South Yorkshire devolution deal comes into effect after years of delay

The order was signed on Monday, July 27 by the Minister of State for Housing, Communities and Local Government, Simon Clarke MP.

Dan Jarvis, Mayor of the Sheffield City Region, said: “The landmark South Yorkshire Devolution deal has today been signed into law. This is a great day for South Yorkshire because millions of pounds in additional funding and new powers are available to support jobs and businesses, unlock opportunities for our people and deliver better public services.

“Devolution will open up our local knowledge and networks, bring power closer to the people, and help us reshape our economy and society in a way which reflects our values and priorities. I am determined to create a stronger, greener and fairer South Yorkshire and North and this is just the start of our journey.”

The deal, worth £900 million over 30 years, was initially signed in principle by all four South Yorkshire leaders under the then chancellor George Osborne back in 2015.

But both Doncaster and Bansley councils U-turned on the deal and opted to back a Yorkshire-wide arrangement which wasn’t on offer from Government.

The deadlock was broken years later on a compromise which meant both councils could leave to join another deal provided Sheffield and Rotherham kept powers and funding per head.

A public consultation that was carried out in the spring, found that people in South Yorkshire overwhelmingly supported devolution. Almost 90% of 675 respondents said they supported the principle of devolution of further powers from Westminster.

Powers include a mayoral council tax precept in order to fund operations of the city region on top of the £30 million per year which is handed down from Government.

Mayor Jarvis will also be able to have borrowing power in order to get more funds and be able to have a deputy mayor and a political advisor.

Government will introduce a pilot scheme in Sheffield City Region combined authority which will enable the area to retain 100 per cent of any additional business rate growth beyond expected forecasts.

These pilots will begin, subject to further detailed discussions between the combined authority and Government.

Bosses say the mayoral combined authority ‘should have control’ over the consolidated devolved capital transport budget.

There will be full devolution of the adult skills budget which provides training for people over the age of 19 at colleges across the region.

Extra powers on housing are also being sought in order to ‘improve the supply and quality of housing’ to secure the ‘regeneration or development of land or infrastructure’.

The council leaders from Sheffield, Doncaster, Rotherham and Barnsley would form the mayor’s cabinet.

They will perform a ‘supporting and advisory function’ to the Mayor and Combined Authority and where powers reside with the mayor, the SCR Cabinet may ask the mayor to reconsider his strategies and funding plans if two-thirds of the members agree to do so.

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