Peterborough City Council votes for devolution with Cambridgeshire and new elected mayor

Outside the Council chamber at Peterborough Town Hall on Bridge Street. Photo: Paul Franks/Peterborough Telegraph

Councillors this evening (Thursday, November 17) backed the deal which would introduce a new combined authority made up of a representative from each of the county’s seven councils and the Greater Cambridge Greater Peterborough Local Enterprise Partnership.

The remaining councils are continuing to vote on devolution which will be established if it receives approval from the Secretary of State.

Under devolution, there will be a:

●. A new £600 million fund (£20 million annually for the next 30 years) to support economic growth, development of local infrastructure and jobs

. A new £100 million housing fund to be invested over the next five years to build more homes in Cambridgeshire and Peterborough including affordable, rent and shared ownership

.● A new £70 million fund to be used to build more council rented homes for Cambridge over the next five years because house prices are so high in the city.

Peterborough is also set to get its own university under the deal, although some councillors do not believe this has been guaranteed.

Moreover, there is large opposition to having an elected mayor who would be voted into office from May 2017.

There are also concerns in the city that the city council will lose its sovereignty, and that Cambridge will benefit much more than Peterborough.

Those fears will not have been allayed by the Government changing the terms of the deal a week before the city council was due to vote.

Under the latest proposals, the local transport plan and transport budget would now be taken out of the hands of Peterborough City Council, although the authority would get a veto on any final decision.

Transport grants, which this year total nearly £700,000, would also no longer go directly to councils. Instead, they would go to the combined authority with councils bidding for funds.

At tonight’s meeting, devolution was passed by 33 votes to 18, with the two UKIP councillors abstaining. The Conservatives voted for the deal to go through, with Labour and the two Liberal Democrat members present opposing it.

A Labour motion to adjourn the meeting to consider the late changes made to the devolution deal was defeated, as was an amendment to the deal made by Labour and Co-operative member Ed Murphy.

The amendment had four points, one of which was to recommend to the Government that an elected mayor was not wanted.It was revealed last week that it will cost £1.7 million in the first year to implement devolution, and £6 million over five years.

However, backers of the scheme say that for every £1 spent, £45 will be generated to spend in the county.

Huntingdonshire, Fenland and East Cambridgeshire district councils have already backed the devolution deal.

Cambridgeshire County Council was due to vote on Tuesday but pushed its meeting back a week after the terms of the deal changed.

Council chairman Sebastian Kindersley said: “It is reasonable that members should have time to understand and digest the deal before being able to debate it.

“This delay is a sensible way forward to make sure we have the time to look at the finalised draft order and speak to the Government.”

This story will be updated tomorrow.

Businesses back devolution for Cambridgeshire and Peterborough

Cambridgeshire County Council devolution meeting postponed

UPDATE: Peterborough City Council moves step closer to devolution deal with Cambridgeshire authorities