Sunderland’s council leader has declared that the completion of a new devolution agreement will be “good news” for the region, despite wider concerns about inflation and HS2.
Sunderland City Council leader Councillor Graeme Miller said the “substantial” money from the £4.2 billion North East devolution plan, which will see a regional mayor elected next May, will allow the region to take more “ownership” over crucial issues.
The proposals would create a new North East Mayoral Combined Authority, replacing the existing North of Tyne Combined Authority and North East Combined Authority (NECA).
Cllr Miller stated at the most recent meeting of NECA’s economic development and digital advisory board at South Shields Town Hall that the new organisation will be able to provide more help to people and businesses.
It came as he urged the government to “get on with the important things,” such as combating inflation and boosting economic development.
“How do they actually work with the Bank of England to build that inflation target down more quickly so that our businesses and residents can see light at the end of the tunnel with what is a huge cost pressure for them?” Cllr Miller continued.
“The good news is that we are getting closer to having combined mayoral authority.”
“We’ll start to have a bit of ownership over some of these things but we’re not there yet.”
Concerns were also expressed during the conference about growing public speculation that the Birmingham-Manchester portion of the HS2 high-speed rail project would be canceled due to escalating costs.
“While I was always skeptical of the benefits of HS2, or whether we’d see it [in my lifetime],” Cllr Miller added.
“But the business community are genuinely deeply worried about the impact that will have [if the Government axes that part of the project].”
This happened after officials highlighted that the most recent business surveys and feedback from local governments in the area indicated that the economy is still being hit by rising inflation and energy costs.
While the new unified North East authority, covering Northumberland to County Durham, will deliver significant benefits, Cllr Miller cautioned that “expectation management” must be exercised with caution.
“We have to take into account the needs of Northumberland, the needs of West Durham, and the needs of the North of Durham,” he continued.
“I want the mayor, whoever he or she is, to be down in London four days a week, like the MPs, working on what we’ve agreed as a group is essential to make this union successful, and that’s what the leaders have said,” the petitioner said.
Sunderland, Newcastle, South Tyneside, North Tyneside, Gateshead, Northumberland, and County Durham are the seven North East councils partaking in the devolution arrangement.
Council officers have stated that a further devolution update will be presented to the seven local authority cabinets around “December time” for final approval before being brought before Parliament to allow it to take effect in May 2024.
The devolution package includes a £48 million investment fund to be distributed over 30 years, a £60 million adult education and skills budget, and the authority to take control of local bus services.
About The Author
Leave a Reply