Levelling Up: East of England

Debate between Clive Lewis and Peter Aldous

Tuesday 18th January 2022 Westminster Hall

[Peter Aldous]

My hon. Friend is right that transport infrastructure is vital, and I will come on to that shortly.

Further afield from Lowestoft, the region will benefit from two freeports at Felixstowe and Harwich, as well as the Thames freeport. However, while we await the detail of the Government’s levelling-up proposals, there are some early warning signs that the needs of local communities in East Anglia might be overlooked, and there is a worry that we will not be able to realise the full potential of those projects for the benefit of local people and local businesses.

With regard to funding allocated in the comprehensive spending review, the east of England received the second lowest per capita spend of any region at £92 per head. Only London received less. The UK average is £184 per person, and in Yorkshire and the Humber the provision is £359 per head. In the first round of the levelling-up fund, the east of England secured £87 million. That is £13.88 per capita compared with a national average of £23.91 and £41.72 per capita in the east midlands.

There is also concern about the prioritisation of both the levelling-up fund and the community renewal fund. As I have mentioned, Lowestoft has deep pockets of deprivation, yet it is neither a priority 1 area for the levelling-up fund, nor a priority place in the community renewal fund. It is essential that that inequity is put right ahead of the next round of the levelling-up fund and the introduction of the UK shared prosperity fund.

There is also a worry that, notwithstanding opportunities in the east of England in such sectors as low carbon, agri-tech and life sciences, the Government are actively seeking to discourage Government spending on research and development in the east of England. In the Budget Red Book, the east of England is coupled with London and the south-east, which are very different from much of the region, as an area from which Government spending on R&D will be diverted and where it will be discouraged.

No debate on the east of England would be complete without highlighting the region’s infrastructure deficiencies in traditional modes of transport—road, rail and bus—and digital connectivity. In many ways, we are a victim of our own geography, which in other respects is one of the region’s unique selling points—a relatively dispersed population with relatively small urban centres, and a network of market towns and villages interspersed with attractive countryside—which serves not only as the breadbasket of the UK but as the home to many flourishing rural businesses. If that infrastructure, both old and new, is not upgraded, I fear that the region will not realise its full economic potential and it may be difficult for it to continue to be a net contributor to the Treasury’s coffers.

I will highlight five compelling reasons why we need to upgrade the region’s connectivity. First, the east of England, with 13 ports, including two freeports and four airports—Stansted, Luton, Southend and Norwich—is the UK’s international gateway. If we do not have good road and rail networks from these access points, through and out of the region, it is not just East Anglia that suffers—there will be a negative knock-on impact for the whole UK. Half of the UK’s containerised goods are moved through the region; 70% go to the north of England and support businesses and communities right across the UK. Air freight is critical to maintaining and growing the UK’s ability to trade globally. Stansted is the only London airport with the capacity and infrastructure to support increased demand for cargo aviation over the next 10 to 15 years.

East Anglia’s road and rail network is crucial to the smooth movement of these essential supplies coming into the UK, whether by sea or by air. Poor connections lead to slow, unreliable journeys adding delay and cost, which ultimately the consumer ends up paying for. For this reason, roads such as the A12, A14, A120 and A47 urgently need to be upgraded.

Secondly, linked to this, our railways need to be improved, to accelerate the shift of freight off the roads and improve services to London, to which many of the region’s residents commute. The upgrades at Haughley junction and Ely junction are long overdue. Thirdly, improved transport infrastructure is needed to tackle those pockets of coastal deprivation to which I have referred. Many of these communities have poor transport links without dual carriageway connectivity and with low-frequency train services.

[Clive Lewis (Norwich South) (Lab)]

I thank the hon. Gentleman for giving way and making such an excellent contribution to this debate. I notice that on transport infrastructure, he seems to be looking at a very 20th-century model, as if the climate crisis was not happening. Will he talk a little more about the kind of rapid transit systems that he envisages would take individuals off the roads in their cars and move them on to buses and trains, freeing up more of that road network system and helping the environment and ecological systems that are in place?

[Peter Aldous]

I thank the hon. Member for his intervention—he is right. As far as road investment is concerned, we have to make up for work that should have been done a long time ago. Rail network improvements are vital to the future, as he has mentioned. I have mentioned two junctions at Haughley and Ely; I could be greedy, we need Trowse in his constituency and Bow to improve the access to London as well. Those need to be addressed.

I will now briefly address the digital connectivity which is so vital to the future.

Tax Credits

Debate between Clive Lewis and Peter Aldous

Tuesday 15th September 2015 Commons Chamber

[Peter Aldous (Waveney) (Con)]

In laying this instrument before the House, the Government are pursuing the right strategic course of supporting working families through the tax system and encouraging earnings growth rather than doing that through the benefits system. For that reason, I shall support it, although I have serious concerns about the impact on working families in the short term over the next two to three years. I urge the Government to address these issues in the coming months before the measures come into effect next April.

The Government are right to be going in this direction. The current system is extremely expensive, and if nothing is done the cost will escalate to unsustainable levels. For me, it is wrong to be promoting what is, in effect, state dependency. It is also wrong that the Government are subsidising employers so that they pay low wages.

[Clive Lewis (Norwich South) (Lab)]

The hon. Gentleman talks about high productivity and high wages, and Labour Members would agree with him on that, but yesterday we watched him file through the Lobby and vote against trade unions. They are one of the key ways that we can raise people’s wages, and he is undercutting them. How does he explain that?

[Peter Aldous]

I thank the hon. Gentleman for making that point, but I am constrained specifically to the issues we are debating.

It is wrong that the Government are subsidising employers in this way. Moreover, the current system of tapering income thresholds and interconnectivity with other benefits is ridiculously complicated and opaque.

I welcome the Government’s proposals to increase the personal allowance and to introduce the national living wage. It is right that working taxpayers, especially those on low pay, should keep more of the money that they earn as an incentive to work. My concern is that in the short term, over the course of the next two to three years, those who will be hit hardest by these measures are working families, often with children, on low wages. These are the hard-working families—the people doing the right thing—that all political parties say they support and must support.

In my constituency, where the median wage is just under £24,000, many people will be seriously affected by these changes. As of May this year, 4,200 families were receiving working tax credits.