Agenda item

The Chair introduced the report and invited David Marlow, independent consultant and expert on local growth policy, and Cllr Paul Watson, Leader of Sunderland City Council, to address the Board on growth and what was required to maintain momentum on progress following Spending Review announcements and devolution deals.

David Marlow stated that, following the Spending Review, councils should focus on building more interest and engagement of longer term leadership. There should be an evolution of the status quo, with areas acquiring more land assets and taking advantage of national regimes for drivers of growth and radical local authority fiscal and devolution revolutions. There were many risk factors, including the forthcoming EU referendum and the context of continuing limits on local government finances.

He highlighted the example of Kettering, which was an area of rapid population growth and would have to balance that with economic growth. They were in the process of building the ninth biggest housing development in the country and a carbon neutral business park, and were looking for government investment to advance this. He also highlighted that Sunderland and Wakefield had restructured as areas of economic growth, and each had purposeful city partnership boards.

Cllr Watson highlighted examples of how the ‘Make it Sunderland’ scheme had attracted over 200 investments in the city since 2012 and created 6,850 new jobs in the area. The project had required a great deal of capital expenditure, but was required to make sure the economy grew and jobs were created.  Local authority and business leaders had met with companies to convince them that investing in the area was sustainable and would be successful. He highlighted that it had been beneficial to have independent people from the local business community to communicate the message. Sunderland had enabled first tier suppliers, particularly in the car industry, to build in the area, as it was more economically viable than shipping products from elsewhere in the world.

In the discussion which followed, members discussed the following points:

·         Councils should ensure that devolution deals empowered places to grow. Deals should focus on long term sustainability and not just quick wins.

·         Local and economic success was built on cities and regions having much greater fiscal responsibility through growth deals and devolution deals.

·         Councils should focus on where they were involved in structuring business rate retention or devolution deals. There should be a process on how individual deals impacted upon the national system.

·         Despite financial difficulties, councils had been at the forefront of economic growth over the previous five years.

·         The Board should have more engagement with the devolution work being undertaken by the City Regions and People and Places Boards. The Chairman suggested that feedback from other Boards be included in the Chair’s report or update paper.

Decision

The Board noted the report and agreed to continue to oversee work on local economic growth, with more cross-working with the City Regions and People and Places Boards.

Action

Officers to include feedback from City Regions and People and Places Boards as part of the EEHT Board agenda.