appendix a: districts and devolution: discussion paper€¦ · (used in the manchester devolution...

Appendix A: Districts and Devolution: Discussion Paper

The newly drafted Cities and Local Government Devolution Bill begins to set out the government’s ambitions for devolution. The Bill highlights that it will be left to local areas to ‘build the case’ for bottom up bespoke propositions and what is in and out. As such, the development of a set of clear offers and asks for Districts and their partners is likely to be essential when it comes to the potential success of devolution negotiations. The below serves to act as a starter for 10 for what District Councils could offer and ask. It in no way serves to act as a definitive list, but rather brings together some of the core asks and offers made through various independent commissions, Local Government Association reports and tools, Local Government thinktanks and existing devolution deals. The table has therefore been developed to serve as a discussion tool for the Executive to give a steer on what areas the DCN should be promoting as areas for devolution and what support we should be providing to our members. It is clear from discussions with Civil Servants that offers will need to be quantifiable and likely to focus around areas such as increases in employment, GVA, housing numbers and delivery of efficiency savings. As such, it is recognised that we will need to develop offers into measurable propositions. We anticipate we can use the lessons from the City Deals and Growth Deals process to support Districts to quantify these deliverables. As well as framing for individual devolution deals the DCN could also take the opportunity to influence the scope and scale of the Cities and Local Government Devolution Bill by presenting a clear and coherent voice. In particular the Executive could:

- Determine the DCN’s formal stance on the mayoral model. Should we be lobbying strongly against this model and pushing the notion of ‘collaborators of equals’?

- Develop the DCN’s stance of clause 10 of the Bill. Clause 10 is of particular pertinence to counties and districts where the Bill identifies combined authorities may not be appropriate. The draft Bill enables mergers of councils or the establishment of unitary structures (where consent is given from those local authorities affected). The Executive is asked to consider the DCN’s response to this clause and if we should be pushing for alternative governance arrangements and additional remits for those areas where neither the scale of a Combined Authority or a merger of authorities is appropriate. Should we also continue to promote that devolution should focus on collaboration and outcomes not structures?

- Evaluating devolution bids; our asks to government; What should the DCN be lobbying for when it comes to the evaluation and determination of bids? Should there be a minimum criteria for bids and/or should be for areas to make the case of what success looks like? Should the process for evaluating bids be more transparent?

Discussion table: Potential District offers and asks

Area Offer Ask Where does the evidence come from?

Finance - We will be more financially independent and less reliant on government grants

- We will pool our resources more effectively with partners to deliver growth in our local areas.

- Give authorities or new intermediate-tier partnerships tax raising or retention powers including:

o freedom to set council tax and council tax discounts o the retention of 100 per cent of business rates and

business rate growth o ability to vary council tax bands and to undertake

council tax revaluations - Give authorities or new intermediate-tier partnerships

borrowing powers e.g.: o power to borrow for capital investment o promote the Local Government Municipal Bonds

Agency to support ‘Earnback’ and ‘Gainshare’ o support the Tax Increment Financing Mechanism

Manchester Devolution Deal Independent Commission on Local Government Finance (February 2015) LGA (2015) English Devolution; local solutions for a successful nation LGiU Briefings


(used in the Manchester devolution model)- enabling participating councils to pool their business rates, borrow against future revenue streams and the prospective ‘uplift’ or ‘increment’ in business rates through regeneration and development

o Investment powers o The ability to raise additional revenue through

relaxation of centrally set rules on fees and charges o New forms of social financing o Remove the Housing Revenue Account borrowing cap

- Extend the General Power of Competence to smaller groupings of councils

- Support place-based budgets for sub-national areas that are willing and able to take on this reform.

- Establish Local Public Accounts Committees in sub-national areas to scrutinise value for money for all public services.

Housing - We will build more local affordable homes both directly and in partnership

- We will ensure funding is targeted more

Establish council-led local development corporations to own land, fund and provide infrastructure, plan and commission the construction of significant housing developments.

Enable Districts to invest in and build more homes directly, and in partnership, through greater control over finance, simplifying and streamlining funding for housing and infrastructure, and more effective use of public land.

Free councils to invest in new affordable homes under the same rules that apply to any other council borrowing by

Independent Commission on economic growth and the future of public services in non-metropolitan England (March 2015) Devolution to Non-Metropolitan England: Seven steps to growth and prosperity LGA (2015) English Devolution;


effectively, aligning investment to local funding and levering in additional private finance.

- We need to consider what stance the DCN should be taking with regard to Right to Buy and any subsequent offer.

removing the Housing Revenue Account borrowing cap.

Pool and devolve all funding pots for housing and infrastructure into a single local funding pot. For example, devolve the Housing Investment Fund to local areas as seen in Greater Manchester Devolution Deal.

• Incentivise house building by enabling councils to retain any savings from the Housing Benefit Bill where this can be attributed to increased levels of house building.

Allow councils to set Right to Buy discounts and ensure that that they retain all receipts from sales of council properties- this will ensure we can help councils invest in replacing homes locally bought under the Right to Buy without complex rules that currently restrict us.

local solutions for a successful nation LGA Devonext tool Greater Manchester Devolution Deal

Enterprise and Growth

We will pool our business rates with local partners to provide targeted business support to local businesses

Devolve full control of EU structural funds to local areas as seen in Cornwall and Isle of Scilly

Devolve business support budgets to local areas including Growth Accelerator, Manufacturing Advisory Service, and UKTI (as seen in the GM devolution deal)

LGA Devonext tool

Planning We will work with public and private partners to promote and deliver

• Enable areas to co-produce plans for strategic roads with Highways England

Give local areas the freedom to create accelerated planning and enterprise zones

Independent Commission on economic growth and the future of public services in non-metropolitan England (March


development that drives growth in functional economic areas or other suitable geographies

Streamline the planning system e.g. - Lighten the burden (and hence cost) of evidence and formal

processes required for local ‘site level’ plans, focusing on the strategic aspect of plans and, in parallel, reduce the scope for judicial reviews of plans.

- Lighter touch examination from the Planning Inspectorate with regard to Strategic Plans covering functional economic areas or other suitable geographies

Other planning devolution asks are likely to link to asks with regard to infrastructure and finance.

2015) Devolution to Non-Metropolitan England: Seven steps to growth and prosperity LGiU briefing DCN Planning Report

Foreign Direct

Investment

We will utilise our local business and geographical knowledge to promote our sectoral and investment opportunities to foreign investors and companies.

- Support locally-led promotion of Foreign Direct Investment in local areas that complement and add value to the existing UK-wide approach

Independent Commission on economic growth and the future of public services in non-metropolitan England (March 2015) Devolution to Non-Metropolitan England: Seven steps to growth and prosperity

Investment in Infrastructure

We will use our relationships with local land owners to support the feasibility of

Conduct an urgent review of the decision making process and funding for capital projects with the aim of revitalising investment in local infrastructure. The review should identify the infrastructure investment that is best delivered centrally and that which should be delivered locally to achieve a better

Independent Commission on economic growth and the future of public services in non-metropolitan England (March 2015) Devolution to Non-


infrastructure initiatives. We will use our planning functions and collaboration with local partners to plan effectively for long-term infrastructure needs and deliver these.

central/local balance.

Support us to co-produce plans for strategic roads with Highways England

Support tax increment financing models

Metropolitan England: Seven steps to growth and prosperity LGA (2015) English Devolution; local solutions for a successful nation

Transport We will deliver a strategic join-up of transport modes in places and deliver long-term solutions to meet future transport needs.

• Bring all capital and revenue funding for transport into a single pot • Transferring bus subsidies and bus service operators’ grant to groupings of councils and giving councils the option of franchising services (whilst the Queen’s Speech highlighted that these powers would be available for Combined Authorities with elected Mayors- it is less clear what is available for other governance models) • Greater local influence over rail franchising

Enable smart ticketing roll-outs across all transport modes

Independent Commission on economic growth and the future of public services in non-metropolitan England (March 2015) Devolution to Non-Metropolitan England: Seven steps to growth and prosperity LGA (2015) English Devolution; local solutions for a successful nation

Digital Infrastructure

We will support the speedier delivery of high speed broadband and

• Adopt a strategy for future digital infrastructure which radically overhauls the current model of funding and commercial viability

Devolve the responsibility and funding for development of digital infrastructure in rural areas to non-metropolitan

LGA (2015) English Devolution; local solutions for a successful nation


reliable mobile communications networks across the country

devolution models People and Places Board discussion paper of Devolution Deals for Non-Metropolitan Areas

Heritage and Tourism

- We will deliver a more efficient and streamlined system for planning and listed building consent

- Statutory and protection functions assumed by Historic England and Visit England to be devolved (e.g. advice on applications for planning permission or listed building consent, assessment and processing of grants and the provision of advice to owners and developers- currently delivered in the main through local offices)

People and Places Board discussion paper of Devolution Deals for Non-Metropolitan Areas

Health and Wellbeing

We will improve the health and wellbeing of local residents across the life course and ease the impact on acute health providers by:

- Integrating the

delivery of demand reduction, early intervention, behaviour change and

-Ring fence a percentage of local health resources to make demand reduction, early intervention, behaviour change and prevention a reality and establish a simple locality budgeting approach to make the commissioning of prevention services through District Councils a reality. • Expand the pooled budget for health and social care with greater local control over the planning footprint, governance and wider joint commissioning arrangements to include: _ Acute care (including specialised services); _ Primary care (including management of GP contracts); _ Community services; _ Mental health services; _ Social care; _ Public Health; _ Health Education;

LGA (2015) English Devolution; local solutions for a successful nation Greater Manchester Combined Authority developing the business for the integration of health and social care and the control of existing health and social care budgets.


prevention approaches into mainstream District Council services including as environmental health, housing, licensing, leisure and planning

- We will progress data sharing agreements with partners across the public sector

- We will reduce duplication of activity and free up resources to invest in preventative services.

_ Research and Development • Align local government settlements with NHS settlements to enable areas to plan budgets and expenditure • Encourage NHS bodies away from the current activity based national tariff payment system and towards a system which incentivises integration and prevention so that we can better respond to the longer term care needs of people with long-term conditions

Public Assets We will use our local public assets more effectively to create local economic

Support joint strategic asset management strategies with Government Property Unit and Homes and Communities Agency

• Ensure a joined-up approach to decision-making and use of

LGA Devonext LGA (2015) English Devolution; local solutions for a successful


growth and deliver more integrated public services

public land and assets by giving councils the ability to direct the use of surplus public land and retain a proportion of the receipts to reinvest in the local area.

nation

Safer Communities

As part of services dealing with anti-social behaviour we will utilise our early help approach to support safer communities.

Allow combined authority areas and councils to decide on the most appropriate form of police governance in their area.

Provide local areas with the flexibility to merge the Police, fire and rescue and ambulance services and create combined governance arrangements.

Extend councils’ scrutiny and accountability role to cover the Crown Prosecution Service and the Courts and Tribunal Service.

Devolve funding from the National Offender Management Service (which runs probation and prisons) to councils or combined authorities so they commission medium and low risk probation services.

Support Police and Crime Commissioner roles to be absorbed into new governance models.

LGA (2015) English Devolution; local solutions for a successful nation Cities and Devolution Bill

Employment and Skills

- We will utilise

our Benefits staff and resources to support more local people

Enable local areas to review the complicated landscape and boundaries of LEPs, JC+, Work Programme areas and Skills Funding Agency Regions to align with groupings of councils, which provide the economies of scale for devolved powers.

Introduce long term Local Labour Market Agreements by 2016/17 which:

- Set out the ambition and strategy for employment and skills

LGA (2015) English Devolution; local solutions for a successful nation LGA (March 2015) Realising Talent; A new framework for devolved employment and skills


(including our most vulnerable residents) into work

- Utilising our relationships with local businesses and knowledge of key local sectors we will match local skills to local business needs supporting long term business growth

- Increase the skills level of local young people

- Increase the number of apprenticeships

- We will deliver efficiency

for all ages- acting as the basis for a deal between local areas and central government-setting out strategy , co-commissioning and financial functions.

- Devolve at least £2.7 billion of devolved or co-commissioned employment and skills funding per year.

• Job Centre Plus and District Councils: - Co-locate existing Jobcentre Plus services with District Councils to deliver significant efficiency savings -Enable us to work with Jobcentre Plus to locally coordinate a new youth offer giving all 14- to 21- year olds the advice, experience and skills to earn and learn after leaving school, delivering the ambitions of the Youth Allowance.

Replace the work programme with two programmes commissioned by new local areas: (1) A programme for current mainstream long-term JSA claimants (2) A programme for disadvantaged claimants (including Work Choice and Access to Work).

Short-term Job Seeker’s Allowance:. o Enable Contracts and the Flexible Support Fund to be

co-commissioned in line with local priorities. o Enable new local models of job brokerage combining

the resources and labour market information from local partners, Jobcentre Plus and National Careers Service – working together to provide access to vacancies and careers, and referrals to skills.

Independent Commission on economic growth and the future of public services in non-metropolitan England (March 2015) Devolution to Non-Metropolitan England: Seven steps to growth and prosperity


savings and increased harmonisation of services (e.g. between JC+ and Districts)

Post 16 education: o As part of the negotiations for the LLMA (Local Labour

Market Agreements), the Department for Education should devolve the post 16 education budget from the Education Funding Agency to those areas that are ready to design, commission and be accountable for 16 to 19 provision.

Adult Skills budget: o The Adult Skills Budget should be devolved to all

local areas who will work with local employers, local authorities and training providers to ensure it is geared to the needs of employers and driven by securing job outcomes for workless people, especially young people.

Universal Credit: local support: o Local and central government should work

together to design a local service that provides personalised support to those UC claimants that need it

Risk and Reward: o A new ‘risk and reward’ financial should be

developed, with proposals to be sent to Ministers by early 2016- rewarding local areas for stimulating more jobs and tackling disadvantage

• Enable local areas to manage college mergers or closures, and facilitate market entry by new providers such as University


Technical Colleges

Energy We will drive, inspire and support action on carbon reduction and climate resilience.

-Give local areas control over the development of energy production including fracking, marine, wind and geothermal energy. - Give local areas greater local influence over the development of the electrical grid network


Flooding and coastal

protection

Need to develop our offer.

-Give us new powers to pool resources and develop and deliver plans to coordinate activities at a local level to protect areas from flooding e.g. devolve a share of the environmental agency flood defence investment


appendix a: districts and devolution: discussion paper€¦ · (used in the manchester devolution...

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