Levelling Up White Paper: a response from the central South
In mid-March, the Southern Policy Centre held a webinar to discuss the Government’s Levelling Up and Devolution White Paper [1]with speakers from local councils, business and national think tanks. Here SPC Director John Denham reflects on some of the challenges facing our local authorities as they respond to the White Paper.
Public debate about local devolution and levelling up has inevitably been a bit muted for the past few weeks by the local elections. Now the dust has settled and we know who our elected leaders will be it might be useful to sketch out some of the dilemmas and choices they will face.
The central South has a case to be part of the national levelling up agenda, and the early evidence suggests that we are. SPC’s own analysis shows the concentrations of deprivation, poor educational attainment, limited social mobility and ill health within the region. A new analysis for the webinar showed that on some key government ‘missions’ like income, education, employment and life expectancy, current policies will not be enough to close the gap with the wider South East by 2030. At the same time, the Solent area is identified in the White Paper as a cluster of excellence for marine and maritime industries, the Isle of Wight is receiving new money to improve school standards and several local authorities have won funds from the Towns Fund or other investment pots.
The White Paper sets out a new three level framework for devolution, ranging from a non-statutory committee of local authorities, a middle tier of a legal combined authorities with pooled powers to the top level led by a directly elected mayor. It is only the top level that has really has the chance to gain quite significant new powers and controls over what is currently central government spending.
All our local councils would like to gain devolved powers. The challenge that became clear in the seminar is whether they can create a match between what makes sense for this part of England and the agenda that has been set out by government. From the local perspective, any devolution proposals can build on a good record of practical cooperation, including the Solent Freeport bid, the work in anticipation of a ‘no deal’ Brexit and, of course, the local response of councils, the NHS and local communities to Covid. But there are difficult tensions around geography and whether the central South wants an elected mayor.
The government’s focus is on ‘county deals’ comprising current counties and where possible, unitary cities. A local deal might cover Hampshire, the Isle of Wight, Southampton and Portsmouth. However, Bournemouth Christchurch and Poole Council – historically seen by government as part of Dorset – sees itself as part of the central South for many economic purposes and would like to be part of any deal. At the same time, there has also been a history of close cooperation of councils across southern Hampshire (through the Partnership for South Hampshire) and some local authorities would like this to be the focus of a deal, perhaps including BCP. Hampshire is anxious to maintain its county identity and integrity. Devolution is aimed only at county and unitary councils. District councils cannot veto deals although it seems Hampshire County and the Hampshire Districts are keen to maintain positive relationships.
In the background is concern about whether any deal is worth the effort. Two previous bids, one for Hampshire and the Isle of Wight and one for the Solent, were both failed after a great deal of work. (One was never submitted, and the other was rejected by government). The same question about the value of a deal currently applies very much to debates about a directly elected mayor. Few if any councils positively want one, but most might agree if the powers and resources available made it worthwhile.
As our national speakers made clear, our local authorities need to be very aware of the government’s own agenda. It seems likely that the government will prioritise bids that match their own preferences for geography, powers, and elected mayors. If our region wants a more bespoke deal for the central South, it may need to accept a lower place in the queue (although that might allow us to see what other county deals achieve). Governments have always blown hot and cold on devolution as Ministers and Prime Ministers change, so a second calculation is whether it is better to take advantage of what is on offer now or risk losing the chance for some time.
The debate amongst our local leaders was good-natured, practical, and constructive and the local initiative lies with them. But it would not be a surprise if a clearer indication of what was on offer from the government was required to lubricate any agreement.
Worryingly there are already some signs that momentum may be slowing. None of the county councils identified for early deals have yet achieved one. Levelling up was barely mentioned in the Chancellors Spring Statement and there were certainly no new resources. On the other hand, the Queen’s Speech has promised a Levelling-Up Bill that will put the government’s mission targets in law (presumably in the same way as climate change targets) and provide a legislative framework for devolution itself. Proposals for greater community involvement in planning will be closely scrutinised in the central South to see if they will deliver the numbers and, crucially, types of housing we need.
Some measure of the debates ahead can be taken from the response of the Chair of the Conservative led Local Government Association: “Turning levelling up from a political slogan to a reality will only be achieved if councils have the powers and funding they need to address regional inequality, tackle concentrations of deprivation and make towns and communities across England attractive places to live, work and visit.”
John Denham
Director, Southern Policy Centre
[1] Speakers included four council leaders Cllr Keith Mans, Hampshire County Council, Cllr Drew Mellor, BCP Council, Cllr Gerald Vernon-Jackson, Portsmouth, and Cllr Sean Woodward (Fareham Council and Chair of the Partnership for Southampton Hampshire). Other speakers included Arianna Giovannini (IPPR North), Akash Paun (Institute for Government) and Brian Johnson (Solent LEP and Solent Freeport). The event was chaired by Kim John-Williams, (University of Portsmouth).