Commons Sense

House of Commons · Westminster Hall

Levelling-up Agenda

15 September 2021 · 8 other contributors · 9,716 words

Opened by Dan Jarvis Lab Barnsley North

Responding minister: Kemi Badenoch

EconomyTransportLocal Government

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

Read the full transcript on Parliament.uk

At a glance

Dan Jarvis raised concerns about levelling-up agenda in Westminster Hall. A government minister responded.

Key points

  • The UK has the worst regional inequality among comparable developed nations.
  • The government's levelling-up fund replaces a local growth fund worth 14% more and half its budget is taken from the towns fund.
  • A third of English areas due to get funds are not among the most deprived regions.

Key requests to Government

Will the government compensate for the reduction in EU support that matches historical funding? Will they commit fully to major projects like HS2's eastern leg and Northern Powerhouse Rail? The government must back South Yorkshire's bid for £660 million city region sustainable transport settlement funding, demonstrating commitment to ending bias towards more affluent areas.

How the debate unfolded

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

Opened the debate

Dan Jarvis Lab Barnsley North

The UK has the worst regional inequality among comparable developed nations. There are stark disparities in life expectancy, income, unemployment, education, productivity and health, exacerbated by the pandemic. The government's levelling-up fund replaces a local growth fund worth 14% more and half its budget is taken from the towns fund. A third of English areas due to get funds are not among the most deprived regions, with many Conservative MPs' constituencies receiving money despite their areas not being in the top third of deprivation index.

Other contributors (8)
  • Catherine McKinnell Lab Newcastle upon Tyne North

    Catherine McKinnell highlighted the importance of levelling up and criticised the Government for failing to address health inequalities. She pointed out that more than 400 sports and leisure facilities have closed since March 2020, including the West Denton pool in Newcastle North. According to Sport England, only 41% of children from less affluent families can swim 25 metres by the time they leave primary school compared to 84% from more affluent areas. McKinnell urged the Minister to support Newcastle City Council's bid for a new swimming pool and called for commitment to phase 2b of HS2.

  • Graham Stringer Lab Blackley and Broughton

    Asked the Minister whether she would commit funds for Manchester's bid for city region sustainable transport settlement funding.

  • Jim Shannon DUP Strangford

    He congratulates the hon. Gentleman on bringing forward a debate about the Government's levelling-up agenda, but expresses concern that Northern Ireland is not benefiting from this policy. Mr Shannon agreed with Mr Madders' enthusiasm and emphasised the importance of a partnership between MPs and local councils for successful levelling-up initiatives. He asked if such collaboration is key to achieving success.

  • Jonathan Gullis Con Stoke-on-Trent North, Kidsgrove and Talke

    Stoke-on-Trent has seen significant job growth, wage increases, and new housing developments under a Conservative-led city council. The area is creating jobs through enterprise zones like the Ceramic Valley, investing in sports facilities, and improving town centres with town deal funds. However, challenges remain, such as high childhood obesity rates and closed shops in Burslem. Gullis highlights the impact of levelling-up initiatives and calls for more investment, including a £73.5 million bid to transform city centre areas. Mr Gullis intervened to highlight the success of a gigabit broadband project in Stoke-on-Trent, funded by Government money and VX Fiber, which saved £600,000 for the Treasury.

  • Justin Madders Lab Ellesmere Port and Bromborough

    Mr Madders highlighted the importance of levelling up, stressing that success must be tangible in communities. He discussed his bid for the levelling-up fund to rejuvenate Ellesmere Port's town centre but questioned what would happen if the bid was unsuccessful. He called for a fairer distribution of resources and empowerment of local communities to address long-standing disparities in employment opportunities, earnings, and life expectancy.

  • Pat McFadden Lab Wolverhampton South East

    Mr McFadden questioned the definition and effectiveness of the Government's levelling-up agenda, highlighting past initiatives such as the new deal for communities that provided substantial funding to his constituency. He criticised cuts in local authority budgets, school funding, and tax credits for low-paid workers. Mr McFadden also pointed out that regional development agencies were abolished and replaced with underperforming LEPs, and argued that levelling up should focus on helping people succeed rather than just capital expenditure.

  • Peter Aldous Con Bury St Edmunds

    Emphasised the importance of investing in people and skills for levelling up, noting the success of the Lowestoft and Great Yarmouth enterprise zone that could create over 300 new jobs. Raised concerns about the flawed methodology for prioritising investment, highlighting discrepancies between neighbouring areas like Waveney and Great Yarmouth.

  • Richard Thomson SNP Paisley and Renfrewshire North

    The hon. Member for Paisley and Renfrewshire North criticised the UK Government's approach to levelling-up funding, highlighting that 39 of 45 towns benefitting from a £1 billion allocation were represented by Conservative MPs. He emphasised the importance of respecting spheres and tiers of government in Scotland, noting how devolution allowed Aberdeenshire and Aberdeen city to secure a £750 million city region deal. Richard Thomson also pointed out that the UK Government's levelling-up agenda undermines the Scottish Government and bypasses established governmental structures.

Government Response

Kemi Badenoch

It is a pleasure to serve under your chairmanship, Mr Robertson. I congratulate the hon. Member for Barnsley Central on securing this debate on a topic about which he has been very vocal. We both care very deeply about it, and I hope he understands that the Government feel the same way. Hon. Members raised a number of important points, and I will try to address as many of them as I can in the time allowed. Bids are being assessed by the Ministry of Housing, Communities and Local Government, the Department for Transport and other relevant Departments. Resources are not infinite, but we will do the very best we can. The Government announced record investment in infrastructure with all the benefits that will bring, setting core departmental spending to grow in real terms at nearly 4% per year on average over this Parliament. This means £140 billion more per year in cash terms than at the start of the Parliament by 2024-25. One of our more exciting policies is freeports which will create good-quality jobs, with eight new freeports announced at the Budget including one in Felixstowe to benefit areas such as Lowestoft. We have also invested £5.2 billion in a flood and coastal defence programme starting this month, allocating £1.2 billion over the years to support the roll-out of gigabit-capable broadband in hard-to-reach areas. The UK Infrastructure Bank is up and running and planning its first investment, contributing to levelling up and achieving net zero. Skills and education will be the cornerstone of our future economic success, with initiatives like the £95 million lifetime skills guarantee and funding for employer-led skills retraining boot camps. Local authorities have a part to play in driving forward funding applications, given lots of powers by the Government. We are taking a more flexible approach to devolution in England, committed to £7.5 billion of unringfenced gainshare investment for nine mayoral combined authorities over 30 years through devolution deals.

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