Government Confirms funding for Cumbria Combined Authority will be just £11.1 Million a Year

The Leader of Westmorland and Furness Council, has welcomed confirmation from government with the ministerial statement made on Thursday by Steve Reed, Secretary of State for Housing, Communities and Local Government, who confirmed:

The new Cumbria Combined Authority (CCA) will receive as its devolution deal settlement with Government as part of the establishment of the new combined authority and new Cumbria Mayor role, and investment fund of £11.1m per year for 30 years for Cumbria split 50/50 between capital projects and revenue spending. Funding of £5.5m for the pre-election year of 2026/27 has also been confirmed.

The funding is based on a universal 'per head' allocation across six new devolved areas with Cumbria set to receive one of the smallest funding allocations awarded yet by Government in a devolution deal.

Of the six areas on the current government fast track devolution programme each area’s individual yearly Investment Fund allocation, based on their populations, are as follows:

Cheshire and Warrington Combined Authority: £21.7 million per year

Cumbria Combined Authority: £11.1 million per year

Greater Essex Combined County Authority: £41.5 million per year

Hampshire and the Solent Combined County Authority: £44.6 million per year

Norfolk and Suffolk Combined County Authority: £37.4 million per year

Sussex and Brighton Combined County Authority: £38 million per year

Decisions on how and where the money spent will be made locally by the new Cumbria Mayor and the new combined authority one formed and the mayor elected in 2027.

Government will also provide an additional £4m of capacity funding over four years to help establish the new authority for Cumbria.

Cllr Brook, who is also current Chair of the Joint Executive Committee which is overseeing the introduction of CCA, said: "We welcome confirmation of this long-term funding which provides a basis for us to develop initial plans and priorities for the new authority to push forward economic development.

"We also recognise the intention for further funding streams to become accessible to mayoral authorities, thereby enabling decision-making on key areas like skills development and transport to be made here in Cumbria, rather than in London. 

"We are pleased that government acknowledges that local leaders and communities are best placed to identify the issues and initiatives that reflect the interests of people in Cumbria."

The minister's statement read: "Devolution is a critical lever for delivering growth and prosperity for local communities – through bringing local transport back into public control, making people's daily commute easier, tailoring local skills training to local employers' needs, so people can get a good job, and driving regeneration of local areas, so people feel proud of the place they live.

"For too long decisions have been made centrally in Whitehall, away from the places and communities those decisions impact. Mayors and other local leaders are best placed to identify and invest in the projects and infrastructure that reflect the needs of local people and drive growth, but they need long-term funding certainty to harness their region's potential."

In October, both Westmorland and Furness and Cumberland Councils gave their consent to the government's devolution proposals, paving the way for the new Cumbria-wide strategic authority. CCA will have strategic overview of economic development across Cumbria.

It will be established in early 2026, operating for a year without a Mayor before Cumbria's first Mayoral election in May 2027.

 


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