A North Midlands Devolution Deal which covers Nottingham, Nottinghamshire, Derby and Derbyshire could be signed off in February after months of negotiation.
Originally put forwards as a deal for the East Midlands, it had to change its name to North Midlands when it became apparent that Leicester and Leicestershire would not be part of the process.
Why Leicester and Leicestershire would not join in was one of the issues explored by Ian Curryer, the chief executive of Nottingham City Council, at a breakfast briefing organised by the Nottingham Professional Services network.
He told the event at the Nottingham Contemporary: “The door has always been open to Leicester and Leicestershire, and part of the original thinking behind an East Midlands deal was that it would coalesce around the three cities.
“However, Leicester’s elected mayor is not prepared to accept a situation where there would be another elected mayor above him, so Leicester and Leicestershire currently don’t want to join.”
Mr Curryer said the deal could be agreed with Government in February and contained a ‘really strong set of proposals’ aimed at enabling businesses to grow the regional economy and create more jobs.
“Devolution will be extremely important for business, and business is a key part of the case for devolution,” he said, adding that business would have a seat on the Combined Authority under which the elected mayor will work with councils to deliver agreed economic policies.
“This is an extremely busy part of the world for manufacturing, for UK trade and exporting. We want to see a situation where we are bringing decision-making back to the local area where people understand the specific needs of that economy. We will be able to tailor services to those needs in a way that central government never will.
“For example, the current national framework for commissioning skills is perverse, and under the terms of a devolution deal we will be commissioning adult skills training to meet the needs that you tell us are out there, rather than having learners turn up to do generic courses.”
The deal could also bring forward strategic planning of transport across the North Midlands area, Mr Curryer suggested it would mean better scheduling of major improvement programmes – so avoiding the delays seen when the extension of Nottingham’s tram network coincided with the widening of the A453 and upgrades to the city’s ring road and railway station.
“Of course, we’re sorry about those delays. But we were told we had to take the money for those schemes in a particular window, so there was little we could do about the problems we had,” said Mr Curryer. “If we can secure a 15-year settlement for transport funding under the devolution deal then we can programme works to suit commuters.”
Addressing the significant potential for wider cross-Midlands cooperation, Mr Curryer added: “We knew that the West Midlands would do a devolution deal and we feel we need to match up, particularly now that there is the Midlands Engine initiative, so that we provide an antidote to the Northern Powerhouse.”
Mr Curryer also called on businesses to publicly get behind the devolution process: “I would like businesses to write to the government to demonstrate their support for what is an important process. Third-party endorsement from the business community is particularly important.”
It’s thought the Combined Authority which will deliver the North Midlands Devolution Deal programme will also pursue plans for a free trade zone near East Midlands Airport. Businesses within the zone would be able to fly in components, turn them into finished goods and then re-export them without paying duties.
Businesses reacted positively to the deal when they spoke after the event. Simon Gray, the chief executive of the Nottingham Means Business organisation, said: “Ian Curryer has mentioned the potential for the deal to be agreed in February, so things are beginning to sound very positive. Businesses will be very encouraged to hear that the region can gain control over budgets and resources.”
Greg Simpson, who runs communications business Press4Attention, said there was now a clear vision for the North Midlands Devolution deal: “I’ve helped to run devolution events for similar audiences before, and from the business perspective there has been a lack of understanding of the vision.
“That vision came over very clearly today and if the North Midlands group can get to grips with the key issues and engage with us we will be able to drive that vision as partners, which is crucial to success.”
Tom Gray, a partner with Fraser Brown Solicitors, said: “This is going to make a real difference to the lives of people and businesses.
“My concern is the apparent logjam in getting this deal agreed, and I think the people involved really do need to focus on the benefits it will bring and worry a lot less about the boundaries and the borders.”
Andrew Springhall who chairs Nottingham Professional Services and runs recruitment business Blusource, said: “It is a shame that Leicestershire can’t be involved, but I’m pleased that we’ve been brave enough to stand up and create a regional deal which can take on board the benefits.
“There is a definite need for this. My view is that if you are not part of some regional powerhouse then you are going to be on the wrong side of a divide.”
Bradley Legrand, of Carter Legrand Wealth Strategies, said he had been impressed by the way councils across Derbyshire and Nottinghamshire had come together to push forward a deal: “From what we have heard today, there is some great potential in this deal. We need to differentiate the North Midlands from other regions and a free trade zone could be really good for local manufacturing.”