A North East council leader insists that a multi-billion pound devolution deal for the region is “completely different” to a package he helped scupper seven years ago.
Over the next week, councils across the North East are set to take another crucial step towards a vast shake-up of the area’s political landscape – with a £4.2bn devolution deal that will see a regional mayor elected next May. The historic agreement brings together seven authorities across Northumberland, Tyne and Wear and County Durham, reuniting councils that had split apart following the collapse of a previous deal negotiated with the Government in 2016.
A public consultation on the new proposals, which will bring an array of new powers and funding to the region, recently showed 61% support for the project. Local councils must now agree to send those results to Levelling Up secretary Michael Gove, ready for him to make an order in Parliament that would formalise the new mayoral arrangements.
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Northumberland and Gateshead both gave their consent on Tuesday morning, with the area’s other authorities expected to follow over the coming days. Gateshead Council leader Martin Gannon has long been sceptical of the idea of an elected North East mayor and played a key role in the downfall of the 2016 deal, which Gateshead was the first to pull out of.
Despite having been critical of the latest pact too, describing it in January as “not a good deal”, he reaffirmed his support for it on Tuesday morning – saying that the delivery of major transport funding is the key factor. He told a cabinet meeting: “It is completely different to 2016. Yes, it still has a mayor and yes I don’t think it is a huge, massive package of money – despite what some people say. It is not £4.2bn because they [the Conservatives] will only be in Government for a year, so it is £48m for one year.
“But the issue is transport funding. Without the transport funding we are not able to continue with our transport vision. We asked for the funding without a mayoral deal and they [ministers] have repeatedly said no.”
Coun Gannon told colleagues that the devolution deal must be ratified by the end of this year to give the Electoral Commission sufficient time to plan a mayoral election for next May. While the cabinet was told that there is an expectation is that it will get done in time, concern was raised about the prospect of a general election being called and derailing the Parliamentary timetable.
In Northumberland, the only Conservative-led council joining the devolution deal, council leader Glen Sanderson called it "one of the biggest days the county council has ever had". Speaking at his cabinet meeting on Tuesday, Coun Sanderson said: "This is building on the Government's desire and wish to see power, authority, decision making and money devolved locally for authorities to work together for the areas they represent.
"I think this is one of the biggest days Northumberland County Council has ever had in moving this deal forward for the benefit of our residents, the council and for the North East economy as a whole. I'm grateful the Government has offered this opportunity and I'm even more grateful that we have grabbed it."
The Conservative councillor is a firm backer of devolution and said he was looking forward to working with his fellow council leaders despite many of them coming from a different political background. He added: "I have to pay great tribute to my fellow leaders and chief executives who have given up so much time and effort in all of those discussions, every one of which has been well-mannered, friendly and respectful. We have managed to talk through our differences.
"This is not saying Northumberland is finished and you will lose your ability to make decisions - far from it. Northumberland County Council will continue in the role it has. What it will do is generate the sharing of expertise and greater sharing of friendship, and cross-council working that always brings rewards in my experience. It will also bring significant extra funding."
Councils in South Tyneside, Durham, Newcastle, North Tyneside and Sunderland will also meet this week to sign off on sending the public consultation results to Mr Gove. Then, next week, the existing North of Tyne Combined Authority and North East Combined Authority will have to agree to being abolished once the new North East Mayoral Combined Authority comes into being.
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