Asked by: Tanmanjeet Singh Dhesi (Labour - Slough)
Question to the Department for Education:
To ask the Secretary of State for Education, what steps his Department is taking to support (a) further education and (b) skills development in less economically productive regions.
Answered by Robert Halfon
This government has introduced long-term structural reforms and investment, which is designed to give people the skills they need to get good jobs and boost productivity across the country, including in less economically productive areas.
Last year HM Treasury launched a public sector productivity review which found that the department has a crucial role to play in driving up productivity in the economy as a whole. Skills are responsible for a third of productivity growth between 2001 and 2019. As a result of its efforts to drive up education standards since 2010, the department has improved pupil and learner outcomes and thus contributed to wider productivity gains. The department also contributes to wider productivity in other ways, such as through support with childcare costs that helps new parents to take up jobs that fully utilise their skills. Moreover, the education sector is one of the UK’s largest construction customers, representing around 17% of total construction output.
Last year, the government also published its Levelling Up White Paper aimed at tackling geographical inequality and skills gaps. The department’s skills mission is for 200,000 more people to successfully complete high-quality training each year in England by 2030, with 80,000 more in the lowest skilled areas. Achieving this will require strong and dynamic local leadership.
The department has committed to devolving core adult education budget (AEB) to every new area of England that wants a devolution deal by 2030. The department has already devolved over 60% of the AEB to ten areas, with new deals agreed with a further eight areas. This enables devolved authorities to use the AEB to shape education and skills provision in a way that best fits the needs of their residents and local economy, including in disadvantaged areas.
In summer 2023, 38 local skills improvement plans (LSIPs) were rolled out across all areas of the country. These employer-led, locally-owned plans have galvanised and brought together businesses, providers, local leaders and stakeholders everywhere, to help better align provision of post-16 technical education and training with local labour market needs.
In disadvantaged areas and communities, LSIPs are also supporting the identification and removal of specific local barriers. For example, in some rural areas, the LSIP has reviewed ways that local and regional stakeholders can collaborate to leverage funding to help resolve the impact of a lack of accommodation and transport on the recruitment and retention of employees, tutors and students. The department has also made it clear in statutory guidance that LSIPs should add value to relevant local strategies and effectively join-up with other parts of the local skills system, including universal credit claimants via Job Centre Plus. This will mean that any new proposed skills provision is also suitable for people who may encounter additional barriers to gaining the skills needed to fill local job vacancies and ensure all learners are able to unlock their full potential and progress in work.
The department has provided a £165 million local skills improvement fund to help respond to the skill needs identified in the LSIPs. LSIF funded projects will enable learners and employers across all areas of the country to access new innovative technology and industry standard teaching and facilities, with allocations to each area taking account of existing attainment and productivity levels. LSIF projects were announced in November 2023 and include training to plug key skills gaps identified by employers through the local skills improvement plans as priorities. Together, LSIPs and LSIF are a great tool to spread opportunity across the country and boost local economies to the benefit of all.
The department has committed to supporting freeports in England, which are special areas within the UK’s borders where different economic regulations apply aimed at stimulating growth. The department will do this through establishing linkages between key partners and freeports to strengthen the skills offer available to freeports, championing joint working between freeports, local colleges and institutes of technology and raising the profile of freeports and investment zones, when established, with relevant provider sector bodies.
Asked by: Martyn Day (Scottish National Party - Linlithgow and East Falkirk)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Levelling Up, Housing and Communities, what recent discussions his Department has had with the Scottish Government on taking steps to support (a) Inverness and Cromarty Firth Green Freeport and (b) Forth Green Freeport.
Answered by Jacob Young - Parliamentary Under Secretary of State (Department for Levelling Up, Housing and Communities)
Both Green Freeports are receiving significant support from UK and Scottish Governments, including access to £1 million capacity funding for each Green Freeport, dedicated expertise and advice from the Freeports Consultancy Hub and support from officials from both UK and Scottish Governments.
Asked by: Conor McGinn (Independent - St Helens North)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, what steps her Department is taking to help support the (a) Liverpool City Region and (b) Metropolitan Borough of St Helens in the context of its status as a freeport.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The Department for Business and Trade (DBT) supports UK Freeports to attract new investment, boost trade and create thousands of jobs in their surrounding areas.
DBT provides tailored support to Liverpool City Region Freeport to develop and implement an ambitious trade and investment strategy, including to promote the advanced manufacturing and logistics opportunity at Parkside St Helens, as one of the Freeport’s strategic tax sites.
Support provided by DBT includes the creation of bespoke marketing collateral and engaging potential investors at international events through DBT’s global network. In November, DBT supported the Freeport’s presence at the Arab British Economic Summit to target investment from the Middle Eastern market.
Asked by: Emily Thornberry (Labour - Islington South and Finsbury)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, pursuant to the Answer of 4 December 2023 to Question 4105 on Freeports, how many of the 12 freeports were recorded as having (a) a number of jobs created as a result of verified foreign direct investment of (i) 0-50, (ii) 51-100, (iii) 101-150, (iv) 151-200 and (v) more than 200 and (b) an amount of capital expenditure resulting from that investment of (A) £0-£50 million, (B) £51-£100 million, (C) £101-£150 million, (D) £151-£200 million and (E) more than £200 million between December 2021 and November 2023.
Answered by Nusrat Ghani - Minister of State (Minister for Europe)
The investments making up the totals published on 24 November 2023 are spread across the 12 Freeports but details of individual investments are commercially sensitive.
This means that releasing information that indicates the specific characteristics associated with these investments risks identifying the identity of the companies. The limitation prevents the Department for Business and Trade to publish further detail about the investments.
Asked by: Gregory Campbell (Democratic Unionist Party - East Londonderry)
Question to the Department for Levelling Up, Housing & Communities:
To ask the Secretary of State for Levelling Up, Housing and Communities, pursuant to the Answer of 16 November 2023 to Question 1461 on Enterprise Zones, when he expects to receive the results of the next monitoring and evaluation of Freeports and Investment Zones.
Answered by Jacob Young - Parliamentary Under Secretary of State (Department for Levelling Up, Housing and Communities)
The Monitoring and Evaluation strategy, available on gov.uk, sets out how we will monitor and evaluate the impact of the UK Freeports programme. We will publish a report of our findings to date early next year in the UK Freeports annual report.
Asked by: Lord McCrea of Magherafelt and Cookstown (Democratic Unionist Party - Life peer)
Question to the Department for Levelling Up, Housing & Communities:
To ask His Majesty's Government why Northern Ireland was omitted from the Chancellor’s plan to create more freeports or ‘investment zones’ within the UK.
Answered by Baroness Penn - Minister on Leave (Parliamentary Under Secretary of State)
We continue discussions about how best to deliver the benefits associated with Freeports and Investment Zones in Northern Ireland. Any decision will be subject to the restoration of an Executive.
Asked by: Lord Taylor of Warwick (Non-affiliated - Life peer)
Question to the Department for Levelling Up, Housing & Communities:
To ask His Majesty's Government what steps they will take to ensure that the Plymouth Freeport project contributes to creating a favourable environment for small businesses to access finance opportunities.
Answered by Baroness Penn - Minister on Leave (Parliamentary Under Secretary of State)
Freeports offer significant advantages to SMEs, including reduced taxes, simplified customs, improved infrastructure, and most notably, the fostering of business clustering environments. Plymouth and South Devon Freeport is focussed on developing incubator units at the new innovation centre which will provide an ideal environment to encourage SMEs. With Freeports now operational, they will continue engagement with SME bodies, ensuring they are well-informed and supported to capitalise fully on these collaborative environments and other advantages Freeports offer.
On 20 November we were delighted to announce that Plymouth City Council were provisionally allocated £19,946,417 in Round 3 of the Levelling Up Fund which we hope will accelerate Plymouth's waterfront regeneration.
Asked by: Emily Thornberry (Labour - Islington South and Finsbury)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, with reference to her Department's publication entitled Inward investment in to freeports: December 2021 to November 2023, published on 24 November 2023, what are the equivalent estimates for the (a) number of jobs created and (b) amount of capital expenditure generated as a result of investment by UK resident entities over the period covered by that publication.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The publication entitled Inward investment in to freeports: December 2021 to November 2023, published on 24 November 2023 confirms verified foreign investment into Freeports. The Department for Business and Trade can only provide verification for foreign direct investment into the UK, not domestic investment, so we are unable to provide equivalent estimates.
Asked by: Emily Thornberry (Labour - Islington South and Finsbury)
Question to the Department for Business and Trade:
To ask the Secretary of State for Business and Trade, with reference to her Department's publication entitled Inward investment in to freeports: December 2021 to November 2023, published on 24 November 2023, if she will detail which freeports the (a) 1,421 jobs and (b) £1,278 million of capital expenditure were attributed to in that publication.
Answered by Greg Hands - Minister of State (Department for Business and Trade)
The investments making up the totals published on 24 November 2023 are spread across the 12 Freeports but details of individual investments are commercially sensitive. This means that publishing the specific location associated with these investments risks identifying such commercially sensitive information. The limitation prevents the Department for Business and Trade to publish further detail about the investments.
Asked by: Sarah Olney (Liberal Democrat - Richmond Park)
Question to the HM Treasury:
To ask the Chancellor of the Exchequer, if he will make an estimate of the potential impact of tax reliefs in (a) freeports and (b) investment zones on tax revenues in each financial year between 2023-24 and 2028-29.
Answered by Nigel Huddleston - Financial Secretary (HM Treasury)
The Office for Budget Responsibility has published estimates for the potential impact of the Freeport tax reliefs in England, Scotland and Wales in economic and fiscal outlook publications at previous fiscal events as below:
- English Freeports: CP 545 – Office for Budget Responsibility – Economic and fiscal outlook – October 2021 (obr.uk) (page 205)
- Scottish Freeports: Economic and fiscal outlook - March 2023 (obr.uk) (Page 160)
- Welsh Freeports : Fiscal_supplementary_tables_receipts_and_other_November_2023.xlsx (live.com)