Community, Public Policy
August 01 2000
by Mike TuffreyWhen Tony Blair looked to the USA for a new model of city government, he sought two effects from directly elected mayors. The first was the ability to get things done - a powerful mayor, working closely with business leaders, knocking heads together. In London established agencies are already realigning to the new power structures. A key test going forward will be whether the chambers of commerce can come together and integrate with the new Small Business Service by next April.
The second effect, reinforcing the first, was to weaken the dead hand of the old party bosses. Given the muddle Labour made of it in London, it is hard to see the party in the other big cities embracing the model. That's a pity because in many ways Birmingham, Liverpool, Manchester, Leeds and Newcastle are better suited to this approach than London: a smaller tighter group of leading companies, headquartered in the city with a genuine sense of belonging; a regionally focused media; less dominance from central government.
In parallel with these experiments in city government, the regeneration agenda is going through one of its periodic upheavals, with some positive signs. First, more money. Second, recognition that core public services are the main vehicle to fight deprivation (this was the key finding of a cross-cutting review of government intervention in deprived areas, chaired by the Treasury's permanent secretary, Sir Andrew Turnbull). Third, structures at a local level to get companies involved and give them a say both on core services and specific projects. Fourth, some greater freedom for RDAs on implementation, albeit with tighter central direction on strategy.
Against that, the effects of TEC abolition, LSC arrival and small business support changes are still working their way through the system. By this time next year things could look very different, but for the first time in a while the outlook is more positive.