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Shift power to East Midlands, say council leaders Shift power to East Midlands, say council leaders
(about 4 hours later)
Council leaders in the East Midlands are demanding "far reaching, radical reforms" to devolve powers from Whitehall to the local level.Council leaders in the East Midlands are demanding "far reaching, radical reforms" to devolve powers from Whitehall to the local level.
In a cross-party report, they call for a fundamental transfer of powers.In a cross-party report, they call for a fundamental transfer of powers.
It's their contribution to a growing national debate about English devolution following the outcome of the Scottish referendum result. It's their contribution to a growing national debate about English devolution following the outcome of the Scottish independence referendum.
East Midlands Councils - the umbrella organisation that lobbies for the region's local government - claims its proposals would save money for the taxpayer and deliver services more efficiently and effectively. East Midlands Councils (EMC) - the umbrella organisation that lobbies for the region's local government - claims its proposals would save money for the taxpayer and deliver services more efficiently and effectively.
But its call for more local tax raising will be controversial for some.But its call for more local tax raising will be controversial for some.
"Now is the time for a genuine devolution settlement for councils that includes fiscal responsibility for greater tax raising and spending powers," says the EMC's report: "A Prospectus for Devolution"."Now is the time for a genuine devolution settlement for councils that includes fiscal responsibility for greater tax raising and spending powers," says the EMC's report: "A Prospectus for Devolution".
Jon Collins, chairman of East Midlands Councils and Labour leader of Nottingham City Council said: "This isn't about power for power's sake. Jon Collins, chairman of EMC and Labour leader of Nottingham City Council said: "This isn't about power for power's sake.
"It's about ensuring that those closest to the people have the necessary freedom, flexibility and accountability to plan and deliver local services.""It's about ensuring that those closest to the people have the necessary freedom, flexibility and accountability to plan and deliver local services."
The report doesn't go into too much detail about where local taxes could be raised. But it presses for HM Revenue and Customs (HMRC) to allocate a share of local income taxes for councils to spend against local, and not national priorities.The report doesn't go into too much detail about where local taxes could be raised. But it presses for HM Revenue and Customs (HMRC) to allocate a share of local income taxes for councils to spend against local, and not national priorities.
And that could be big money. According to the House of Commons, income tax receipts from the East Midlands alone were last year worth £8.5bn to the Treasury.And that could be big money. According to the House of Commons, income tax receipts from the East Midlands alone were last year worth £8.5bn to the Treasury.
"It's not about extra money. It's about how we better spend the money that's already committed," Jon Collins told me."It's not about extra money. It's about how we better spend the money that's already committed," Jon Collins told me.
"We are the best place to decide where the local priorities are for particular infrastructure projects."We are the best place to decide where the local priorities are for particular infrastructure projects.
"It's public money collected locally but we end up with ministers at national level second-guessing the decisions that should be taken closer to home."It's public money collected locally but we end up with ministers at national level second-guessing the decisions that should be taken closer to home.
"All that process does is cause delay, bureaucracy and increase the costs.""All that process does is cause delay, bureaucracy and increase the costs."
The report also wants the devolution of the government's Work Programme and the integration of Jobcentre Plus with council services, and all funding "brought into a single pot for local growth, infrastructure, employment and skills."The report also wants the devolution of the government's Work Programme and the integration of Jobcentre Plus with council services, and all funding "brought into a single pot for local growth, infrastructure, employment and skills."
It also suggests devolving the benefits system to local councils.It also suggests devolving the benefits system to local councils.
"By giving councils responsibility for unemployment, housing and earning-related benefits, local government would have significant incentives and opportunities to put in place local-focused arrangements that help people into work," says EMC."By giving councils responsibility for unemployment, housing and earning-related benefits, local government would have significant incentives and opportunities to put in place local-focused arrangements that help people into work," says EMC.
Its report comes hard on the heels of recommendations from the RSA City Growth Commission.Its report comes hard on the heels of recommendations from the RSA City Growth Commission.
It suggested England's main 15 cities would get a significant £79bn economic boost per year once powers are devolved.It suggested England's main 15 cities would get a significant £79bn economic boost per year once powers are devolved.
Mr Collins estimates those greater economic freedoms could create an additional one million jobs and inject more than £200bn into the economy over the next 15 years.Mr Collins estimates those greater economic freedoms could create an additional one million jobs and inject more than £200bn into the economy over the next 15 years.
"That's the equivalent of adding Denmark to UK plc," he said."That's the equivalent of adding Denmark to UK plc," he said.
The East Midlands Councils' Report is timely. On Wednesday, there's a special TV debate in the East Midlands about which powers should be devolved from central government. The East Midlands Councils' Report is timely. On Wednesday, there is a special TV debate in the East Midlands about which powers should be devolved from central government.
More Power for the East Midlands: An East Midlands Today Special is on BBC One from 22:35 GMT, hosted by Anne Davies and myself. You'll be able to join the debate on a special BBC live page and on Twitter using #eastmidswhatnext.More Power for the East Midlands: An East Midlands Today Special is on BBC One from 22:35 GMT, hosted by Anne Davies and myself. You'll be able to join the debate on a special BBC live page and on Twitter using #eastmidswhatnext.
We'll hear from key local decision makers, business leaders and community representatives.We'll hear from key local decision makers, business leaders and community representatives.
There'll be follow-up programmes on local radio stations on Thursday from 11:00. There'll be follow-up programmes on local radio stations on Thursday from 11:00 GMT.