Question to the Department for Business, Energy and Industrial Strategy:

To ask the Secretary of State for Business, Energy and Industrial Strategy, with reference to paragraph 4.54 of the Autumn Budget 2017, how the Government plans to increase the productivity levels of the North East in its upcoming Industrial Strategy.

Local industrial strategies will identify local strengths, future opportunities and the action needed in each area to boost productivity and competiveness, based on rigorous analysis.

Through our Industrial Strategy, we will make sure that we are using all the tools we have to stimulate growth in places such as the North East. This includes through the North East LEP Growth Deal which is supporting jobs growth and economic development with £379.6m of Local Growth Fund. The North East LEP estimates that their Growth Deal will lead to the creation of 8,000 jobs.

Whilst it is not region specific the North East can take advantage of the further investment of £725m in a second wave of the Industrial Strategy Challenge Fund across the UK to respond to some of the greatest global challenges and opportunities and support sector productivity. We will also increase the National Productivity Investment Fund, by £8bn taking it to £31bn and extending to 2022-23. This will support investments in transport, housing and digital infrastructure. In addition:

• 815,000 people living and working in the North of Tyne will benefit from an ambitious devolution deal agreed between the government and the North of Tyne authorities. This includes a new £600 million long-term investment fund over the next thirty years to be spent on local priorities, such as skills and employment, adult education, and rural productivity.

• Increasing national research and development spending to 2.4 per cent, boosting the North East’s strength in research and innovation

• The Tees Valley Combined Authority will receive £59 million from a new £1.7 billion Cities Transformation Fund. Funding will be invested in transport projects which drive productivity by improving connectivity and reducing congestion.