UK Shared Prosperity Fund Debate

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Department: Cabinet Office

UK Shared Prosperity Fund

Sarah Newton Excerpts
Thursday 5th September 2019

(4 years, 7 months ago)

Commons Chamber
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Sarah Newton Portrait Sarah Newton (Truro and Falmouth) (Con)
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It is a huge privilege to stand in the House today. We have a special word in the Cornish language: hireth. There really is no direct translation into English, but it is about a feeling that comes from being Cornish. It derives from our inspirational natural environment and from our history and culture.

As someone whose family has lived and worked in my constituency for generations, it has been a huge privilege to represent my home town. [Interruption.] Mr Deputy Speaker, just before you leave the Chamber, let me say that you were in the Chair when I made my maiden speech. As the general election is just around the corner, this may well be my last speech in this House, and it will be a speech standing up for the people of Cornwall who sent me here. Thank you, Mr Deputy Speaker, for standing and listening to me say that.

There is no doubt in my mind that the funding that Cornwall has received via the European funds has been absolutely essential. Despite the many natural wonders of Cornwall, and the hugely talented, creative and resourceful people, the fact remains that we are still the poorest region in England. There is no doubt that a huge amount of progress is being made. In no small part, that is down to the funding that we have received via the European Union. Let me explain why.

Just before the summer recess, colleagues from across the House, including my Cornish colleagues and I, supported by 14 first tier local authorities, launched a report called “Britain’s Leading Edge”, which demonstrates beyond doubt that the English regions that do not have a major city have been historically underfunded and that there is a bias in the system of the allocation of public money towards the English regions that do have cities. I am delighted that the Government have responded positively to the report and that we have seen some real progress in some of the funding formulae used to allocate funding, particularly in the NHS and the recent moves on the national funding formula for education. However, the models that the Treasury uses in the allocation of funds for transport and economic development are systematically biased against regional peripheral maritime regions such as Cornwall.

This is where the European funding that Cornwall has received comes in. It has enabled us to put that money on the table in our negotiations with the Treasury when we are securing vital investment for our infrastructure, such as roads, rail, superfast broadband and education. It is vital for future progress that anyone and everyone who represents Cornwall and the regions of the UK that do not have major cities ensures that there is dedicated funding to close those gaps and to make the progress we want.

Cornwall, like all these regions, has huge potential and capabilities that need to be unleashed. We want to play our full part in our nation. We do not want to be the poorest region. We certainly have the talent and the capability to deliver, particularly on some of the key challenges and opportunities our country faces. I think we can all agree that there is no greater challenge than facing up to climate change and environmental degradation, and our regions have the solutions; we produce the nation’s food as well as vast sources of renewable energy. We have talented people, great businesses and wonderful universities. With dedicated funding, we are more than able to meet the challenge of closing the gap. I know that the Government want to ensure that no one and no region in our country is left behind, and dedicated replacement funding for the EU funding will enable us to ensure that.

Clive Betts Portrait Mr Betts
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I wish the hon. Lady all the best for the future, as she has indicated that she will not be in this place after the election.

It is important that areas such as Cornwall get the continuation of the funding they have had in the past when we are outside the EU. But there are other areas such as South Yorkshire, which are not currently objective 1 areas but which would get objective 1 funding in the future if we were still in the EU. It is important that that is recognised in any future settlement, so that areas such as South Yorkshire get the proper funding as well.

Sarah Newton Portrait Sarah Newton
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Let me put this beyond doubt; I am just being respectful of the fact that no one has a right to a seat on these Benches. If we have a general election, I do not make any assumption about whether I will be returned to this place, but I absolutely plan and hope that the general election does send me back to this place. Far too many people in this House are complacent and see themselves automatically being re-elected. In a forthcoming general election, I know that I will have to go out and earn my right to represent my constituents here. [Interruption.] I appreciate that Madam Deputy Speaker would like me to complete my speech, which I am very happy to do.

I would like Ministers to make an unequivocal commitment in our manifesto for the forthcoming general election that Cornwall will receive, pound for pound, what it would have received had we stayed in the European Union, so that we can unleash the huge potential that we can deliver to our great nation.

--- Later in debate ---
Jake Berry Portrait Jake Berry
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I am sorry, but I must make some progress, and I would like to briefly get on to responding to the debate.

Specifically, I want to deal with the two pertinent questions, which were repeated by many others, asked by the hon. Member for Aberavon in an extremely good speech. The first was about whether the UK shared prosperity fund will respect the devolution settlement, and the answer is absolutely yes. We are clear about that, and we want to work with the devolved Administrations and metro mayors as partners. We do not want to set the UKSPF up against the devolution settlement, which we will celebrate in the country.

The second question was about when the quantum will be clear, and it will not become clear until we have completed the comprehensive spending review. I will point out, however, that the quantum from the European Union would also not be clear until 2020. People have referred to the Conference of Peripheral Maritime Regions report, but that is of course a report by a think tank. It is not a report from the European Union setting out the quantum at this stage.

Finally, turning to the guarantee provided by the Government, it is quite right that areas are worried about the future of their funding, which is why the Government have set out a guarantee—deal or no deal. This week, I was involved in discussions approving new spending in the current period of European funding, and the guarantee enables commitments to be made until 2021, and it will apply to commitments that are paid out between now and 2023, so there is certainty for projects. Projects are still being approved. With the guarantee, there will be no gap, and clarity about the quantum and the form of the UK shared prosperity fund will become clear at the comprehensive spending review, notwithstanding the fact that we are already involved in deep consultation with both the recipients of the funding—British taxpayers’ cash—and the mayors and devolved Administrations. Official level consultation is ongoing between the devolved Administrations and the UK Government. The most recent meeting took place on 2 August, and additional consultations will happen later this month.

Madam Deputy Speaker, I would have loved to have said more, but—

Sarah Newton Portrait Sarah Newton
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Will my right hon. Friend give way?

Jake Berry Portrait Jake Berry
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I am sorry, but I am unable to give way. I am bringing my remarks to a conclusion.