'Historic' devolution deal which would bring new powers to the area moves a step closer

South Tyneside Council has this week played its part as local authorities across the North East make key progress towards a £4.2billion devolution deal that will see a regional mayor elected next May.

The proposals would bring an array of new powers and funding to the region, with local leaders stating it would help improve transport, housing, jobs and investment in the North East.

Councillors at the latest meeting of the South Tyneside’s cabinet on Wednesday, November 1, unanimously agreed to consent to the making of a statutory order which would bring in the North East Mayoral Combined Authority.

The order involves abolishing the existing North East Combined Authority and North of Tyne Combined Authority and replacing them with the single body which encompasses the seven council areas.

The other six North East councils involved in the devolution deal are Sunderland, Newcastle, North Tyneside, Gateshead, Northumberland and County Durham.

Speaking at the meeting, Councillor Tracey Dixon, South Tyneside Council leader, said the statutory order will bring “the devolution deal to life” and marks an “exciting stage” of the process.

She said: “This is a significant next step towards a historic regional devolution deal to form a new mayoral combined authority to unlock huge new investment and powers for the region.

“At the end of the day, all we want is the best for our residents from a South Tyneside perspective and from a regional perspective.

“This is another hurdle that we’re getting over, another milestone in my opinion, and there has been an awful lot of work that has gone into this.”

She stressed the establishment of the new combined authority “would not impact the services that local councils are responsible for delivering”, with the new body taking decision-making powers coming down from central government.

The council’s chief executive, in consultation with the leader, will now issue the authority’s formal consent to the Secretary of State when requested and “take all other steps necessary to implement” the proposals.

The meeting heard work to draft the order to create the new combined authority “has been ongoing”, with the Government’s legal team carrying out preparations with “much support and shaping from the region”.

Councillor Jim Foreman, cabinet member for housing and community safety, asked if there were “any worries” about other councils not accepting and moving forward with the deal when their cabinets meet in the coming days.

Cllr Dixon responded by noting leaders from all seven councils have worked “really closely” on the deal and “there doesn’t seem to be any issues in regards to local authorities and cabinets”.

Meanwhile, Councillor Margaret Meling, cabinet member for economic growth and transport, stressed they must “bring the general public along” and outline to them the benefits of the devolution deal.

The £4.2billion devolution package includes a £48million per year investment fund to be delivered over 30 years, a £60million per year adult education and skills budget, and the power to bring local bus services into public control.

Council reports state it is anticipated the Secretary of State will issue his request for the councils and combined authorities to consent to the making of the order in December 2023 or January 2024.

This will allow the Secretary of State to lay the order before Parliament and for it to be made, and it to take effect, by March 2024.

This will then allow for the mayoral election to be held in May 2024 and the combined authority to come into existence on 7 May 2024.