South Yorkshire could lose out on millions of pounds of transport cash from the Government due to the ongoing deadlock on devolution.
It's understood the region could be entitled to around £120 million from the Transforming Cities Fund - a slice of £1.7bn from the Department for Transport to improve road, rail, air and cycling provision.
Some £840m has already been automatically assigned to the six devolved regions with elected mayors. West Midlands is set to receive £250m, Greater Manchester £243m, Liverpool £134m, West of England £80m, Cambridge and Peterborough, £74m and Tees Valley, £59m.
Despite the Sheffield City Region electing Dan Jarvis as mayor, the area is not guaranteed to be offered any cash due to the devolution deadlock and will have to make their case through a bidding process.
An elected mayor with the backing of all four council leaders needed to be in place by November 2017. Due to the ongoing stand-off between the four councils, the election was delayed until May 2018.
All four South Yorkshire council leaders signed a devolution agreement back in 2015 but two years later, Barnsley and Doncaster pulled out of the deal and showed support for a 'One Yorkshire' arrangement which currently isn't on offer from the Government.
Since being elected as Sheffield City Region mayor, Dan Jarvis has being trying to broker a deal between the two camps in order to get the deal signed which brings devolved powers and £900 million worth of Government cash over 30 years.
Mr Jarvis has stated he wants to work towards a wider Yorkshire deal by 2020.
Sheffield City Region officials, headed by Mr Jarvis, are now preparing a bid to submit to Government by June 8.
Up to 10 English city regions will then be selected to work with the Department for Transport to develop transport proposals for the respected area.
The fund will support new local transport links, particularly for those 'struggling to travel between city centres and suburban areas', said Transport Secretary Chris Grayling back in March.
Proposals will be accepted from transport authorities outside London who represent a city region with a workday population of around 200,000 or more people.
Mayor Dan Jarvis said: “Good quality transport links are vital to local residents and businesses, so it is important that the Sheffield City Region receives a fair share of the Transforming Cities Fund.
“We are putting forward a strong bid to the Department for Transport and I will be championing our case with Government Ministers.”