Can devolution take tech beyond the Golden Triangle?

Growth and devolution were at the centre of Andy Burnham’s latest speech this week. His pitch for ‘good growth’ and ‘place first’ politics puts devolution front and centre of the political agenda, giving renewed energy to the argument that power and resources should move out of Whitehall and towards the people and regions best able to use them.

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That argument is of particular relevance to the tech sector. While the wider UK economy has struggled with stagnation, tech has presented a markedly different picture. This week, the Financial Times reported that ICT output – spanning everything from telecoms companies and software development to video production – has expanded by 43% over the last decade, seven times the rate of overall UK growth and twice the pace of the UK’s next fastest-growing sectors.

Although tech is often associated with the London-Oxford-Cambridge ‘Golden Triangle’, regions elsewhere are increasingly seeking to build their own technology clusters. However, in order to succeed, local economies need the right policies and conditions around housing, skills, infrastructure, transport, investment, and links between universities and businesses. Many of those decisions are shaped locally and regionally, which is why devolution matters for the tech sector.

But devolution is not a new concept, and the landscape is already crowded. Power, responsibility and funding sit across mayors, combined authorities, strategic authorities, local councils, Local Growth Plans, Catapults, investment zones and growth corridors. These structures all have different and often overlapping roles to play. Mayors and strategic authorities increasingly set the economic priorities, while Local Growth Plans and investment pipelines show which sectors and projects a region is prioritising. Funding settlements and investment zones influence where public money can flow. Councils, universities, Catapults, skills bodies and business groups then help turn those priorities into practical reality.

If devolution is truly to become central to economic policy, more of the growth agenda must be shaped locally. For industry, the challenge will not simply be to understand national technology policy, but to navigate a more complex local growth landscape: who to engage with, which regional priorities matter, where skills and infrastructure gaps are emerging, and which funding routes are relevant. Their messaging and engagement strategies will also need to become more place-specific.

Organisations will also need a clearer account of their own contribution. As regions compete to attract ICT investment and build clusters, firms that can demonstrate their role in supporting jobs, skills, productivity and long-term investment will be better placed to engage credibly with local decision-makers.

Devolution is not starting from a blank page, but Burnham’s proposals could significantly increase the importance of local power, funding and delivery.

Photo by Mylo Kaye on Unsplash

At Luther Pendragon, we help organisations navigate complex national, regional and local policy environments with confidence. If you would like to speak to one of the team about how we can help your organisation understand the emerging devolution agenda and engage effectively with decision-makers, please get in touch at: enquiries@luther.co.uk