All change for the regions

The Business Secretary's remarks do not ring true in those areas, like Yorkshire, that prospered because there was a single, region-wide body that was driving, and stimulating, economic growth.

Of course, Yorkshire Forward had its faults. That is accepted. So, too, did Labour's overall strategy – its effectiveness was measured by the amount of public money spent rather than the number of jobs which stemmed from RDA input.

What Mr Cable has not yet demonstrated, however, is whether his proposed network of local enterprise partnerships will be even more innovative, especially as they will be expected to operate on a shoestring budget and there is no guarantee that Yorkshire Forward's considerable assets will be made available to the region due to the White Paper's commitment to deficit reduction.

Conclusions should not be drawn from yesterday's convoluted announcement; it will take five years, possibly longer, to determine whether LEPs have successfully reduced this region's dependency on the public sector.

And, though Mr Cable's acknowledgement that he broadly supports the concept of a Yorkshire-wide body that is being championed by business leaders, the proposals in his White Paper appear to be overtly fluid at a time when the economic uncertainty on the ground demands strong leadership.

The Minister argues that the enterprise partnerships, including those for Leeds and Sheffield, will be more accountable, with the emphasis on the word "partnership". He has argued that the RDAs were too autonomous, and lacked adequate scrutiny.

Yet Mr Cable has not yet rebutted those who believe the LEPs will lead to Yorkshire cities competing against each other for funding rather than working together to build a stronger region. Furthermore, his statement offered little hope for those deprived areas – like Hull – that have been denied an enterprise partnership. It is another oversight that needs addressing.

Nevertheless, many will welcome the Government's commitment to consider allowing local councils to keep hold of the money they raise through business rates rather than sending it to the Treasury to be redistributed.

This may speed up some small-scale infrastructure projects, for example, but it is unlikely to solve those region-wide issues – like inward investment, transport and the evolving energy industry – that require a regional approach. As such, Mr Cable has much to prove.