Oral Answers to Questions Debate
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Main Page: Luke Hall (Conservative - Thornbury and Yate)Department Debates - View all Luke Hall's debates with the Ministry of Housing, Communities and Local Government
(4 years, 1 month ago)
Commons ChamberWe are committed to levelling up through further devolution, but our focus must be on tackling covid-19. I know that Buckinghamshire Council has worked tirelessly throughout this pandemic to support its community, helped by £32 million in additional covid funding. We intend to bring forward the devolution and local recovery White Paper in due course, detailing how the UK Government will partner with places across the country to build a sustainable economic recovery.
I thank the Minister for his answer, and I join him in his praise for Buckinghamshire Council, which has worked tirelessly through this pandemic. Does he agree with me that this proposal from the council has all the potential ingredients for success, because it is place based and it has support from the local enterprise partnership, health partners, universities, and the voluntary and community sector? Will he therefore urge his officials to engage in conversations with the council as soon as is practically possible?
I thank my hon. Friend for that question. He is right to raise this hugely important issue, and I was pleased to meet him and other colleagues from Buckinghamshire just the week before last. We are extremely grateful to the council for submitting its proposal, and I know my officials are looking at it closely. As I have said, we will set out details about our approach to devolution in the White Paper. I absolutely agree that our officials should meet as soon as possible to discuss this proposal in greater depth.
I thank the Minister for his answers, and particularly for his praise of Buckinghamshire Council throughout the pandemic. I agree with him entirely that the focus must be on recovery from covid-19, and that is precisely at the nub of the devolution proposals that Buckinghamshire has put together. Therefore, will my hon. Friend agree to meet the Buckinghamshire MPs, Buckinghamshire Council and all of our partners to look at the detail of this proposal, which could put £10 billion extra into the UK economy, both to get the right deal for Buckinghamshire and to help shape the White Paper?
I thank my hon. Friend. It was a pleasure to meet him recently to discuss this and other matters in Buckinghamshire. I would be delighted to have that meeting. As I say, I think our officials should meet to discuss the proposal, and then let us get together with the council very soon to take it further.
Since the start of the pandemic, we have given over £7.2 billion directly to councils. Sheffield city region has received £127 million in un-ringfenced covid emergency funding, on top of an increase in core spending power of over £70 million this year, and it is set to benefit further from the latest round of support for the November lockdown. Households in the most deprived areas in England receive nearly three times as much spending per home as those in the least deprived areas.
I thank the Minister for that response. He will know that since 2015, South Yorkshire has received £363 million from the local growth fund—money that has created 15,000 jobs, funded the revitalisation of town centres and supported investment from companies such as Boeing and McLaren. What plans does his Department have to extend this crucial pipeline of funding beyond next March, so that Mayors and local leaders can rebuild their economies?
I thank the hon Gentleman for his question, and for working so constructively with Government throughout this pandemic. He is right to highlight the importance of local growth funding to places and people up and down this country. The Budget this year did confirm up to £387 million in 2021-22 to provide certainty for local areas, which allows them to continue with existing priority local growth fund projects that require funding past this financial year. We will work closely with LEPs and Mayors to understand the changing need of local economies, and will look at how this funding can be used alongside other resources to support local economic recovery efforts. Further funding decisions will be announced in due course at the spending review.
When a Conservative Chancellor delivered his austerity Budget a decade ago, he said we are “all in this together”, yet the reality has been far from that, with communities in the north seeing a disproportionate impact on council budgets—in Blackburn, cut by over 50%—dramatically reducing our resilience to the covid crisis and our ability to recover and bounce back. Can the Minister assure the country that the Government will not break their promises again, and that his Department will take real action to address the health and economic inequalities in the north?
I disagree with the hon. Lady’s assertions. The council self-reported covid costs through September stand at £3.6 billion. We have provided £7.2 billion on top of our sales fees and charges scheme, which recoups councils with 75% of their lost income past that first 5%. The hon. Lady’s own council has had £87 million in funding, £15 million in additional un-ringfenced covid funding and £1.37 million in test and trace support. The hon. Lady is also wrong to say that we are not targeting the funding where it is needed. In distributing our covid emergency funding, we have taken into account the roles of deprivation and population, and the different cost drivers up and down the country. We are listening to councils, we are working with them and we praise their extraordinary ability to respond to the pressures of this pandemic.
Questions 20 and 21 have been withdrawn, so could we have the answer to the substantive questions, followed by David Linden from the SNP?
The £3.6 billion towns fund is delivered in England only. There are Barnett consequentials for Scotland, Wales and Northern Ireland. It is the responsibility of the relevant devolved Administrations to decide how that funding is spent.
Quite aside from the Public Accounts Committee findings of Ministers wildly and inappropriately gerrymandering the funding process, I would like to ask the Minister about the Barnettisation of that funding. It is amazing how all the Tory MPs can stand up and say how much money their towns and constituencies are getting, yet it took the Secretary of State four months to confirm to me in writing that the funding would be Barnettised. How much is Scotland due to get and why have we not received it yet?
Since the start of the pandemic, we have provided over £7.2 billion directly to councils. We have also confirmed further support for local authorities through the extension of the contain outbreak management fund, and Cornwall will receive an extra £35 million from the additional resources grant and business grants for closed businesses.
I thank the Government for their generous support to councils during this difficult time. I have two very important crossings across the Tamar in my constituency, owned by Cornwall and Plymouth councils, which have run into financial difficulty. How does my right hon. Friend the Minister advise that this situation should be resolved?
I know that this is a hugely important matter for my hon. Friend and her constituents. Since the beginning of the pandemic, we have provided Cornwall Council with over £60 million and over £30 million to Plymouth City Council. Local authorities should be able to claim for relevant irrecoverable losses from toll bridges and roads. These losses have a named category in the form through which local authorities make their claims. However, it is for local authorities to be responsible for making sure that the claims that they make under the scheme meet the principles that we set out. We would advise her local authorities to consider these carefully before making any submissions.
Councils’ self-reported figures suggest that local authorities spent an additional £3.6 billion through September as a result of covid. Since the start of the pandemic, we have provided over £7.2 billion directly to councils and are now providing new funding for national restrictions. I hope the hon. Gentleman will also welcome the additional funding of over £40 million that Wakefield Council has received to support its community so far this year.
Austerity impacted most on the poorer communities right across the north and elsewhere. In Wakefield alone we have lost almost £50 million from local care services, schools, youth support and child services, not to mention the wage freezes for key workers. The impact of covid in damaging community resilience is apparent to all. Is it not time for the Minister to show that he has learned lessons by restoring funding to those communities in difficulty from the cuts and finally giving a rise to the key workers who have done so much to keep our country going?
I am surprised to hear the hon. Gentleman speak like that about local authority when he supported and voted for the local government finance settlement this year. As I said, since the start of the pandemic we have provided £7.2 billion in funding. Wakefield has received £31 million across four tranches of unring-fenced funding, the last including deprivation, population and cost driver indicators, too. It has also received £2 million for test and trace, £7 million from the infection control fund and more than £40 million in additional grants. As the hon. Gentleman failed to do so, may I use this opportunity again to recognise the incredible work of councils, who have been dynamic and energetic in responding to an incredibly difficult period?
On 27 October, we announced the first seven town deal offers, worth almost £180 million, for Barrow-in-Furness, Blackpool, Darlington, Norwich, Peterborough, Torquay and Warrington. Of course, we look forward to receiving further town deal proposals, including from Thornaby in my hon. Friend’s constituency, in the coming months. We will also bring forward a competitive element of the fund so that more places can benefit from investment that will improve our towns and high streets and drive long-term economic growth.
I am currently working alongside councillors, businesses and community groups to put together Thornaby’s bid for up to £25 million. We want to get rid of the Eagle hotel and other blights on our town centre as well as improve training and skills opportunities, leisure facilities and cycle routes—and, importantly, we want to make life-changing improvements to housing. Does my hon. Friend agree that local people know their area best? Will he help unblock any bureaucratic barriers that prevent money being spent on local priorities?
Absolutely. I thank my hon. Friend for all his work. The objective of the towns deals is to drive the economic regeneration of towns, including through improving transport and digital infrastructure, supporting skills development and making the most of the planning powers to create a supportive environment for residents and businesses. The towns fund will support mixed-use redevelopment in towns such as Thornaby, creating thriving places for people to live and work. Each town has its own local priorities and should align its proposed interventions with the towns fund intervention framework, as set out in the further guidance.