31 January 2012

Second wave of cities lined up for more powers

Decentralisation minister, Greg Clark, vowed to deliver a second wave of ‘city deals’ this week – giving local authorities the opportunity to take control of strategic transport decisions.

Talks are already under way between Whitehall and the first eight ‘core cities’ – providing them with a menu of transformative powers, set out in the Government’s Unlocking growth in cities document last year.

Options for the bespoke arrangements include much greater civic autonomy on transport and planning, such as greater accountability on rail and local bus services, and devolving non-planning consents where cities can reduce impact on business.

The minister said: ‘Urban policy has to involve vesting more powers in cities themselves, rather than seeking to run them as franchises of Whitehall. Cities themselves must lead.’

Calling on communities across Britain to take advantage of the new deals, in order to unlock growth, Mr Clark said: ‘The Localism Act gives cities a right of initiative. This means that instead of ministers deciding what new powers should be given away, city leaders should be able to put forward their own proposals – to make the case for taking control of specific resources and responsibilities currently held by central government.’

The DCLG’s cities unit is co-ordinating the talks to ensure Whitehall bodies cede powers, where appropriate. But all cities must guarantee they can provide strong and accountable leadership, improve efficiency and outcomes, and offer an innovative approach before being granted their specific deal.

Sources suggest councils could be eager to take advantage of the possibilities for ‘greater accountability to local communities for local bus services, in the context of wider Bus Service Operators Grant reform’, set out in the plans.

The cities currently brokering deals with Whitehall include Birmingham, Bristol, Leeds, Liverpool, Manchester, Newcastle, Nottingham and Sheffield.

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