‘Monumental day for region’
New deal forWest Midlands marks seismic shift in power, says mayor Andy Street
A‘SEISMIC shift’ in power from Whitehall to the West Midlands was unveiled this week after months of negotiations – giving the region a devolution deal worth £1.5 billion.
Transport, housing and levellingup schemes that have been held up by funding battles are now expected to go ahead – though not necessarily quickly – after chancellor Jeremy Hunt finally devolved some powers and an annual treasure chest to the region in Wednesday’s Budget.
Local leaders hope that will lead to more control over when and where to build affordable housing, better local bus and train services, more work to overcome digital exclusion, more retrofitting of cold homes and a focus on arts and culture provision locally.
For Conservative mayor Andy Street, it’s the culmination of months of work negotiating with a series of PMs.
He says it was vital to end the “begging bowl culture” that sees West Midlands councils too often competing for cash.
What’s been termed the “Deeper Devolution Deal” will help the area “decide its own destiny”.
Under the deal, the region has secured new longer term funding agreements including the right to retain 100% of business rates for ten years, worth £450 million in all.
On top of that, the region will also get its own fund, much like that given to national departments, that gives local leaders “unparalleled control over spending on devolved areas”, said the WMCA.
This marks, they said, a “seismic shift in power and influence from Whitehall to the West Midlands”.
The announcements included a commitment to a second round of
City Region Sustainable Transport Settlements, which will come online in 2027, and support major projects such as an expansion of the Metro network, new railway stations, and more dedicated bus and cycle lanes. There’s also a commitment to an additional £60 million which is expected to act as a springboard for delivery of the Metro extension between Dudley town centre and Brierley Hill, subject to further funding from the WMCA.
The announcement came a day after the West Midlands was announced as one of 12 new Investment Zone areas in a slimmed down version of a scheme first mooted
during Liz Truss’s short-lived premiership.
The region will also get new, locally designed Levelling Up Zones that will be allowed to retain their own business rates for 25 years to help drive more investment, innovation and economic growth in targeted areas.
It will also give more influence over key policy areas such as skills, careers, employment support and digital inclusion and give more “freedom and flexibility” to local councils to support people into work, attain better skills and improve their quality of life. Mr Street said: “This announcement is a major step forward for the West Midlands with significant new powers and funding secured.
“As those closest to the on-theground realities and the local people they serve, there is no doubt in my mind that we should be the ones shaping the region’s future.
“The Government is trusting us and granting us greater responsibility – and accountability – to deliver even more.
“Today is a monumental day for the West Midlands, and I am delighted we have been able to work together as a team to get this “Deeper Devolution Deal” over the line.”
This announcement is a major step forward for the West Midlands with significant new powers and funding secured. Mayor Andy Street
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