POWERHOUSE NEEDS LOCAL LEADERSHIP

 

George Osborne was in New York this week apparently. However, his ghost haunted the UK Northern Powerhouse (NP) conference with some suggesting that without him as Chancellor the NP project was doomed.

Well the formidable Lord Kerslake had the answer to that as he challenged business and local politicians to step forward to head up the project. The problem is that there is nothing tangible to head up. Transport for The North is the only statutory body covering the North of England. Progress on skills, growth, culture and productivity all depend on business and councils getting together on an ad hoc basis. We need a Council of the North to decide priorities and focus media attention. The NP also needs to get some achievements under its belt. Richard Leese, the leader of Manchester Council, rejected a suggestion of a big public relations drive to get people talking about the NP. By your deeds will ye know them, is a good maxim.

That said the conference has become the annual event where you have a real sense of the northern family getting together with business getting done in the exhibition hall. Although women were scarce on the speaker panels, two stood out. Judith Blake, the leader of Leeds, insisted that if we are to improve the skills base improvement needs to start in the primary school. The government have only given devolved powers after 16 so far. She also said that NP sometimes had too great an emphasis on transport. Housing and health mattered too.

Fiesty Kate Willard from Stobart also had skills in her sights, calling for the abolition of the Skills Funding Agency. She should be the next chair of the Liverpool Local Enterprise Partnership.

The conference saw the last appearance of Sir Howard Bernstein as Chief Executive of Manchester Council although when I used the word “farewell” to him, he assured me he would still be around. Watch this space. His political colleague all these years Sir Richard Leese was encouraged by the publication of the Northern Economic Review as a sign of NP progress but claimed work on the northern hub and trans Pennine rail links “were stuck”.

There were expressions of frustration throughout the two days at the long timescales for infrastructure projects. It is likely to be 2025 before new trans Pennine links will be fully operational. In the meantime however we won’t have to put up with the pacers, Arriva had good news on new rolling stock.

A number of people I spoke to expressed anxiety that NP was still too Manchester focused. Furness Enterprises told me that Barrow’s submarine contracts would be adding more GVA to the north’s economy than some cities. One Leeds businessman has begun a campaign to take a whole new look at the trans Pennine bottleneck. Lance Christie wants the M65 extended from Colne to East Leeds improving links to Leeds Bradford airport and opening a new gateway to the North West from the North East.

The effects of Brexit on the NP was on everyone’s minds with Ged Fitzgerald, the Chief Executive of Liverpool reflecting the current uncertainty. He said the vote was already having an adverse impact on the city’s universities. On the other hand, the port was now facing the right way for global trade as it had in the days of empire before the EU interlude.

Andrew Percy, the new NP Minister, convinced the conference that Theresa May was behind the Northern Powerhouse and claimed the concept was being recognised from Canada to China.

Spades in the ground might to be some way off, but as delegates left at least they could see the Ordsall Curve bridge which had been put in place while the conference was on to link Victoria and Piccadilly stations.

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‘ALEX FERGUSON’ SNAG FOR MANCHESTER COUNCIL

 

IN GIANT’S FOOTSTEPS.

How does Manchester Council avoid the “Alex Ferguson” problem in finding a successor to the retiring Chief Executive, Sir Howard Bernstein? You know the problem, Brown after Blair and Moyes after Ferguson.

Bernstein has worked for the local authority for 45 years and for the last 18 years has been Chief Executive. In that time the city has left behind the trauma of the IRA bomb in 1996 to become the leading city in the North. Throughout Sir Howard has sent a message to the private sector that the city is open for business. As a result Manchester has the feel of a young city for entrepreneurs that can look London in the eye.

His other achievement has been to respect the political process. Nobody elected him. The people’s mandate is held by Sir Richard Leese who has been leader throughout Sir Howard’s tenure, a remarkable partnership in its longevity and effectiveness. Such partnerships are rare and can go wrong. We remember the bust up in Liverpool between Chief Executive David Henshaw and leader Mike Storey. Bernstein and Leese have known where the boundary lies between local government officer and politician.

Bernstein is widely regarded as one of the leading figures in local government and the former Chancellor George Osborne recognised this in his efforts to found the Northern Powerhouse.

It has not all been plain sailing for Sir Howard. He failed to get the congestion charge and the BBC to locate their new headquarters in the city. Critics say he was more interested in shiny new buildings than the council’s basic services. He has been dismissive of charges that the devolution deal lacked democratic endorsement.

That said the town hall is losing a giant and the question is, who will succeed him?

POSSIBLE CANDIDATES.

The first thing to say is that there aren’t hordes of candidates out there qualified for this, one of the top posts in local government.

One immediately looks at the current Chief Executives in Greater Manchester who have helped in the creation of the Combined Authority. It would be great for a woman to get this job. Donna Hall, holds the top job at Wigan Council and recently won an award for transformational leadership. Theresa Grant used to work for Manchester Council, did a great job running the athlete’s village during the Commonwealth Games and is now Chief Executive at Trafford. Then there is Eamonn Boylan, who served for six years as Sir Howard’s deputy and is currently in charge at Stockport.

There is a strong possibility however that Manchester will want to cast its net wider and bring in a fresh face outside the current “Greater Manchester” family. Charlie Parker cut his teeth with the city’s Inner City Unit and is now Chief Executive of Westminster Council. Sean Harriss, formerly top man in Bolton, is now in charge at Lambeth.

At a recent Downtown event there was a suggestion that a “blue sky approach” might be taken bringing in someone with more of a business background. Would Charlie Cornish, Chief Executive of the Manchester Airport Group, fill the bill?

It will ultimately be a matter for Sir Richard Leese in what may be one of his last big decisions. Few would envy his “Alex Ferguson” dilemma.

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IVAN THE TERRIBLE HITS BACK.

 

IVAN LEWIS SHOWS WINNING MENTALITY.

The bust up within the Greater Manchester Labour Party over who should be their candidate for elected mayor shows no sign of abating.

Last week Manchester Council leader Sir Richard Leese opined that Bury South MP Ivan Lewis’ twenty years in parliament didn’t qualify him for a job requiring experience of local government. A clearly offended Ivan is now pointing out that he was a councillor in Bury and chair of the Social Services Committee.

Observers remain surprised that Sir Richard Leese chose the occasion of his decision not to stand for the post to indulge in this red on red attack. There are now suggestions that despite his obvious qualification for the Labour nomination, he would not have beaten the current interim mayor Tony Lloyd(former Stretford MP) or Ivan The Terrible (Bury South MP) in the vote. There is apparently a strong desire amongst Labour chiefs in the nine other councils not to let Manchester boss the show.

NORTHERN POWERHOUSE.

So has the Northern Powerhouse (NP) got momentum after all? I wrote critically about the project a couple of weeks ago, so I thought it would be a good idea to go along to a big conference on the subject in Manchester. It was aimed at the business community who need to be convinced that NP is going to mean opportunities for new contracts and growth.

The conference didn’t get off to a great start. The Treasury Minister Lord Jim O’Neill had issued a prepared speech to the press but treated the audience to a defensive ramble about the government’s continued commitment to the NP. He attacked critics who said the North South divide was still widening by stressing it was a long term project. However he did acknowledge a lack of joined up thinking in government evidenced by the “pause” in the electrification of the Leeds-Manchester rail line. The project is now back on track.

The government seem to have taken on board criticism that NP is too focused on infrastructure. Sir Michael Wilshaw, the Chief Inspector of Schools recently warned that NP could be undermined because of poor secondary education in northern schools. Lord O’Neill said this, and the related issue of poor skills, would be addressed in phase two of NP.

John Prescott is a regular at these conferences and never fails to challenge the new orthodoxy that cities alone hold the key to northern regeneration. There he was waving a fading copy of his Northern Way document which, ten years ago, mapped out a vision for strategic thinking across the North. It was scrapped by the Coalition government in 2010 but Prescott pointed out that the recent appointment of ex CBI boss John Cridland as chair of Transport for the North showed the continuing need for strategic thinking beyond the boundaries of smaller Local Enterprise Partnerships and councils.

Prescott retains the belief that local councils will always compete with each other in their own narrow interest. Chief Executives from Leeds Newcastle, Liverpool and Manchester came together for a conference session where they insisted that they were going to set aside parochialism in the interests on NP. We’ll see if that works when a global company is weighing up the merits of locating in rival northern cities in the future.

There were good conference sessions on issues like transport and finance and the large attendance showed that business is taking NP seriously. It is, for sure, the only game in town if we are to get the North competitive with London. Let us hope the government stay focused when all the headlines are about our very future in Europe.

 

LEESE LASHES LABOUR MAYOR WANNABES

 

For most of his twenty years as Leader of Manchester City Council, Sir Richard Leese has avoided personal attacks in favour of a sometimes dull concentration on making Manchester the city it is today. He was never my go to person for a juicy quote or a bit of inside gossip.

So it is truly astonishing that he has used a blog finally confirming that he doesn’t want to be the elected mayor of Greater Manchester, to attack two of his Labour colleagues who do. His blog contained a list of reasons why he didn’t want the job but it was in an email follow up to Labour group colleagues that he reportedly let rip. His targets were the current Labour interim mayor Tony Lloyd, and the Labour MP for Bury South,Ivan Lewis. Both are running for the Labour nomination.

The BBC’s North West Political Editor Arif Ansari revealed the contents of the email and reports Leese telling colleagues that Lloyd had been an excellent MP but as interim mayor “had shown a lack of vision, drive and leadership.” Ivan Lewis “had strengths” but Leese “would take some convincing that twenty years in parliament was adequate preparation for the position of elected mayor.” Ouch! Leese says the Labour candidate should be twenty years younger and a different gender.

That seems to rule out sixty year old Hazel Blears. I don’t know if the former Salford MP wants the job but she is the most credible woman I’ve heard mentioned. At a recent Downtown event I questioned Leese on his future and he floated the gender issue as well as the possibility that the Labour candidate might reflect the multi cultural nature of Greater Manchester. So let us hope that Leese gets his wish and Labour do look beyond the usual suspects for a candidate.

Meanwhile we must return to the possible reasons for Leese deciding not to stand, to sneer at the value of the post and attack his Labour colleagues.

It may be that Lloyd, who was the MP for Stretford, and Lewis who sits for Bury South are seen by Leese as “out of towners”. Manchester City Council has historically hated having anyone meddling in their affairs be it the Greater Manchester Council from 1974-86 or the North West Development Agency more recently. The Greater Manchester Mayor is probably seen in the same way, although steps have been taken to make him/her the eleventh member of the team of ten councils. It may also be that Tony Lloyd made himself unpopular in some circles when he defeated Lord Smith of Wigan for the interim post. Many felt Smith “deserved it” for his years of work on keeping the Greater Manchester family on the rails during the devolution discussions.

It was no secret that Leese has been lukewarm about the post for a long time despite the fact that his outstanding work as Leader of Manchester had been recognised across business and in government. But now his actual reasons are clear and they almost amount to the assessment of the position of the American Vice Presidency by one of its holders, John Nance Garner. He said it wasn’t “worth a bucket of warm spit.”

Leese doesn’t go that far but says in his blog that he would rather be having a pint in his local than be selling Greater Manchester to investment funds. He would regard being elected mayor as a “step down” from being leader of the city. He concludes that his current post is “infinitely more exciting than anything being Mayor of Greater Manchester has to offer”.

That signals that Richard Leese will be around for a while in Albert Square. His relationship with the Mayor of Greater Manchester will be interesting.