Local Government Bill [Lords]

Simon Wright Excerpts

Thursday 25th November 2010 Commons Chamber

[Chris Williamson]

The Minister knows that we support local determination, and we know from the facts surrounding Exeter and Norwich that local councillors and the local people support unitary status for those cities. It is a fact that it offers a better governance model than the two-tier system.

[Simon Wright (Norwich South) (LD)]

Can the hon. Gentleman explain why it took 13 years for the previous Labour Government to come to that view, by which time, with a general election so close, they knew that there was a fair chance that they would never be able to deliver on it?

[Chris Williamson]

I do not accept the hon. Gentleman’s proposition. If he looks at Labour’s record of supporting local government and unitary councils around the country, he will see that we have supported unitary status where local authorities have requested it. Indeed, the previous Conservative Government created dozens and dozens of unitary authorities. I do not understand why the current Government take a different view from the Conservative Government of the 1990s.

I would also make the point that, for local people, a unitary council is a model that is much more easily understood. Where there is a two-tier system, people are confused about which authority is responsible for which services, and in some areas there is a degree of duplication in service provision. That leads to considerable confusion, which I suspect is one reason people overwhelmingly want unitary councils in Norwich and Exeter.

The Minister is also aware, as members of the Government parties across the piece must be, that cities are a significant engine for economic growth. Freeing up local authorities through the creation of unitary councils enables those councils to innovate much more effectively than they can under the two-tier system. I shall give a few illustrations of what I mean by that from the three cities in my own region, the east midlands.

Let us take the example of Nottingham city council, which was made a unitary authority in the mid-1990s by the previous Conservative Administration. It has developed a wonderful tram line infrastructure in the city, which is the envy certainly of the region and probably of the country as a whole. It has certainly been an economic driver in bringing new inward investment into Nottingham.

Similarly, Leicester is another council that was made a unitary authority in the 1990s by the previous Conservative Administration. It, too, has been extremely successful in securing inward investment, and the Queen recently opened its wonderful new Curve arts centre, a multi-million-pound project that is very well used and much admired by residents in and around the city. It is a wonderful, new, innovative arts facility not only for the people of Leicester but for people in Leicester’s hinterland and county area. That is the sort of thing that can be done if an authority is given the power to innovate through unitary status.

My own authority of Derby has also used the ability to bring inward investment into the city as a result of being a unitary council. Two or three years ago, I had the privilege of opening a wonderful new shopping centre that the council was instrumental in bringing about. That would have been considerably more difficult had it continued to be a lower-tier authority. Derby was yet another local council made a unitary authority by the previous Conservative Administration in the 1990s.

--- Later in debate ---

[Chris Williamson]

Yes, there would still be a Norfolk county council and a Devon county council, but the fact remains that there would be far fewer councillors than there are now. There would certainly be the reduction in backroom staff in Devon and Norfolk that is necessary at the moment. That fact was recognised by previous Conservative Governments, which is why they were so keen to create so many unitary councils, which Derby, Nottingham, Leicester and many other local authorities around the country benefited from. The hon. Gentleman is on shaky ground if he is suggesting in some way that there is no duplication in the two-tier model that we have in Norwich and Exeter.

[Simon Wright]

What is the hon. Gentleman’s assessment of the savings that would be produced by reducing the number of councillors? He said early in his speech that that was one of the main savings. I ask that particularly as the shadow boards that were set up paid considerable salaries to councillors who were already earning a council allowance.

[Chris Williamson]

The hon. Gentleman should not get too hung up on the issue of councillors. I explained that reducing their numbers represented not one of the main savings, but just one of the savings. If the hon. Gentleman looks at the impact assessment that was carried out at the time, he will see that it illustrated that the savings across the piece for Norwich and Exeter would be about £6.5 million per annum. That is an unanswerable fact, and I should have thought that the Government supported it.