IT'S been billed as a historic deal that could help to build 50,000 new homes, tackle south Hampshire’s congestion woes and even lead to a tram system between Southampton and Portsmouth.

And now council leaders are urging the public to have their say on a devolution deal for the Solent that they say could pump £2bn into the region.

It means that, should the public support the plans and the Government also decide to continue with the move, a new Solent Combined Authority could be set up next year.

The plans, as previously reported in the Daily Echo, have been in the offing for more than a year now but have been held up by upheaval in Government and disagreements among Hampshire’s county leaders.

Now three areas - Southampton, Portsmouth and the Isle of Wight - will begin consultation with their residents over the proposals.

As well as gaining control over £30m a year for economic growth and housing and keeping £210m more in business rates, they anticipate that it could bring in more than £2bn when including borrowing and levering in private sector funding.

That could be spent on new roads, creating jobs, developing residents’ skills and funding major schemes such as the Southampton to Portsmouth tram system and a conference centre in Southampton.

At a special briefing to launch the consultation, the leaders of the three councils insisted that the plans would not spell the end for any existing councils or affect the services they run.

Portsmouth leader Donna Jones said the extra funding would be spent on “improving local roads, public areas, housing and job creation”, with Southampton chief Simon Letts saying it could “lead to better jobs, better homes and better prospects for our residents”.

Cllr Letts said the Solent deal may be vital for helping to changing the travel habits of people living in the region and hopefully ease the congestion woes of thousands between Southampton and Portsmouth.

He said: “This is going to take a decade or more to sort out.

“We need to build homes and communities near to where people are working, having a coordinated bus network which allows people to get to and from work easily, and the potential for park and rides, an off-road cycle network and the light rail transit [tram] system.

“We’ve got to have a different solution than driving down the motorway and sitting in a queue.”

The current plans would see a directly-elected mayor appointed to oversee the new authority.

However the leaders said the role of mayor, a key sticking point with the county council which has fiercely opposed the idea, may be scrapped after all.

The role was the brainchild of former Chancellor George Osborne, but since he lost his job earlier this month after Theresa May became Prime Minister, the Government may not insist on a mayor being appointed after all.

And the leaders held out an olive branch to county leader Roy Perry, saying they hoped he would also come back on board with the plans.

Portsmouth City Council leader Donna Jones said: “I think it would be short sighted of the county council not to have a seat around the table when it is formed, we certainly would love the prospect of working with the county.”

Cllr Perry has remained critical of the Solent plans, saying they ‘add a new layer of local government and additional costs and will inevitably disrupt high-quality countywide services’.

The Hampshire boss recently launched his own consultation, on separate proposals that could see one giant council created to replace all or some of Hampshire’s councils.

However the Solent leaders said there was very little chance of the Government supporting any of the proposals.

The consultation on the Solent plans ends on September 18.

You can take part online at www.solentdeal.co.uk, and hard copies are available in libraries, the Civic Centre and One Guildhall Square.

What would the Solent Combined Authority do?

The council leaders say the Solent Combined Authority would not replace existing councils but sit above them and have the power over funding currently allocated to schemes by the Government.

It could be led by an elected mayor, serving four year terms, who would have the leaders of the councils serving in their cabinet and responsible for different areas, such as housing or skills.

The body would have power over £900m funding over 30 years and keep all business rates raised in the area, spelling the end for the current system of Government grants to councils.

It would also oversee the delivery of up to new homes, have responsibility for maintaining and improving a key network of roads, franchised bus services and control a budget for adult education and training.

In the future, it may also follow other areas of the country in controlling funding for preventative health projects, but not key NHS facilities such as hospitals, and take control from the national Planning Inspectorate over major planning decisions in the area.

The council leaders say it would allow the region to have more control over where and how 50,000 new homes are built across the wider south Hampshire region, with that figure the combined number of houses all authorities estimate they need to build.

At first it will only be Southampton, Isle of Wight and Portsmouth, but Fareham, Gosport, Eastleigh, East Hampshire and Havant are all expected to join.

The legislation means they need the permission of the county council to join from the start, but would be invited to join the new authority.