'City deals' to be extended to smaller cities

More cities in England will be offered the chance to agree a bespoke deal with Government to unlock their potential to drive economic growth, the Cities Minister Greg Clark has announced.

The bespoke arrangements between central government and local authorities provide the councils with greater powers - such as greater flexibility on where to spend central government funding streams, the power to offer business rates concessions and greater freedom to maximise income from property assets – to improve economic growth in their areas. In return, cities must guarantee that they can provide strong and accountable leadership, improve efficiency and outcomes, and be innovative in their approach.

Cities will need to make a clear case for new powers, backed with evidence and a strong economic rationale. Where Whitehall wants to retain control, the burden will be on central Government to explain why it is necessary.

The Department for Communities and Local Government said that negotiations on the first wave of deals have already started with England's eight largest cities outside of London: Birmingham, Bristol, Leeds, Liverpool, Manchester, Newcastle, Nottingham and Sheffield.

In a speech to the Centre for Cities, Greg Clark said that he was extending the offer of a bespoke city deal to more of England's cities, beyond the main ones, and invited them to start considering their proposals.

The potential powers on offer were set out in Unlocking Growth in Cities, published in December, a copy if which can be downloaded at the following link: http://www.communities.gov.uk/publications/regeneration/growthcities

The Government's Cities Unit will lead the negotiation process on behalf of Whitehall.

Greg Clark said: "The battle for economic growth - for Britain's future, will be won or lost in our cities. Right now our cities face serious challenges, but what isn't in doubt is their huge potential to drive economic growth. The key to unlocking that potential is a new deal for cities. Giving cities the powers, control over resources, and funding they need to fire on all cylinders and attract the private sector investment needed to rebalance the economy. But this revival will depend on all of Britain's cities, not just the few. That's why today I am inviting more cities to consider the vision they have for their community and the deal they need to make it happen.

"We are turning the established order on its head and cities must come to Whitehall not as supplicants, as in the past, but as equal participants in an open and constructive deal making process."

Related courses on...

Local Authority Joint Ventures

This webinar provides an introduction to joint ventures involving local authorities and outlines how local authorities in the CAP programme are generating efficiencies and improving services.

Watch a preview

Preview is shown smaller than actual size.

Click here to see the full list of courses on Local Government Law.tv.

Your first course is free-of-charge with no further obligation.