The Prime Minister's ambitious plan to decentralise power and resources from Whitehall is taking its first concrete steps with the launch of No 10 North, a new Northern hub for the government. Andy Burnham begins his day in Manchester, overseeing the National Economic Council and engaging with business leaders as part of an effort to boost regional economies and address long-standing imbalances.
No 10 North, currently housed at Heron House in central Manchester, is intended to serve as a regular base for various ministers, including Lucy Powell and Louise Haigh. Plans are in place for up to 300 civil servants to join them by the end of 2027, marking a significant shift away from London's dominance.
The initiative aims to decentralise strategic decisions concerning devolution and local economic growth, gradually shifting these responsibilities away from the Treasury and the Ministry of Housing, Communities and Local Government. This move aligns with Labour's broader strategy to integrate existing policies and foster closer collaboration between civil servants, regional mayors, local councils, and businesses.
Prime Minister Burnham has stated that for four decades, power and resources have been concentrated in London, leaving many communities feeling neglected. He asserted that the era of Whitehall resisting devolution is definitively over, reflecting Labour's commitment to integrating existing policies.
Criticism from the opposition centres on Prime Minister Burnham's initial policy interventions, including a 20% cut in business rates for pubs, social clubs, and live music venues from April next year. Conservative leader Kemi Badenoch has described these measures as 'too small', urging the Prime Minister to address pressing issues such as high energy costs for businesses and defence funding gaps.
The establishment of No 10 North builds on a trend of successive governments aiming to relocate civil servants outside of London, with targets set to reduce the number of roles in the capital by 12,000. Current figures indicate that 19.6% of civil servants are based in London, a number steadily decreasing over the past four years.