Devolution of powers may pose headaches for elected mayors

Critical questions over accountability remain unanswered ahead of plans for greater devolution of powers to both cities and regions, warn lawyers.

Tomorrow's (27 May) highly anticipated Queen's speech will include proposals that could see more regional areas having power over housing, transport, planning, and policing, providing they agree to be governed by a directly elected mayor.

Commenting on the plans, Bevan Brittan's head of local government, David Hutton, said: 'The scale of opportunity for English cities and regions is hugely significant. But getting so many different neighbouring local authorities - and the wider public sector - to work together under an elected mayor will require robust governance and structures.

'That will be the first step for many if they are to take advantage of this new landscape. Elected mayors have not so far proved a popular model of government when put directly to the electorate - it will be interesting to see if the prospect of the increased powers they will bring will sweeten the pill for local politicians and citizens.'

Hutton added that the elephant in the room is how to secure the release of powers and budgets, and getting clarity on the issues of accountability and budgeting will be key.

'Whitehall has been reluctant to reduce controls and interference in spite of local government demands: this agenda suggests they will, but what levels of approvals will be required before new ideas can be rolled out and funded?

'Will government be prepared to release budgets and if so, on what terms? New models of accountability and the relationship between central and local government will need to be rewritten.'

However, Hutton added that new mayors may ease such tensions and could provide a single point of responsibility. In addition, he highlighted Manchester as the most likely blueprint for other cities to follow.

The £6bn deal to devolve Greater Manchester's NHS budget was announced in February, giving the region financial control over its health and social care services. The full package of devolution plans is set to be announced in the Queen's Speech.

Bethan Evans, senior partner at the firm, added: 'Manchester's "devo-deal" touches many issues but is everything now on the table? For example, would local government be trusted to take on and deal with the welfare cuts agenda? How will the devolution agenda play out across two-tier rural areas?

'Our work with local government emphasises the opportunity and desire for joined up budgets, multi-year settlements, and a regional approach to major issues on infrastructure, housing and improving the skills and employment opportunities in an area. Welfare could be added to that list.'