A major new strategy to drive economic growth, unlock housing and revitalise communities across York and North Yorkshire has been unveiled, ahead of a key Combined Authority meeting next month.
The proposal centres on the creation of three Mayoral Development Zones – a devolved policy tool designed to fast-track development by aligning public investment with private sector funding and bringing together landowners, developers and local authorities under strong mayoral leadership.
If approved, the MDZ approach will focus on three high-impact locations: Scarborough, the Selby Growth Zone and York Central. Together, they are expected to deliver thousands of new homes, generate significant employment opportunities and attract substantial inward investment across the region.
Targeted growth in three priority locations
The report outlines a clear set of ambitions for each zone:
- Selby Growth Zone: Development of major employment sites across the south of the region, with the potential to create more than 7,000 jobs.
- York Central: Acceleration of plans to deliver 2,500 homes alongside a new central business district.
- Scarborough: A comprehensive regeneration programme aimed at revitalising the town centre, expanding leisure and tourism, and unlocking thousands of new homes in one of the area’s most economically challenged communities.
Local leaders believe these areas have been selected based on their readiness to progress quickly and their ability to deliver tangible benefits for residents – particularly access to high-quality jobs, affordable housing and improved public spaces.
£10 million fund to unlock investment
To support early delivery, the Mayor has proposed the creation of an initial £10 million MDZ Regeneration Fund. This funding is intended to act as a catalyst, unlocking further government support and leveraging private investment to accelerate progress on site.
The MDZ model is expected to streamline delivery by removing barriers to development and ensuring that funding, planning and infrastructure decisions are coordinated more effectively.
Mayor David Skaith commented:
“This is about using the full powers available to the Mayor through devolution to making a real difference to people’s everyday lives; good jobs, affordable homes, and thriving communities.
“The three areas that will become MDZs have the ability to deliver thousands of new homes, unlock thousands of new and better jobs, and attract billions of pounds of investment into our region.
“Some of the sites are ready to go and just need that final push, others need the final pieces of investment to get them going. Each MDZ will tailored to get development going and delivered quicker.
“I am creating an initial £10m of investment for the MDZs, and will work with our local authority partners to ensure we deliver the government funding and private sector investment needed.
“This is an important step in setting out how we can bring investment into our communities and make sure growth benefits everyone.”

A test case for devolution in action
For public sector leaders, the MDZ proposal represents a practical example of how devolved powers can be used to drive place-based growth. By focusing on delivery-ready sites and combining funding streams, the initiative aims to create a replicable model for regional regeneration.
The success of the three zones will likely be closely watched across England, particularly as Combined Authorities continue to explore how best to translate devolved authority into measurable economic outcomes.
Image credit: iStock
