Budget Statement

Lord Blunkett Excerpts

Friday 12th March 2021 Lords Chamber

[Lord Blunkett (Lab) [V]]

I too congratulate new Members on their excellent maiden speeches, made in difficult circumstances.

I reinforce the points made by my noble friend Lord Eatwell at the beginning of this debate and my noble friend Lord Hain later on about the juxtaposition of last year’s Budget with last week’s, in respect of public spending outside of what has had to, by necessity, be invested in maintaining our economy, health service and well-being. I point out that the major cut in future investment is about our recovery; it is about what is described as the levelling-up agenda.

I congratulate the noble Lord, Lord Wharton, on his new post, but I was sorry that he did not mention knowledge transfer, the importance of anchor institutions and particularly research in terms of regenerating those parts of the country which do not have the benefit of the golden triangle. I believe very strongly that the levelling-up agenda will be achieved only by open, transparent analysis of the strategy that is needed for industrial investment and investment in the new industries of the future, including artificial intelligence and robotics. The lack of transparency in designating Richmondshire and Derbyshire Dales as tier 1 for the levelling-up funding, while Barnsley and my own city of Sheffield are in tier 2, is frankly breathtaking.

Much of what has been put in this Budget is a reversal of the previous Chancellor George Osborne’s policies, with a decrease in corporation tax and a change in tax thresholds, and a change to the past agenda for what are now described as freeports. This has been mentioned several times. Freeports are a reinvention of enterprise zones from the 1980s. It is not going backwards that we need; it is a strategy for the future.