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English Devolution: North of Tyne Mayoral Hustings

Hannah Richmond Regional Senior Policy Advisor

The election of Metro Mayors means increased funding and devolved power are available across England.

09 Apr 2019, 4 min read

In less than four weeks’ time, voters in Newcastle, North Tyneside and Northumberland will vote for the first Metro Mayor for the North of Tyne region. The new Mayor will sit as chair of the North of Tyne Combined Authority, allowing important financial and logistical decisions to be taken at a local, rather than national level.

With the new Mayor assuming responsibility for a region containing 23,000 businesses and 360,000 jobs, it is key business understand and are engaged in this process, and in local policy making more broadly.

Why are Metro Mayors important and what do they do?

There are currently seven elected Metro Mayors across England (not including the London Mayor). First elected in 2016, they have been introduced as part of the Government’s devolution agenda, which gives local areas more power and functions. The deals vary across the country, but over time the powers may increase, as has been the case in London.

Whilst the powers that Metro Mayors have are relatively limited, they are important in a number of ways. Metro Mayors have access to funding for the region which they can use to directly finance projects or as a way of attracting greater private investment into the region. Additionally, they have some control over local decisions, for example in health and social care, transport, housing and planning, and areas of education and skills.

Some examples of the benefits of Metro Mayors include:

  • The automatic allocation of half of the £1.7bn Transforming Cities Fund.
  • Attracting investment for new technology, such as becoming a testbed for 5G trials within England.
  • Establishing a Development Corporation to attract investors and improve the economy.
  • Using their profile and influence to raise the profile of, and address key social issues including homelessness and climate change.
A few years ago, the government promised to devolve more power back to the regions – an idea that many in business applauded because we know that decisions are best taken by those closest to the effect of those decisions. Now we have the chance to make good on that opportunity presented to us by Whitehall."
— Sarah Glendinning, CBI Regional Director, North East

What powers will the new Metro Mayor have in the North of Tyne?

First and foremost, a new Mayor will have access to over £600m of government funding over 30 years to help grow the economy. On education and skills, they will have control of a £23m per year adult skills budget and will receive support from DWP to establish an Employment Support Framework Agreement and the creation of the Inclusive Growth Board.

They will be able to establish a Housing and Land Board and can take forward compulsory purchase powers to establish Mayoral Development Corporations. Finally, the North of Tyne Mayor will be able to become a Rural Scale up Champion for England, establishing a Rural Productivity Plan. Full details of the devolved powers can be found here.

The candidates and their priorities

Labour: Jamie Driscoll

Conservative: Charlie Hoult

Independent Candidate: John McCabe

Liberal Democrats: John Appleby

UKIP: Hugh Jackson

How can I find out more?

The CBI is leading a piece of work on devolution to understand the benefits for business, as well as what the future of devolution might look like to ensure all parts of the country can benefit. CBI members can attend our upcoming roundtables in Leeds, Manchester, London (focus on fiscal devolution) and Newcastle.

For more information on this work, please contact Hannah at: [email protected]