'˜Devolution deadlock is leaving Yorkshire behind the rest of the North' - business leaders say

Yorkshire is in danger of being left behind the rest of the north owing to its failure to secure a settlement for devolved powers, business leaders claim today.

As another year draws to a close with talks on devolution still deadlocked, a number of prominent company bosses have collectively voiced their frustration, claiming that areas with elected mayors such as Manchester, Liverpool and Birmingham are already securing far greater funding from central Government and that businesses in Yorkshire are suffering due to the lack of political progress in the region.

Writing in The Yorkshire Post today, Yorkshire Bank chief executive David Duffy said: “The financial detriment to Yorkshire is becoming clear.

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“Other areas in the Northern Powerhouse are benefitting from additional central government funding through the City Deals, helping them raise productivity through funding for vital infrastructure and skills training.

“This isn’t just a problem for Yorkshire, but for the whole the Northern Economic Area.”

Mr Duffy’s concern over Yorkshire being left behind was echoed by a number of other figures, including Jessica Bowles from Bruntwood, Jonathan Moore from design agency Arcadis North and Henri Murison, Northern Powerhouse Partnership director.

Their call comes after last month’s Budget in which Philip Hammond bestowed much more cash to regions with devolution settlements than those without.

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Ms Bowles, head of strategy at Bruntwood, said: “Yorkshire needs impetus, speed and progress because it is clear that the economy is starting to suffer as a result of the current status quo.”

David Duffy the CEO for Yorkshire Bank, pictured their offices at Briggate, Leeds..14th December 2015 Picture by Simon HulmeDavid Duffy the CEO for Yorkshire Bank, pictured their offices at Briggate, Leeds..14th December 2015 Picture by Simon Hulme
David Duffy the CEO for Yorkshire Bank, pictured their offices at Briggate, Leeds..14th December 2015 Picture by Simon Hulme

Mr Murison said: “Working across the North, the Northern Powerhouse Partnership sees the benefits devolution is already bringing to Liverpool City Region, the Tees Valley and Greater Manchester.

“Yorkshire has been left behind - and it needs fixing.”

And Mr Moore said it was clear that regions with devolved powers “are going to be at the front of the queue for Government funding”.

Their collective call comes after the Archbishop of York laid out a road map to achieving one mayor for the whole of Yorkshire, with the compromise measure that the smaller deal for the Sheffield City Region be allowed to happen first.

Northern Power House Innovation Network, Room, Yorkshire Post, Leeds..Pictured is Henri Murison..20th September 2017 ..Picture by Simon HulmeNorthern Power House Innovation Network, Room, Yorkshire Post, Leeds..Pictured is Henri Murison..20th September 2017 ..Picture by Simon Hulme
Northern Power House Innovation Network, Room, Yorkshire Post, Leeds..Pictured is Henri Murison..20th September 2017 ..Picture by Simon Hulme
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Under his model Sheffield would elect a mayor next year followed by a broader settlement for the entire region to be enacted by 2020. Last night Communities Secretary Sajid Javid also laid the door open for One Yorkshire, provided all of the region’s 20 councils backed it. So far 16 are in favour.

Meanwhile former Treasury minister and Goldman Sachs economist Lord Jim O’Neill has suggested a council of mayors model.

Mr Duffy stopped short of backing the make-up of a settlement for Yorkshire but said: “We note the suggestion from the Archbishop of York that implementing the existing settlement for Sheffield City Region in the coming months is the right first step. Whether any next step is One Yorkshire or the Council of Mayors option put forward by Lord Jim O’Neill last week, what’s more important is that there is no further delay and that a way forward is found as soon as possible.”