Tay Cities Deal Debate

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Wednesday 13th July 2016

(8 years, 4 months ago)

Commons Chamber
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Chris Law Portrait Chris Law
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Absolutely. I apologise for not mentioning the wonderful city of Stirling. I wholeheartedly agree with my hon. Friend. I would love confirmation that Stirling will also be seriously considered for a future city deal.

The powerful collaboration is made up of four local authorities—the kingdom of Fife, the ancient seat of Angus, the fair city of Perth and Kinross, and Scotland’s sunniest city, Dundee—along with public agencies such as Scottish Enterprise, VisitScotland, Skills Development Scotland, the chambers of commerce, a wide cross-section of private sector businesses and the four universities in the Tay cities area.

The Tay cities economy is diverse, ranging from agriculture, forestry and public administration to high-tech engineering, life sciences research and development, tourism and, last but not least, the creative industries, in which video game production plays a huge part. It is also the headquarters or the major base of several of the leading 100 companies in the FTSE 100, including Scottish Southern Energy, GlaxoSmithKline, Diageo, Aviva and Stagecoach. The region is intersected by main road and rail transport corridors linking northern Scotland with the central belt and the rest of the UK. The Tay cities area, therefore, accounts for almost 7% of Scotland’s total economic output, and has enormous potential for growth.

The Tay cities partnership bid represents a balance between infrastructure, investment and a number of transformational and collaborative initiatives focused on the devolvement of powers and budgets to create new employment opportunities. Connectivity is a central theme in the Tay cities proposal. The Tay cities region is at the heart of Scotland, and is strategically located between the central belt and Aberdeen and Inverness. However, there is an issue of relative remoteness that needs to be addressed by significant investment in key road, rail and air connections with the rest of Scotland, the UK, Europe and beyond.

Mike Weir Portrait Mike Weir (Angus) (SNP)
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My hon. Friend will be aware that, in Angus, the Scottish Government are putting serious money into dealing with, for example, the problems with the rail line. The Tay cities deal, if it comes together, would be a huge economic boost for Angus, as well as for Dundee.

Chris Law Portrait Chris Law
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I concur with my hon. Friend. In fact, £200 million has been invested in the rail link between Dundee and Aberdeen. To add to that, the recent link by air to Amsterdam has been wholly welcomed, and is a major boost for the Tay cities region.

Digital connectivity is of equal importance to physical connections. Businesses now look to locate where they can receive a broadband service with the highest possible speeds and capacity. Dundee and Perth are both planning to invest heavily in their fibre networks and in related smart city technologies. To take a small example, of the last three businesses that I have been involved in, from tourism to film and media, and latterly, financial services, all were hugely dependent on broadband.

A successful Tay cities deal will play a vital part in ensuring the fulfilment of the massive potential of the skilled workforce of the Tay cities region. It is not so long ago, when I was growing up in the 1980s in Dundee, that the UK Government appeared hellbent on destroying manufacturing. Dundee paid a very high price for that. Owing to the destruction of jobs, industries and communities that took place in this period, Dundee still has a significant number of unemployed people or people in low-paid jobs. A similar pattern can be found in other towns and areas in the Tay cities region, and potential growth could be seriously held back by a lack of investment. In the Tay cities area, employment growth per year falls short of the Scottish average. Inequality is the single biggest challenge facing our region and, without a strategic approach, the gap between our wealthiest and poorest citizens will continue to grow.

However, the good news is that Dundee is now on the up. My city is a dynamic place and one of diversity, steeped in history, culture and industry. It boasts two universities, Dundee and Abertay; a fantastic art school, the Duncan of Jordanstone; a further education college; and cultural landmarks such as the Dundee Repertory Theatre, the Gardyne Theatre and the Dundee Contemporary Arts centre. We have a world-renowned reputation for life sciences, and Ninewells is one of the largest teaching hospitals in Europe. My constituency is also an internationally renowned centre for video game development, which I have mentioned, and the birthplace of some of the biggest names in game history. Lastly, in 2014 we were recognised as the UK’s first UNESCO City of Design for our diverse contributions to the fields that I have mentioned.

This is all good, but Dundee is not resting on its laurels. We are in the midst of a £1 billion master plan to regenerate and reconnect the waterfront to the city centre. Of all the cities in the UK, Dundee was chosen to build the first Victoria and Albert Museum outside of London, which will open in 2018 and is expected to bring hundreds of thousands of new visitors each year to Dundee and the surrounding areas. The waterfront redevelopment has been a turning point for regeneration in Dundee, and a city deal would ensure that further progress was made in developing Dundee into a modern and important economic centre for Scotland. It is believed that the deal could have an impact on Dundee that is 10 times greater than the waterfront development currently under way.

The Scottish Government have a strong record of delivering for Dundee. We have received over £100 million through the cities growth fund, in conjunction with Scottish Enterprise, for our waterfront regeneration. As I mentioned, we are also set to benefit from a £200 million investment to improve rail links between Dundee and Aberdeen. By comparison, we have received £5 million so far from the UK Government. The Scottish Government are very supportive of city deals and have made it absolutely clear that they will work with any Scottish city considering a deal to make a strong, joint approach to the UK Government. I have touched on this already, but let us see a renewed commitment from the UK Government to seriously consider a more generous proportion of funding for the Tay cities deal.

It is not just Dundee that is seeking clarification on the city deal: North East Fife, the home of golf and of Scotland’s first seat of learning—the University of St Andrews, my alma mater, where I learned with great appreciation the history of my nation—seeks reassurances, as does the wider community. So too does the fair city of Perth—my hon. Friend the Member for Perth and North Perthshire (Pete Wishart) is here tonight—where we find Scone Abbey, home of the Stone of Destiny where the king of the Scots was crowned. Last but not least, reassurance is needed for Angus, the birthplace of Scotland, where the signing of the declaration of Arbroath at Arbroath Abbey in 1320 marked Scotland’s establishment as an independent nation.

Mike Weir Portrait Mike Weir
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Does my hon. Friend welcome the fact that only last week, UNESCO awarded the declaration of Arbroath “memory of the world” status in recognition of its importance in the development of democracy?

Chris Law Portrait Chris Law
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In a simple word, absolutely.