In the USA local partnerships (‘growth coalitions’) involving leading figures from the public and private sectors date from the years after World War II. But it was not until the early 1990s that the British government recognised the potential contribution to economic regeneration of partnerships involving local authorities, Training and Enterprise Councils (TECs), and Chambers of Commerce. Then in 1994 it set up ‘Government Offices’ in 10 regions, giving them particular responsibility for spending on regeneration; this in turn has led to a strengthening of institutions representing both local authority and private sector interests at the regional level. A debate is now going on as to how business interests should best be represented locally: should local TECs merge with, and thereby strengthen, local Chambers of Commerce? Or as many, for example in the Labour Party, would prefer, should TECs concentrate on training and leave broader interests for economic regeneration to local authorities and chambers? Local strategies based on partnerships between business and the public sector require both parties to be well organised. The creation of effective business leadership at local and regional levels is therefore a necessary and welcome step.