My Lords, we had a short but harmonious debate on an equivalent amendment in Committee, which was moved by the noble Lord, Lord Jenkin of Roding, on behalf of himself and the noble Lord, Lord Tope.
In his response to the debate, the noble Lord, Lord Ahmad of Wimbledon, in expressing his agreement with the thrust of the amendment, said:
“I do not think for a moment that we are where we want to be with the city deals. This is an evolving issue”.—[Official Report, 30/1/13; col.1587.]
Of course, things have evolved further to that discussion with an announcement by the Deputy Prime Minister on 19 February of 20 more cities that were offered city deals.
We fully support the proposals of the city deals, but must express some concern that other areas risk losing out. We do not want to see two-speed regional growth with city deal areas motoring ahead and other regional cities or towns left behind. While we welcome the stated intent that the Government wish to move away from a London-centric approach, we do not want to see that replaced with a “some cities”-centric approach. It is essential that we develop a strategy that works for the whole country, rather than just part of it. We understand that the second wave of deals will enter staggered negotiations on devolved powers and funding, with the aim of these being concluded by the end of 2013. Of course, not everything can be accomplished at once, but there are recorded expressions of disquiet from some county council leaders that the impetus for negotiated deals outside urban areas is not strong.
Little in this Bill is actually focused on growth, but the prospects of greater devolution of power and responsibilities to more local leaders who are best placed to understand the economic opportunities and challenges they face is one means of addressing this omission. Adopting this new clause would require the Government to maintain momentum beyond the identified urban areas. It does not prescribe that all local councils must end up with the some deals, but they should all have the opportunity to be engaged. I beg to move.