Key projects up in the air as devolution deal is ‘killed off’

More than £600million of investment to create jobs, homes and infrastructure has been scrapped after the Government halted Norfolk’s devolution deal.Norfolk County Council had secured an in-principle devolution deal in December last year to bring more powers and funding to the county – including a £20million investment fund per year for three decades.However, the new Labour Government has now informed the council that the current deal has been halted.

This will dramatically affect new health facilities, commercial sites and housing developments which had been planned for Lynn as part of the scheme.County council leader Cllr Kay Mason Billig said: “I am bitterly disappointed that the new Government has halted our deal.“Ministers don’t support the idea of a Norfolk-only deal, or the idea of a county council leader, elected by the public – even though this would not have involved additional bureaucracy. “For a Government that is keen on economic growth, this is a shortsighted and damaging decision.“The Government says it supports devolution, yet it has killed off a deal that was ready to go: a deal that was going to improve lives in Norfolk, and grow our economy and start to address decades of historic under investment in our county. “Norfolk deserves better than this. I intend to press the Government for talks on how we can salvage as many benefits as possible from our current deal – and ensure we don’t go to the back of the queue for new powers and funding.”The deal Norfolk had agreed with the previous Conservative Government proposed investment of more than £600million over 30 years.It would have enabled Norfolk to invest in areas such as transport, skills and job opportunities, housing and regeneration, tailored to the needs of residents. One project in South Lynn which will be affected is a scheme to open up the east side of the Nar Ouse Business Park, which started last year.If it is completed, this business park is expected to generate up to 1,500 new jobs.A Ministry of Housing, Communities and Local Government spokesperson said: “Devolution is central to the government’s mission to economic growth, which we’ve set out plans to take power away from Westminster and into the hands of local leaders – who know their area best.“This government strongly believes that mayors should have a unique role, while council leaders must continue to focus on the delivery of the essential services. “We want to see those two functions kept separate as this benefits the community and its people, which is why we will not be proceeding with the Single Local Authority mayoral deals proposed in Norfolk and Suffolk. We intend to continue discussions with both areas on alternative models for ambitious devolution.”The devolution deal would also have meant:• Having a council leader who is directly elected by the public, enabling Norfolk’s voice to be heard by the Government• Targeting funding and resources to Norfolk’s own priorities • Unlocking housing and employment sites• Investing in skills and attracting and retaining key businesses• Opening the door to further powers and funding in futureWorking with district and borough council colleagues as well as other partners, the county council developed a significant pipeline of projects which would have been funded through the devolution deal. The first phase of schemes included new health facilities in Lynn and Norwich, and funding to unlock major commercial and housing sites in places such as Lynn, Norwich, South Norfolk, Attleborough, Dereham and North Walsham.Together these schemes had the potential to unlock around £750million in investment, more than 1,000 jobs and hundreds of houses.In a letter to councillors, MPs, business partners and members of the public sector, Cllr Mason Billig wrote: “Thank you for your support since we embarked on our devolution journey in summer 2021 – and particularly over the last 18 months, while we worked to finalise the best possible devolution deal for Norfolk.“I am confident that we were poised to deliver an effective deal, bringing new powers and more than £600 million of funding to Norfolk. Our devolution deal would boost jobs and skills, improve our infrastructure, deliver hundreds of much-needed affordable homes and open the door for even more improvements. “It would give Norfolk a seat at the top table, alongside other areas with devolution deals.“When we consulted the public on our in-principle deal with the Government, 64 per cent of respondents were in favour of funding being devolved to Norfolk. Business leaders have also supported the deal, as they were able to see the potential for positive change.“We worked effectively across political parties, councils and different sectors to develop the deal.“After working closely with our district council colleagues, we had a range of shovel-ready projects and were all set to deliver them. “We were ready to take over the adult skills budget and to start using £20 million per year of brownfield site funding. All we needed was confirmation that we could proceed.“I am, therefore, bitterly disappointed that the new Government has halted our deal. Ministers don’t support the idea of a Norfolk-only deal, or the idea of a county council leader, elected by the public – even though this would not have involved additional bureaucracy.“For a Government that is keen on economic growth, this is a shortsighted and damaging decision.“The Government says it supports devolution, yet it has killed off a deal that was ready to go: a deal that was going to improve lives in Norfolk, and grow our economy and start to address decades of historic under investment in our county. “Norfolk deserves better than this. I intend to press the Government for talks on how we can salvage as many benefits as possible from our current deal – and ensure we don’t go to the back of the queue for new powers and funding.“I will keep you updated.”