The best way to create wealth in an area is for more people to own the assets.  It’s fairer, more economically sustainable, and has better social outcomes.  This is why as a Labour and Co-operative Metro Mayor, I’m committed to building the co-operative movement.

My manifesto put new co-operative start-ups at its heart.  I’ve announced the North of Tyne £15m investment pledge for small businesses.  Co-ops are eligible to apply for all of it, and it includes a dedicated £4m Social Finance Fund specifically for socially trading organisations such as co-ops and charities.

It’s got the heft required to make a real difference.  There’s £10m earmarked for patient capital.  The North East accounts for 2.3% of the UK economy, but only 1.4% of the total UK private equity and venture capital is invested here.  This fund closes that gap – boosting small, local firms, start-ups and scale-ups.  And as the fund grows, the money will be recycled back into our local economy, and not extracted for hedge funds or into tax havens.

Co-ops often struggle to raise capital.  Investors expect a vote in your business, and the legal structure of worker-owned or community-owned businesses can prevent that.   Our £4 million Social Finance Fund is a source of patient capital to help co-ops grow.  With it will come vital support for businesses that operate democratically with a social focus.

The road back from austerity and the economic damage from Covid is a long one.  But the co-operative movement has always thought long-term.  A co-operative economy is resilient and less exposed to economic shocks, and ensures customers and workers have a greater say and stake in our economy.  And let’s be honest, we all know that businesses that are based in a place, take more pride in that place.  Chains and multi-nationals have a habit of disappearing in tough times.  In the North of Tyne, we’re building on rock, not on sand.