A way forward for Yorkshire

This is a significant concession on David Cameron's part, given his scepticism towards regional development agencies and suggestions that all such bodies should be abolished.

It is, indeed, a vote of confidence in Yorkshire Forward's work that it will remain at the vanguard of this area's low carbon economic revolution when one considers the number of bodies being scaled back, or scrapped altogether.

It is clear that Ministers recognise the importance of RDAs in less prosperous areas, particularly when it comes to attracting – and inspiring – the private sector investment to help underpin Britain's recovery prospects and provide jobs for those public sector workers now facing redundancy.

Yet, while Yorkshire Forward will inevitably suffer some budget cuts, it is important that the Government handles this responsibly and does not impose demands that are counter-productive to regeneration projects.

In making the announcement today, Mr Cameron should make clear how economic regeneration budgets will be affected in Northern Ireland, Scotland and Wales. It will be unacceptable if these budgets are protected at the expense of the English regions.

He also needs to give Yorkshire Forward, and others, discretion over ongoing regeneration projects that have the potential to kickstart the economy. Just because Gordon Brown's government behaved recklessly and irresponsibly in its final months will not justify any knee-jerk decisions on Mr Cameron's part.

A case in point is the 9.9m that Yorkshire Forward has allocated towards the proposed Leeds Arena, one of the Ministerial decisions queried by civil servants prior to the election.

As a premier city, it is disappointing that Leeds does not have a top-class entertainment facility and has, for the past two decades, played second fiddle to Sheffield, its regional rival. Yet, while the discussions with the Sheffield authorities over the arena could have been handled more sensitively, Yorkshire can sustain two comparable venues.

And, given how an arena in Leeds is an essential element of the city's wider renaissance, it is time for this issue to be laid to rest – and for this region's economic and civic leaders to harness all their energy on securing a more prosperous future for the whole of Yorkshire.