Ministers in the United Kingdom are set to initiate a statutory “best value” inspection of the Tees Valley Combined Authority (TVCA), intensifying government oversight of the regional body chaired by Conservative mayor Lord Ben Houchen. The move, announced by Angela Rayner, the local government secretary, follows longstanding concerns regarding the authority’s financial management and governance, particularly in relation to the Teesworks regeneration project.
The inspection will be conducted by Laura Shoaf, the former chief executive of the West Midlands Combined Authority, who has been appointed to lead the review. This development marks a significant escalation after the appointment of an external board 18 months ago aimed at improving standards within the TVCA. Sources familiar with the investigation indicate that the outcome could potentially lead to the appointment of commissioners or envoys—central government officials who intervene in underperforming local authorities.
Concerns within Whitehall have centered on the TVCA’s oversight procedures and value-for-money assurances, as well as its financial dealings with Teesside International Airport, which is publicly owned. An independent review commissioned in 2024 by then-local government secretary Lord Michael Gove highlighted numerous governance deficiencies and criticized the public-private partnership overseeing the redevelopment of Teesworks, the extensive former steelworks site at Redcar. That review issued 26 recommendations aimed at addressing these issues.
The latest government action involves the formal deployment of an independent inspector who is expected to commence a detailed inquiry by the end of October. The findings from this inspection will be reported back to Rayner, informing any further government decisions.
A spokeswoman for the TVCA responded positively to the announcement, stating that the authority welcomes the appointment of Shoaf and her team, and will cooperate openly and constructively throughout the process. She added that the TVCA remains committed to continued improvements and recognizes the value of scrutiny and challenge.
The Ministry for Housing, Communities and Local Government declined to comment on the matter. The scrutiny of the TVCA also raises wider questions about the government’s devolution agenda championed by figures such as Andy Burnham. The central government has voiced a commitment to empowering elected mayors with greater control over local growth and taxation, but ongoing governance concerns at TVCA pose challenges to that vision.