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East Midlands Economy
07 September 2021
Lead MP
Ben Bradley
Mansfield
Con
Responding Minister
Luke Hall
Tags
EconomyHousingTransportBenefits & WelfareLocal Government
Word Count: 14586
Other Contributors: 10
At a Glance
Ben Bradley raised concerns about east midlands economy in Westminster Hall. A government minister responded.
Key Requests to Government:
The MP asks the Government to back the four major projects for investment: support the development corporation in planning legislation this autumn; back the freeport bid once the outline business case is submitted; include Toton and its surrounding plans within the integrated rail plan decision; and agree early devolution packages. Ms Greenwood asks the Government to keep promises and deliver investment needed for the east midlands to grow strongly. She urges MPs on all sides to stand up against proposed cuts to universal credit, which would result in more than £1,000 a year lost by over 9,500 households in her constituency.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
The East Midlands has a diverse economy of £99 billion and over 175,000 businesses but it receives some of the lowest levels of Government investment compared to other parts of the UK. Ben Bradley highlights four major opportunities for the region: the establishment of an East Midlands Development Corporation, securing an east midlands freeport, ensuring that Toton is a key part of the integrated rail plan, and pushing forward with devolutionary measures such as county deals to better leverage local initiatives. Ms Greenwood is concerned about the challenges her constituents have faced due to the pandemic, including job and income losses. She highlighted that over 76,000 workers are on zero-hour contracts with no sick pay, and many people feel uncertain about their economic future. Wages in the east midlands have fallen by more than £10 per week in real terms over the last decade, homelessness has increased by 55% since 2010, and there were 101,534 food bank referrals in the region before the pandemic.
Bassetlaw
Bassetlaw should be a key player in the east midlands economy. The STEP project could boost the area, and there are opportunities to develop green energy projects. Improvements to rail links and road infrastructure would support local businesses, as well as the establishment of an east midlands freeport. Clarke-Smith supports the case for HS2 going through Toton.
Darren Henry
Con
Broxtowe
The east midlands is facing a growing economic gap compared to the west midlands. The full delivery of HS2, including Toton and Chesterfield, would mitigate this imbalance. Recent funding commitments from the Government for Broxtowe include £21.1 million for Stapleford and an opportunity to bid for £20 million for Kimberley as part of the levelling-up fund. Transport investment is crucial for economic growth, and terminating HS2 at East Midlands Parkway or elsewhere short of Toton would not achieve transformative benefits for the east midlands.
Jane Hunt
Con
Loughborough
Ms Hunt highlighted the resurgence of economic potential in the east midlands, contributing to 5.9% of UK GDP in 2019 due to growth in sectors like life sciences and hydrogen technology. She mentioned companies such as Intelligent Energy planning a gigafactory for hydrogen fuel cell manufacturing and the role of Loughborough University in energy research. Ms Hunt also discussed initiatives including town deal funding worth over £40 million, freeport at East Midlands airport attracting investment, and infrastructure projects valued at £7.8 million from the getting building fund.
Jeff Smith
Lab
Manchester Withington
The east midlands economy faces lower GVA growth figures, less investment, and lower productivity compared to the rest of the UK. Key manufacturing jobs are at risk due to economic shocks, and 40% of key workers earn less than £10 an hour. The region needs improved transport infrastructure such as HS2, electrification of the midland main line, and better connectivity for economic growth. Additionally, there is a need for support in green industries with up to 400,000 new low-carbon jobs proposed through a green new deal.
Lee Rowley
Lab
Rother Valley
The MP highlighted the achievements and opportunities in the east midlands, including broadband progress, town deals for Staveley and Clay Cross, a new free school, and infrastructure projects such as the Staveley bypass. He emphasised the importance of levelling up education and skills to ensure long-term success.
Lilian Greenwood
Lab
Nottingham South
She expressed confusion over the hon. Gentleman's stance on HS2's eastern leg and highlighted its importance for connectivity to Leeds, York, the north-east, Scotland, and the west Midlands. She also pointed out that over 10,000 families in her constituency will lose £20 a week when universal credit is cut next year, questioning its impact on the local economy. Discussed the importance of supporting people in meeting their basic needs post-covid recovery and acknowledged ongoing support efforts from Mansfield and Nottinghamshire County Council. Asked the Minister whether his Government intends to address the east midlands' lower than average government investment in areas such as transport, and if priority will be given to an area like the east midlands that historically has missed out.
Margaret Beckett
Lab
Derby South
Expressed mixed feelings about the debate's focus on the freeport initiative, noting past skepticism regarding freeports. Highlighted the east midlands' frequent position at the bottom in Government investment for transport and mentioned 76,000 people in zero-hour contracts.
Nadia Whittome
Lab
Nottingham East
She expressed concern about the negative impacts of a decade of cuts and austerity, exacerbated by the Government's handling of the pandemic. She highlighted issues such as poverty, homelessness, business closures, job losses in low-paid sectors, and upcoming reductions in universal credit for families. Whittome called for investment in green jobs to decarbonise the economy and questioned the lack of devolution deals for the east midlands compared to other regions like Cornwall, Tees Valley, and London. Inquired about the metric used for levelling-up fund calculations, questioning why constituencies with high child poverty rates, such as hers, are not considered priorities despite areas like the Chancellor's constituency receiving funds.
Ruth Edwards
Con
Rushcliffe
Described the east midlands as a vibrant, dynamic region with strong manufacturing and logistics sectors, noting innovations such as JCB's hydrogen-fuelled engine. Highlighted issues like below-average productivity, low public sector investment, and lower profile compared to other regions. Emphasised opportunities like the east midlands freeport which could create over 58,000 jobs and enhance regional connectivity through HS2.
Toby Perkins
Lab
Chesterfield
He criticised the Government's indecisiveness regarding the eastern leg of HS2, questioning how this lack of commitment undermines the case for investment in the East Midlands. He congratulated the hon. Member for Mansfield on securing the debate and highlighted the importance of HS2 to the east Midlands economy, criticising the Government's lack of commitment and consistency in delivering infrastructure investment over 11 years. He pointed out a significant disparity in transport spending between the East and West Midlands (£287.32 vs £489.70 per head), attributing it to political complacency due to Tory dominance in non-city areas. My hon. Friend is correct in pointing out the uniformity of criticism towards the Government's treatment of the East Midlands, which has been echoed by Conservative MPs such as Jane Hunt, Ruth Edwards and Darren Henry.
Government Response
Luke Hall
Government Response
The Government is committed to levelling up the East Midlands through significant investments including a £4.8 billion Levelling-Up Fund, £212 million for nine town deals, and over £3 billion in COVID recovery grants. The Minister highlighted specific projects such as the Vision University Centre Mansfield, Museum of Making in Derby, and technology institute in Leicestershire. He emphasized partnership working, mentioning the proposed East Midlands Development Corporation and the freeport project at East Midlands airport. Certainty on major rail projects like HS2 was promised to be considered carefully.
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Assessment & feedback
Summary accuracy
About Westminster Hall Debates
Westminster Hall debates are a chance for MPs to raise important issues affecting their constituents and get a response from a government minister. Unlike Prime Minister's Questions, these debates are more in-depth and collaborative. The MP who secured the debate speaks first, other MPs can contribute, and a minister responds with the government's position.