Living Standards: East of England

Clive Lewis Excerpts

Wednesday 3rd September 2025 Westminster Hall

[The Economic Secretary to the Treasury (Emma Reynolds)]

indicated assent.

[Clive Lewis (Norwich South) (Lab)]

I beg to move,

That this House has considered living standards in the East of England.

It is a pleasure to serve under your chairmanship, Mrs Hobhouse. As I will be discussing nature, water and the far right, I would like to declare interests that meet the relevant test. The first is my role as vice-chair of the climate and nature crisis caucus. The second is that I have received donations from Compass and Betterworld Ltd, which have supported my work on water. The third is support I have received from the Friedrich-Ebert-Stiftung—try saying that after a few pints—to attend their parliamentarian forums on the far right. I have written about issues touched on in this debate—climate, water, the far right and economic growth—for The Guardian and Byline Times, which I have been paid for.

If we take an honest look at life in the east of England today, and in my city of Norwich, we do not see the prosperity that Governments have often boasted about. We see a region where too many people are running faster and faster just to stand still. In Norwich, wages remain below the national average. One in five workers earns less than the real living wage. One in six is trapped in insecure work—zero hours, agency or short-term scraps dressed up as jobs. Meanwhile, rents have risen by more than 20% since 2021. A quarter of private renters are handing over half or more of their income just to keep a roof over their heads. That is not prosperity; that is daylight robbery with a tenancy agreement.

[Chris Hinchliff (North East Hertfordshire) (Ind)]

I also find in my constituency that the cost of a decent home is far too high for far too many of my constituents. Does my hon. Friend agree that the solution to that problem is not, as is believed in some quarters, to give the developers the right to strip away our environment and destroy nature, but rather to get on with building the council housing that delivers the genuinely affordable homes our residents need?

[Clive Lewis]

I thank my hon. Friend for his intervention and for all his work in this area. Council homes are overwhelmingly the solution to this country’s housing problems. There is always space for private housing, for affordable housing and for housing associations, but it is council housing, built in a sustainable way, that will solve the housing crisis in this country. I agree with him that developers—not climate, nature or local democracy—are the block to building more houses here, and I am firm in making that point.

Public transport in my region is patchy at best. Broadband in rural Norfolk is slower than a tractor on a Sunday morning—people who live in Suffolk or Norfolk will know what I mean. Child poverty levels run at one in three in Norwich once housing costs are factored in and, although we are blessed with extraordinary landscapes, too many of our neighbours live in what I can only describe as nature deserts—no green space within walking distance, and no safe place for kids to play.

[Jim Shannon (Strangford) (DUP)]

I commend the hon. Gentleman for securing the debate. He is right to underline the issue of low income; the quality of life for working families on low incomes is the worst that it has ever been. When I spoke to him beforehand, I referred to my constituency, and indeed all Northern Ireland, where I understand that the rates are the same as in his constituency: 16% of working-age adults are in relative poverty. It should never be the case that working people are in poverty. The Government need a strategy to address that issue, but they do not at present. Does the hon. Gentleman agree?

[Clive Lewis]

I thank the hon. Gentleman for his contribution. I do not raise this in this speech, but I think that one of the key ways of lifting people out of poverty is by strengthening trade unions and their sectoral pay bargaining ability, which I do not think even this Government—my Government—are going to do. That is key, particularly in the areas of social care and many other low-paid sectors. It would ensure that people get decent pay and attract people into those areas. It would make a massive difference.

We face real and urgent challenges in the east of England. Now, the Government—my own party’s Government—tell us not to worry, because living standards are going to rise and we have a plan for growth. But what do we mean by that? In practice, it means looking overwhelmingly at one number: disposable income, or what is left jingling in our pockets at the end of the month. Useful, yes—but adequate? No.

Reducing the richness of life to something we can measure is like trying to paint a rainbow with a single grey crayon: we get the outline, but none of the colour, none of the joy, none of the lived reality. The Indian economist and philosopher Amartya Sen warned that dignity cannot be reduced to decimal points. Martha Nussbaum, a US philosopher and ethicist, reminds us that the question is not just what we earn, but what we are free to do and to be. Kate Raworth is also right: paper prosperity that trashes the planet leaves our children bankrupt.

When we are told that living standards are up because the averages look rosy, we should remember what Danny Dorling pointed out: an average can hide a multitude of sins. If Jeff Bezos walked into a Norwich pub, the average wealth in the room would shoot through the roof, but not a single person’s pint would get cheaper—and I doubt he would get to the bar ahead of anyone else, either.

[Steff Aquarone (North Norfolk) (LD)]

The hon. Gentleman knows as well as I do how rural and isolated much of Norfolk can be. I represent the oldest constituency in the country, and I have been shocked by the living standards of some of my elderly residents in isolated communities, who simply feel that there is no help out there to give them the quality of life they deserve. They, too, are lost among averages. Does he agree that poverty in rural communities across the east of England is often more hidden than in metropolitan areas, and needs to receive a similar level of attention?

[Clive Lewis]

The hon. Gentleman is a champion of such issues in his constituency, and I agree: poverty is very often out of sight, out of mind. The dispersal of rural poverty makes it easier to hide, and harder for organisations to point out, but he does a very good job of doing so. His point was well made.

[Alex Mayer (Dunstable and Leighton Buzzard) (Lab)]

Continuing on the theme of averages, as council areas get bigger, the averages are skewed a little. Within my area, which is already in a large unitary authority, life expectancy can vary by up to eight years. If the Government say, “Hooray! The council area is getting a Best Start family hub!”, I ask, “Where?”, because it could end up in a leafy village or in an area of deprivation. Does my hon. Friend agree that we need to redouble our efforts to find pockets of deprivation, and perhaps use artificial intelligence as a new tool to do so?

[Clive Lewis]

I thank my hon. Friend for an interesting contribution. I will take a time-out on the AI component. I think it has a place and could, I am sure, contribute something, but the real way to ensure that resources are going to the right place is to ensure real devolution: empowering communities, local government and local people to decide where the money is spent, because they know best. Ultimately, pushing power down is how we will get better outcomes.

Let us be blunt: living standards as currently measured give us a snapshot, but not the whole picture. They can tell us whether the tills are ringing, but not whether the people are thriving. Look at Norwich: a zero-hours care worker has no work-life balance to speak of; they have work-life whiplash. Mental health referrals in Norfolk are up 40% since 2020—we will not find that in an Office for National Statistics income chart. The poorest wards in my city have five times fewer parks per person than the richest. Try raising kids in a concrete cage in one of the most polluted parts of the city—where, unfortunately, our Government subsidises electric SUVs that, through their brakes and tires, churn out more particulate matter than smaller electric vehicles—and then tell me that their living standards are on the rise.

Let us look at Norwich South. We had more than 500 sewage pollution incidents last year. My constituents are not comforted by fines levied on Anglian Water; their lived standard is filthy rivers, dead fish, cancelled swims and massive bill hikes, while they watch multimillion-pound payouts to shareholders and executives—and that is after the passing of our much vaunted Water (Special Measures) Act 2025. So when the Government cheer that GDP is up, or that the average household is a few pounds better off, I say, “Growth for whom? Growth for what? Growth at what cost?”

I acknowledge that this Labour Government have already taken steps to make a difference. The extended household support fund for councils, soon to be replaced by the crisis and resilience fund, has been a lifeline for many. Our new Best Start hubs, replacing the axed Sure Start programme, will help millions, as will our new universal breakfast clubs and investment in home energy efficiency, which will cut bills for years to come. Those are brilliant and welcome tangible measures, but we cannot stop there.

Too often, we give with one hand and take with the other. We extend support, but keep the two-child cap that pushes hundreds of thousands of children into poverty. We invest in households, but cut disability benefits that provide dignity and security for millions. We offer relief, but leave the structures that drive poverty and insecurity untouched.

As the charity Norfolk Community Law Service told me:

“We’re seeing a growing number of families live in extreme poverty, struggling with benefits that don’t provide enough to live on, unable to feed themselves properly or heat their homes. This is not because they are lazy or unprepared to work hard in their lives, but often because they are caught in the poverty trap, unable to break free.”

The problem is compounded by neglect of prevention. As Age UK in Norwich explained:

“The lack of strategic investment into community, preventative services is not only threatening the voluntary sector—it’s chipping away at the foundation, the NHS and social care so many rely on.”

Here is the challenge: unless we deal with those deeper structures, we will never truly lift standards in the fullest sense of the word. That means overhauling our tax system. Yes, we need higher taxes on wealth, windfalls, capital gains and inheritance, but we must also face a hard truth: without structural reform, much of that revenue simply flows straight back into the pockets of large corporates—companies that now absorb vast amounts of public money in contracts, subsidies and outsourcing while skimming billions in excess pay, dividends and profit.

Tax reform must go hand in hand with a clampdown on corporate capture. I fear that many of my colleagues now in Government understand that after 45 years of privatisation, deregulation and outsourcing, the levers of state are increasingly connected to very little. “Deliver, deliver, deliver,” we are told; but how can we deliver when the accelerator and the gearstick are connected to thin air?

Let us not forget that, when those same interests come under pressure, they rarely look in the mirror. Instead, they reach for the oldest trick in the book and tell us that the problem is not profiteering landlords or privatised monopolies. They tell us that the problem is foreigners; that migrants are the reason wages are low; that Europe is the reason services are stretched; that some other is to blame. That scapegoating is not accidental. It is structural. It protects an economy built on extraction—extraction of wealth, of labour, of nature—and it corrodes our democracy, replacing solidarity with suspicion, and common purpose with division.

Labour, at its best, has always known better. There was a time when our movement understood that redistribution of income, wealth and power was not a footnote to our mission—it was the mission. We understood that we could not simply leave the means of production, distribution and exchange in the hands of those who use them to extract, rather than to serve; that, if our economy was to work for the majority, if standards of living and wellbeing were to rise, people needed more than just money in their pocket. They needed more say, more power and more ownership over the things that make life bearable and meaningful.

That meant public ownership of essential services, from water and energy to rail and post. It meant universal basic services such as healthcare, transport, housing, education and, in our age, internet access. It meant building new institutions to strengthen the cohesion of our society: co-operatives, trade unions, community media and local assemblies. It meant giving people not only the means to live, but the means to shape the communities in which they live.

These are the specific asks I would like to put to the Minister. I ask the Government to introduce rent caps in high-pressure areas, as seen in Austria and Scotland, so that families are not priced out of their communities; to cap food prices for a basket of essential goods, as France and Hungary have, so that no child goes hungry because the basics are unaffordable; to abolish the two-child cap on benefits and reverse the recent disability payment cuts—policies that undermine dignity and trap children in poverty. I ask them to launch a major programme of public housing construction using public land to build secure council homes for rent; to take our water companies back into public hands, ending the scandal of dividends flowing abroad while sewage pours into our rivers; to mandate universal broadband and affordable transport access as basic services in a modern economy.

I ask the Government to overhaul the tax system, to close the loopholes, tax wealth properly and ensure that revenues are not siphoned off into dividends and corporate profiteering, and to tie corporate subsidies and contracts to strict conditions on pay, investment and environmental responsibility. Finally, I ask them to stop mainstreaming racism. By all means, secure the borders and control migration to what we need, but take out the toxicity. Open secure routes and defend and deepen human rights—do not water them down—for all our sakes.

Those are not revolutionary demands, and they are not even radical demands; they are common-sense measures to ensure the economy serves the public, not the other way around. We need a plan for transformation, rather than tinkering at the edges or hoping that growth alone will deliver fairness by accident; a plan in which the demos, the people, have a greater say on how their life, and the life of their community, is shaped.

The alternative is stark. Failure to do those things will deliver our country into the hands of the authoritarian right. If we get this wrong, it will not mean some marginal difference in some marginal metric of living standards—it will be the difference between civil co-existence and barbarism, between a society held together by solidarity and one held together by scapegoating and fear.

People are crying out not just for a few extra pounds in their wage packet, but for security, dignity and hope. That means we must confront the extractive model, rediscover our roots in redistribution and democracy, stop pandering to racism and rebuild the social compact that once gave Britain both prosperity and purpose. People are not simply consumers to be measured or units of labour to be costed. They are the economy—not components of it, or cogs in someone else’s machine; they are the economy, and we seem to have forgotten that. If we forget it, we will not only fail to raise so-called living standards, but we will fail to rebuild trust, fail to hold our community together and fail to protect our democracy from those who would happily divide and rule. We can do better.