I am glad that the right hon. Gentleman welcomes the fact that we have given authorities the power to do what they like, to brand their names, and to use them as they wish. I am sure that they will do so very successfully. I also noted what he said about what he thinks will be the future development of the process and the establishment of a non-elected mayor for the entire area. That touches on a point that he made about this being a first step for local authorities. I am happy to state clearly from the Dispatch Box that I agree that local government is evolving and changing, as it always does over time. That is one of the strengths and beauties of the way in which local government in our country works. I have no doubt that it will evolve and change further in many other ways, and the right hon. Gentleman has described one potential change in his own area.
The hon. Member for Southport (John Pugh) mentioned seaside towns, and I share the experience that he described. He was right to point out that such towns felt left behind in the past, which is one of the reasons for the coalition Government’s introduction of the coastal communities fund. I was delighted to announce the round 2 funding a couple of weeks ago, along with the opening of round 3, which will make much more money available to help seaside towns with their economic regeneration. New criteria will make it easier for them to grow their economic futures while protecting their coastlines from erosion.
The hon. Gentleman also raised an issue related to governance. I will give him more details in writing, but I can tell him that each constituent council will appoint at least one of its elected members to be a member of the combined authority. As I said earlier, we intend them also to have non-voting members and members representing minority parties.
The hon. Gentleman also mentioned the potential for dominance by the big players. The orders have specified the voting arrangements based on the scheme developed by the councils concerned and each member does have one vote and no member has a casting vote. That is why it is important that the scrutiny is run efficiently and effectively.
The hon. Gentleman also touched on West Lancashire. In response to the Government’s consultation, West Lancashire stated its support for the combined authority because of the expected improvements in transport and economic growth.
The right hon. Member for Wentworth and Dearne, in asking about VAT, also mentioned the powers to borrow. The combined authorities’ borrowing powers are limited to their transport function. They will inherit the levy-raising power of the integrated transport authority, hence the revenue-raising power exists only in relation to transport. The right hon. Gentleman also commented on my opening remarks.