Andy Burnham’s government is promising to push on with linking up Oxford and Cambridge as the prime minister seeks to reassure investors and reject claims he does not care about the south of England.
Ministers are planning to meet with local government and business leaders in the coming weeks in an attempt to boost investment in one of the country’s most productive regions as Dan Tomlinson, Burnham’s growth minister, insisted the prime minister was “backing the places where Britain already leads the world”.
Rachel Reeves, the former chancellor, last year promised rail and road projects to turn the corridor between Oxford and Cambridge into “Europe’s Silicon Valley” in a decision to prioritise the area that was criticised by some northern Labour MPs for sucking talent and energy to the south.
Burnham has not yet commented on the project since becoming prime minister in July, while his focus on devolving power to England’s regions through a new “Number 10 North” in Manchester has led to warnings from senior Labour figures that he risks being seen as anti-London and the south east.
However, Tomlinson argued that this did not mean neglecting areas that are already prosperous. “Good growth in every postcode means backing the places where Britain already leads the world, and making sure the benefits reach every part of the country,” he said.
He promised to “help more British companies start, scale and stay here” through linking up Oxford, Milton Keynes and Cambridge into one thriving economic region.
The UAE, where ministers have been courting investment for the project, has privately warned ministers that its involvement is at risk after Manchester City was found guilty of breaking Premier League finance rules.
The government said the Oxford-Cambridge project was “a vital part of [our] agenda to drive good growth”.
Tomlinson and Lord Patrick Vallance, the former science minister appointed to champion the project, will report on progress via Number 10 North, which Burnham wants to act as the government’s growth unit.
Vallance said that Oxford and Cambridge’s strength in innovation was “not in question” but “the task now is to turn more of that innovation into companies, jobs and growth here in the UK”.
Leaders of the project welcomed Burnham’s promise as a key signal to global investors that the government remains committed to developing the region.
Andy Williams, chair of the Oxford-Cambridge Supercluster, a group bringing together industry and universities in the region, said public backing from Burnham’s government was “hugely important” for attracting private capital.
“With a new prime minister who quite rightly talks about improving other areas of the country, investors need to know that doesn’t come at the expense of backing what is already working,” he said.
“There are billions hanging in the line for risky investments into things like R&D and lab building where any excuse not to do something will be taken .
“The most crucial thing government can do to help this region become one of the top 10 innovation clusters in the world is to give investors confidence they are backing it.”