Business, Energy and Industrial Strategy Committee — House of Commons, 2021-07-22
Topic: Macroeconomics
Darren Paul Jones (Labour, Centre-left): I am grateful for the opportunity to make a statement on the third report of the Business, Energy and Industrial Strategy Committee’s inquiry into post-pandemic economic growth. The report focuses on levelling up In the 2019 Conservative party manifesto, the Prime Minister said: "We have mapped out a fantastic programme for the years ahead: to unite and level up, spreading opportunity across the whole United Kingdom." Since the election, however, the Government have failed miserably at translating the political slogan "levelling up" into a real programme for government. Although the Prime Minister said that he had a map for levelling up, it seems that either he has lost it or he is not willing to share it with us. That is important, because the promise of levelling up was a major part of the Conservative party’s success at the last general election, yet so far we do not have any clear answers on what the Government think levelling up is, how it will be paid for, who is responsible for delivering it or what a successful delivery of the levelling-up agenda will mean for people in their day-to-day lives Crucially, the Government have failed to set out how the special focus on levelling up will differ from the normal day-to-day functions of government and whether funding for the levelling-up agenda will equal or exceed the funding to local communities that has been cut following Brexit and the previous period of austerity. In the Committee’s year-long inquiry, we took evidence from many stakeholders, including the Government and a number of their Ministers, to ask many of those simple questions. Unfortunately, answers were not forthcoming We therefore concluded that levelling up, in our view, is about a more equal distribution of economic and social opportunities across the United Kingdom. We agreed that that is a laudable aim, and one that has been pursued by many Governments of different colours over many years. We took evidence from local authorities, local enterprise partnerships, city and regional mayors, powerhouses and Ministers, as well as businesses, local chambers of commerce and academics. In considering their evidence, we have made several recommendations to the Government First, the Government should urgently publish the promised levelling-up White Paper, which we understand will incorporate the devolution White Paper, so that we can be clear on how they define levelling up, what the priorities are and which tiers of local and regional government will be responsible for delivering it. Secondly, they should work with the Office for National Statistics, the cities and local growth unit in the Department for Business, Energy and Industrial Strategy and the National Audit Office to agree a set of metrics for the routine reporting of progress in delivering levelling-up priorities. Thirdly, they should establish the functioning of a Cabinet Committee on levelling-up that collaborates with devolved regional and local leaders. Fourthly—this is important—the Government should recognise that inequality exists across the whole of the United Kingdom, including within cities, so levelling-up priorities should not be focused only on some regions or sub-regions of the country. Lastly, they should ensure that each region in England has the capacity to bid competitively for Government funding, given that some areas in England—for example, those with metro mayors—have a greater capacity to engage with Whitehall than others Devolution in England is inconsistent, and some areas perform better than others irrespective of whether they have multiple tiers of local or regional government. If, therefore, the Government are committed to levelling up insofar as it relates to empowering local communities, I encourage Ministers to be bold and progressive in the devolution sections of the levelling-up White Paper expected later this year. Ultimately, the Committee concluded that the lack of clarity in what levelling up means and how it translates into specific policy initiatives and strategies risks its becoming an "everything and nothing" policy, not owned by any particular Minister or Department and without any means of evaluating or assessing its impact or efficacy in improving people’s lives. It seems as if Ministers are trying to hide the fact that they do not have a real levelling-up policy by saying that every other policy from Government, be it about bus stops or football pitches or the obesity strategy, is in fact levelling up. The Prime Minister’s spokesperson in response to my Committee’s report said that more detail would be forthcoming in the levelling-up White Paper later this year. The imperative is therefore on the Government to hear our request, as well as those from others, and step up with the level of detail expected of any competent Government in delivering on their manifesto commitments Everyone on the Committee agreed that sharing economic and social opportunities more fairly across the country is a good thing, and we want the Government to succeed in delivering on their promises and improving people’s lives. In the meantime, we will continue to scrutinise the Government and hold Ministers to account, but ultimately, if they do not step up, it will be for the British people to decide whether their promises have been delivered. I thank all the witnesses who gave oral and written evidence to our inquiry, my parliamentary colleagues on the Committee and, as ever, our excellent Clerks. I commend the report to the House.