Cornwall Council has said it will not now be part of a peninsula-wide Local Enterprise Partnership with neighbouring Devon — to the surprise of authorities east of the Tamar.

Cornwall Council had joined in discussions about being part of a peninsula LEP with various authorities in Devon, as well as bidding to form its own LEP.

But council leader Alec Robertson has said that the council was "emphatically committed to developing a Cornwall and the Isles of Scilly Local Enterprise Partnership" with "no plans to enter into a formal enterprise partnership arrangement with other authorities".

He added: "We are committed to pursuing a Cornwall and Isles of Scilly Local Enterprise Partnership and, while we should always look to work with our neighbours, it is important we do not miss the opportunity to deliver an economic development model that could transform the quality of life for all of our residents."

Mr Robertson's comments came as a surprise to Devon County Council, which has been holding discussions with Cornwall, as well as the unitary authorities of Torbay and Plymouth. Last week, it issued a press release which referred to the five authorities of Torbay, Devon, Plymouth, Cornwall and the Isles of Scilly "working with business to develop a coordinated submission to the Government on partnership arrangements".

When the Western Morning News contacted Devon County Council to clarify the situation, the council initially said that as far as it was concerned, Cornwall remained a part of the peninsula LEP bid. But it later issued a further statement which said that local authorities in Devon, Plymouth and Torbay were working with business to draw up a proposal for an LEP.

Cornwall Council said it had sent a copy of Coun Robertson's comments to John Hart, leader of Devon County Council, on Wednesday.

It said it still wanted to work with a Devon LEP on strategic issues such as transport and planning, but not to be formally part of the partnership. Councillor William Mumford, Devon County Council's cabinet member for economic regeneration and strategic planning, said: "We have spent a lot of time in negotiations on the understanding and assurances that Cornwall wished to be part of a peninsula LEP — that's been reiterated a number of times.

"Yesterday, Alec Robertson put out a press release saying that he saw Cornwall as having a Cornwall and Isles of Scilly-only enterprise partnership. It's deeply frustrating and, more importantly, it misses the point about what an enterprise partnership is all about."

Bids for LEPs must be submitted to the Government by September 6 for approval. The Treasury is believed to want to see between 20 and 30 LEPs.