MINISTERS were criticised for finally asking the public if they want to keep a powerful regional jobs agency – 11 months after announcing its closure.
In what some are saying may end up as “a eulogy for regional development agencies”, ministers have admitted they will now have to open a consultation on the future of organisations such as One North East. Confirming the decision, Lord Taylor of Holbeach, said the policy had already been agreed but that others could argue against it if they wished.
He said: “The regions of the country, if they feel particularly motivated, will be able to discuss the reasons why they believe no change should be made to their status.”
The Government whip added: “The policy decision has been made. It is the resolve of the Government to implement the policy. Nonetheless, there will be a consultative process, at which there will be an opportunity to argue the opposite case.”
In June last year the coalition Government announced it would scrap the £200m-a-year regeneration agency One North East, responsible for creating or safeguarding tens of thousands of jobs over the last decade.
The agency is in the process of winding down and will close its doors in March next year.
Advocates of the powerful regional voice have called on groups across the North East to take part in the consultation, in order to pressure the Department for Business into maintaining some of the agency’s powers in the region.
Former Newcastle Council leader Lord Beecham has fought in Parliament against the closure, and challenged the Government in the Lords on the nature of the consultation.
He warned that “if consultation is to have any sort of meaning it must be one which is prepared to consider thew alternatives”.
And he told The Journal: “We should use this last chance to avoid the significant loss of a powerful regional advocate.”
Shadow business minister Chi Onwurah has also urged others to back the consultation which, she said, should have the benefit of convincing ministers of the need to pass some powers to the replacement council and business groups the Government has set up.
Ms Onwurah, Labour MP for Newcastle Central, said: “This is a chance to send as clear a message as possible to Parliament that the North East wants to have control of its own future.
“The development agency here should have been treated differently to others and maybe if they recognise that we can get more powers for the local enterprise partnerships the Government has introduced. Important powers such as a say over inward investment or skills have been taken from the region by Whitehall, and we would like to see these handed to the local partnerships.”
A spokesman for the Department for Business said a decision on any consultation would be made in the coming weeks.
