Oral Answers to Questions Debate

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Oral Answers to Questions

Andrew Percy Excerpts
Monday 27th February 2017

(7 years, 2 months ago)

Commons Chamber
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Tracy Brabin Portrait Tracy Brabin (Batley and Spen) (Lab)
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8. What steps his Department is taking to ensure that the effects of devolution deals are felt across England.

Andrew Percy Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Percy)
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Our devolution deals will support economic growth across the country by devolving powers and, more importantly, funding from this place so that they can be determined by local people. By May this year, 33% of England’s population will have gone to the polls to elect their directly elected Mayors.

Tracy Brabin Portrait Tracy Brabin
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As the Minister no doubt knows, two years ago West Yorkshire council agreed a devolution deal for the Leeds city region. Why has there been no progress? What plans does he have to give West Yorkshire the devolution deal it wants, and why the delay?

Andrew Percy Portrait Andrew Percy
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We have made good on the city deals we negotiated with the Leeds city region. The problem on broader Yorkshire devolution, given that this is a bottom-up approach, is that there has not been agreement across Yorkshire about what form it should take. Some of the hon. Lady’s colleagues have not helped in recent weeks by proposing solutions on a boundary of a nature not within the legal framework.

Michael Fabricant Portrait Michael Fabricant (Lichfield) (Con)
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Does my hon. Friend not agree that—to paraphrase President Kennedy —it is not so much what the Government can do to assist devolution deals, but what devolution deals can do for themselves through strong leadership following the election of effective Mayors?

Andrew Percy Portrait Andrew Percy
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Absolutely. For an example of the sort of leadership we will require in these mayoralties, my hon. Friend need look no further than the west midlands, where Andy Street is a fantastic candidate who I am sure will be a strong mayor and champion for the west midlands.

Clive Betts Portrait Mr Clive Betts (Sheffield South East) (Lab)
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I thank the Minister for his continued efforts to keep the Sheffield city region devolution deal moving forward. I understand that the mayoral election will be postponed until next year but that it might be possible in the meantime for local authorities to access the £30 million on offer if they agree to appoint an interim mayor. Will he confirm that that is the case? If so, what criteria will he want to see in place for it to happen?

Andrew Percy Portrait Andrew Percy
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I thank the hon. Gentleman for his unwavering support for the South Yorkshire and Sheffield city region deal. It is a good deal that will deliver funding and powers to South Yorkshire to help to drive forward its economy. We can look at interim mayors if necessary. I assure him that the Government are absolutely committed to the deal and will try to bring it forward as quickly as possible, but with the agreement of the four local authorities in the Sheffield city region.

Andrew Stephenson Portrait Andrew Stephenson (Pendle) (Con)
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10. What steps his Department is taking to support the northern powerhouse.

Andrew Percy Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Percy)
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In recent weeks and months, we have of course introduced the first northern powerhouse strategy and, more importantly, put £556 million behind it through the local growth funding allocations, with the north receiving the largest proportion from the broader £1.8 billion fund.

Andrew Stephenson Portrait Andrew Stephenson
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I thank the Minister for his recent visit to Pendle and the Government for the £4 million investment that will create more than 1,100 new full-time jobs on the Lomeshaye industrial estate. We have seen strong growth in small and medium-sized enterprises across the north of England in recent years, but what more can we do to help them to grow?

Andrew Percy Portrait Andrew Percy
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It was a delight to visit the Lomeshaye industrial estate on a wet Lancashire day—is there any other kind?—only the other week, and I thank my hon. Friend for his support for that. On his specific interest in small and medium-sized businesses, just last week I joined other funding partners in launching a £400 million investment fund for northern powerhouse businesses. This will provide loans to businesses of between £25,000 and £2 million, and support our wonderful small and medium-sized businesses across the north.

Rachael Maskell Portrait Rachael Maskell (York Central) (Lab/Co-op)
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Small businesses form an important part of York’s economy as part of the northern powerhouse, but businesses are struggling with the new deal on business rates. Overseas landlords are pushing up rents, and that is then pushing up rateable values. What discussions has the Minister had with the Treasury so that in next week’s Budget we will see a fair deal on business rates?

Andrew Percy Portrait Andrew Percy
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I was in York just last Friday to speak to Make It York and celebrate our funding for the York Central enterprise zones. As the hon. Lady will be aware, business rates bills across the north will be falling, but as the Chancellor and my right hon. Friend the Secretary of State have made absolutely clear, we are committed to supporting further those businesses that are hardest impacted by rises. Across the north more generally, however, we will see falls in business rates.

Martin Vickers Portrait Martin Vickers (Cleethorpes) (Con)
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As the Minister knows, the Humber local enterprise partnership was recently allocated £27 million under the growth fund. The two local authorities that serve the Cleethorpes constituency are also members of the Lincolnshire LEP. Will he enlighten us on when their settlement is due?

Andrew Percy Portrait Andrew Percy
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My hon. Friend is absolutely right that we recently allocated £27 million to the Humber in the growth deal. It is important to remember that, on a per-head basis, that is more than has been received in large parts of the south of England. We will announce in the coming weeks the Greater Lincolnshire LEP allocations that also cover North and North East Lincolnshire as part of the £392 million package for the midlands.

Charlie Elphicke Portrait Charlie Elphicke (Dover) (Con)
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11. If he will assess the accuracy of the business rates revaluation for Dover district; and if he will make a statement.

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Gill Furniss Portrait Gill Furniss (Sheffield, Brightside and Hillsborough) (Lab)
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14. What assessment his Department has made of the potential effect of the recent business rate revaluation on the viability of pubs.

Andrew Percy Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Percy)
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Rateable values are, of course, set independently of Ministers. The approach to the valuation of pubs has been agreed with all five bodies representing the pub sector, including the British Beer & Pub Association and the Association of Licensed Multiple Retailers.

Gill Furniss Portrait Gill Furniss
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Twenty-nine pubs are closing every week, and the industry estimates that it will need to increase prices by 30p per pint to deal with the £421 million rates increase after the revaluation. All small businesses—many of them in my constituency—are in the firing line. Given the public outcry from local businesses, local authorities and even his own Back Benchers, does the Minister agree with Labour that there should be a full review of the operation of business rates?

Andrew Percy Portrait Andrew Percy
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Pubs and pub-restaurants in Yorkshire and the Humber will see a 4% cut in their rates overall, and many will also benefit from the doubling of small business rate relief. However, as I said in response to an earlier question, the Secretary of State and the Chancellor are continuing to look closely at what further support can be made available to those most affected by rises.

Lord Benyon Portrait Richard Benyon (Newbury) (Con)
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Pubs appear to be the net losers from the revaluation in my constituency. The Government have done an awful lot to protect pubs in recent years. Is this not another example of the need to get a grip on the Valuation Office Agency? It seems to be defying what the Government are trying to do by carrying out rate revaluations which are driving important companies that we value out of business.

Andrew Percy Portrait Andrew Percy
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As I said a moment ago, the guide for agreeing valuations—I have it in my hand—was agreed with all five groups representing pubs. The picture will vary across the country, with many pubs seeing a reduction in their rates. As I have said, however, we remain committed to trying to help further those on whom the impact has been heaviest.

James Heappey Portrait James Heappey (Wells) (Con)
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15. What plans he has to revise the needs-based funding formula for local government finance.

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Alan Mak Portrait Mr Alan Mak (Havant) (Con)
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18. What steps he is taking to support local growth.

Andrew Percy Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Percy)
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We are supporting local growth through the £1.8 billion local growth fund, £31 million of which was recently announced for my hon. Friend’s local enterprise partnership in the Solent.

Alan Mak Portrait Mr Mak
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I thank the Minister for his answer. Solent LEP has played a key role in delivering the Havant business support fund and the Dunsbury Park business park. Will the Minister continue to support LEPs so that Members of this House, councils and businesses continue to reform to work together to drive economic growth?

Andrew Percy Portrait Andrew Percy
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Absolutely, and I congratulate my hon. Friend on his work in securing the funding for the Havant business support fund. LEPs are playing an important role across the country; they are helping to drive economic growth, and they continue to have our support.

Mims Davies Portrait Mims Davies (Eastleigh) (Con)
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T2. If he will make a statement on his departmental responsibilities.

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Martyn Day Portrait Martyn Day (Linlithgow and East Falkirk) (SNP)
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T4. The Secretary of State will know the importance to Scotland of EU structural funds, in the form of £1.3 billion of investment that is vital for many of our local communities. The ability to administer those funds is a key component of city deals. Does he agree that the uncertainty about the future of those funds after leaving the EU will have a negative impact on the vital long-term planning that is needed, and that it risks damaging those deals?

Andrew Percy Portrait The Parliamentary Under-Secretary of State for Communities and Local Government (Andrew Percy)
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No, I do not agree with that. We have been absolutely clear in our commitment to maintain EU structural funds up until 2020. That commitment could not have been clearer. I remind the hon. Gentleman that this is British taxpayers’ money anyway, at the end of the day.

Peter Bone Portrait Mr Peter Bone (Wellingborough) (Con)
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Councils in my area require a definition of housing supply. They do not really worry about the methodology; they just want to know what it is. Could we have some clarification on that? Also, could the Secretary of State tell me whether he thinks the Liberal Democrats are wholly supporting the Government, because no Liberal Democrat has been in the Chamber until three minutes ago?