The new Labour government has made devolution a cornerstone of its vision for Britain, introducing an English Devolution Bill as one of the centrepieces of its first King’s Speech with the aim of “moving power out of Westminster and back to those who know their areas best”.
The UK remains one of the most centralised states in the Western world and also has some of the widest regional inequalities. Many academics think the two are linked and that putting power into the hands of local leaders who better understand the needs of their communities will not only help get the economy growing but also help address these imbalances.
Deputy Prime Minister Anglea Rayner has urged local leaders in “devolution deserts” to work with the government to take up the new powers on offer, and a number of areas have expressed an interest in pursuing a devolution deal or are in talks already.
The early devolution deals were driven by groups of metropolitan local authorities led by a ‘Metro Mayor’ – think Greater Manchester, West Midlands or the Liverpool City Region as the prime examples. Other deals have followed in areas less dominated by one city, and the previous government had even given the green light to the first single-county deals in Norfolk and Suffolk. In each case, the deals come with new powers and funding, normally around transport, adult education and skills, employment support, and housing and planning.
However, with a new administration comes a new approach, and the Labour government has cancelled the county deals in East Anglia saying that it does not believe that single-county deals are the way forward.
So, what does it all mean for the South East? The region is undoubtedly crucial to UK Plc –accounting for 15% of the national population, the second highest economic output after London and the highest volume of exports.
However, the government’s official definition of the South East (stretching up to Buckingham and Berkshire) is also home to nine counties and more than 70 councils, representing a patchwork of varying powers, approaches and political affiliations.
The region, unlike many others in England, lacks a coherent identity, with one of the common factors being its proximity to London and the access to its economy, transport networks and cultural pull. The challenge of building an economic strategy for this disparate geographical construct is therefore significant.
Not since the South East England Development Agency (SEEDA) closed its doors in 2012 has there been an official public body that tries to coordinate economic strategy across the region. There is a representative body, South East England Councils (SEEC), which represents the interests of the region and its councils to the government, but it does not have any official powers and is not expected to have a seat at the table of the government’s new Council of the Nations and Regions, which is set to co-ordinate sub-national economic development.
With more regions exploring devolution deals, there is a risk that areas without them could be left behind and miss out on crucial funding. In the West Country, this is dawning on North Somerset Council, which had previously opted not to join its neighbouring authorities in the West of England Combined Authority (WECA), which was established in 2017 but is now rethinking its decision for fear of losing out.
In the South East, areas such as Hampshire and the Solent appear to be making good progress on a bid, but further East, it remains to be seen whether local leaders can come together to agree on a deal. The 3SC Bid (‘Three Southern Counties’ of East Sussex, West Sussex and Surrey) was paused in 2017, whilst plans for a Kent and Medway deal received a lukewarm reception when launched last year and now might not meet the new Government’s criteria.
Whilst the exact details of the new government’s devolution plans are yet to be unveiled, other regions can see the opportunity and are chomping at the bit for a deal. Without a change in the political weather, the South East risks being a devolution desert for a while to come.
