Devolution of Economic Development Powers to the City Region
The City Region Board has given a green light for the submission of a proposal to Government detailing the case for the devolution of a range of economic development powers to the partnership.
The Government’s request for so-called forerunner City Regions has come off the back of the Sub National Review (SNR) published in July 2007. A key proposal in the SNR raised the prospect of the devolution of economic development and regeneration powers to partnerships. The process of consultation on the SNR culminated in the Pre Budget Report on 24th November 2008, and accompanying explanatory documents which detailed that “The Government will therefore legislate to allow for the creation of statutory sub-regional authorities for economic development. . .” [Paragraph 2.14 Prosperous Places]. These are to be known as Economic Prosperity Boards.
The statement identified that the Government would announce new agreements with “. . . at least two forerunner city-regions at Budget 2009”.
The Chair of the City Region Board Cllr Mike Whitby submitted an Expression of Interest in being a forerunner on 12th January. His letter can be viewed on the City Region website. Preparations are now well under way for the tabling of a detailed proposal to Government in line with its deadline of 27th February.
Central to the submission will be the power to introduce ADZs, powers relating to the full devolution of employment and skills powers to the City Region, and also a duty on relevant Government departments to agree with the City Region medium and long term joint investment plans for capital investment related to economic development and regeneration and a duty to align their spending in line with these plans.