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Council chiefs look to lobby Cabinet for funding powers

Council chiefs look to lobby Cabinet for funding powers

Civic leaders in Aberdeen plan to use the UK Cabinet’s historic visit next week to press their case for a “City Deal” to unlock major new investment.

Local authority leader Barney Crockett told the Press and Journal last night that the city council hoped to lobby coalition ministers for the special status when they arrive on Monday.

Members of the Labour-led administration believe a City Deal could have a “game-changing” impact, paving the way for about £100million of improvements, including new housing, regeneration work and a replacement conference centre.

The status, already agreed for the eight biggest English cities outside London, gives local decision-makers extra levers to boost growth, such as generous borrowing powers.

The UK Cabinet is due to hold its first-ever meeting in Aberdeen on Monday, while Scottish ministers are expected to meet a few miles away at Portlethen on the same day. Coalition ministers will use the trip to the north-east to make a series of announcements.

The Press and Journal understands that Transport Secretary Patrick McLoughlin will make a public statement about the future of the East Coast Main Line rail service while in the city.

He has previously been urged to guarantee that moves to re-privatise the route to London would not affect the Aberdeen to Edinburgh section.

Energy Secretary Ed Davey is also expected to formally approve Sir Ian Wood’s recommendations for the future of North Sea oil, as well as signing-off the next stage of the proposed carbon capture and storage scheme at Peterhead.

David Cameron and Nick Clegg will make ministerial visits while in Aberdeen, while Education Secretary Michael Gove is thought likely to speak publicly while returning to his home city.

Mr Crockett said: “I think the key thing is to get the message through about the importance of Aberdeen to the UK economy, and to get the UK Government to respond to the infrastructure needs of the city.

“I think it’s a very positive step that the Cabinet is coming to Aberdeen. I think it’s a very important day for Aberdeen to get the kind of recognition we need.”

Sir Malcolm Bruce, Gordon MP and deputy leader of the Liberal Democrats, highlighted the opportunities, including building a stronger relationship between the council, Holyrood and Westminster.

“I think the visit will demonstrate that the UK Government is very strongly engaged with the north-east,” he said.

“It will be an opportunity for them to see first-hand what the infrastructure issues are and what they can do to help.”

Kevin Stewart, SNP MSP for Aberdeen Central, said: “Westminster governments have never recognised that Aberdeen and the north-east is an economic powerhouse. Billions of pounds have flowed to the Treasury, but we have received little in return.

“Mr Cameron and his colleagues should give due recognition to our area by announcing that they will invest in areas such as our rail and digital networks and should fully commit the resources required to ensure that the north-east is at the forefront of technologies such as carbon capture and storage.”