Taking the North East's destiny into our own hands
Sep 6 2010 by Adrian Pearson, The Journal
THE Government will today be asked to green light a regional body which will hand the North East control of its own economic destiny.
Business leaders have come together to urge ministers to back a new economic body modelled on the successful Northern Development Company.
The aim is for it to be able to bid for cash from the Government’s £1bn Regional Growth Fund.
The North East Economic Partnership will also be tasked with bringing jobs to the region and helping businesses in areas such as renewable energy.
It has the potential to help create thousands of jobs.
The move means the North East could be the only part of the United Kingdom to retain a regional voice, which would allow it to compete as a united force against the likes of Manchester and Leeds for new jobs and investment.
Regional unity is believed to be essential if support is to continue for projects such as Blyth’s National Renewable Energy Centre, which is driving the so-called low carbon economy in the region.
Since the general election, The Journal has fought The Case for The North East, calling on politicians not to scrap the structures which have allowed businesses and council leaders from Teesside to Berwick the chance to say what is best for the region as a whole.
Since the coalition Government was formed, almost every regional development agency has been scaled back or scrapped, with powers and cash originally used to promote the North East now grabbed back by Whitehall.
Councils and businesses across the region will today also submit their plans for up to five local enterprise partnerships.
These will be tasked with securing economic growth at a more local level. Ministers will consider bids from the Tees Valley, a Newcastle and Gateshead bid, a Sunderland and South Tyneside bid and a bid from Northumberland and North Tyneside as well as an expected bid from Durham.
The Government may yet order councils to form bigger partnerships if the new bodies, with powers over local housing and transport, are deemed to be too small.
Paul Watson, chair of the Association of North East Councils, last night dismissed fears the region’s partnerships would be forced to compete with each other for investment and insisted they would work together under the new regional body.
The Sunderland council leader said: “To address the economic realities of the post-recession world and to achieve real change, clear strategic thinking and visionary leadership will be vitally important to this area and to the country as a whole.
“The opportunities presented by local enterprise partnerships and this new economic partnership will, we believe, give us the best chance of success in our ambition to deliver for our people, businesses and communities and we are pleased to be submitting this proposal.”
Business leaders have called on the Government to recognise the regional body’s role in six key areas.
Robin Bloom, who chairs CBI North East, said: “It is clear that for the North East there are many functions relating to inward investment and sector growth which need to be delivered at a level of critical mass.”
James Ramsbotham, chief executive of the North East Chamber of Commerce, added: “Businesses want a strong vision for the North East and an organisation with the capability and leadership to deliver it. The North East Economic Partnership has the potential to be that body: lean, effective and focused on the key functions that will support the growth of our economy.”
