Analysis: Devolution deal set for north-east of England

Chancellor George Osborne hailed the "historic" deals

The announcement of two devolution deals with two mayors will mark a big change for the north-east of England.

But it's been a far from smooth ride for a region that often feels it is the UK's poor relation.

Eleven years ago John Prescott offered the North East a regional assembly as its answer to the Welsh Assembly or Scottish Parliament.

But voters took one look at the meagre powers on offer and delivered a huge electoral raspberry. Almost four in five people voted no in a referendum.

Now though, it is a Conservative Chancellor offering powers - and mayors instead of an assembly. Mind you, this time the public weren't given much of a say on the deal.

And it has been no secret that the council leaders who've signed up to it - all Labour - have been nervous about the idea of elected mayors.

After all, a previous mayoral revolution under the Blair government did not go according to plan.

'Tempted by the power'

Middlesbrough chose to elect controversial "Robocop" policeman Ray Mallon rather than the Labour candidate, while Hartlepool infamously chose the local football mascot H'angus the Monkey (in real life local man Stuart Drummond). Perhaps even more alarmingly for Labour, North Tyneside chose a Conservative.

But in the end they have signed up to the deals, tempted by the powers and nervous about being left behind.

The mayors will face huge challenges though. The North East's will cover an area from Berwick on the Scottish border to Barnard Castle on the edge of North Yorkshire. They will have to balance up the needs of some of the most isolated communities in England with those of big cities like Newcastle and Sunderland.

And although Tees Valley's mayor will cover a more compact geographical area, the recent closure of the Redcar steelworks is an example of the economic shocks they might have to deal with.

It is a giant electoral experiment. And actually rather bold. But it will only be judged a success if it can boost the North East economy, and help create the Northern Powerhouse George Osborne is so keen to talk about.