West Yorkshire transport chiefs will help choose the firm to run local rail services, under a landmark deal struck with ministers.

A “partnership” agreement will be reached to gradually devolve power from Whitehall to no fewer than 33 local authorities across the North, it was announced.

Transport Secretary Patrick McLoughlin pledged to give local leaders a say in picking the new operator to run services from 2016.

And he suggested the deal could lead to even greater devolution, if ‘Rail North’ – a group which includes Metro, West Yorkshire’s transport authority – proved its worth.

Mr McLoughlin said: “We are committed to working in partnership with local authorities, in the way in which they structure services.

“That will happen once we’ve done all the investment and we’ve got better links between Liverpool, Manchester and Leeds.”

The devolution deal is likely to take in both the current Northern Rail and TransPennine Express franchises, which are expected to be merged.

That would mean trains from Bradford to Leeds, Halifax, York, Manchester, Preston and Blackpool, all currently run by Northern Rail.