Commons Sense

House of Commons · Ministers' Questions

Long-term Funding Settlements

Monday 16 May 2022 · 5 questions

Summarised by AI from the official record, so it can contain mistakes.

Read the full transcript on Parliament.uk

At a glance

Answered 0 Partly answered 2 Not answered 0

Key points

  • Minister acknowledges the importance of multi-year certainty for local authorities.
  • Government is providing 54.1 billion to local government in England this year.
  • Minister emphasizes that competitive funding ensures value for taxpayers' money.

Topics (select to filter)

Questions & Answers

Q1 Justin Madders Lab Ellesmere Port and Bromborough
Economy Parliamentary Procedure Local Government
Context

The MP is concerned about the inconsistent funding for levelling-up initiatives in his constituency.

Question

I am concerned about the lack of long-term solutions to fund levelling-up projects. My constituency has faced repeated rejections from various funds like the Future High Streets Fund, Levelling-Up Fund, and others. This inconsistency creates winners and losers among communities. Can you explain how your strategy for levelling up will provide more stability?

Answer from Kemi Badenoch

We know how important multi-year certainty is to local authorities and we aim to provide it whenever possible. We are making £54.1 billion available to local government in England through this year's settlement—an increase of up to £3.7 billion on last year. We are also providing an additional £1.6 billion of grant funding per year across the spending review period.

Partly answered

Not addressed: The MP asked for a specific strategy, but the answer provided general funding figures without addressing the need for long-term stability.

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Q2 Justin Madders Lab Ellesmere Port and Bromborough
Economy
Context

The MP is upset that his constituency has not been successful in bidding for funds despite previous commitments.

Question

Long-term challenges need long-term solutions. We have had too much of an ad hoc bidding war, which creates winners and losers. Any one of those could have made a real difference to the constituency, but after each bid, we are back at square one. Can you not see that to truly level up, we need a strategy, not a lottery?

Answer from Kemi Badenoch

I am sorry that the hon. Gentleman's area has not been successful in bidding for funds, but I remind him that it has received £12.6 million from the shared prosperity fund. The levelling-up bids are competitive, and the strength of the bids is part of what is measured, so I encourage him and his local authorities to continue trying.

Not addressed: The MP asked for a change in strategy but received information about past funding successes instead.

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Q3 Alex Norris Labour (Co-op) Nottingham North and Kimberley
Economy Local Government
Context

A new study shows that many of the slowest-growing economies in the UK are in the north, contradicting government claims.

Question

A recent study by the Centre for Business Research found that more than half of the UK's slowest-growing economies will be in the north of England. Despite this, the Government's levelling-up agenda seems to lack real investment and resorts to competitive funding bids which only create winners and losers. Do you truly believe levelling up is best served by making communities compete for funds?

Answer from Kemi Badenoch

Competitive funding has its place, and we think that it has been an effective tool for protecting value for taxpayers' money. The hon. Gentleman knows that, as I said in answer to his colleague the hon. Member for Ellesmere Port and Neston (Justin Madders), that is not the only funding that we are providing. We have increased funding for local government by £3.7 billion.

Partly answered

Not addressed: The MP questioned the effectiveness of competitive bidding, but the answer provided general information about funding increases without addressing the strategy's effectiveness.

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Q4 Alex Norris Labour (Co-op) Nottingham North and Kimberley
Local Government
Context

The MP is critical of the government's levelling-up fund, citing cuts to local government over the past decade.

Question

Local government in my area has suffered significant cuts over the last ten years. Even if areas are successful in competitive bids, they remain worse off overall due to these cuts. The Government's commitment to levelling up is not matching their press releases, and the shared prosperity fund falls short of promised levels. Can you confirm that levelling up is a sham?

Answer from Kemi Badenoch

I completely reject the hon. Member's assertion. It is not true that the shared prosperity fund is less; it is more. The Opposition are looking at different sources of funding to arrive at their inaccurate figures. If he would like us to explain how it works, I would be very happy to provide him with a letter.

Not addressed: The MP asked for confirmation on the effectiveness of levelling up, but received an offer to send a letter explaining the fund instead of addressing the criticism directly.

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Q5 Patricia Gibson SNP
Scotland
Context

Bloomberg's analysis found no levelling up progress in Scotland, suggesting prioritization of London.

Question

Bloomberg's recent analysis shows no overall levelling-up progress in Scotland. The UK Government are levelling down Scotland compared with London, which has seen significant levelling-up funding since 2019. Disparities across the UK are widening. To what extent does the Minister agree that the Tories are levelling down Scotland and prioritising the south of England?

Answer from Kemi Badenoch

I am afraid that is not a statement that we accept. I looked at the Bloomberg figures, and I noticed that Bloomberg was using a 2019 baseline, when the whole purpose of levelling up is to ensure that we solve the problems identified. I would like the hon. Lady to look at the metrics that we have included in the “Levelling Up the United Kingdom” White Paper, and at the missions in it; it is through those that we will level up across the country.

Not addressed: The MP asked for an assessment of levelling-up progress but received a critique of Bloomberg's methodology instead.

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