Swinney vows new powers for Glasgow in devolution deal

He vowed to introduce “enabling legislation” after May’s Holyrood election to allow regional partnerships to secure formal legal status and take on new responsibilities from national agencies.

The SNP leader also rubbished Labour’s plans for directly elected Mayors, but praised a report commissioned by the party on regional economic development.

Mr Swinney’s intervention comes after leaders of the Glasgow City Region published a cross-party proposal calling for a £400 million-a-year devolution deal matching those agreed for Greater Manchester and the West Midlands.

Their plan argues that Glasgow and its surrounding councils should receive a long-term single funding settlement, rather than bidding for multiple, short-term, ring-fenced pots.

They also want powers and budgets currently held by bodies such as Scottish Enterprise, Skills Development Scotland and UK agencies to come to the region.

Mr Swinney told the audience: “We will introduce enabling legislation in the next Parliament to allow regional partnerships to seek legal status, unlock new powers, and design delivery models tailored to local priorities.

“I want our regional partnerships like Glasgow City Region to have the opportunity to expand their strategic capacities and role, with a package of additional devolved competencies available over time. On the table, powers such as skills, economic development, and planning.”

A stronger Glasgow City Region, he added, should have the powers it needs “to support progress on the Clyde Metro and other regional connectivity and to enable infrastructure investments that will accelerate inclusive economic growth and speed up the transition to net zero.”

Mr Swinney also used his speech to make clear his preference for the city-region cabinet model over the Labour-backed idea of an elected Metro Mayor for Glasgow.

“Together, you have built a mature governance structure—a city region cabinet,” he said.

“This model of co-operation, with light-touch but effective governance structures bringing together leaders of the region’s local authorities, is, to my mind, a far better approach than the imposition of so-called Metro Mayors. It is rooted in, and respectful of, our existing local government structures, and it works.”

The First Minister said the recommendations in an independent report by Professor Sir Anton Muscatelli—commissioned by Anas Sarwar—“strongly” reinforced many of the priorities “already shaping this Government’s approach”.

“The need for stronger regional capacity; greater devolution of decision-making; better commercialisation from universities; and a sharper focus on innovation and exports.

“It is also a reminder that cities like Glasgow, with global potential, must be at the forefront of Scotland’s economic transformation.

“And that if we are to realise the ambition of becoming one of the world’s most enterprising small economies, then Glasgow’s success will be absolutely central to that journey.”

Susan Aitken addressing the State of the City Economy conference in Glasgow's Fruitmarket (Image: Glasgow City Council)

Opening the conference, Glasgow City Council leader Susan Aitken said Glasgow City Region was “one of the UK’s biggest collaborative success stories”, but warned that current powers and funding were holding back its potential.

“Our pitch to national governments is clear—release the brakes holding the city region’s potential back, and in return we will unlock the most compelling opportunity in these islands for inclusive economic growth and transformation,” she said.

“To the Chancellor and our colleagues in the UK Government, I say: match the investment already delivered to our English peers.

"And to the Scottish Government, devolve to us powers and resources that currently sit with national agencies. First Minister, together, we can reap rewards for our shared ambitions—economic growth driven by productivity, equity, inclusion, sustainability and community, not trickle-down growth as an end in itself, but economic growth with a plan and a purpose.”

Cllr Aitken said Glasgow was a place of “renewal and reinvention" and said the city was “putting up a pretty good fight” against dire economic headwinds affecting the rest of the country.

She pointed stronger-than-expected retail performance, a buoyant hospitality sector, rising visitor numbers and continued foreign direct investment, with 27 new investments worth more than £350 million and more than 2,800 jobs in the past year alone.

On housing, she said Glasgow had delivered more than 4,500 new affordable homes in the past five years—“more than Liverpool and Manchester combined”—with a further 6,400 planned, alongside work to bring hundreds of empty properties back into use each year.

Cllr Aitken said Glasgow should be seen not as “Scotland’s problem” but as the place where solutions to national challenges are being developed.

“It is in Glasgow where the solutions to Scotland’s challenges are generated, and where the pace for our national, economic, social and cultural progress is set,” she said.

Mr Swinney's announcement was welcomed by local authority umbrella body, Cosla.

Environment and Economy Spokesperson, Cllr Gail Macgregor said: “As we’ve made clear in our Manifesto, councils can make places thrive, investing in public spaces, transport systems and local economies. A place-based approach to policymaking is essential.

"Looking to the future, we are seeking to maximise the benefits that regional economies can realise, and the First Minister’s announcement today is a positive step in that journey.

"I particularly welcome the place-based flexibility and empowerment suggested, and look forward to working with partners to develop these proposals further.”

Scottish Labour MSP Paul Sweeney said “John Swinney must think we all button up the back if he expects us to believe the SNP will start empowering our city after nearly two decades of doing the opposite.

“If the SNP were serious about devolving power and kickstarting regional economic growth in Greater Glasgow, it would have done it already.

“John Swinney’s government has cut local council budgets across Scotland to the bone and hit Glasgow especially hard.

“Years of delays to bus franchising powers have left Greater Glasgow with woeful public transport links while the SNP’s failure to deliver fair business rates has hammered our city centre and local high streets, and it was John Swinney who personally cancelled the rail link to Glasgow Airport.

“John Swinney and the SNP are out of touch, out of ideas and out of time – but Scottish Labour is ready to deliver a new direction for the Glasgow City Region and for communities across Scotland.”