Regional development agencies and the Local Democracy, Economic Development and Construction Bill - Business and Enterprise Committee Contents


Joint memorandum submitted by the Association of North East Councils & the North East Assembly

1.  THE NEED FOR A LEVEL OF ECONOMIC DEVELOPMENT/BUSINESS/REGENERATION POLICY DELIVERY BETWEEN CENTRAL AND LOCAL GOVERNMENT

  1.1  The Government's emphasis in recent months and years on the crucial role of local government in economic development has been very much welcomed in the North East. This is a role which authorities have been playing in this region for many years and they continue to place an emphasis on creating the conditions for business to thrive. Central Government has a key role strategically around issues of national importance but experience (and evidence) has demonstrated the need to conduct economic development and regeneration at the right spatial level: national, regional, local. Each spatial level has a role to play, and the SNR recognises this and seeks to further develop the concept.

2.  THE EFFECTIVENESS OF RDAS AND THEIR ROLE IN ADDING VALUE

  2.1  Effectiveness of RDAs and how they add value is currently measured in a number of different ways including performance data based on RDA self assessment and the National Audit Office Independent Performance Assessments.

  2.2  Each RDA outside London is subject to regional scrutiny from their regional assembly, and the reports of those scrutiny exercises are published. RDAs may choose to accept or reject recommendations in the scrutiny reports.

  2.3  Going forward it is critical to ensure that future regional scrutiny arrangements to develop policy appropriate to regional circumstances are robust and effective. The Association of North East Councils (ANEC) and the North East Assembly have agreed a set of principles that will ensure that future local government regional scrutiny is constructive and non-confrontational, adds value and avoids duplication. It will be forward-looking emphasising policy development leading to action, with a particular focus on scrutiny of the single Regional Strategy. There will be close liaison with the Parliamentary regional select committees; it will engage economic, social and environmental stakeholders and be a means of engaging non-executive members of local authorities by agreement through the Leaders Forum. ANEC is currently considering a new process for handling scrutiny which is appropriate for the new and emerging circumstances and arrangements.

3.  RDA EXPERTISE

  3.1  The right skills, expertise and relationships will be needed to deliver the breadth of work required in implementing SNR. All partners are committed to this, and sufficient resources will be required

4.  THE CONSEQUENCES OF EXPANDING RDA REMIT TO INCLUDE NEW FUNCTIONS, AS PROPOSED BY THE SUB NATIONAL REVIEW, INCLUDING THE DELIVERY OF EU FUNDING

  4.1  Regional Planning Bodies currently have a range of roles which they can exercise with democratic legitimacy because they are accountable through their local authority membership. Regional planning covers a range of important practical issues such as consultation on major planning applications, conformity of Local Development Frameworks etc which are currently dealt with by the Development Board of the North East Assembly. In an early response to SNR, the Association suggested that the Leaders Forum (currently being established as part of ANEC, giving a "golden thread" of accountability to the wider local government community) could perform the role of the Regional Planning Body.

  4.2  Given the impact of local government re-organisation in the North East which comes into full effect on 31 March 2009, we are currently looking at how the Leaders Forum, the National Park and economic and social partners might come together to provide this role during the transition. This is supported by One NorthEast and we will be making a proposal to Government shortly, as part of the transition arrangements.

  4.3  Going forward, One NorthEast will need to continue and to develop engagement with business, a wider range of stakeholders and with the public.

5.  THE ACCOUNTABILITY OF RDAS

  5.1  Paragraph 2.3 above outlines the principles that we believe are essential to effective local government regional scrutiny and contribute to regional policy development. The arrangements for this, and liaison with parliamentary scrutiny, will be very important in terms of accountability.

6.  HOW RDA PERFORMANCE HAS BEEN MEASURED IN THE PAST AND WILL BE MEASURED IN FUTURE

  6.1  In addition to the operation of in-region scrutiny and the introduction of additional Parliamentary scrutiny, it would make sense for there to be reporting lines to CLG as well as BERR if and when RDAs take responsibility for the single regional strategy.

19 September 2008






 
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