Derbyshire, Nottinghamshire and the key cities surrounding them will be forming a Combined Authority – set to be given new devolved powers and a £1.14bn investment boost to be utilised over a thirty year period.

The funding will be utilised to upgrade regional infrastructure, improve housing and drive skills and employment.

The two counties and the city councils of Nottingham and Derby will create the East Midlands Combined County Authority – with the Department for Levelling Up, Housing and Communities (DLUP) praising the countries first ever mayoral combined country authority. It’s the latest in a strike of deals struck across the country.

More details will emerge later in the year – with a Mayor similar to the likes of Mayor Andy Burnham, Mayor Andy Street and Mayor Tracy Brabin set to be announced in 2024.

The £1.14bn over 30 years, or £38m per year, amounts to £516 per head for the 2.207m residents living within in the combined authority area.

Levelling up secretary Greg Clark said: “The East Midlands is renowned for its economic dynamism and it has the potential to lead Britain’s economy of the future. For a long time I have believed that the East Midlands should have the powers and devolved budgets that other areas in Britain have been benefiting from and I am thrilled to be able to bring that about in Derby, Derbyshire, Nottingham and Nottinghamshire.”

He added: “I am impressed by the way councils in the region have come together to agree the first deal of this kind in the country, which will benefit residents in all of the great cities, towns and villages across the area of Derbyshire and Nottinghamshire.”

In a joint statement, Mansfield MP and Nottinghamshire CC leader Ben Bradley (Con), Derbyshire CC leader Barry Lewis (Con), Chris Poulter (Con), leader of Derby City Council, and David Mellen (Lab), leader of Nottingham City Council, said: “It’s fantastic news.

“We want to make the most of every penny so this can be used to make a real difference to people’s lives. We have all fought for a fairer share for our cities and counties, and a bigger voice for our area, to give us the clout and the influence we deserve, and to help us live up to our full potential.

“We haven’t always had the same level of funding or influence as other areas, which has held us back. This is a golden opportunity to change that and put the power to do so in our own hands.

“There is a lot still to be agreed, and this is the beginning of the journey, not the end. We’re determined to build on this deal over time, as other areas have done.”