Latest News | 31 October 2023

Region’s devolution plans take important step forward

Bondholders:
D2N2 LEP
Derby City Council
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Plans to create a new East Midlands Combined County Authority (EMCCA) have moved an important step closer to reality after key legislation was approved in Westminster.

The Levelling Up and Regeneration Bill has been granted Royal Assent after completing its passage through Parliament, paving the way for the creation of the EMCCA and the region’s very-first Mayoral elections next May.

Derbyshire County Council, Nottinghamshire County Council, Derby City Council and Nottingham City Council, will now decide whether to move forward with devolution plans, with decisions expected before the end of the year.

Councillor Baggy Shanker, leader of Derby City Council, said: “Devolution will bring much-needed funding to Derby and the wider region, especially with so many of our residents experiencing the cost-of-living crisis.

“It’s also important that more decisions affecting the region are made by locally elected representatives, so I welcome the news that plans for an East Midlands Combined County Authority are taking another step forward.”

Councillor Barry Lewis, leader of Derbyshire County Council, said: “This is a key milestone on the road to agreeing plans to bring in £38 million a year for the East Midlands and move major decision-making to the people who best know our communities, rather than Westminster.”

The East Midlands devolution deal, agreed with government ministers last summer, would see Derbyshire, Nottinghamshire, Derby and Nottingham benefit from £1.14 billion of funding to invest in local projects related to transport, education and skills, housing, the environment and economic development.

Devolution plans for the East Midlands are similar to those already in place across other mayoral regions like Greater Manchester and the West Midlands.

If the plans go ahead, the EMCCA – spanning two counties and cities – would be the first combined county authority in the country.

More funding is expected to become available once the EMCCA is formed – so far, £18 million has been awarded to the area as early investment during devolution negotiations, which is being spent on improving local housing, transport and skills provision.

Last month, the Government announced around £1.5 billion in transport funding for the East Midlands Mayor, who would be in place from May 2024.

Thanks to devolution proposals, the East Midlands has been invited to establish an ‘Investment Zone’, which will attract £80 million of support over five years, with tax incentives for businesses to help boost economic growth right across the region.

Further investment to boost local projects across the region would also be provided through annual Whitehall budgets and spending reviews.

The D2N2 Local Enterprise Partnership has been working closely with the four local authorities involved to prepare for the new EMCCA.

Elizabeth Fagan, chair of the D2N2 LEP, said: “I’m delighted that the East Midlands devolution deal has achieved Royal Assent in Parliament.

“This is an important step that paves the way for the establishment of the new East Midlands Combined County Authority.

“We will continue to work with our businesses, colleges and universities across our region to ensure our key stakeholders are engaged in the establishment of the new EMCCA and ensure a strong economic and inward investment strategy for low carbon economic growth, skills, transport and housing.”


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