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London’s National Economic Contribution
10 July 2025
Lead MP
Joe Powell
Kensington and Bayswater
Lab
Responding Minister
Alex Norris
Tags
EconomyTaxationHousingTransport
Word Count: 14008
Other Contributors: 12
At a Glance
Joe Powell raised concerns about london’s national economic contribution in Westminster Hall. A government minister responded.
Key Requests to Government:
To unlock London’s full potential, it is necessary to ensure the city remains a magnet for global talent by reforming immigration policies, delivering homes that support strong communities, and providing a transport system fit for a world-leading city.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Lead Contributor
The global crash in 1908 led to productivity flatlining, stagnation hurting London's prospects and regional divides deepening. The promise of levelling up was nothing more than a gimmick, with no real effort to tackle regional inequality.
Alex Norris
Lab
Derby North
Emphasized the real-life impact of TfL's procurement and supply chain benefits, mentioning Piccadilly line trains from Yorkshire.
Ben Coleman
Lab
Chelsea and Fulham
Highlights that London has the highest housing costs in the country with a quarter of its population living in poverty. Raises concern about potential funding cuts under the Government’s fair funding review impacting local authorities severely.
Danny Beales
Lab
Uxbridge and South Ruislip
London’s economy is dynamic and diverse, visible not just in inner-London boroughs but also outer ones such as Hillingdon where his constituency lies. Investing in London's infrastructure can boost economic growth and provide investment for other regions. Agrees with Deirdre Costigan's support for increased police powers, welcoming the Crime and Policing Bill for protections against shoplifting and theft. Supported the family farms tax, citing benefits for NHS funding in his constituency with Hillingdon hospital receiving £1.4 billion.
David Simmonds
Con
Ruislip, Northwood and Pinner
Acknowledged the importance of London's economic contribution to the UK but highlighted the need for a cross-party approach in addressing challenges faced by the city. Emphasised London's role in powering the country’s prosperity through its economic contributions.
Dawn Butler
Lab
Brent East
London is home to more than 9 million people and generates almost one quarter of our entire economic output. London's net contribution to the Treasury now stands at a record £43.6 billion, which makes it essential to invest in London. Defended Sadiq Khan's record as Mayor of London, arguing that he has been a strong advocate for the city and better than previous mayors.
Deirdre Costigan
Lab
Feltham and Heston
The MP notes the importance of addressing delays caused by the Building Safety Regulator in approving applications for housing starts and calls for increased resourcing of the regulator. She also highlights the need to turn around new housing starts statistics. Welcomes more police on the ground in London and supports the new Crime and Policing Bill for better measures against shoplifters.
Jim Shannon
DUP
Strangford
Welcomes the importance of London's foreign direct investments in 2024 and suggests that there should be spin-offs for other regional capital cities like Belfast, Cardiff, and Edinburgh.
Joe Powell
Con
Stretford and Urmston
Thanked the Minister for reassurance regarding the fair funding consultation and emphasized the need for a transition period. Highlighted the importance of building a pipeline for future transport projects, reform alongside investment in policing, and anticipation of the Government’s long-term housing strategy.
Luke Taylor
LD
Sutton and Cheam
The hon. Member for Sutton and Cheam welcomed London’s economic activity but highlighted issues like high rates of child poverty, crumbling hospitals, crime, infrastructure problems, environmental concerns, and the impact of the NICs hike on small businesses and workers. Continued to argue for a Minister for London who would fight for London's interests against the Government, regardless of party affiliation.
Natasha Irons
Lab
Croydon South
London is the poverty capital of the country when housing costs are factored in. Without adequate funding for housing, London's economic development and growth will be hindered. Highlighted the local impact of £2.2 billion funding for TfL, emphasizing new trams in Croydon.
Rachel Blake
Lab/Co-op
Cities of London and Westminster
The MP supports recognising additional temporary accommodation costs faced by London local authorities and agrees that building genuinely affordable homes is necessary to address systemic problems related to homelessness.
Sarah Olney
LD
Richmond Park
Discussed housing affordability issues affecting Londoners.
Government Response
Alex Norris
The Parliamentary Under-Secretary of State for Housing, Communities and Local Government
Government Response
Acknowledged the importance of economic growth in supporting a successful London. Mentioned the English Devolution and Community Empowerment Bill's impact on devolving powers to the Mayor of London. Highlighted London’s role in driving national prosperity through its contributions to GDP, jobs, culture, education, and innovation. Discussed various housing initiatives including a £39 billion social and affordable homes programme, support for the Building Safety Regulator, equalised access to remediation schemes for social housing, talent attraction routes, transport infrastructure investment through TfL's funding settlement, HS2 phase 1 delivery, and commitments related to DLR Thamesmead. Commited to working closely with TfL on Hammersmith bridge restoration, providing £17 million so far including £4.7 million for repair. Emphasized the importance of regeneration in Oxford Street, contributing an estimated £25 billion to the economy and addressing challenges like congestion through proposals for pedestrianisation. Stressed that London’s success benefits all of Britain.
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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.