Tuesday 6 January 2015

Leeds City Region devo deal?


Leeds City Region Devo Deal?

A locally administered business growth hub will be a cornerstone of a devolution deal for the Leeds City Region as political leaders put the finishing touches to the agreement with government, Insider can reveal.

The deal is believed to cover three main areas: housing, transport and business, with the latter broken down into skills, jobs, business growth and innovation.

Manchester secured a devolution deal in November and West Yorkshire was widely considered to be next in line until the Sheffield City Region and the South Yorkshire Combined Authority published details of its agreement in mid-December.

While West Yorkshire's political leaders remain in negotiations with Whitehall, Insider can now reveal that one of the main changes is expected to be around the development of a locally administered business growth hub to create a system which it is hoped will be easier to navigate, and costs less to run.

The 'hub' will include devolved business support programmes and will come online when national contracts expire. Insider also understands a request for direct control of UK Trade & Investment export plans – very similar to Manchester's – is in the offing.

Housing growth is also to be accelerated using existing local, regional and national resources in a more coordinated and effective manner.

Among the aims is a shared decision making process with the Homes and Communities Agency (HCA) on housing and regeneration investments, and bringing together both city region and HCA funding.

Further fiscal devolution of national housing growth and regeneration investments will be sought in the future to scale up the Leeds City Region Investment Fund and maximise efficiencies.

West Yorkshire's leaders are also pursuing devolved power over the current Innovate UK funding – a centrally controlled fund which had a £500m pot. This comes from repeated concerns being raised by SMEs that national and EU programmes are too bureaucratic.

It is also understood that West Yorkshire's deal will include strategies to reduce the number of 18 to 24 year-olds out of work, as well as greater power and control of further education budgets locally.

The intention is to improve skill levels and retain more graduates in manufacturing and engineering, 'big data', software and digital and health and medical technology.

The proposals for transport will, Insider understands, be designed to create an integrated transport network across bus, rail and strategic highways networks, modelled on London.

This includes the power to use technology and open data; create integrated smart ticketing in West Yorkshire; have joint, local investment strategies with Network Rail and train operators and to secure devolved transport budgets with multi-year settlements.