Mr. John Kelpie:

I thank the committee for its invitation to address it this afternoon. We are delighted to be here. Derry is the fourth largest city on the island, with an urban population of more than 100,000 people. It is situated in a unique cross-Border context. The wider Derry north-west city region comprises Derry, Strabane, parts of neighbouring councils in Northern Ireland and much of north-east Donegal, which is in the Republic.

This wider city region, comprising between 350,000 and 400,000 people, is the only city region in these islands and one of the few across the whole of Europe which, post Brexit, will potentially straddle an border between the EU and a country outside the EU. At present the city physically straddles the Border, with between 5% and 10% of the urban population of the city of Derry currently living in the small towns and villages which surround the city, tight against the Border on the Donegal side. These Donegal towns have expanded to become actual suburbs of the city of Derry.

The city and wider regions have made huge progress in recent years, economically, physically and socially, but there is a very long way to go. In common with other Border areas we have the highest unemployment levels of anywhere in Northern Ireland and the UK and huge areas of social deprivation. Much of the progress in recent years in Derry, Strabane and Donegal, like other Border areas, has been with the assistance of EU programmes or the collaborative benefit of North-South co-operation. To build on this progress, Derry City and Strabane District Council and Donegal County Council have embarked on a new strategic partnership, a place-based leadership model to drive the region forward and to positively address its key challenges in partnership with the Northern Ireland Executive and the Irish Government. These arrangements have seen the establishment of the north west regional development group, a cross-Border joint committee of both councils comprising senior council officers and elected representatives with delegated authority to take decisions on a cross-Border basis. This involves joint cross-Border working at local level with a focus on economic development, physical regeneration and social well-being, the first, we believe, of its kind in Europe. The new partnership arrangements also include the north west strategic growth partnership, in which senior civil servants from all Departments on both sides of the Border work with the two local councils to deliver on the key strategic objectives.

These new arrangements are up and running, endorsed and supported by the 2015 Fresh Start agreement by both Governments, a unique model of integrated, local, regional and national cross-Border collaboration established under the mechanisms of the North-South Ministerial Council and endorsed by both Governments and all of our partners. We believe this is the future of cross-Border development and collaboration, the crux of the question posed to us by the committee today. The partnership seeks to finally unlock the potential of Derry and the north-west city region and to enable the region to eventually move to positively contribute to the economies on both sides of the Border. It respects the politics of the Border as it currently stands, but disrespects the Border economically.

Among the many risks in developing this collaboration the most recent, and largest, is Brexit. In recognition of this, Derry and Donegal have moved fast and together to quantify and articulate this risk and to suggest potential mitigation that is bespoke to the region. My colleague will take members through some of the highlights of this work to date.