Backing Business to Create Economic Growth

Mary Kelly Foy Excerpts

Monday 18th May 2026 Commons Chamber

[Mary Kelly Foy (City of Durham) (Lab)]

I welcome the ambition in the King’s Speech to grow the economy, raise living standards and make Britain a secure place to invest, but for my constituents in the City of Durham growth cannot exist only in national figures or ministerial speeches—it must be felt in everyday lives. That means secure work, better wages, stronger businesses and young people imagining a future close to home. The Employment Rights Act 2025 saw massive improvements in that regard and the measures in the King’s Speech will help further. I particularly welcome action on late payments. For many small businesses in Durham, late payment is not a minor irritation; it damages confidence and stalls employment.

Durham is fortunate to have a vibrant range of high-quality businesses. Every year, I run a small business of the year competition and I am overwhelmed by how many constituents get involved. Whether it is past winners such as Daisy Rose Coffee House, Vanity Hair Salon, Newhouse General Store, the Weigh to Shop or numerous other businesses across the constituency, the message is very clear: they are the bedrock of our communities. We must acknowledge the severe challenge facing our small businesses, particularly in a sector that is vital for the city—hospitality. They are being squeezed by skyrocketing costs and the impact of the cost of living on their customers. If we want them to thrive, we need bolder steps to ensure long-term viability. The Government may say that the business rate system has been improved, but the feedback from small businesses is clear: this is the same old system, just tinkered with. A comprehensive overhaul to support them is urgently required.

We need to see the Government row in behind strategic employment sites, such as the . Stalled for years, this critical site has now been purchased by a new developer and is on the cusp of delivering the benefits promised to the city. It will be a measure of the Government’s commitment to delivering growth in all our regions.

I also welcome the focus on removing barriers to growth and building better trading relationships with our European neighbours. These issues sound technical, but they really matter to the north-east. Our region was historically a net exporter to Europe, meaning steps to reduce burdens on exporting businesses will have a huge impact on our local economy.

As we go further with clean energy, Durham could be at the heart of the transition. Energy independence must create high-quality jobs, support local supply chains and give people the skills they need to seize these opportunities. Durham University, through its Energy Institute, brings world-class expertise to Durham. It is carrying out pioneering work on energy sustainability and geothermal energy. The very mines that powered our industrial past could literally heat our homes in a green future.

Alongside long-term environmental benefits, we need immediate structural support for our communities. That means real investment in local training, ensuring young people from Durham are equipped to build these systems. I saw that potential first-hand last week when I spoke at the regional T-level networking event in Durham. It brought together colleges, employers, young people and local partners to discuss how we build the skills pipeline our economy needs. That is exactly the kind of practical partnership we need to stop the persistent brain drain that forces our brightest graduates to pack their bags. We need local economies strong and diverse enough to allow them to stay and build beautiful and meaningful careers in the City of Durham. That growth relies fundamentally on connectivity, so I welcome the inclusion of Northern Powerhouse Rail. Specifically, the Government must now prioritise fully the reopening of the Leamside line.

The King’s Speech sets out an important direction, but the test will be delivery. For Durham that means supporting small businesses, good well-paid jobs, unlocking the sustainable energy potential of Durham University, investing in skills and ensuring the green economy creates opportunities that local people can build their lives around.