Should English cities be given more powers?

Chancellor of the Exchequer George Osborne who is expected to declare today that it s time for major cities in England to take control of their own affairs. Photo: Stefan Rousseau/PA Wire

Making his first major speech of the new Parliament, George Osborne will promise 'radical devolution' for cities to allow them to grow their local economies.

The plans under the Cities Devolution Bill will help to implement the so-called northern powerhouse vision Mr Osborne has previously outlined as a way to rebalance the UK economy.

His speech, as reported by the Guardian, will explain that cities will be given power over local transport, housing, planning, policing and public health.

'The old model of trying to run everything in our country from the centre of London is broken,' Mr Osborne is expected to say.

'It's led to an unbalanced economy. It's made people feel remote from the decisions that affect their lives. It's not good for our prosperity or our democracy.'

He will address places outside London: 'I say to these cities: it is time for you to take control of your own affairs.'

In the last budget Mr Osborne announced a deal allowing councils in Greater Manchester, Cheshire East and Cambridge to keep revenues generated from additional business rates as their local economies grow.

He has previously said devolution must go hand-in-hand with the establishment of an elected mayor.

Today he is expected to reiterate that, saying people must have a 'single pointy of accountability'.

Manchester is the first city set to benefit from extra powers, with plans for an elected 'metro mayor' for the whole of the Greater Manchester region.

Describing the new law as a 'bold step', Mr Osborne will say he is open to approaches from other cities wishing to follow the same route.