All 2 Liam Byrne contributions to the Birmingham Commonwealth Games Act 2020

Read Bill Ministerial Extracts

Mon 9th Mar 2020
Birmingham Commonwealth Games Bill [Lords]
Commons Chamber

2nd reading & 2nd reading & 2nd reading: House of Commons & 2nd reading
Thu 11th Jun 2020
Birmingham Commonwealth Games Bill [Lords]
Commons Chamber

Report stage & Report stage & 3rd reading & 3rd reading & 3rd reading: House of Commons & Report stage & Report stage: House of Commons

Birmingham Commonwealth Games Bill [Lords]

Liam Byrne Excerpts
2nd reading & 2nd reading: House of Commons
Monday 9th March 2020

(4 years ago)

Commons Chamber
Read Full debate Birmingham Commonwealth Games Act 2020 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: HL Bill 1-I Marshalled list for Committee - (21 Feb 2020)
Nigel Huddleston Portrait Nigel Huddleston
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I thank my right hon. Friend for his comments. I can assure him—I will come to this later in my speech—that the financial governance of the games is very strong. Again, we are working with all stakeholders to make sure that we can deliver on time and on budget—both on the time commitment and on the financial commitment.

Liam Byrne Portrait Liam Byrne (Birmingham, Hodge Hill) (Lab)
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In the spirit of this debate and the cross-party nature of the spirit required to ensure the success of the games, I hope the Minister will at some point in his remarks reflect on the extraordinary strength of character required for a council that has lost £700 million of funding over the last few years to deliver the games not in the usual seven years, but in four and a half years. Let us unite around a shared endeavour to make this a success.

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Liam Byrne Portrait Liam Byrne (Birmingham, Hodge Hill) (Lab)
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It is a great pleasure to follow the hon. Member for East Devon (Simon Jupp); he spoke with wit and flair and it was good to see him put Ministers on notice that he will be a doughty fighter for his constituency. It was good, too, to follow the hon. Member for Redcar (Jacob Young). We Opposition Members miss his predecessor greatly, but I know that Mo Mowlam would have appreciated the humanity and humility that he showed in an excellent maiden speech.

It is a great pleasure to speak in this debate, because in a Second Reading debate we debate the principles of the Bill, and we cannot debate the principles of this Bill without debating the ethos of the games that we wish to host. The ethos of the games is generosity, which is why I shall start with first things first, and put on record the gratitude that the House feels not only to the chairman of the games, John Crabtree, and the chief executive, Ian Reid, but to Ian Ward and the team and officers at Birmingham City Council, along with Yvonne Davies and the team at Sandwell Council, for working miracles to step in when the bid from Durban failed. They have tried to do something spectacular, which is to put together a plan for the games in four and a half years, when normally it takes seven. The thanks of this House go out to everyone in the west midlands who has been involved in pulling together the plans for what will be the seventh Commonwealth games held on these islands. The games that we plan to showcase will be the greatest Commonwealth games in history—and not just because they will be held and showcased in the most diverse, innovative and creative heart of the Commonwealth: in the west midlands and in Birmingham.

The investment brought to our region is desperately needed. Some £800 million, about a quarter of it raised locally, is desperately needed. The facilities that have come are very welcome: I was delighted to look around the fantastic new Alexander stadium with my hon. Friend the Member for Hornsey and Wood Green (Catherine West); there is the fabulous new aquatic centre, which will be built in Smethwick; and of course there is the extraordinary new village that will be built in the constituency of my hon. Friend the Member for Birmingham, Perry Barr (Mr Mahmood), with 1,500 new homes—the down payment on an extraordinary new development of 5,000 homes—that will, in total, bring to the great, lucky constituency of Perry Barr some half a billion pounds of investment. Let no one go away from this debate without understanding clearly that my hon. Friend the Member for Birmingham, Perry Barr is the greatest negotiator in this Chamber on behalf of the people he serves.

Our challenge is not simply to deliver the games and to deliver the investment, but to ensure that what is a great festival of sport is also a great festival of and a great renewal of our civic spirit. This is a once-in-a-generation opportunity, and a generation should be lifted by opportunity—lifted out of poverty, out of unemployment and out of under-investment. We Opposition Members will fight like tigers to ensure that the games are a hand up for a community and not a handout for corporate sport. The Opposition know that our success will be judged not simply by the medals that we win, but by the lives that we change. We on this side of the House know that this festival of the Commonwealth games must be a festival of the civic gospel, too, which is why I turn to the father of the civic gospel: Mr George Dawson.

The story of George Dawson is not so well known today. He was a radical preacher—born in Portsmouth, I believe—who in the late 19th century made his home on Edward Street in the constituency of my hon. Friend the Member for Birmingham, Ladywood (Shabana Mahmood). From the pulpit he preached with extraordinary power, but he was the father of civic inventiveness in our city of Birmingham. He founded the arts club and the free Birmingham Daily Press. He was the driving force behind the Shakespeare Memorial library. He was determined to ensure that our new city of Birmingham was not simply a city that was a democracy, but a city that had a democracy of culture. That inspired the great words that still sit above the free Shakespeare library:

“The time has come to give everything to everybody”.

That democratic ethos is what should inspire our approach to the games.

George Dawson had an extraordinary congregation: around 12 of them went on to be city councillors and around six of them went on to be lord mayors, including one Joseph Chamberlain. Together, they ensured that at the end of the 19th century our city was known as the best-governed city in the world. That is the ethos that should shape our approach to this Bill. With that in mind, what would George Dawson say about the Bill that the Minister has presented to us this afternoon? Well, the first thing he would say is that the games should be built in a genuinely inclusive way. That is why my hon. Friend the Member for Batley and Spen (Tracy Brabin) says that we will try to amend the Bill to include our determination to ensure that the Commonwealth games is an accredited living wage employer. Why is that important to us? It is because, across our region, 571,000 people are paid less than what they need to live on. That is one in four workers in our region. Only one in 1,000 businesses in our region is actually accredited as a living wage employer. That is why we are determined to make sure that ours is the first living wage region in the country, and why we want to see the Commonwealth games lead the way. I hope that the Minister will agree to the amendment and not seek to have it voted down by Members on his Benches.

I hope that the Minister gets a chance to discuss this matter with Mr Lee Barron, our fabulous general-secretary of the TUC in the midlands, who is bringing together a Commonwealth collective to argue the case for a much stronger social charter, but accreditation of the living wage is absolutely front and centre of our demands.

Secondly, I hope that the Government will bring forward a report that ensures that, in the village, we will deliver at least 471 homes for social rent. Why is that important? It is because the number of homes that we have built for social rent in our region has fallen by 80% since 2010. We are building council homes so slowly that it will take us until 2052 to clear the council waiting lists. That is why I hope that, when the Minister comes to Birmingham, he will meet Saidul Haque and the Citizens UK team, which has been defining some of our demands to make sure that the village that we build on the games site is genuinely a village of homes that everyone can actually afford.

The third thing that I think George Dawson would have done in this debate is to quiz the Minister on how we make sure that the Commonwealth games genuinely creates a new foundation for disability sports. We are so proud that the Commonwealth games is coming to Birmingham, and we are also proud of the Royal Centre for Defence Medicine, which sits just seven miles south of the Alexander stadium. I hope that, when the Minister next comes the Birmingham, he will ask for meetings with people at the Royal Centre for Defence Medicine and with the Commonwealth games team to inquire how we can create a genuine foundation for the Invictus games in our city for years to come. The Commonwealth games has a proud record of inclusivity, but we want to use it as a catalyst for transforming the strength, power, depth and stretch of the teams and the facilities that we have in our city for disability sports.

Fourthly, let us try to make sure that the legacy of our Commonwealth games is not simply nice new facilities, but lives and a generation that are changed once and for all. Crucially, how do we use the games to bring forward a new generation of leaders? We have had cuts to the youth service in our region two and a half times harder than anywhere else in the country, so let us look at the money that the Chancellor announced for youth services— some £500 million over the years to come—and have £100 million of it in the west midlands. Let us put it together with the legacy team from the Commonwealth games and create a young Commonwealth leaders programme where, in every single ward in our region, we equip, train and give a platform to a young leader to show how we can bring together communities for the future, animated by that spirit that we have more in common than that which divides us. Let us bring forward the investment in a generation of young leaders who not just bring our community closer together, but strengthen the links between our region and those of Commonwealth countries.

Khalid Mahmood Portrait Mr Khalid Mahmood
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I appreciate what my right hon. Friend is saying about the young leaders programme. We have more than 160 nationalities living in Birmingham. The Commonwealth programme will be hugely welcome and hugely appreciated, but, more importantly, it will provide the leadership for the next generation, and I thank him for raising that.

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Liam Byrne Portrait Liam Byrne
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I am grateful to my hon. Friend, who represents one of the youngest constituencies in our country. His constituency has suffered greatly as a result of cuts to youth services over the past few years. Let us use the possibilities of the Commonwealth games to begin turning that around. The final thing I think Dawson would say if he were here is that we should use available tickets to reward our local heroes. That has been suggested by my hon. Friend the Member for Hornsey and Wood Green, and is one of the great ideas to come from the hosting of the Olympics. We in the west midlands would appreciate having the chance to honour the people who make the world of difference to the city and region that we share.

We are so proud to be a poster child of a diverse community that lives together well. We are so proud that we will have the eyes of 1.5 billion people on us. We want to dazzle them, not simply with the greatest Commonwealth spectacle of sport that the world has ever seen, but with the kind of society that we have helped to build—a society that is dedicated to the Commonwealth principles of democracy, tolerance, inclusivity and peace, a society that we will have built not just with words, but with deeds.

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Gary Sambrook Portrait Gary Sambrook
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I was worried for a moment that my hon. Friend was about to quiz me on my knowledge of clause 26—I was starting to panic—but I am sure the Minister will have heard his intervention.

As well as the neighbouring local authorities, Highways England has also complained about the impact the removal will have on local people. This is not just a party political point, or opposition for opposition’s sake; as proven by the comments of the hon. Member for Birmingham, Perry Barr, this is a cross-party issue that is really impacting on Birmingham. It is literally the only source of negative publicity around the games and unfortunately the only bit that is wholly the responsibility of the city council.

I am also concerned that the village will not provide enough social and affordable housing locally. The last figure I heard was that only 4% of the housing on the site was to be social housing, which was six percentage points lower than the 10%—

Liam Byrne Portrait Liam Byrne
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I think the latest figure is 22%, not 4%.

Gary Sambrook Portrait Gary Sambrook
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I thank the right hon. Gentleman—I will have a look afterwards. A couple of months ago, the figure was only 4%, but I will have a look at that.

Liam Byrne Portrait Liam Byrne
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Keep up.

Gary Sambrook Portrait Gary Sambrook
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I will do.

In conclusion, we need to ensure that the legacy of the games in Birmingham includes that ripple effect of regeneration around the city as far south as my own constituency and provides the jobs and skills we desperately need. Let us hope that the legacy does not include 40 years of debt for the city council because unfortunately it has been unable to manage a budget yet again.

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Nigel Huddleston Portrait Nigel Huddleston
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With the leave of the House, Madam Deputy Speaker, I thank hon. Members for their remarks and contributions and for the constructive tone of the debate on both sides. I shall endeavour to respond to as many of the matters raised as possible, but some may have to wait for Committee, which I am sure will be exciting.

The UK has a strong track record in hosting successful major sporting events. London 2012 is the most obvious example, but let us not forget that in recent years we have staged the 2014 Glasgow Commonwealth games, the 2015 rugby world cup, the 2017 world athletics championships, and the 2019 netball and cricket world cups, as well as the UCI road world cycling championships, to name but a few. I know that Birmingham 2022 will be just as successful and will rightly earn its place on this illustrious and growing list.

I welcome the cross-party support that the Bill and the games have received, both in this House and in the Lords, and the consensus across the House on the need to maximise the benefits of the games for our constituents, for Birmingham, and for the west midlands. We must remember that the games will be staged in record time. The organisers and, indeed, the House, need to be utterly focused on delivery of their contributions, and I am confident that we shall be. We can now all count down to the games in live time over the next 870 days, with the unveiling today of a countdown clock sponsored by Longines in the heart of Birmingham’s iconic Centenary square, as the hon. Member for Birmingham, Edgbaston (Preet Kaur Gill) mentioned.

The games will be a catalyst for change in Birmingham and the west midlands, and the benefits will be lasting—felt long after the 11 days of sport are over. We are working with games partners to secure a lasting legacy from the games that begins to benefit the region right now. In addition to the lasting physical legacy and fantastic facilities that the games will leave, the Government are working with games delivery partners and local stakeholders in the region to harness the power of the games to leave a wider social legacy. As well as being a catalyst for physical change in the city, our mission is to harness the power of the games to bring people together, improve health and wellbeing, help the region to grow and succeed, and put Birmingham and the west midlands truly on the map.

A wealth of opportunities will be created for the people of Birmingham as a result of hosting this event. As well as creating more ways to get involved in sport and culture within the local community, the games will create new jobs, volunteering positions and opportunities, particularly for young people, to develop skills, as mentioned by many hon. Members, including the right hon. Member for Birmingham, Hodge Hill (Liam Byrne), the hon. Member for Birmingham, Perry Barr (Mr Mahmood), and my hon. Friends the Members for North Warwickshire (Craig Tracey), for Wolverhampton South West (Stuart Anderson), for Dudley South (Mike Wood), and for Birmingham, Northfield (Gary Sambrook).

The organising committee intends to create a wide range of entry-level positions for apprentices and to establish an in-house training academy, which will host three cohorts from autumn 2020, January 2021, and April 2021. The Department for Education recently announced a £20,000 investment in Birmingham to encourage more young people to become volunteers and coaches in sports clubs and the local community in the run-up to the games. In partnership with the Spirit of 2012, the organising committee recently confirmed the launch of a new £600,000 west midlands challenge fund, which will award grants to local organisations that create projects that bring disabled and non-disabled people together to participate in arts and cultural activities.

The Government and all our games delivery partners are committed to delivering a fantastic, memorable and lasting legacy from the games. I am grateful to my hon. Friends for their insightful contributions on this matter. I will keep the House updated on progress. Before I respond to key matters raised in the debate—

Liam Byrne Portrait Liam Byrne
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When the Minister does so, will he clarify for the House whether anyone in his Department has told the organising committee that it should not become an accredited living wage employer? I tabled a parliamentary question on that, and it is fair to say that the answer was not crystal clear.

Nigel Huddleston Portrait Nigel Huddleston
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I shall indeed come on to those comments, and I am sure that we shall discuss them in Committee.

Before I respond to the questions asked by colleagues, I should like to praise the three maiden speeches that we heard, from my hon. Friends the Members for Redcar (Jacob Young) and for East Devon (Simon Jupp), and the hon. Member for Stockport (Navendu Mishra). I hope you will forgive me, Madam Deputy Speaker, but as a sports Minister, my key comment is “Back of the net, gentlemen!” They did a fantastic job, and their constituents will be proud of what they have done today. They have represented them well, and they were incredibly articulate.

My hon. Friend the Member for Redcar mentioned quite a few things that I was not expecting—California, Winkie’s Castle, and sustainability. We will all remember him forever for his hard hat, which I hope is on his official parliamentary picture for many years to come. My hon. Friend the Member for East Devon gave a clear warning that the Treasury can expect many requests for cheques from his constituents over the coming years, and the hon. Member for Stockport mentioned many things in his contribution, including Engels, football and hats. He also mentioned the inequality in his constituency, and I am sure that he will be a champion for his constituents for many years to come.

I turn to other contributions. The hon. Member for Paisley and Renfrewshire North (Gavin Newlands) commented on the Barnett formula. The UK Government contribution to the Commonwealth games budget is indeed subject to the Barnett formula, which the Treasury will apply in the normal way, as set out in the statement of funding policy—not in the way he wishes, but in the normal way.

The hon. Member for Washington and Sunderland West (Mrs Hodgson)—not surprisingly, as she is a great champion of these issues—commented on ticketing provision and enforcement. As she knows, the Government are committed to tackling fraudulent practices in the secondary ticket market and support the work of enforcement agencies in that area such as the Competition and Markets Authority, trading standards, and the advertising industry’s regulator, the Advertising Standards Authority.

We are working with the organising committee, local authorities, trading standards and West Midlands police to develop a co-ordinated approach to enforcing the provisions. More generally, the Government are working closely with national trading standards to ensure that they have adequate funding to tackle consumer detriment in the ticketing market. The hon. Lady and I, and others, will work on this phase over the coming weeks and months.

My hon. Friends the Members for Eddisbury (Edward Timpson) and for Gedling (Tom Randall) mentioned volunteering. Birmingham 2022 is committed to delivering volunteer programmes that are inclusive and diverse and that deliver a real and lasting legacy to the city, the region and the community. My hon. Friend the Member for Gedling spoke powerfully about his own experience in the 2012 games. He also mentioned games lanes. It is too early to say what temporary measures might be needed, but it is possible that temporary restrictions on sections of roads near games locations might be required. Any temporary measures will try to minimise disruption for transport users.

The hon. Member for Birmingham, Perry Barr and my hon. Friend the Member for Birmingham, Northfield both mentioned many other transport issues. I cannot answer all of them today and, of course, they know that some of those questions are largely matters for the local council, Birmingham City Council, and the combined authority to consider, but we will facilitate discussions, encourage co-operation where possible and engage with the Department for Transport and other bodies where appropriate.

With regard to the velodrome facilities mentioned by my hon. Friend the Member for Dudley South (Mike Wood), I understand that British Cycling is working with Birmingham City Council on research into the overall cycling facility needs in the west midlands. That research will be published in the coming weeks.

The hon. Member for Hornsey and Wood Green (Catherine West) and several others mentioned broadcasting. We know that the Commonwealth Games Federation and Birmingham 2022 are committed to ensuring that as many people as possible can access the games via their TV, mobile phone, computer screen and tablet. As it is a listed event, broadcasting rights for the Commonwealth games must already be available to the qualifying free-to-air terrestrial broadcasters. The games have had excellent live coverage for many years on free-to-air television. The organising committee is in the middle of a competitive commercial process with potential rights holders that cannot pre-empt the outcome of those negotiations.

Many Members raised the question of a hotel tax. As they would expect, there is a constant dialogue between Government and the council on all aspects of the games, including the budget. Birmingham City Council is committed to meeting its financial contribution for the games budget and it has published a plan for doing so without the need for a hotel tax. This will obviously be an ongoing debate, but it is worth noting that any new tax is ultimately a decision for the Treasury. It would also set a precedent, which we would have to consider carefully. Any such tax would also need to be balanced against the additional burdens on businesses in the hospitality sector, which, as we know, is facing challenging times at the moment. With my tourism hat on, I have to say that I am not convinced of the argument for a hotel tax at the moment.

With regard to the games village, we have confidence that all the games partners will play their part in delivering a truly world-class Commonwealth games in 2022. Birmingham City Council is currently finalising its full business case for the village, and a review of anticipated expenditure and funding arrangements is due for discussion by its cabinet on 17 March. I would like to reassure the House that we continue to work closely with the council and the rest of the partners to ensure that we have a great games.

Several Members raised the question of the living wage. I am confident that the games are already setting an excellent example on fair pay. The organising committee’s pay scales are set in line with civil service pay rates and all direct employees of the organising committee will therefore be paid above the level of the Birmingham living wage, and of course, all organisations awarded games contracts will be required to pay at least the Government’s national living wage. I am pleased to say that the national living wage is set to receive its biggest cash increase, rising by 6.2% from 1 April. Alongside this, we also need to consider the wider picture, which I have mentioned earlier, and we are ensuring that there will be lasting benefits for those living and working in the region, with many skills-enhancing opportunities.

There is a real commitment to ensuring that sustainability is a key pillar of the planning and delivery of the games. The organising committee has signed up to the UN sports for climate action framework, which aims to combat climate change and raise global awareness and action through sport. This is a proud first for the Commonwealth games movement and a key commitment to working towards our global climate change goals. The organising committee is in the process of developing its sustainability strategy for the games, and it will be released in the spring.

Regarding sponsors, the House will agree that it is critical that we raise sponsorship for the games in order to manage the public sector investment. Securing sponsorship and granting authorisations to associate with the games are a matter for the organising committee. It is still early days in terms of securing sponsorship partners, with three announced to date, but I would like to provide reassurance that my Department is in active discussions with the organising committee on the importance of promoting the games and their value through its sponsorship programmes. All potential sponsors will have to demonstrate their alignment with Birmingham 2022’s vision and mission, and an ongoing commitment to social values set out in the organising committee’s social values charter.

This is clearly a great opportunity for the United Kingdom. There is already great excitement and interest in the games not only in Birmingham and the west midlands but right across the country. We have many matters still to discuss, and I am looking forward to working with Members across the House in Committee to ensure that this important legislation reaches the statute book very shortly.

Question put and agreed to.

Bill accordingly read a Second time.

Birmingham Commonwealth Games Bill [Lords]

Liam Byrne Excerpts
Report stage & 3rd reading & 3rd reading: House of Commons & Report stage: House of Commons
Thursday 11th June 2020

(3 years, 9 months ago)

Commons Chamber
Read Full debate Birmingham Commonwealth Games Act 2020 Read Hansard Text Read Debate Ministerial Extracts Amendment Paper: Consideration of Bill Amendments as at 11 June 2020 - large font accessible version - (11 Jun 2020)
The last time that I was aware of it, the Treasury had significant ambitions for productivity improvements in our country. I simply say to the Minister that if the Treasury wants to improve productivity in the UK, it needs to think first and foremost about those at the bottom end of the labour market, who are earning the least. It should ask itself the question, in the context of the Commonwealth games: if we raised our sights and ambitions for people’s wages, would they not have a bit more time to engage in training and development and give themselves a better chance of earning more in future, and more broadly, would it not do the right thing for our country and improve our labour market and economy? It might seem like a big ambition for the Commonwealth Games to have such a positive impact on our labour market, but I think that in sport and in everything else, ambition is nothing to be sorry about.
Liam Byrne Portrait Liam Byrne (Birmingham, Hodge Hill) (Lab)
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I will speak in favour of new clause 1 in slightly blunter terms than my hon. Friend the Member for Wirral South (Alison McGovern). The message to the Minister is pretty simple: this is his last chance to tell the House that he shares our ambition that the Commonwealth games organising committee will be accredited as a real living wage employer. He has hummed and hawed about this throughout the passage of this Bill and during his time as a Minister. Today is decision time, and we are looking for a clear commitment from him that the organising committee will be accredited as a real living wage employer.

The Commonwealth games, as my hon. Friend said, is an extraordinary opportunity for our city at an extraordinary time. It will be the greatest Commonwealth games that we have ever seen. I join others in putting on record our profound thanks not only to the chair, John Crabtree, and Mr Ian Reid and the team, but to Ian Ward and Yvonne Davies and the teams at Birmingham and Sandwell councils, as well as the team at West Midlands Combined Authority, for doing the impossible—bringing forward these games in four and a half years, against a timetable of normally seven years, which is what it normally takes to put a Commonwealth games in place. They stepped up when Durban stepped out, and that is why we will be the host—because people were prepared to have that ambition for the festival that my hon. Friend spoke of.

Opposition Members know that we will be judged not just by the medals that we win, but by the lives that we change. This great festival of Commonwealth sport is also for us a great festival of civic spirit. It is a chance for us to reanimate the spirit of one of the great founders of our city, the most extraordinary civic entrepreneur of the 19th century, Mr George Dawson. He was the author of the civic gospel and he inspired six Lord Mayors, including someone called Joseph Chamberlain. He was one of the reasons why we became known as the best governed city in the world, but one aspect of his genius was that he knew that culture, like sport, should be an entitlement for all, not just a privilege for some. But that civic spirit that we want to celebrate with great pride demands that the Commonwealth games organising committee is accredited as a real living wage employer.

Why is this important? Because 571,000 people across our region are paid less than they actually need to live on each week, including, I might say, many of the carers we have been clapping for every Thursday night. Let me tell the Minister the real-world consequences of living in a place where about one in five people are not paid enough to live on. It means that, in constituencies such as mine, more than half of children grow up in poverty. Fifty-three per cent of the children in my constituency live a life of poverty. That means that during the summer holidays, the food banks run out of food—literally. In the second city of the fifth or sixth richest country on earth, food banks are running out of food because people are not paid enough to live on. I challenge the Minister to stand, as I have done, in a food bank in Birmingham and watch the little arms of a nine-year-old boy strain as he picks up the food bags to help his mum carry them home. I ask the Minister to tell me that that experience is not going to scar that child for life, and tell me how many thousands of children in our city, Britain’s second city, are in exactly that position, because so few people are paid enough to live on.

Across our region, only one in 1,000 businesses are accredited as real living wage employers. We need all of them to be accredited, and if we are to achieve that, we need to set an example and that example—the best example available—is the Commonwealth games. That is why we need the organising committee to accredit as a real living wage employer.

The time has come in this debate for a bit of honesty. We know that officials from the Department for Digital, Culture, Media and Sport have said to the organising committee, “Please don’t accredit as a living wage organisation, because it undermines the case that the Government’s so-called living wage is not enough to live on.” Well, as my hon. Friend the Member for Wirral South brilliantly rehearsed, the so-called living wage that this Government introduced is not a living wage; it is a living lie. It is £8.72 an hour, which is not enough to live on. What people need per hour to live on is not £8.72, but £9.30. I know that that 58p per hour does not sound a lot to many people in this Chamber, but over the course of a 40-hour working week, that is worth £23 a week. That £23 extra income a week makes a difference when it comes to taking decisions on heating and eating. That £23 a week extra in the pocket of my constituents lifts children out of poverty; it actually allows people to live. That is why this debate is so important.

We have offered this new clause to the Minister. I am full of hope that he will stand up and cut the argument away from me, by saying that he agrees with it and that the organising committee must now accredit as a real living wage employer. Let me warn him that, if he does not, over the next year, as he knows, I will be mounting something of a political campaign across the west midlands. If this Government refuse to take on board the new clause, I will hang that decision around every Conservative running for office next year in the west midlands from the Mayor down. This is an opportunity for the Government to do the right thing—the right thing against the judgment of history, the right thing for the people of the west midlands and the right thing for those who live their lives in poverty today.

Catherine West Portrait Catherine West (Hornsey and Wood Green) (Lab)
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May I say how pleasing it is to hear us debating this Bill yet again, as we did in Committee when I was the shadow Sports Minister? I congratulate my hon. Friend the Member for Wirral South (Alison McGovern) for doing such a wonderful job of promoting sport, particularly women’s sport, through her Twitter feed. One of the exciting things about the Commonwealth games is that women’s sport will be up in lights. For the first time in the Commonwealth games, we will have women’s cricket, which will provide a fantastic backdrop and a great example for the many girls who live not just in the midlands, but across the UK, as it will enable them to think of themselves as potential first XI players for the women’s cricket team and even to play internationally.

Following my visit to Birmingham, I want to put on record my thanks not just to my right hon. Friend the Member for Birmingham, Hodge Hill (Liam Byrne), who has already spoken today, but to the team at Birmingham City Council, who are the best example of municipal pride, putting on a wonderful show for visiting Members of Parliament. We saw all the exciting preparations going on around the stadium and the swimming pool—that was particularly exciting for me as chair of the all-party group on swimming—which will be finished in Sandwell in time for the 2022 Commonwealth games.

As the Bill has made its passage through the House, this has been a really important time to debate principles in sport: not just ticket touting and how ticketing will be done properly for the Commonwealth games, which I am sure the Minister will come to, but gambling issues and the promotion of alcohol, where the games can promote best practice in stopping some of those rather negative images seen throughout the sporting world.

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Nigel Huddleston Portrait The Parliamentary Under-Secretary of State for Digital, Culture, Media and Sport (Nigel Huddleston)
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I thank the hon. Member for Wirral South (Alison McGovern) for tabling the new clause and congratulate her and the hon. Member for Cardiff Central (Jo Stevens) on their appointments to the shadow ministerial team. I look forward to working with them in the run-up to the games and on many other issues. I also thank them for the constructive way in which we have already discussed many issues, which has proven that sport can indeed be a great unifier. Long may that continue.

Members of the House may know that, as an arm’s length body of Government, the Birmingham 2022 organising committee has its pay scales set in line with civil service pay rates. All direct employees of the organising committee are paid above the level of the Living Wage Foundation’s rates. While these rates do not apply to the organising committee’s contractors, I am confident in the steps being taken across the partnership to ensure that an excellent example is being set, and will be set, on fair pay. Of course, all employers must pay at least the national living wage, which has recently risen to £8.72 for the over-25s, and the Government have set an ambition for that to rise to £10.50 by 2025, should economic conditions allow.

Let us not forget, as the right hon. Member for Birmingham, Hodge Hill (Liam Byrne) seems to have done, that under Labour in 2010 the minimum wage was £5.93, compared with £8.72 now. The tax-free allowance was £6,475 under Labour; it is now £12,500. There is a party and a Government that have taken quite a lot of action on raising the standards and wages of the lowest paid in society, and it is the Conservatives. That is a record of which I am proud. Much as the hon. Member may wish to talk about the efforts that he would like to make to raise the living standards of the lowest paid, perhaps he would like to take action. The reality is that, in government, it is the Conservatives that have taken more action than his Government did.

Liam Byrne Portrait Liam Byrne
- Hansard - -

I am proposing some action that the Minister can take this afternoon. He could tell us whether he is confident, as he just said a moment ago—I think “confident” was the word he used—that contractors across the supply chain will be paid more than £9.30 an hour. Will he just tell the House whether he hopes that the Commonwealth Games organising committee can accredit as a real living wage employer? A simple yes or no will be fine.

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - - - Excerpts

I expect—in fact, the Government require—all employers to pay at least the national living wage. That is Government policy. I respect the right hon. Gentleman’s goals and ambitions, but I wish he would stick to the reality of what actually happens in government, rather than playing politics in terms of conversations and ambitions.

In the aftermath of covid-19, the games will be more important than ever in supporting the economic, cultural and social renewal of the west midlands. There will be more than £300 million in procurement contracts for local businesses, support for thousands of jobs and an integrated trade, tourism and investment programme, which will help to ensure that the games are at the heart of recovery efforts across the region.

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - - - Excerpts

As I said, the Government’s policy is already for a national living wage. That is Government policy. I understand the ambition and intent of the Opposition. It is the same as the Government’s: to raise the living standards of the lowest paid in society, and that is what this Government are delivering on, instead of just talking about it.

In 2020 alone, £145 million-worth of contracts will be available, with the organising committee continuing to promote these in recent weeks through webinars involving the local chambers of commerce. The trade, tourism and investment programme will showcase the best we have to offer a global audience and strengthen our economic ties with our friends right across the Commonwealth. It will be supported by £21 million of Government funding, ensuring that we can take advantage of the economic opportunities created by the games to deliver on the ambition that Opposition Members have just talked about. The Mayor of the West Midlands, the fantastic Andy Street, also announced just a few weeks ago that the West Midlands Combined Authority had launched a new Commonwealth jobs and skills academy to improve regional skills and employment opportunities through the games. This will be underpinned by a further £1 million of public money.

Liam Byrne Portrait Liam Byrne
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Will the Minister give way?

Nigel Huddleston Portrait Nigel Huddleston
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I will give way to the right hon. Gentleman one final time.

Liam Byrne Portrait Liam Byrne
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I am grateful, but if the Minister refuses to answer the substance of the argument, I will keep seeking to intervene. While he is on the subject of not playing politics and celebrating the role of the Mayor, will he confirm to the House whether the Mayor of the West Midlands has written to him to ask him to ensure that the organising committee accredits as a real living wage employer? Has the Mayor written that letter—yes or no?

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - - - Excerpts

I have no reason to respond to the right hon. Gentleman’s comments. I have a regular and very constructive dialogue with the Mayor of the West Midlands, who is doing everything he can to ensure that the games are highly successful. He has been absolutely pivotal in the success achieved to date, and will continue to do that for as long as he is in office—hopefully for a much longer period of time.

Let us not forget that the Birmingham 2022 games will be the first Commonwealth games with a social values charter. Accordingly, the organising committee has ensured that its procurement processes place added value on promoting those values. Added weight is being given to those companies that prioritise local employment opportunities and skills development. Alongside that, work continues to ensure that local organisations and voluntary, community and social enterprises can benefit from the opportunities of the games.

The best way to improve the economy and pay in the west midlands is to invest in skills and support business growth, which is exactly what the Commonwealth games programme will do. I hope that with those assurances, and taking into account the significant economic uplift that the games will generate for the local and regional economy, the hon. Member for Wirral South sees fit to withdraw her new clause.

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Alison McGovern Portrait Alison McGovern
- Hansard - - - Excerpts

I welcome the hon. Member to the House. He has worked in the service of a city and a region of our country that is one of the finest anywhere, so I applaud his work in that. I simply disagree with him. I am sure he is right about the situation that tourism businesses are in. The problem is that we need local authorities to be sustainable, so that they can provide the environment in which those tourism businesses can succeed.

Liam Byrne Portrait Liam Byrne
- Hansard - -

Sometimes it helps to read the clause. If a £1 per night levy will be a significant deterrent for the hotel industry, why is such a tax in place in Austria, Germany, France, Spain, Greece—in fact, most of western Europe? Has it been a significant deterrent to hotel stays in western Europe, in my hon. Friend’s experience?

Alison McGovern Portrait Alison McGovern
- Hansard - - - Excerpts

In my experience, it has not. My right hon. Friend makes an extraordinarily good point. What I think is a deterrent to the tourism industry is when local authorities cannot afford to fund the things that make events like this a success. Local authorities need the ability to make these events sustainable.

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Alison McGovern Portrait Alison McGovern
- Hansard - - - Excerpts

I am sure the hon. Lady wants to defend hotels and tourism, as I do, but I simply make the point that I made previously: local authorities are crucial to making sure that the tourism and visitor sector is successful in Birmingham and other boroughs in the west midlands, and everywhere in the country that has a significant visitor economy. The level of austerity and the funding cuts that local authorities have borne to date have been significant and are causing problems and challenges for our ability to host such events. This is a modest proposal in pursuit of the sustainability of such events.

Liam Byrne Portrait Liam Byrne
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Is my hon. Friend aware that the Birmingham Hippodrome made significant job cuts this week, that the Birmingham Rep is running a significant deficit this year, and that the Birmingham Museum and Art Gallery is also running a significant deficit? Is she also aware that a crisis in the cultural sector is breaking upon us now? Those institutions will be coming to the Secretary of State next week to ask for his help, so he has a choice: either he can find the money himself or he can support small, common-sense measures such as this.

Alison McGovern Portrait Alison McGovern
- Hansard - - - Excerpts

I was not aware of the specifics, though it is no surprise to me, because I am aware of the situation in the cultural sector right across the country. My right hon. Friend knows very well that the art collection in Birmingham city is one of my favourites. It is a brilliant art collection that will do a great deal for the cultural offer alongside the Commonwealth games. It is a reason people go to Birmingham. Without funding, such things cannot be sustained, and their loss would fatally undermine the tourism offer in cities up and down our country. Again, I simply say to Government Members that this is a modest proposal. Do they think, at this point in time, that the Treasury and the Conservative Government could do with a few modest proposals to bring in a small amount of income? Might the Minister not therefore consider this seriously?

Finally, it is important that we have proper metrics and measures to assess the economic impact of these games. It could be substantial—it could be substantially positive for the economy—so will the Minister commit to discussing with me a set of metrics that we can agree on to monitor the economic impacts of the games on all the various sectors that Members on both sides of the House have discussed, so that we can make the case that cultural and sporting events do properly benefit the economy? Will he consider this fully and take seriously the question of sustainability for the tourism and visitor economy, which at the moment should be at the heart of all our concerns?

Liam Byrne Portrait Liam Byrne
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I, too, wish to speak in support of new clause 2; we would be content this afternoon with a commitment from the Minister that he will explore this proposal with the Chancellor in the spending review, which we know is forthcoming.

I shall give some numbers, because I think they will help this debate. The total cost of the Commonwealth games is about £778 million, about three quarters of which is being provided by Her Majesty’s Government. Some £184 million is coming from Birmingham City Council and its partners, with £25 million going towards the Alexander stadium from the combined authority, plus a further £165 million going to kick-start the housing development, including the athletes’ village, from the combined authority.

I say that because the Minister will be aware of two significant risks to the local contribution, which makes up about a quarter of the budget. First, there is a risk to the local government contribution. At the beginning of the coronavirus crisis, the Prime Minister and the Cabinet said to local authorities up and down the land, “Do whatever it takes to get through this crisis, keep the receipts and we will pay you back on the other side.” The House will be amazed to learn that the deal is now beginning to unravel and the Minister’s Cabinet colleague in the Ministry of Housing, Communities and Local Government is beginning to query whether all the bills will be paid. In a city such as Birmingham, that means we could be confronting a deficit of £164 million this year. That is why the Minister has an obligation to take steps now to de-risk the local contribution to the games.

It is not just Birmingham City Council that is in jeopardy; the combined authority is, too. We revealed just a week or two before the elections were postponed that the Mayor’s budget has a £1.2 billion black hole in it. He has made commitments £1.2 billion in excess of the funds he has available. That is because he failed to get his precept through, he failed to get any movement on supplementary business rates and the funding that was going to novate from the local enterprise partnerships to the combined authority has not come through. In addition, there is a £700 million funding gap on the transport plan, because the Department for Transport is beginning to query some of the transport schemes. The broad point I want to make is that coronavirus has created a significant risk to the local authority contribution, and it would appear that there is a significant risk in respect of the combined authority as well.

Gary Sambrook Portrait Gary Sambrook
- Hansard - - - Excerpts

On the point of commitment, it is cheap to try to bring coronavirus into this, given that we were having this discussion about the city council’s contribution before the pandemic started. I have to remind the right hon. Gentleman that it was the leader of the council, in order to get the Birmingham Commonwealth games through his own group, who made the commitment that the contributions of the city council would not have an impact on the revenue budget. He has gone back on that commitment, one that many Labour councillors are very annoyed about. So does the right hon. Gentleman share my disappointment in the leader of the council who cannot keep his own budget in order?

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Liam Byrne Portrait Liam Byrne
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I can scarcely believe what I have heard this afternoon. This council has had its budged halved by this Government over the past 10 years, yet its area is home to some of the worst deprivation in the country. The leadership of the council in the past few years have been miraculous, given the challenges that they have had to go through. They have gone over and above that, helping the country out by offering to host the Commonwealth games when Durban pulled out, and we should be grateful for that, not curmudgeonly, like the hon. Member for Birmingham, Northfield (Gary Sambrook). He should be less curmudgeonly and more welcoming of the leadership the city is providing.

I do not want to let hon. Members escape from the substantial point we are confronting now and going forward. Coronavirus has created a fiscal risk to the city that totals about £164 million, because of the umming and ahhing from the Ministry of Housing, Communities and Local Government. That is not unique to Birmingham. The Local Government Association and Tory and Labour Members alike have written to the Government about this situation. One way we can de-risk it a bit is to have a pilot scheme in which a £1 levy on hotel rooms is created to help to fund some of the brilliant cultural work that needs to go on around the Commonwealth games.

Just so that hon. Members know, we have two risks coming up in the west midlands. The city of culture in Coventry has now been moved from January to June next year and that will run straight into the Commonwealth games, which will start in the summer of 2022. Frankly, it will be a pretty thin affair if all of the cultural institutions in the west midlands have collapsed. I say to the Minister today that they are on the brink of collapse now. The Hippodrome is already firing people. The Rep, which is a signatory to the letter to the Secretary of State from UK Theatre, is running a serious fiscal deficit. Birmingham Museum and Art Gallery is also looking at a serious deficit. In fact, when I convened a meeting with Culture Central from the west midlands last week, they were all reporting significant deficits.

I know that the Minister, because he is a responsible sort, will be working on a rescue plan for the cultural sector. I know that he is going to have difficult conversations with the Chancellor and the Chief Secretary to the Treasury. I know what the other side of those conversations looks like, because I had them with Department for Digital, Culture, Media and Sport Ministers in my time. The Minister’s arm will be strengthened if he is able to bring to the table imaginative proposals such as that in new clause 2. We are not asking for the moon; we are asking for £1 a night. That could, across the region over the course of four or five years, create a fund of about £4 million or £5 million, which could offset some of the costs that are needed and help to save the magnificent cultural institutions in Britain’s second city.

Catherine West Portrait Catherine West
- Hansard - - - Excerpts

My right hon. Friend is making some excellent arguments. Does he remember that during the London Olympics—as a London MP, I remember this well—a series of MPs went to the Government to say that it was an extra thing for our city and therefore more resource, ideas, innovation and creativity were needed? The west midlands taxpayer cannot fund the whole project, so it is well within the remit of every MP in the region to be asking the Government for specific help and this proposal is a particularly imaginative solution.

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Liam Byrne Portrait Liam Byrne
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My hon. Friend is absolutely right. It could be that the Minister has a better plan, in which case now is the time to set it down. The letters from the cultural sector are coming to him next week. I hope they will be signed cross-party, because we share an interest in the rich cultural life of Britain’s second city. If this is not the way forward, I ask him please to tell us a better way. If there is not a better way, I hope he will accept new clause 2.

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - - - Excerpts

We have discussed the issue of a hotel tax at great length during the Bill’s passage, but may I first say that I completely support and appreciate the comments on the importance of the tourism sector made by the hon. Member for Wirral South (Alison McGovern) at the beginning of her speech? It has perhaps not been recognised as so important partly because of the fragmented nature of the industry, but I assure her that I consider the tourism sector to be of great importance and will be doing everything I can to support it.

The Government have always been clear that the Bill is not an appropriate vehicle for a proposal such as the hotel tax. It is not a money Bill; that would be for Her Majesty’s Treasury to bring forward. My colleagues in the Treasury have been crystal clear that any case put forward for a hotel tax would need to be fully costed, including balancing the additional burdens on businesses. In any event, were such a tax to be introduced solely for the duration of the games, it is estimated that it would raise for Birmingham City Council about £4.5 million to £5 million for the whole year. That would be only a small part of the financial contributions owed by the council and its partners to the games. The right hon. Member for Birmingham, Hodge Hill (Liam Byrne) mentioned the £184 million contribution from Birmingham City Council, and of course central Government will contribute nearly £600 million directly.

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - - - Excerpts

I do not believe that the proposal should be taken forward for a variety of reasons. The discussion about the financials of the Commonwealth games was sorted out and agreed some time ago—and it is still agreed.

We should consider the wider context. The tourism and hospitality sector has been impacted by covid-19 and the Government are focused on doing what they can to support the sector throughout this challenging period. As my hon. Friend the Member for Dudley North (Marco Longhi) said, I cannot see how an additional tax would help. Only a few moments ago, the right hon. Member for Birmingham, Hodge Hill lectured me about the importance of £1 and what a big difference that would make. Now he tells me that it is trivial. Which is it? It would not just be £1; it would be another pound and another and another. The potential for incremental increases in that kind of taxation is dangerous.

Liam Byrne Portrait Liam Byrne
- Hansard - -

I respect the economic argument that the Minister tries to make, but the proposal is for a pilot scheme, which can be governed jointly, that delivers a £1 a night tax. A pound a night in the context of the average hotel bill in Birmingham is frankly pretty insignificant, but across a spectacle as grand as the Commonwealth games, it could mean a significant amount of money. If the Minister has got a better way of de-risking what is now a dangerous fiscal situation for the Commonwealth games, let us hear it.

Nigel Huddleston Portrait Nigel Huddleston
- Hansard - - - Excerpts

I will come on to the financial contributions in a moment.

The new clause would or could inadvertently discourage people from staying overnight in Birmingham and the west midlands at games time—the very time we want to welcome the world to the west midlands and when the region is doing whatever it can to increase visitors and the opportunities generated by the games. On top of that, even though we do not charge a tourism tax in the UK, we charge full VAT on hotel stays, which many other countries do not. Many other countries do not charge full VAT rates on hospitality and leisure.

Furthermore, local authorities have a range of existing revenue-raising and fundraising powers that they could explore to support them to meet financial contributions that are associated with events such as the Commonwealth games. Most important, the council has always been clear that it can and will deliver its financial commitments to the games without the need for a hotel tax. As ever, we remain in close contact with the council on all aspects of the games, including the budget. It is also worth noting that early analysis of the financial impact of covid-19 has demonstrated that the additional costs arising from the pandemic can be met from the existing games budget.

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Andrew Mitchell Portrait Mr Mitchell
- Hansard - - - Excerpts

I will start where the hon. Member for Wirral South (Alison McGovern) finished, but before I do I congratulate both Front Benchers on, if I may use a sporting analogy, being thrown in the deep end in order to take the Bill through. They both spoke really well about the importance of the games and of the Bill. They also both look very fit and well following the dreadful lockdown, which has affected us all. I may be stretching a point, but perhaps we will see them both training in Sutton Park, which will play such an important part in the games.

The Bill provides an optimistic and encouraging moment because, as the hon. Lady said, it gives us a chance to look beyond the acute challenges that our country is facing at the moment and is genuinely something to look forward to. Boy, are we going to need it. Quite apart from the games, the sport, the fun and the excitement, all of which mean so much to so many people around the world, for us in the west midlands it is about the boost to our local economy, which we all know we must maximise. It is a once-in-a-generation opportunity to create thousands of jobs, new homes and a massive improvement to the public realm.

At a local level in Sutton Coldfield, we are delighted that our historic park is going to come into active use. It is the place where King Henry VIII used to hunt and where soldiers undertook their training in trench warfare before heading off to the western front in the first world war, and it was also visited by Her Majesty the Queen and 30,000 others to celebrate the 50th anniversary of the scouting movement in 1957. In Sutton Coldfield, we will proudly host the triathlon for the games.

In a virtual meeting with the leadership team of the Birmingham 2022 Commonwealth games, I was pleased to hear about the progress. Nearly three quarters of a billion pounds is involved, and it will leave a tremendous legacy. Locally, I was pleased to hear from the leadership of the Commonwealth games committee that co-operation with Royal Sutton Coldfield Town Council under its leader Simon Ward has been going so well.

My constituents will hopefully benefit greatly from the improved infrastructure in our park, which I believe is the largest municipal park in Europe. It will improve the facilities to be used, including for future events. The gain is not just for businesses locally, but for jobs, community projects and volunteering. The games will require 10,000 local volunteers to welcome people from all over the Commonwealth, as well as to perform in the opening and closing ceremonies and to host athletes and teams at sporting facilities for training purposes. In Sutton Coldfield, we are deeply grateful for the opportunities and very excited by the prospects.

We need to ensure, as the Minister made clear, that all the different organisations involved play their part and work together from now on until the games open. I have worked extremely closely over the past three months with Birmingham City Council and, in particular, with the right hon. Member for Birmingham, Hodge Hill (Liam Byrne). He and I co-chair a committee that tries to bring together all the local interests in order that we can tackle some of the problems that affect us across Birmingham.

I will leave others to underline the importance of the council’s role and local government, if I may. Instead, I want to refer to the role of the Mayor and the West Midlands Combined Authority, which is absolutely crucial both for the games and for the legacy. I have seen what the London Olympics have done for the east end of London. In particular, through the legacy that went on afterwards, including with the International Inspiration programme chaired by Lord Coe, I saw the huge ability of sport not only to energise children and improve education, also to help health, education and vaccination in the developing world. There is a huge importance to focusing on the legacy that will follow in all its many forms.

I salute the efforts of Andy Street, our Mayor. He was teased, I think, by the right hon. Gentleman earlier about the so-called black hole in the budget. I have said to you, Madam Deputy Speaker, that I have, through the miracles of modern technology, been able to elicit a response from the Mayor. He said this:

“There is no black hole. Every year, the West Midlands Combined Authority has lived within its budget—both in-year finances and also within investment ceilings. It has been well managed and for example at last week’s board the annual finance review was fully accepted. Citizens of the west midlands have not paid a penny for a Tory mayor, but over £2 billion of new Government cash has been brought into the region since Andy Street was elected. Yes, we are still short of funds for some investments, but they are steadily closing as further new investment comes in.”

Those are the other words of Andy Street, delivered through me to the House on this important point this afternoon.

Liam Byrne Portrait Liam Byrne
- Hansard - -

That was a fantastic defence of the Mayor, and it only lacks the very best wishes conveyed to the Mayor of the West Midlands on the occasion of his birthday today. None the less, all I would ask by way of intervention is for the Mayor to speak to his finance director, because during the transition talks before the mayoral elections were cancelled, it was not my analysis that revealed the £1.2 billion black hole; it was the analysis of his finance director. Admittedly, it took her three weeks to crunch the numbers and produce that figure. This is a gentle ask, I suppose, that we work together to try to repair this rather large hole that the WMCA finance director herself has identified.

Andrew Mitchell Portrait Mr Mitchell
- Hansard - - - Excerpts

It is extremely decent of the right hon. Gentleman, given his current position, to send his best wishes to the Mayor on his birthday. I am sure the Mayor will receive them, if not from one of us Conservative Members then over the airwaves. I reassure the right hon. Gentleman and the House that the Mayor of the West Midlands needs no lectures on financial success, financial ability or financial probity: he ran John Lewis, one of the most respected and most brilliant retail organisations in the country. I have no doubt whatsoever that we are all grateful for that experience, which he is sharing with the people of the west midlands through his mayoralty.

The Mayor has personally lobbied for £21.3 million to support the TTI—tourism trade and investment—programme to maximise the Commonwealth games opportunity, and that is, of course, in addition to the Mayor’s pivotal role in securing for Perry Barr, in respect of the games, £165 million of housing infrastructure fund money, which will help to regenerate a swathe of north Birmingham and leave a legacy of additional housing. All that was agreed in the March Budget this year, and last week, on 5 June, the West Midlands Combined Authority signed off a further £2.6 million as a regional contribution to the programme.

Given the current economic impact of covid-19, all that will have even greater significance, as it will enable us to raise the profile of the region’s businesses and to promote trade and work to secure jobs. In that respect, I particularly welcome the focus that the Mayor, the WMCA and all its partners have placed on using the opportunity of the games to accelerate and improve regional skills and employment opportunities. To help to achieve that, we have the new Commonwealth jobs and skills academy; the Mayor has put £1 million of the devolved adult education budget into funding technical skills for the development for the games.

The £100,000 skills hub in Perry Barr, in partnership with the main contractor, Lendlease, is very encouraging. We know that the construction industry in our region will need 50,000 more trained staff by 2030. The hub, funded by the WMCA, offers local people free skills training and a guaranteed job interview once a 20-day course has been completed. We hope the programme will help 4,600 young people and 2,600 unemployed people to gain skills, experience and then jobs. The games will also benefit, along with the rest of us in the region, from the wider transport investment programme that the Mayor is promoting, including the expansion of the metro network and investment in the rail network.

Having looked at severely local and regional aspects and aspirations, I wish to end by considering the international dimension, to which the hon. Member for Wirral South referred towards the end of her speech, and the Commonwealth itself. By ensuring that the world-class games succeed and bring pleasure to millions, perhaps billions, of people around the globe, Britain underlines the community of nations that is the Commonwealth. It is a north-south organisation, a family of countries co-operating in many different ways. At a time when narrow nationalism is rampant and the case for the international rules-based system is severely on the back foot, let us hope that the games will remind us all that we have much to gain from international co-operation and much to lose when the structures that sustain it breakdown.

Liam Byrne Portrait Liam Byrne
- Hansard - -

What a marvellous opportunity to follow a marvellous speech, which I felt hit almost all the right notes.

The Commonwealth games that we will host in Birmingham in the West Midlands will be the greatest Commonwealth games that the world has ever seen. It will be not only the most spectacular festival of Commonwealth sport, but a magnificent festival of our civic spirit—the civic spirit that helped to build our city in the 19th century and propelled our city to become the second city of this nation. I very much hope that the games will not be the last word in the renaissance of culture and sport in our region; they will be just a first step.

If there is one ideal that I hope we can put centre stage, it is the words that Jo Cox gave us: that we have more in common than anything which can ever divide us. I hope that will be the animating spirit of these games. As the youngest city in Europe, I hope we can use that ethos and ethic to act as an inspiration for a revolution in the youth work we have across our city. On Second Reading, I called for the creation of a young Commonwealth leaders’ programme, because, as a city of 160 different nationalities, we need to look to the next generation to help lead the business of bringing a diverse city together to live and play well. I hope we will find it in ourselves to put youth workers back in every ward, with safe spaces for our young people, to connect the inspiration of “more in common” to the great, animating festival of the Commonwealth games so that a young generation will work not only to bring our communities together but to strengthen the relationships in Birmingham and the west midlands with Commonwealth countries around the world. I am grateful to the high commissioners from around the Commonwealth who have begun to talk through that programme with me.

I hope that these games are the catalyst for a transformation of disability sports. As many people know, our city is home to the Royal Centre for Defence Medicine: a place that, frankly, works miracles. I hope that in due course we can bring that centre together with the Commonwealth games team to create, in our green heart of Britain, the great new centre for the Invictus games for the years to come. That is a practical thing that we could do quickly and well.

I hope that these games are the catalyst for an extraordinary cultural renaissance in our part of the world. We are looking forward to an extraordinary decade with not just the city of culture in Coventry, starting most likely in June next year, but the Commonwealth games and then the arrival—when it is finally built—of High Speed 2. There could be an extraordinary transformation of the cityscape in our city region. As the right hon. Member for Sutton Coldfield (Mr Mitchell) said, this is an optimistic moment and the Bill will give the decade an extraordinary kick-start.

John Spellar Portrait John Spellar (Warley) (Lab)
- Hansard - - - Excerpts

Following on from what my right hon. Friend and the right hon. Member for Sutton Coldfield (Mr Mitchell) said, this Bill is of enormous importance not only for the future of Birmingham and the wider west midlands but for the here and now. As we face a tidal wave of redundancies, this boost to the construction sector, keeping our construction workers in work now, will be enormously important for the long term.

Liam Byrne Portrait Liam Byrne
- Hansard - -

My right hon. Friend is absolutely right, and that is the second big point I want to make. This is a partnership. I am grateful for the investment that the Government have made, which will not just help unlock the greatest festival of Commonwealth sport that we have ever seen but bring 5,000 new homes to the constituency of my hon. Friend the Member for Birmingham, Perry Barr (Mr Mahmood), who I know is watching us. That gain, however, would not be happening without the leadership of Ian Ward and the team at Birmingham City Council. Together, the city council is putting in about £184 million. It had the political courage to step up to the mark when Durban pulled out. Given the halving of Birmingham’s budget in the last 10 years, that was a brave act, a courageous act and a wise act. We will be grateful for that political decision for decades to come.

My right hon. Friend puts his finger on something critical. In the debate we just had on new clause 2, the Minister did not betray much sense of how the world had changed. I hope he will reflect on that remark and what he has heard this afternoon. If the Bank of England is correct—you never know. it might be—we will see unemployment in our region rise by 192,000 next year, to 320,000. That will put unemployment in our region at the highest level we have seen since 1987. The fiscal maths tells us that we need a capital kick-start of about £3.5 billion to deal with unemployment of that significance. As I said in earlier debates, our cultural institutions are crying out to the Secretary of State for Digital, Culture, Media and Sport for help. The DCMS must look at the realities of what is going on in the sector and work with the Chancellor to do whatever is necessary to de-risk our bridge from where we are now to the beginning of the city of culture next year.

The prize is significant. I agree with the right hon. Member for Sutton Coldfield that this Bill is an optimistic moment. This is a once-in-a-generation opportunity for us, but it has to lift a generation out of unemployment, out of poverty, out of hunger, and out of hopelessness. We have to make sure that, when the eyes of the world —of 1.5 billion people—are on us in 2022, we dazzle them not simply with an extraordinary spectacle of sport, but with an extraordinary society that, together, we have built.