Showing posts with label North-East. Show all posts
Showing posts with label North-East. Show all posts

Monday, December 22, 2014

Real devolution = giving the people what they want

The Government has talked a lot about devolution over recent months but do Messrs Cameron and Osborne actually understand the meaning of the word? Here's this week's Journal column.

Saturday, December 06, 2014

A big step forward - or just more hot air?

While there was much to applaud in George Osborne's autumn statement, there remains a fundamental disconnect between the Chancellor's aspirations for the Northern regions and the tools he is prepared to put at their disposal.

Here's this week's Journal column.


Friday, October 24, 2014

Saturday, May 04, 2013

A plague on all their houses

Nearly a quarter of a century ago, a fringe party sent shockwaves through the political establishment after securing 15pc of the popular vote in the 1989 elections to the European Parliament.

Alas for the Green Party, it could not sustain the momentum of its unexpected success, and by the time of the following general election in 1992, it has sunk back into relative political obscurity.

So the big question in the wake of this week’s local elections is whether the UK Independence Party can succeed in 2013 where the Greens failed all those years ago, and achieve a lasting and significant political breakthrough.

Certainly the signs currently seem positive for Nigel Farage and his crew, who weathered a determined smear campaign by the big parties to emerge as the big winners of Thursday’s poll.

In the North-East, UKIP repeated its surprise second place at the Middlesbrough by-election last November by coming second to Labour in the South Shields contest to choose a successor to David Miliband.

While nobody expected the Conservatives to win here - it has been Labour or Liberal since the Great Reform Act of 1832 – the result was little short of a humiliation for the Coalition parties.

Not only were the Conservatives beaten into third place by Farage and Co, the Liberal Democrats were beaten into seventh place by a ragtag and bobtail collection of independents and fringe parties, including the BNP.

It suggests that, unless they can somehow extricate themselves from the Coalition in time to re-establish themselves as an independent force, the Lib Dems are facing electoral wipeout in the region come 2015.

But while South Shields provided an interesting snapshot of the current state of opinion in the North-East,  UKIP’s strong performance there was but a foretaste of what was to come across the rest of the country.

When last I counted, the party had gained 139 councillors across England compared to a loss of 106 for the Lib Dems and 320 for the Tories.

The political impact was immediate, with a Tory Party that had earlier in the week attempted to brand UKIP as a bunch of racist clowns being forced to eat a very large slice of humble pie.

“It’s no good insulting a political party that people have chosen to vote for,” said Prime Minister David Cameron yesterday, effectively withdrawing his previous claim that UKIP members were “fruitcakes.”

The real headache for Mr Cameron’s Tories is that, with the general election now only two years away, they are no nearer knowing how to deal with the threat of the anti-EU party.

Announcing a referendum on UK membership to be held in the next Parliament was supposed to lance the boil – but Thursday’s results show it has had no effect whatever in curbing support for UKIP.

The situation is likely to get worse for Mr Cameron before it gets better.  Mr Farage entertains legitimate hopes of first place in the popular share of the vote in next year’s Euro-elections, and a strong performance then will give his party even greater momentum going into 2015.

It is already looking very likely that, if TV debates are to be a part of the next general election campaign, the UKIP leader will have to be given a slot.

But if Thursday’s results were bad for the government, they were not a bed or roses for Labour either.

As ever, the party performed strongly in the North-East, holding South Shields and regaining the North Tyneside mayoralty, as well as winning 15 council seats to become the biggest single party in Northumberland and tightening its grip on County Durham.

But nationally, the party’s failure to win outright control of Lancashire and Staffordshire County Councils, or to do better in the South, leave a huge question mark over its ability to win in the key battlegrounds, as well as its claims to be  the ‘One Nation’ party.

On what was a bad night for Mr Cameron, the only saving grace is that it was a not much better one for Ed Miliband.

Saturday, December 08, 2012

At last: The beginnings of a regional economic policy

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IN terms of the political big picture, Chancellor George Osborne’s autumn statement on Wednesday this week may well come to be seen as a pivotal moment in the next general election battle.

Whether the so-called mini budget will win or lose that contest for his party, however, is currently a difficult one to call.

On the one hand, the Chancellor was, against the expectations of most pundits and economists, able to reveal that the deficit is continuing to fall, and that government borrowing would therefore not need to increase after all.

On the other, he was forced to admit that the years of austerity would continue at least until 2018, that growth would continue to be sluggish, and that his original target of reducing debt as a proportion of GDP by 2015 would be delayed by at least a year.

Too much has been made of the fact that Shadow Chancellor Ed Balls, thrown by the unexpected news on borrowing, made an uncharacteristic hash of his set-piece reply to Mr Osborne’s Commons statement.

The truth is that only political anoraks get worked up about that sort of thing.  What will linger more in the public’s mind is the fact that Chancellor’s harsh medicine is still no nearer to bringing about a lasting economic recovery.

Of potentially much greater significance than Mr Balls’ incoherent ramblings is the risk that Mr Osborne’s failure to meet the debt reduction target will mean Britain losing its AAA credit rating.

Much of what Mr Osborne has done over the past two and a half years has been designed to stave off this very threat, and if the rating is indeed downgraded, it will surely be time for David Cameron to find a new Chancellor.

What, though, does it all mean for the North-East?  Well – and how many times have I had to write this line over the past 15 years? – there will be no dualling of the A1 north of Newcastle for starters.

Other proposals which failed to win the Chancellor’s stamp of approval included a £25m upgrade for the Tyne and Wear Metro, and a package of support for the region’s offshore wind industry.

Furthermore the proposed welfare cutbacks, with benefit rises for the next three years capped at a below-inflation 1pc, will also disproportionately hit those regions with higher rates of unemployment such as this one.

But amid all this, there are continuing signs that this government – more so than its recent predecessors – is starting to take the idea of regional policy seriously.

The most obvious indication of this came a few weeks when Lord Heseltine, the arch-interventionist of Tory politics in an era where the free marketeers held sway, published his ‘No Stone Unturned’ report.

The Chancellor has explicitly backed its call for a single funding pot covering housing, skills, transport and job creation as well new powers and funding for local enterprise partnerships.

Significantly, the government is to give each LEP the chance to nominate a single major infrastructure project which will then be eligible for a new concessionary public works loan rate, up to a value of £1.5bn.

In addition Whitehall will provide a further £350m towards the Regional Growth Fund, to provide support for jobs and growth across the English regions until 2015.

While the impact of those changes remains to be seen, a more immediate boost to the region came with the announcement that  - 54 years on from the opening of the Preston by-pass - Newcastle will finally join the motorway network, with all stretches of the A1 south of the city to be upgraded to motorway standard.

And the spectre of regional pay, which could have led to teachers and nurses in the North being paid less than their Southern counterparts, has also receded in what was a notable victory for both the unions and the Lib Dems.

It was surely coincidence that, on the day the Tories were pushed into fourth place by UKIP in the Middlesbrough by-election last week, Mr Osborne appointed a new adviser in Neil O’Brien who has previously warned that the party risks ‘pariah status’ in the North.

If the autumn statement is anything to go by, maybe he is already making his voice heard.

Saturday, November 24, 2012

The hard choice facing Justin Welby

The reaction of the North-East media to the recent appointment of Dr Justin Welby as Archbishop of Canterbury says much about the unusually high regard in which he has come to be held in the region since becoming Bishop of Durham last year.


An editorial in The Journal described his appointment to Canterbury as a significant loss to the North-East and, with due respect to other church leaders in the region, few of them would merit such an accolade.

I have to confess I am a little biased where Dr Welby is concerned as we went to the same London church in the 1980s before he received the call to ordination, although I doubt he would have much cause to remember me.

There are many reasons why he will make a first-class archbishop, but in an age when many young people go straight from university into church leadership without the intervention of a career in the real world, the best thing about him is the grounding he gained from 11 years in the oil industry.

But if Dr Welby’s appointment was greeted by a general chorus of media approval, the universal disapproval that greeted this week’s decision by the church’s general synod to say no to women bishops highlights the extent of the challenge facing him.

It must be a moot point as to whether he or the new director general of the BBC, Tony Hall, has been handed the more poisoned chalice.

Whatever the rights and wrongs of the issue itself – and the beliefs are passionately held on both sides of the debate – it seems beyond doubt that the vote will make it harder for the church to get its message across.

The national and broadcast media has given the church a fearful kicking over the issue in recent days, and it didn’t take long for the politicians, from Prime Minister David Cameron downwards, to start joining in.

The broad thrust of their criticisms is that the church has shown itself to be out of touch with modern values and, as the former Labour Home Secretary Jacqui Smith put it, no longer reflects society as it is.

However it is by no means axiomatic that any faith community should be required to conform to the prevailing culture. Indeed, its belief system may at times require it to be vigorously counter-cultural.

To take a different example, there is a widely-held view in society that the accumulation of wealth and possessions is a good thing, and that our political and economic systems should be so arranged as to promote and encourage this.

Christianity, however, takes a different view, arguing not only that you can’t take it with you, but that, in the eternal scheme of things, the abundance of possessions may actually be more of a hindrance than a help.

So for politicians to suggest that a church should necessarily buy in to politically fashionable causes without reference to its teachings and traditions is too lazy an assumption.

No, the real difficulty arises here because of the particular nature of the Church of England as the established church and the role of its all-male bishops in the legislature as members of the House of Lords.

In this regard, it is surely significant that, while MPs mutter dark threats about subjecting the Church of England to equalities legislation over its failure to ordain women bishops, no-one is suggesting doing the same to the Roman Catholic Church over its refusal to allow women priests.

Indeed, if anyone were to suggest that the government should start regulating churches in this way, I suspect the resulting uproar would make the row over whether it should regulate the press look like a vicarage tea party.

Of course, a move to a democratically elected House of Lords, minus the bishops, would remove part of the problem at a stroke.

But Tory MPs foolishly voted down that option as part of their petty feud with the Liberal Democrats, and it is unlikely to come back onto the table before the next election.

The upshot is that unless Dr Welby and his colleagues can find some way of revisiting the women bishops issue, preferably before another five years of argument and bloodletting have passed, the church may be forced to make a hard choice.

Either accept the increasing and unwelcome intervention of politicians in its affairs – or take the nuclear option of disestablishment.

Saturday, November 03, 2012

A welcome report - but why is Heseltine having to reinvent the wheel?

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OF all leading Conservative politicians of the past half century, the former Deputy Prime Minister Michael Heseltine is perhaps the one who has enjoyed the most complex relationship with his own party.

To some, he will be remembered as a spellbinding orator and party conference crowd-pleaser par excellence – or as the late former MP Julian Critchley memorably put it, the man who “always knew where the find the clitoris of the Tory Party.”

To others, he will forever be the dark villain at the centre of what they would see as the most shameful episode in the party’s recent history – the defenestration of Margaret Thatcher after 11 years as Prime Minister in 1990.

Perhaps his most lasting legacy to the party, though, will be to have kept the flag flying for what became some distinctly unfashionable causes in Conservative circles – Europe, state intervention, and above all, regionalism.

Lord Heseltine’s long advocacy of regional policy as a way of promoting both economic growth and social cohesion dates back to his time as the ‘Minister for Merseyside’ in the wake of the Toxteth riots in the early 1980s.

But is a concept that fell so far out of favour among his colleagues that practically the first thing the Tory-led Coalition did on coming to power in 2010 was to abolish the regional development agencies.

In the light of this, perhaps the most surprising thing about Lord Heseltine’s report on industrial strategy published this week under the title ‘No Stone Unturned’ is that he was asked to write it at all.

Is it a sign of a new open-mindedness on the part of Prime Minister David Cameron and his Chancellor George Osborne - or merely a sign of desperation in the face of the country’s continuing economic plight?

Either way, it was inevitable that Labour would seize on Lord Heseltine’s headline statement that the UK currently “does not have a strategy for growth and wealth creation.”

This is, after all, exactly what Shadow Chancellor Ed Balls has been saying all along – that the government needs an economic ‘Plan B’ that puts more emphasis on generating growth and slightly less on cutting the deficit.

Labour leader Ed Miliband is also understandably keen to appropriate the ideas of a One Nation Tory like Heseltine in order to bolster his own attempts to seize the ‘One Nation’ mantle from the Conservatives.

Indeed, it is a measure of how far politics has shifted on its axis since the early 1980s that talk of measures to promote economic growth and wealth creation is now regarded in some circles as “left-wing.”

Some of Lord Heseltine’s proposals have a familiar ring to them.  Since the early 1990s he has viewed elected mayors as a general panacea for everything wrong with local government, and it was no surprise to see him giving this another airing.

The idea of conurbation-wide or even region-wide mayors have also been batted around before, and has some attractions as a halfway house between an elected regional assembly which might be too big to care and local authorities which are too small to cope.

A Mayor of Tyneside, for instance, would have the requisite critical mass of political and financial clout to make a difference while still retaining an element of local accountability.

As I have noted before in this column, it isn’t regional government as we once knew it, but it may be the best, or indeed only, form of regional government that’s ever likely to be on offer.

Lord Heseltine has also advocated handing over responsibility for billions of pounds of central government expenditure to the Local Enterprise Partnerships set up last year following the demise of the RDAs.

But this nothing terribly new either.   Moving power and budgets out of Whitehall was exactly the idea behind the creation of the Government Offices for the Regions in 1994 by the Major administration in which Lord Heseltine served, and also New Labour’s establishment of the RDAs in 1999.

The GORs were wound up by the Coalition in March 2011, exactly a year before the RDAs closed for business, but now Lord Heseltine proposes to turn the LEPs into something that looks suspiciously like a recreation of the two.

While it will be welcomed by those who bemoaned the loss of this institutions, it surely also begs the question why it has been necessary for him to reinvent the wheel.

Saturday, May 19, 2012

Clegg fires welcome warning shot over regional pay

When the history of David Cameron’s government comes to be written, the Budget delivered by Chancellor George Osborne on 21 March may well be seen as a decisive turning point in its fortunes

Whether it was the pasty tax, the granny tax, the tax on charitable giving or the abolition of the 50p rate, those looking for something to criticise in the Chancellor’s package found plenty of things to choose from.

But of all the measures announced by Mr Osborne two months ago, surely the most pernicious as far as the North-East is concerned was the proposal to introduce regional pay rates – paying teachers and other public sector staff in Newcastle less than people doing the same jobs in London.

Far from seeing the prosperity gap between richer and poorer regions as an evil which needs to be addressed, the idea of regional pay takes such inequality as an incontrovertible fact of life and then threatens to institutionalise it throughout the entire British economy.

Despite the efforts of some North-East MPs and union leaders, the proposal has received little national attention up until now, demonstrating once again the London-centricity of our national media.

But that may be about to change.  For the question of regional pay now appears to be playing into the much wider political narrative concerning the longer-term future of the Tory-Lib Dem Coalition.

In what can only be seen as a shot across Mr Osborne’s bows, Lib Dem leader Nick Clegg warned this week that his party could not sign up to a policy that would exacerbate the North-South divide.

It seems that regional pay has now joined the growing list of issues, alongside Europe, House of Lords reform and Rupert Murdoch, where the two parts of the Coalition are singing from increasingly varying hymn sheets.

Speaking to the National Education Trust in London Mr Clegg said: “Nothing has been decided and I feel very, very strongly as an MP in South Yorkshire, with a lot of people in public services, we are not going to be able simply willy-nilly to exacerbate a North-South divide.

“I think people should be reassured we are not going to rush headlong in imposing a system from above which if it was done in the way sometimes described would be totally unjust because it would penalise some of the people working in some of the most difficult areas.”

Perhaps the most heartening aspect of Monday’s speech was simply hearing a senior minister – the Deputy Prime Minister no less – talking about the North-South divide again.

It became practically a banned subject under Tony Blair, who first attempted to dismiss it as a "myth,” then tried to con the region into thinking something was being done about it by inventing a spurious target to narrow the gap between the three richest regions and the six poorest.

In one sense, Mr Clegg’s intervention is not unexpected given his own status as a South Yorkshire MP in what is a genuinely three-way marginal constituency.

Mr Blair’s former spin doctor Alastair Campbell has stated that Mr Clegg's only hope of retaining his Sheffield Hallam seat at the next election is to join the Conservative Party, and even making allowances for Alastair’s obvious partisanship, I’ve a sneaking suspicion he may be right,

But in the meantime, it is clearly in the Lib Dem leader's interests to try to put some clear yellow water between himself and the Tories on issues with a particular relevance to the Northern regions.

In view of the Lib Dems’ dismal performance in local elections in the North since the party joined the Coalition in 2010, it is surely not a moment too soon.

Mr Blair’s indifference to the whole issue of regional disparities was partly responsible for the Lib Dems’ dramatic surge in support in the region between 1999 and 2007, with Labour-held seats like Newcastle Central, Blaydon and Durham City briefly becoming realistic targets.

Meanwhile at local government level, the party took control of Newcastle from Labour, and actually managed to hang on to it for seven years before being swept away in the post-Coalition backwash of May 2011.

It will be a long way back for the party to reach those giddy heights again, still further if it is to mount a serious challenge for additional parliamentary seats in the region.

This week, however, Mr Clegg might just have taken the first step along the road.

Saturday, May 05, 2012

Johnson the real winner once again

You can look at yesterday's local election results purely in terms of the 400 or so council seats lost by the Conservatives and the 800-plus gained by Labour.

You can look at them in terms of national share of the vote, with Labour opening up a seven-point lead over the Tories that if repeated in a general election would put Ed Miliband comfortably in Number 10.

You can look at them in terms of the almost wholesale rejection of the government's plans for a network of powerfully elected mayors in our major cities, not least in Newcastle where the idea was rejected by a majority of almost 2-1.

But whichever way you choose to look at them, it's already pretty clear that Thursday was a very bad night for the Coalition.

It was always likely that the Tories would try to get us to look at the results through the prism of their star performer Boris Johnson's ultimately successful re-election campaign for the London Mayoralty.

But this really won't wash.  Johnson is a political one-off, and so, in a different sense, is his Labour opponent Ken Livingstone, who found himself deserted in this election by a significant element within his own party.

Although in the short-term Mr Johnson's narrow win provides the Conservatives with a convenient fig-leaf for their wider failure up and down the land, in the longer-term his victory is a disaster for David Cameron.

Once again, Boris has proved that he is the proven winner in the Tory ranks, in marked contrast to a leader who couldn't even score an outright election win against the exhausted volcano that was Gordon Brown in 2010.

In one sense yesterday's results were entirely predictable given the catalogue of disasters that the government has visited upon itself lately.

Mr Cameron will hope he can draw a line under it all in time-honoured fashion, with a relaunch of the Coalition - or as some are calling it, a renewal of vows – likely to come as early as the next fortnight.

This will be followed by a wide-ranging summer reshuffle that could see Ken Clarke and Andrew Lansley thanked for their service and replaced by younger, more media-savvy operators such as Grant Shapps and Chris Grayling.

But even this poses difficulties for Mr Cameron, with the long-planned promotion of Jeremy Hunt having to be put on hold pending his appearance at the Leveson Inquiry into press standards.

For my part, I wonder whether something deeper than mere mid-term blues is at work here - whether a public that was initially disposed to give the Coalition the benefit of the doubt has now started to do the opposite.

It is surely significant that, while 12 months ago the Tory vote held up as the Lib Dems bore the brunt of voters' anger over the austerity measures, this time round they were both punished equally.

Equally ominous for the Conservatives is the rise and rise of the UK Independence Party, which took 13pc of the national vote in a set of elections where it traditionally makes little impact.

If UKIP can start taking as many votes off the Conservatives in a general election, it might even one day force them to embrace the merits of proportional representation

Mr Miliband, though, will refuse to get carried away by any of this.

Six months ago I thought the public had by and large made up its mind about him, but maybe they are taking another look and liking what they see.

The biggest encouragement for the Labour leader is the fact that the party appears to be on the march beyond its traditional strongholds.

Not only is it winning back bellweather Midlands cities like Derby and Birmingham that will be crucial to its general election chances, but also more southerly councils such as Harlow, Plymouth and Great Yarmouth.

As for the North-East, having rejected regional government in 2004 it has now rejected the nearest thing to it, a Newcastle city region led by a powerful, Boris-style elected mayor.

While I am no great fan of presidential-style politics, it is hard to see how the region can compete effectively for its share of the national cake without such powerful advocates.

Fear of change, the desire to stick to the devil you know, remains a powerful factor in determining political outcomes, and Thursday’s mayoral referendum was no exception.

And if there is a crumb of comfort anywhere for Mr Cameron in yesterday’s results, it may well be in that.
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Saturday, April 21, 2012

Labour must share blame for region's plight

Over the past few weeks, the domestic political agenda has been dominated by the continuing fallout from what has by now surely become of the most controversial, even reviled Budgets of recent years.

It started within a few minutes of the Chancellor sitting down on 21 March with the revelation that he had performed a stealth tax raid on pensioners' incomes by freezing their personal allowances - the so-called 'granny tax.'

It continued with the belated realisation that, in pursuing the entirely laudable objective of limiting the amount of tax relief that can be claimed by the super-rich, the government had also made life much, much harder for the charitable sector.

And throughout it all there has been the ongoing row over the so-called pasty tax, coupled with increasingly laughable attempts by Old Etonian ministers to get with the workers by claiming to be fans of the hot snacks.

But until this week, no serious consideration had been given to the particular impact of George Osborne's proposals on the North-East.

So first off, congratulations are due to Gateshead MP Ian Mearns, always a doughty campaigner on behalf of the region, for securing a 90-minute debate on that very subject in Westminster Hall on Tuesday.

Having spent quite a lot of my career covering such debates, it would be easy for me to write them off as so much hot air, but that would be an overly-cynical view even for me.

They may not change anything, at least in the very short term, and the ministerial replies may be invariably formulaic. But where they do succeed is in raising consciousness of an issue to the point where it becomes harder to ignore, and that sense they are vital.

It was clear from the start that this was a Budget that was particularly pernicious in its potential impact on the region.

Quite apart from the impact on Tyneside-based pasty-maker Greggs, one of its central recommendations was the introduction of regional pay rates, which would institutionalise regional income disparities in the public sector for no better reason than the fact that they already exist in the private sector.

Mr Mearns chose not to dwell on that particularly in his opening speech to Tuesday's debate, however, choosing to highlight some damning statistics about the effect of Mr Osborne's higher-rate tax cut and the government's spending priorities.

He revealed that, while in London, the South-East and East Anglia, nearly 195,000 taxpayers will reap the benefit of the tax giveaway, in the North-East the figure will be fewer than 5,000.

On transport spending, the disparities are even more alarming. Mr Mearns revealed that more than 160 times as much is being spent on transport infrastructure projects in London than in the North-East.

"Once more, the people of the North East are paying the price for an economic strategy made in and for the wealthier south," he said.

He didn't, as it happens, mention the proposed HS2 high-speed link, but although it has its supporters, my own view is that it is not necessarily the panacea that some say it is.

For one thing, it won't arrive here until 2032 at the earliest. For another, any economic benefits to the wider North are likely to migrate towards Leeds and Manchester, which will be getting the link a good half decade earlier.

But the most fundamental question that has to be asked of any Labour politician when raising the issue of the North-South divide is why the party did not do more to address it during its 13 years in power from 1997.

Ian Mearns at least can point to a consistent track record on that score. As a leading figure in North-East local government during the Tony Blair years, he was one of those who regularly highlighted that administration's failure to address the issue, while the likes of Nick Brown and David Clelland also argued strenuously behind the scenes for a better deal for the region.

But the party as a whole allowed Mr Blair to get away with two particular claims that, taken together, served fatally to undermine the case for a more proactive regional policy.

The first was that the differences within regions were as great as the differences between them. The second was that any attempt to rebalance the economy risked harming the Southern regions which were the main driver for the economy as a whole.

Whatever the merit of these arguments, they became, over time, an excuse for simply doing nothing.

In the words of its response to a 2003 report on the issue: "The government does not accept the proposition that increased public funding to the less prosperous regions is a necessary condition to improve their prosperity."

The sad truth of the matter is that New Labour had an historic opportunity to do something about regional economic disparities at a time when it had a fair political wind behind it and, crucially, public spending as a whole was rising.

For the Coalition to try to tackle the gap in the current economic environment is a much harder task.

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Saturday, April 14, 2012

It's regional devolution, Jim, but not as we knew it

Writing last Saturday, the Newcastle Journal's regional affairs correspondent Adrian Pearson opened his column with the words: "If an elected mayor is the answer, what could possibly have been the question in North Tyneside?"

Well, allow me to have at least a stab at providing an answer.

There are plenty of cynical explanations. Elected mayors were originally the brainchild of the Tory cabinet minister Michael Heseltine in the early 1990s, and were seen by some at the time as an attempt to circumvent the power of high-spending, left-wing Labour councils.

Indeed, as Adrian pointed out in his column, this was precisely what later happened in North Tyneside, where Labour's stranglehold on local politics was finally thwarted by a succession of Conservative mayors in what became a recipe for decade-long infighting.

By the time New Labour came to enact Heseltine's proposed reforms, though, the agenda had changed somewhat. I believe Tony Blair's primary motivation for implementing elected mayors was simply to try to revive flagging voter interest in local government by, well, sexing it up.

In that sense, it was no more than a reflection of the trend towards ‘presidential’ politics that reached its apogee under Mr Blair, and which continues, though to a slightly lesser degree, under David Cameron.

The sorts of arguments that were heard then - "increased accountability through increased visibility" - are still used to promote the elected mayoral idea today - but a decade or more on, the debate has now become much more bound up with economic development and in particular with redressing regional economic disparities.

It is now very much part and parcel of the "city regions" concept that emerged from the wreckage of the regional government debate after the North East Assembly referendum debacle, with elected mayors seen as a way of giving their areas the kind of clout that properly-empowered assemblies might once have exercised.

This argument is already very much to the fore in the debate over whether there should be an elected mayor of Newcastle, for instance.

The city has yet to even make a decision on the issue - but already people such as Lewis Goodall of the regional policy think-tank IPPR North are talking openly about a directly-elected leader or 'metro mayor' not just for Newcastle but for the entire Tyneside conurbation.

"To really counterbalance the power of London, mayors need to have real powers to forge the destiny of their area," he wrote in Good Friday's Journal.

"Over time, this might mean a move towards a metro mayor for the wider city area - not just Newcastle but the surrounding conurbation too, with powers over economic development and transport."

To those of us with long memories, what is particularly interesting about that comment is that it was precisely those powers that the proponents of an elected regional assembly demanded - and failed to get - prior to the 2004 referendum.

I have always believed that had Mr Blair been more inclined to hand such powers to a regional body, the public might well have been more inclined to vote for it.

But regional government was only ever a means towards the greater end of tackling the North-South prosperity divide.

And as Lewis Goodall also pointed out in his piece, this is still very much with us, with the government planning to spend £2,700 per head on infrastructure projects in London compared to £5 a head in the North-East.

Looming over the whole debate over elected mayors is the larger-than-life figure of London Mayor Boris Johnson.

Not only has he enhanced the ‘accountability’ argument in favour of mayors by being a highly visible elected figurehead, he has also enhanced the economic argument by using his undoubted clout to further deepen that imbalance.

Mr Cameron’s own decision to axe regional development agency One NorthEast didn’t help matters either – but a gaggle of elected mayors flying the flag for the region could go some way towards filling that gap.

It isn’t regional devolution as we once knew it, Jim, but it might turn out to be the best form of regional devolution on offer.

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Saturday, March 17, 2012

Nothing gets politicians so worked up as a Boundary Review

THIS week, The Journal reported that there had been more than 900 objections lodged with the Boundary Commission over its plan to alter the face of the region’s one real rock solid Tory enclave – the parliamentary seat of Hexham.

The plans, drawn up last September as part of the government’s proposal to reduce the size of the House of Commons by around 50 seats, would see historic country boundaries crossed in the name of ‘equalising’ the size of constituencies across the country.

If the proposals go ahead, the North-East will see its overall representation in Parliament fall from 29 to 26 with no part of the region unaffected by the changes.

For some of the region’s MPs, it is likely to mean the end of the political road, while those that survive are will find themselves standing for re-election in constituencies almost unrecognisable from their existing ones.

In nowhere than Hexham has the opposition to the government’s plans been more intense.

All three main parties – including the Conservatives and their sitting MP Guy Opperman – have come out against the proposals, with the 950 letters of opposition equalling the number received in all the other 28 North East constituencies put together.

What the opponents of the changes find particularly galling is the fact that the proposed new constituency will breach the historic county boundary between Northumberland and County Durham, with Haltwhistle moving into a newly-created seat of Consett and Barnard Castle.

Other proposed new constituencies in the region – for example Newcastle North and Cramlington – will see the traditional divide between metropolitan and non-metropolitan areas breached, although, perhaps surprisingly, these seem to have aroused much less opposition to date.

But the ongoing debate over Hexham could prove to be a microcosm of a much larger battle over the government’s proposals which could yet influence both the timing and the outcome of the next general election.

In my column last week, I speculated that Nick Clegg’s proposals for House of Lords reform could ultimately prove to the rock on which the Coalition founders, with Conservative peers, who want to maintain the second chamber’s built-in Tory majority, threatening to derail his plans.

What does that have to do with Parliamentary boundaries, I hear you ask? Well, potentially quite a lot.

For the Lib Dems are threatening to retaliate against the potential loss of their leader’s cherished Lords reform plans by scuppering the Tories’ attempts to reduce the number of MPs.

Now at first sight, you might think this was yet another ill-judged policy intervention by the Lib Dems that is likely to prove about as big a vote-winner for them as their support for the Euro.

Years of mounting public cynicism about politicians – capped by the MPs’ expenses scandal – have created a climate in which any party advocating a reduction in their numbers is likely to be on pretty firm electoral ground.

But politicians are never so exercised as when their own jobs are under threat – and for that reason alone, a Lib Dem revolt against the boundary review proposals could have a very real prospect of success.

A small number of Tory MPs affected by the changes – some of them only elected for the first time in 2010 and whose parliamentary careers face being cut off in their infancy – might even be persuaded to join such a rebellion.

This is not just about the Lib Dems getting their own back on the Tories, though. There is undoubtedly an element of calculation in the party’s stance.

It is estimated that the boundary changes will be worth an extra 20 seats for the Conservatives at the next election – some of which will undoubtedly come at the expense of their Coalition partners.

The changes will therefore make it much more likely that there will be a majority Conservative administration next time round, and correspondingly much less likely that the Lib Dems will again be in a position to hold the balance of power.

Killing off the boundary review might yet be the Lib Dems’ best hope of hanging onto their ministerial limousines. And it might even win them a few votes in Hexham.

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Sunday, March 04, 2012

The real issue which the Lib Dem spring conference needs to address

Back in the bad old days of two-party politics, the Liberal Democrat spring conference was one of those recurring events in the political calendar which even political journalists struggled to get too worked up about.

Sure, the BBC invariably ran a short item about it – but that was only because its rules on impartiality oblige it to give Lib Dem gatherings the same coverage as those of the other two main parties.

How times have changed, however. Not only is this year’s spring conference in Gateshead a big story in the North-East, but it is also set to attract the kind of national media attention which the third party could once only dream of.

At stake could be the future of a flagship piece of government legislation – and in the longer-term, the future of the government itself.

Last year’s spring conference saw Lib Dem activists effectively force their Tory coalition partners to order a ‘pause’ in the controversial Health and Social Care Bill designed to hand large parts of the NHS over to GP consortia and increase competition across the service.

A year on, and this year’s may yet result in the hated Bill’s final demise.

Alongside Europe, the Bill remains perhaps the biggest point of division between the two Coalition partners, despite continuing attempts by both party leaderships to soften it at the edges in the hope of avoiding a showdown.

But even a desperate entreaty by party leader Nick Clegg and much-loved veteran Baroness Williams this week looks unlikely to head-off an attempt at next week’s gathering to kill of the legislation once and for all.

Unlike on Europe, it has been clear for some time that the Lib Dem tail is wagging the Tory dog when it comes to the NHS.

Earlier this week, Lib Dem peers put forward a fresh series of amendments to the Bill in the House of Lords designed to further water down the requirements for increased competition.

Initially, the government said it was ‘not minded’ to accept the amendments, but once they were duly passed, it decided not to try to overturn them.

At the same time, Mr Clegg and Lady Williams issued a letter to party members saying that the Bill as now amended contained all the necessary safeguards and should therefore now be “allowed to proceed.”

Early signs are, however, that activists are determined to press ahead with a conference vote on the motion, which calls for the "deeply flawed" Bill to be "withdrawn or defeated.”

One prominent Lib Dem, Graham Winyard, has already resigned from the party over the issue, warning Mr Clegg that his support for the bill would be "a slow-motion disaster" for the NHS and the party.

Labour has not been slow to seize on the divisions, with shadow health secretary Andy Burnham attacking Mr Clegg’s “stage managed posturing” over the Bill.

He urged Lib Dem rebels to work with Labour and dismantle the Bill to remove the provisions relating to competition.

But of course the Lib Dems’ problems go much wider than health. Their real difficulty lies in the fact that voters have deserted the party in droves since it joined the Coalition.

In this sense, it is ironic that they are meeting in the North-East at a time when the party’s standing in the region has possibly never been lower.

A poll carried out by YouGov the week before last showed the party now has the support of just 4pc of the region’s voters – lower than the UK Independence Party on 7pc.

The days when the Lib Dems entertained serious hopes of winning parliamentary seats such as Blaydon and Durham City now seem a very long way away indeed.

Under Charles Kennedy’s leadership from 1999-2006, the party pursued a successful strategy of appealing to disaffected Labour voters as well as its own traditional supporters, gaining its higher number of MPs since the 1920s.

It is now facing the nightmare scenario of its parliamentary representation being reduced to single figures for the first time since the revival of third-party politics began in the 1970s.

It is hard to dispute the analysis of Gateshead councillor Ron Beadle that, in electoral terms, the Coalition has been a “disaster” for the party.

This, not the future of the health bill, is the real issue which this spring conference needs to address.

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Saturday, January 14, 2012

Scottish independence won't be the end of the devolution 'process'

Back in 1998, a now almost-forgotten former Labour cabinet minister coined the phrase: "Devolution is a process, not an event."

They were in fact the words of Ron Davies, the architect of the Welsh Assembly who is now primarily remembered for his 'moment of madness' on Clapham Common and subsequent 'badger-watching' escapades near the M4.

But as the repercussions of New Labour's devolution reforms of the late 1990s continue to reverberate around the body politic, it is clearer than ever that Mr Davies was spot-on in his analysis.

Just as the former Cabinet secretary Gus O'Donnell predicted in his series of 'exit interviews' before retiring last month, the future of the Union has suddenly become one of the hottest of political hot potatoes.

The extent of the Prime Minister's gamble in seeking to strong-arm the Scottish government into holding a straight yes-no vote on independence within the next 18 months should not be underestimated.

A less risky strategy would surely have been for the Westminster government to carry on doing what it has been doing to the Scots for the past 30 years, namely try to buy them off.

The carrot on this occasion would not have been money in the form of the highly-advantageous Barnett Formula of public spending, but rather the promise of more powers – or “devo max” as it is termed.

By handing significant financial autonomy and accountability to the Scottish government while allowing it to remain in the UK, the government would surely have satisfied all but a minority of pro-independence diehards.

But Mr Cameron appears to have eschewed that option in what appears to be an all-out bid to destroy the Scottish Nationalist First Minister Alex Salmond and kill the idea of independence stone dead for a generation or more.

His attempt to set the timetable for the referendum as well as fixing the question is designed to pitchfork the Scots into an early vote in the hope that they will reject independence.

But will it actually have the opposite effect? Will the Scots simply see it as yet more unwanted meddling in their affairs by a distant English premier whose party enjoys so little support north of the border it nearly decided to change its name?

If so, then Mr Cameron is going to look remarkably stupid before this game of political chess is played out. So stupid, in fact, that it could be he, rather than Mr Salmond, who finds himself out of a job.

The future constitutional position of Scotland may seem like a rather arid subject to those of us south of the border, but for the North-East, it could have some rather interesting political repercussions to say the least.

For starters, an independent Scotland would be more likely to compete aggressively against the Northern English regions for inward investment – an issue that has reared its head from time to time even within the existing Union.

The wider implications, though, would be in the change in political balance within England and the impact that this would have on traditionally Labour-supporting areas.

The secession of the Scots would mortally Labour south of the border, ending any prospect of it holding power alone at Westminster again and permanently shifting the centre of political gravity to the right.

The Labour-supporting regions of the North - whose political cultures in fact have more in common with the Scots than with the Southern English – may well then find themselves even more marginalised by the Westminster Parliament.

This, in turn, might well lead to a revival of interest in the idea of devolution within England, perhaps within a pan-Northern context this time round rather than individual assemblies for the North-East, North-West and Yorkshire.

My guess is that if Mr Cameron’s gamble does backfire, and the Scots ultimately vote for independence, it won’t be too many years before we see calls for some sort of 'Council of the North' encompassing all three regions.

Fanciful? Well, maybe. But devolution is, after all, a process, not an event.

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Saturday, September 17, 2011

Could boundary review put regional governance back on agenda?

Over the course of the long debate about North-East regional governance, one of the most oft-heard arguments was that the region lacked the clout to make its voice heard at Westminster.

Well, if that was true then, when the region sent 30 MPs to the Commons, it will be even more the case after the next election when its representation will fall to just 26.

This week’s review of the Parliamentary boundaries will leave no part of the region untouched, with every single one of its current 29 constituencies affected.

Some constituency names – Blaydon, Wansbeck, Stockton South – will disappear from the electoral map altogether. Others will be variously merged, dismembered or renamed.

In sub-regional terms, the impact of the Boundary Commission’s proposed changes will be fairly evenly spread.

Northumberland and Teesside will each suffer a net loss of half a seat, while Durham and South Tyne and Wear will each suffer a net loss of one.

Faced with the choice of having constituencies that crossed county boundaries, or ones that crossed the River Tyne, the commissioners somewhat bizarrely opted for the former.

The result is a series of new seats – for example Newcastle North and Cramlington – where the traditional divide between metropolitan and non-metropolitan areas will be breached.

In terms of the impact on individual careers, one odd, but surely unintended consequence of the proposals is that two of the region’s ‘awkward squad’ – Wansbeck’s Ian Lavery and Blaydon’s Dave Anderson – are among those most at risk.

And those MPs which survive are likely to find themselves standing for re-election in constituencies which are almost unrecognisable from their existing ones.

Much of Nick Brown’s Newcastle East constituency, for instance, will go into the newly-created seat of Newcastle South.

It remains to be seen whether Mr Brown, who will be a month short of his 65th birthday by the time of the next election, will see that as an appropriate moment to call time on his long and distinguished career.

So much for individuals – what of the impact on the electoral politics of the region?

Well, for all the widespread assumption nationally that the changes are designed to clobber the Labour Party, this seems unlikely to be the case here.

The Liberal Democrats have been Labour’s main challengers in many of the region’s inner-city seats, but given their collapse in support in the North of England generally, Labour have little to fear in this regard.

While Hexham can be expected to remain solidly Conservative, and Berwick and Morpeth is likely to remain Lib Dem at least as long as Sir Alan Beith is its MP, the proposed changes appear to create few obvious opportunities for the Tories and Lib Dems elsewhere.

The biggest impact of the changes is likely to be on the influence of the region as a whole.

In terms of Parliamentary representation, it already lacked the critical mass to do much to influence the overall direction of government policy, as was seen during the Blair years when the region was effectively taken for granted.

This gradual loss of influence coincides with another broader trend, namely the increasing divergence between domestic policy in England and in other parts of the UK.

Post-devolution, Scotland and Wales had already begun to develop policies on health and education that are well to the left of the UK’s as a whole, and the Coalition’s public services reforms in England are further widening the gap.

The end result of all this may well see the North-East increasingly out of sympathy with the political consensus within England, yet unable to do much about it.

With its predominantly left-of-centre political culture, the region might start to look longingly in the direction of Scotland and Wales and the devolved powers which they enjoy.

It was widely assumed that the resounding no vote in the November 2004 regional government referendum had settled this question for a generation, perhaps even for eternity.

Seven years on, the day when it starts to creep back onto the agenda may not now be too far-off

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