A devolution deal which will hand more control to the West Midlands in key areas such as regeneration, transport and skills has been signed.
The move by West Midlands Mayor Andy Street and Levelling Up Secretary Michael Gove follows last week's Budget. The new deal includes a regeneration package worth up to £160 million, control of local spending and retention of business rates.
It should put more cash and power into the hands of local leaders to invest in the priorities in the West Midlands. The deal confirmed includes a host of new measures.
These include a new long-term funding settlement, including the right to retain 100 per cent of business rates for the next decade, and a wide-ranging partnership with Homes England with a commitment to work towards investing £400 million in the West Midlands by 2026.
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There will be further support for regeneration and infrastructure, with £100 million of brownfield funding and £60 million of investment in the metro line extension from Wednesbury to Brierley Hill.
So-called Levelling Up zones will be aimed at generating jobs and investment which will be backed by 25-year business rate retention.
The region has also been handed greater control over public transport, with a new rail partnership with Great British Railways, which will be based in Derby, and the devolution of the payment of the bus service operators grant.
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There will also be more oversight and control over adult skills funding and more responsibility over developing and delivering careers advice while funding will be allocated to retrofit buildings in order to bring down energy bills for households across the West Midlands.
A new partnership is planned with national arts and culture organisations to harness the West Midlands' cultural strengths and finally tools to support the rollout of high-speed broadband across the region and £4 million for devices and data to get more people online.
Alongside these powers, a new framework will ensure that decision-makers in areas with devolution deals are accountable to their residents and deliver value for money, with a clear ladder of intervention to respond to underperformance.
The signing of the deal comes days after the West Midlands was announced as one of 12 new investment zones in the Chancellor's spring Budget, backed with £80 million over five years.
West Midlands Mayor Andy Street said: "This is a truly landmark moment for our region as this Deeper Devolution Deal has resulted in Whitehall granting significant powers and funding to the West Midlands - recognising the importance of local leaders on the ground having greater financial autonomy and decision-making authority.
"Team West Midlands has worked incredibly hard to agree the best possible deal for our residents, having earned the trust of the Government thanks to our track record of delivery since the formation of the combined authority.
"Devolution is very much a journey and our task now is to work together to show the further trust placed in us is well founded."
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Levelling Up Secretary Michael Gove added that it was vital more power and control was put in the hands of local leaders.
"This deal goes further than we've ever gone before," he added.
"It will give the mayor unprecedented power to spend on local priorities and more control over transport, skills and housing - the things people truly care about. This marks a bold new frontier in devolution in this country and it's fantastic to see the West Midlands right at the forefront."