1.
More politicians
A
'new tier' of paid politicians is not needed, nor has it been demonstrated
that 'the will of the people' has any desire for elected regional government.
What we
are witnessing is the implementation of Government policy which was
part of a manifesto pledge. There is hardly any evidence that the North
East public wants an Assembly. There were only 713 responses nationally
to the Government White Paper, and only 30 individuals from the North
East were in favour of elected regional government. Last year's Soundings
Exercise by the Office of the Deputy Prime Minister on whether anyone
wanted a referendum produced only 844 responses from the region out
of a population of some 2,500,000,and that included those who were opposed
to an Assembly.
2. No extra money
There
will be no extra money from the Government or the European Union.
Although
the North East needs a better funding deal, an Assembly will not be
able to provide it. As Nick Raynsford stated, and Lord Rooker confirmed,
there will be no more money from central Government.
Therefore the Assembly will have £350m to spend, which is £150m less
than the budget of Sunderland Council, and works out at only 38p per
day per person in the region. Scotland and Wales will continue to receive
massive amounts of extra funding under the Barnett Formula, calculated
in 1978.
The Government refuses to reform this, and Lord Barnett who had planned
that the formula would only last for one year now describes it as 'unfair,'
with there now being more poverty in parts of the North East and North
West than in Scotland. If the North East got the same funding as Scotland
we would get £1.3 billion every year which, would be of real benefit
to the area. After 2006 the money the North East receives from the European
Union in the form of Structural Funds will dry up.
The North East will be classed as a wealthy region in comparison to
regions of the ten accession countries joining the EU on May 1st 2004.
This was confirmed by President of the Parliament, Pat Cox.
3. No real powers
An elected Assembly will have no power over health, education and law
and order and would therefore not be able to create a single extra nurse,
doctor, teacher or police officer.
It would have no power over transport, and would therefore not have
the ability to dual the A1 for which many people in the region have
campaigned for years.
The Assembly will be able to produce 'strategies' and have 'initiatives'
and 'have influence'. However, it will not have the power required to
implement and deliver these strategies and this will result in the assembly
simply becoming a talking shop producing nothing but hot air and rhetoric…and
lots of nice glossy brochures all at our expense.
4. Higher council tax
An
assembly will be able to precept council tax to pay for itself, resulting
in higher council tax bills for local ratepayers.
The costs of the London Assembly have already exceeded the Government's
original estimate by 400%.
The London model, the same one envisaged for the North East, has 25
members chosen by proportional representation - and also a mayor, Ken
Livingstone. In three years, the mayor's office has grown from 33 to
73 staff; many involved in presentational and political roles. He has14
press officers and the cost of this operation alone is £781,000 while
the annual salary bill is £608,000.
The authority is housed in a new building - the unfortunately shaped
City Hall nicknamed "the glass testicle" which cost £43 million to build,
next to Tower Bridge. It was designed to house 429 members of staff
- there were just 287 when the authority was set up. Yet the number
has now risen to 628, which has meant that the GLA has had to rent office
space in a nearby complex.
This year's budget for the GLA is £56 million, a 12 per cent increase
on the previous year. A further £41 million is spent on management and
support services.
5. New building
An Assembly will require a new building, again at great
public expense. Despite reassurances from local luminaries, the reality
will be far different from the platitudes and rhetoric. Don't forget
this is also OUR money.
In Scotland, opposite the Palace of Holyroodhouse, a new parliament
building is being constructed at a cost of £400 million - 10 times the
original estimate. There are few Scots who believe that the latter figure
will be the final total. The bill for the inquiry set up to investigate
the scandal is expected to cost more than £1.2 million.
The Welsh Assembly's biggest calamity has also been its planned new
building. Lord Rogers, the architect, won a competition to erect a three-storey
modernistic glass debating chamber on the edge of Cardiff Bay for £12
million by April this year. In 2001, when the costs had hit £27 million
and were reported to be rising to £47 million, Lord Rogers was sacked
and work was halted. The Assembly then held on to his drawings and advertised
for a fixed-price builder. Taylor Woodrow Construction won the work
and brought in Lord Rogers as a sub-contractor. The Assembly then announced
the cost of the work was £41 million, to which has to be added IT equipment,
furnishings, professional fees and VAT. A spokesman said the completion
date was scheduled for August 2005.
6. Slower decision-making
Decision-making
will be slowed down with the increased bureaucracy.
Again,
these extra bureaucrats are paid for by us. Despite reassurances, there
has not been one example of devolution that has resulted in streamlining
or efficiency, and each devolved assembly has seen costs and staff numbers
escalate rapidly.
Scotland, which used to be run by five ministers from Whitehall now
has 20. There are nearly 1,000 more officials involved in the central
administration than before devolution, costing an extra £20 million.
There are also another 1,700 people working for various executive agencies.
In Wales, when the Assembly was established in May 1999, it employed
2,206 civil servants, plus 41 in the Office of the Presiding Officer.
A year ago, those figures had jumped to 3,192 and 200, and as mentioned
earlier, staffing levels in London have expanded so much they have outgrown
their headquarters.
7. No help to business
More politicians would also
slow down decision-making and hinder economic progress. It is businesses
and entrepreneurs that generate the wealth need to be able to not only
maintain international competitiveness, but also be able to drive forward
local initiatives.
An Assembly will have no powers to give economic aid to business. It
will not be able to create rent or rate free zones. It will not be able
to set aside any rules or regulations from Brussels or Westminster.
It will however, be able to produce more 'think tanks' and economic
strategies.
There is no proof
at all that an Assembly could improve the region's economic performance.
There has been no reassurance that the regional development agency (One
North East) would be given the freedom to function without being politicised
by the Assembly.
A recent survey
of London businesses showed their concern at their development agency
coming under political control. There have been no convincing arguments
put forward as to how an elected Assembly would ensure speedy decision-making.
8.
Another talking shop
A regional assembly would be just another
talking-shop for 'upgraded' local politicians and 'downgraded' national
politicians. People on the streets are already saying it will be the
'usual suspects' and result in 'jobs for the boys.'
There is not a shred of evidence that we will see the emergence of a
new dynamic breed of business focussed politicians, or that the Assembly
would be business driven.
It is likely that there will be a dominance and descent into party politics,
with perhaps a few token individuals drawn from minority parties and
groups elected under the system of proportional representation. A change
in the national Government with the opposition party holding power in
the Assembly would have potentially disastrous consequences for the
North East.
Business
in general is opposed to elected Assemblies to say the least, and far
from convinced by any arguments or reassurances from the Government.
The CBI, Chambers of Commerce, and the Institute of Directors all oppose
them. The British Chambers of Commerce say, "Voting 'yes' would be a
vote for higher taxes, regulation and unemployment."
9.
Not real devolution
This is not real 'devolution'
and an Assembly of 25 members will not bring democracy 'closer to the
people.'
It will mean each
assembly member will represent around 100,000 people. With the local
government reorganisation and the removal of either the counties or
districts, there will be the loss of many councillors who are closer
to the communities they serve than an assembly member ever could be.
There is also the problem that small rural areas will lose their voice,
as they will be completely overlooked in a new central authority. This
is hardly bringing democracy closer to the people.
The North East is being fobbed off: this is fake devolution and is most
certainly not ' Home Rule' as some local newspapers would mistakenly
have you believe. Powers (over things like fire services, housing, transport
and planning, and possibly even over the police) will be acquired from
local councils and taken up to regional level.
Real devolution would reduce government powers and hand them back to
the historic counties and cities of England.
10. Local government confusion
Adding local government reorganisation
to the referendum question as an 'afterthought' has created further
problems, confusion and uncertainty.
Local Government
reorganisation has further complicated the arguments with the 'Second
Question' in the referendum for the two tier county / district authorities
asking what type of unitary authority the voters want, should a Yes
vote be achieved; and there is concern from residents about services
and costs.
Local government reorganisations have never saved money, whatever the
politicians say. Independent research shows that it leads to massive
one-off costs. The council tax in Scotland rose by 17% the year after
unitary authorities were created. Are residents in the North East willing
to pay this? There are also very serious concerns from council employees
because of job uncertainty with the local government reorganisation.
Will there be redundancies?
Will there be relocations of some employees due to the closure of council
offices, and will employees have to relocate their families and face
personal upheaval and hardship? Will residents have to travel long distances
to visit council offices?
Unison, the main union for public sector employees is in favour of elected
regional government, and has actively funded the Yes Campaign with members'
subscriptions yet has produced no data or studies to reassure those
very members. One has to ask the question as to whether they are acting
in their members' interests or in the interests of Unison's hierarchy.