industry in Sedgefield. About 500 yards from Hitachi’s base is Heighington crossing, where George Stephenson assembled Locomotion No. 1 so that it could enter service for the Stockton to Darlington railway back in 1825. The platform has a nice plaque about that. Next to it was the Locomotion No. 1 public house, which is now closed, but was the original ticket office and waiting room —the first ticket office and waiting room. It is there for anybody to go and see. The original platform is there as well—the oldest in the world. We can trace our manufacturing and industrial heritage back at least 200 years.

[Alex Cunningham]

I am surprised that my hon. Friend would claim that the first ticket office is in his constituency, because there is a plaque on a wall in my constituency that declares the first ticket office in the world to be there. Perhaps we need to meet outside of this room to consider the matter further.

[Phil Wilson]

We do. All I can say is that that is where the train was assembled, where the ticket office is and where the train set off from.

Durham Tees Valley Airport

Debate between Alex Cunningham and Phil Wilson

Wednesday 22nd November 2017 Westminster Hall

[Phil Wilson (Sedgefield) (Lab)]

I beg to move,

That this House has considered the future of Durham Tees Valley airport.

I applied for this debate to give support to Durham Tees Valley airport and the Peel Group, which plans to grow the airport. In the last decade or so, Durham Tees Valley has faced major difficulties, as have many other regional airports across the country. It has had to face the fact that the aviation industry has radically changed.

Durham Tees Valley airport started life in 1941 as an RAF base originally called Goosepool. In 1964, it became Teesside International airport, and it was renamed Durham Tees Valley airport in 2004. In 2003, the Peel Group purchased a 75% share in the airport, with the six local authorities sharing a 25% stake; today, it owns 89%. The Peel Group is a private sector investment group with a strong presence throughout the north of England.

In 2006, passenger numbers peaked at 910,000, with BMI flying a regular service to Heathrow. In 2007, the global recession hit the airport, as it did everywhere else. A year later, Flyglobespan, an airline using the airport, went into administration, which caused passenger numbers to fall by thousands. In 2009, BMI withdrew its Heathrow service, and passenger numbers fell from 645,000 to 288,000 in just 12 months. Durham Tees Valley was not the only regional airport to lose such a connection, as airlines sought to concentrate their remaining slots at Heathrow on more lucrative international routes. Passenger numbers today are between 130,000 and 140,000—almost a tenth of what they were a decade ago.

KLM’s flights to Schiphol three times a day and Eastern Airways’ flights to Aberdeen now account for the bulk of passenger numbers. The airport is currently making a loss of between £2 million and £3 million a year.

[Alex Cunningham (Stockton North) (Lab)]

My hon. Friend mentions the airport’s losses. The Tees Valley Mayor’s pledge to buy the airport has captured voters’ imagination. He told me he can do that without involving taxpayers’ money. Does my hon. Friend agree that it is now time for the Tees Valley Mayor to publish his business plan to buy the airport, complete with numbers and sources of funding, or just be honest about it and admit that he cannot deliver that promise?

[Phil Wilson]

The Tees Valley Mayor has a few questions to answer on this issue. I will come to that matter later in my speech, but I am pleased that my hon. Friend raised it.

Despite the losses and the low passenger numbers, there is still a strategic role for regional airports. There is a strong correlation between regional GDP, employment in air-intensive industries and aviation connectivity. Regional airports provide a major gateway for visitors to the region.

--- Later in debate ---

[Phil Wilson]

The air ambulance service, which is based at the airport, provides a great service for the area. Where I live, I can sometimes see it flying over to get to an incident. It is a great charity, and I want to see it grow and prosper there.

Regional airports support the business community, whose key needs from regional air services are an increase in destinations and the frequency of flights to major travel hubs such as Schiphol, access to major markets, and links to London and the south-east, especially Heathrow. A third runway at Heathrow airport is key for regional airports such as Durham Tees Valley, which has been listed as one of the regional airports that will have access to it.

Durham Tees Valley airport plays a much wider strategic role in the region. It has been consistently recognised as a key asset for the region in regional strategic plans and national reports such as Lord Heseltine’s independent report, “Tees Valley: opportunity unlimited”. The report also highlighted the importance for the Tees Valley economy of having international connectivity with its global trading partners, and highlighted the opportunities that the airport brings for logistics, freight and wider aviation-related services.

Durham Tees Valley can drive a major employment cluster of both aviation and non-aviation businesses in and around the airport. Regional airports typically have the space, capacity and environment to host such businesses in a way that larger passenger-focused airports cannot. Durham Tees Valley’s 800-acre site, known as Aero Centre Tees Valley, is a prime example of that. To unlock those investments, the airport needs the support of local and national leaders and public sector partners to create the right conditions for investment in public infrastructure. I would love to hear from the Minister what more the Government can do to help.

[Alex Cunningham]

As part of that connectivity, the airport needs a proper rail service. The railway line actually skips the airport, and there is no proper service serving it. Does my hon. Friend agree that the Minister can turn his attention to that as we look at rail infrastructure across the piece?

[Phil Wilson]

Again, my hon. Friend pre-empts something I am going to say in my speech. I will mention the rail link, because it is very important.

The airport can attract investment while taking into consideration trends in the UK regional airport sector. In the eight years between 2007 and 2015, the north-east of England was badly impacted by the global financial crisis, which affected the region’s economy and subsequently its demand for air travel. The north-east of England was the worst hit of all UK regions. Air traffic in 2015 was almost 1.7 million passengers per annum lower than in 2007 —a 26% reduction. The airport lost 592,000 passengers, representing about 80% of its traffic, and Newcastle airport lost about 20% of its traffic. The same trend was seen across the UK, particularly at smaller regional airports, as capacity was reduced or redeployed to major airports. However, no region was affected as much as the north-east.

This is not just about the north-east and Durham Tees Valley. This issue affects other regional airports throughout the country, but to a lesser extent. Passenger numbers have fallen dramatically in several regional airports. Prestwick airport lost more than 1.1 million passengers between 2009 and 2016—a 63% loss. Cardiff airport lost more than 280,000 passengers, and Bournemouth lost more than 200,000 passengers. The notable exception is Leeds Bradford, which saw significant growth over the period, achieved by heavy incentivisation, which resulted in ongoing losses. The last set of accounts, published in March 2016, showed a loss of £3.8 million.

In addition to suffering reductions in the passenger and freight tonnage numbers, a number of regional airports have encountered more fundamental problems over the period. In 2007, loss-making Plymouth closed. In 2013, the Scottish Government took loss-making Prestwick into public ownership. Since then, £40 million of public money has been invested in the past four years, but that has done nothing to stop the reduction in passenger traffic and continuing losses of about £9 million. Loss-making Cardiff was also taken into public ownership by the Welsh Assembly that year. Between 2009 and 2016 passenger numbers at the airport fell by 280,000, or 18%. In 2014, loss-making Manston closed, as did loss-making Blackpool as a full-service airport. For me, therefore—this is a key point—regional airports must seek a diversification strategy to ensure financial sustainability and to continue their wider role as economic catalysts, supported by public sector investment and infrastructure. That is the approach that the Peel Group is taking.

Besides KLM, Eastern Airways and Loganair, other users of the airport include Cobham Aviation Services, which has a training and testing contract with the Ministry of Defence; the Serco International Fire Training Centre, which is one of the leading aviation fire training centres in the world and has a 20-acre dedicated training site with simulators and the largest confined-space rigs in the UK; TNT, which operates a logistics operation out of a dedicated hangar; Thales, which is on site to operate delivery contracts related to air traffic provision for the armed forces; and Sycamore Aviation, which provides aircraft end-of-life services. Larger ad hoc passenger flights occur sometimes in the form of military charter flights, carrying troops based at nearby garrisons. A number of general aviation flying schools operate from Durham Tees Valley, using two or four-seat light aircraft. The number of business aviation flights is growing steadily, operating aircraft types that range from single-engine private to large transatlantic business jets. More than 80% of the operating costs of an airport are fixed, meaning that regardless of the passenger numbers the airport operation has a significant cost base.

The Airports Council International reports that in Europe 73% of airports handling fewer than 1 million passengers and 59% of those handling fewer than 3 million passengers are loss making. Recognition of challenging times and the need to prevent Durham Tees Valley from becoming yet another casualty led to the development of the airport master-plan by Peel. Published in 2014, it is designed to chart a path for the airport to 2020 and beyond.

Securing the future of aviation services is dependent on accepting the realism and rationale set out in the master-plan. In the plan, Peel understands that DTVA needs to concentrate on those aviation services in which it has strength, including building on those services that are important to the business community, such as flights to Schiphol and Aberdeen. A well-established general aviation centre provides scope for growth and, since the launch of the new master-plan, new companies have been attracted.

In 2015 Peel launched the Aero Centre Tees Valley, which is the umbrella brand showcasing the development opportunities available throughout the airport site. The Aero Centre offers a wide range of land and property opportunities and markets opportunities for aircraft hangarage of 290,000 square feet and general employment space of 3.5 million square feet. The Aero Centre is connected by rail and by the UK’s largest exporting port and its fastest moving commuter road network, which is on our doorstep.

Central to the strategy for aviation operations is the need to look at all possible means of generating other income streams by exploiting the potential of one of DTVA’s main strengths, which is its extensive land holdings. Airports that have succumbed to closure have not had that option and, without it, closure would almost certainly have become a necessity for Durham Tees Valley. To help finance the master-plan, provision was made for housing development on land north of the airport. The sale of the land for more than 300 houses will generate millions of pounds for Peel, 100% of which will be reinvested in the future of the airport.

[Alex Cunningham]

Will my hon. Friend give way?

[Phil Wilson]

I would love to get on, because I want to hear from the Minister.

The focus is on the north side of the airport, but the south side has great potential too. Peel believes that its master-plan has the potential, over time, to generate about 6,000 jobs. I believe that Peel has a plan, and it has shown commitment to the airport, which is proved by the investment of £38 million over the past 14 years or so. Peel has shouldered the airport’s losses while investing in capital infrastructure. The fact that it is prepared to invest 100% of the money raised from the land sale for housing proves its commitment for the long term. It is being realistic when it says that the focus of its air passenger strategy is those routes that provide for the business community, because that is where the strength is now, but at the same time it is doing what it can in a difficult market to attract leisure flights to the airport.

I believe that, for all the frustration the local community feels about the airport, there is a route out of the problems that it has faced. The master-plan is robust, and the airport supports 600 jobs, contributes £37 million gross value added to the Teesside and Durham economy and is a catalyst for economic prosperity.

Some have said that DTVA has been allowed to decline. As I have shown in my speech, however, it is not alone in the problems it has faced. Some say that fresh thinking is needed, but I believe that Peel’s master-plan is evidence of that. Some say that a practical and pragmatic approach is needed, but Peel is showing that too. I do not agree with those who say that the answer to all of the airport’s problems is to take it back into public ownership but, apparently, that is the view of the newly elected Conservative Mayor for Tees Valley.

First, the airport is not for sale. Secondly, Peel has invested and covered the airport’s losses of £38 million since 2003. The airport loses between £2 million and £3 million a year so, if a private sector company is willing to carry that financial burden while remaining committed to securing a sustainable future for the airport, why transfer the burden to the taxpayers of Tees Valley and Durham? I have no idea how much the airport would cost to buy, but I imagine that Peel would want some compensation for the millions of pounds it has already invested in the site. As the local MP, I have worked with Peel for the past 10 years, and they have not been easy times for the airport or regional aviation in general.

I am sick of the airport being used as a political football. It is time for grown-up politics. I want to see the airport work with the public sector, but I think we should support the owner in its plan and not seek to undermine it. I would say to the Mayor for Tees Valley: draw a line under any idea of nationalising the airport—as I have said, public ownership is not a panacea—and instead work with the Peel Group, become an ambassador for the airport and help us to secure its future. What I have learned in this job, if we really want to do something big for the local area, is not to grandstand, not to promise what cannot be delivered, and not to take the people of Tees Valley and Durham for granted.

I will work with anyone, including the Mayor, to secure the future of Durham Tees Valley airport, but the idea of public ownership is fanciful and I think that the Mayor knows it. He should work with me to help the airport succeed, because I believe that Durham Tees Valley is “flying for the future” and I want the people of Durham and Tees Valley to be a part of that.

Stockton to Darlington Railway

Debate between Alex Cunningham and Phil Wilson

Wednesday 16th September 2015 Commons Chamber

[Phil Wilson (Sedgefield) (Lab)]

The Stockton and Darlington railway opened for business 190 years ago on 27 September 1825, but it is 190 years ago to the very day that George Stephenson assembled Locomotion No. 1 at Heighington Crossing in my constituency, on the corner of what is now Hitachi Rail Europe’s new train-building factory in Newton Aycliffe, at the start of the Stockton and Darlington railway. There is a pub there which is now called, strangely enough, the Locomotion No. 1. The pub consists of the world’s first ticket office and waiting room,

I want to describe what happened on that day. I am grateful to Chris Lloyd, the deputy editor of The Northern Echo, who is a local history expert, for his description of the day, and of the official opening of the line nine days later.

On September 16, 1825, a curious crowd gathered on the edge of today’s Merchant Park, in Newton Aycliffe, and watched as the future was unloaded before their eyes. Robert Stephenson and Company had made the world’s first passenger steam engine, Locomotion No. 1, at its works at Forth Street, Newcastle. They had loaded it in pieces on to three low wagons and horses belonging to a Mr Pickersgill and dragged it along 30 muddy miles to Aycliffe village. In the centre of Aycliffe village, the horses turned west and pulled their heavy loads along the lane towards Heighington. Where the lane crossed the new track bed of the Stockton and Darlington railway, the wagons stopped. Small boys and strong men unloaded the 5 tonnes of bits, and George Stephenson assembled them into a strange-looking contraption that—although even he did not know it at the time—was the first of the first generation of passenger engines. Together, they somehow hauled or hoisted Locomotion No. 1 on to the rails for the first time, and thought about getting it going. Its boiler was filled with water. Wood and coals were placed ready for ignition to boil the water into steam, but no one had a light. It was not until April 1827 that Stockton’s John Walker announced to the world that he had invented the friction match.

Frustrated by the unnecessary delay, George Stephenson had to send a messenger to Aycliffe to collect a lighted lantern. As the messenger left, navvy Robert Metcalf of Church Street, Darlington, stepped forward. He always carried a “burning glass”—a piece of glass like a magnifier—through which he focused the sun’s rays so he could light his pipe. He offered the glass to Stephenson and by the time the messenger returned with the lantern, No 1’s boiler was alight and smoke was rising from its chimney. So began trial runs with the world’s first passenger engine pulling the world’s first railway passengers in the world’s first passenger coach called the Experiment, which was basically a shed attached to some wheels.

[Alex Cunningham (Stockton North) (Lab)]

I congratulate my hon. Friend on securing this important debate and I hope he will be here in 10 years for the 200th anniversary.

My hon. Friend the Member for Darlington (Jenny Chapman) and I have a friendly rivalry over the name of this railway, and I am glad the Order Paper has the correct name: the Stockton to Darlington railway. Not only was Stockton the starting point for the first ever passenger railway journey, but I would say—this may contradict what my hon. Friend the Member for Sedgefield (Phil Wilson) says—we have got the first ticket office in Bridge Road. Does my hon. Friend agree, however, that regardless of all these differences, we need all our organisations to come together so that in 10 years’ time we can have the sort of celebrations our communities deserve?

[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.

Civil Aviation Bill

Debate between Alex Cunningham and Phil Wilson

Monday 30th January 2012 Commons Chamber

[Phil Wilson (Sedgefield) (Lab)]

Aviation makes a major contribution to the UK economy: the industry makes up £19 billion to £20 billion a year of our gross domestic product and employs 600,000 to 700,000 people. My concern tonight, in the context of this Bill, is the future of regional airports and the connectivity they offer between the regions they serve and the rest of the world.

In 1995, Heathrow served 21 domestic destinations and today it serves only six, only two of which are in England. Durham Tees Valley airport in County Durham, which is in my constituency and has part of its runway in the Stockton North and Stockton South constituencies, was once connected to Heathrow, but in February 2009 British Midland International—bmi—withdrew its service. Durham Tees Valley still has a twice daily flight to Schiphol airport in Amsterdam, and Schiphol and Charles de Gaulle airport in Paris now serve more regional airports in the UK than does Heathrow. I understand that bmi withdrew its slots from Durham Tees Valley to Heathrow as it wanted to use them for more lucrative long-haul flights into the capital, but those slots have yet to be filled. Although it might make sense to have the long-haul flights, there is a problem for connectivity between the regions, economic development and the global economy.

BAA bills Heathrow as our global gateway, but that cannot be true if only two regional airports in England have access to the international links through that airport to the rest of the world. The route to Schiphol from Durham Tees Valley is excellent and serves the Tees valley well.

Let me tell hon. Members something about the Tees valley and why it is so important that we maintain the connectivity between the airport and the rest of the world. It has to do with the size of the industry in the area. The economy of the Tees valley is based on the largest integrated process industrial complex in the UK. It contains industries specialising in petrochemicals, energy, renewable energy, biofuel and steel making. It has the third largest port in the UK and there is also a world-class advanced engineering industry based on the design, construction and maintenance of petrochemical plants, power stations and major infrastructure such as bridges. In addition, the region has the Wilton centre, which is Europe’s largest non-military private sector research centre. The petrochemical industry alone contributes £3.5 billion to the UK economy and 70,000 UK jobs depend on it. On top of that, Hitachi Rail Europe is coming to Newton Aycliffe, which is in my constituency and about 12 miles to the west of the airport. Again, a worldwide industry has been attracted to the region.

Although we have the link to Schiphol, I understand that it does not provide a connection with Australia and that the number of flights that connect to the middle east and north America have reduced in recent years. That is why the routes into Heathrow are so important. As the bmi slots into Heathrow have yet to be filled, I want the Government to consider some kind of public service obligation so that the slots remain reserved for flights from Durham Tees Valley into Heathrow. I have been pressing for that for several years, even before 2010, when Labour was in power. I would like to have the opportunity to discuss the matter with the Minister, in a meeting if possible, to see whether we can make progress. At the moment, there are about three PSOs in the UK: two in Scotland and one in Wales. In Europe, however, there are about 250, and they keep regional airports connected to international hubs.

That proposal is important for Durham Tees Valley airport, especially today. As we know in the north-east, the airport is being put up for sale by Vancouver Airport Services and Peel Airports Ltd.

[Alex Cunningham (Stockton North) (Lab)]

My hon. Friend and neighbour has proved to be a great champion for our local airport, which, as he said, is up for sale. Does he agree that when considering the future of Durham Tees Valley airport, as well as taking into account all the points he has made, the directors must seriously consider all offers to secure an expert company that is interested in providing the widest range of services at the airport rather than potential owners who are simply interested in serving the interests of shareholders and are not committed to a long-term viable future for the airport?

[Phil Wilson]

My hon. Friend makes a very important point. Transparency is very important when it comes to the sale and I know that the board is meeting every week at the moment to ensure that everything is out in the open. It is vital that whoever takes over the airport ensures it is there for the benefit of all the region, not just the shareholders.

Five or six years ago, approximately 900,000 passengers a year used the airport, but that figure is now down to 180,000 or 190,000. The largest part of those passenger numbers comes from the KLM flights between Durham Tees Valley and Schiphol. It is important that in the sale of the airport we ensure we get someone who will invest in the facility.

The airport has a proud history. It was originally known as Goosepool airport and then as RAF Middleton St George, and it was an RAF Bomber Command station during world war two. The airfield began its life as Royal Air Force Station Goosepool and in 1941 became RAF Middleton St George. The aerodrome opened as a Bomber Command station in that same year and, after the war, it served various squadrons. In 1964 it was sold and became Teesside International airport and, in 2004, it became Durham Tees Valley airport.

I understand that there are several prospective buyers for the facility at Durham Tees Valley, and I want to make sure that, whatever happens, it remains a commercial airport. If that is not to be the case, I want to make sure that it still has an aviation purpose for the north-east, whether as a general aviation facility, a cargo facility or a commercial operation. It is vital that there is a future for some kind of aviation in the Tees valley in whatever guise, because the business is needed—as I have said, it is a massive industrial complex—the tourism is needed, and investment in the facility by whoever buys it is needed.

I want to see an aviation future for Durham Tees Valley because connectivity is very important to an area with such a huge and internationally important industrial base. It is important to keep a commercial airport, but there is also a great need for the wider aviation facility. There has been criticism of the airport in the local press, but now is not the time for criticising Durham Tees Valley—we should be supporting its sale. I want the airport to have a viable aviation future that will benefit the whole region, as it is an important economic asset. The time for criticism, celebration or both is after the sale period, which I understand will be in the next week or so. In the spirit of the cross-party consensus this Bill has secured, I hope that the cross-party consensus among Tees valley MPs will also continue.

Finally, I should like to ask a question about the Bill. I understand that some of the inspections that the CAA currently undertakes will continue but that their cost will be transferred to regional airports and ultimately, I should think, to the customer. To avoid placing unnecessary burdens on regional airports and customers, will the Minister look at this issue again and let us know in today’s debate whether that is case? In an age in which greater connectivity and globalisation are bringing the world closer together, regional airports and the regions they serve deserve to be part of that economic growth, connectivity and globalisation and the economic wealth they can bring.

Wind Farm Development (Sedgefield)

Debate between Alex Cunningham and Phil Wilson

Wednesday 7th September 2011 Westminster Hall

[Phil Wilson]

I thank my hon. Friend for her intervention. In a moment, I shall be pointing out how much of a role County Durham and Sedgefield residents are playing in combating climate change.

It is the job of each developer to promote their schemes, but because the planning system is run on a first-come, first-served basis there is a rush to the planning authorities, and local people are left feeling under siege and helpless. I shall give an example by detailing the level of interest in and around my constituency by developers. I say “in and around the constituency”, because when my constituents look out of the windows they do not see the boundaries between constituencies; they see pleasant countryside. Indeed, from certain parts of the constituency they can see magnificent views of the North Yorkshire moors and Cleveland hills.

This is the state of play. As I said, 16 wind farms are up and running in County Durham, and another has been permitted but has not yet been built; 67 turbines are generating 126 MW. A further five wind farms are in planning, with a further 10 turbines; and three are in pre-planning with 18 turbines. That is a total of 95 turbines. Then there is the mother of all wind farms, the Isles wind farm proposed by E.ON, which will raise the number of turbines, operational and proposed, to as many as 140.

Within hundreds of metres of the Durham county council border at Sedgefield, three turbines are operational near Elwick. Just to the south, along the A1, a further six have been granted at Red Gap farm. Three turbines have received planning consent at Lambs hill near Stockton, and they directly affect my constituency because of their proximity. In the borough of Darlington, an area that I share with my hon. Friend the Member for Darlington (Mrs Chapman), three are proposed at East and West Newbiggin. Banks Renewables has gone to appeal on a wind farm of 10 turbines at Moor House farm, just to the south of E.ON’s large proposal. The list goes on.

Local people feel inundated and helpless. I am sorry to say that they are resentful of a planning regime that does not seem to listen to them. I accept that not all the proposed wind farms will go ahead. However, the Minister cannot deny that they will have a cumulative impact in County Durham and the Tees valley plain. When I say no to the Isles wind farm, I do so because I know that my constituents in County Durham are doing their bit. Even the developers are starting to concede that point. A representative of Banks Renewables, wind farm developers that have sites in the county, was interviewed by the Teesdale Mercury on 24 August 2011. He said:

“An unfortunate repercussion of County Durham being forward thinking in its approach to renewable energy development is the potential for cumulative impact to occur...The pursuit of several wind farms within the county by competing developers has potential to cause an unacceptable impact upon the landscape.”

He is absolutely right; in my view we are already at that stage.

County Durham’s record on renewable energy is another reason why I believe that we are not being nimbyist in our approach. The county council was the first local authority in England to have a renewable energy strategy; it dates back to 1994. The renewable electricity target for County Durham in the regional spatial strategy—I realise that it does not apply any more—was 82 MW installed capacity by 2010. Since then, about 165 MW of installed capacity of renewable energy development has been permitted in the county. Only 11 MW of that was permitted on appeal—the majority, 154MW, was granted by the council.

A capacity of 165 MW will meet about 55% of County Durham’s household electricity consumption, or 22% of the county’s overall electricity consumption. That is a fantastic record, and one of the best in England. I am sure that the Minister will agree that County Durham is doing its bit, and I hope that he will pay tribute to the county’s record.

County Durham’s 2010 target has been met and exceeded by a substantial margin. The aspiration to double that target by 2020 has already been achieved, and progress is being made towards the more recent national target of 30% by 2020. That has been achieved through a planned approach based on the north-east region’s renewable energy strategy and development capacity studies commissioned and endorsed by local authorities in the region.

The Tees plain was identified as a broad area of least constraint for wind energy development. Its capacity was identified as being between 20 and 25 turbines. It is covered by four local planning authorities—Durham county council, and Stockton, Hartlepool and Darlington borough councils. A development capacity study was carried out by consultants Arup in 2008, when there were a total of 20 operational or permitted turbines in three wind farms. It concluded that there was potential to exceed the level of development anticipated, and that two additional wind farms totalling between nine and 15 turbines might be acceptable.

Since then, two additional wind farms totalling nine turbines have been permitted. The area is therefore at or approaching the capacity identified in the Arup report. Currently, there are planning applications for three additional wind farms and a single turbine development in the area, totalling 13 turbines; and one planning application for 10 turbines is in abeyance. Those applications will be determined against the development plans of the relevant planning authorities, having regard to both the Arup capacity study and the evolving cumulative impact picture as they progress through the system. According to impact assessment studies, the area chosen by E.ON at the Isles—the company has built many wind farms in the area—can cope with only four to six turbines, but E.ON plans between 25 and 45. Durham can meet its targets because we have proved willing to embrace other renewable technologies in the same area. In Chilton, which is in my constituency and north of the Isles, Dalkia has just opened a biomass facility, producing 15 to 17 MW of electricity. Some 24.4 MW of electricity is generated from biomass in the county, 12.7 MW from landfill and 2.1 MW from hydro. County Durham is playing its part. Everyone wants to share the benefits of renewable energy, but we also need to share the burden.

[Alex Cunningham (Stockton North) (Lab)]

I hope my hon. Friend and my neighbouring MP will forgive me if I go off on a slight tangent. Does he agree that while our constituents are getting the pain of wind farms, they are not getting the benefits? That was perhaps best illustrated this week when EDF awarded all its contracts for a massive wind farm off the Teesside coast to companies abroad, instead of creating jobs in our constituencies for our people who have the skills and facilities with which to build that farm.

[Phil Wilson]

My hon. Friend makes a very important point. Although the landscape in the area has begun to be reindustrialised, we are not getting any of the benefits.

We are getting energy from other renewable sources such as hydro, landfill, and biomass, and now our constituents are beginning to wonder whether we are all in this together. They look at Hampshire, which is using three times as much energy as Durham but taking only about 4% of it from renewables. Moreover, there is not one on-shore wind farm in the area, despite the fact that it is the county in which the Secretary of State for the Department of Energy and Climate Change has his constituency.

Only five members of the Cabinet have wind farms in their constituency. Some have a lot. The Chief Secretary to the Treasury has 259 in his constituency of Inverness, Nairn, Badenoch and Strathspey, but his constituency covers l,911 square miles—almost as many as there are amendments to the Health and Social Care Bill. The Scottish Secretary has 226 turbines in a constituency covering almost 1,500 square miles. The Foreign Secretary, whose constituency is adjacent to mine, has 24 turbines in an area covering 739 square miles. Sedgefield covers 151 square miles. If the developers get their way and all 87 turbines get the go-ahead, we could see one turbine for every 1.7 square miles. Does the Minister not agree that the planning system for such huge structures is chaotic?

North Tees and Hartlepool NHS Foundation Trust

Debate between Alex Cunningham and Phil Wilson

Monday 5th July 2010 Commons Chamber

[Alex Cunningham]

Mr Speaker, I agree with the long intervention and the facts laid out by my hon. Friend the Member for Easington (Grahame M. Morris).

In Stockton-on-Tees, just over a quarter of residents live in some of the most deprived areas of England. Early deaths from heart disease and stroke and from cancer are higher than the England average. Inequalities are starkly demonstrated by the fact that a man living in one of the least deprived areas of Stockton can expect to live just over 10 years longer than a man living in one of the most deprived areas.

Since 1997, however, early death rates from heart disease and stroke have fallen markedly and early death rates from cancer have also fallen, albeit more slowly. We have also seen a narrowing in the gap between our area and the rest of the country. Things are improving for my constituents, and my concern is that the coalition’s decision will see a halt to and possibly even a reversal in these positive outcomes. The NHS is too important to be turned into a party political football, however. Those listening to this debate back in the north-east this evening do not want to hear us point scoring. I have heard you say yourself, Mr Speaker, that that is the sort of behaviour that turns people off politics and politicians.

I wholeheartedly welcome the commitment shown by the Prime Minister and his party to the NHS, and I would like to draw the attention of hon. Members to a statement that he made during the election campaign. He said:

“The test of a good society is you look after the elderly, the frail, the vulnerable, the poorest in our society. And that test is even more important in difficult times, when difficult decisions have to be taken, than it is in better times.”

I could not agree more with the Prime Minister’s statement, but I fear that his words are not being followed by his actions. As we all know, it is all too easy to make promises in politics. The real test is whether we stand by our word once the votes have been counted.

During the election campaign, the Conservative party claimed that it was now the party of the NHS. I doubt very much that people who went to the ballot box on 6 May and put a cross next to the name of their Conservative candidate thought that the right hon. Member for Witney (Mr Cameron) would be authorising the cancellation of a long-awaited new hospital just weeks later. We all acknowledge that cuts have to be made to reduce the deficit, but this is a much needed front-line service, and I will not stand by and let this project disappear without a fight.

Of course, 6 May gave us not a Conservative Government but a Liberal Democrat and Conservative coalition, so I urge Members to refer to the document “The Coalition: our programme for government”, which states:

“We are committed to the continuous improvement of the quality of services to patients.”

Again, I warmly welcome that statement, but I fear that when push comes to shove, it will mean very little to my constituents and those in neighbouring areas. This coalition seems intent on cutting spending without fully realising the human cost of the cuts. This decision is a backward step for the communities that would have been served by the new hospital, and it does not tally with the Prime Minister’s claim that the Conservatives are now the party of the NHS or with the coalition’s document.

Since the announcement on 17 June, I and other Labour Members have met the chair and chief executive of North Tees and Hartlepool NHS Foundation Trust. They are understandably extremely disappointed that, after the many years of hard work creating and fine-tuning the plans for the future of health services in our region, those plans have been sent back to the drawing board. It is not only the foundation trust that is unhappy with the decision: on Saturday 26 June, other Members and I attended a rally in Hartlepool to highlight local opposition to the decision, which grows by the day.

I have also received encouraging support for early-day motion 273, which asks for a review of the coalition’s decision. To date, it has received 42 signatures—regrettably, only from Members on this side of the House. I hope that it will not only be Labour Members arguing this evening that their constituents should not lose out after waiting so long for an agreement on the future of health care in our area.

One of the key questions that I hope the Minister will answer this evening is why this particular project has been scrapped. The Chief Secretary to the Treasury said in his statement to the House that his decision to cut £2 billion of public spending, including on our new hospital, was guided by a principle of fairness. At the moment, we feel as though we have been subject to an arbitrary decision. I have yet to hear any persuasive argument as to why people in the north-east have had their new hospital withdrawn while schemes such as the Royal Liverpool hospital, the Pennine acute hospital and the Epsom and St Helier hospital are going ahead. What advice did the Minister receive from his Department that led to the conclusion that the North Tees and Hartlepool project did not represent value for money, compared with the other projects?

The Chief Secretary to the Treasury told the House on 17 June that our new hospital was

“assessed against a number of other major build projects that were at the same stage of development; those schemes are more urgent.”—[Official Report, 17 June 2010; Vol. 511, c. 1051.]

I would appreciate a little more clarity from the Minister about what was meant by that statement, and I request that he publish the criteria used and the detailed comparisons carried out against the project. The North Tees and Hartlepool project was, according to my right hon. Friend the Member for Leigh (Andy Burnham), the top priority for the NHS. We would like to know why it has slipped down and out of the queue.

In answer to my question on 29 June about the strategy developed by the foundation trust, the Secretary of State for Health did not rule out other ways of making our new hospital happen. I noted that he said it needed to fit his new criteria and that the trust should not ask the Department of Health to meet the whole capital cost of whatever it proposes. Does that mean that some funding could be made available and the balance raised by the trust using its existing powers?

I urge the coalition to work with Members on the Opposition Benches as well as with the foundation trust to look at new and innovative ways of funding the project and ensuring that local people are not left behind. Will the Minister confirm that more time invested in developing a new solution to fund the new hospital will not be a waste of time, and that he and his coalition partners have not set themselves against any new hospital in our part of the country?

If we do not find a solution and build a new hospital, what will happen? The chief executive of the North Tees and Hartlepool NHS Foundation Trust has publicly acknowledged that there is a chance that Hartlepool hospital could close, whether or not a new hospital goes ahead. I know that my hon. Friend the Member for Hartlepool (Mr Wright)is extremely anxious about that. We could end up with one hospital. I want it to be a new one.

There is much more at stake than just health care and a new hospital. The location for the hospital was Wynyard park, a 700 acre high-end mixed-use development accommodating residential and business properties.

[Phil Wilson (Sedgefield) (Lab)]

I congratulate my hon. Friend on achieving the Adjournment debate. I shall be brief. I expect the point that he intends to make is about added value arising from the project. The business park would have attracted high-value private sector jobs in medical research in an area that needs them. They would have reached the site as a result of the £10 million that would have been introduced into the transport system.

[Alex Cunningham]

Exactly. The new hospital would have kick-started development in the area, creating many thousands of jobs. The owners of Wynyard park believe that the new hospital would have been a considerable incentive for investment by others to develop the type of industries mentioned by my hon. Friend. Most important of all, the coalition’s decision to scrap the new hospital will have a major detrimental effect on continuing the work to close the gap between the unhealthiest and healthiest in our communities.

I am therefore grateful to the Minister, who has agreed to a request from my hon. Friend the Member for Easington (Grahame M. Morris) for a meeting to discuss how we can keep our hospital project alive. I look forward to the meeting to discuss the way forward and will listen intently to his response this evening, in the hope that the door to funding is not already firmly closed. At present there are many more questions than answers about the future of acute services in our region. What is the future of health care, of our strategy for a new hospital, and of the organisations, such as the foundation trust, that plan care? There is so much doubt.