Cities and Local Government Devolution Bill [Lords]

Marie Rimmer Excerpts

Wednesday 14th October 2015 Commons Chamber

[Marie Rimmer (St Helens South and Whiston) (Lab)]

May I commend the Secretary of State for his genuine commitment to, and support of, local government? Indeed, given what we have suffered from in the past, it is a pleasure to have such a Secretary of State.

Let me put it on the record that local government is the most efficient part of government. It has suffered cuts of more than 40% during this austerity period, which is more than any other part of government. I speak as a former leader of St Helens council, which is resilient and has a very strong identity. It is, and always has been, innovative. Indeed, Michael Heseltine came to St Helens back in the 1980s to witness and observe the first public-private sector partnership, Ravenhead Renaissance, which I delivered as leader of the council. At the time, we were losing coal, glass and chemicals. We lost 30,000 jobs in 10 years. Many of those jobs have since been replaced, but sadly not in manufacturing. That is why I am so keen on the progress of advanced manufacturing.

My concern, and indeed the concern of the public that I represent, is about the elected mayoral model. St Helens, like Bury North, consulted all its residents back in 2004, and got a resounding no to an elected mayor. It went for a strong leader model. Some three or four years ago, we took a resolution through council, and unanimously decided—Conservatives, Liberal Democrats and Labour—that we were opposed to a city region elected mayor. Indeed, that is what would cause a problem in St Helens and perhaps in Knowsley. I know that Knowsley had a resolution against a mayoral model and it has since taken it back.

This is an enabling Bill. It is what is not in the Bill that is of concern rather than what is. Practically none of the specific responsibilities of this Bill is actually mentioned in it. What is concerning is the bilateral discussions that have gone on between the Chancellor and local authority leaders. They have not been transparent or open. Councillors—I remain a councillor and am aware of what is going on—are not aware of what is going on behind those doors, so heaven help the public. We talk about the devolution of power to communities and yet we deny those communities the right to decide whether they want a mayoral model. It just does not bode well. I was quite genuine when I commended the Secretary of State at the beginning of my contribution, so I ask him—I know that he listens to what is being said—to consider carefully whether having a mayoral model should be a prerequisite for devolution. It is simply not necessary. Indeed, I understand that Cornwall is having devolution without it.

The concern in Merseyside and in other areas—I hear it coming from councils in other areas—is that devolution is about the devolution of regulatory powers from Government to local government, city regions or combined authorities. There is great concern about, and talk of, statutory duties of local authorities being transferred to a mayor. Not everything that the city regions ask for will be granted at first, but some devolution will be granted on condition that they follow the mayoral model. The concern is that local authorities’ statutory duties will be transferred up to a mayor who will be unaccountable, although there will be oversight by the elected leaders.

[Mr Kevan Jones]

I am listening carefully to my hon. Friend. Does she agree that the Government are being completely inconsistent, because Cornwall, which has a Tory authority, can have devolution without an elected mayor, but her authority and many others in the north-east have been told that they cannot have devolution unless they first accept the mayoral model?

[Marie Rimmer]

Yes. If it is good enough for Bristol, it is good enough for Merseyside, and for any anywhere else. That is a real concern of ours.

We have evidence of our innovation. Local authorities, including some in Merseyside, share the delivery of services. For example, St Helens shares many services with what was formerly known as Mid Mersey, and with Wigan, Warrington and Halton, and they include adoption and fostering services and even business rates, and we provide planning for a neighbouring authority.

The confusion now is that some local authorities think that the panacea of devolution will solve all their financial problems. Indeed, one leader told me how much the local clinical commissioning group gets and said, “We’ll be able to get our hands on that.” Well, in St Helens we have been pooling health and social care budgets for some years. Indeed, four winters ago we saved 36 beds in Whiston hospital by working together. The council used one of its former homes to take elderly patients. They were not enjoying being in hospital, and they got much better care in the former home. That was delivered by the council and paid for by health and social services, so we are very innovative.

The devolution of power also needs resources. We cannot continue to be hammered in the way we have been in recent years. None of the local authorities on Merseyside—and I know, because I am a Merseysider—has done any better than St Helens. In fact, Knowsley and Liverpool have probably done worse, because of the deprivation. But in St Helens we have already lost more from our Government grant funding than what we collect in council tax—

[Madam Deputy Speaker (Natascha Engel)]

Order. David Mackintosh.