I certainly agree with the Mayor of London not only that London is the greatest city on earth but that London needs to make its voice heard in these vital negotiations. Obviously, there are many vital industries in London, but it is the capital not only of the UK’s financial services but of Europe’s financial services, and securing the best possible access to the single market will be a very important challenge in these negotiations. So London should have its voice heard. This is a UK negotiation, but we should listen to the nations of the UK as well as to the cities and the regions.

I certainly agree with the Mayor of London not only that London is the greatest city on earth but that London needs to make its voice heard in these vital negotiations. Obviously, there are many vital industries in London, but it is the capital not only of the UK’s financial services but of Europe’s financial services, and securing the best possible access to the single market will be a very important challenge in these negotiations. So London should have its voice heard. This is a UK negotiation, but we should listen to the nations of the UK as well as to the cities and the regions.

I am very happy to give that commitment. I think city deals are working. They are working in Scotland, and I was very proud to be there with the Aberdeen city deal. I make the point that, obviously, city deals between the Scottish Government, the UK Government and the city concerned can only work if we are all part of one happy United Kingdom.

I am very happy to give that commitment. I think city deals are working. They are working in Scotland, and I was very proud to be there with the Aberdeen city deal. I make the point that, obviously, city deals between the Scottish Government, the UK Government and the city concerned can only work if we are all part of one happy United Kingdom.

My hon. Friend is absolutely right. It is particularly important for constituencies, such as his, that are close to the border, to make sure that decisions that are made, quite sensibly and rightly, by the devolved Parliaments and Assemblies do not disadvantage the rest of the United Kingdom. That was the principle set out, and the Chancellor will report regularly on that as he updates the House on his fiscal plans.

My hon. Friend is absolutely right. It is particularly important for constituencies, such as his, that are close to the border, to make sure that decisions that are made, quite sensibly and rightly, by the devolved Parliaments and Assemblies do not disadvantage the rest of the United Kingdom. That was the principle set out, and the Chancellor will report regularly on that as he updates the House on his fiscal plans.

We accept the Smith principles of “no detriment”. There are two principles: first, no detriment to Scotland, quite rightly, at the time when the transfer is made in terms of Scotland having these new tax-raising powers; and then, no detriment to Scottish taxpayers, but also to the rest of the United Kingdom taxpayers, whom we have to bear in mind as we take into account this very important negotiation.

I have had good conversations with the First Minister, and negotiations are under way. I want us successfully to complete this very important piece of devolution in a fair and reasonable way, and these negotiations should continue. But let me remind the right hon. Gentleman that if we had had full fiscal devolution—with oil revenues having collapsed by 94%—the right hon. Gentleman and his party would be just weeks away from a financial calamity for Scotland.

We accept the Smith principles of “no detriment”. There are two principles: first, no detriment to Scotland, quite rightly, at the time when the transfer is made in terms of Scotland having these new tax-raising powers; and then, no detriment to Scottish taxpayers, but also to the rest of the United Kingdom taxpayers, whom we have to bear in mind as we take into account this very important negotiation.

I have had good conversations with the First Minister, and negotiations are under way. I want us successfully to complete this very important piece of devolution in a fair and reasonable way, and these negotiations should continue. But let me remind the right hon. Gentleman that if we had had full fiscal devolution—with oil revenues having collapsed by 94%—the right hon. Gentleman and his party would be just weeks away from a financial calamity for Scotland.

I can tell the right hon. Gentleman everything that has been committed to by this Government will be delivered. We committed to this huge act of devolution to Scotland, and we have delivered it—we committed to the Scotland Bill, and we are well on the way to delivering it—with all the things we said we would, including those vital Smith principles.

There is an ongoing negotiation to reach a fair settlement, and I would say to the Scottish First Minister and the Scottish Finance Minister that they have to recognise there must be fairness across the rest of the United Kingdom too. But with good will, I can tell you that no one is keener on agreement than me. I want the Scottish National party, here and in Holyrood, to have to start making decisions—which taxes are you going to raise, what are you going to do with benefits? I want to get rid of, frankly, this grievance agenda and let you get on with a governing agenda, and then we can see what you are made of.

I can tell the right hon. Gentleman everything that has been committed to by this Government will be delivered. We committed to this huge act of devolution to Scotland, and we have delivered it—we committed to the Scotland Bill, and we are well on the way to delivering it—with all the things we said we would, including those vital Smith principles.

There is an ongoing negotiation to reach a fair settlement, and I would say to the Scottish First Minister and the Scottish Finance Minister that they have to recognise there must be fairness across the rest of the United Kingdom too. But with good will, I can tell you that no one is keener on agreement than me. I want the Scottish National party, here and in Holyrood, to have to start making decisions—which taxes are you going to raise, what are you going to do with benefits? I want to get rid of, frankly, this grievance agenda and let you get on with a governing agenda, and then we can see what you are made of.

My hon. Friend is absolutely right. I see no reason why the devolution of resources to Greater Manchester under this landmark deal will

disadvantage mental health. If anything, it will probably lead to even greater priority being given to mental health, as people can see the connections between mental health and holding back opportunity for so many people. We are investing more in children’s mental health and giving greater focus, particularly on eating disorders, as tragically we are seeing a real growth in this problem. The money is there and the devolution should help.

My hon. Friend is absolutely right. I see no reason why the devolution of resources to Greater Manchester under this landmark deal will

disadvantage mental health. If anything, it will probably lead to even greater priority being given to mental health, as people can see the connections between mental health and holding back opportunity for so many people. We are investing more in children’s mental health and giving greater focus, particularly on eating disorders, as tragically we are seeing a real growth in this problem. The money is there and the devolution should help.

I am very happy to meet the right hon. Lady, who has great expertise in this area. I think there is a common interest in it. What we are trying to do as a Government is to find a devolution settlement that works for all of the devolved nations of the United Kingdom, including, importantly, for England as well. We have made some very good progress with the further devolution measures in Scotland and Wales and with the maintenance of the devolved Assembly in Northern Ireland. If there are further measures we can take, I am very happy to see them, but I do not necessarily believe that simply writing things down in one place will solve the problem. I am, however, happy to meet the right hon. Lady.

I am very happy to meet the right hon. Lady, who has great expertise in this area. I think there is a common interest in it. What we are trying to do as a Government is to find a devolution settlement that works for all of the devolved nations of the United Kingdom, including, importantly, for England as well. We have made some very good progress with the further devolution measures in Scotland and Wales and with the maintenance of the devolved Assembly in Northern Ireland. If there are further measures we can take, I am very happy to see them, but I do not necessarily believe that simply writing things down in one place will solve the problem. I am, however, happy to meet the right hon. Lady.

What this Government have done is, first, hold a referendum so that the Welsh Assembly has those law-making powers, Secondly, we are the first Government in history to make sure there is a floor under the Welsh level of spending—this is something never done by a Labour Government. And now, in the Wales Bill, we want to make sure that we give Wales those extra powers. That is what the Bill is all about. We are still listening to the suggestions made by the hon. Gentleman and by the Welsh Assembly

Government, but this Government have a proud record, not only of devolution for Wales, but in delivery for Wales.

What this Government have done is, first, hold a referendum so that the Welsh Assembly has those law-making powers, Secondly, we are the first Government in history to make sure there is a floor under the Welsh level of spending—this is something never done by a Labour Government. And now, in the Wales Bill, we want to make sure that we give Wales those extra powers. That is what the Bill is all about. We are still listening to the suggestions made by the hon. Gentleman and by the Welsh Assembly

Government, but this Government have a proud record, not only of devolution for Wales, but in delivery for Wales.

I will look carefully at what my hon. Friend says, but I think this does go to a larger point, which is that we are currently changing the way our country is run. These big devolution deals, first to Greater Manchester but now, with the announcements yesterday, to Liverpool and to the west midlands, mean that we are going to have powerful metro mayors who

are accountable to local people for the decisions they make. That is a very direct form of accountability and that is why we can be confident of devolving health and social care to those authorities. For too long, our country has been too centralised. The great cities of Manchester, Birmingham, Liverpool—and soon to be Leeds, I hope—will benefit from these massive devolution deals, but if we devolve the power and we devolve the money, we have to devolve the trust and the accountability too.

I will look carefully at what my hon. Friend says, but I think this does go to a larger point, which is that we are currently changing the way our country is run. These big devolution deals, first to Greater Manchester but now, with the announcements yesterday, to Liverpool and to the west midlands, mean that we are going to have powerful metro mayors who

are accountable to local people for the decisions they make. That is a very direct form of accountability and that is why we can be confident of devolving health and social care to those authorities. For too long, our country has been too centralised. The great cities of Manchester, Birmingham, Liverpool—and soon to be Leeds, I hope—will benefit from these massive devolution deals, but if we devolve the power and we devolve the money, we have to devolve the trust and the accountability too.

If he will have discussions with the Secretary of State for Business, Innovation and Skills and Communities and Local Government to determine the progress of the Midlands Engine initiative and the proposed West Midlands Combined Authority.

If he will have discussions with the Secretary of State for Business, Innovation and Skills and Communities and Local Government to determine the progress of the Midlands Engine initiative and the proposed West Midlands Combined Authority.

The Chancellor and I set out an ambitious long-term plan for the midlands, making it a future engine for growth for the whole of the UK. Across Government, we are actively working with business leaders and local authorities to progress this ambition.

The Chancellor and I set out an ambitious long-term plan for the midlands, making it a future engine for growth for the whole of the UK. Across Government, we are actively working with business leaders and local authorities to progress this ambition.

I think we have huge potential here to secure massive devolution to the west midlands. First, I would say to everyone in the west midlands who is concerned that somehow they will be left out by the northern powerhouse that the west midlands is in the perfect place to benefit both from the success and growth of London and, of course, a rebalancing of our

economy towards the north of England. We look forward to the West Midlands combined authority coming forward with its plans. I would say to all of these areas contemplating devolution and devolution deals that the more they can put on the table, the bolder they can be with their vision, and the bolder the response they will get from Government.

I think we have huge potential here to secure massive devolution to the west midlands. First, I would say to everyone in the west midlands who is concerned that somehow they will be left out by the northern powerhouse that the west midlands is in the perfect place to benefit both from the success and growth of London and, of course, a rebalancing of our

economy towards the north of England. We look forward to the West Midlands combined authority coming forward with its plans. I would say to all of these areas contemplating devolution and devolution deals that the more they can put on the table, the bolder they can be with their vision, and the bolder the response they will get from Government.

I am glad to hear from the hon. Gentleman what an opportunity there is in the west midlands to work across party, to get the best deal

across all these authorities. As I said, the more we can get the local authorities to come together and work together and put their ambition and vision on the table, the better the response they will get from the Government.

I am glad to hear from the hon. Gentleman what an opportunity there is in the west midlands to work across party, to get the best deal

across all these authorities. As I said, the more we can get the local authorities to come together and work together and put their ambition and vision on the table, the better the response they will get from the Government.

My right hon. Friend the Foreign Secretary recently met the First Minister of Scotland to discuss Europe, but I say to the hon. Gentleman that Scotland voted to stay in the United Kingdom, and the Edinburgh agreement said that we should respect the decision of the Scottish people. We had a United Kingdom general election, and we will have a United Kingdom referendum. On this of all days I was hoping he might raise the fact that, because of the Chinese state visit, Alexander Dennis, the bus maker in his constituency, is signing a £2 billion deal that will provide thousands of jobs. [Interruption.]

My right hon. Friend the Foreign Secretary recently met the First Minister of Scotland to discuss Europe, but I say to the hon. Gentleman that Scotland voted to stay in the United Kingdom, and the Edinburgh agreement said that we should respect the decision of the Scottish people. We had a United Kingdom general election, and we will have a United Kingdom referendum. On this of all days I was hoping he might raise the fact that, because of the Chinese state visit, Alexander Dennis, the bus maker in his constituency, is signing a £2 billion deal that will provide thousands of jobs. [Interruption.]

We have delivered on all the promises that we made—[Interruption.] We said that we would introduce a Scotland Bill, and we introduced a Scotland Bill. We said that there would be unprecedented devolution on taxes, and there has been unprecedented devolution on taxes. We said that we would provide those welfare powers, and we have given those welfare powers. The question now for the SNP is this: when are you going to stop talking about processes and start telling us what taxes you are going to put up? What welfare changes are you going to make? Or, when it comes to talking about the issues, are you frit?

We have delivered on all the promises that we made—[Interruption.] We said that we would introduce a Scotland Bill, and we introduced a Scotland Bill. We said that there would be unprecedented devolution on taxes, and there has been unprecedented devolution on taxes. We said that we would provide those welfare powers, and we have given those welfare powers. The question now for the SNP is this: when are you going to stop talking about processes and start telling us what taxes you are going to put up? What welfare changes are you going to make? Or, when it comes to talking about the issues, are you frit?

Of course this is going to take a bit of getting used to, but let me try to answer the right hon. Gentleman very calmly. What I notice from his question is that he has not given me one single example of where the vow was not delivered. If he can point to a tax we promised to devolve but have not devolved, I would accept it. If he can point to a welfare change we promised to devolve but did not devolve, I would accept it. He has not done those things. All he is doing is continuing an argument about process, because he does not want to talk about the substance. You give me a list—sorry, he should give me a list—of the things that were promised and were not delivered, and then we can have a very reasonable conversation. Until then, it is all bluster from the SNP.

Of course this is going to take a bit of getting used to, but let me try to answer the right hon. Gentleman very calmly. What I notice from his question is that he has not given me one single example of where the vow was not delivered. If he can point to a tax we promised to devolve but have not devolved, I would accept it. If he can point to a welfare change we promised to devolve but did not devolve, I would accept it. He has not done those things. All he is doing is continuing an argument about process, because he does not want to talk about the substance. You give me a list—sorry, he should give me a list—of the things that were promised and were not delivered, and then we can have a very reasonable conversation. Until then, it is all bluster from the SNP.

I will obviously take great care with my answer. I think it is excellent that we have got these devolution proposals, and it is very good that a number of different ideas have come forward from Yorkshire. The most important thing now is for people to try to come together and get behind a plan for Yorkshire. But be in no doubt: this devolution is coming, in terms of real powers and real ability to drive that economy as part of our northern powerhouse.

I will obviously take great care with my answer. I think it is excellent that we have got these devolution proposals, and it is very good that a number of different ideas have come forward from Yorkshire. The most important thing now is for people to try to come together and get behind a plan for Yorkshire. But be in no doubt: this devolution is coming, in terms of real powers and real ability to drive that economy as part of our northern powerhouse.

There is a real opportunity in this Parliament to make some decisive steps towards rebalancing our economy and building the northern powerhouse that we have spoken about. A big part of

that is devolving power to local government and, specifically, to mayors who can be accountable to their local communities and have new powers and new resources to drive economic growth in their areas. We have already had over 30 areas, as well as city regions, making proposals. This is a very exciting development for genuine decentralisation in our country. I very much hope West Yorkshire will be in the vanguard.

There is a real opportunity in this Parliament to make some decisive steps towards rebalancing our economy and building the northern powerhouse that we have spoken about. A big part of

that is devolving power to local government and, specifically, to mayors who can be accountable to their local communities and have new powers and new resources to drive economic growth in their areas. We have already had over 30 areas, as well as city regions, making proposals. This is a very exciting development for genuine decentralisation in our country. I very much hope West Yorkshire will be in the vanguard.

I certainly give my hon. Friend that assurance. He talks about the strength of the Yorkshire economy. The claimant count in his constituency —the number of people claiming unemployment benefit—has come down by 74% since 2010. We see the northern powerhouse as the linking of the great northern cities as a counterpoint and a counterpoise to the strength of London. We are making good progress on that, but we certainly want more money, resources and powers to be devolved to those cities. The York, North Yorkshire and East Riding local growth deal, for example, is creating at least 3,000 jobs and allowing 4,000 homes to be built. We have made good progress, but there is more to be done in this Parliament.

I certainly give my hon. Friend that assurance. He talks about the strength of the Yorkshire economy. The claimant count in his constituency —the number of people claiming unemployment benefit—has come down by 74% since 2010. We see the northern powerhouse as the linking of the great northern cities as a counterpoint and a counterpoise to the strength of London. We are making good progress on that, but we certainly want more money, resources and powers to be devolved to those cities. The York, North Yorkshire and East Riding local growth deal, for example, is creating at least 3,000 jobs and allowing 4,000 homes to be built. We have made good progress, but there is more to be done in this Parliament.

The hon. Lady makes a powerful point, and there has been an ongoing discussion with the Mayor of London about what more powers can be—[Hon. Members: “Where is he?”] He is running London, that’s where he is, and he is doing a very, very good job. He is doing an excellent job—very good. But I think the hon. Lady is right: we have devolved powers to London and we are very happy to go on having discussions, about transport and about other economic powers. London has created half a million more jobs over the last five years. It is a staggering performance and we want that to continue.

The hon. Lady makes a powerful point, and there has been an ongoing discussion with the Mayor of London about what more powers can be—[Hon. Members: “Where is he?”] He is running London, that’s where he is, and he is doing a very, very good job. He is doing an excellent job—very good. But I think the hon. Lady is right: we have devolved powers to London and we are very happy to go on having discussions, about transport and about other economic powers. London has created half a million more jobs over the last five years. It is a staggering performance and we want that to continue.