The Government must break a four-decade cycle of short-lived regional growth policies if it wants to tackle geographical inequalities, a new report has warned.

Putting Place at the Heart of Growth, from the Local Policy Innovation Partnership (LPIP) Hub at the University of Birmingham's City-REDI, says the next phase of devolution should be judged by what places achieve, not simply the powers and funding they receive.

It welcomes the introduction of 10-year Local Growth Plans but says delivery will depend on long-term co-operation between businesses, universities, colleges, local authorities and central government.

It recommends investment that builds on existing regional strengths, helps firms adopt new technologies and links skills provision to employer needs.

LPIP Hub Director Professor Bec Riley said businesses ‘don't make investment decisions around Westminster's political timetable’, and urged ministers to stick with strategies and back the partnerships delivering them.

The report also calls for planned, two-way staff secondments between Whitehall and regional authorities to become a standard part of devolution. Drawing on research into Japan's intergovernmental cooperation, it says the existing GovXchange programme offers a foundation to build on.

Dr Abigail Taylor, Research Fellow at City-REDI, University of Birmingham, said: ‘Whitehall would benefit from deeper understanding the reality of delivering policy in different parts of the country. A civil servant working alongside a regional team will gain first-hand insight into challenges and opportunities that can be difficult to appreciate from Westminster alone.

‘Equally, local officials benefit from understanding how national decisions are made. Our research into Japan shows how regular, structured exchanges across tiers of government can build the relationships and expertise needed to make government work better across different places.’