8:05am Saturday 4th September 2010
By Mark Tallentire
THE North-East looks set to lose its regional campaigning voice, as a Whitehall deadline for a new layer of local government looms.
The coalition Government wants to replace regional development agencies (RDAs), including One North East and Yorkshire Forward, with local enterprise partnerships (LEPs), which it hopes will see councils working together and with local businesses to promote economic growth.
Applications to form LEPs have to be submitted on Monday.
Last month, Business Secretary Vince Cable said the North-East could keep a single One North East-style body if it wanted to.
Several authorities told The Northern Echo they were open to the idea of a regionwide LEP, but it seems council chiefs have failed to reach a deal and more localised bids have been prepared.
North-East Conservative peer Lord Bates said: “I would have preferred to have one bid for the region, rather than competing against each other within the region.
“We need to be competing as a region against huge entities like Leeds, Manchester and Sheffield. We would have had a better chance if we stuck together with one voice.”
County Durham is going alone while the five unitary authorities of the Tees Valley are uniting, although there is still some debate about what they will call their LEP.
However, it seems likely that regional organisations such as the Association of North-East Councils and the Northern Business Forum will ask for some form of regional structure to remain.
In North Yorkshire, the district councils are uniting in the hope of forming their own LEP, but may also bid to join neighbouring partnerships.
Sunderland City Council leader Paul Watson said of Sunderland’s joint bid with South Tyneside: “We feel that this approach offers the best opportunities for economic growth, business investment and infrastructure development for both parties.”
Simon Henig, Durham County Council leader, said: “The establishment of a County Durham Enterprise Partnership will allow the public and private sectors to develop the county’s economy and maximise Durham’s economic potential.
“An LEP will provide the strong leadership and direction for the creation of high quality, sustainable employment opportunities which allows our residents to prosper and encourages our young people to raise their aspirations and realise their future ambitions.”
In a joint statement, David Faulkner and Mick Henry, leaders of Newcastle and Gateshead councils respectively, said: “We intend to continue to work closely with other authorities and business networks individually and on a wider regional basis in the interests of economic growth across the North-East.”
The Government will announce its proposals in October, with RDAs set to be wound up in April 2012.
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