Levelling-up and Regeneration Bill (Eighth sitting)

Debate between Neil O'Brien and Emma Lewell-Buck

Thursday 30th June 2022 Public Bill Committees

[Neil O'Brien]

I do not want to critique the decisions of the last Labour Government; I am merely pointing out that there was an acceptance of asymmetric devolution throughout that time, for all kinds of reasons of practicality.

The hon. Member for Nottingham North said earlier in the debate that the default should be alignment. We fundamentally do not agree with that, for reasons of localism; it is not what every local area wants. He also asked why these devolution deals are different, and mentioned two examples: the West of England not having a precept, and Cambridgeshire and Peterborough not having development corporations. The reason why those areas are different from the others is that that is what local people wanted, and it is what local leaders would agree to. That was their choice. That is localism, and that is generally the case for most of the variations in devolution agreements. It is about what local political leaders wanted to agree to—it is fundamentally about localism.

However, that is not the only reason why devolution agreements differ between areas. I will be candid: there are things that make it possible to go further in some areas than in others. It is partly about geography; does an area’s combined authority—the CCA, potentially—fit with the governance of the thing for which the area is trying to devolve powers? Is there geographic alignment, or will it take time to achieve in respect of various public services? Are local partners—perhaps the NHS, in the case of Greater Manchester’s health devolution agreement—ready to work with an area? Has an area been working on it for a long time prior to the devolution agreement?

In some cases, there is a tie to whether an area has a directly elected leader. We are clear that we prefer the direct accountability and clarity that comes with the directly elected leader model, which is why the framework we have set out enables places to go further if they choose to go with that model. In some cases, in respect of things such as the functions of a police and crime commissioner, we are not legally able to devolve powers to someone who is not directly elected.

I said earlier in the debate that, fundamentally, we will not make progress and the devolution agenda will not make progress if we have to move in lockstep—if a power offered to one place has to be offered to all. To quote the great Tony Blair,

“I bear the scars on my back”

from negotiating all these devolution agreements in Whitehall. It is no small thing to get elected Ministers of the Crown to give up their powers to people in different political parties. It is the case that different places are ready to do different things, and it is important for them to do different things.

It is not the case that there is no framework—a framework is set out on page 140 of the levelling-up White Paper—but it is clear that there will be variation within that. It is a basic framework. Indeed, the White Paper includes principle three, on flexibility:

“Devolution deals will be tailored to each area”—

they will be bespoke—

“with not every area necessarily having the same powers.”

It does, though, set out what may comprise a typical devolution deal at each level of the framework. It is clear from our experience that we can add to devolution deals over time, that areas will have more ideas about the things they want to pursue, that they will get ready to do new things and that we can go further over time. It is an iterative process, not a once-and-for-all deal.

The hon. Member for Westmorland and Lonsdale asked who this is for—is it for Whitehall or for the people? I put it to him that our flexible model is for the people, not for Whitehall. Tidy-minded Whitehall officials would love nothing more than to have a rigid framework in which “Each of these things must mean exactly the same. If one’s got it, everyone must have it. We’ll put you in a grid. Oh, the matrix is not right!” I assure the hon. Gentleman that Whitehall would love that. It would absolutely adore that—it is what Whitehall would fundamentally like. Our approach rejects that bureaucratic approach and instead gives people what they want locally and what they are ready for in an area. Doing that enables us to make iterative progress.

I am not having a go at the Opposition, but we inherited a situation in which there was no devolution in England outside London. We have been able to make progress partly because we have been able to work iteratively. If we had said in 2014, “If you are offering these new and novel powers to Greater Manchester, you must offer them to every other single place in England,” we would never have got anywhere. It is as simple as that. We have to work iteratively, and by doing so we have made good progress.

[Mrs Emma Lewell-Buck (South Shields) (Lab)]

I am a little confused. My understanding was that the amendment does not say it has to be the same everywhere. It simply says that if an area requests a power that people have elsewhere, the Secretary of State should grant that request. I think the Minister misunderstands what the amendment is about.

[Neil O’Brien]

I think I have directly addressed that point. I reject the Opposition statement that “The default should be alignment.” I have taken on quite directly the point that it is about not just each area wanting different things but different places having different geographies that do or do not fit with different local partners. It is the case that different places do or do not have the agreement of local institutional partners and it is the case that some places are more or less ready and have further institutional maturity and, indeed, that we continue to add to that. I am not hiding or running away from the fact that part of this is about a view of what is achievable, along with, most importantly, what local places want. I am grateful to the hon. Lady for giving me the chance to take that on directly. I will not hide from the fact that that is one of the reasons for variation. My final point is that one reason why we are able to make progress is that we can move the convoy not at the speed of the slowest.

Levelling-up and Regeneration Bill (Eighth sitting)

Debate between Neil O'Brien and Emma Lewell-Buck

Committee stage
Thursday 30th June 2022 Public Bill Committees

[Neil O'Brien]

I do not want to critique the decisions of the last Labour Government; I am merely pointing out that there was an acceptance of asymmetric devolution throughout that time, for all kinds of reasons of practicality.

The hon. Member for Nottingham North said earlier in the debate that the default should be alignment. We fundamentally do not agree with that, for reasons of localism; it is not what every local area wants. He also asked why these devolution deals are different, and mentioned two examples: the West of England not having a precept, and Cambridgeshire and Peterborough not having development corporations. The reason why those areas are different from the others is that that is what local people wanted, and it is what local leaders would agree to. That was their choice. That is localism, and that is generally the case for most of the variations in devolution agreements. It is about what local political leaders wanted to agree to—it is fundamentally about localism.

However, that is not the only reason why devolution agreements differ between areas. I will be candid: there are things that make it possible to go further in some areas than in others. It is partly about geography; does an area’s combined authority—the CCA, potentially—fit with the governance of the thing for which the area is trying to devolve powers? Is there geographic alignment, or will it take time to achieve in respect of various public services? Are local partners—perhaps the NHS, in the case of Greater Manchester’s health devolution agreement—ready to work with an area? Has an area been working on it for a long time prior to the devolution agreement?

In some cases, there is a tie to whether an area has a directly elected leader. We are clear that we prefer the direct accountability and clarity that comes with the directly elected leader model, which is why the framework we have set out enables places to go further if they choose to go with that model. In some cases, in respect of things such as the functions of a police and crime commissioner, we are not legally able to devolve powers to someone who is not directly elected.

I said earlier in the debate that, fundamentally, we will not make progress and the devolution agenda will not make progress if we have to move in lockstep—if a power offered to one place has to be offered to all. To quote the great Tony Blair,

“I bear the scars on my back”

from negotiating all these devolution agreements in Whitehall. It is no small thing to get elected Ministers of the Crown to give up their powers to people in different political parties. It is the case that different places are ready to do different things, and it is important for them to do different things.

It is not the case that there is no framework—a framework is set out on page 140 of the levelling-up White Paper—but it is clear that there will be variation within that. It is a basic framework. Indeed, the White Paper includes principle three, on flexibility:

“Devolution deals will be tailored to each area”—

they will be bespoke—

“with not every area necessarily having the same powers.”

It does, though, set out what may comprise a typical devolution deal at each level of the framework. It is clear from our experience that we can add to devolution deals over time, that areas will have more ideas about the things they want to pursue, that they will get ready to do new things and that we can go further over time. It is an iterative process, not a once-and-for-all deal.

The hon. Member for Westmorland and Lonsdale asked who this is for—is it for Whitehall or for the people? I put it to him that our flexible model is for the people, not for Whitehall. Tidy-minded Whitehall officials would love nothing more than to have a rigid framework in which “Each of these things must mean exactly the same. If one’s got it, everyone must have it. We’ll put you in a grid. Oh, the matrix is not right!” I assure the hon. Gentleman that Whitehall would love that. It would absolutely adore that—it is what Whitehall would fundamentally like. Our approach rejects that bureaucratic approach and instead gives people what they want locally and what they are ready for in an area. Doing that enables us to make iterative progress.

I am not having a go at the Opposition, but we inherited a situation in which there was no devolution in England outside London. We have been able to make progress partly because we have been able to work iteratively. If we had said in 2014, “If you are offering these new and novel powers to Greater Manchester, you must offer them to every other single place in England,” we would never have got anywhere. It is as simple as that. We have to work iteratively, and by doing so we have made good progress.

[Mrs Emma Lewell-Buck (South Shields) (Lab)]

I am a little confused. My understanding was that the amendment does not say it has to be the same everywhere. It simply says that if an area requests a power that people have elsewhere, the Secretary of State should grant that request. I think the Minister misunderstands what the amendment is about.

[Neil O’Brien]

I think I have directly addressed that point. I reject the Opposition statement that “The default should be alignment.” I have taken on quite directly the point that it is about not just each area wanting different things but different places having different geographies that do or do not fit with different local partners. It is the case that different places do or do not have the agreement of local institutional partners and it is the case that some places are more or less ready and have further institutional maturity and, indeed, that we continue to add to that. I am not hiding or running away from the fact that part of this is about a view of what is achievable, along with, most importantly, what local places want. I am grateful to the hon. Lady for giving me the chance to take that on directly. I will not hide from the fact that that is one of the reasons for variation. My final point is that one reason why we are able to make progress is that we can move the convoy not at the speed of the slowest.

Levelling-up and Regeneration Bill (Sixth sitting)

Debate between Neil O'Brien and Emma Lewell-Buck

Committee stage
Tuesday 28th June 2022 Public Bill Committees

[The Parliamentary Under-Secretary of State for Levelling Up, Housing and Communities (Neil O'Brien)]

Let me start by addressing some of the wider and important points made by the hon. Member for South Shields and then move on to the narrower issue of the amendment. The hon. Member made an impassioned speech and some important observations about the big differences between life expectancy in different parts of the country. The differences were also highlighted in our White Paper. We are doing a number of things to directly tackle those problems, both on the income side that she talked about and the health side.

With regard to help for poorer households, the universal credit taper rate cut will help lower-income families keep more of their earnings. It makes nearly 2 million households about £1,000 better off if they work full time. The increase in the national living wage introduced by this Government makes full-time workers about £1,000 better off, and as it goes up towards two thirds of medium earnings, it will be one of the highest minimum wages in the world. We are investing about £1.1 billion over this spending review for employment support for the sick and disabled, and we have the £1 billion support fund for those households that are most in need during this difficult period.

We are all keen to do everything we can to try to reduce the reliance on foodbanks. That is why we have reviewed the role of sanctions in the benefit system. There will always be sanctions and rules in the benefit system, but we need to ensure that they are proportionate and avoid people unnecessarily finding themselves without benefits. We have expanded free school meals to all five to seven-years-olds, benefiting about 1.3 million children. We have spent £24 million on extending school breakfasts.

We are taking action on the health side of the ledger. The introduction of the soft drinks industry levy—the sugar tax, as some call it—has led to the average person consuming the equivalent of one fewer 250 ml sugary drink per week. It has been a huge success, and one of the most successful of its kind anywhere in the world. Through the forthcoming health disparities White Paper, we will continue to go further on that issue. Community diagnostic facilities will be a part of the story, as well as the overall increase in NHS investment. There are a lot of things happening on the vital agenda that the hon. Lady talked about.

Likewise, the hon. Member for Westmorland and Lonsdale made a profound point: the fundamental questions of food security and production, and the way they have been framed for the last 40 years, have changed. There is now a global under-supply challenge. He was quite right to say that that must make us rethink, and that is why we are investing heavily in our farm transition plan, spending about £270 million on innovation to help farming communities and farmers. However, there was a bigger and more profound point in what he said.

The hon. Member for York Central talked about the need to integrate the agendas of the sustainable development goals and the levelling-up missions. We are doing that, although in a different way from that suggested in the amendments. The country is committed to delivery of the UN sustainable development goals by 2030, including the goal to end hunger and ensure access by all people to safe, nutritious and sufficient food all year round.

The Bill is designed to establish the framework for missions, not the content of the missions themselves. The framework provides ample opportunity to scrutinise the substance of the missions against a range of Government policies, including the sustainable development goals and health data. All Departments are responsible for aspects of the sustainable development goals that relate to their respective remits. Departments articulate how they are working towards those goals in their outcome delivery plans.

The last outcome delivery plan from Department for Environment, Food and Rural Affairs and from the Foreign, Commonwealth and Development Office included information that is relevant to the goals raised in the amendments. The next iteration of those departmental outcome delivery plans will also include information about how Departments are working towards their levelling-up mission. Those documents will simultaneously address progress on the UN missions and on our levelling-up mission, so we will have an integrated view. We think that is the appropriate place in which to make the link mentioned by the hon. Member for York Central between levelling-up missions and the UN sustainable development goals.

Mission 7, which addresses healthy life expectancy, is already linked to nutrition and food. The Government’s food strategy, for example, committed to reducing the healthy life expectancy gap between local areas, where it is highest and lowest, by 2030; to adding five years to healthy life expectancy by 2035, as I said earlier; to reducing the proportion of the population who live with diet-related illnesses; and to committing to increasing the proportion of healthier food that is sold. In its forthcoming health disparities White Paper, the Department of Health and Social Care will set out missions to address, among other things, diet-related ill health.

All those measures will feed through to healthy life expectancy data, which already underpins the health mission. As a consequence, the amendment is unnecessary, so I ask the hon. Member for South Shields to withdraw it.

[Mrs Lewell-Buck]

I will keep my comments brief as I do not wish to detain the Committee too long.

The Minister listed ways in which the Government are helping, but I politely remind him that people on universal credit have a five-week wait with no money at all. Pensions, benefits and wages are nowhere near keeping pace with inflation. The fact that the Government have had to put in emergency support funds to help families is indicative of their failure to help the hardest hit for such a long time.

I will not press the amendments to a vote on this occasion, but this is not the last time I will talk about this topic in Committee. I beg to ask leave to withdraw the amendment.

Amendment, by leave, withdrawn.

--- Later in debate ---

[Neil O'Brien]

I gave an example earlier of the R&D mission, which is specific to this spending review. It says we will increase R&D spending by a third over the spending review period. That mission will no longer have meaning after the spending review period, because it will have happened, so we will need to change the mission.

Let me give the hon. Lady another example about which I am optimistic. On local leadership, the mission at the moment is that by 2030 every part of England that wants a high-level devolution deal will have one. There is a lot of work in getting the devolution deals ready, as she knows better than most, but it is possible that we will be able to go even further.

[Mrs Lewell-Buck]

On a point of clarification, the Minister has been talking about changing the missions, but subsections (4) and (5), as I read them, are about scrapping the missions. Surely some rewording is needed here.

[Neil O'Brien]

There is a continuity between those two things. We might get rid of something and replace it with something that is in the same space. The subsections just give a clear framework for how that works—transparency, the statement to Parliament, the debate, and so on and so forth. I am not totally clear about the policy intent behind the amendment: is the idea that missions should be changeable only through primary legislation? Is that the concept here?

[Alex Norris]

indicated dissent.

[Mrs Lewell-Buck]

On another point of clarification, subsection (4) clearly states

“no longer intends to pursue that mission”,

but the examples the Minister is giving are about changing missions, and perhaps improving them. They are very different things.

[Neil O'Brien]

Once we have delivered our commitment to increase R&D spending outside the greater south-east by a third over the spending review period, it will no longer be possible logically for us to continue that mission. That will just not be possible, as a matter of logic, so we will discontinue the mission. I hope that puts the hon. Lady’s mind at ease.

The hon. Member for Nottingham North has the look of a man who is about to intervene, but I will take an intervention from the hon. Member for York Central.