Deciphering Labour’s Devolution Plans: what could be in store for local economies?

During this week's Labour Party conference, Keir Starmer is promising a significant expansion of devolution for England's towns and cities.

always possible doesn't endorse any political parties, but we do get curious when there are clear announcements on how economic ecosystems might be improved.

What do these latest proposals mean for regional business networks and local economies?

?At the heart of this promise is the idea of returning power to local communities. It's a rallying cry against the "hoarders in Westminster" and a bid to spread the potential of our economy more evenly. And for businesses, this could be seen as a potential windfall of opportunities.

1. More autonomy for local economiesStarmer's plan aims to give towns and cities the tools they need to craft their own long-term growth plans. This means local leaders could request more powers and, if they show a strong record on managing public funds, they'll likely get them. For regional businesses, this could herald a new era of tailored economic policies and incentives that directly address local challenges and opportunities.?
2. Housing and infrastructureOne of the more immediate impacts of this devolution would be the increased control councils and combined authorities would have over housing and planning. They'd get Whitehall department-style funding for housing investments, allowing them to focus on local priorities like affordable housing and brownfield remediation. This might translate to business opportunities in the construction, real estate, and infrastructure sectors - but also for enabling more local workforces again, with incentives for people to live closer to work opportunities.?
3. Transport revampA potentially game-changing proposal is to let local authorities run their own bus services, reversing nearly four decades of privatisation. This could lead to more integrated local transport systems, potentially boosting local commerce and easing commuting challenges for workers.?
4. Energy initiativesUnder the banner of GB Energy, a publicly owned clean energy company, Starmer proposes about 20,000 community energy projects. This could mean cheaper bills for residents and new business opportunities in the renewable energy sector. The green growth revolution is here, but it is slow. Is this a way to accelerate investment??
5. Focus on education and skillsAnother pivotal aspect is the empowerment of metro mayors and combined authorities with control over adult education. This could reshape further education, with a focus on 'technical excellence colleges' tailored to provide specific local skills. Businesses could directly invest in these colleges, ensuring that courses are designed to meet their needs.?
6. Collaboration with universitiesUniversities are also expected to play a role in enhancing local skills improvement plans. This collaboration can ensure that the skills taught are in line with the needs of local employers, making for a more dynamic and responsive workforce.

With greater local autonomy comes the potential for regional business networks to have a louder voice in local governance. Towns and cities could develop their own long-term growth plans, tailored to their unique challenges and opportunities.

This could mean more focused initiatives, attracting investment, nurturing startups, or even fostering collaborations between businesses and local institutions.

What do you think about increased devolution in your area? Tell me about your plans, or if you need help navigating it all >> my online diary