SO much for the Northern Powerhouse idea.

The Government’s plan to hand spending powers to the North and create new metropolitan mayors is under threat after ministers last night lost patience with council leaders and withdrew proposals for a North-East devolution deal.

The Government’s deal already agreed with Tees Valley is still going ahead, however, while councillors in North Yorkshire remain at loggerheads with colleagues in West Yorkshire over which areas should be granted devolved powers.

But the North-East deal is is tatters after Communities Secretary Sajid Javid confirmed a planned devo deal covering County Durham, Tyneside, Wearside and Northumberland is now off the table after the seven councils which make up the North East Combined Authority failed to find agreement earlier this week.

While devolution plans have progressed in Manchester, Sheffield and Tees Valley relatively smoothly, the proposals have been dogged with problems in the North-East. Council leaders in Sunderland, Durham, South Tyneside and Gateshead who voted against the deal argued that they had not had sufficient assurances about hundreds of millions of pounds of EU funding pledged before the Brexit vote. Their refusal to buy into the plan means that a policy aimed at uniting the North has left it looking more fractured than ever before.

Newcastle might now decide to go it alone and seek a city devo deal similar to one Liverpool has agreed, or join forces with North Tyneside and Northumberland.

The Government is prepared to stand firm until the rebel councils fall into line or go their own way.

In the meantime Tees Valley has an opportunity to steal a march on its squabbling Northern neighbours and press ahead with its plan.