TORIES DISCOVER NORTH SHOCKER!

Having swept away all the organisations that were helping the Northern economy, the Coalition government has spent the last few years building them up again.

Although the patchwork of Local Enterprise Partnerships(LEPs), Mayoral Zones and Regional Growth Funds will never make up for the lost coherence of the Regional Development Agencies (RDAs) in the North West and Yorkshire, there are signs that some LEPs are getting to grips with their task.

This is important as the Chancellor has signified this week that he may be getting serious about doing something to empower the North, sandwiched as it is between Scotland and London which both want for nothing in terms of government spending.

The Northern Way, which was the umbrella organisation for the northern RDAs, would have been the perfect organisation to deliver the trans Pennine HS3 rail link that George Osborne envisages. We will have to wait and see how the project is to be managed if this announcement is anything other than a smokescreen for the complete lack of a coherent policy for the North.

Another example of the government’s incoherence has been with elected mayors. First they wanted them just for cities and with no extra power. Now they want them for city regions with some real power and money.

Liverpool in particular could do with a city region mayor to bring democratic accountability to the LEP which has substantial achievements under its belt. A mayor who covered the whole sub region from Wirral to St Helens would also help solve the current impasse with the Liverpool Combined Authority (CA) of councils. This is caused by the fact that Phil Davies, the leader of Wirral, heads the organisation rather than the Mayor of Liverpool, Joe Anderson.

The government will have a tough job selling the concept of an elected mayor for the whole of Greater Manchester for a number of reasons. Manchester residents rejected the concept for their city, and there is already an elected mayor in Salford. Furthermore the LEP under chair Mike Blackburn, the Combined Authority under Lord Smith of Wigan and Manchester City Council led by Sir Richard Leese are already driving economic regeneration effectively.

The Liverpool LEP has an impressive record too, partly helped because it inherited the Mersey Partnership. It has 450 subscribing private sector members. Recent figures from the Office of National Statistics concerning growth rates shows Liverpool as ninth out of 39 LEPs in the UK.

Liverpool LEP is hoping to be allocated a good chunk of the £2bn Local Growth Fund to be announced soon and is coordinating the spending of 221 million Euros it has been allocated from European coffers.

Specific achievements include helping fibre optic company Tratos expand in Knowsley with the creation of 100 jobs. The LEPs Business Growth Grant will help create 2000 new jobs and the New Markets Programme, developed by the LEP is helping small businesses get a 35% subsidy for their growth plans. Meanwhile the Skills for Growth Bank, backed by the LEP has approved £2.5m for business growth.

The Liverpool LEP is headed up by Robert Hough who has patiently rebuilt an organisation to support business after being chairman of the North West Development Agency when it was swept away. A quietly efficient man who does not seek the headlines, his organisation’s profile might be improved if its boundaries were shared with an elected mayor for the same area.

Politicians bring campaigns and the media spotlight would then perhaps be turned on to the somewhat dry world of economic regeneration.

Personally I believe if the government wants city region mayors, they should legislate for them. There are enough referenda in the air at the moment.

In the meantime the Liverpool LEP will get on with the job of bringing employment to the City Region.

DID ESTHER PAY THE PRICE FOR “GETTING IT”.

 

 

 

MILLER AFFAIR.

 

The Wirral West MP Esther McVey should be in the Cabinet this weekend as the new Secretary of State for Culture Media and Sport. She had a career in television, she is from the North, is female and doesn’t have a posh accent. All boxes ticked Mr Cameron, so why didn’t you pick her?

 

Perhaps because while you were foolishly supporting the defiant Maria Miller, Esther McVey was listening to the public and issued some mild criticism of Miller’s perfunctory Commons apology.

 

Cameron isn’t the only one who should be criticised over the Miller affair. I frankly thought Ed Miliband had some gall laying into the Prime Minister. What does Mr Miliband have to say about Sir Kevin Barron. Who he? You may well ask, because he has managed to keep a pretty low profile this past week. Sir Kevin is the chairman of the Commons Standards Committee that decided to slash the amount of the mortgage payment claims that Maria Miller was ordered to repay. He’s also the Labour MP for Rother Valley. I venture to suggest Sir Kevin is less in touch with his Yorkshire constituents than Esther McVey is with her people in Wallasey.

LABOUR’S POOR DEVOLUTION OFFER.

 

It’s not been a good week for Mr Ed. He’s revealed his party’s plan for devolving power to the North. It is very much in line with hints that Shadow Chief Secretary to the Treasury Rachel Reeves gave at a Downtown event some time ago.

 

She forecast that Labour would not radically alter the hotchpotch of Local Enterprise Partnerships (LEPs), Combined Authorities and City Deals that the Coalition are operating. I agree with the approach of the Hannah Mitchell Foundation who are holding their annual general meeting in Manchester this weekend. The Foundation is committed to democratically accountable regional government.

 

Chair Barry Winter calls Miliband’s proposals to close the North- South divide a sticking plaster, an attempt to breath life into underpowered LEPs and unaccountable joint boards of local councils. Winter says the plan for regional ministers is equally flawed because they are accountable to Westminster. He concludes that while Wales, Scotland, Northern Ireland and London have significant control of their destinies, the north with 15 million people remains largely tied to Whitehall.

MERSEY MESS.

 

Until we get a regional or pan North of England Council in place, we are going to continue to see the sort of parochial infighting that continues in some of our city regions. I have in mind the Halton, Wirral, Liverpool, Knowsley, Sefton, St Helens Combined Authority. I’m giving its official title donated by Communities Secretary Eric Pickles, although to be fair the members will use the working title Liverpool City Region Combined Authority.

 

Its not very combined at the moment because Phil Davies, the leader of Wirral, is chair rather than the Mayor of Liverpool, Joe Anderson. It was reported that this happened because Mayor Joe was late for the meeting. I understand that his physical attendance was neither here nor there. He and ally Peter Dowd (the leader of Sefton) had lost the vote at a pre meeting.

 

Let’s hope they can all work together. In the longer term we need elected mayors for the Combined Authorities in Leeds, Manchester and Liverpool with a Council of the North for the big strategic decisions.

 

Cracking idea for Easter. Have a good one.

 

 

 

 

 

 

CUT COUNCIL ELECTIONS IN CITIES TO SAVE MONEY

Where ever I go it’s a chapter of woe. In the last few days I’ve been to Winsford, Manchester and Liverpool to witness councils struggling to fix next month’s annual budget against a background of swingeing cuts.

 

The problem with this story is that I’ve been covering this sort of issue for forty years. Councils complaining that these are the worst cuts ever and forecasting doom and gloom for the services people need. This time I don’t think they are crying wolf. The scale of the cuts means that they are having to completely rethink the way they provide services.

 

With health authorities, the police and fire service also facing the same pressure; there is a willingness for them all to get out of their “silos” and talk together about providing us with a joined up service. This may be the only good thing to come from the government’s squeeze on the Town Halls. It was a point I put to Manchester Council leader Sir Richard Leese. He had been explaining to a conference in Manchester that “troubled families” often had thirteen different people contacting them in the past. Now management restructuring and greater cooperation with other agencies would mean one person would be put in charge of a case.

 

It begged the question why hadn’t it been done before? His reply was revealing. Until now public sector bodies had been reluctant to cooperate. The budget pressures facing them all had changed that.

 

So credit Local Government Secretary Eric Pickles with one point, but little else. The man is a disgrace. The relish with which he is stripping councils of millions of pounds and suggesting that savings on providing mineral water at meetings will solve the problem is fatuous. His attack on authorities like Manchester for holding £120m in reserves is frankly dishonest. He knows that this money cannot be spent on the revenue budget.

 

Things are so bad in Liverpool that Mayor Joe Anderson has called for divine inspiration. This week he hosted a summit with the Bishop of Liverpool to protest at government demands that the city reduce its spending by 52% over four years. Mayor Joe has been attacked for forecasting civil unrest if this goes on. The criticism is probably right because the last thing his city needs is rioting but there is a burning sense of injustice among civic leaders from Liverpool to Leeds that the local government financial settlement appears to favour southern councils at the expense of the north.

 

Be that as it may, new thinking is required. Cheshire West and Chester Council saw this crisis coming and on Wednesday night in Winsford they began a series of public consultation meetings (which I am chairing) on their budget plans. They include their “Altogether Better” programme which aims to reduce duplication between agencies operating in their patch.

 

Apart from the general cuts, Wirral Council has suffered historic internal management failures not helped by political instability. There is a proposal on the table to scrap the election of a third of councillors every year and go for an all out election every four years. Sources indicate it may not be approved which is a shame. It would end the confusing system that applies across the metropolitan areas of West Yorkshire, Greater Manchester and Merseyside. It would be better if Leeds, Bury, Wirral etc. had one big election every four years when the future control of the council would be at stake. It would also save money for other services which is what this crisis is all about.

TROUBLED WATERS AND FAREWELL TMP

English Heritage isn’t the only organisation that Peel Holdings have to worry about now that they’ve got the go ahead for the Liverpool Waters scheme.

Lindsey Ashworth, the bullish development director for Peel, devoted much of his time at Liverpool’s Planning Committee to lashing English Heritage for their opposition to his plans for 150 acres of derelict dockland north of the Pier Head.

It is part of the much larger Atlantic Gateway project which stretches from the Wirral, up the Ship Canal to Salford Docks. That makes it an issue for the mighty Combined Authority of Greater Manchester and they have just fired a broadside across Peel’s bows.

A report suggests Wirral and Liverpool Waters should not be given priority by the Atlantic Gateway Board unless there is more robust evidence in its favour.

The authors are Mike Emmerich, boss of the New Economy policy think and Barbara Spicer, the Chief Executive of Salford Council.

They want evidence that there is market demand for such a large amount of Grade A commercial floor space outside a city centre. They demand an investment plan that shows the level of private investment and the cost of public support particularly in relation to infrastructure. They also question whether Liverpool/Wirral Waters will really contribute to the region’s Gross Value Added at minimum cost to the public purse.

We’ll see how significant these reservations are. Mr Ashworth is not a man to be easily put off his stride as he demonstrated in Liverpool Council Chamber this week.

He told the planning committee that he was seeking outline permission for the £5.5bn project after months of detailed work. Peel had tried to respond to heritage objections. The historic Dock Wall was being preserved although it put constraints on the scheme. But Ashworth claimed that English Heritage was still not satisfied. They seemed happy to leave the old docks to rot away. Peel would compromise no further and if there was a public inquiry, the company would walk away.

The planners gave the scheme the go ahead and take Ashworth’s threat so seriously that Liverpool Council leader Joe Anderson is seeking talks with the government to try and prevent a public inquiry.

It is possible to interpret this as over mighty behaviour by Peel Holdings which must recognise that it is operating in a democracy. Alternatively one can admire the commitment of this organisation to transformational change in North Liverpool.

It is now an issue in the mayoral election campaign with Joe Anderson backing Peel and independent candidate Liam Fogarty expressing his concern and not wanting to be elected mayor of “Liverpeel.”

The Liverpool City Region now has no excuse but to get its act together.

This week I went to the final event organised by The Mersey Partnership (TMP). Its economic review of the sub region was comprehensive and helpful.

Absent of course was Lorraine Rogers the organisation’s former Chief Executive. It took her resignation to break the log jam and pave the way next week for TMP to transform itself into The Liverpool City Region Local Enterprise Partnership under the leadership of Robert Hough. He will bring his renowned diplomatic skills to the task of welding the 6 districts together.

Rogers wasn’t everyone’s cup of tea. It’s been suggested staff cheered on the news of her departure. Whatever the truth of that, Rogers deserves a lot of credit for the good work done by the TMP. The world of economic regeneration is far too dominated by men and it is a shame that Lorraine had to be a casualty of the process.