THE future of a number of regional developments across Chester, Ellesmere Port and the region hangs in the balance, after the government scrapped a regional development agency.
The Northwest Regional Development Agency (NWDA), designed to stimulate growth and help firms, was axed in Chancellor George Osborne’s emergency budget announcement last Tuesday and is set to be replaced by a ‘local enterprise partnership’.
Cheshire West and Chester Cllr Herbert Manley, executive member for regeneration, said the announcement came as a ‘surprise’.
He told the Leader: “We will be seeking urgent clarification with regard to the status of the NWDA grants already committed. Until we know more about the powers and functions of the proposed local economic partnership, it is impossible to give a considered opinion on the decision to replace the NWDA.
“However, West Cheshire and its residents will continue to have a strong voice in regional affairs through its membership of Cheshire and Warrington Enterprise Commission - the former Cheshire and Warrington Economic Alliance.”
The £225 million Chester Zoo Natural Vision Project, which had help from NWDA, will remain ‘on track’, according to zoo bosses.
Prof Gordon McGregor Reid, director general of Chester Zoo, said: “The Natural Vision project will not just create a centre for conservation excellence but will also provide jobs and an economic boost, both for the region and nationally.
“As there will be no clear indication as to the remit of local enterprise partnerships and as the development agency will remain in place until 2012, our close working relationship with the NWDA will continue as normal.
“The NWDA has always been extremely supportive of the zoo for which I would like to thank them.”
Further information about what will happen to the NWDA will emerge when the government publishes a white paper on the subject in the summer.
Since the government came to power, the NWDA has received strong support from North West business groups and local authorities seeking to retain an economic body at a regional level.
NWDA said its priority is now to work closely with the Government to make sure that the region gets all the resources it needs to come out of the recession in a strong position and to shape the future of economic development in the region.
In an online national statement, a spokesman from NWDA, said: “It is clear that funding available for economic development work will be more limited in coming years given the need to tackle the public deficit.
“We will do our best to minimise adverse impacts where we can, working with partners who have until now looked to us for investment support and know-how.”
Cllr Manley added: “I would like to stress that we remain absolutely committed to the renaissance of Chester City Centre and that we are not entirely dependant on funds from the NWDA.
“Hopefully, the publication of the Public Bodies’ Bill later this year, will clarify this situation.”