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By George, I will give you extra powers – Chancellor

George Osborne has confirmed the Black Country and Birmingham will be the 'next big place' to be handed new powers over transport and skills as it works to compete with a 'northern powerhouse' being set up in Greater Manchester.

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The Chancellor confirmed on a visit to Red House Glass Cone in Wordsley that the deal would see decisions being made locally.

He piped cream onto a Victoria sponge that urged voters to back the Conservatives before trying his hand at shaping hot glass.

Conservative Party grandee Lord Heseltine suggested it had been agreed by the Government to make the change and the Chancellor has backed the plan.

The move, which has already been made in Greater Manchester, would likely mean councils in the Black Country being given greater freedom over business rates, transport, planning and public health services, possibly via the West Midlands Combined Authority.

The authority means Birmingham, Wolverhampton, Sandwell, Walsall and Dudley councils joining forces on matters that go beyond their individual borders.

Mr Osborne said: "I think it's perfectly possible to have a really big, active devolution here in the West Midlands. You have authorities willing to work together and a real appetite for decisions to be made locally on transport and the skills budget.

"Birmingham and the Black Country is the next big place in the country where we can trust people to make the decisions.

"This is part of the plan to rebalance the economy, not putting all our bets as the last Labour government did on the city of London."

He also claimed that the economic revival was at 'risk' if Labour won power on May 7. But he praised the Black Country for performing far better than average in economic growth.

"There's a real sense there's nothing we can't make here in the Black Country."

"You have a whole range of great businesses from the Jaguar Land Rovers to the small manufacturing businesses that are the backbone of the economy," Mr Osborne said.

"I remember coming here five years ago and it was a really desperate situation with people unemployed, real questions about Britain's ability to pay its way and a sense the West Midlands had been left behind.

"Five years later I don't for a second claim that the job is finished. But people are working, businesses are expanding, big transport improvements are following. People are much more optimistic. We have to stick with the plan."

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