Rachel Reeves: Give us the freedom to control our own economic destiny

Labour and the Liberal Democrats both campaigned at the election to maintain spending in the economy this year while the economic recovery is only tentative. But, the Conservative and Liberal coalition have now decided to make cuts of 6bn this year – putting at risk the economic recovery that is only just getting started, risking a "double dip" recession.

We will learn more in the weeks ahead about exactly what these cuts will mean for Yorkshire's families and businesses. But, while Osborne tries to ensure the numbers add up, the new Government must also ensure that the fragile economic recovery that Labour achieved is embedded in all regions of the UK. They must be thinking long-term and strategically, with a clear and coherent vision for tomorrow's economy.

My vision of this new economy is one that will build on our strengths in high-end manufacturing, creative industries and our great university and research traditions. It will require investment in skills, apprenticeships, infrastructure, science and technology. It will be regionally and industrially diverse – with less emphasis on London and the South East and more focus in jobs in regions like Yorkshire. It will require a responsible banking sector to provide finance and stability and a supportive government that works with business to realise this vision.

With unemployment still on the rise in Yorkshire, and earnings less than the UK average, it is even more critical for our region that the Government does not just enforce cuts that affect us disproportionately, but instead allows us to grow and create the jobs of the future.

We are already ahead of the game in many areas. In the new green industries for example, with the clean coal experiment in the coalfields of South Yorkshire, and on the Humber Estuary where we are on the verge of securing massive private investment in offshore wind technology. Britain is the sixth biggest manufacturer in the world – and Yorkshire will continue to lead the way in engineering, construction and science. Tomorrow's economy should also be built upon smaller, innovative businesses which will create the jobs and industries of the future. I know we can lead the way there too – especially if we support start-up firms in getting from the research lab to the factory floor.

But more than anything, the Government must allow us the flexibility and freedom to take control of our economy. In Yorkshire, we have huge pride in our industrial past. From wool to coal and steel and to retail and finance, our industries have powered the nation and enriched our region. As we plan for the recovery we need to build a future of which we can be equally proud. The Victorian buildings which adorn our towns and cities are a testimony to the riches and the confidence of that era. Our purpose now must be as bold and as permanent – to put Yorkshire back in charge of its own economic destiny.

The previous 18 years of Tory government and the recessions of the 1980s and 1990s hit Yorkshire families and businesses hard. One of its most invidious effects was to rob communities of the sense that they could build a better future for themselves.

The true test of the success of our local economic strategies today will be whether it can return to local people a true sense of control over their own future. That's what Yorkshire Forward and the other regional development agencies were set up to do – promoting enterprise and driving economic growth across Britain.

Without Yorkshire Forward, it is unlikely that we would have brought clean coal, and the 1,000 jobs it means, to our region.

Without Yorkshire Forward, we would have been less likely to be successful in negotiating the deal with Siemens and GE to bring offshore wind – with thousands of much needed jobs – to

Hull, Grimsby and Scunthorpe. And without Yorkshire

Forward, the takeover by Lloyds Banking Group of HBOS may well have meant jobs in our region being relocated to London or Scotland. Yorkshire Forward fights our corner in a way that Whitehall simply can't. This support is critical.

As we face the future, Labour will be realistic about the economic situation. We will not call for a list of expensive and unrealistic measures and we will not oppose every spending cut or tax increase. But as a Member of Parliament, I will put the case in Westminster for a positive and ambitious approach to building tomorrow's economy. And I will fight for Yorkshire's economic future – allowing us to build on areas where we have strengths and expertise, and promoting ourselves as an excellent region to do and bring business.