Leader "bitterly disappointed" at Government decision to scrap devolution deal

More than £600m 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 2023, to bring more powers and funding to the county - including a £20m investment fund for 30 years.

The Government has now informed the council that the current deal has been halted.

County council leader Councillor 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 has agreed with the previous Government proposed investment of more than £600m 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 local people.

It would mean:

• 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 the skills we need and attracting and retaining key businesses
• Opening the door to more - further powers and funding in future

Working with district council colleagues and 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 Kings Lynn and Norwich, funding to unlock major commercial and housing sites in a range of sites including Norwich, South Norfolk, Kings Lynn, Attleborough, Dereham and North Walsham. Together these schemes have the potential to unlock around £750m in investment, more than 1,000 jobs and hundreds of houses.

The full text of the leader's letter to local councillors, MPs, businesses and public sector partners is reproduced here:

Dear colleagues,

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.