Levelling-up and Regeneration Bill (Twenty Fifth sitting)

Emma Lewell-Buck Excerpts

Committee stage
Tuesday 18th October 2022 Public Bill Committees

[Rachael Maskell (York Central) (Lab/Co-op)]

We wish to bring them back later in proceedings, at which point we will press them to a Division.

New Clause 8

Industrial support reporting

“(1) The Secretary of State must prepare annual reports on—

(a) the rates of the matters in subsection (2), and

(b) the extent to which the fiscal and regulatory framework supports growth in those matters in areas with rates of poverty, unemployment or economic inactivity above the national average.

(2) The matters are—

(a) new factory openings,

(b) investment in new factory equipment,

(c) the introduction of tailored skills-acquisition programmes, and

(d) the creation of manufacturing jobs.

(3) The first such report must be laid before Parliament before the end of 2023.

(4) A further such report must be laid before Parliament in each subsequent calendar year.”—(Mrs Lewell-Buck.)

This new clause would require the Secretary of State to report annually to Parliament on the rates of, and the extent to which the fiscal and regulatory framework supports, new factory openings, investment in new factory equipment, introduction of tailored skills-acquisition programmes and creation of manufacturing jobs in areas with rates of poverty, unemployment or economic inactivity above the national average.

Brought up, and read the First time.

[Mrs Emma Lewell-Buck (South Shields) (Lab)]

I beg to move, That the clause be read a Second time.

The new clause is tabled in my name and that of hon. Friends and hon. Members right across the House. Time and again, we have heard from the many Ministers who have sat opposite us during our short time considering the Bill that the Government are committed and serious about levelling up, yet time and again, when the Opposition have suggested amendments to support and strengthen those aims, the Government have voted against them. I hope that the Minister will give serious consideration to new clause 8, as it will actually help the Government.

The Government have struggled to define what levelling up means and, consequently, how its success can be measured. In fact, in their own technical annex to the White Paper, when addressing how they will measure boosts in productivity, pay, jobs and living standards—especially in areas where they are lagging—the Government state that further work needs to be undertaken to refine the metric. I humbly suggest that new clause 8 does just that.

Legislating for a reporting mechanism that is linked to a revival in manufacturing will focus the efforts of this and any future Government into job and skills creation, as well as the promotion of the UK as a manufacturing powerhouse once again. For too long our economy has been reliant on the service sector, where jobs can often be low paid and insecure, especially in coastal communities such as mine—coastal communities, towns and cities that were once the manufacturing hubs of the UK.

In the last 12 years we have seen a marked increase in low rates of economic growth, leading to stagnation in productivity and living standards. That is felt most starkly in the north-east, where Hartlepool, Redcar, Cleveland, Darlington, Newcastle, South Tyneside and Sunderland have all seen significantly decreased manufacturing outputs compared with 2010. The consequence has been an over 50% decrease in apprenticeships in engineering and manufacturing technologies in every single north-east local authority since 2010. Manufacturing makes up only approximately 9% of UK output, compared with 17% in the early ’90s. In other countries, such as Germany, Japan, Switzerland and South Korea, it is nearly as high as 25%.

The UK brand is still powerful; we have the skills and talents to be making and doing so much more. I do not have all the answers, and I know it can be difficult to create the right environment for manufacturing to thrive, but there are plenty of people smarter than me out there who have thought it through and do have the answers. What we need is a Government who are willing to listen to them, and to be held accountable for any action they take. New clause 8 would do that.

I suspect that the Minister will try to explain why the Government do not support the new clause. I suspect that she will explain that there is already provision for measuring and monitoring the missions in the Bill. However, new clause 8 goes further than that: it cuts across nearly every one of the levelling up missions but, more than that, it targets them directly at the very areas that the Bill claims it wants to level up. I look forward to hearing the Minister’s views on the new clause.

[Tim Farron (Westmorland and Lonsdale) (LD)]

It is an honour to serve under your guidance, Sir Mark. I am in full agreement with the hon. Member for South Shields, and I am pleased to be a signatory to the new clause, which gives the Government the opportunity to place real, measurable metrics at the heart of levelling up. It would ensure that we tackle some of the myths about growth, which is a word bandied around an awful lot in this place. Many of us think that so much of what the Government mean by “growth” is just consumer spending on the basis of credit and, therefore, does not really add anything long term to our economy.

The new clause gives the Government the opportunity to have measurables for this country to level up in a way that sees us restore manufacturing and skills to the heart of our economy, ensuring that we have growth that is not only real and sustainable, but distributed equally across the country. It would ensure that the Government can be held to account on whether they achieve that or not.

--- Later in debate ---

[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Dehenna Davison)]

It is a pleasure to serve under your chairmanship, Sir Mark. I am grateful to the hon. Member for South Shields for raising this matter. As MPs for the north-east, we are acutely aware of the value of manufacturing. She referred to her manufacturing powerhouse, which the north-east certainly is. We want it to continue to thrive, but we also want the entire UK to thrive when it comes to manufacturing.

Manufacturing is vital to levelling up as it provides high-skilled and well-paid jobs. It is supported by the Government, including through a new £1.4 billion global Britain investment fund, with grants to encourage internationally mobile companies to invest in the UK’s critical and most innovative industries.

There are already publicly available official statistics covering matters in the new clause, such as the number of manufacturing jobs by region. We are a little concerned that the new clause would require an additional and disproportionate burden on businesses to collect data in a timely manner at a time when they are already facing unprecedented rising costs, which are particularly acute for manufacturing businesses. We therefore feel that the new clause is unnecessary at this stage.

The hon. Member for Westmorland and Lonsdale talked about having real metrics at the heart of levelling up, which the Government are certainly passionate about. We want to be able to measure levelling up to show that we are successfully delivering it. That is why we are already taking steps to improve the quality of the spatial data that we have available.

My Department has established a new spatial data unit to drive forward the data transformation required in central Government. The unit supports the delivery of levelling up by transforming the way the UK Government gather, store and manipulate sub-national data to underpin transparent and open policy making. On that basis, I think we are reaching for the same end here. I reassure the hon. Member for South Shields that the spatial data unit will be pivotal in this matter. The Department for Education is also working to deliver a better understanding of local area skills demand and supply through its unit for future skills.

[Mrs Lewell-Buck]

I referred to the fact that the Government’s technical annex to the White Paper identifies an issue with measuring and understanding pay, jobs, living standards and productivity. If the Government do not want to put an extra burden on businesses, who will they ask to get this data for them? How will they do that?

[Dehenna Davison]

This is a matter for our excellent new spatial data unit, which is doing valiant work. It will really help us to understand the scale of the challenges, as well as the progress that we are making against the levelling-up missions. As a Government, we are determined to level up and make progress against those missions.

We are doing a lot of great work in this area and the spatial data unit really will be revolutionary in how we gather this data. For the reasons I have outlined, I ask the hon. Lady to withdraw her new clause.

--- Later in debate ---

[Mrs Lewell-Buck]

I am not entirely convinced, so I will go away and think about it, but I will not divide the Committee on the new clause today. I beg to ask leave to withdraw the motion.

Clause, by leave, withdrawn.

New Clause 12

Duty to have regard to impacts on UK agriculture, agricultural land and domestic food production

“(1) A relevant authority must, when making policy, have regard to any potential impacts of that policy on the resilience of UK agriculture, agricultural land and domestic food production, and seeking to minimise any adverse such impacts so far as is reasonably practicable.

(2) In this section, a ‘relevant authority’ means—

(a) a Minister of the Crown;

(b) a relevant planning authority (under the meaning in section 81).

(3) In order to comply with the duty under this section, the relevant authority must have regard to—

(a) any impacts the proposal may have on agricultural production in the UK;

(b) any impacts the proposal may have on the area of land available for agricultural production in the UK, including in particular the area of grade 1 and 2 land available for production;

(c) any impacts on the genetic diversity of domestic livestock populations;

(d) the impact on farming in areas of natural constraints including land above the moorland line;

(e) the ability of agricultural producers in the UK to operate competitive businesses;

(f) any impacts on food security; and

(g) any other factor which appears relevant to the relevant authority.

(4) Nothing in subsection (1) requires a relevant authority to do anything (or refrain from doing anything) if doing it (or refraining from doing it) would be in any other way disproportionate to the impact on UK agriculture, agricultural land and domestic food production.

(5) This section does not apply to policy so far as relating to—

(a) the armed forces, defence or national security, or

(b) taxation, spending or the allocation of resources within government;

(c) Wales;

(d) Scotland; or

(e) Northern Ireland.”—(Greg Smith.)

This new clause requires Ministers of the Crown and planning authorities (with a broad definition) to take account of the impact their policies are likely to have on the resilience of the agricultural sector, agricultural land and domestic food production.

Brought up, and read the First time.

[Greg Smith (Buckingham) (Con)]

I beg to move, That the clause be read a Second time.

--- Later in debate ---

[Lee Rowley]

I thank Opposition Members for tabling the new clauses, and I understand why they have done so. In all processes, there will be challenges; there will be difficulties at the margins in how things work and where people try to push boundaries beyond where they are intended to be. I do not disagree that there will be examples around the country where PDRs have not been used in the right way, in the same way that there are problems with the existing planning system when people go through planning applications, or with enforcement when people have not done that.

There are problems in all systems, and I accept that the Government’s job is to try to minimise those problems while recognising that it is always a work in progress. I particularly accept the challenge that the hon. Member for York Central made about holiday lets and the like. I am happy to discuss that with her separately, if that would be helpful.

There is obviously a question about where we strike the balance between enabling processes to continue to happen in a way that is sped up, gives certainty and clarity, and brings out the “right answer” most of the time, and where additional consideration or time, or additional processes, are required. The latter all comes with cost, in terms of time and clarity, for those making applications. That balance is very difficult to strike, but we are trying to strike it by ensuring that the PDRs in the system, but also a significant proportion of applications that potentially require further consideration, go through the normal process.

The challenge that I have with the new clauses—I absolutely do not mean to caricature them—is that, in the way that they are written, they seek a review of every single element of PDRs. I know that the Opposition Front Benchers know that a significant amount of permitted development rights are relatively uncontroversial. The Opposition are effectively saying that, in order to look at problems that are understood and that need consideration and review—I am happy to talk to them about what we should do with those, if we are able to—we must also look at every single other PDR, including things such as how porches, chimneys, flues and microwave antennae are changed.

I am not sure that is the Opposition’s intention, so I gently ask them to consider withdrawing the new clauses on the basis that, while I am happy to continue the conversation, I think that their approach may be disproportionate to their intention.

[Mrs Lewell-Buck]

The Minister admitted that PDRs are not being used in the correct way. He feels that our new clauses seek a review of every element of PDR, but if he and the Government do not want to review every element, what elements would they review? He has already admitted that the system is not working properly, so will he offer an alternative?

[Lee Rowley]

For clarity, I said that no system is perfect. That is not necessarily a recognition that anything is systemically wrong, although I am happy to debate individual instances if Opposition Members believe that to be the case. We will never create a perfect system. I am sure that we all intend to make the processes better. There will be differences of view, both in the Committee and outside it, about where it is appropriate to draw lines in terms of the use and non-use of PDRs. That will be a discussion long after we have left this place. I am keen to hear from colleagues on both sides of the House about where they think PDRs are not working in the ways that we hope, recognising that no system is perfect but hoping that they are used correctly in most instances. I do not think, however, that it is proportionate to do a wholesale review of PDRs at this stage.

[Mrs Lewell-Buck]

I thank the Minister for being generous in giving way again. I do not think that he quite understood the point that I was making. He said that PDRs are not being used in the right way, so where do he and the Government feel that they need to be looked at? I am not getting any clarity.

[Lee Rowley]

I am happy to clarify. I did not say that PDRs were not being used in the right way; I said that no system—

[Mrs Lewell-Buck]

You did. I will check Hansard.

[Lee Rowley]

I know that Hansard will demonstrate the context. I was saying that no system is perfect. I was not making any comment on individual PDRs, but I have said to colleagues on both sides of the Committee that I am happy to discuss individual areas where they have concerns, outside of a proposal for every single one of the 155-odd PDRs to be reviewed in detail within a timeframe that is not particularly proportionate. If there is a problem, let us talk about it in individual areas, but this approach is disproportionate. I hope that the Opposition will consider withdrawing the motion and having a separate discussion about specific instances that have been raised, and others that they are concerned about.