Devolution and Growth across Britain

Lord Evans of Rainow Excerpts

Wednesday 3rd June 2015 Commons Chamber

[Mr Umunna]

Without wanting to fuel the dispute, I would say that the important thing is that it does not get that far. It is important that all the parties manage to find a resolution to the dispute. I know that the talks are ongoing today.

I have talked a lot about growth, but before I conclude, I want to turn to the specific growth measures in the Queen’s Speech. I sincerely hope that this Government have more success than the last one in the delivery of their policies on regional growth. In the last Parliament, having hastily and mistakenly abolished the regional development agencies that we established, the Government asked local enterprise partnerships to do basically the same things as the regional development agencies, but without the powers or the resources. Local enterprise partnerships have had mixed success. We want this Government to resource them properly and give them the support that they need to do the job that is being asked of them.

The last Government’s flagship regional growth fund was mired in chaos and delay from the start. Eventually, it managed to get moneys to successful bidders, although I suspect that a substantial amount is still gathering dust in Treasury coffers. We wait to see what further measures there will be in that respect in the Budget.

[Graham Evans (Weaver Vale) (Con)]

On the hon. Gentleman’s point about LEPs, in the 13 years of the Northwest Regional Development Agency, why did Labour not come up with the idea of the northern powerhouse to give power to those great northern cities?

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[Sajid Javid]

It might be an irrelevance to the SNP, but it is not an irrelevance to the people of England.

Manchester is not alone: Sheffield and West Yorkshire agreed deals under the previous Government. We are legislating to let other places elect an executive mayor and allow these cities, too, to raise, spend and save money. This is not simply devolution; it is a revolution in the way England is governed.

[Graham Evans]

Speaking as a north-west MP, the north-south divide grew in the past 20 or 30 years and accelerated under 13 years of the Labour Government. It is this Government who have done something to rebalance the economy. Under Labour, the City, London and the south-east grew. It is this Government who are rebalancing the economy for the first time. They should be congratulated.

[Sajid Javid]

My hon. Friend is absolutely right. By 2010 under the previous Labour Government, 33% of the jobs created were in London or the south-east. In the past five years, 60% of the jobs created were outside London and the south-east. The Secretary of State for Communities and Local Government deserves great credit for the progress already made on this agenda and I look forward to hearing his contribution a little later.

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[Graham Evans (Weaver Vale) (Con)]

It is an absolute pleasure to follow the hon. Member for the great constituency of Batley and Spen (Jo Cox). I spent many a happy night out there in something called the Frontier club. I do not know if it is still going—and that misspent youth is perhaps a conversation for somewhere else. In the Evans household Friday night is fish and chips night, or, as my kids call it, chippy tea night.

I am absolutely delighted to speak in support of the Gracious Speech and the measures to promote growth in my constituency, in particular those in the Cities and Local Government Devolution Bill. Growing up on a council estate, the value of a job is not lost on me. A job is not just nine to five, a cheque at the end of the month or a statistic on a press release. A job is so much more than that: a job provides a sense of identity and worth, fostering self-confidence and nurturing God-given talents. The moral case put forward by the Government in striving for full employment is every bit as strong as the economic case and every bit as important.

Apart from a short spell of stacking shelves in my local Co-op, prior to joining this House I spent my entire adult employment life in manufacturing and industry. We have seen a real renaissance in the past five years, stimulated and encouraged by the Government’s vision for a northern powerhouse, for rebalancing our economy and for putting the north—specifically in my case, Weaver Vale in the heart of Cheshire—back at the heart of Britain’s economic engine room. Analysis by the Treasury has shown that realising the ambition to rebalance the UK economy would be worth an additional £44 billion in real terms to the northern economy—or £1,600 per person. The northern powerhouse will be underpinned by a fast and efficient transport system operating hand-in-hand with the roll-out of superfast broadband and matched with investment from the private sector.

The northern hub rail plan is key to a fast, efficient and effective transport system. The northern hub will improve dramatically connectivity between northern cities such as Manchester, Leeds, Liverpool and Sheffield. It will make life considerably easier for huge numbers of commuters across the region, improving the rail network and easing road congestion—the hon. Member for Batley and Spen will know all about the M62 and getting over the Pennines. Such improvements do not just make our cities more attractive places to do business and encourage external investment; they help to improve the quality of life for many of our constituents.

[Lilian Greenwood]

I am listening with interest to the hon. Gentleman’s comments about investment in transport in the north. Is he not concerned that, as my hon. Friend the Member for Batley and Spen (Jo Cox) said, rail fares in the north of England have been hiked, in some cases by as much as 162%, and that electrification of the TransPennine Express is delayed into the 2020s?

[Graham Evans]

I am very concerned about the cost and the amount of time it takes my constituents in Weaver Vale to get into Manchester and Liverpool. For example, it can take as long to commute to Manchester on the line from Chester as it did when the Victorians built it 150 years ago. We have to invest in those lines and in the rolling stock and the stations.

Last year, work began on the Mersey gateway project. For those who do not know what it is, it is a project that will deliver a magnificent new six-lane bridge over the Mersey estuary, linking Runcorn and Widnes. It also connects the M56 with the deep-water port in the great port of Liverpool and will generate an estimated £62 million in added value to the area by 2030, as well as providing much needed relief from the congestion on the ageing Silver Jubilee bridge, making life a bit easier for the constituents of Weaver Vale and Halton. The fact that the project is now under way is a testament to this Government’s commitment to Runcorn, Cheshire and Weaver Vale and to the north-west region as a whole.

Further to that, owing to the £10 million upgrade announced by my right hon. Friend the Chancellor last year, the Halton curve is now going to be reinstated. The scheme has a clear, positive business case and would reinstate and re-signal a section of railway between Frodsham and Runcorn, allowing trains to travel from Frodsham, Helsby and Halton to Liverpool and John Lennon airport, as well as into Chester and onwards to north Wales, as my right hon. Friend the Member for Clwyd West (Mr Jones) mentioned earlier. To link those projects we need the modern, high-speed line that High Speed 2 will deliver. The benefits of HS2 go far beyond the new line itself. I know I have said this over many years, but it is vital to remember that it will also free up capacity on existing commuter lines, bringing about an improved service for millions of commuters. It will also free up capacity for rail freight, which will help to facilitate the rebalancing of our economy away from the City of London and financial services, towards more northern manufacturing bases, now flourishing under this Government.

As for attracting private sector funding, the regional growth fund has seen phenomenal success in attracting investment into SMEs and job-creating initiatives. For every £1 invested in the regional growth fund, the private sector has matched it with a further £5.50, with investments in manufacturing topping over £1.1 billion. Over the next two years, the fund is being expanded further still, potentially unlocking a further £1.5 billion of private sector investment in job-creating projects. That is why unemployment in Weaver Vale has been reduced by 60% in the last five years. On top of that, enterprise zones, such as Sci-Tech Daresbury in my constituency, have been central to the success of this Government’s economic reforms and led the way in reshaping and rebalancing the economy. Sci-Tech Daresbury works with great universities such as Liverpool, Manchester and Lancaster. Alongside SMEs, IBM will be signing a new contract to work with the Science and Technology Facilities Council, which can only mean good news for future jobs, growth and wealth creation.

Finally, let me say that, collectively, the enterprise zones, capital investment in the Mersey gateway, the northern hub and High Speed 2, as well as the reinstatement of the Halton curve, are all key to encouraging growth throughout Cheshire and the north-west. This is a debate about how we see Britain’s future. Britain was once described as the workshop of the world, and I think it can be again. Weaver Vale is that workshop—a great place to live, work, invest and grow a business.