‘Positive’ talks held on road to devolution
Reporter DEVOLUTION for the North East is back on track – but not quite full steam ahead – after crunch talks with Whitehall were held.
The £3.4bn deal has been on hold since Britain voted to leave the EU in June.
But local authority chiefs including Paul Watson, Sunderland City Council leader and North East Combined Authority chair, travelled to London this week to seek assurances from new Secretary of State for Communities and Local Government Sajid Javid.
The talks led to Northumberland County Council leader Grant Davey – who was unable to attend the meeting as he was unwell – announcing that the region’s devolution plans are full steam ahead as far as Northumberland was concerned.
He said: “This official backing could allow the North East to build on its own success and it’s welcome news that the Government will abide by the deal originally signed.”
However, Coun Watson, who made the trip to the capital, was far more cautious.
He said: “I wouldn’t say it was full steam ahead. We went to the meeting with lots to discuss. It went all right, I would say.
“He [Mr Javid] confirmed that the Government is to keep the insistence on an elected mayor for the region as part of any deal. We need to discuss our position on that amongst ourselves.
“The minister was very, very positive and promised to keep the spirit of the agreement. However we need to come back together and work on it.
“Clearly the threat of Brexit and it’s impact on the economy is still an issue.”
Divides between the seven council leaders on how to proceed with devolution started to show last month after Newcastle City Council leader Nick Forbes saw his amendment to move almost immediately to the next stage of the deal voted out by all other leaders, except Coun Davey.
In May, Gateshead Council decided not to carry on with the agreement, which will see billions of pounds and powers over transport, housing and planning transferred from Whitehall to the North East.
While Coun Davey has said “the time for talking about devolution is over” and “it is time for us all to roll up our sleeves”, Coun Watson insists the deal is still well away from completion.
He said that the Government would only guarantee promises and pledges made to the region up until this year’s autumn statement.
The NECA leader stood by the decision to pause plans until the fallout from Brexit had settled, and added: “Even though there has been no election, there have been so many changes – a new prime minister, a new chancellor, a new secretary of state.
“We needed to wait. Devolution was the idea of a chancellor who was fired by Theresa May. We didn’t know if she would keep his ideas.”
Reports surfaced earlier this week that Mrs May plans to kill off the policy of regional mayors because she feared the Labour Party could use them to launch a comeback.
But the Government poured cold water on the claims, with a Department for Communities and Local Government spokesperson saying: “Devolution deals will continue in the usual way. Elected mayors remain the best way to make them work.”
It is anticipated that the first of the mayoral elections will take place in May 2017, subject to Parliamentary approval.