Oxfordshire County Council has come under fire for vetoing a devolution deal for the Thames Valley, which Oxford City Council says could have delivered billions of pounds in investment to the region.

The proposed Strategic Authority would have brought together councils across Berkshire, Oxfordshire and Swindon, unlocking greater funding and devolved powers, including devolved powers over transport and adult skills.

Susan Brown, leader of Oxford City Council, said: “People across the region are crying out for change – for secure jobs, affordable homes and better public transport – and this deal would have been an important step in helping to achieve that.”

The authority would have been the first stage toward establishing a directly elected Mayor for the Thames Valley, similar to recent devolution models in London, Greater Manchester and the West Midlands.

The plan was supported by the Government, with the devolution minister writing to councils across the region on June 16 to endorse the proposal.

However, the following day, the new leader of Oxfordshire County Council blocked the scheme during a meeting intended to finalise the joint submission.

The Government cannot impose a Strategic Authority on a region.

The proposed Thames Valley authority would have covered a population of nearly two million and linked major economic and innovation hubs along the M4 and M40 corridors.

Earlier submissions to government argued that a unified governance structure could unlock billions in additional economic growth by 2040.

Paul Britton, CEO of the Thames Valley Chamber of Commerce, told the Reading Chronicle that the collapse of the plan risked the Thames Valley ‘being left behind’.

He said: “The business community will be expecting civic leaders to get back around the table to iron this out and with urgency.”

Ms Brown expressed her disappointment in the outcome.

She said: “I am very disappointed in Oxfordshire County Council’s decision.

“I want to acknowledge and thank the many organisations and leaders – across both the public and private sectors – who contributed their time, expertise and support to develop this proposal and to reassure them that Oxford City Council will continue to work towards achieving devolution of powers and finances to our local area.

“We remain fully committed to working with partners across the Thames Valley to secure the best possible outcomes for our city and the region.

“With changes in national leadership and local government in Oxfordshire, we hope we can revisit the conversation again soon.”

The city council’s cabinet is set to discuss the decision and its implications for Oxford’s economy at a meeting on July 8.

The authority recently came under scrutiny after it successfully won an injunction against Raise the Colours to stop members from placing flags up on public infrastructure.

It has received criticism from some, but the council argues the group has been intimidating, being confrontational and harassing towards the staff who take them down.

Small amendments that are being looked at in the flag-flying protocol include flying the flag at half-mast when a councillor on Oxford City Council dies.

Old County Hall (Image: Oxford Mail)

Susannah Wintersgill, director of public affairs and policy, told a meeting that if another country was in conflict and County Hall wanted to recognise that, but it was “politically sensitive”, then a white flag would be flown, as advised by legal services.

But Conservative councillor Thomas Ashby suggested the white flag – a symbol of surrender – should not be flown. This was backed by cabinet member Neil Fawcett.

READ MORE: Raise the Colours Oxfordshire leader to stand trial over ‘indecent child images’

Throughout the whole year though, with some exceptions, the Union flag will be flown from County Hall.

People can request certain flags are flown from the New Road offices, but the director of law and governance, monitoring officer and chair of the council has the discretion to authorise this.

Councillor Thomas Ashby (Image: Councillor Thomas Ashby)

Susannah Wintersgill, director of public affairs and policy at Oxfordshire County Council (Image: OCC)

“The decision of the council to fly flags should be made in the spirit of displaying universal allegiance, support or respect or to celebrate a significant international, national or local occasion,” the council’s policy says.

“It should be considered whether it is appropriate for a local authority to display such support on behalf of its communities.

“The decision should ultimately reflect the values of Oxfordshire County Council.”

All submissions for flags to be displayed, rejected or not, should be published with the name of the requester and the rationale behind the decision.

Exceptions for when the Union flag is not flown is during one week in April of each year when the flag of St George is flown, the Commonwealth flag in March, pride month in June, Armed Forces Week also in June and Remembrance Day in November, for the first 11 days.

Flags will be flown at half-mast during the deaths and funerals of the monarch, a royal, current or former prime ministers, a serving armed forces member from Oxfordshire and of anybody of the advise of the Department of Culture, Media and Sport.

Holocaust Memorial Day, on January 27, will also see the flag flown at half-mast, likewise when a major incident such as a terrorist attack has happened and British lives have been lost and when other nations are in mourning.