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Government announces devolution deals for Wessex and Thames Valley

Summarised from 5 outlets · 11 reports · Updated 30 Oct, 06:05 · Archive

The Government has committed to devolution deals for Wessex and the Thames Valley, giving local leaders greater control over funding and powers.

The Government has committed to finalising ten devolution agreements announced in the October Budget. Two of these cover regions affecting Wiltshire and surrounding areas: a Wessex deal covering Wiltshire, Somerset, Dorset, and Bournemouth, Christchurch and Poole, and a Thames Valley deal including Swindon, Oxfordshire and Berkshire.

Under the devolution framework, each region will be led by a directly elected mayor supported by a cabinet of council leaders. These authorities will gain new powers over economic development, transport, investment and skills. The Thames Valley deal has previously been estimated to create a £97 billion economy, comparable in scale to Greater Manchester.

Council leaders from the Wessex area have welcomed the announcement as a 'significant vote of confidence' in their region. In a joint statement, they said the move recognises that 'decisions affecting local people are best made closer to the communities they serve'. They believe devolution could enable more tailored decision-making and investment, creating better-paid jobs, improving high streets, expanding training opportunities and strengthening transport links.

The devolution arrangements will involve significant changes to local funding. From April 2028, mayoral strategic authorities will be assigned a proportion of the income tax generated by people living in their areas, though rates and thresholds will continue to be set nationally. This will give authorities greater freedom to invest in priorities including transport, housing, skills and regeneration. From 2027, mayoral authorities will receive a 20 per cent share of locally retained business rates, with the Government's longer-term ambition for local and regional government to retain all business rates income before the end of the decade.

Local authorities have also been given the option to introduce an Overnight Visitor Levy, providing an additional funding tool. The Government says authorities will be rewarded when their economies grow, though safeguards are proposed to prevent richer areas outpacing others.

However, some local MPs have expressed concern about the timeline. Sarah Gibson, Liberal Democrat MP for Chippenham, welcomed measures in the Budget supporting women entrepreneurs, social housing and energy bills, but warned that many devolution benefits may not arrive until 2028. She argued that families struggling with the cost of living, businesses seeking to expand and young people seeking apprenticeships 'cannot afford to wait two years for support'. More than half of homes in Wiltshire currently fall below EPC C standard, and she raised concerns about cuts to the Warm Homes Plan and lack of ambition on home energy efficiency.

In contrast, Brian Mathew, Liberal Democrat MP for Melksham and Devizes, has called the mayoral authority proposal a 'great opportunity' to secure funding for infrastructure, transport and local services that Wiltshire has 'watched other parts of the country secure'. He acknowledged concerns about creating another political role but said the real benefit lies in gaining more direct power and funding currently managed from Westminster.

Government announces devolution deals for Wessex and Thames Valley
Image: Gazette & Herald

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How it is being reported

In this story: John Healey · Sarah Gibson · Brian Mathew · Wiltshire · Somerset · Dorset · Swindon · Wessex

This summary was written by AI from the headlines and standfirsts above, and states as fact only what at least two outlets report. How we use AI · Report a problem · Corrections log