COUNCILS across the west of Scotland are in advanced talks about pooling millions of pounds to fund major infrastructure pro-jects such as new airport transport links and turning currently derelict land into hi-tech business parks.
The plans would see the authorities sign up to a scheme imported from south of the Border, where English cities have clawed back tens of millions in tax from the Treasury and developed billion- pound infrastructure funds.
The project is spearheaded by the largest authority in the Clyde Valley region, Glasgow City Council, which claims it will let the area's economy compete with other UK city-regions.
It says Greater Manchester has generated a local contribution of £1.2 billion to a £2bn tran- sport fund, to expand the area's tram network, while Leeds and Sheffield are putting together "City Deals".
Eight deals have been agreed with big English cities. These are expected to expand, and 20 second-tier urban areas are bidding for deals in the next six months.
A report on the scheme says the Glasgow region risks falling behind UK competitors and to stay on an equal footing with English cities it should exploit "opportunities offered by a City Deal to deliver transformational infrastructure investment and generate the resulting local economic benefits".
A definitive list of potential projects which could be funded is still months off but it is understood transport projects will be a priority, including improved links to Glasgow Airport.
Setting up urban regeneration companies, similar to the Clyde Gateway scheme across Glasgow and South Lanarkshire, has also been mentioned.
The deal means cash invested by councils is "earned back" through income tax, corporation tax, VAT, and PAYE contributions.
However, the City Deal will inevitably become part of the constitutional debate ahead of next year's independence referendum, with the scheme named as a benefit of remaining in the UK.
The City Deal process was initiated in 2011 as part of the UK Government's broader devolution agenda, and while the local authorities involved have to make a case to the Scottish Government, it is a scheme run by the Treasury.
Glasgow is already claiming that as local government and city strategies are devolved "the Scottish Government has not given city regions the opportunity to strike similar deals."
It adds: "As a result, there is growing concern Glasgow and the Clyde Valley are at risk of falling behind competitors."
City council leader Gordon Matheson said: "If we are to remain on an equal footing with English cities, then Glasgow and the Clyde Valley have to be allowed to exploit the potential opportunities offered by a City Deal."
He added: "Myself and the other Clyde Valley leaders are determined to act now and ensure we are not left behind"
Jim McCabe, leader of North Lanarkshire Council, said: "Any-thing that can potentially boost infrastructure investment is worth looking at in detail. That's why I believe we should consider becoming involved in this innovative scheme."
The eight Clyde Valley councils – Glasgow City, North Lanarkshire, East Renfrewshire, Renfrewshire, East Dunbartonshire, South Lanarkshire, West Dunbartonshire and Inverclyde – are expected to agree to talks with the Treasury by the end of this week, with more detailed proposals materialising in the autumn.
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