Local authorities are stronger together than apart

With the local elections coming up, its worth remembering that co-operation is key to development.

Cities across the country have responded to the wanted ad issued in the Localism Act. Politics outside Westminster suddenly looks very interesting. The impending referendums on elected mayors have grabbed the imagination and the headlines, but there is a quiet revolution in local governance that has been less commented upon.

Developments in the Leeds City Region remind us that championing localities is about collaboration as well as leadership. Leeds and its neighbour’s intention to follow Greater Manchester in establishing a combined authority shows that collaboration across functional economic areas is a growing phenomenon. The future story of local government will be as much about newly combined authorities as newly elected mayors.

Local champions can drive local economic growth. The areas in and around cities such as Leeds or Manchester, have vibrant economies – and what they often need most is internal and international connectivity. This description would equally apply to areas like Tyne and Wear or the Birmingham conurbation. If England’s cities and shires are going to fulfill their potential then creative approaches to investment are required. Mayors alone will not be able to provide this.

A good example of local investment to support business is provided by Northamptonshire County Council. The council made a £10 million secured loan to protect the future of the British Grandprix at Silverstone Circuits. It also made a £1.5 million contribution to a new high-tech business park to develop automotive innovations. The new technology park is expected to create 2,400 jobs and the loan could help protect 22,000 jobs in Silverstone and across the rest of the country.

Analysis in NLGN’s latest report – Grow Your Own: Skills and infrastructure for local economic growth – found that this investment can be scaled if councils are willing to pool their capital funding and borrowing capacity. The ten Greater Manchester authorities recently agreed a £1.5 billion revolving investment fund for major transport infrastructure. A single economic strategy gave the councils the confidence to allocate their own money and borrow substantial amounts to invest in a wide ranging programme of which extensions to the Metrolink are a centre piece. Joint borrowing helped to mitigate the risks that the councils faced in underwriting new investment.

The Leeds City Region wants to develop its own model for investment and is working with government in order to achieve this through the City Deal process. Leeds hopes that Whitehall will match fund £200 million worth of pooled investment cash. The money would be spent on new infrastructure to connect the sub-region’s economy. One way to encourage others to take up this approach would be to extend city deals beyond the core cities through a series of LEP deals.

Policy innovation is particularly important given the £4.9 billion spending gap inherited by local government and Local Enterprise Partnerships following the abolition of the Regional Development Agencies. The ability to pool investment is also the reason that combined authorities could have more clout than mayors in single authorities.

City mayors are often presented as business-friendly "one-stop-shops", providing clear points of contact for prospective investors. This potential will be limited unless they operate through the kind of collaborative local governance that is envisaged for the Leeds city-region.

In Birmingham there is much excitement over the potential of a mayoral race between Siôn Simon, Gisela Stuart and Liam Byrne. But their capacity to drive change will be undermined unless the city and its surrounding area cooperate. Currently the Greater Birmingham and Solihull LEP is struggling to agree on shared economic priorities with the neighbouring Black Country LEP. This makes no sense to a major multinational company making a major capital investment, such as Jaguar Land Rover looking to build a new automotive factory.

The government ducked the opportunity to support metro-mayors. Admittedly, the local politics of such a role could have proved one step too far for local cooperation. However, if mayors make narrow investment decisions based on authority boundaries they will exacerbate existing problems.

Elected mayors can be important figureheads for communities. They can also champion major investment projects, such as Crossrail, and help to attract future business investment. But local growth is equally dependent on local government. Combined authorities investing smartly – in everything from skills to infrastructure – may hold the keys to unlocking local economies.

A woman walks past Manchester City Town Hall. Photograph: Getty

Joe is a senior researcher at the New Local Government Network

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What is the Scottish Six and why are people getting so upset about it?

The BBC is launching a new Scottish-produced TV channel. And it's already causing a stooshie. 

At first glance, it should be brilliant news. The BBC’s director general Tony Hall has unveiled a new TV channel for Scotland, due to start broadcasting in 2018. 

It will be called BBC Scotland (a label that already exists, confusingly), and means the creation of 80 new journalism jobs – a boon at a time when the traditional news industry is floundering. While the details are yet to be finalised, it means that a Scottish watcher will be able to turn on the TV at 7pm and flick to a Scottish-produced channel. Crucially, it will have a flagship news programme at 9pm.

The BBC is pumping £19m into the channel and digital developments, as well as another £1.2m for BBC Alba (Scotland’s Gaelic language channel). What’s not to like? 

One thing in particular, according to the Scottish National Party. The announcement of a 9pm news show effectively kills the idea of replacing News at Six. 

Leading the charge for “a Scottish Six” is John Nicolson, the party’s Westminster spokesman for culture, media and sport. A former BBC presenter himself, Nicolson has tried to frame the debate as a practical one. 

“Look at the running order this week,” he told the Today programme:

“You’ll see that the BBC network six o’clock news repeatedly runs leading on an English transport story, an English health story, an English education story. 

“That’s right and proper because of the majority of audience in the UK are English, so absolutely reasonable that English people should want to see and hear English news, but equally reasonable that Scottish people should not want to listen to English news.”

The SNP’s opponents think they spy fake nationalist outrage. The Scottish Conservatives shadow culture secretary Jackson Carlaw declared: “Only they, with their inherent and serial grievance agenda, could find fault with this.” 

The critics have a point. The BBC has become a favourite punch bag for cybernats. It has been accused of everything from doctored editing during the independence referendum to shrinking Scotland on the weather map

Meanwhile, the SNP’s claim to want more coverage of Scottish policies seems rather hollow at a time when at least one journalist claims the party is trying to silence him

As for the BBC, it says the main reason for not scrapping News at Six is simply that it is popular in Scotland already. 

But if the SNP is playing it up, there is no doubt that TV schedules can be annoying north of the border. When I was a kid, at a time when #indyref was only a twinkle in Alex Salmond’s eye, one of my main grievances was that children’s TV was all scheduled to match the English holidays. I’ve migrated to London and BBC iPlayer, but I do feel truly sorry for anyone in Glasgow who has lost half an hour to hearing about Southern Railways. 

Then there's the fact that the Scottish government could do with more scrutiny. 

“I’m at odds with most Labour folk on this, as I’ve long been a strong supporter of a Scottish Six,” Duncan Hothershall, who edits the Scottish website Labour Hame. “I think the lack of a Scotland-centred but internationally focused news programme is one of the factors that has allowed SNP ministers to avoid responsibility for failures.”

Still, he’s not about to complain if that scrutiny happens at nine o’clock instead: “I think the news this morning of a new evening channel with a one hour news programme exactly as the Scottish Six was envisaged is enormously good news.”

Let the reporting begin. 

Julia Rampen is the editor of The Staggers, The New Statesman's online rolling politics blog. She was previously deputy editor at Mirror Money Online and has worked as a financial journalist for several trade magazines.