Local authorities are set to challenge the Government's plan to impose requirements like private sector chairs and equal private sector representation on the local enterprise partnerships which may be created when regional development agencies are scrapped.
A report to the Local Government Association's Regeneration and Transport Board says LGA chairman Dame Margaret Eaton has written to council leaders recommending them to reject Government prescriptions for the new bodies.
She also proposes LEPs should cover a full range of interlinked issues underpinning the economy like local transport, infrastructure investment, housing, regeneration, business support and skills, employment and training provision.
"In many places, the models for LEPs, and the partnerships with business, already exist, and councils and business will wish to continue with them," Dame Margaret told the leaders.
"In such cases, they will be well-placed to move quickly to take on the role of LEPs. The precise form and geographical coverage of LEPs will vary from place to place."
She said the invitation had the potential to turn the tide away from the centralised quango state of the last 30 years and allow councils control of their areas' economic destinies.
A white paper is expected later this summer and legislation in the autumn.
