THE coalition Government has made localism one of its key themes and the implications for businesses are beginning to emerge.

The concept is something I’m sure many North-East companies could sign up to. Government policy over many years has been criticised for being too London-centric and not relevant to the needs of regions such as ours.

But the reality of the Localism Bill, which is currently progressing through Parliament, is worrying for businesses and for anyone who hopes to see the North-East develop in the coming years.

That’s not to say there aren’t positive measures. Firms will be guaranteed a vote before any business rate supplements can be charged, and local authorities will have new freedoms to offer discounts on rates.

However, this logic has not been followed on other tax reforms. Businesses still require a greater say on the new Community Infrastructure levy and small business rate relief will not be made entirely automatic, as the coalition promised.

But it’s when it comes to the planning system that the real concerns emerge. In an effort to make local plans the central feature of the system, the Bill will take away strategic elements such as the Infrastructure Planning Commission or Regional Spatial Strategies.

These were not without their flaws, but they did give businesses an element of certainty by setting out the wider strategic requirements for development in the North-East.

Meanwhile, communities will be able to create neighbourhood plans, setting out what development will be welcomed in their own small area.

This raises the potential for a patchwork of different plans across a single city. At best, this mish-mash will mean confusion and uncertainty. At worst, they become an effective tool for NIMBYs (Not In My Back Yard) to block development which may be of great value across a wider area.

In areas of the South-East suffering from the pressure of over-development, this will no doubt be welcomed.

Here in the North-East, we badly need more private sector development to create new opportunities for business growth, address issues such as the inadequacy of our housing and ensure a viable future for the region’s construction industry.

It seems the Localism Bill has fallen into the same trap as many previous Whitehall initiatives – its relevance really depends on where you are local to.

􀁥 Chris Beaumont is chairman of the North East Chamber of Commerce’s Tees Valley Committee.