The days of "Whitehall knows best" have ended after Birmingham shared in a £6 billion funding boost, according to the Prime Minister.
On a visit to the West Midlands yesterday, David Cameron said the city would get a bigger say on how money is spent on transport, infrastructure and skills here from now on.
The Government for Greater Birmingham, which included funding towards the Midland Metro, transport around Longbridge and £11.2 million for a Centre of Excellence for Advanced Technologies at Birmingham Metropolitan College.
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Mr Cameron said it showed the Government believed in devolving powers and funding to the city, rather than making the big decisions in London.
"What the Government is doing is saying 'this is the end of Whitehall knows best'," he said.
"It should be for local areas to come forward with plans and ideas for housing investment jobs, transport schemes, new stations and the Government saying 'These are your plans here is taxpayers' money to help develop them'."
The £350 million package unlocks a series of key transport schemes, including extending the Midland Metro with trams running to Edgbaston and Curzon Street.
Other major schemes given the green light include a new 16.5km public transport system known as 'Sprint', running from Birmingham city centre to a planned new high speed rail station near the NEC in Solihull.
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A Life Sciences Centre, run by Bournville College in partnership with University of Birmingham and the Queen Elizabeth Hospital, secured £3.5 million.
Jerry Blackett, chief executive of Greater Birmingham Chambers of Commerce, welcomed the funding news.
He was speaking after a meeting with the Prime Minister and 13 other key business leaders and local government representatives.
"On a per head of the population calculation, the Greater Birmingham share of the national pot was equalled only by Greater Manchester and Leeds," he said.
"As part of the allocation, £625,000 has been earmarked for 2015 to kick-start the creation of a business support sign-posting/coordination service.
"This is a significant day for Team Greater Birmingham's campaign to see more powers returned to the control of local people.
"I am particularly pleased that the Government has recognised the importance of creating locally delivered and co-ordinated business support."
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