Devolution: ‘Historic’ deal to be signed
AGREEMENT: The boundary between Hull and the East Riding
By Simon Bristow
A “historic” devolution deal putting greater power into the hands of local communities in Hull and the East Riding will be signed today by Levelling Up Minister Jacob Young.
The Department for Levelling Up, Housing and Communities is delivering this landmark deal between Hull City Council and East Riding Council, establishing a Hull and East Yorkshire Mayoral Combined Authority, with a directly elected mayor in place from May 2025 to make local decisions which benefit the area.
The new mayor will have powers to invest in transport, skills and housing, with a mayoral investment fund of £400m devolved funding over the next 30 years to invest in local priorities.
Once the new mayor is elected, subject to eligibility tests, the region will be able to apply for a Level 4 devolution deal. This is the newest and deepest level of devolution, giving local areas “unprecedented” local control over funding of transport, regeneration and skills and the ability to set strategy for rail, energy infrastructure, research and innovation and business support.
The Hull and East Riding Level 3 devolution deal is one of a number of deals the Government has negotiated since setting out its commitment to English devolution in the Levelling Up White Paper.
These deals represent “significant progress” towards achieving that commitment to extend, deepen and simplify devolution across England and make progress on the Government’s Levelling Up White Paper local leadership mission: to ensure that, by 2030, every part of England that wants a devolution deal will have one.
The deals announced in the Chancellor’s Autumn Statement mean that nearly 60 per cent of England’s population are covered by a devolution deal, up from 40 per cent when the Levelling Up White Paper was published last year.
Mr Young, said: “This ground-breaking devolution deal between the Government and Hull and East Yorkshire signifies a pivotal shift toward levelling up the region, giving the area powers and devolved budgets enjoyed by their neighbouring communities.
“By decentralising decisions from Whitehall and entrusting them to local communities, this agreement positions Hull and East Yorkshire to fully unlock its economic potential.
“The region's strengths in manufacturing and health technologies will serve as foundations for future growth and prosperity.”
Key features of the deal for the region include:
Control of a £400m investment fund in total over 30 years (£13.34m per annum) to drive growth and take forward local priorities over the longer term, giving the directly elected leader and local constituent councils more flexibility to decide how best to spend money on key local priorities.
Up to £15m of capital funding in this Spending Review period to support transport, flood and coastal erosion programmes across the area, a brownfield employment programme in Hull, and a coastal regeneration programme in the East Riding.
Up to £5m of capital funding in the current Spending Review period to further support Hull and East Yorkshire’s economic growth priorities, including any further expansion of the Siemens Gamesa offshore wind facility.
Powers to improve local skills to ensure these meet the needs of the local economy. This will include devolution of adult education functions, and the core adult education budget, and input into the Local Skills Improvement Plan.
£4.6m of funding in 24/25 to support the building of new homes on brownfield land across Hull and East Yorkshire, with future commitments subject to the agreement of appropriate funding in the next Spending Review (SR) period.
New powers to improve and better integrate local transport, with a consolidated local transport settlement for the area from the next SR.
A further £2m to help establish the new Hull and East Yorkshire Mayoral Combined Authority.
Powers to drive the regeneration of the area and to build more affordable, more “beautiful” homes, including compulsory purchase powers and the ability to establish Mayoral Development Corporations.
‘SIGNIFICANT MOMENT’: Mike Ross and Anne Handley, who are due to sign a devolution deal for Hull and the East Riding today
Mike Ross, leader of Hull City Council, said: “This is a significant moment for the city as the proposed deal has the potential to be a game-changer for Hull and the East Riding in terms of jobs, investment and growth. Local people could see real, positive change in their lives.
“We are committed to making sure that people in this area are no longer left behind. That means getting this fair deal agreed which will give our city a brighter future.
“Now we have a deal, it is vitally important people have their final say. We are committed to listening to what the residents and others think about this proposed deal, though we believe it is something that will help make a big difference across Hull and all of East Yorkshire.”
Councillor Anne Handley, leader of East Riding Council, said: “I am thrilled to finally put pen to paper on this deal today, marking the next step in our devolution journey.
“I’m so proud of the hard work that has got us to this point, and I’m excited about the positive changes this deal will bring to East Yorkshire.
“With a £400m investment fund and new powers in key areas like transport, housing and adult education, this deal offers us a seat at the top table and the opportunity to truly level up our region.
“Our focus is and always will be what matters to our residents, and I encourage everyone to get involved and take part in the upcoming public consultation. This is our chance to shape the future of East Yorkshire.”
Hull has received £19.5m from the Levelling Up Fund and was announced in the spring as a ‘Levelling Up Partnership’ that will see up to £20m of investment and the collective power of Government working with local stakeholders to identify and address the biggest barriers to levelling up.
In East Yorkshire, Goole is one of the Government’s Town Deal areas and benefitting from £25m of investment, while and Hull and East Yorkshire are collectively benefiting from over £22.5m of UK Shared Prosperity Funding, with East Yorkshire receiving an additional £1.8m through the Rural England Prosperity Fund.
Hull and East Yorkshire is also part of the Humber Freeport with a comprehensive package of measures, including business tax reliefs and customs support, to establish the Humber as a global hub for investment and trade.
Levelling Up Minister Jacob Young is due to sign the deal alongside the leaders of Hull and East Riding councils today.