In a move that heralds a new era of local governance, the North East of England has secured a ground breaking devolution deal with the UK government. This agreement, which symbolises a significant shift of power and resources from Westminster to the North East, positions the region at the forefront of UK’s regional development and highlights its substantial involvement in The UK’s Real Estate Investment and Infrastructure Forum (UKREiiF).

The deal entrusts the soon-to-be-elected North East mayor and their cabinet with increased authority over critical areas such as transport, housing, and skill development. Moreover, it allocates more than £100 million in new funding for the region to invest in local priorities, mirroring the influential agreements previously secured by the West Midlands and Greater Manchester.

Chancellor Jeremy Hunt recently announced this landmark agreement during the Spring Budget, building on the momentum of a £1.4 billion investment fund introduced by Secretary of State Michael Gove in January 2023 and a £160 million North East investment zone revealed at the same budget presentation.

Levelling Up Minister Jacob Young expressed enthusiasm about the deal’s potential to bring about transformational change across the North East. He emphasised the devolution’s role in empowering local communities by ensuring that decisions are made by those who know their areas best. “Today the North East takes back control,” Young declared, underlining the region’s newfound autonomy.

The devolution package includes £37 million of flexible funding aimed at the remediation of brownfield sites and the acceleration of regional projects. Notable allocations comprise £25 million for the Crown Works Studios site, £10 million towards a health innovation neighbourhood in Newcastle, and £2 million for initiatives such as the North East Green Superport.

Council leaders across the North East have welcomed the deal as a pivotal moment in the decentralisation of power, enabling the region to focus on community priorities and fostering collaboration for greater regional benefit.

Additionally, the government plans to establish a ‘growth zone’ in the North East, allowing local authorities to retain 100% of business rates growth for the next 25 years. This initiative is part of a broader strategy to offer devolution deals to every part of England that seeks one by 2030, further illustrating the government’s commitment to levelling up across the country.

As the North East prepares to leverage this devolution deal, its significant presence at UKREiiF underscores the region’s ambition and readiness to attract investment and drive infrastructure development, setting a benchmark for regional empowerment and growth in the UK.