Levelling-up and Regeneration Bill

Debate between Lord Scriven and Baroness Pinnock

Committee stage
Monday 27th February 2023 Lords Chamber

[Baroness Pinnock (LD)]

Can the Minister explain, then, where the geographies of a county area do not coincide with the geographies of an economic or travel-to-work area? Often, they do not. What I have heard is that you can either have a functioning geography of a county and its two tiers, or the alternative, but not a mixture of the two.

[Lord Scriven (LD)]

I am pleased that the Minister has raised the East Midlands. On the northern tip of the East Midlands there is Chesterfield and north Derbyshire. Most businesses in that area would look into the South Yorkshire Combined Authority in terms of their business, and not into the county combined authority. It seems to be an administrative boundary designed down here in Whitehall rather than a true travel-to-work area. How would the north Nottinghamshires and Chesterfields be affected by this when, in reality, the economic performance and activity is actually into the South Yorkshire Combined Authority?

Levelling-up and Regeneration Bill

Debate between Lord Scriven and Baroness Pinnock

Committee stage
Wednesday 22nd February 2023 Lords Chamber

[Lord Scriven (LD)]

My Lords, as this is my first time speaking in Committee, I lay out my interests as in the register as a vice-president of the Local Government Association. I support the amendments in the name of my noble friend Lord Shipley and have listened carefully to this debate. Technically, it does not matter how small and granular the information is; it is how it is evaluated and reported against the aims of the mission that is important. That is why I want to speak in particular to Amendment 48 in the name of the noble Baroness, Lady Hayman of Ullock.

If you look at the Bill, you see that the only person who will evaluate the homework of whether the geographical disparities are actually narrowing against the missions in the Bill is the Minister. The Minister will not only set the way in which the task is set but will then be the person who marks his or her homework on that. That is why it is particularly important that Amendment 48, in the name of the noble Baroness, Lady Hayman, is accepted by the Government, as it proposes an independent review of whether the geographical disparities are narrowing.

I ask the Minister a very simple question: why would you object to an independent body assessing whether the Government are meeting the requirements in the Bill which they say they are so eager to meet? That is why, as Amendment 48 proposes, regardless of how data is collected, at what level and what criteria are used, it has to be independently measured to ensure that the Government’s desired requirements and policies are working to achieve the levelling-up issue in a geographical area.

[Baroness Pinnock (LD)]

My Lords, three issues have been raised by this small group: defining geographies—we talked a lot about geographies and spatial disparities— and granularity; independent scrutiny, which is really important; and then funding allocation and how that happens. I am beginning to think that the Government and the Minister may regret the publication of the levelling-up White Paper because it is a fountain of really good information.

On geographies, we need to understand what we mean by “geographies”. The noble Baroness, Lady Young, talked about very small pockets of multiple deprivation, and largely we have been speaking in the previous debates, yesterday and today, about big, regional or county-wide differences across the country. We need to understand at what level—or is it at all levels?—levelling up will take place. The levelling-up White Paper is quite handy in that regard—the Minister is nodding, so that is a good start. It has not taken IMD—the index of multiple deprivation—but it has a great map; I love maps which are mapped out according to datasets of this sort. It is figure 1.13 in the book, if noble Lords want to know. It has mapped, across local authority areas, gross value added, weekly pay, healthy life expectancy and level 3+ equivalent skills in the adult population. It is very revealing.

The map shows where there are all four of those indices in the lowest quartile of the measures. Where are they? According to this map, it is not always where you suspect. One of the areas is north Norfolk— I would never have thought that. Another area is where we would expect: the north-east, shown as a great, dark blob where that is a problem. Then there is the area down the Yorkshire coast and then obviously on the Lancashire coast, where you would expect—and then central Devon. So this is a very important sort of dataset to use. That is on a big scale. However, when my noble friend Lord Shipley introduced this, he talked about being able to go below that level of dataset to understand where the highest levels of multiple indices are occurring on a regular basis and how that can be tackled.

So that is the first point: it is not defined in the Bill, and we need a definition of what we are tackling in terms of geographies. So I totally agree with my noble friend Lord Foster about the granularity and importance of the data, and I agree with my noble friend Lord Scriven on supporting the amendment in the name of the noble Baroness, Lady Hullock—I am so sorry, I always do that; I meant the noble Baroness, Lady Hayman of Ullock—on the importance of independent scrutiny.

Finally, on the allocation of levelling-up funding to date, if this is a symptom of how it is going to occur in the future, we may as well abandon levelling up. The House of Commons Library has a report on the funding to date and where it has gone. The Government have put local authority areas into priorities 1, 2 and 3, with 1 being the most needy. I would expect that, unless there were exceptional circumstances, the money would go to priority 1. But no: 59%, only just above half the money, has gone so far, in the first two rounds of funding, to priority 1 areas. Some has even gone to priority 3 areas, which, by the Government’s own definition, are doing okay. So what is this about levelling up?

In response to the question about the cost of bids, I know, because I spoke to the chief executive of Leeds City Council, that it spent a third of a million pounds on drawing up bids for level 2 and got not a penny piece in return. When local government across the country, or certainly where I am, is cutting its budgets—£43 million has to be found in my own budget in Kirklees because of rising energy prices, inflation and all the rest of it—local government cannot afford to spend a third of a million pounds on making bids that then get turned down because the Government decide to hand the money to local authorities in priority 3 areas. It is not right, it is not levelling up and it needs to change.

[Baroness Scott of Bybrook (Con)]

My Lords, this group of amendments addresses the assessment of levelling up. Amendment 10 was tabled by the noble Lord, Lord Shipley, and supported by the noble Lord, Lord Foster, with whom I am more than happy to have a teach-in on data for anybody who would like to come and learn more about the technicalities—please just let me know. The amendment would define criteria that could be used to evaluate levelling-up policies that aim to address geographical disparities.

As I set out in detail to noble Lords in our first day of Committee, the missions contained in the levelling-up White Paper are a product of extensive analysis and engagement. The missions are supported by a range of clear metrics, used to measure them at the appropriate level of geography, and these metrics take account of a wider range of inputs, outputs and outcomes needed to drive progress in the overall mission. These metrics cover a wide range of policy issues but all are clearly linked to the drivers of spatial disparities. This has been set out in the White Paper.

I turn to Amendment 48, tabled by the noble Baroness, Lady Hayman of Ullock. This amendment would require an assessment by the independent evaluating body to be included in any review of statements of levelling-up missions. We have accepted in this Chamber that scrutiny and seeking expert advice will be important in ensuring that we deliver on our missions and level up the country. That is why we have established the Levelling Up Advisory Council to provide government with expert advice to inform the design and delivery of the missions. The council includes voices from different parts of the UK.

I know that the noble Lord, Lord Scriven, might not have been here for the debate on a previous group but I should say that the advisory council is chaired by Andy Haldane and its membership was published in the White Paper. The council members are not tied to government views and the council is made up of renowned independent experts in their field, such as Sir Tim Besley, professor of economics and political science at the London School of Economics; Cathy Gormley-Heenan, a former deputy vice-chancellor of research and impact at Ulster University; Sacha Romanovitch, the CEO of Fair4All Finance; and Sir Nigel Wilson, chief executive at L&G. All are independent experts in their field. We welcome the challenge and expert advice that the council provides and have been clear that we want it to provide us with candid views and challenging recommendations for how the Government are delivering levelling-up policy.