Commons Sense

House of Commons · Westminster Hall

Productivity: Rural Areas

14 October 2020 · 14 other contributors · 8,935 words

Opened by Scott Mann Con North Cornwall

Responding minister: Kemi Badenoch

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

At a glance

Scott Mann raised concerns about productivity: rural areas in Westminster Hall. A government minister responded.

Key points

  • Cornwall has the lowest productivity rate in the UK, 32% below the national average as of February 2019.
  • The rural productivity gap is attributed to geographical and historical factors leading to underinvestment.
  • The government is urged to invest in technical colleges, degree apprenticeships, and improve broadband and mobile connectivity.

Key requests to Government

The Minister is asked to continue investing in technical colleges and degree level apprenticeships, ensure everyone has access to good-quality broadband and mobile connectivity, support planning policies designed to promote economic growth for rural and coastal communities, push for a bigger role of digital and virtual health services, and funnel R&D funding into farming sector innovation.

How the debate unfolded

MPs spoke in turn to share their views and ask questions. Here's what each person said.

Opened the debate

Scott Mann Con North Cornwall

Cornwall is recognised as having the lowest productivity rate in the UK, with figures from February 2019 showing it was 32% below the national average. The rural productivity gap exists due to a combination of geographical and historical factors, leading to underinvestment in already affluent areas which exacerbates inequalities.

Other contributors (14)
  • Cherilyn Mackrory Con South East Cornwall

    Ms. Mackrory supported the Camelford bypass and highlighted Cornwall's need for diversification in employment, proposing an apprenticeship scheme for fishermen. She mentioned Truro and Penwith College's efforts to align courses with market demands and expressed optimism about Cornwall's green recovery initiatives.

  • Dave Doogan SNP Angus and Perthshire Glens

    Rural communities' needs are often overlooked in government policy, despite their significant economic contribution. Dave Doogan highlighted the need for greater investment in rural areas to increase productivity and suggested that regional cities should act as hubs supporting local businesses. He also stressed the importance of physical and digital connectivity, particularly superfast broadband, which is essential for the hospitality industry. Additionally, he mentioned Scotland's commitment to support the rural economy through various measures including a new place-based approach to integrate business support.

  • David Warburton Con South Dorset

    The MP emphasized the importance of technology and infrastructure investment in closing the rural productivity gap, particularly stressing the need for reliable digital connectivity. He also highlighted the significance of diverse industries beyond agriculture, such as logistics companies, to the local economy.

  • Fay Jones Con Carmarthen West and South Pembrokeshire

    My constituency is heavily rural with limited connectivity options, leading to a significant digital divide. Only 50% of households in Sennybridge have superfast broadband availability compared to the UK average of 95%. The Welsh Labour Administration has prioritised urban areas over mid-Wales for investment in superfast broadband.

  • Jim Shannon DUP Strangford

    Discusses the dairy industry's importance in Northern Ireland, highlighting the potential for global trade post-Brexit, and underlines the role of banks and broadband in rural areas.

  • John Howell Con Henley

    Rural areas are diverse and many are prosperous, with a shift towards a new rural economy. In my constituency, there is support for entrepreneurship and innovation through activities like the UK's centre for fusion at Culham. Access to technology and connectivity, especially broadband, is crucial for these efforts.

  • Miriam Cates Con Penistone and Stocksbridge

    Ms. Cates discussed the importance of reliable broadband for rural productivity, citing a survey where nearly 60% of respondents reported slow or very slow internet speeds. She advocated for innovative local solutions to improve connectivity through community power initiatives.

  • Neil Parish Con Tiverton and Honiton

    The MP expressed concern about the A303 road development, advocating for a tunnel under Stonehenge and improvements to rural digital connectivity. He also highlighted the need for better education facilities and proposed the construction of a new school in Tiverton at an estimated cost of £40 million.

  • Paul Girvan DUP Lagan Valley

    The MP discussed issues faced by rural businesses in Northern Ireland, such as broadband connectivity and zoning restrictions that hinder business expansion. He called for access to the apprenticeship fund to support rural productivity and diversification of farms.

  • Richard Drax Con South Dorset

    My constituency includes two seaside resorts and needs further investment beyond what has been received so far. We need a road north for better accessibility, improved connectivity with broadband and mobile services, more funding to upgrade Weymouth College for youth opportunities, and support for outdoor education centres.

  • Robert Largan Con High Peak

    Mr. Largan highlighted the Hope Valley railway line's poor punctuality and campaigned for capacity upgrades to improve services. He also emphasized the need for better transport infrastructure in deprived areas like Gamesley, advocating for a new railway station and improvements in bus services. Mr. Largan stressed the importance of full-fibre broadband rollout to enhance rural productivity.

  • Welsh constituency achieved the first universal service obligation in Wales, with £5 billion promised by the UK Government but challenges remain. Emphasizes devolving powers locally and addressing small and medium-sized businesses needs.

  • Tim Farron Lib Dem Westmorland and Lonsdale

    One in four constituents work for themselves as entrepreneurs, but 90% rely on copper wires for internet connectivity. This is a 20th-century solution to a 21st-century problem.

  • Wes Streeting Lab Ilford North

    The MP highlighted the regional imbalance in the UK economy, emphasizing the need to redistribute power and opportunity from London and the south-east to the rest of the country. He supported the importance of understanding the diversity of rural businesses beyond farming, forestry, and fishing, noting that 85% of rural businesses are unrelated to these sectors. The MP also addressed challenges such as lower productivity in rural areas, higher employment but lower pay, difficulties in accessing finance due to bank branch closures, and poor digital connectivity compared to European standards.

Government Response

Kemi Badenoch

It is a delight to be with you on your debut chairing of a Westminster Hall debate, Ms Ghani. I join others in congratulating my hon. Friend the Member for North Cornwall (Scott Mann) on securing this important debate. As the Member of Parliament for Saffron Walden, a beautiful rural constituency in north Essex, I share many of the concerns raised today. In fact, if I was not a Treasury Minister, I would no doubt be here talking about the same things. I thank hon. Members for their many insightful and constructive contributions. As recently as last week, the Prime Minister expressed his view that the only way to ensure true resilience and long-term prosperity is to raise the overall productivity of the country. In saying that, he was not talking only about our cities, as the hon. Member for Ilford North (Wes Streeting) referenced. When this Government talk about boosting productivity, levelling up and building back better, we are talking about the entire country—north and south, east and west, urban and rural. Rural areas do not just make up most of this country by land area. They are integral to the commerce and culture of every nation and region of the UK. In England alone, more than 9 million people live in rural towns, villages and hamlets, each a unique settlement with its own distinctive history and identity. These communities produce much of the food we eat and preserve the green spaces that we love to visit and that our wildlife relies on. The Government are proud of the contribution that rural businesses make to our national economy, and we are determined to help rural areas harness their full economic potential. Rural areas typically have higher rates of employment and lower rates of unemployment and economic inactivity. We are committed to protecting farm budgets for the duration of this Parliament and will transition away from area-based direct payments towards a new system based on giving public money for public goods, which will help our farmers become more productive, efficient and environmentally sustainable. The Government have also committed to maintaining funding for fisheries across the UK nations throughout this Parliament. We are spending over £27 billion on strategic and local roads through the road investment strategy 2 from 2020 to 2025—the largest ever investment in England's strategic roads. This includes £2 billion for building the A303 tunnel and confirmed development funding for the A39 Camelford bypass as part of the major roads programme. The Government have announced a £5 billion investment to transform bus and cycle links in every region of England, supported by an ambitious cycling and walking plan published in July and a national bus strategy that will be delivered in the coming months. In the Budget, the Chancellor also announced a £2.5 billion potholes fund over this Parliament to address local road maintenance backlog. We have introduced new payments to employers for hiring apprentices under 25 (£2,000) and those aged 25 or above (£1,500). The Government recognise that rural communities need affordable housing; nearly 165,000 affordable homes have been provided in rural local authorities since 2010. At least 10% of the new affordable homes programme will be delivered in rural locations and those homes will be exempt from the new right to shared ownership. The national planning policy framework allows entry-level exception sites in rural areas for affordable housing where sites would not normally be used for housing. Local planning authorities are encouraged to support opportunities to bring forward such sites, but we recognise that this delivery mechanism is underused and intent to update the planning guidance in due course.

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