The report shows that only eight of the 24 original LEPs have had their boards recognised by government, only two have produced a long-term strategic plan and five do not have a dedicated website.
LEPs are the Government's flagship policy for delivering economic growth and decentralisation, but the report says that the Government needs to empower LEPs to drive growth and local authorities must set aside politics for the wider good.
CfC argues that if the Government acts now to empower LEPs and provides the necessary resources, powers and freedoms, they could still be primary drivers of the Government's growth agenda.
The report also advises that local authorities must overcome local politics and work in partnership for the benefit of the wider area. LEPs have huge boards and advisory teams, which could add a level of bureaucracy and slow the process, the report found.
The level and detail of publicly available information on each LEP was found to be variable. If LEPs are to be the ‘go-to’ organisations on local skills, investment and growth it is important that information on their intentions and strategies is publicly and easily accessible, the report said.
Of the 24 original LEPs, five do not have a dedicated website. This lack of basic information raises questions about how they expect to raise their profile and ensure transparency.
Those LEPs that do not have Enterprise Zones risk becoming second-tier organisations and it is recommended that support is given to LEPs that the Government decides are fit for business, rather than supporting all LEPs.
A number of conclusions are drawn and it is recommended that further funding is used to incentivise LEPs to produce a coherent, deliverable strategy in exchange for funding.
In a response to the report, the Department for Business Innovation and Skills (BIS) disagreed with CfC findings. BIS claim that reports on LEPs are misleading due to the difficulties in assessing the local benefits they provide.
"This report is simply not true. LEPs now cover 99 per cent of all businesses in England. They are breathing new life into local economies," said a BIS spokesman, reported by Planning Magazine.
However, Shadow Business Secretary Gordon Marsden disagrees and claims that the BIS team has identified and warned of many of the problems contained in the report.
"We on the BIS team have been arguing for months that this government has failed to give LEPs the tools they need to do the job, with no powers over skills or planning, and the Centre for Cities report bears this out," said Marsden.
"BIS ministers need to act urgently and take on board [these] concerns."
