Oxfordshire County Council blocks devolution deal for Thames Valley
Deal would have brought investment and a potential Mayor to the region
Oxfordshire County Council has blocked a devolution deal that sought to bring billions of pounds in investment to the Thames Valley region, drawing disappointment from Oxford City Council.
For more than 18 months, councils across Berkshire, Oxfordshire, and Swindon collaborated on a proposal for a Strategic Authority, aiming to unite councils under a region-wide structure.
The proposed Foundation Strategic Authority would have been the initial step towards establishing a directly elected Mayor of the Thames Valley.
This role, akin to those in London, Greater Manchester, and the West Midlands, promised enhanced powers and funding, potentially boosting a Thames Valley economy already valued at £97bn.
However, plans were halted when the Leader of Oxfordshire County Council vetoed the proposal at a meeting on 17th June.
Next week, Oxford City Council's Cabinet will come together to discuss the veto's implications on the region's economy.
Had the Strategic Authority been established, it could have unlocked significant benefits such as devolved powers over transport and adult skills, alongside better coordination of infrastructure and housing delivery.
The Government has assured regions with Strategic Authorities improved access to national funding.
London and Manchester's Mayors have successfully leveraged these powers to enhance public transport and attract government and international investments for economic growth.
On 24th March, Leaders from Oxfordshire County Council and Slough Borough Council, representing Berkshire councils, expressed interest in developing a Foundation Strategy Authority for the Thames Valley.
The Devolution Minister endorsed this proposal and highlighted potential benefits in a letter to regional councils on 16th June.
Nonetheless, the following day, Oxfordshire County Council's new Leader vetoed the move.
Importantly, the Government cannot unilaterally impose a Strategic Authority on any region.
The proposed Thames Valley Strategic Authority aimed to unite nearly two million residents across Berkshire, Oxfordshire, and Swindon, enhancing pivotal innovation hubs, universities, and business clusters along the M4 and M40 corridors.
The Thames Valley region boasts an economy valued at £97bn in gross value added (GVA), trailing only London and Greater Manchester within the UK.
Earlier submissions to the Government suggested a unified governance structure could unlock billions in incremental economic growth by 2040.
Paul Britton, CEO of Thames Valley Chamber of Commerce, voiced concerns to the Reading Chronicle, warning the Thames Valley risks falling behind.
He urged civic leaders to resume discussions swiftly, stressing the business community's expectations for resolution.
Councillor Susan Brown, Leader of Oxford City Council, expressed her disappointment with the decision:
“People across the region are crying out for change – for secure jobs, affordable homes, and better public transport – and this deal would have been an important step in helping to achieve that.
“I am very disappointed in Oxfordshire County Council’s decision. I want to acknowledge and thank the many organisations and leaders – across both the public and private sectors – who contributed their time, expertise, and support to develop this proposal and to reassure them that Oxford City Council will continue to work towards achieving devolution of powers and finances to our local area.
“We remain fully committed to working with partners across the Thames Valley to secure the best possible outcomes for our city and the region. With changes in national leadership and local government in Oxfordshire, we hope we can revisit the conversation again soon.”