Levelling-up Agenda: Impact of Cost of Living Crisis

10. What recent assessment he has made of the impact of the cost of living crisis on the levelling-up agenda.

24. What recent assessment he has made of the impact of the rising cost of living on the levelling-up agenda.

The rising cost of living is being felt by people right across the UK, but particularly those in some of the least affluent areas, where particularly high inflation combines with low wage growth. That makes levelling up even more important. While providing immediate relief through the energy support package, the Government are also determined to help places build long-term economic resilience and growth, because we know that local growth means better opportunities and a better life for local people.

But the point is, as all of us have said, that spiralling inflation is devaluing the funds available for infrastructure and levelling-up projects, and labour and supply chain shortages will also cause inevitable delays. Are the Government willing to admit that Brexit lies at the root of all this? The Government’s plans are not levelling up; they are falling apart.

Brexit is the thing that has allowed us to set up the shared prosperity fund, so that we can deliver local benefits not just in England but right across the UK, including in Scotland. On the point about inflation, we are working with local authorities to see specifically how we can support them in ensuring that their projects are delivered.

As the Minister has acknowledged, the places most in need of levelling up are those suffering most from this Tory cost of living crisis, yet it was the Levelling Up Secretary who was cheerleader-in-chief for a mini-Budget that prioritised the welfare of the south-east over everyone and everywhere else. The Secretary of State is now talking about there being “fat to trim”. How much of that fat will have to be found in levelling-up budgets?

I am delighted that the hon. Gentleman mentions the mini-Budget, because he will know that one of the most incredible measures in it is investment zones, which our Department is committed to delivering to bring about local opportunity, local jobs and local investment to benefit local people, including in Scotland.