Mayor cleared of corruption over freeport
THE Tory Mayor of Teesside Lord Houchen has been cleared of wrongdoing at a flagship freeport project in the north following an inquiry into claims of cronyism and corruption.
A review into the finances of the Teesworks project, based on a former steelworks site in Redcar, found “no evidence” to back illegality allegations.
The inquiry was triggered after claims of sweetheart deals at the site, including from MP Andy Mcdonald, who said there had been “industrial-scale corruption”.
An independent inquiry commissioned by Michael Gove, the Levelling Up Secretary, has since dismissed the claims. However, it said there were “issues of governance and transparency that need to be addressed”. The review said that there were “a number of decisions taken by the bodies involved that do not meet the standards expected when managing public funds”, adding that the project lacked “transparency and oversight”.
The report made 28 recommendations for how to improve transparency and governance.
In response to the findings, Lord Houchen said: “The people of Teesside, Darlington and Hartlepool can welcome this investigation, which sets out in black and white that there is no corruption or illegality at Teesworks.
“I welcome the recommendations of the panel and my team and I are already working to review the recommendations to improve our processes and procedures in line with the report’s findings. The investigation was thorough, wide-ranging, and detailed.
It assessed more than 1,400 documents, tens of thousands of pages of material and conducted 45 interviews and I’d like to thank the panel for their hard work and diligence.”
Lord Houchen also singled out Mr Mcdonald for criticism, claiming he had attempted to “sabotage the opportunities we’ve worked hard to deliver”.
Communities minister Lee Rowley said Mr Mcdonald said should withdraw his “incorrect” statements as soon as possible.
Former Tory minister Sir Simon Clarke also called for him to resign.
However, Mr Mcdonald responded by reiterating his calls for further investigation into Teesworks, as he urged the National Audit Office to launch a fresh review. The project is being operated by the South Tees Development Corporation and covers a 4,500-acre site.