If only we could see ourselves as others see us. It is always interesting, and often instructive, to seek the advice of an independent outsider. And there can be few more respected commentators on city development than Professor Michael Parkinson, whose report on the masterplanning of Birmingham is released today.

It is right at this stage to congratulate the city council on having the wisdom, and the courage, to ask Prof Parkinson to provide a "warts and all" analysis of where Birmingham is today and where it might realistically be in 20 years time. Politicians like to avoid criticism and, although much of the Parkinson report is positive, there are parts that point to a failure to deliver by the council and the private sector.

Birmingham continues to struggle economically when compared to a number of large UK and European cities. Unemployment is high, skills are low, business start-ups are low, fewer graduates are employed here than elsewhere. There are signs that some of these failures are being addressed, but the challenges are vast.

All of what Prof Parkinson has to say about the way forward is commendable. Someone has to get a grip on Eastside; Digbeth and the Custard Factory are largely wasted assets; the Jewellery Quarter is languishing; not enough attention is being paid to the needs of ethnic minority (soon to be majority) groups; architectural standards are low for a city that yearns to be recognised as a global player.

As for his comments about lack of confidence and the self-deprecating nature of Brummies, there is much in this but it is difficult to see what can be done quickly to change attitudes. Stop whingeing about the successes of London and Manchester and get on with making Birmingham great might be appropriate advice.

The real meat of Prof Parkinson's report is in the tail, where he rehearses the truly exciting idea that the council should be able to tap into the multi-billion pound value of its property portfolio in order to pay for regeneration. It is a proposal that, were the Government to agree, would give Birmingham the financial independence and clout that it possessed in the days of Joseph Chamberlain.

But will Ministers accept something that would involve loosening Whitehall control of local government while at the same time increasing public expenditure? Birmingham has shown it has the vision to think big. The Government must respond in a similar fashion.