Region gets first £36m payment of devo deal
THE Government has handed the West Midlands a cheque for £36.5 million - the landmark first payment under the devolution deal designed to transform the region’s economic fortunes.
This is part of the £1.1 billion, 30-year devolution deal which will see responsibility for housing, economic growth, strategic transport and mental health services moved from government departments in Whitehall to the newly formed West Midlands Combined Authority (WMCA).
Created in June, the new authority is set to be chaired by the region’s first-ever directly elected mayor, with elections due to take place in May 2017.
This £1.1 billion will be used to lever in additional investment worth £8 billion and projects already being looked at include reopening the Camp Hill and Sutton Park rail lines to passenger trains as well as policies to improve skill levels, create 500,000 more jobs, increase life expectancy among residents and build 1.9 million more homes by 2030.
Communities secretary and Bromsgrove MP Sajid Javid said: “The people of the West Midlands came up with a devolution deal which puts them in charge of driving growth and transforming local services.
“The £36.5 million boost is proof that we will equip them with what they need to fire up the Midlands
It gives us the tools to drive forward the Midlands Engine, helping to unlock growth, jobs and prosperity Bob Sleigh
Engine - the ability term growth, create skills and invest in innovation.
“And with these significant powers coming directly from Westminster to the West Midlands, local people will also now have the chance to head to the polls and vote for a powerful new Mayor to put them into practice.”
The race to become the first mayor for the Greater Birmingham region is well under way with Labour candidate Siôn Simon already in place and the Conservatives expected to confirm their candidate in the next few weeks.
Until the mayor is in place, the WMCA will be chaired by Conservative leader of Solihull Council Bob Sleigh.
He said: “The West Midlands is the manufacturing heartland of the UK and a dynamic exporter of highquality goods and services but we believe there is much economic growth that remains untapped.
“That’s why this payment marks to boost longjobs, improve transport and the start of an exciting new era in which we will be far better equipped to build on our strengths, improve productivity and skills and deliver the transport infrastructure and new homes our region needs.
“It gives us the tools to drive forward the Midlands Engine, helping to unlock growth, jobs and prosperity and ultimately a better quality of life for the four million people of the West Midlands.”
But not everyone has been happy with the terms of the deal.
In June, the Labour MP for Warley John Spellar lodged a formal objection in Parliament and delayed the combined week.
He was concerned at its expansion into surrounding areas like Warwickshire and Shropshire as well as the funding deal in place.
Meanwhile, the House of Commons Committee of Public Accounts said it was not real devolution as the Government had strong-armed regions into taking directly elected mayors in return for extra funding and power.
It also claimed there was no mechanism for overseeing the regions and ensuring they were spending public money effectively. authority’s launch by a