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Post-COVID-19 Economic Recovery in the West Midlands Minutes POST-COVID-19 ECONOMIC RECOVERY IN THE WEST MIDLANDS NON-VERBATIM MINUTES DATE: Tuesday 23 June 2020 TIME: 15:00-16:00 METHOD: Virtual meeting via Zoom CHAIR: Jane Stevenson, MP for Wolverhampton North East MINUTE Jane Stevenson, MP for Wolverhampton North East welcomed attendees to the first virtual meeting of the West Midlands APPG. She outlined that that the APPG is a cross party group of MPs who monitor policies affecting the West Midlands and maintain a relationship with the region’s stakeholders. She noted that the region in particular has been financially impacted by COVID-19 and as cases begin to lessen, we now need to turn our thinking to the economic recovery in the West Midlands. She noted apologies for Co-Chair of the APPG, Jonathan Gullis, MP for Stoke-on-Trent North, who could not chair the meeting as he had urgent business to attend to in the House of Commons. The Chair introduced Mayor of the West Midlands, Andy Street and the Leader of the City of Wolverhampton Council, Cllr Ian Brookfield. She set out that they would be giving a presentation on the post-COVID-19 economic recovery in the West Midlands. They would also go on to discuss their newly published ‘Recharge the West Midlands’ plan, hereafter referred to as ‘the plan’, which makes the investment case to the Government for the region. Mayor of the West Midlands, Andy Street thanked the APPG for the opportunity to discuss ‘Recharge the West Midlands’ which had been distributed to attendees in advance of the session. He said that the plan was “a team effort”, highlighting the input from councils, local enterprise partnerships and trade unions from across the region. He outlined the economic context prior to COVID-19 and noted that the region was doing relatively well. While there were still challenges to meet, he said that employment, inward investment, house building, and GDP were all increasing. He added that future prospects for the region also boosted economic fervour, with the confirmation of HS2, Coventry being the City of Culture in 2021, the Birmingham 2022 Commonwealth Games, and the West Midlands Local Industrial Strategy. The Mayor stated that there was a significant unexpected challenge to meet with COVID- 19, as the West Midlands region was considered to be the hardest hit in the UK. He noted that the impact of COVID-19 also exposed the existing inequalities in the region further, with disadvantaged groups facing the brunt of the economic downturn. However, he also indicated that the pandemic presented the region an opportunity to change and rethink how the region works, and how things can be improved for people across the West Midlands. This, he said, was the main theme of what led to the development of the plan. The Mayor stated that the plan was not just of regional significance but also national significance, adding that it was not a formal regional requirement of the combined authority to produce it. Instead they felt it was something that was needed in order to develop policies that would have an immediate impact but also build on current plans and position the region for future growth. The plan also includes new ideas for the region too and a focus on both current and future jobs and training. He outlined that the plan is centred on three key recovery drivers. The first is around green growth and the creation of green manufacturing jobs, particularly in relation to the electrification of automotive vehicles. It would also entail a major fuel poverty scheme to retrofit people’s homes, which would equally tackle the inclusivity issue for those who are economically disadvantaged. This driver, the Mayor stated, would help the WMCA meet their target of net zero carbon emissions by 2041. The Mayor noted the second driver is the creation of job opportunities from sources of economic regeneration, such as the acceleration of HS2 and a boost to the creative and cultural sectors of the region. The third driver will focus on investment in healthcare innovation, with opportunities to be gained from the Birmingham Life Sciences Park. The Mayor went on to explain that underpinning these key drivers were a series of enablers that formed part of the plan. This included building better digital and physical connectivity, doubling down on investment around 5G and in transport infrastructure, with a major extension to the Metro. He said that another enabler was the housing sector and through the regeneration of brownfield land, the region can create more affordable homes and jobs. He highlighted getting people back into work by supporting them with training and apprenticeships. The Mayor also underscored the importance of backing regional businesses, particularly SMEs, with institutional and advisory support. The Mayor then handed over to the Leader of the City of Wolverhampton Council, Cllr Ian Brookfield. Cllr Brookfield stated that various bodies such as the British Chamber of Commerce, the FSB, TUC, all local authorities and LEPs, recognise that there are major issues with the economy and with jobs, and that this is already felt in Wolverhampton with rising unemployment. He said that this plan would signal to people that the WMCA has ideas worth listening to and that investment will hopefully come to fruition in six to nine months. He added that the plan will also set a positive model to other regions in the same predicament. He noted that despite the political differences between himself and the Mayor, the plan was a positive endeavour across the political spectrum in the shared spirit of wanting to see a difference in the West Midlands. Jane Stevenson thanked the Mayor and Cllr Brookfield for their presentation and opened the floor for questions from attendees. Liam Byrne, MP for Birmingham Hodge Hill and the Labour Party West Midlands mayoral candidate, thanked the speakers and said that although Andy Street and himself will be on opposing sides of the political debate in months to come, that the region needs to pull together. He asked what the region should be asking for from the Treasury and highlighted that the West Midlands should not undersell what it needs. He said that funding should be used on an active labour market policy to save existing jobs and hoped that the region can be ambitious in its asks to the Government. The Mayor welcomed the cross-party thinking behind the economic recovery for the West Midlands, stating that a united region meant a better deal for its citizens. He said that it was impossible to predict funding from the Government and noted that the plan, depending on the position of where someone was, was questioned as being either too ambitious or not ambitious enough but he stated that he felt it was the right level of ambitious. Nicola Richards MP for West Bromwich East asked if COVD-19 had changed the work already being done on high streets in the West Midlands. The Mayor said that high streets do not feature in the plan and that this was discussed in the Steering Group. The decision not to focus on high streets was that this did not fall within the test of being unique to the region but rather something that needed national solutions. Secretary of the West Midlands APPG, Jack Dromey, MP for Birmingham Erdington welcomed the plan as a step in a new direction. He asked what focus there is on employment support measures, thinking ahead to impending changes to the Coronavirus Job Retention Scheme. He warned that there could potentially be thousands of redundancies in Birmingham and across the region. He also called for more funding for local authority budgets. Cllr Brookfield noted that there will be a cliff edge after the Government ends employment support measures and that this is something the region must push against. He highlighted that the plan notes that fair funding of local authorities must be taken seriously and that the Government should help to close the gap in many local authority budgets. The Mayor added that the West Midlands Combined Authority have signed a letter to the Housing, Communities and Local Government Secretary, Robert Jenrick on the issue of local authority funding and that there needs to be a settlement. He stated that there will be some sectors of the economy that will need further employment support measures, highlighting the cultural sector as an example. He added that increasing employment opportunities was important in the region and said that the WMCA are looking to get people in Further Education into work. Saqib Bhatti, MP for Meriden credited the plan for its cross-party spirit and noted that the region deserved this in this moment of crisis. He asked what support MPs can give to the region and for the plan. The Mayor said that MPs can support the plan by reinforcing with government that it contains policies that can be implemented swiftly and help employment prospects to make a difference straight away. He noted that as the Government are keen to establish a national economic recovery, this plan provides a good model for this on a regional basis. Jane Stevenson stated that her constituency has high unemployment and asked in the economic recovery of the region, how the plan can ensure that funding is spread proportionately so that areas of higher unemployment can be further supported. The Mayor highlighted that the plan has been developed by all areas of the region and that everyone had a say and signed off on the plan. As such, he believed that the Plan did fairly represent each constituency in the overall asks of the plan.
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