Takes Charge of Newcastle
When the Labour Party won the 1958 local elections and took control of Newcastle, Smith was appointed Chairman of the Housing Committee. He was elected as Leader of the City Council in 1959, and created one of the country’s first free-standing Planning Departments and made it the most powerful department in the council. As Leader he instituted a personality-based leadership, creating an 'inner Cabinet' of his own supporters.
Smith "had an obsession with the potential of both town planning and the arts as a means of improving people’s lives." He believed strongly in the need to clear Newcastle of slum housing and put a great deal of effort into regeneration plans, such that the city was nicknamed (at his suggestion) "The Brasilia of the North". Smith's council authorised the demolition of a large section of Newcastle city centre for a shopping centre. So influential did Smith become that Lord Hailsham was sent up to Newcastle by the Conservative cabinet to try to counter him.
However, Smith's personal desire to make money began to get linked with his political desires. Already it had been spotted that Smith's painting and decorating firm received more than half of the contracts for council housing. In 1962 he established a public relations firm to support redevelopment of other urban centres in the north-east, and later nationwide. This company formed links with John Poulson, an architect keen for the business and known for paying those who could supply it. Smith eventually received £156,000 from Poulson for his work, which typically involved signing up local councillors on to the payroll of his companies and getting them to push their councils to accept Poulson's prepackaged redevelopment schemes. Poulson earned more than £1,000,000 through Smith.
Smith was a political contemporary and ally of North East Labour stalwart Andy Cunningham, who was also brought down by the Poulson scandal and served a jail sentence.
Read more about this topic: T. Dan Smith
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