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The partners in the bid for devolution for Sussex and
Surrey have written to Sajid Javid, the new Secretary of State for Communities
and Local Government, to press their case.
The letter follows a successful leaders meeting in July and is signed by the
leaders or chairs of 31 partners in the bid. They argue that, with the right
devolution deal, every £1 invested in the 3SC area could return £9 through
economic growth, greater productivity and transformed public services. The
joint letter also emphasises the benefits to residents and businesses that
extra prosperity would bring in the form of more jobs, more homes and better
transport and communications networks.
The leaders have also stressed that the area’s current economic power cannot be
taken for granted and is already being hampered by creaking infrastructure.
This investment gap could be met both by directing some of the local proceeds
of growth into a devolved region and with an annual contribution from central
government, suggested at £116 million.
The partners in the 3SC bid include all 26 district, borough and county
councils in Sussex and Surrey, the South Downs National Park Authority, the
East Sussex Fire and Rescue Authority and the region’s three local enterprise
partnerships.
The full text of the letter appears below. Discussions with the government
continue.
You can also keep in touch
with developments through the 3SC website.
The Rt Hon Sajid Javid MP 22nd July 2016
Secretary of State for Communities & Local Government
2 Marsham Street
LONDON
SW1P 4DF
Dear Secretary of State
Many congratulations on your appointment as Secretary of State for
Communities and Local Government.
Collectively, we represent the 26 local authorities in Surrey, East and West
Sussex. Together with our three Local Enterprise Partnerships; one Combined
Fire Authority and the South Downs National Park Authority, we have been
working with the Department for Communities and Local Government and HM
Treasury to develop a 3 Southern Counties (3SC) devolution deal.
The combined GVA of Sussex and Surrey is over £74 billion a year, which is
bigger than both the whole of Wales (£52 billion) and the Greater Manchester
Combined Authority (£56 billion). We know that with the right investment there
is enormous potential to further increase the contribution that our area makes to
the national economy; in fact, we believe that every £1 invested in 3SC could
return £9 into the economy with the right devolution deal. At the heart of our
devolution offer is a commitment to work with Government to deliver strong and
sustainable economic growth, to enhance productivity, and to transform public
services.
However, it is absolutely vital that we are able to make the necessary
improvements to our infrastructure to facilitate such growth. We must be able to
ensure appropriate support for planned housing growth and our businesses, and
even more crucially there is a pressing need to address a historic underinvestment,
which has resulted in significant transport failures across our road
rail and digital networks. It is not overly dramatic to say that the latent potential
of this economic powerhouse is being significantly fettered by our poor
infrastructure.
We have commissioned studies to assess the infrastructure requirements of our
area and developed a model for assessing the financial implications which has
been discussed in detail with officials in your Department and Treasury. The
modelling illustrates that a financial contribution from Government of £116
million for each of the next 30 years, alongside a substantial local contribution
from the proceeds of growth, would allow us to finance the investment in
infrastructure that is needed to address the demands of growth.
Investment at this level would support planned growth which would, over the
period to 2030, deliver over 120,000 new homes and 142,000 new jobs and as a
result, would generate a major fiscal dividend for Government, which by 2030
would be more than £1.1 billion a year. With the economy potentially facing
fresh challenges following the results of the Referendum in June, investing just
10% of that dividend in the 3 Southern Counties, as an area with a proven
ability to deliver, presents the clear opportunity at a time when we need a safe,
secure and proven investment geography.
We understand and are committed to the requirement for democratic
accountability, and firmly believe we can deliver this devolution deal with
appropriate governance and leadership.
We believe our proposals have the potential to provide a leading edge example
of central and local government working together to support sustainable
economic growth in a way not seen to date.
We thank you for taking the time to consider our letter, and we look forward to
discussing our proposal further with your officials.
Yours sincerely
 
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