Latest funding under East Midlands devolution plans agreed

A new combined authority could be in place next year.

Author: Matt MaddrenPublished 21st Jul 2023

Funding for transport, housing and skills programmes have been agreed under plans for devolution across the Derbyshire region.

It’s part of a £1.14 billion deal involving more local powers given to the East Midlands from 2024.

Derbyshire County Council, Nottinghamshire County Council, Derby City Council and Nottingham City Council have been working with the Government on devolution plans including a package of local powers and funding from 2024.

Devolution would mean a new guaranteed funding stream for our region of £38m 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.

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.”

Baggy Shanker, Leader of Derby City Council, said:

“As a new leader coming into the devolution space, it’s good to see actual benefits being realised in the region, especially ones that are able to support some of our lower-income households and families.

“These schemes signal steps in the right direction, both in terms of securing much-needed funding – especially relevant for Derby, whose core spending power is the lowest in our region – and also decision making.

“Decisions about our area and our communities should be made by locally elected and locally accountable representatives; for too long too many decisions affecting too many people have been made by too few.”

Now the four 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.

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