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Northern leaders call for Germany-inspired levelling up law

Northern Mayors, civic and business leaders have called for levelling up to be ‘hardwired into UK law’ to ensure all regions close gaps on living standards.

The new approach would take inspiration from Germany and legislate for governments to provide equivalent living standards across the UK and move away from the competitive bidding system that has caused controversy.

The call came as Greater Manchester missed out on bids worth £276m – although Trafford, Wigan and Oldham were successful in securing bids in Round Two of the Levelling Up Fund with £60m.

Speaking at the Conference of the North 2023, Andy Burnham, Mayor of Greater Manchester, said the success of Germany shows that governments can put levelling up in action.

He said: “I am becoming more optimistic that the change is becoming permanent. Things can’t be as they always were.”

The Manchester Central event on January 25 is the fourth in-person event ‘convening the North’ and is being delivered by Greater Manchester alongside NP11, a partnership between Northern public and private sectors.

Currently, the potential of improving the lives of people across the country is being held back by the disparities between the North and London and the South East when it comes to key living standards.

One of the major disparities can be seen in the difference of life expectancy in the South East and the North — a difference of 3.5 years for females and 4 years for males in the North West.

The proportion of the over-16 population with no qualifications is 4.1% higher in the North West compared to the South East, and the proportion of households suffering from fuel poverty in the North West is 5.8% higher than the South East.

Burnham said: “The Levelling Up Fund announcement last week laid bare the issues with these short-term competitive funding pots.

“We end up with winners and losers but nobody is able to actually plan for long-term investment in their areas.

“If we were able to close the gaps between the North and London and the South East, we’d see drastic improvements in everything from incomes to skills, to ultimately boosting life expectancy.

“This would of course be good for people in the North, but would also help grow the UK economy as a whole. 

“Germany shows us what can be done when you hard-wire legal guarantees to tackle inequalities and empower local leaders into the fabric of your country. 

“East Germany has seen long-term support and investment since the fall of communism – and it has worked.  Cities in Eastern Germany are now powering ahead of cities here in the North. 

“Our own history has shown us that, too often, the North struggles to get to the top of the Government’s to-do list – whichever political party is in charge. 

“That’s why we need to hard-wire levelling up into UK law and unlock the potential of the North to help the whole country thrive.”

Carsten Schneider, the Minister for East Germany and Equivalent Living Conditions in Chancellor Olaf Scholz’s Government, addressed the convention by video, setting out his country’s model of levelling up.

The Minister said one of the most important lesson to learn from Germany’s ‘levelling up’ is creating incentives for more people to live and work in rural areas – such as good jobs and better infrastructure. 

He said: “Regional structural policy has long been a cornerstone of German politics.

“The goal of creating equal living conditions everywhere in Germany can even be found in our constitution.

“There are good reasons for it. If regions are drifting apart, it is bad for everyone, including for the growing regions. 

“If a variety of regions flourish, the whole country will prosper.”

Main image: Manchester Central, by Jack Redden

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