Unveiled: Three 'Growth Zones' to bring £1.7 billion into the region
The West Midlands is to get three new 'Growth Zones' which will generate £1.7 billion for regeneration, create 60,000 jobs and deliver 4,500 new homes, it was announced today.
The zones, which include areas of Dudley, Walsall and Sandwell, will give the local authority the power to retain 100 per cent of business rates collected over the next 25 years, and ringfence them for investment into regeneration projects.
It is the first scheme of its kind in the country.
Announcing the programme in Brierley Hill High Street, West Midlands Mayor Andy Street said the scheme was unprecedented and would be a 'game changer' for the region.
The scheme forms part of the Deeper Devolved Deal, agreed between the West Midlands Combined Authority and the Government.
The Dudley and Sandwell zone takes in Brierley Hill, Pensnett and Dudley town centre, extending over the boundary into Tipton.
The Walsall zone will cover a corridor from Iron Park at Moxley, up to Junction 10 of the M6, where it meets the Black Country Route.
A third zone will straddle east Birmingham and northern Solihull.
Mr Street said the deal was a vote of confidence in the region, and expected to see tangible benefits to the areas included within 12 months.
"We're now starting to see the promised new powers and funding flow," he said.
"Today's unveiling of Growth Zones will supercharge our ability to drive forward regeneration right across our region in the places that need it most.
"By securing this new approach, where local authorities will be provided with greater financial certainty and control thanks to long-term business rates retention, we can work together to revitalise local neighbourhoods and improve the lives of residents in the months and years ahead."
He said the money could be used to incentivise the owners of run-down properties to bring them back into use.
Mr Street said they would complement the Investment Zone, announced in the Chancellor's autumn statement, which will see millions of pounds pumped into sites in Wolverhampton, Birmingham, Coventry and Warwick.
The sites were drawn up to take advantage of major transport corridors, including the forthcoming tram extension and improvements to Junction 10 of the M6.
Mike Wood, MP for Dudley South, said: "This is a really exciting opportunity for Brierley Hill.
"We have seen all of the investment that is going into the town, and this means there will be more on the way.
"The beauty of this Growth Zone is it will be used to invest in long-term projects."
Councillor Patrick Harley, leader of Dudley Council, said the scheme had the potential to bring in millions of pounds.
"On top of that, thanks to the devolution deal, as civic leaders we will have a greater say on where that crucial extra income should be spent locally."
