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The New Local Government Network is an independent think tank that seeks to transform public services, revitalise local political leadership and empower local communities.
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June 26, 2008

Chris Leslie, NLGN
The MJ

Just when you thought that the number of new local government acronyms had been contained, along comes the MAA. Despite sharing the family name with LAAs, and appearing as cousin of the CAA, multi area agreements are developing a different gene pool - and they offer the prospect of becoming the first generation to transform the balance of power between central and local government.

Perhaps it is easiest to define MAAs by what they’re not - they are not based on pre-defined national indicators, they are not tied up to a particular reward giant pot of money nor a set timetable, nor are they especially Government led, of even structured according to firm bidding guidelines. So how do we spot one when we see it?

They are cross-boundary council agreements, led by local authorities with a loose federal structure, sometimes with shared officer support, clubbing together as organic alliances on a sub-regional basis. MAAs are emerging as generic and multi-functional groupings, covering a suited of policy issues and buildings on multi-council partnerships of old.

A quaint and subtle dance has emerged between these clusters of councils and Whitehall in recent months, circling closer and closer as we reach the end of the first ’round’ bids of the summer.

Neither central government nor local authorities are entirely sure about what to expect. Ministers have improved ‘brave asks’ from the MAA bidders, and councils have responded with a wide arrange of requests and wishes.

Grant flexibilities have been the top of most MAA lists, including the desire to see even further with long-term financial certainties on capital spend, in particular. With some claiming that MAAs are more ‘capital’ focused and their sister LAAs more ‘revenue’ oriented, transport powers, housing resources and general infrastructure requests have featured highly.

The skills agenda is also prominent, perhaps as a consequence of the parallel DCSF devolution of 14 to 19 skills policy to sub-regional level. Other MAA focus, but there are interesting twists to several others, including requests on public service relocation, or new public institutions to be established for as sub-region.

The 13 of so bids will not all get through in his first round. Around six or seven are expected to be at a stage of development sufficient for the green light. With ministers keen to see MAAs develop as a lead vehicle delivering economic development across the country, theya are eager for business and industry input. MAAs are significant piece of the Sub National Review jigsaw, and the new integrated regional strategies will need to work around MAAs agreed.

Interestingly, the Conservatives, nationally, have signalled that they prefer the organic informality of MAA alliances to rigid regional working. So, if a change of government came along, this MAA process may well be accelerated.

In this new era of unstructured ‘free style’ central-local negotiations, what will be the main challenges? For start, there is a premium on MAA clusters sharing ideas and information, so they can pick up the latest intelligence about what others are asking for and getting.

NLGN has joined with the University of Manchester Institute or Political and Economic Governance (IPEG) and set up a new, ‘MAA Forum’, already bringing together clusters of councils from across the country precisely to share data and brainstorm about where the MAA agenda may take us.

Any successful MAA must develop a robust evidence base to underpin their ‘asks’ and business strategies. MAAs will also need to tiptoe around the thorny issues of governance leadership and accountability at the local level, burying and local enmities in pursuit of a pragmatic advancement of thier local cause.

But perhaps the biggest challenge will be for Whitehall. Whether MAAs are more than a flash-in-the-pan fashion within CLG depends on the extent of inter-departmental by-in across government. Will the Home Office, of DWP, of DfT cede powers to MAA groupings? Local government needs to engage vigorously with the MAA agenda and have the confidence to test the decentralising intent of the Government. If it fails, then the glossary of abbreviations in Whitehall publications be slightly longer. But if it succeeds, MAAs perhaps begin to answer the West Lothian question and see pockets of devolution within England nearing arrangements already achieved by London, Wales and perhaps Scotland.