Liverpool gets ahead of Yorkshire

Cities Minister Greg Clark said leaders in Liverpool had “risen to the challenge” after agreeing a deal with the Government this week that could see the city getting control over £75m of regeneration funding and the creation of a new enterprise zone in return for introducing an elected mayor.

But speaking ahead of a visit to South Yorkshire today, where he will discuss the details of a deal to devolve different powers to Sheffield, the Tory MP for Tunbridge Wells, said he did not want other cities to be left behind.

“I’m absolutely determined we’re going to invest powers and resources in our cities and Liverpool, I think, has been blazing a trail. They’ve stolen a march on other cities and has possibly surprised some people in how they’ve risen to the challenge.

“They’re showing the way to go but I don’t want to stop at Liverpool. I was appointed to revive the fortunes and reputations of all our cities and certainly the cities of Yorkshire are part of that.”

Mr Clark and Deputy Prime Minister Nick Clegg announced last year that they wanted to agree individual “deals” with England’s biggest cities to hand over powers from Whitehall to give them control over their economic destiny.

Ministers insist having an elected mayor is not the only way to demonstrate “strong and accountable” leadership they demand before handing over powers but have made clear it is their preferred option. There has been little enthusiasm for the idea in either Leeds or Sheffield ahead of referenda to take place in May.

Cities have been challenged to be bold in demanding powers and Liverpool is the first to get approval, with the Government promising £75m to support economic development and an extra business-friendly Enterprise Zone if the Treasury agrees, along with powers over regeneration and housing and the go-ahead to pilot welfare schemes.

Leeds hopes to reach agreement with the Government in early March, as does Sheffield where Mr Clark will today meet council leader Julie Dore, chief executive John Mothersole and James Newman, chairman of the city region Local Enterprise Partnership, to discuss the issue.

The Sheffield deal is set to focus on five areas – advanced manufacturing research, technology-driven innovation, skills, investment funds and transport.

The pitch to Ministers will claim devolving those powers would mean thousands more jobs being created in the city region, which covers South Yorkshire and parts of north Derbyshire and Nottinghamshire, and promise “bigger, better, faster” growth.

Mr Mothersole said: “We’re five weeks away from the end point of this process which means we’re in the same wave as Liverpool.

“We’re determined to be in the first wave and have no intention of not being in the first wave of deals to be done.”

He said he wanted “concrete” powers from the Government as part of the deal, but said Sheffield already had some of the measures Liverpool is seeking, such as an Enterprise Zone.

Leaders also want to establish whether the current council system meets Mr Clark’s criteria for being strong and accountable.

“The purpose of city deals is it’s a different deal for every city,” he said.

“The deal Liverpool has done with the Government is one that is clearly what they think they need at this point to drive forward their economy.”

Pudsey Tory MP Stuart Andrew said it was “incumbent on all of us” in Leeds to get a good deal for the city. “If it’s good enough for Liverpool, it’s good enough for Leeds.”