The Future of Devolution Under a New Government – A Manifesto Guide

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Rebecca Riley looks at the Conservative Party and Labour Party proposals for devolution.


Each party’s stance on place and devolution reflects their broader political philosophies, with Labour and the Conservatives focusing on managed devolution within a united framework, while the Liberal Democrats, Greens, SNP, and Plaid Cymru push for more substantial devolved autonomy and constitutional reform. Reform UK doesn’t make any statements in its manifesto on devolution or place. Although there are some similarities, the major UK political parties have outlined their distinct approaches to place and devolution in their 2024 election manifestos as follows:

Conservative Party

The Conservatives propose a devolution deal for any area in England that desires it by 2030. They intend to maintain the current balance of powers between the UK government and devolved administrations and oppose further devolution to the devolved nations. The party also plans to legislate against some of the Welsh Senedd’s decisions, such as 20mph speed zones, indicating a more centralized approach. They plan to deliver 1.6 million well-designed homes in the right places while protecting our countryside, permanently abolish Stamp Duty for homes up to £425,000 for first-time buyers and introduce a new Help to Buy scheme. They too have a focus on the best place to start and grow a business. They will not remove Green Belt protection.

They are focusing on extending and deepening the devolution deals across England. They emphasize their ongoing commitment to the “Levelling Up” agenda, which includes additional funding and powers for metro mayors and combined authorities to drive local economic growth, infrastructure, and public services improvements. They also support the establishment of new devolution agreements where there is local support​.

The Conservatives, under the leadership of Rishi Sunak, have focused on extending and deepening devolution as part of their “Levelling Up” agenda. Michael Gove, the Levelling Up Secretary, has emphasized granting more powers to local leaders, especially in the North of England. Recent measures include control over adult skills provision, local transport funding, and research funding for combined authorities, which are umbrella organizations run by executive mayors. Gove’s commitment to devolution is seen as genuine, with a focus on enhancing local accountability and economic growth across various regions.

The Conservative manifesto highlights a commitment to continue with the current structure of the Department for Science, Innovation and Technology (DSIT). They propose the Advanced Manufacturing Plan, focusing on sectors like automotive, aerospace, life sciences, and clean energy. The Conservatives emphasize supporting larger businesses through substantial investments in these key areas, including a dedicated budget for R&D within the defence sector. They also reaffirm their support for the catapult networks, which foster collaboration between businesses and research institutions to drive innovation​.

Labour Party

Labour’s manifesto aims to enhance devolution across England, focussing on structures already in place and encouraging local authorities to assume new powers over transport, adult education, housing, planning, and employment support. Devolution includes a pledge to empower local communities through increased local authority funding and multiyear settlements and end competitive processes, alongside the transfer of significant powers from Westminster to regional governments. Labour also aims to strengthen local governments by enhancing their financial autonomy and capacity to deliver services​​​​.

They will also review current business rates, with a focus on Britain as the best place to start and grow a business. They will introduce golden rules to ensure development and house building ensures benefits to communities and nature. Introduction of Statutory Growth Plans designed with employers, universities, colleges, and industry bodies, will need to align with a national industrial strategy.

They plan to review Combined Authorities’ governance and deepen devolution settlements, as well as create a Council of the Nations and Regions to improve coordination between different government levels.

Keir Starmer has proposed setting up a UK-wide constitutional commission aimed at redistributing power, wealth, and opportunity more equitably. This commission, advised by former Prime Minister Gordon Brown, will focus on delivering substantial economic and political devolution to the most local levels. Starmer advocates for a devolution model that involves extensive consultation with local communities and leaders, including Labour mayors and council leaders, to ensure that diverse voices are heard. Despite this, details on the commission’s operation and the specifics of Labour’s devolution policy remain somewhat unclear.

Labour’s manifesto focuses on a more sector-specific approach to innovation funding. They plan to establish a new Industrial Strategy, overseen by an Industrial Strategy Council, to ensure long-term investment and stability. Labour aims to support small businesses and startups with improved access to funding, likely incorporating R&D tax incentives. Key sectors for Labour include advanced manufacturing, automotive, life sciences, and green energy. They also have a focus on Research Institutions, Professional Services. They also propose the creation of a Regulatory Innovation Office (RIO) to ensure that regulations keep pace with technological advancements​.

Devolution – Mayors, the next big thing…

Both major parties support devolution. It would seem the Conservative Party will largely carry on with its current planned activity, whereas Labour, as any new government would, plans to review what is currently happening and how it can be improved. For both, Mayors are a significant part of the plan. This means under a Labour Government the term ‘levelling up’ may be consigned to the jingoism of past governments; although the phrase may disappear the ethos is likely to remain. What has worked in the past is major structural change and redistribution of investment in skills, infrastructure, research and innovation. This is not a North-South divide issue, it’s an issue of community-level access to resources, assets and opportunities, getting this challenge right is a call to action for any new government to address.


This blog was written by Rebecca Riley, Associate Professor for Enterprise, Engagement and Impact and Co-Director of City-REDI / WMREDI, University of Birmingham.

Disclaimer:
The views expressed in this analysis post are those of the author and not necessarily those of City-REDI or the University of Birmingham.

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