A “perfect storm” of rising inflation, energy prices and government instability makes the case for devolution across North Yorkshire even stronger, York’s council leader said.

Cllr Keith Aspden said the £540 million on offer as part of the joint York and North Yorkshire devolution deal was one of the few ways the region could access guaranteed funding at a time when the government has warned of spending cuts across the public sector.

He was speaking as a consultation was launched at York’s Guildhall for residents and businesses to have their say on the proposed deal, which requires the region’s 800,000-strong population to elect a mayor to represent the area.

The deal, which will see key decision-making powers and funding for transport, education and jobs devolved down from Whitehall, was provisionally signed by Cllr Aspden and North Yorkshire County Council leader Carl Les in August.

All York’s political parties have voted in favour of the deal, though independent councillor Mark Warters did not do so.

The consultation document does not ask for a simple ‘yes or no’ as to whether people support the deal overall, but Cllr Aspden still urged people to give their views.

He said: “A mayor and a combined authority is the model of devolution that’s on offer from the government – there is no negotiation with that. What we do get to shape locally is what it looks like, how it’s going to work and how residents want to be involved.

“With energy inflation, lack of stability in the government and the real risk of cuts to public services, devolution provides one way to access funding and investment over the next 30 years.

“It really is needed now more than ever, because I don’t think we’ll be getting a lot of other help from the government at the moment.”

York Press: The devolution consultation launch at the GuildhallThe devolution consultation launch at the Guildhall

Cllr Aspden said that wider uncertainty around funding for local government meant that, without extra cash, York and councils across the country would be forced to make big cuts to their budgets, which have been decimated over the past decade.

The most exciting element of the deal was the potential for an extra £50 million in business rates cash for the York Central development, the Liberal Democrat leader added.

Helen Simpson OBE, chair of the York and North Yorkshire Local Enterprise Partnership (LEP), said the cash boost, which works out at £18 million per year for 30 years, was just the start.

“Investment attracts investment,” she said.

“The first deal needs to be as good as you can make it, but then you’re in the room and part of the club. And when they do the next thing that only mayors can be part of – we’re in the room.”

The consultation on the devolution deal runs until Friday, December 16.

The new mayor will be elected in May 2024 if the timetable goes to plan.