East Midlands Devolution

New Mayor and East Midlands Combined County Authority given final go ahead

The last legal step to establish the East Midlands Combined County Authority (EMCCA) has been signed and made into law.

Jacob Young MP, Levelling Up Minister, this week signed the regulations that allow for EMCCA to be created. It means that residents across the area will get to vote for the very-first East Midlands Mayor, with elections taking place on Thursday 2 May 2024.

The new combined county authority is all thanks to a devolution deal, which will see the region benefit from a £1.14bn investment package, spread over a 30-year period, alongside devolved powers around transport, housing, skills and adult education, economic development and net zero.

Cllr Barry Lewis, Leader of Derbyshire County Council, said: “The passing of this final piece of Government legislation is an historic milestone for Derbyshire and the wider region.

“It marks the moment when the East Midlands Combined County Authority comes into existence, bringing a £1.14bn devolution deal to our region to improve people’s lives through better housing, improved transport and new job opportunities.

“In many ways it’s only the beginning of this exciting journey and more benefits and funding are already starting to flow – such as the government’s announcement of £1.5 billion local transport funding for the new East Midlands Mayor.

“Year-on-year the new combined county authority will bring even more funding to our region through a strong, collective voice and a national platform.”

Plans for East Midlands devolution are similar to those already in place in other mayoral regions, like the West Midlands and Greater Manchester, and it is estimated that the region will unlock around £4bn of funding over the coming years.

The East Midlands devolution deal, agreed with Government ministers in 2022, will see Derbyshire, Nottinghamshire, Derby and Nottingham benefit from a £1.14 billion investment fund. All four councils approved the creation of EMCCA in December.

In October 2023, the Government announced around £1.5 billion in transport funding for the East Midlands Mayor.

Thanks to devolution plans, the East Midlands has also been invited to establish an ‘Investment Zone’, which will attract £160 million of support over ten years, with tax incentives for businesses that will help boost economic growth right across the region.

Government will continue to work with EMCCA and other partners to co-develop plans for the East Midlands Investment Zone – which will bring in hundreds of millions of pounds of private investment and create thousands of jobs – including priority development sites and specific interventions to drive cluster growth, ahead of final confirmation of the plans.

£18 million has already been awarded to the area during devolution negotiations, which is being spent on improving local housing, transport and skills provision.

Further investment for the region would also be provided through annual Whitehall budgets and spending reviews.

The inaugural election for Mayor of the East Midlands will take place on Thursday 2 May 2024.

For more information on the elections, visit www.eastmidlandsdevolution.co.uk

Businesses in Chesterfield can hear from mayoral candidates for the East Midlands Combined County Authority at the annual Celebrate Chesterfield conference, taking place on 20th March 2024.

Jacob Young Levelling Up Minister

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Derbyshire residents set to vote for the first ever East Midlands mayor as devolution gets the green light

Residents across Derbyshire will get the chance to vote for the first-ever East Midlands Mayor next May, after councils gave the go-ahead to devolution for the region.

Derbyshire County Council, Nottinghamshire County Council, Derby City Council and Nottingham City Council have each approved plans to create the East Midlands Combined County Authority (EMCCA), which will come into existence next Spring.

EMCCA is set to bring in around £4 billion of funding for the region, alongside devolved powers for transport, skills and adult education, housing, the environment and economic development.

Barry Lewis, Leader of Derbyshire County Council, said: “Our shared vision is for the 2.2 million people who live and work in the heart of the country to be better connected and more prosperous – addressing years of historically low investment in our region.

“Devolution brings much more control over our own area. Rather than many major decisions being made for us in London, local people would have a say in the region’s priorities. This is just the start and more benefits and funding are already starting to flow – such as the Government’s recent announcement of £1.5 billion local transport funding for the new East Midlands Mayor.

“The creation of a new mayoral combined county authority will unlock the benefits of the East Midlands devolution deal and bring improved public services and a brighter future for our residents.”

Plans for East Midlands devolution are similar to those already in place in other mayoral regions, like the West Midlands and Greater Manchester.

The East Midlands devolution deal, agreed with Government ministers last summer, would see Derbyshire, Nottinghamshire, Derby and Nottingham benefit from a £1.14 billion investment fund. Other areas with devolution deals have been able to make their funding go even further and have greater impact by leveraging significant private sector investment.

A public consultation on East Midlands devolution, carried out between November 2022 and January 2023, showed strong support for the plans among local residents, businesses and community groups.

In October, the Government announced around £1.5 billion in transport funding for the East Midlands Mayor.

Thanks to devolution plans, the East Midlands has also been invited to establish an ‘Investment Zone’, which will attract £160 million of support over ten years, with tax incentives for businesses that will help boost economic growth right across the region.

It is estimated that the East Midlands Investment Zone will unlock hundreds of millions of pounds in private investment, creating thousands of jobs right across the region.

Government will continue to work with the proposed East Midlands Mayoral County Combined Authority (EMCCA) and other partners to co-develop the plans for the East Midlands Investment Zone, including priority development sites and specific interventions to drive cluster growth, ahead of final confirmation of the plans.

£18 million has already been awarded to the area during devolution negotiations, which is being spent on improving local housing, transport and skills provision.

Further investment for the region would also be provided through annual Whitehall budgets and spending reviews.

All four councils have now agreed to the creation of East Midlands Combined County Authority and the legal regulations around creating this new authority.

The Government will now need take the deal before Parliament, as this is first of a new type of combined authority and it requires new legislation.

If the legislation is passed in the coming weeks it would come into force by March 2024, meaning the EMCCA will officially come into existence.

The inaugural election for East Midlands Mayor will take place on 2 May 2024.

View of the Crooked Spire from above

Image courtesy of Derbyshire Economic Partnership

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Local leaders meet as East Midlands devolution plans gather pace

Local leaders from a range of sectors came together this month to discuss the progress of East Midlands devolution, as plans to give the region extra powers and funding gather pace and momentum.

The event, held on Friday 18 August, saw Chief Executives at Derbyshire County Council, Nottinghamshire County Council, Derby City Council and Nottingham City Council provide updates on key elements of the region’s proposed devolution deal, including transport, skills and adult education, housing, and net-zero.

Stakeholders representing a broad range of interests across the region – including business, universities and colleges, and emergency services – were given the opportunity to put questions to senior officers at the four councils.

The event was held ahead of several major devolution milestones over the coming months. For the proposed East Midlands Combined County Authority (EMCCA) to come into existence, new legislation is required from the government, which is anticipated to be in place before the end of the year.

Detailed devolution proposals would then be sent to the government for approval, meaning that EMCCA could be a reality from spring 2024, with the first ever election for a regional mayor – covering Derbyshire, Nottinghamshire, Derby, and Nottingham – taking place in May 2024.

Emma Alexander, Managing Director at Derbyshire County Council, said: “Devolution would unlock major benefits for our region, including extra powers and funding around a range of issues including housing, transport, skills, adult education and the environment.

“It is vital that we engage with key stakeholders every step of the way in this process, which is why I was delighted to see so many partners and colleagues in attendance at our event.”

Scott Knowles, Chief Executive at the East Midlands Chamber of Commerce, said: “The East Midlands has historically received the lowest levels of public funding in England. The fact that the East Midlands has consistently delivered GDP growth close to the UK average, from very low levels of investment, is testament to the commitment and ingenuity of the thousands of SMEs that are the backbone of the region’s economy.

“Devolving decision-making powers over how funding is spent to local areas is an important step and a once in a generation opportunity to organise ourselves in a way so that it’s easy for government to provide us with the funding we need to grow our local economy, productivity and wealth.”

Greg Broughton, Sustainable Growth and Place Manager at the Environment Agency (East Midlands), said: “Reflecting on the recent devolution stakeholder event, it was abundantly clear that there is a strong collective enthusiasm and drive to seize the opportunity for devolution to work together, to collaborate in new ways and to make the changes needed to transform the region.

“I was particularly pleased to hear that tackling environmental inequality and climate change is at the heart of the commitment to build a resilient and vibrant future for the people and places of Derbyshire and Nottinghamshire and I am excited to be part of building this new vision.”

If the plans go ahead, the EMCCA – spanning two counties and cities – would be the first combined county authority in the country, with a new elected regional mayor at the helm, representing around 2.2 million people.

Devolution would provide the region with a guaranteed income stream of at least £1.14 billion, spread over a 30-year period.

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.

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.

Mark Rogers, the new Interim Chief Officer for the East Midlands Devolution Programme, was a guest speaker at the event following his recent appointment.

Rogers brings a wealth of experience to the role, having served as Chief Executive of Birmingham City Council and Solihull Metropolitan Borough Council, and also played a pivotal role in the formation of the West Midlands Combined Authority. He will be joined by an interim team as the region’s devolution plans progress.

Find out more about the range of investment opportunities in Chesterfield at: https://www.chesterfield.co.uk/business/invest-in-chesterfield/

The Spire viewed from Old Whittington along Whittington Moor

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£18 million funding for our region as part of devolution plans

Millions of pounds in funding, made possible because of plans for devolution in the East Midlands, has been agreed and will be spent on improving housing, transport and the skills of local people.

In total, £18 million of funding is being offered to Derbyshire, Nottinghamshire, Derby and Nottingham as part of early investment to the area during devolution negotiations and is not dependent on devolution proposals going ahead.

The latest funding amount of £9.9 million has now been approved and will help councils to carry out retrofit work on homes to make them more energy efficient.

Councils across the two counties have been working with the government on devolution plans including a package of local powers and funding worth £1.14 billion, from 2024.

Other programmes which have already been approved, and are underway or completed, include:

  • £1.2 million for new gigabit broadband for Derbyshire, Nottinghamshire, Derby and Nottingham. It will mean that an extra 118 rural public sector schools and libraries will be connected to gigabit broadband. The scheme is expected to go live by March 2024.
  • £750,000 for a new cycling and walking route in Derbyshire – a 1¼ mile link connecting Markham Vale to the existing cycle route in Staveley.
  • £1.5 million for a new growth through green skills. The investment will enable the creation of a new £5.4 million flagship skills centre and low carbon demonstrator in the region, as well as 2 electric minibuses for getting students to and from the site, to support the growth of a future low carbon economy as we work towards net zero.

Funding hasn’t been the only benefit drawn in through devolution; with the East Midlands securing one of just 12 new Investment Zones being created across the UK.

The low tax Investment Zones are being introduced to boost growth in areas outside London and will be clustered around universities and research centres. Each zone is to get £80 million of support over 5 years, with tax incentives to attract businesses.

Devolution would mean a new guaranteed funding stream for our region of £38 million a year over a 30-year period. Covering Derbyshire, Nottinghamshire, Derby and Nottingham, the devolved area is home to around 2.2 million people, making it one of the biggest in the country.

The devolution deal includes an extra £16 million for new homes on brownfield land and control over a range of budgets like the adult education budget, which could be better tailored to the needs of people in local communities.

A regional mayor would lead a new combined authority, which would include representatives from existing local councils, with decision-making powers and resources moving from London to the East Midlands. Local businesses would also have a voice, as well as other organisations.

Devolution would not mean scrapping or merging local councils, which would all continue to exist as they do now and would still be responsible for most public services in the area. The mayor and combined authority would instead focus on wider issues like transport, regeneration, and employment across both cities and counties.

Barry Lewis, Leader of Derbyshire County Council, said: “We’ve been pursuing a devolution deal to bring more investment to the region and this early funding pot to improve housing, transport and skills is most welcome.

“If a devolution deal for the East Midlands goes ahead, it will bring a package of local powers and much-needed funding worth £1.14 billion that will help to improve the lives of people in Derbyshire and throughout the region.

“Devolution would bring massive benefits and opportunity to the East Midlands for things like improving transport infrastructure, building more homes and creating more jobs and better training opportunities.”

Now the 4 councils have formally backed the plans, and agreed on a final version of the proposal, it means that new local powers and funding to improve the environment, skills training, transport, housing, and the economy could be in place as soon as next year.

For that to happen, new legislation is needed, so that a new form of Combined Authority can be created. With new legislation in place, proposals for devolution could be sent to the government for approval and Royal Assent, meaning that devolution in the East Midlands could be a reality from spring 2024, with the first ever election for a regional mayor, covering Derbyshire, Nottinghamshire, Derby, and Nottingham, taking place in May 2024.

To find out more about why Chesterfield is an ideal location to invest, go to: https://www.chesterfield.co.uk/business/invest-in-chesterfield/

View of the Crooked Spire from above

Image courtesy of Derbyshire Economic Partnership

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Devolution top of the agenda at East Midlands Chamber’s Annual State of the Economy Review

Businesses believe devolution could hold the cards to a more prosperous East Midlands economy – but many have said they want to see Leicestershire at the table with Derbyshire and Nottinghamshire.

The proposed East Midlands Mayoral County Combined Authority was one of the key discussion points at East Midlands Chamber’s inaugural State of the Economy Review, held in partnership with the University of Leicester and Geldards LLP.

More than 50 business and academic leaders attended the event, held at emh group’s headquarters in Coalville today (16 December), which featured panels of business leaders speaking about how they have been affected by economic issues over the past year and future policy needs.

Amber Valley MP Nigel Mills and Nottingham North MP Alex Norris also gave speeches, in which they explained the latest situation with the East Midlands devolution deal – currently undergoing a public consultation with a view to being established in May 2024 – and how it could drive investment to the region.

The deal under review includes the local authorities across Derbyshire and Nottinghamshire, with a pledge to bring £1.14bn into those two counties over 30 years.

Chris Hobson, director of policy and external affairs at the Chamber, said: “There is a growing appetite among our business community to devolve decision-making powers over key issues like economic affairs and transport to local areas that have a greater understanding of their needs.

“While there was once a time when companies may not have wanted to wade into the debate over political structures, they have witnessed first-hand the benefits felt by their counterparts in other areas of the country with elected mayors and seen the scale of additional inward investment that devolution has facilitated.

“There was genuine excitement from businesses in the room on the opportunities devolution will bring, but also a concern that Leicestershire may end up missing out as a result of not being part of the current Derbyshire-Nottinghamshire deal.

“For businesses, the three counties are felt to be a natural economic area of co-operation – as devolution progresses, political leaders must present a clear vision for how they ensure Leicester and Leicestershire won’t be disadvantaged.

“When discussing our region’s USP, it was clear it all comes down to us being a Centre of Trading Excellence – a place for making things, moving them and innovating in how we do this – and this is something we have called on the Government to back further in our Business Manifesto for Growth via a package of measures to improve investment, innovation, infrastructure and international trade.”

The Annual State of the Economy Review took place against a backdrop of the Chamber’s latest Quarterly Economic Survey, which paints picture of declining activity throughout the past year but a slight renewal of confidence ahead of 2023 should the political environment stabilise.

A day earlier, the Bank of England raised interest rates from 3% to 3.5% in its latest fiscal intervention to arrest inflation, which was 10.7% in the year to November.

Chris added: “Our Quarterly Economic Survey has illustrated the myriad cost pressures and capacity constraints that firms have faced throughout the year, largely due to global headwinds but also because of our own doing in some cases.

“Looking ahead, businesses are acutely aware 2023 could be another tricky year to navigate as we enter a widely-predicted global recession, although a much shallower and shorter one than in 2008.

“As interest rates hit 3.5% and further forecasted raises are likely to impact further on already-dwindling investment intentions, there are things the Government can do to ‘get the basics right’, as we have stated in our manifesto.

“With four in five businesses with vacancies struggling to recruit throughout the year, we should be helping them to invest in skills – whether that be through expanding the remit of the Annual Investment Allowance so they can claim against training or making the Apprenticeship Levy more flexible to encompass a range of entry-level roles.

“Exporters are also growing frustrated with barriers to international trade and our relationship with the EU may once more become a big issue for 2023, while businesses will be eager to see new markets open up via trade deals to connect our region with the rest of the world.”

Chris Hobson, East Midlands Chamber

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£1.14 billion devolution deal announced for the East Midlands

Local leaders in large parts of the East Midlands will be given new powers to improve transport, boost skills training and build more attractive and affordable homes through a historic, first of a kind county devolution deal signed with the government.

Levelling Up Secretary Greg Clark has signed the deal with Derbyshire and Derby, Nottinghamshire and Nottingham, which will see the area appoint a directly elected mayor, responsible for delivering local priorities, backed by a new £38 million per year investment fund, totalling £1.14 billion over 30 years.

The deal delivers on a commitment made in the government’s Levelling Up white paper published early this year to shift in powers and resources away from Whitehall to local communities.

In addition to the agreed funding being under local control rather than control from Whitehall, a new Mayoral Combined County Authority will be created, with control over the core adult education budget, to boost skills in the region, as well as the ability to increase control over transport infrastructure.

The new mayor will also be granted powers to drive regeneration, with compulsory purchase powers and the ability to designate Mayoral development areas and establish Mayoral Development Corporations to promote growth and build new homes.

Councillor Tricia Gilby, leader of Chesterfield Borough Council, said: “Chesterfield’s residents and businesses deserve to have the same opportunities as those living in the towns and cities of the West Midlands, South Yorkshire, and other areas where Mayoral Combined Authorities already exist.

“They do not at present, which is why I welcome the announcement of a devolution deal for the East Midlands. Being able to access new sources of funding and take on new powers in relation to transport, housing, adult education, skills, and other matters can only be a good thing but these freedoms come at a price.

“I will be taking a close interest in how the East Midlands Mayoral Combined County Authority takes shape over the next 18 months and how we at Chesterfield Borough Council best influence this new body to achieve the very best outcomes for the people of Chesterfield.

“Given the current cost of living crisis, we must avoid power struggles and unnecessary bureaucracy, it is a time for local government at all levels to come together and put our communities first.”

Levelling up Secretary Greg Clark said: “The East Midlands is renowned for its economic dynamism and it has the potential to lead the Britain’s economy of the future. For a long time I have believed that the East Midlands should have the powers and devolved budgets that other areas in Britain have been benefitting from and I am thrilled to be able to bring that about in Derby, Derbyshire, Nottingham and Nottinghamshire.

“I am impressed by the way councils in the region have come together to agree the first deal of this kind in the country, which will benefit residents in all of the great cities, towns and villages across the area of Derbyshire and Nottinghamshire.

“Taking decisions out of Whitehall and putting them back in the hands of local people is foundational to levelling up and this deal does that.

“The new East Midlands Combined County Authority will also be granted control of over £17 million of additional funding for the building of new homes on brownfield land in 2024/25, subject to sufficient eligible projects for funding being identified, and a further £18 million has been agreed to support housing priorities and drive Net Zero Ambitions into the area.”

In a joint statement, Ben Bradley MP, Leader of Nottinghamshire County Council, Barry Lewis, Leader of Derbyshire County Council, Chris Poulter, Leader of Derby City Council, and David Mellen, Leader of Nottingham City Council, said: “We welcome the £1.14 billion devolution deal from the government on offer for our region. It’s fantastic news.

“We want to make the most of every penny so this can be used to make a real difference to people’s lives.

“As Leaders, we have all fought for a fairer share for our cities and counties, and a bigger voice for our area, to give us the clout and the influence we deserve, and to help us live up to our full potential.

“This deal would help make that a reality, creating more and better jobs through greater investment in our area, with increased economic growth, better transport, housing, skills training, and an enhanced greener environment, as we move towards being carbon neutral. These are what we all want to see, and we will work together for the common good of the East Midlands.

“We haven’t always had the same level of funding or influence as other areas, which has held us back. This is a golden opportunity to change that and put the power to do so in our own hands.

“There is a lot still to be agreed, and this is the beginning of the journey, not the end. We’re determined to build on this deal over time, as other areas have done.”

This will be the first ever Mayoral Combined County Authority, a new model of devolution provided for in the Levelling Up and Regeneration Bill. Implementation of this deal is dependent on Parliamentary approval of the Bill and necessary secondary legislation, as well as a public consultation.

This marks another important milestone in the government’s commitment to ensure that every area in England that wants a devolution deal can get one by 2030, as promised in the Levelling Up white paper published earlier this year.

New powers will help to improve local skills which will meet the specific needs of the local economy, helping to boost the region financially. In addition, there will be greater powers to drive regeneration creating more affordable housing for local people, making the area a more desirable place to live, work and visit.

Town Hall

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