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Autumn Statement: £1.8bn committed to North, Midlands and London devolution

The government has committed £1.8bn of funding to Local Enterprise Partnership authorities in English regions.

Chancellor Philip Hammond said devolution “remains at the heart” of developing local regions.

LEPs in the North of England will receive £556m; East of England and Midlands LEPs will receive £542m; and £683m was committed to LEPs in the South-west, South-east and London.

The funding will be invested in transport connections, housebuilding, skills and digital connectivity and funding for individual LEPs, which will be announced in the coming months.

Mayoral combined authorities will be given powers to invest in economically productive infrastructure, subject to agreeing a borrowing cap with the Treasury.

The chancellor outlined further devolution plans for the Midlands, the North and London.

A £5m investment was committed to developing the Midlands Rail Hub, a programme of rail upgrades in and around central Birmingham that could provide up to 10 additional trains per hour.

The government will discuss a second devolution deal for West Midlands Combined Authority and a Midlands Engine strategy, which will be published shortly.

A Northern Powerhouse strategy was also published, which examines the key barriers to productivity the region faces.

Options for Northern Powerhouse Rail will also be developed.

Mr Hammond committed £3.15bn for the Greater London Authority’s affordable housing settlement to deliver 90,000 homes by 2020/21.

The devolution agenda for Wales and Scotland was also addressed, with funding announcements and City Deal recommitments in place.

Mr Hammond committed £400m to the Welsh Government and £800m to the Scottish Government for infrastructure spending.

The government said it will consider a growth deal for north Wales and has recommitted to implementing a £1.2bn City Deal for the Cardiff Capital region, agreed in March this year.

The government also recommitted to a City Deal for Swansea Bay City Region.

For Scotland, Mr Hammond outlined plans for every city in the country to have a City Deal.

Deals with Edinburgh and Tay cities were confirmed and negotiations for a Stirling agreement will take place.

What does it mean for construction?

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