Talks to focus on devolving transport powers to city-region

 
The chancellor is to lead discussions on what transport powers and budgets need to be devolved to Manchester’s statutory city-region, to allow it to deliver economic improvements.


The Government announced in the Budget last month that Manchester and Leeds had gained pilot city-region status, which could allow them to win additional powers. Lord Smith of Leigh, the Association of Greater Manchester Authorities’ chair, wants ministers ‘to give us some teeth’ to boost economic growth (Surveyor, 16 April).


But the Budget only committed the Government to providing powers over skills, and to allowing influence over regional development agency and Homes and Communities Agency investment.


As Surveyor went to press this week, however, AGMA’s executive board was due to hear that ministers would consider requests for further devolution, as part of discussions around what was necessary to meet the city-region’s strategic objectives.


Ministers will, however, want to see evidence of expected improvements in economic terms that would be achieved as a result.


AGMA has called for the city-region to be given control of the conurbation’s share of the £1.5bn annual funding for bus subsidies, and influence over Highways Agency and Network Rail investment.


The discussions will take place alongside a review of transport governance within the city-region, ordered by AGMA, to consider whether the districts’ highways and traffic functions should be exercised collectively by the city-region.


The report to the AGMA board from Howard Bernstein, chief executive of Manchester City Council, and clerk to the ITA, warned that ‘the current distribution of transport functions creates significant problems for the development of an integrated transport system’.


Bernstein advises that a joint committee reporting to both AGMA and the integrated transport authority – formerly the passenger transport authority – could take on strategic highways and public transport responsibilities. Having a separate transport authority, he said, ‘does not sit comfortably with AGMA’s declared objective that it should co-ordinate transport strategy’.


Another option would be to replace the ITA altogether with a Greater Manchester ‘combined authority’ responsible for economic development, regeneration and transport, which could be created under the Local Democracy Bill. A key issue, the report acknowledges, ‘would be the extent to which the districts would be prepared to delegate highways and traffic functions’.


However, the city region’s draft strategic objectives include an aim to tackle congestion to improve labour market connectivity. The review is due to be completed by November, to allow a scheme to be presented to the secretary of state in time to get a decision before the expected May 2010 general election.

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