Memorandum by the North East Assembly
(DRA 25)
OVERVIEW
1. The North East Assembly welcomes the
Draft Regional Government Bill and the opportunity to contribute
to this pre-legislative scrutiny stage, through providing evidence
to the ODPM Select Committee Inquiry.
2. The Assembly is of the view that regional
government is a process and not an event, with the expectation
that powers and functions will increase over time on an incremental
basis. We look towards examples of devolved government in Scotland
and Wales as demonstration of that evolutionary approach to regional
government, where responsibilities have increased gradually over
the last four years.
3. We welcome and support, therefore, the
Government's intention that there should be power under the Bill
for the Secretary of State to confer additional functions on elected
regional assemblies without the need for another Bill. In keeping
with the principles of the Government's proposals for regional
government, we would wish to have absolute confirmation that these
"additional functions" would be devolved down from central
Government and not drawn up from local government. We support
the principle that a directly elected assembly would have a predominantly
strategic role and that local authorities would continue to be
the main service deliverers for their area. A strong and effective
interface between regional and local government will be essential
to the efficiency and effectiveness of governance at the regional
level.
4. The Assembly has consistently argued
that the powers and functions proposed for a directly elected
assembly in the North East should be sufficiently strong to allow
it to make a substantial difference in the region. In particular,
that it would be able to effect change in regeneration, improve
the region's competitiveness and increase its productivity. A
strong regional government structure will help the various agencies
working to improve the North East to do so in a joined up way.
There would, however, be scope for improving inter-agency working
through regular review, monitoring and scrutiny, with the aim
of improving efficiency and accountability. A directly elected
assembly needs to have a responsibility for scrutinising and reviewing
the delivery of regional strategies by organisations in the region,
with sufficient power to effect change towards improving delivery,
where necessary.
5. On the issue of stakeholder engagement
in a directly elected assembly, the Economic and Social Partners
Group on the unelected Assembly has undertaken a significant piece
of work, outlining the principles of engagement it would wish
to see (Appendix A attached). We welcome the commitment given
by the Government to undertake further consultation on stakeholder
engagement in a directly elected assembly. Independent funding
similar to that of the Wales Social Partners Unit, would further
allow us to consider involvement of economic and social partners
and the interface with local government.
ECONOMIC PERFORMANCE
6. The economic gap between the North East
and the rest of the country is continuing to widen, an issue on
which the Assembly gave evidence to this Committee last year,
through an Inquiry into Reducing Regional Disparities in Prosperity.
A recent IPPR report, "The State of the Nation: An Audit
of Injustice in the UK" (August 2004), highlights evidence
of how regional inequalities have widened over the past two decades.
7. In terms of GVA, between 1989 and 2002,
the North East has remained the poorest of the English regions.
Furthermore, since 1989, its position relative to other regions
in the country has declined so that it will take it longer just
to catch up with the levels of output elsewhere in the UK. Even
though the North East economy has grown during this period, it
has done so at a substantially lower rate when compared to the
rest of the UK, in particular the South East.
8. Continuing to devolve power, decision-making
and public sector activity to the regions can, we believe, speed
up the pace of change in the North East and enable us to tackle
regional disparities. A strong regional government structure with
clear lines of accountability would, amongst other things, ensure
that the various agencies working to improve the North East do
so in a joined up and efficient way.
SKILLS AND
TRAINING
9. Addressing the region's performance in
skills and training, at basic, intermediate and higher level is
vital to the future prospects of the North East. We regard it
as essential that in any future regional government structure
there is a strong relationship between economic development, social
inclusion and skills and training.
10. The Assembly welcomes the steps the
Government has taken towards decentralisation in relation to the
skills agenda. In particular, the formation of the Regional Skills
Partnership (RSP), which brings together the region's LSC's, RDA,
JobCentrePlus, Sector Skills Development Agency and the Small
Business Service, is a significant development in context of the
regionalisation of skills and training. We also welcomed the creation
a Regional LSC Director post to ensure that the LSC can play an
active part at regional level, through the RSP and other initiatives,
in shaping the supply of skills and training for adults to meet
regional priorities. We also acknowledge the significance of the
concordat, which has been developed between the LSC and RDA to
act as a statement of principles that should guide the future
working relationship between the two bodies.
11. Provision in the Draft Bill for an elected
assembly to appoint five members to each of the local Learning
and Skills Councils in the region, and to lead the Regional Skills
Partnership and appoint its Chair has been enthusiastically welcomed.
These measures will enable a directly elected assembly to adopt
a strategic overview for the Regional Skills Partnership and to
ensure that, as it develops, it provides clarity in terms of relationships,
funding streams and delivery.
12. The North East Assembly regards these
important measures, highlighted in the Draft Regional Assemblies
Bill, as a positive commitment by Government to enable an elected
assembly to gain real influence in ensuring that adult skills
and workforce development match regional needs.
13. We welcome the statement in the Draft
Bill which confirms that "the Government wants to enable
a particularly strong relationship between elected assemblies,
the LSC, and other members of the Regional Skills Partnership,
going beyond what is available in other regions".
14. The Assembly is also pleased that regional
assemblies' powers have been extended in relation to the development
of business support services in the future, which is a crucial
area in helping to deliver economic improvements. We welcome the
influence on decision-making about the local delivery of Business
Link services that an assembly would have, as a result of its
sponsorship of the Regional Development Agency.
TRANSPORT
15. On the issue of Transport, the North
East Assembly urges the Government to review the provisions outlined
in the Draft Regional Assemblies Bill to give a regional assembly
a clear decision-taking responsibility in addition to an advisory
and influencing role. This is a position which has also generated
the support of a number of bodies, representative of the business
community who regard transport as fundamental to economic regeneration.
16. Improving the region's transport infrastructure
and the quality of connections to locations and markets within
and outside the region is vital to both the economic and social
prospects of the North East. We need a transport network that
will help the region to become more competitive, through enabling
people and goods to move around conveniently and efficiently,
to markets within and outside the region. We also need a transport
network which enables us to create a more socially inclusive,
sustainable North East, developing links between communities around
the whole of the region.
17. If we are to achieve the region's ambitions
for creating a 21st Century transport infrastructure, which will
attract inward investment, tourism and boost competitiveness,
we need funding devolved from the centre to the region to support
priorities identified in the region to deliver the Regional Transport
Strategy.
18. Whilst we welcome the proposal to allow
a regional assembly to spend money on improving rail services,
to identify savings from reducing rail services that might be
used to fund alternative transport provision, these powers do
not go far enough in helping the region to deliver the transport
priorities and decisions that are right for the region. Revenue
and capital allocations from central Government to improve local
train services, and buy additional rail services, agreed by the
Assembly with rail operators, is also needed.
19. We also believe there is a strong case,
with clear benefits, of devolving some powers for trunk roads
to a directly elected assembly, together with a capital allocation
to spend on improvements to the trunk road network. Transport
priorities are different from those of central Government and
the Highways Agency. National transport policy continues to focus
on addressing the problems of the South East, largely caused by
congestion.
20. To realise the economic potential of
the North East and reduce economic disparity, it is essential
that transport decisions give greater weight to improving accessibility,
improving connectivity between regions and encouraging economic
growth. Current national transport policy continues to concentrate
growth in the South East, with many decisions based on resolving
congestion, as opposed to support for those transport schemes
which will improve competitiveness and economic regeneration.
Improvements to the A1 trunk road north of Morpeth in Northumberland
up to Scotland, for example, would have much higher priority under
regional government, based on strong economic development arguments
and improving connectivity between vital trade and tourism markets.
21. A further devolution and decentralisation
of powers on transport would be in greater synergy with the objectives
of the Government's "Making it Happen—the Northern
Way" and the emerging Regional Spatial Strategy.
CULTURE AND
CULTURAL-LED
REGENERATION
22. The region's long term investment in
culture and cultural-led regeneration is already making a perceptible
difference. Arts, culture, sport, tourism, film and media are
at the heart of what makes the region distinctive. They are focal
to the region's ability to raise its sights and dramatically improve
quality of life.
23. We acknowledge the proposals in the
Draft Regional Assemblies Bill for a directly elected assembly
to have a range of direct responsibilities, as well as a "partnership"
arrangement with the arts and sport. We regard these responsibilities
as very much a first step. We would, however, have wished for
a greater level of devolution in terms of budgets and responsibilities
from Government departments and their national agencies. Although
there is reference to a review of these arrangements as and when
an assembly develops, this lack of clarity is not conducive to
effective governance at the regional level. There is a need for
clarity around the relationship between the regional Cultural
Consortium and the regional cultural agencies. This would be in
addition to the formal relationship between an elected regional
assembly and the regional cultural agencies. We would also strongly
support an element of "representation" in respect of
appointments to the Regional Cultural Consortium, which will be
vital in securing "buy-in" to the policy directly for
the cultural strategic plan.
24. The proposals in the Draft Bill suggest
that an assembly could provide additional partnership funding,
but not to have any additional Government source of financial
support is a concern. Regional branches of national cultural organisations
also need sufficient flexibility to act in accordance with an
Assembly's overall strategy. We would welcome greater flexibility
for spending decisions to be targeted at regionally, rather than
nationally, determined priorities. We would welcome a review of
the funding arrangements for all of the cultural agencies operating
in those regions which opt for elected regional assemblies.
EQUALITY AND
DIVERSITY
25. The North East Assembly is committed
to the principle of a directly elected body achieving equality
and diversity, in order to ensure that it would be representative
of the electorate, which citizens could relate to and feel part
of.
It is an important point of principle if regional
government is to offer a real opportunity to increase participation
and visibility in public life and decision-making processes by
a range of currently under-represented groups and sectors.
26. We would want to see a directly elected
assembly have at its heart a commitment to equality and diversity
in relation to gender, ethnicity, disability and young people,
across all its activities (policies, practices and employment)
and for it to demonstrate real leadership in this.
27. Precedents have been set in the existing
devolved authorities, with the Welsh Assembly in particular providing
an example of what can be achieved in relation to equalities.
The Wales Act places an "absolute duty" on the National
Assembly to take action and make arrangements for equality of
opportunity across all devolved functions, with no "derogation
clauses". Research by the Institute for Welsh Affairs has
suggested that the Act has resulted in equality being addressed
systematically across the functions of the government in Wales,
that it has undertaken a comprehensive examination of its policies
and practices and is implementing the relevant changes and improvements.
28. We are raising our concern that the
Draft Regional Assemblies Bill does not propose a statutory duty
for an assembly to take action in relation to equality and diversity.
We urge the Government to enable equality and diversity to be
achieved through statute and to reflect this as a duty, using
the terminology set out in the Wales Act.
PUBLIC HEALTH
29. A vital strand in the development and
implementation of a health improvement strategy for the region
is the ability of an elected regional assembly to make region-wide
regulations in connection with public health. The ability, for
instance, to implement a smoking ban in public places, a measure
widely supported in the North East, is a particularly pertinent
example. Without such regulatory power, an elected regional assembly's
scope in the public health arena would seem limited. In order
to ensure that the public health role is effective across a range
of areas, adequate resources at the regional level need to be
provided.
30. Finally, we also urge the Government
to give a directly elected assembly the power to conduct scrutiny
in relation to region-wide health matters, similar to the role
carried out by the Greater London Assembly in this area.
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