Why City Deals must be real deals

Why City Deals must be ‘real deals’A new discussion paper, released by the Property Council last week, outlines the 10 ‘building blocks’ needed to ensure City Deals are ‘real deals’ that prioritise jobs and economic growth.What makes a City Deal a Real Deal? lays out a framework for the best way to ensure City Deals create lasting jobs. In April, the Australian Government released its Smart Cities Plan, which outlines a federal commitment to City Deals in partnership with state, territory and local governments.City Deals are formal agreements between all tiers of government that establish a concrete framework for action and investment needed to accelerate economic opportunity in a city region. These agreements recognise that cities are already home to nine out of 10 Australians and growing steadily, generate more than 80 per cent of GDP and power the knowledge economy.The paper outlines 10 ‘building blocks’ for City Deals. Among these are a clear commitment to economic productivity and growth, partnership between all levels of government and a medium- to long-term horizon that extends beyond current political and economic cycles. City Deals should be based on deep consultation with all stakeholders, consolidate existing government funding, encourage private sector innovation and link ongoing funding to performance, the discussion paper argues.”All sides of politics are on board with wanting to deliver City Deals that lift the economic trajectory of our cities,” says the Property Council’s chief executive Ken Morrison.”We all know that Australia can’t afford the old days of the pork barrel. Infrastructure funding must prioritise jobs and the capacity of the infrastructure to strengthen a local economy.”Three City Deals are in the winds for Townsville, Launceston and Western Sydney.Morrison says Townsville has “enormous economic potential but is stymied by double digit unemployment”. Launceston is “ripe” for reinvention, and Western Sydney, Australia’s third largest economy, must “take full advantage” of the development of the new Western Sydney airport.The Property Council says there are several potential pitfalls for City Deals. Such agreements must be more than a headline or a project ‘wish list’ that bears no relationship to the core objective of economic growth, project benefit or funding reality.”We are an industry that believes in City Deals. We have been championing the concept for two years and we believe, if properly done, they can be the source of jobs and further economic capacity.”Morrison says the discussion paper has been designed to help policy makers “get the policy framework right” to ensure each City Deal is “a real deal, not a dud deal”.