Cities can level up the country if given funding and freedom

Latest News Thu, Mar 23, 2023 7:08 AM

Cities can level up the country, grow an economy fit for the future and tackle the climate crisis if they have the right resources and extra powers, urban leaders have said.

In an open letter to Levelling Up, Housing and Communities Secretary Michael Gove, they say the UK remains one of the most centralised countries in the developed world and more must be done to improve local areas’ ability to raise vital funding, increase productivity and improve people’s health and wellbeing.

It comes as the Local Government Association, which represents councils, hosted its second annual Urban Summit in conjunction with Core Cities UK, Key Cities and London Councils, bringing together civic leaders, academics, think tanks and others with an interest in the future of England’s cities.

Mayor Marvin Rees, Chairman of the LGA’s City Regions Board and Chair of Core Cities UK, is a co-signatory of the letter alongside Cllr Georgia Gould, Chair of London Councils and Cllr John Merry, Chair of Key Cities.

In the letter, the leaders say the summit sets out an ambitious offer - that with the right policies, finances and space to deliver, cities can produce better outcomes, not just for urban areas but for the whole country.

It references the work of the Royal Society of Arts (RSA) Urban Commission, co-chaired by RSA Chief Executive Andy Haldane and Mayor Rees, which is exploring how best to unlock our cities’ potential.

The signatories says that “cities have a long and proud history of being at the forefront of economic growth and development in our country” and the white paper rightly states that every area of the UK should have a globally competitive city.

But it warns the RSA’s research thus far confirms the UK’s cities “lag behind their global competitors when it comes to productivity and growth” and highlights the links between income and health disparities.

Cities will also be at the forefront of the innovation and action needed to reach our climate ambitions, the letter states, but this will require decisions in the short-term which will be difficult for leaders to make given constrained budgets and centralised decision-making.

To transform their economies, cities should also be empowered to fairly keep the proceeds of local growth, to reinvest according to local need alongside sustainable, long-term finance for local government.

There also needs to be a shift away from the current system of costly competitive bidding, including for levelling up funding, which instead should be allocated to areas based on robust evidence of need.

By bringing together employment and skills services in urban areas, this could also result in a £420 million boost to the national economy, the letter says.

In conclusion, the signatories say the Urban Summit can be used as a basis to work with government on developing a long-term plan for cities which reflects these recommendations, in order to unlock the full potential of our places for years to come.

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