East MPs write to Prime Minister urging him to better support the region

MPs including Chloe Smith and Matt Hancock have signed the letter

Norfolk beach
Author: Sian RochePublished 2nd Feb 2023

A group of MPs from the East of England have written to the prime minister, urging him to help the region "realise its full potential".

MPs including Norwich North's Chloe Smith, and West Suffolk's Matt Hancock, are calling for an independent economic review into the Eastern Powerhouse.

They say the East is losing out compared to other parts of the country, after it received 40% less levelling-up funding than other regions.

The full letter

Here's the letter sent to the Prime Minister in full:

"Dear Prime Minister,

RE: Independent Economic Review and a Spatial Analysis for the East of England

We write as Members of Parliament for constituencies in the East of England - an area of huge untapped potential - and as board members of the Eastern Powerhouse, the business led organisation that was set up to supercharge the region.

Over the summer, members of the Eastern Powerhouse wrote to you concerning the main factors that are hampering growth in the East of England, and also outlined a plan for growing the economy of the region by tackling these obstacles.

Following this, at the leadership hustings event in Norwich, you committed to deliver one of the infrastructure projects that was flagged as a top priority, the Ely North railway junction. We were very grateful to you for this undertaking, which we trust remains in place, and hope it signals the beginning of a step-change in investment in the East.

Our earlier letter to you enumerated the economic dividends that can accrue to the whole of the country if a government led by you were to take steps to tap the significant potential of the East. The East can deliver the highest rises in growth and productivity for the least amount of investment, relative to other regions.

The economic dividends for UK plc would be considerable. We estimate that, if the East of England were able to level up to the South-East (excluding London), we could deliver an extra £31.2bn a year in GDP for the national economy. That would mean £11.5bn of additional tax-take for the Exchequer, and an annual increase in disposable income of £3,100 for every resident in the East of England.

Today, however the East is losing out to other parts of the UK. It has received 40% less Levelling-Up funding than other regions and a much lower share of public investment. In 2020/21, transport spending in the East was just £678 per head, compared with £1,476 per head in London, and it currently sits below the UK average of £737.

The East also has the lowest health spend per capita in the country (£2,974 compared with £3,271 nationally) and a lower-than-average national education spend (£1,357 compared with £1,428).

We are keen that your administration should work with the Eastern Powerhouse to deliver an independent economic review and a spatial analysis for the East, so that we can identify specific constraints on growth and seek to remove them quickly and effectively. We, as the business-led regional organisation in the East, ask for parity with the other regional organisations in the country and would seek similar levels of recognition and support from government.

We want the Eastern Powerhouse to be a partner to Government in shaping policy for the major problems that are stifling our region. To this end, I would greatly appreciate a meeting to agree common objectives and priorities. We would be delighted to welcome you in the East, as and when your diary permits."