East Mids Mayor welcomes ‘devolution revolution’ as PM offers more regional control

Pictured, Left To Right, Is Prime Minister Andy Burnham, High Peak MP Jon Pearce And East Mids Mayor Claire Ward. Taken By BBC LDR Jon Cooper.

The East Midlands Mayor has welcomed moves by the new Labour Government Prime Minister to give more control to mayors across England in the drive for economic growth, housing and job creation.

Mayor Claire Ward, of the East Midlands Combined County Authority, was pleased to see Prime Minister Andy Burnham visit the region twice during his first three weeks in power while he recently stated that political power had become too centralised so he would be making devolution powers available to more areas in England.

The Prime Minister aims to give mayors greater control over social housing, welfare and education and more power over budgets currently overseen and spent by Whitehall.

Ms Ward said: “We have had him twice in the region in the first three weeks. Derby and Ilkestion and for Derby he came to [Derby’s rail manufacturer] Alstom to talk about skills and apprenticeships which is really important to me and he came to Ilkeston to talk about High Streets.”

The Labour East Midlands Mayor welcomed the new opportunities and powers and changes to the way planning will be done and she added that this will mean there will be more of what local communities want to see.

Mr Burnham aims to give all mayors of city regions in England a share of income tax revenue for the first time as part of his plans to transfer power from Westminster to local leaders.

He will also allow strategic authorities – including EMCCA – to keep some cash from business rates collected in their areas while giving them greater control over services such as housing, transport and skills.

The Government has also announced that mayors will be given a fast-track route to building new tramways, roads and light rail in their areas.

Mayors are expecting to retain some revenues from from business rates from April 2027 and to receive a proportion of income tax from April 2028.

Ms Ward added: “More fiscal devolution is at the core of what will really change how we look after ourselves and how we make decisions in this region.

“All of the regional mayors have a settlement to spend on investment funding and on the big longer-term projects we are waiting on Government handouts and if we can have a share of income tax we can attach it directly to the growth we create and when we make decisions, such as with visitor economy growth.”

EMCCA was recently granted Established Mayoral Strategic Authority status which gives it the right to request new powers and responsibilities and the ability to apply for a more flexible, integrated funding settlements which means it will have greater local control over funding and decisions, rather than managing multiple separate funding streams.

Ms Ward indicated that this allows EMCCA to make more housing projects viable and in return it will want to see more social housing and affordable housing.

As a strategic authority EMCCA will benefit from a single funding settlement which means it will benefit from greater flexibility in how funding is used.

This means it will be able to move funding between different priorities and use it in ways that better meet local needs with more decisions about transport, jobs, skills, and investment made closer to home, by people who understand the region which will hopefully lead to a stronger future for the East Midlands.

Ms Ward said: “With more powers and an integrated funding settlement to follow, we will be able to plan for the long-term, drive growth, and ensure opportunities are spread fairly across the region.”

She argued visitor economy growth could grow by more than £1bn in ten years which will mean more jobs and more income tax paid with a share of that to be directly linked to the decisions made and how money is invested.

Ms Ward said it is an exciting time and she argued that a ‘devolution revolution’ is under way and the most important thing is what that will deliver for people in the region.

But the Government’s recent announcement that it aims to give mayors new powers to levy a ‘tourist tax’ on holiday accommodations to create an income for regional mayors to boost growth has been criticised by Derbyshire County Council, the hospitality industry’s trade body UKHospitality and some hoteliers, and the Government has temporarily paused Local Government Reorganisation plans for 14 areas including Derbyshire which is waiting to see whether its ten key councils will be converted into two unitary councils for the north and south of the county during 2027 and 2028.

Ms Ward said pausing Derbyshire’s LGR plans is disappointing because of the huge amount of work that has taken place but she understands the challenges faced by the Government.

But efforts are under way to boost economic growth after EMCCA recently committed a new £8.1 million fund to help businesses across Derby, Derbyshire, Nottingham and Nottinghamshire invest, grow and become more productive over the next four years.

The Business Investment Fund is expected to support about 500 businesses and unlock £19m in additional investment from businesses.

Ms Ward said: “By supporting businesses now, we can help create and safeguard jobs, unlock further private sector investment and build a stronger, more resilient economy for the East Midlands.”

EMCCA also says it is doing more at the moment to make circumstances more viable for more social and affordable housing particularly through the Nottingham Community Housing Association which is delivering all social and affordable housing schemes across Chesterfield including a site at Old Whittington in partnership with local authorities.

EMCCA’s Brownfield Housing Fund programme is also supporting the delivery of 1,765 homes across the region over the next four years, with thousands more expected through the first three phases of the scheme.

Ms Ward said: “Because of the contribution from the Brownfield Housing Fund we are seeing an up-tick of affordable housing but it’s not enough and I want to see more – whether it’s social or council housing.

“The Government gave mayors more responsibility to drive council house building. We have so many industrial plans and sites, there are more opportunities to do more on that… and I will be working to do more on that.

“We know that the next generation cannot afford to get on the housing ladder and many are not going to be eligible for social housing or affordable housing so we need to know the supply is there.”

EMCCA and Homes England are working with councils and partners to bring forward priority housing and regeneration schemes in Derby, Derbyshire, Nottingham and Nottinghamshire.

The work supports Ms Ward’s ambition to help deliver more than 100,000 new homes over the next decade, while creating better-connected, more sustainable places where people can live, work and invest.

Six immediate priorities include Chesterfield town centre and Spire Neighbourhood; Buxton; Derby city centre and Station Quarter; Infinity Garden Village and the South Derbyshire Growth Zone; Nottingham city centre, including Broad Marsh; and Fairham.

On September 17th, Ms Ward also shared an insight report and feedback after a successful Big Transport Consultation attracted thousands of comments while it is already investing money into the region’s transport improvement plans.

EMCCA has stated that it is determined to create better-connected communities, improve public transport services, and make it easier for people to get to work, education and essential services across the region.

Ms Ward said: “We asked people about the challenges and opportunities and for people to tell us what they see in the region and whether or not the plans we are talking about are the right ones.”

EMCCA approved £298.19m of further funding in the summer for the Mayoral Transport Fund for the next three years to lay the foundations for key projects including improvements across Chesterfield and for the Hope Valley Mini Switzerland integrated public transport scheme.

EMCCA’s investment plans feature feasibility testing for the Chesterfield Cluster project of over £1m to improve transport links between the town centre and its railway station for the revised Station Masterplan, and plans for the Hope Valley Mini Switzerland integrated public transport scheme are still under way to create a Swiss-style integrated network with hourly, timed connections between buses and trains.

Other projects include £3m for a groundwork investigation with a feasibility study into the Chesterfield Staveley Regeneration Route ahead of a long-awaited Government announcement to confirm a major share of the funding for the overall estimated ‘£197m’ bypass scheme which has been overseen by Derbyshire County Council.

Plans for the A61 Chesterfield to Clay Cross corridor, also overseen with Derbyshire County Council, have also benefited from £3.5m of EMCCA funding for feasibility testing for possible interventions on what is regarded as a strategic link from and including its junction with the A617 to Clay Cross.

It is hoped these highway improvements will boost connectivity and unlock potential employment and housing growth areas while supporting economic development and productivity and strengthening and extending reliable public transport.

Opposition parties have criticised Mr Burnham’s devolution plans to provide mayors with a share of income tax and to keep some cash from business rates claiming they lack detail and could lead to areas with weaker economies losing out on funding.

Some MPs have also raised concern that areas without mayors and without the new powers associated with mayors could suffer and miss out.