Magazine article Public Finance

LGA Argues the Need for Economic Devolution

Magazine article Public Finance

LGA Argues the Need for Economic Devolution

Article excerpt

A million new jobs could be created if Whitehall would only loosen its grip on town halls and allow them to take charge of their local economic prosperity.

That was the message of Prosperous communities, a report released by the Local Government Association this week, which urged ministers to follow the example of European Union and US cities and regions, and build in decision-making structures at the sub-regional level.

It noted that London is the only English city to be represented in Europe's 30 wealthiest urban centres and warned that, unless a radical review of key powers takes place, regional competitiveness will continue to decline.

The report set out 34 recommendations that would give councils powers over transport, housing, skills and planning. It also found that the output per worker could rise by more than 10% in six regions, netting around an extra £2,000 per year from each worker. …

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