Teesworks: Accountability and Scrutiny

Paul Howell Excerpts

Wednesday 7th June 2023 Commons Chamber

[Paul Howell (Sedgefield) (Con)]

As a Tees Valley MP, I am pleased to speak in this debate that is so relevant to many of my constituents. I have to admit that I am baffled by the Opposition’s choice of motion for the debate. If I were them, the last thing that I would want to do is spend hours discussing the lack of investment in the north-east by a previous Labour Government. It is only under a Conservative Government that we have started levelling up. The Opposition’s demand for the National Audit Office to investigate is also surprising, given their resounding silence when my right hon. Friend the Member for Newark (Robert Jenrick) ordered an inquiry into Liverpool, where actual corruption was taking place.

Labour has 17 Opposition days, which are meant to be used to discuss important issues, yet it has chosen to use today to throw mud at a successful levelling-up story. Labour could have used today to address the country’s priorities, which the Prime Minister set out in his five pledges. It could have talked about halving inflation, which has started to fall. It could have talked about economic growth, as recession is likely to be avoided: the OECD predicts growth of 0.3% this year and 1% next year. It could have talked about falling national debt, with borrowing forecast to fall every year according to the Office for Budget Responsibility. It could have talked about reducing waiting lists. The figure for patients waiting over 18 months peaked in September 2021 at 125,000; in March this year, it was 10,737. Labour could have talked about stopping small boats. Compared with last year, crossings are down by 20%.

Has Labour chosen any of those subjects or talked about any of its own plans? No. Could that be because the news from the shadow Chancellor is that she wants to avoid unfunded spending commitments? Well, that would mean that Labour Members would have nothing to say. Could it be that even their supportive unions call their policies naive and say that they lack intellectual rigour and thinking? Where does that leave Labour? Back to the mudslinging and talking down places like the north-east.

I am sorry, but I am proud of the Conservative-led transition of the Tees Valley. Teesworks is an excellent example of an industrial area that was neglected until a Conservative politician, Ben Houchen, came along and decided to do something about it. I remind the Chamber that doing nothing with the steelworks would not have been a neutral act, either. Even standing idle, it cost the taxpayer hundreds of thousands of pounds every week, while in 2015 unions warned that clearing the site to repurpose it for housing or industrial developments would cost as much as £1 billion.

The site required so much work to become usable again that its value was in the negative hundreds of millions. Until recently, the joint venture appeared to have a level of cross-party support among local politicians. For example, the Labour leader of Stockton Council voted for it, and the independent leaders of Hartlepool, Middlesbrough and Redcar and Cleveland all approved it. A wide range of people and organisations in both the private and public sectors have been involved in the development of Teesworks, which is another reason why I find it difficult to believe that there could be some alleged secret tie-up to swindle taxpayers, as seems to be suggested.

It remains a clear and obvious fact that although the hon. Member for Middlesbrough (Andy McDonald) alleges industrial-scale corruption when he is in this place and enjoying the protection of parliamentary privilege, despite many requests he has declined to repeat those allegations where he would have to defend them. Can I also remind him that another great success story in the Tees Valley is the resurgence of Teesside airport, driven again by the Tees Valley Mayor, after its almost total demise under the control of Labour-led councils prior to his election? The airport is now enjoying further growth in both passenger numbers and as part of the Tees Valley freeport, delivering economic growth and employment.

We have already seen remarkable progress as a result of the joint venture partnership, including the demolition plan that is two years ahead of schedule. Less than £250 million of public money has been invested in the site, yet it has already secured over £2 billion-worth of private sector investment. I must also mention in passing the 2,750 long-term jobs that are being created through this project. Job creation is always appreciated, but it is all the more important in this case, where 1,700 jobs were lost with the closure of the steelworks. Now that the site is doing well, Labour has decided to use it as another opportunity to talk down the north. Considering this was the first mayoral development corporation outside London, I think the record is pretty good.

The motion is about accountability and scrutiny of Teesworks, so we ought to note that Teesworks is double audited by Mazars and Azets, whose audit is then further audited by Mazars. Surely, if corrupt or illegal decisions had been taken, they would have been spotted by at least one of the accountancy firms, rather than going unnoticed? The Mayor, as has been said, requested that the National Audit Office become involved as a result of the accusations, but the Secretary of State decided that a more appropriate step would be to commission an independent review to consider the specific allegations.

As an aside, facts are always facts. The hon. Member for Stockton North (Alex Cunningham) alleged that—[Interruption]—Martin Corney’s son, sorry, had benefited. That is just incorrect. If the hon. Gentleman would like to intervene and correct the record, that is a choice for him to make. Silence.

The Secretary of State’s determination was that it would be inappropriate for the NAO to examine individual local government bodies. The fact that the Mayor requested NAO engagement would strongly support his contention that there is genuinely no corruption, wrongdoing or illegality.

I am disappointed that the Labour motion wastes parliamentary time and once again attempts to talk down progress in the north-east. It reminds me of the Leader of the Opposition, when it was announced that the Treasury was coming to Darlington, stating that it was not levelling up, it was giving up. With the success of Teesworks, Teesside airport, the Darlington Economic Campus and so on and so on, I for one am proud of what the Conservatives are doing to level up the Tees Valley. I hope that when we get a north-east mayor for the LA7, they will also be a Conservative and deliver in the same way that Ben Houchen has delivered, meaning that all my Sedgefield constituents can be as well served as that portion who reside in the Tees Valley.

[Mr Deputy Speaker (Mr Nigel Evans)]

That was under eight minutes, so thank you.