Teesworks: Accountability and Scrutiny

Robert Goodwill Excerpts

Wednesday 7th June 2023 Commons Chamber

[Sir Robert Goodwill (Scarborough and Whitby) (Con)]

Would the hon. Lady not agree that Teesside did not prosper or grow for decades after the demise of heavy industry and that it was only when Ben Houchen came along and started delivering for the people that people started realising that the Conservatives on Teesside were delivering, when Labour had failed for generations?

[Lisa Nandy]

I will take absolutely no lessons from a representative of a political party that stood aside and watched as the Tees works collapsed in 2015.

Labour is therefore asking the Government to provide all papers, advice and correspondence, including Ministers, senior officials and special advisers, relating to the decision by the Secretary of State and the Prime Minister to commission a review into the Tees Valley Combined Authority’s oversight of the South Tees Development Corporation and the Teesworks joint venture, including papers relating to the decision that the review should not be led by the National Audit Office.

--- Later in debate ---

[Lee Rowley]

I am grateful to my right hon. Friend for clarifying that important point, particularly in respect of the Department.

It is important, given the inferences by the Opposition, to highlight what has actually been put in place. The specific terms of reference and the announcement that was made long before today are clear about the intention of the Government to clarify this matter. The review will be led by Angie Ridgwell, who is currently chief executive of Lancashire County Council and has over 30 years of experience across local government, central Government and the private sector. She will be supported by Quentin Baker, a qualified solicitor and director of law and governance at Hertfordshire County Council, and by Richard Paver, who brings significant financial experience and knowledge of combined authorities from his previous role as the first treasurer of the Greater Manchester Combined Authority. They bring significant experience of senior public leadership, specific financial and legal expertise, and confidence of detailed scrutiny. All Members of the House should support their important work so that they can proceed quickly and free from partisan comments.

There is still time for Labour Members to articulate why they are suddenly so keen on NAO-led inquiries in local government when they have not been keen on them before. When there are challenges or potential questions, there is a long-standing precedent of someone other than the NAO reviewing and assessing those concerns. Why should Labour Members know this? Because, as I said, they endorsed this process in the Local Government Act 1999. They confirmed that the Secretary of State could determine the approach where there were questions about local government bodies, and as far as I am aware, they have not critiqued the use of those powers when they have been used multiple times before, including in the last few weeks. Perhaps Labour Members could tell me which parts of the Local Government Act 1999—their Act, their decisions, their choices—they have randomly, abruptly and arbitrarily decided, simply for the purposes of an Opposition day debate, that they no longer wish the Government to apply.

If Labour Members are deciding that they no longer want to use the established regime, perhaps they could tell me which of the established reviews, inquiries, panels or commissioners they wish to switch into their newly preferred process. I do not remember this being requested when the Secretary of State intervened following an external review of Labour-led Sandwell Council in 2021, following allegations of serious misconduct by members and officers that painted a deeply troubling picture of mismanagement. Should we move that to an NAO review?

I do not remember Labour suggesting this approach when the then Secretary of State determined to appoint experts to carry out an inspection at Labour-led Liverpool City Council in 2020 as a result of arrests made on suspicion of fraud, bribery, corruption and misconduct in public office. [Interruption.] There is a lot of chuntering on the Opposition Benches, but are they seeking to bring the NAO into that? The hon. Member for Wigan talks about hand-picking, but the Labour party appointed its own inquiry into the wrongdoing. That inquiry was led by a former Labour MP, supported by a peer newly ennobled by the right hon. and learned Member for Holborn and St Pancras (Keir Starmer). And I cannot remember the Labour party requesting an NAO review of Labour-led Croydon Council after a number of serious concerns about the council’s governance and risk management were outlined in a public interest report by external auditors in 2020.

The cold, hard facts are these: the Mayor of Tees Valley has had much success over the past half a decade in bringing jobs, growth and economic development to an area that is now on the up and thriving again, thanks to its Conservative leadership and its engaged and constructive Conservative Members of Parliament. On this specific issue, the Government agreed to a request from the Mayor for a review, which is being set up in a similar way to other reviews. Those who will be involved have been appointed as others have been appointed in the past. The terms of reference have been published using a similar process and, if there is an issue, we will deal with it in the normal way. The experts who are giving of their time and expertise should now be given the time to get on with the job, in the normal way, and to present their conclusions when they are ready.

[Sir Robert Goodwill]

The hon. Member for Wigan (Lisa Nandy) repeatedly called the site an asset, but it was a heavily contaminated industrial site. Indeed the former Labour Member of Parliament for Redcar, Vera Baird, suggested it could cost up to £1 billion to clean up the site. It is now an asset, but only because of Ben Houchen’s actions.

[Lee Rowley]

My right hon. Friend is absolutely right, and that is one of the few facts that the hon. Member for Wigan left out of her contribution, in which there was no clarity about what she is actually alleging.

These are serious matters. Serious allegations have been made, and it is incumbent on us all to clarify the position as soon as possible, for the good of Tees Valley. The review we have set up will do that, and we look forward to it reporting in the usual way at the earliest opportunity. Members should welcome and support the review, and I hope against hope that, in the next two hours, they may still do that.