Economy: Growth

Lord Newby Excerpts

Tuesday 22nd June 2010 Lords Chamber

[Lord Sassoon]

My Lords, today my right honourable friend the Chancellor of the Exchequer announced that the spending review will be presented on20 October. As we go through the spending review, it is clearly important that the long-term prosperity and growth of this country are underpinned by appropriate decisions. We have announced today, as I said, that infrastructure will not be cut further. I take the point, put by the noble Lord, Lord Broers, that science spending is also very important to underpinning the long-term growth of the UK.

[Lord Newby]

My Lords, the Chancellor of the Exchequer said today that he was establishing a large regional growth fund to provide finance for regional capital projects. Can the Minister give some indication of what is meant by “large”? Can he also say whether there will be some private sector involvement in deciding priorities under the fund, a principle that underpins the RDAs, and that such decisions will not be put purely in the hands of unelected regional bureaucrats?

[Lord Sassoon]

My Lords, I thank my noble friend for drawing attention to the regional growth package in today’s Budget announcement. It is intended that the regional growth fund will pump prime investments into projects with significant growth potential. There will be a consultation later in the summer about how we plan for sub-national growth, which will include local economic partnerships. A White Paper will follow.