'Independent' investigation to take place at Teesworks

The government says that an independent review will take place into a project to regenerate one of the largest brownfield industrial sites in Europe following accusations of wrongdoing.

The Teesworks project, aimed at regenerating the former steelworks site on Teesside, has become mired in allegations, including from local Labour MPs, after questions were raised about the administration of the project.

Communities Secretary Michael Gove confirmed the probe in a letter to the Conservative mayor for the Tees Valley, Ben Houchen, who shared the correspondence on Twitter on Wednesday.

Mr Houchen had joined calls from shadow communities secretary Lisa Nandy for an investigation led by the National Audit Office (NAO) into the site.

Confirming the review, the Government said it had not seen any evidence of “corruption, wrongdoing, or illegality” at the Teesworks site.

However, it added the allegations posed a “very real risk” to the delivery of jobs on the 4,500 acre site, which was once home to Redcar’s steelworks.

Prime Minister Rishi Sunak sparked confusion earlier on Wednesday 24 May about whether or not the Government had launched the investigation.

Mr Sunak suggested that Communities Secretary Michael Gove had “already announced” an investigation into Teesworks when asked about it at Prime Minister’s Questions (PMQs).

But when approached for clarity on the matter, Downing Street said it was passing on queries to the Department of Levelling Up, Housing and Communities.

In a statement issued after PMQs, a spokesperson for the department said: “The Government has not seen evidence of corruption, wrongdoing, or illegality in relation to Teesworks.

“These allegations, however, pose a very real risk to the delivery of much needed jobs and economic growth in Teesside. 

“Given the importance to Teesside of addressing this matter, and the request made by the Tees Valley mayor, the Secretary of State has taken the exceptional decision to support the commissioning of an independent external assurance review. 

“In line with established practice, the government will be announcing the appointment of a panel to undertake the review shortly.”

Tees Valley Mayor Ben Houchen welcomed the review.

He said: “I feel that an independent review is necessary to show investors, businesses and local people that there is no corruption, wrongdoing or illegality in what has become and continues to be an incredible project for jobs and investment in our region.

“I look forward to the outcome, in due course, and will be making no further comment until the independent review has been completed, so to allow the independent body to carry out their work without influence or favour. My officers stand ready to provide any and all information requested by the independent review.”

The Labour MP for Middlesbrough Andy McDonald has criticised the review.

He said: “Michael Gove’s announcement of an independent inquiry into the South Tees Development Corporation and Teesworks falls way short of what is needed and what was demanded, which was an inquiry conducted by the National Audit Office, independent of government.”

“Instead, it is Michael Gove who will commission an ‘independent review’ and it is he who will appoint the panel of people to investigate Teesworks and the STDC.”

“Labour has asked for that NAO inquiry. Ben Houchen has also said a NAO inquiry should happen, but the government has bottled it.”

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