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PARLIAMENTARY DEBATES HOUSE OF COMMONS OFFICIAL REPORT Third Delegated Legislation Committee DRAFT DURHAM, GATESHEAD, NEWCASTLE UPON TYNE, NORTH TYNESIDE, NORTHUMBERLAND, SOUTH TYNESIDE AND SUNDERLAND COMBINED AUTHORITY ORDER 2014 Monday 7 April 2014 PUBLISHED BY AUTHORITY OF THE HOUSE OF COMMONS LONDON – THE STATIONERY OFFICE LIMITED £5·00 Members who wish to have copies of the Official Report of Proceedings in General Committees sent to them are requested to give notice to that effect at the Vote Office. No proofs can be supplied. Corrigenda slips may be published with Bound Volume editions. Corrigenda that Members suggest should be clearly marked in a copy of the report—not telephoned—and must be received in the Editor’s Room, House of Commons, not later than Friday 11 April 2014 STRICT ADHERENCE TO THIS ARRANGEMENT WILL GREATLY FACILITATE THE PROMPT PUBLICATION OF THE BOUND VOLUMES OF PROCEEDINGS IN GENERAL COMMITTEES © Parliamentary Copyright House of Commons 2014 This publication may be reproduced under the terms of the Open Parliament licence, which is published at www.parliament.uk/site-information/copyright/. Third Delegated7 APRIL 2014 Legislation Committee The Committee consisted of the following Members: Chair: MR CHARLES WALKER † Beith, Sir Alan (Berwick-upon-Tweed) (LD) † Mearns, Ian (Gateshead) (Lab) † Brown, Mr Nicholas (Newcastle upon Tyne East) † Morris, Grahame M. (Easington) (Lab) (Lab) † Opperman, Guy (Hexham) (Con) † Campbell, Mr Ronnie (Blyth Valley) (Lab) † Perry, Claire (Devizes) (Con) † Colvile, Oliver (Plymouth, Sutton and Devonport) Ruffley, Mr David (Bury St Edmunds) (Con) (Con) † Sawford, Andy (Corby) (Lab/Co-op) † Cox, Mr Geoffrey (Torridge and West Devon) (Con) Simpson, David (Upper Bann) (DUP) † Djanogly, Mr Jonathan (Huntingdon) (Con) † Ward, Mr David (Bradford East) (LD) † Glen, John (Salisbury) (Con) † Glindon, Mrs Mary (North Tyneside) (Lab) John-Paul Flaherty, Committee Clerk † Jones, Susan Elan (Clwyd South) (Lab) † Lewis, Brandon (Parliamentary Under-Secretary of State for Communities and Local Government) † attended the Committee The following also attended, pursuant to Standing Order No. 118(2): Onwurah, Chi (Newcastle upon Tyne Central) (Lab) 1 Third DelegatedHOUSE OF COMMONS Legislation Committee 2 Guy Opperman (Hexham) (Con): Does the Minister Third Delegated Legislation agree that the example of Greater Manchester, which Committee led the way in authorities coming together, gaining the critical mass to push forward, particularly in areas such as transport and infrastructure projects, and the resulting Monday 7 April 2014 growth, is exactly what the seven local authorities in our case should be trying to follow? [MR CHARLES WALKER in the Chair] Brandon Lewis: My hon. Friend makes a good point. Draft Durham, Gateshead, There is a good example out there of how this can be Newcastle Upon Tyne, North Tyneside, done and how it can move things forward. I would hope Northumberland, South Tyneside and that all the combined authorities that we have established over the past few weeks, as well as the one today, will Sunderland Combined Authority follow that example by working together for the benefit Order 2014 of their residents and deliver more efficiency and better services. 4.30 pm The Parliamentary Under-Secretary of State for Mr Nicholas Brown (Newcastle upon Tyne East) (Lab): Communities and Local Government (Brandon Lewis): For completeness, it would be fair to point out that I beg to move, the briefing note, which I think we have all received That the Committee has considered the draft Durham, Gateshead, from advocates of the proposition, says that, in the Newcastle Upon Tyne, North Tyneside, Northumberland, South initial period of operation, the transport arrangements Tyneside and Sunderland Combined Authority Order 2014. will be that Durham county council will discharge the The draft order was laid before the House on 13 March. delegated transport functions within its own boundary; If approved, it would bring about the establishment of Northumberland county council—this relates to the a combined authority in another of the major areas of point raised by the hon. Member for Hexham—will this country, this time across Durham, Northumberland discharge the delegated transport functions within its and Tyne and Wear. Hon. Members might recall our own boundary; and Nexus will discharge the functions debate on 18 March regarding combined authorities in that were previously discharged within the Tyne and Merseyside and Liverpool, in Sheffield and South Yorkshire, Wear area. Due to the complexity of moving from a and in West Yorkshire. I am delighted to confirm that five-authority ITA to a seven-authority combined authority, those combined authorities were established on 1 April. a transitional approach to integration is required. That The combined authority we are considering today is what has been explained to us. In other words, for the will be responsible for economic development and immediate future, nothing is going to change at all. regeneration and for transport. Seven councils in the area have agreed that the combined authority will exercise The Chair: As a general—not specific—request, may their functions on economic development and regeneration. we have interventions, not speeches? The combined authority will have the transport functions currently exercised by the Tyne and Wear integrated transport authority, which will be abolished on the Brandon Lewis: As I said, one of the beauties of establishment of the combined authority. The combined combined authorities is that it is for the local areas that authority will also undertake similar transport functions have come together to request it to design and work out currently exercised by Durham and Northumberland how they go forward to suit their local area. It is not for county councils. us centrally to interfere in that. Central to what we are considering today are two of We are looking to ensure economic growth, which is the key priorities of the coalition Government: growth essential to the recovery of our economy and to rebuilding and localism. our future after the economic failures and spiralling debt that we inherited when we took office in 2010. It is Sir Alan Beith (Berwick-upon-Tweed) (LD): Before through achieving economic growth that jobs are created, the Minister leaves the point about transport, will he the incomes of hard-working families can grow and we clarify how the arrangements will ensure that predominantly can build sustainable prosperity for communities throughout rural transport needs in Northumberland and Durham our country. The policies of the coalition Government will be protected against the significant urban issues, are delivering on, in effect, an SOS for growth, with which might the command the attention of the transport unemployment now a little more than 5%, with more part of the body? people and in particular more women in work than ever before, and with growth, as my right hon. Friend the Brandon Lewis: The combined authority has Chancellor of the Exchequer told the House in his representatives from all the local authorities involved Budget speech, to reach an Office for Budget Responsibility and was requested by those authorities. The authorities forecast of 2.7% for 2014. For the first time in 35 years, themselves will make their views known to ensure that we have a higher employment rate than the United rural areas are well covered. They should do so; it is States of America has. quite right for them to make that case locally. I suspect that, by coming together, the authorities Ian Mearns (Gateshead) (Lab): The Minister quotes themselves are arguing that it will give them a bigger national statistics, but they do not refer to the position buying power—by buying effectively in bulk as a bigger in the north-east of England. With virtually all such critical mass—hopefully to provide an even better service. statistics, if they are good nationally, they are worse in 3 Third Delegated7 APRIL 2014 Legislation Committee 4 the north-east, and if they are better in the north-east, Guy Opperman: To answer the point made by the they are much better nationally. They are not applicable hon. Member for Easington, surely where the economic to the north-east—the statistics that he quotes should drivers in the communities that we all serve come be about north-east. together—namely the chambers of commerce and the gentleman and the ladies who produced the Adonis Brandon Lewis: I am surprised that the hon. Gentleman, report—their ability to access greater funding and greater as a member of the Labour party, is not talking about infrastructure spend will be massively improved by the one nation and therefore wanting to understand fully creation of the LA7. That is surely the way forward and the national impact of some of those beneficial figures. the answer to the point fairly made. Denying the beneficial work done by the coalition Government is missing the point. Brandon Lewis: My hon. Friend makes a good point. One of the reasons to create combined authorities is Authorities working together have two big advantages— to let areas come together in an economic format to there are many advantages, but two stand out. First, by deliver beneficially for their area and what they need coming together they are able to develop a real locally. An important element of the policies, as we transformation in how they work, with real efficiencies made clear in our White Paper response to Lord Heseltine’s by bringing things together to avoid duplication and to report on growth, is that local authorities have a vital deliver a better and more cost-effective service. Secondly role. Councils should put economic development at the and equally significant, as many of us know from our heart of all they do, collaborating, including with private own experience of bringing areas together to lobby for a sector partners, across a functional economic area.