(8 months, 1 week ago)Westminster Hall
My hon. Friend does not need an answer from me on that point. Why has our area lost out? Where was the Tees Tory Mayor when the orders were being handed out? He was nowhere to be seen.
No doubt some will claim that jobs have been boosted in the area, but it is going to take a few more media pictures of the Mayor in a hard hat to convince me of that. The cost per job created in the Tees Valley Combined Authority area is calculated at £96,093. That means that for every job created in the last three years, the Mayor has spent nearly a hundred grand. How on earth is an approach like that going to deliver the sustainable job growth our region so desperately needs? The figures are astronomical. We urgently need a fully independent audit of exactly where the millions of pounds of taxpayer money have gone.
I will not at the moment. Even if we put aside the costs, the number of jobs that have been announced barely scrape the sides of the black hole of unemployment in the Tees Valley. For every job announced in the last three years, five have been lost in the last seven months. Sadly, we cannot even get the Mayor to tell us whether those jobs are being filled, or even where they are.
The Tees Valley’s gross value added per hour worked, an indicator of productivity, continues to lag 9.1% behind the UK average. On top of that, research by iwoca has shown that businesses in the north-east have been particularly hard hit by the pandemic. As a result, the region is forecast to lose 11.7% gross value added in 2020. That will wipe out all the economic growth in the north-east since 2004. We will be back to where we were 16 years ago.
Opportunities presented by the possibilities of carbon capture and storage, a freeport and civil service relocation may be part of the answer, but they are simply not enough. I welcome incentivising businesses to come to the Tees Valley, but it will not be much comfort to local businesses that fall outside the free port area and are anxious about the potential loss of EU trade and new tariffs.
This is not just about jobs. While I am all for planning for the Tees Valley’s future, the impact of Brexit and the pandemic is felt by our communities now. A 10-year plan is no good to my constituents, who contact me worried about how they are going to pay their bills this month. Last month, statistics released by the End Child Poverty coalition showed that the north-east has seen the biggest rise in child poverty in the UK. In my constituency, the proportion of children living in poverty has risen to 34%; in others in the Tees Valley, the figure is higher still. It is a tragedy and a scandal.
In Stockton North, 3,109 families with children received universal credit in May 2020, and 1,700 families with children received working tax credit. Behind those numbers, there are thousands of living, breathing children, plunged below the breadline as a result of having poorly paid jobs—or no jobs at all in their family. I am deeply disappointed that today the Chancellor has not listened to calls to retain the increases in universal credit and working tax credit, so that families with children could keep that small but vital economic support. Across the Tees Valley, 79,000 families are affected. This is a Government who would rather spend millions on the festival of Brexit than bring children out of poverty by retaining even small benefit increases, or than feed them during all school holidays. This is not levelling up; it is grinding down.
We all know that where economic inequality thrives, so do health inequalities. Stockton-on-Tees is often used as a case study to highlight health inequalities in the UK. Men who live in the town centre are expected to live 18 years fewer than their peers just a couple of miles down the road. I have lost count of the number of times I have heard Tory Ministers promise to tackle these worrying inequalities, but nothing has happened. The people of Stockton were promised a new hospital building, but 10 years later, it is yet to materialise. We just get occasional scraps that do nothing to plug the gap.
The Health Secretary visited the University Hospital of North Tees recently. I prayed he was going to announce its replacement, as I knew a statement was coming up within a few days. The statement came, but North Tees was not on the Health Secretary’s list. Surely any commitment to levelling up the Tees Valley must have addressing health inequalities at the core of its mission, and a new hospital has a major role to play in that.
A proper levelling-up agenda would be such a boon for Teessiders, but while the Tories claim that that agenda is already under way in the Tees Valley, there are serious obstacles that will prevent its delivery. Just last week, the think-tank Demos published a new report, “Achieving Levelling-Up: The Structures and Processes Needed”. It concludes that while levelling up is possible,
“there is zero chance of achieving it without…changes to the current system”
of devolved politics. One barrier it identifies is that the work of local enterprise partnerships and combined authorities is largely invisible, making real accountability to the public impossible.
The situation in the Tees Valley Combined Authority area is much more concerning than that, because the Tory Administration are not just invisible in terms of accountability, but are actively obstructing proper scrutiny. The Mayor has created a web of different companies and organisations through which he spends public money, but is shielded from vital public scrutiny. There are even reports that donors to his campaign have been appointed to significant positions in those companies and organisations. Decisions are often made outside formal meetings, through a complex network of political and business relationships and friendships, informed by advice from expensive consultants.
I will not at the moment. This is a chumocracy on a local scale that mirrors the widespread and despicable cronyism we have seen play out on the national stage in the Government’s constant privatisation of the response to the pandemic. It is shameful cronyism that I am worried will bear more fruit in the administration of any Tory levelling-up fund. If the management of the £3.6 billion towns fund is anything to go by, we have serious reason for concern. Billingham, in my constituency, was deemed more in need of support than towns in Tory MPs’ patches, including a town in the Secretary of State’s constituency, which was 270th on the list, but Billingham missed out and the Secretary of State’s constituency did not.
It is clear from the Chancellor’s announcement today that the Government are not going to invest the money that the Tees Valley needs to overcome the destabilising impact of Brexit and the pandemic on our communities and industries. While he splurges on whizzy defence gadgets and Brexit festival guff, public sector pay and benefits are largely frozen. These freezes will actively discourage the growth that we need in the Tees Valley, and they will level down, not up.
Locally, the Tory combined authority is the one public body in the Tees Valley with money to spend, but despite that, there is no comprehensive support package for our constituents. Instead, there is the £1 million Houchen gate—£1 million of taxpayers’ money that could have done so much good, wasted on a gate. The Mayor bought the loss-making airport for about £80 million, but he has secured a few flights; some people will be grateful for that. I heard one person say today, “What use is it being able to get on a flight to Alicante when local people still can’t get a bus home after 7pm?”.
Personally, I am still a little surprised that it ever happened. Labour-led authorities at that time supported the purchase of the airport. The Mayor was elected on the promise that he would buy the airport; it was in his manifesto and others facilitated his doing it. He is the person who will have to bear the brunt of the problems that we will face in the future, including the many millions of pounds that we are going to lose, year on year.
Most certainly. I cannot understand why anybody wants to hide where the public money has been spent. I know that there are different people involved in all these different companies. I would like to know what their agenda is. Is it the agenda of the people of the Tees Valley?
The failure of the Government, both nationally and locally, angers and saddens me. The Tees Valley is fit to burst with potential. We are ripe and ready to be levelled up; we are calling out for it. We have the potential to exploit the amazing opportunities for green industry, including carbon capture and storage. We have a high skill base, tight-knit communities and local authorities that, despite political changes, have a track record of working together, and achieving great things when they do. Sometimes, local Tories try to claim that Labour politicians are talking down Teesside.
I almost have to laugh. Talking down Teesside? It is the greatest honour of my life to represent the amazing and diverse citizens of Stockton North, and to champion the vibrant history and culture of the Tees Valley. The real problem is that for the past 10 years, the Tories have been booting down Teesside. Their mind-boggling incompetence in handling the covid crisis is yet another catastrophic kick to the region. Pointing out the heartbreaking inequalities that affect our constituents is not talking down our area. It is standing up for our area in the face of a national Conservative Government who have neglected the north-east for years. The Tees economy is on the cliff edge of a hard Brexit, and the lack of investment and post-pandemic rebuilding will push it into the abyss.
The North East England chamber of commerce policy director, Jonathan Walker, got it exactly right when he said:
“The human, social and economic cost of this is appalling. Levelling up has to mean more than just shiny projects. It must mean giving young people in our region the same life chances as they’d get in other parts of the country.”
He came out with another statement today; he said that the Chancellor’s announcement today was a missed opportunity:
“On the face of it a levelling-up fund sounds good but it is far too small in scale and ambition to be effective.”
I want our young people to get the benefits, but sadly I see no prospect of them getting the support they need. There are plenty of these shiny projects, but the absence of substance breaks my heart, because they could have so much more. Our constituents deserve better than this. They need better than this.
I appeal to the Minister to stress to his colleagues the need for true levelling up; for help sustaining jobs and creating new ones; to be open, honest and transparent when dealing with public money; to end the health inequalities that continue to blight our communities; and, perhaps above all, to give our young people real hope that they can have the careers they want and a future they can look forward to. Let us make the expression “levelling up” more than a cliché. Let us make it a demonstration of action.
(1 year ago)Commons Chamber
Eighteen of 55 patients who tested positive for coronavirus were transferred from North Tees University Hospital into local care homes between 1 March and 15 April. That was directly in line with the Government advice that a negative test was not required before discharge. A further 266 were transferred without a test. The policy changed on 16 April, but does the Minister accept that many deaths on Teesside, and perhaps thousands across the country, could have been prevented if the Government had got it right in the first place?